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Foxton to Waitara; and during the present year a contract has been entered into for the construction of a branch railway from New Plymouth to the breakwater. This is expected to be completed about November next. Several small additions have also been made along the line at various places, and a considerable quantity of fencing has been erected at places not previously fenced. Nelson-Boundell. —The formation-works on the Wai-iti section of this railway beyond Belgrove, for 2| miles, which were stated last year to be in hand, were completed in February last; and a survey has also been made during the year for the continuation of the line to the Hope Junction. East to West Coast and Nelson Railway. —l have now to deal with the construction of a railway that has hitherto led to considerable discussion in the House. I allude to the East and West Coast (Middle Island) and Nelson Eailways. It is desirable that I should explain the views of the Government in reference to the construction of these lines. I need hardly point out that they were a substantial part of the original scheme of railways in 1870, for it was then contemplated that there should be a main trunk line in both Islands. Parliament has on various occasions sanctioned the construction of both lines. Even before the general scheme of railways and the Public Works policy of 1870 Parliament had authorized the construction of a railway from Nelson to Cobden. The mode that had been provided, for its construction was grants of lands. As much as 10,000 acres were to be given for each mile constructed, and, as the estimated length of the railway was 220 miles, this meant the granting of 2,200,000 acres for the construction of the line. Part of the line w Tas commenced, and 31 miles have been completed under various Public Works Acts. In 1878 provision was made for connecting Christchurch with Cook Strait and with the West Coast. In the Schedule of the Railways Construction Act of that year the lines Amberley to Brunnerton, Greymouth to Hokitika, and Amberley to Cook Strait were provided for. In 1881 Parliament made a further provision for the construction of these lines, for by the Eailways Construction and Land Act of that year the railways, East and West Coast (Middle Island), by Waiau and Eeefton, as well as Belgrove to Nelson Creek, were scheduled. The Act of last year —the East and West Coast (Middle Island) and Nelson Railways Act—amended the Eailways Construction and Land Act of 1881, and, as honourable members are aware, a contract has been entered into by the Government with some gentlemen in Christchurch and Nelson in pursuance of the authority thus given. It is unnecessary to detail at any length what has been done since this contract was entered into, as the papers laid on the table of the House, coupled with the debates, must have informed members. There now, however, seems some difficulty in obtaining the construction of the lines under the Act of last year; and it remains for the House to consider what should be done. The Government are of opinion that the lines are of immense importance. They will tend to increase the mining population, and to develop a large timber and mineral traffic and commerce generally. There are also considerable tracts of land that will be profitably occupied by settlers; whilst the bringing of the produce of the eastern side of the Middle Island to the west at a cheap rate will tend to promote the welfare of the West Coast settlers, and open a new market for the agriculturists on the eastern side. The North Island will also be benefited, because there will be direct through communication, beginning at Nelson, through the South Island. It is, I think, to be regretted that the construction of these lines had not been considered by a Committee of this House; but, as that has not been done, the Government, believing that it will benefit the colony as well as the districts concerned to have these lines, intend to ask for a moderate vote this year for the purpose of commencing their construction. A sum of £150,000 has been placed on the Estimates for this purpose,

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