11

1.—13

R. HAY

123. Do you know the amount required in Wellington ?--No. 124. Would it not be the most of what is left from your works? —I do not know. 125. As far as your evidence is concerned, it may be said that the whole of the 2,130-horse power would be absorbed for the tramways and electric light in Dunedin ? —lf they go in for electric light in Dunedin. 126. You cannot say that if they have an electric-lighting system and a tramways system it will not absorb the whole of this 2,130-horse power? —No. 127. Have you considered what the demand will be if power were made available in Dunedin at half the cost of steam? —I have already stated that Ido i.ot think the requirements in Dunedin will be very large. I think any large requirements will be outside the town, not inside. 128. Have you considered what the demand would be for power if you could produce it al half the cost of steam?- -No. 129. Now, as to the question of whether establishments requiring power will start in Dunedin, I am told that there are 100 acres of land —chiefly Harbour Board reclamations —within the city boundaries which are available for factories and establishments of that nature. Will you contradict that? —I do not know the area. 130. If these factories are not going to find domiciles, how are they to grow up in the city? — Do you think people would start places like Mcl.eod's soap-works in the city again? 131. But you make other things besides soap down there? —Yes. 132. Is it not your opinion, and the opinion of most people down there, that Dunedin is going to be the manufacturing centre of the colony? —I do not think it will be a more manufacturing city than any other place. Only the other day the question was raised and repudiated by Christchurch, which showed that that city had more manufactures than we had. 133. Can you state the comparison between Dunedin and Wellington? —No. 134. You have lost your position as a distributing centre and your only chance is to make it a manufacturing centre ? —That is so. 135. Can you suggest that land is so cheap outside the citj'-boundaries that manufacturers would go outside rather than pay an expensive price for land? —They are going outside of it. Several firms have gone out of it already. 136. Are they not in the town as well? —Yes; but as the industries increase they will go out of town. 137. Are there any other firms than those you have referred to? —I cannot recall any, but it shows the trend of business. 138. With regard to the Waipori system, you think the city should have acquired the Waipori rights? —I have not said so. 139. If you have not said so, will you say it now? —I do not see any harm in it, if the Corpo ration had acquired them. I should think it would have been an advantageous thing to acquire all the water-rights about for future use. 140. For what purpose do you think the City Corporation should acquire the Waipori rights -is it not because you want to acquire the power ? —lt is as well to acquire this power if it is not too costly. 141. You told Mr. MacGregor that reports had been sent in by various engineers—Messrs. Orchardson, Goodman, and Rodgers —on Lee Stream? —Yes. 142. Have you also seen the report of Mr. Noble Anderson? —No. 143. Do you know the report?--I have seen extracts from it. 144. What is its purport? Did he not condemn the Lee Stream? —I do not tliink so —1 cannot say. 145. Was it not the purpose of the City Council to work the Taieri first, and was that not abandoned? —I think they decided to go on with the Lee first. 146. You first recommended the Taieri? —I do not think I reported on it. 147. Did not the Corporation first decide to go on with the Taieri system? —I do not know. 148. Did you not see it in the newspapers? —I do not remember. 149. Most people read the newspapers? —Very few people remember all they read in the papers. 150. Did you ever in the course of your very busy life have time to read the Wellington Post, the Dunedin Evening Star, and the Otago Daily Times, where we have it stated that the Taieri scheme was condemned and the Lee Stream scheme was chosen as the source of supply? —I dare say I read that, but cannot remember. 151. You do not know whether the Taieri scheme was first adopted and Lee Stream scheme condemned? —I do not know —I had nothing to do with it. AU I had to do was to take up the rights of these two places and the business passed out of my hands. 152. Mr. MacGregor.] There is one question that you have been pressed about —the report in the prospectus of the company. You say that the report was not signed by you at all, but was prepared by your assistant while you were out of the colony? —Yes. 153. The assistant is now, I understand, in the employment of the Waipori Falls Company? —Yes. 154. Were you asked if you could not suggest a reason why you made the statement that you thought the Corporation would be wise to acquire the rights of the Waipori Falls as well as the others: could you not give as a reason that it might be wise to prevent private companies exploiting the public afterwards? —It might be so. 155. You were asked to give instances of people going outside the city. Is it not a fact that Messrs. Ross and Glendining's woollen-mills are outside of the city, and also the Mosgiel woollenmills?—Yes, and the ironworks at Burnside and the refrigerating-works and chemical-works on Kaikorai Stream. 156. Is it not a fact that most of the industries are going outside the city?— Yes.