HONG KONG LEGISLATIVE COUNCIL.
Head 32-Kowloon-Canton Railway.
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At first sight there appears to be a considerable increase on this head. Actually it is not so. The extra cost in staff, coal, repairs, etc., resulting from our locomotives running through to Canton is over $97,000. This is all to be recovered from the Chinese Section, so that the apparent increase of $70,000 on this head is converted into a decrease of $27,000. The present arrangement whereby our locomotives run through to Canton is working very satisfactorily. It is very gratifying to see the two sections of this railway co-operating so harmoniously to the mutual benefit of both. It is to be hoped that this spirit of mutual help will extend to other activities.
As a result of the resumption of through-traffic, receipts have gone up.
Apart from the increases just referred to there are no alterations of importance under either Personal Emoluments or Other Charges.
It is necessary to replace certain of the workshop machines, such as the electric welding plant, and pneumatic hammers and drills which are worn out. A sum of $9,000 has accordingly been inserted under Special Expenditure. It is proposed to keep the Fanling-Shataukok branch running until the end of 1928 by which time it is hoped the future prospects of the district may be more clear. For this purpose a sum of $9,000 is inserted for special repairs. The future of the line will depend on the state of affairs in the adjacent portion of Kuang-tung in 1928, and if it is to be continued permanently a heavy outlay will be necessary in 1929. The position will be reviewed next
year.
*
Head 33-Defence: Hong Kong Volunteer Defence Corps.
The Ammunition vote sub-head 3 has been increased by $2,500 partly owing to the greater number of machine guns which will mean a greater expenditure of ammunition, and partly owing to the for- mation of the Portuguese Company, which is also responsible for the increase in the Uniform vote. As Volunteers are considered as mobilised when in camp they will receive pay; this is included under sub-head 5, Camp Expenses," which is increased by $5,500. The infantry are to be armed to a great extent than heretofore with Machine Guns. It is proposed to purchase four next year and four the year after. Similarly the Armoured Car Section is to be augmented by two motor cycles fitted to take Machine Guns. With the growth of the Corps certain constructional alterations at Headquarters are necessary and provision is made accordingly. At present there is one armoured car. It is desirable to add one more, so that one can be available on either side of the harbour; I trust no occasion for using them will ever arise, but it is necessary to be prepared for any eventuality. As Honourable Members are aware it is proposed to purchase a Regimental and a King's Colour for the Corps. They have already been ordered, but it is not expected that they will be ready until
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