Enclosure No. 10 to Governor's Despatch
No. 407 of the 14th October 1901.
Hon. Colonial Secretary,
135 C.O. 40962
RECD Best 21 NOV OF
I have further considered this question and have come to the conclusion that, in view of the difficulties which would probably arise in supervising and checking the measures and collectors of the royalties, who would have to be Chinese, the best course will be to let each individual quarry separately on a lease for 3 or 5 years at a fixed rental and without any of the conditions attached to the Quarry Farm.
The Government would then be in a position to grant leases for new quarries wherever it pleased.
The leases granted for the quarries would be similar to other Crown Leases but would specify that they were for the quarrying of granite.
It is probable that there would be some diminution of revenue in the first instance through the adoption of the course I recommend but this would soon adjust itself.
I would recommend that, in the first instance, tenders be called for, each quarry being separately entered in a schedule drawn up for the purpose of inviting tenders, the competitors entering on such schedules the rents they are prepared to give for each quarry.
No additional staff will be required to carry out this recommendation. The rents would be paid into the Treasury in the usual way.
Security should be required in the case of each quarry let.
(Sd) W. Chatham,
7.10.01.