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the 49 years between 1841 and 1890 the area within the Harbour over five fathoms in depth at low tide was reduced from 3,700 to 2,200 acres or 40% and the reduction is continuing at the same rate there will be no water within the Harbour over five fathoms in depth in the year 1964.

5.

With regard to the proposed remedial measures suggested on chart 'F' and in paragraphs 39 to 41 of the Report, I annex a minute dated the 12th August last by Captain L. Barnes Lawrence, Harbour Master. The proposal to make a permanent obstruction on Kellett's Bank has, as you may be aware, been frequently brought forward by the Military Authorities with a view to lessening the width of the Western Entrance to the Harbour for defence purposes. At one time a rough stone breakwater was suggested but this was considered by Lord Knutsford in his Despatch No.147 dated the 5th September, 1888, as out of the question. The deposit of dredged material from the Harbour on the bank would be a more practical method of obtaining an obstruction there.

6.

I regret that I see no chance in the near future of putting in hand any such scheme of dredging operations, as that tentatively suggested in paragraph 39 of the Report, estimated to cost a total of £900,000 (say $10,800,000) spread over a period of 10 years. In fact it will be all the Colony can do to provide funds within that time for the completion and extension of the Water Supply Schemes in hand, for the completion of the Public Buildings under construction, for necessary Resumptions of Insanitary Property in Victoria, for laying out Kowloon so as to prevent it from becoming as insanitary as Victoria, for providing additional Prison Accommodation

1st August, 1904.

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