B.—No. 4

8

PAPERS RELATIVE TO

The attention of former Governments of New Zealand has been turned to the subject, and approximate estimates of cost have been made. A naval officer of high rank roughly estimated the cost of maintaining an efficient squadron in those seas at £500,000 a year. It was suggested that such an amount of outlay would be prudently incurred in the nature of an insurance on the capital protected ; and that the cost might be equitably borne in equal proportions between the Mother Country and the Australasian Colonies under a federal arrangement, —the Mother Country providing ships and munitions of war. The following figures will show the large dimensions which the interests sought to be protected have now attained. The value of the total Australasian trade may be stated at about sixty millions a year, one-half of which is with Great Britain direct, and employs about 300,000 tons of British shipping. But even these figures will not be a fair measure of the value of the commerce, unless it be borne in mind that the trade is a rapidly increasing one. The working out of such a measure would involve details into which it would be premature to enter ; all that I can at present venture to do is very earnestly to draw the attention of the Home Government to the question, as one of unusual interest and importance. I have, &c, His Grace the Duke of Buckingham and Chandos. William Fitziieebeet.

Enclosure No. 5. Sir F. Booers to the Hon. W. Fitzheebert. Sir, — Downing Street, 16th January, 1869. Earl Granville has had under his consideration your letter of the 27th November, addressed to his predecessor, suggesting that the naval defence of the Australasian Colonies should be undertaken by a fleet under Imperial command, the cost to be borne in equal proportions between the Mother Country and the Colonies under a federal arrangement. His Lordship considers that the suggestion is one which it would be unavailing to discuss, unless there were sufficient reason to suppose that it would be practically taken up in the Colonies concerned. It is very desirable that the Colonies should bear a part of the cost of their naval defence. With this view the Act 28 Victoria, cap. 14, was passed, and the Colony of Victoria is likely to avail itself of the powers conferred by that Act on Colonial Governments and the Admiralty. But inasmuch as it appears that the present squadron on the Australian Station is maintained at a cost of £70,000 a year only, Lord Granville does not think it probable that the very great increase to the naval force contemplated by you would be sanctioned by Parliament in time of peace, even if a contribution of £250,000 a year were made by the Colonies. His Lordship, however, will send copies of this correspondence to the Governors of the Australian Colonies and New Zealand for their information. I have, &c, The Hon. W. Fitzherbert. F. Bogers.

Enclosure No. 6. , Under Secretary of State, Colonial Office, to the Hon. W. Fitzheebert. Sic, — Downing Street, 9th February, 1869. With reference to that part of your Memorandum on the Defence of New Zealand, dated the 25th November last, which relates to the Survey of the Coast, I am directed by Earl Granville to transmit to you, for your information, a copy of a letter from the Admiralty, to whom the subject was referred. You will observe, that while prepared to assist by their advice and by the services of experienced officers to amend the surveys of the Coasts of the Colony, their Lordships are of opinion, for the reasons stated, that the whole cost of the undertaking should be borne by the Colonial Government. lam to add, that a copy of their Lordships' letter will be forwarded to Sir George Bowen. I am, &c, The Hon. W. Fitzherbert. J. B. Sandford.

Mr. Bomaine to the Under Secretary of State, Colonial Office. Sir, — Admiralty, 29th January, 1869. I have laid before my Lords Commissioners of the Admiralty your letter of the 12th December last, transmitting, by desire of the Secretary of State for the Colonies, an extract of a letter from Mr. Fitzherbert, the Colonial Treasurer of New Zealand, expressing the wish of the Colonists that the survey of the Coast should be completed under the directions of the Admiralty on the same terms as those on which a survey is being now conducted on the Coasts of Victoria and .New South Wales. Their Lordships have had under their consideration the subject of surveys and re-surveys, referred to in the above Despatch, and are desirous of affording the New Zealand Government every assistance, by counsel and advice, as well as by the services of experienced Naval Surveying Officers, to enable that Government to complete, and, if need be, to amend the surveys of its Coasts, the accuracy and completeness of which is of so much importance to the interests and welfare of the Colony. Looking to the fact that the whole of the Coasts of New Zealand have been already surveyed entirely at the Imperial cost, and that much of that which remains to be done appears in the form of re-surveys of localities the physical conditions of which are liable to incessant change, and looking at the great advance in population and wealth made by the Colony during past years, my Lords believe that it would be unreasonable to expect that these proposed surveys should in future be carried on, even partly, by aid from Imperial funds.