CONVEYANCE OE MAILS VIA SUEZ.

E.—No. 3,

15

No. 9. Copy of a Despatch from His Grace the Duke of Buckingham to His Excellency Sir G. Bowek\ See,— Downing Street, 28th May, 1.868. I transmit to you the copy of a letter from the Board of Treasury with throe copies of the Eeport enclosed in it from the Eeeeiver and Accountant-General of the Post Office, explanatory of the account against the Australian Colonies and New Zealand for the Post Office Packet Service via Suez, during the year 1868, and of the several accounts which it contains. I request that you will cause the amount due by the Colony under your Government on this account to be remitted at the periods specified in Mr. Law's letter. I have, &c, Sir George Bowen. Buckingham and Chandos.

Enclosure in No. 9. Mr. Law to Sib P. Eogees. Sib,— Treasury Chambers, 16th May, 1868. I am directed by the Lords Commissioners of Her Majesty's Treasury to transmit to you twenty-four copies of the Eeport from the Eeeeiver and Accountant-General of the Post Office explanatory of the account against the Australian Colonies and New Zealand for Post Office Packet Service via Suez, during the year ending 31st December, 1868, accompanied by a statement of the amounts chargeable to the several Australian Colonies and New Zealand on account of the Mail Packet Service for the same year, together with an account-current showing the whole balance which will be due from, each Colony on the 31st December next; and lam to request that, in laying the same before the Duke of Buckingham and Chandos, you will move His Grace to cause three copies of the statement, &c, to be forwarded to the Governments of each of the Colonies concerned, by the mail of the 22nd instant, with a request that a remittance of one-half of the amount due up to the 31st December next may be at once made by each of the Colonies, and that the balance then remaining due may bo remitted immediately after the expiration of each subsequent quarter. I have, &c, Sir P. Eogers, Bart., &c. William Law.

Sub-Enclosure to Enclosure in No. 9. Eepobt from the Reoeiyeb and Accountant-General of the Post Office, explanatory of the Account against the Australian Colonies and New Zealand for Post Office Packet Service via Suez, during the Tear ending 31st December, 1868. Tub account of the sums payable by the Australasian Colonies for Mail Packet Service during the year 1868 requires very little explanation. The gross amount of the Colonial contribution for this year is increased, under the new arrangement, from £81,710 to £98,075 10s.; but it should be remarked that, for this increased expense, the Australasian Colonies obtain thirteen mails out and thirteen mails home during the year, instead of twelve mails out and twelve mails home, as formerly. In preparing the present account it has not been deemed desirable to introduce a general adjustment of charges in respect of the accounts of former years, seeing that the question which has been raised, as to how far back those adjustments shall be carried, has not yet been decided. It will be observed, on reference to the annexed account, that the Colonial share of the excess of penalties inflicted over premiums earned by the contractors for the Packet Service during the year 1867 has been allowed to the respective Colonies in that account. It should here bo mentioned that the Colonial share of the abatement made by the Peninsular and Oriental Steam Navigation Company in consequence of the abandonment of Admiralty surveys of their vessels on the line between Point do Galle and Sydney, has in this account been credited to the Colonies by way of reduction of the amount of the contract payment chargeable to them for their share of the cost of conveying the mails between those places. General Post Office, Geo. Chetwynd, London, 11th May, 18G8. Eeeeiver and Accountant-General.