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I.—4a.

49. You say that Holmes's commands the ground at the lower level; your high level commands the ground at the back ; in order to supply the demand at the higher level would not some of your customers at the lower level run short, apart from No. 4 and No. 5 channels ?—I do not call that at the back a higher level; I call it all pretty much the same level. 50. To meet the demand at the back, which your high level was intended to supply, would it not be necessary to supplement your water by getting the water in Holmes's race ?—Yes. 51. As soon as No. 4 and No. 5 channels are in working order ?—Yes, when No. 5 is ready. 52. Mr.Fraser.] Can Holmes's race be taken to the back of Kumara at all?—Oh, yes; by making the connection at the lower end of the tunnel. 53. Suppose the Government took the whole of the water, would Holmes's race command all the low ground?— Yes, Holmes's race commands it all. 54. Those three claims as well ?—Yes, Holmes's could supply the whole of those claims and ours as well. 55. Then, without the purchase of Holmes's race by the Government cannot all the claims on the flat be supplied with water ?—Yes. 56. Mr. B. McEenzio.] You say that Holmes's could supply the three parties you supply, could he do that without inconveniencing the parties he is supplying at present ?—Yes. 57. It is stated that the two miles and a quarter wanted widening; if that were attended to could it supply you in dry weather? —Yes, I think he could then supply in dry weather. 58. Mr. Garncross.] If the Government were to materially reduce the price of the water do you think the agitation for the purchase of Holmes's race by the Government would cease ?—The miners have more confidence in the Government than they have in a private proprietor. 59. Hon. Mr. Gadnian.] You would lead us to believe with respect to the price of water, at least the impression you conveyed to my mind was, that you were of opinion that the price of water at the Thames was very much cheaper than the water at Kumara ?—I understood that the price of water at the Thames was not much more than half the price of water at Kumara. 60. Will you explain how you arrived at that conclusion ?—The Thames water is paid for at the rate of £3-for 144 hours, or £3 per sluice-head per week taking it for the whole twenty-four hours; the miners at Kumara pay £2 for forty-eight hours with an allowance made by the Government. 60a. Mr. Guinness.] Miners working for £3 a week get no allowance? —No. 61. Hon. Mr. Gadman.] Since you made that statement I communicated with Mr. Wilson of the Thames, and asked him for the information. I requested that he should send me the price of water per sluice-head. I have received a telegram from him in which he says that the price is £4 when used in the daytime, and £3 when used at night. This reply, however, does not convey the whole of the information necessary; and I telegraphed back to him to the following effect : "Please state what constitutes a day's and a night's water respectively"; to that I have received the following reply :" A day's water is from 6 a.m. to 6 p.m.; a night's water is from 6 p.m. to 6 a.m.; if the water is used continuously day and night the charge is £3 a week?—l have no doubt Mr. Wilson is right. 62. Mr. Fraser.] There is 40 acres there at the bottom, do you say that if the Holmes race is purchased, that must be purchased with it ?—lt would go with the race. 63. The Chairman.] Holmes's race you say commands the lower level ground; you say that Holmes has not a sufficient number of parties working to use his water. Now, if the water is not used which commands the ground is that because of the poverty of the ground ?—Several of his claims have fallen out; they have been worked out; he has not so many customers as he used to have. 64. Is there ground still payable that his race commands ?—Yes, a considerable area. 65. Mr. Fraser.'] Not taken up?— Taken up aud not taken up. 66. The purchase of this race by the Government would not beneficially affect that ground ? —No. 67. Mr. Milk.] If the Government purchased Holmes's race and gave the extra water, similar to what you give from the Government race, would that make other miners take up the unoccupied ground?— The probability is that it would tend to that. Approximate Cost of Paper.— Preparation, not given; printing (1,350 copies), £10 6s. Bd.

By Authority: Samuel Costall, Government Printer, Wellington.—lB9s. Price 6Y2.J

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