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likely to have special wishes, and it is also his duty to

report and refer to the Consulting Engineer)and vice versa entry stave.

refr/including all indents and accounts are transmitted, open, Cavedonda through the Celonial Secretary in the Colony and the Crown Led Equay Agents in England. Progress reports should be drawn up by

the Resident Engineer at regular intervals and after re- -view by the Consulting Engineer should be submitted for the information of the Government. By these means, and by

the opportunities which the Governer er his representative has of visiting the works at all times, the Colonial Goverment is kept fully informed of all that sccurs on the works without the necessity of calling for special reparts. For reasons already given the direct intervention

of the Government should be limited to cases of urgent necessity, •.g., if it sees reason to question the capa- -city er industry of the Resident Engineer, or his loyalty.

If it perceives that the expenditure is exceeding the sanctioned estimates, or believes that the progress er

quality of the work is unsatisfactory its intervention will

be beneficial. The more however that the intervention is

exercised through the Consulting Ingineer, the stronger will be the position of the Government.

Correspond- -ende should be official as far as possible.

16. It is essential that everything net of a confidential character or obviously unsuited to appear in official correspondence which has to be dealt with in correspondence between Consulting Engineer and Resident Engineer shall be included in the letters transmitted through the Celenial

Secretary. If this is not the case, and such matters are

dealt with privately or wofficially, the tendency is to

weaken the confidence of the Government and to cause it te

interfere in matters which it would have preferred to leave alone had it, from cerrespondence passing through

its hands, seen that they were receiving consideration from

those responsible.

17.

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