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SAN FRANCISCO-HONOLULU-PAGO PAGO-SYDNEY SERVICE. (OCEANIC COMPANY.) No. 49. The Secretary, Auckland Harbour Board, Auckland, to the Hon. the Prime Minister. Sir, — Auckland Harbour Board, Auckland, Bth August, 1912. I have the honour to inform you that this Board had under consideration at its last meeting the question of inducing the Spreckels line of steamers to call at Auckland en route to San Francisco and Sydney. The committee set up to deal with the question has decided to impress upon you the desirability of arranging for these steamers making Auckland a port of call, and to urge you to use every reasonable endeavour in that direction. The present Frisco service by way of Tahiti is slow and unsatisfactory, whilst that of Messrs. Spreckels will be run by fast up-to-date steamers. The gain to the Dominion by a mail-service alternating with that via Vancouver would be enormous. The Board trusts, therefore, that the Government will see its way to approach the company and secure a renewal of the service, with Auckland as the port of call. I have, &c, The Hon. the Prime Minister, Wellington. H. B. Burnett. Secretary. [U.S. Inc. 12/63.1

No. 50. The Hon. the Postmaster-General to the Secretary, Auckland Harbour Board, Auckland. Sir, — Postmaster-General's Office, Wellington, sth September, 1912. In reference to your letter to the Hon. the Prime Minister of the Bth ultimo, urging that arrangements be made for the San Francisco - Sydney contract mail-steamers to call at Auckland, I have the honour to inform you that the Government, after giving the matter careful consideration, is unable to see its way to subsidize the steamers as desired. The service is not required for mail purposes, and it is a matter of grave doubt whether, in view of the existing subsidized mail-servicea on the Pacific, it would be of much value for trade purposes. I have, &c, B. Heaton Rhodes, Postmaster-General. The Secretary, Auckland Harbour Board, Auckland. [U.S. Inc. 12/66.]

[The above refers to a contract reported to have been concluded between the United States Post Office and the Oceanic Steamship Company for mail carriage between San Francisco and Sydney by way of Honolulu and Pago Pago (Samoa) for a period of ten years. Service began 2nd July, 1912. Subsidy, $2 the statute mile, representing about $16,000 a trip (say, £3,333 6s. 8d.); actual distance, 7,843 miles; time between San Francisco and Sydney, twenty days; sailings, every four weeks from San Francisco; average speed, fifteen knots; vessels employed, " Sonoma " and " Ventura."]

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