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I venture to suggest to the Postmaster-General a reconsideration of this point, which appears to be a vital one, if the Californian mail-route is to be continued. The Sydney tariff has already seriously interfered with outward freights, and, as you are aware, the American tariff does not encourage inward shipments, and therefore, unless a reasonably fair compensation is paid for the ocean mail-service, there will be little inducement to shipowners to occupy the line, which is admittedly the best for New Zealand. When a chance of accomplishing this presents itself, without burdening the colonial revenue, it appears to me that it should not be set aside. No progress has been made on the Bill to amend the Ocean Postal Subsidy Act, but the whole question comes up for discussion in the House of Bepresentatives next week. If the amending Bill passes, it will insure the permanence of the service. I have, &c, Wm. Gray, Esq., Secretary, Post Office, Wellington. Bobt. J. Geeighton.

No. 94. The Hon. W. P. Beeves to the Agent-Geneeal, London. Sib,— Premier's Office, Wellington, sth May, 1892. I have the honour to acknowledge the receipt of your communication of the 9th February, enclosing copy of that of the previous day from the General Post Office, replying to Mr. Kennaway's letters of the 6th and the 17th November last. It is much to be regretted that the reply indicates so decidedly as it does that the colony is not likely at present to receive more liberal treatment in respect of either the outward postages or the American territorial transit charges. But the Imperial Government should remember that the San Francisco service is the speediest mail-line between the Mother-country and the colony, and that the London Post Office has hitherto recognised that our exceptional position merited exceptionally favourable treatment. It is to be hoped that this will have due weight, when the time comes for the colony to renew the service, in securing terms more advantageous to New Zealand than those at present in operation. I have, &c, W. B. Perceval, Esq., W. P. Beeves, Agent-General for New Zealand, London. (In the absence of the Premier).

No. 95. The Agent-Genebal to the Hon. the Pbemiee, Wellington. 13, Victoria Street, London, S.W., 30th March, 1892. Sic, — Ocean Mail Services. Eeferring to my letter of the 19th instant (vide No. 92), I beg leave to transmit copy of notice of the 29th instant, issued by the London General Post Office, in which there is a special notification respecting the routes by which correspondence for New Zealand will be forwarded from this country, and which practically gives effect to the wishes of your Government, as expressed in your letter of the 28th January last (vide No. 83). I have, &c, The Hob. the Premier, Wellington. W. B. Pebceval.

No. 96. The Hon. the Peemieb to the Agent-Geneeal, London. Sic,— Premier's Office, Wellington, 17th May, 1892. I have the honour to acknowledge the receipt of your letter of the 23rd January last (vide No. 90), with enclosures, confirming your cablegram of the previous day, in which you notified that the Imperial Post Office had agreed to the proposals contained in my cablegram to you of the 7th idem, in so far as they related to the despatch of the outward correspondence alternately by the San Francisco and Suez routes. The Postmaster-General has been advised by the London Office that mails by the Federal service cannot be divided in the same way as was done with those by the Direct service. A request, however, has been preferred for a closed mail to be made up for Invercargill, to obviate correspondence for any part of Southland being over-carried to Dunedin. I have, &c, W. B. Perceval, Esq., J. Ballance. Agent-General for New Zealand, London.

No. 97. The Hon. the Pbemiee to the Agent-Geneeal, London. Sib,— Premier's Office, Wellington, 17th May, 1892. I have the honour to acknowledge the receipt of your letter of the 30th March, enclosing a poster issued by the Imperial Post Office, showing the despatch from London of mails for the Australian Colonies and New Zealand during the six months ending the 30th September next. W. B. Perceval, Esq., I have, &c, Agent-General for New Zealand, London. J. Ballance.