Enclosure 2

THE CHAMBER OF COMMERCE AND REVENUE FROM SHIPPING.

The following letter, addressed by the Secretary of the Chamber of Commerce to the Acting Colonial Secretary, has been forwarded to us for publication.

Hongkong. 2nd May, 1891.

Sir,-With reference to His Excellency the Governor's written speech published in the local papers of yesterday, in which His Excellency is reported as follows:-"But as regards the alleged surplus revenue from lights, it seems to be forgotten that besides Lighthouses there are other costly services, such as the Harbour Master's establishment, Harbour launches, Harbour police, and the Observatory, involving an aggregate expenditure of some $80,000 per annum, which are maintained for the benefit of shipping, and which are principally maintained out of the ordinary taxation of the colony"-I am directed by my committee to call attention to the following figures, which are taken from the Government Gazette of the 11th April last. The disbursements specified by His Excellency appear there to be as follows:---

Harbour Master$50,766.67 Observatory$15,000.94 $65,767.61

The Observatory expenditure shows an increase of $7,216.06 on the previous year, over 50 per cent., and though classed by His Excellency as maintained for the benefit of shipping, may fairly be charged to the inhabitants of the colony, as regards some portion; while, so far, the benefits derived by shipping from the establishment may be very humbly estimated.

The difference between His Excellency's estimates of "some $80,000" and the above amount perhaps arises from the "harbour launches" expenditure, if it is not included in the "harbour establishment," not being specifically stated in the Gazette, and the "harbour police," which doubtless is merged in the general police expenditure of the colony. If you will kindly refer to the revenues derived by the Harbour Master's Department, taken from the same Gazette, the following will be found :-

Emigration brokers$1,400.00 Junk licences$22,397.75 Registry of boats$4,631.50 Registry of cargo boats$6,272.50 Cargo boat certificates$1,192.50 Shipping seamen$10,830.00 Examination of masters$2,135.00 Survey of steamers$9,060.87 Registry fees$273.00 $18,003.75 Licences, steam launches$422.50 Survey certificates, launches$995.00 Licences, Chinese passenger ships$335.00 $2,187.00 $75,234.37 Medical Fees, Emigrants Bills of Health

From this it appears to my committee that that expenditure mentioned by His Excellency is not "principally maintained out of the ordinary taxation of the colony."

In instituting these comparative figures, some further items of expenditure, such as the salary of the Government Health Officer, say $2,000 per annum, are applicable to these receipts, and may be added to His Excellency's total of $80,000. Still sufficient remains, to show that shipping, judging from these selected items, is self-supporting. For the Harbour Master's Department is used in other ways for the general purposes of the colony, outside of shipping; while if the light dues and their upkeep be added to the totals on their respective sides of the account, say "expenditure $5,272.38," receipts $31,898.46 (taking for the latter item the twelve months of 1889, which embraces the normal collection before the increase sanctioned last year), shipping not only fully disburses the cost of all special services incurred for its purposes, but contributes a very handsome fund to the general revenues of the colony.

I am to add that my committee think no time should be lost in correcting, what appears to them to be, misleading statements, if the figures here quoted represent all items of public receipts and expenditure connected with the shipping of the colony, otherwise a very false impression may be generally formed if the matter is allowed to go forth as it is, uncontradicted.-I have the honour to be, Sir, your most obedient servant,

(Signed) F. HENDERSON.

Secretary.

The Honourable W. M. Deane, M.A., C.M.G.,

Acting Colonial Secretary.

Page 667

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