A.—2

15

Enclosure. Sib, — Admiralty, 10th November, 1884. I am commanded by the Lords Commissioners of the Admiralty to acknowledge the receipt of your letter of the 10th ultimo, transmitting a copy of a despatch from the Governor of New Zealand with an enclosure respecting Imperial assistance towards the construction of a graving dock at Port Chalmers, which the Otago Harbour Board are desirous of obtaining, and to state, for the information of the Earl of Derby, that the subject has been referred for the report of the Commodore in command of the Australian station. I am, &c, The Under-Secretary of State for the Colonies. E. N. Swainson.

No. 24. (New Zealand, No. 78.) Sir, — Downing Street, 19th November, 1884. In my Despatch of the 15th ultimo 1 informed you that Her Majesty's Government had decided to take certain steps for the establishment of the Queen's protectorate over the south-east roast of New Guinea and sundry adjacent islands. I have now the honour to acqxiaint you that Her Majesty has approved the appointment of Major-General Scratchley, R.E., C.M.G., as Special Commissioner, to exercise Her authority within the protected area; and I enclose herewith, for your information and for communication to your Government, a copy of the instructions which have been given to this officer. I have requested General Scratchley to communicate on his arrival in Australia with the Governments of as many of the colonies as he may be able to visit before his departure for New Guinea, which of course cannot be long delayed; and it is desirable that he should ascertain, at as early a date as possible, what provision the colonies are disposed to make for carrying on the protectorate after June next. I have, &c, Governor Sir W. P. D. Jervois, G.C.M.G., C.8., &c. DERBY.

Enclosure 1. Sic, — Colonial Office, Downing Street, 17th November, 1884. You are aware that steps have been taken to proclaim Her Majesty's protectorate and jurisdiction over the southern shore of New Guinea and the country adjacent thereto, from the 141 st meridian of East longtitude eastward as far as East Cape, including any islands adjacent to the main land in Goschen Straits, and to the southward of the said Straits as far south and east as to include Kosman Island. 2. I am now directed by the Earl of Derby to inform you that Her Majesty has been pleased to appoint you to be her Special Commissioner to exercise her authority within this protectorate, and that the necessary commission will shortly be transmitted to you. 3. Until Her Majesty shall be pleased to make further provision for administering law in the protectorate, that territory, as well as all other parts of New Guinea up to the 143° East longitude, remained under the operation of the Western Pacific Orders in Council; it is therefore necessary that you should be enabled to exercise the authority which is vested by those Orders in the deputies of the High Commissioner, and Sir William Dcs Vceux has been instructed to forward to the care of the Governor of New South Wales aB, instrument appointing you to be a Deputy-Commis-sioner. As it is proposed to place a steamer at your disposal for the duties of the protectorate, you will have more ready means of access to the islands near New Guinea than are at the command of the High Commissioner, and it has accordingly been decided that your powers as Deputy Commissioner shall extend to the islands lying to the north of latitude 15° South, and to the west of longtitude 161° East, and for so much of the Solomon Islands as lies beyond those limits. Copies of the Western Pacific Orders in Council of 1877, 1879, and 1880 are forwarded herewith. 4. You will, however, bo independent of the High Commissioner in respect to the protectorate, and will correspond direct with the Secretary of State for the Colonies. As regards matters occurring beyond the protectorate but within the limits assigned to you as Deputy-Commissioner, you will act on your own discretion without referring to the High Commissioner for instructions, but you should, as far as practicable, inform him of your proceedings. 5. The Australian Colonies have agreed to provide £15,000 during the year ending June, 1885, for the expenses of the protectorate, and upon your arrival in Australia you will ascertain, by communication with the several Governments, whether the colonies will provide in subsequent years a sum adequate to the due maintenance of the protectorate, as it is clearly understood that the protectorate is established at the desire of the colonies, and is not to be a source of expense to this country. You will therefore fully understand that you are not to contemplate or to incur any expense in New Guinea for providing buildings for yourself or your officers until the wishes of the colonies as to the continuance of the protectorate have been ascertained and the necessary funds provided.