PUBLIC RECORD OFFICE
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C.O. 885
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PUBLIC RECORD OFFICE, LONDON
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Regarding the Pacific scheme as a competitor to the present line, the late Mr. Raikes (then Postmaster General) at the Imperial Conference in 1887, said: 'It would be a matter of extreme difficulty, I think without pre- cedent, for the English Government itself to become interested in such a scheme in such a way as to constitute itself a competitor with an existing commercial It does seem to us enterprise carried on by citizens of the British Empire.' that we are supplying the communication and all facilities which are desired. We would be perfectly willing to increase those facilities if necessary. upon there We think also that if further communication be decided is a very great deal to recommend the scheme which was suggested for communication with Australia by way of the Cape, the landing stations being wholly on British territory and affording direct com. munication of the best kind with the Cape as compared with the adoption of either of those other schemes now suggested, one of which American cable would mean having recourse to the assistance of an company, and the other, which fails in the suggested essential of providing for all the stations being established on British territory. I mention these matters, though, of course, I suppose they are familiar more to, say, the Chairman of the Committee, than to any gentleman present. I admit I have not had the opportunity I would like of making myself fully acquainted with all the contents of the evidence and report, but I do think that the matters to which I have drawn attention should be carefully considered before anything is decided on. I say we can supply all facilities. The Cape route appears to be pre- ferable, and whatever is done I do trust it will not involve South Australia in an addition to the loss which she has already incurred by the construction of a work which was to the benefit of all, and which has been productive of the best results to Australia generally.
The Secretary of State.] I was going to say that I hope that the Conference thoroughly understand that this is not a matter in which Great Britain is taking any initiative; we are merely being moved by the Colonies, and in our anxiety to meet the wishes of the Colonies, we are prepared to go further and than we should think of going if we considered our own interests alone; there are very many difficulties, as you are aware, which we should have to overcome, even if there was an unanimous request on the part of the Colonies that we should join in this speculation. In the first place, it is extremely difficult for us to enter into a competitive line with the Eastern Telegraph Company's line. The Eastern Telegraph Company has had no subsidy for the great part of its work, and would undoubtedly have
started a competition by means cause of complaint, if we
In the second place, it has never subsidy which we refused to them. been the custom of this country to grant any subsidy to any lines Subsidies have only been granted when a merely for commercial reasons. line has been of strategic importance and has been recommended by the military and naval experts, and in this case the opinions of the military and naval experts, though I am able to say they have not been hostile to the scheme, are undoubtedly greatly in favour by preference-
The Earl of Selborne.] Not the military experts.
of
The Secretary of State.] The naval experts, I should say; although I will not say their opinion is hostile to this proposal, it undoubtedly prefers very much the alternative proposal of carrying the cable round Africa and by the Cape by comparatively short distances, and joining British stations. And that is an opinion which would have to be ex course ultimately determine the haustively considered and might of decision of the British Government. But what I want, in order to place the matter in a practical position, is not necessarily to-day, but at any future time, a definite application on behalf of the Colonies concerned, that we will do something in order to further this object, accompanied, of course, by a state- We have no proposal of that kind up ment of what they are prepared to do. to the present time; and what we were asked to do was to make the inquiries, to find whether the thing was feasible, and what the cost would be. That has been done. We know practically what the cost would be, what we could get
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the tender for the line, and we have the best estimate that can be made as to the probable commercial results of the undertaking, and these papers have been submitted to the Colonies, and we now wait for further com- munication.
The Earl of Selborne.] If the United States annex the Sandwich Islands, as appears probable, we may take it for certain that they will run a line there.
Sir Wilfrid Laurier.] To Australia ?
The Earl of Selborne.] No, to the Sandwich Islands.
Mr. Reid.] There being a line from Queensland to New Caledonia, the link is quite an easy one from New Caledonia to the Sandwich Islands, and if it was made, you would have a complete foreign line competing with the Eastern Telegraph Company and South Australia.
Sir Wilfrid Laurier.] That is an important consideration.
Mr. Kingston.] That points to the necessity for further consideration. The report is only dated 5th January 1897.
Sir Wilfrid Laurier.] It shows the desirability of not being hasty.
Mr. Reid.] There is a French company which is interested in that route, and which has extended the route from New Caledonia to New South Wales. New South Wales agrees to pay 2,0001. for 30 years. We did not discover that in Parliament for two years. The Premier himself had forgotten all about it and denied the arrangement. We are struggling against the line in French hands being extended. We are bound for 30 years to pay 2,000l. a year, but we will not pay another penny to extend it. It is a mystery to me how we undertook that obligation. A very clever man came out, a good engineer, a clever English engineer, and he engineered the thing.
The Secretary of State.] Is not this question entirely at the present stage for the Australian Colonics to consider; Canada has decided, as I understand. Sir Wilfrid Laurier.] Canada is ready to go on with the other Colonies. Mr. Reid.] Yes. I think the matter is in such a state that it cannot be concluded here; in fact, the ultimate decision is doubtful even if we are agreeable, so that we cannot hope to arrive at any definite conclusion.
Mr. Seddon.] We can make representations; that is as far as we can go at present.
Mr. Reid.] Yes, that is what we have done. It is announced now that there are four Colonies in favour of it; that is as far as we can go.
Mr. Seddon.] That information that Lord Selborne has put before us would, in my opinion, show the necessity for immediate action, because if we decide for strategic reasons to construct this line, we would stop them extending. We would prevent them making a connection from Honolulu to Fanning; they would not go on nor would they go on with their com- munication from New Caledonia. Once we started we would block the other. We would have our line completed.
Sir George Turner.] Why would that block the other?
Mr. Reid.] It would kill it.
Mr. Seddon.] They are very eager to get a start in order to kill this scheme. The one that makes the start, makes the line first, will kill the other one.
Sir Hugh Muir Nelson.] You might put it to the Conference which of the Colonies are in favour of constructing the cable.
The Secretary of State.] Certainly that would break the way to a practical
issue.
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