Sessional_Paper_1901 — Page 46

your memory. In that terrible night 10 launches and over 110 junks were sunk in the harbour, and it is calculated that between Hongkong and Tai Ô over two hundred lives were lost. I wish to express here my admiration of the ready and abundant charity with which the inhabitants of every nationality relieved the distress of the sufferers.

I regret deeply that, notwithstanding the precautions taken in the early part of this year, plague re-appeared in the spring in epidemic form and raged with great violence during the summer months. The Medical Officer of Health and the Sanitary staff spared no exertions to check its ravages, but so far I fear that we cannot claim to have discovered either the prevention, or the cure. It is, however, our plain duty to leave nothing untried that science can suggest to save the Colony from the recurring visitations of this disease, and I have no doubt that you will cheerfully grant the necessary funds to carry out any recom- mendations that may be made after examination by responsible experts. I have approached the Secretary of State for the Colonies on this subject, and have received an intimation that Mr. Osbert Chadwick, an eminent Sanitary Engineer, will come out at the end of the year to examine and report upon the sanitary condition of the Colony. I have no doubt, that this will be agreeable to the people of Hongkong, who are naturally in a state of great anxiety on the subject of sanitation. It has also been intimated to me that a medical inan with expe- rience of the plague epidemic elsewhere will be sent to consult with the Medical Officers of the Colony. I hope most earnestly that the result of these visits may throw some light upon the causes of this annual visitation of plague and enable us to combat its attacks with a greater measure of success. The telegrains that have passed on this subject will be laid on the table to-day. Outside the plague mortality, the death-rate of the Colony compares fa- vourably with that of any Colony in the East, or any port in China. During the continuance of the epidemic the business of the port was seriously interfered with by the withdrawal from the Colony of many thousands of Chinese who feared that in the event of their con- tracting the disease they could not, if they so desired, return to their homes. Representations were made on the subject by the Chamber of Commerce and by the inhabitants generally— representations to which I gave my strongest support--but His Majesty's Government did not feel justified in assenting to any regulation under which plague patients could return to their homes. I hope, however, to be able to come to an arrangement with the Viceroy of the two Kwangs that will admit of the transfer under proper precautions of Chinese suffer- ing from the disease who may desire to proceed to Canton for treatment, and thus relieve the anxiety that impelled so many of the Chinese to abandon for a time their occupatious in this Colony.

Next to plague our most dangerous disease is malarial fever, which observation proves to be the result of inoculation by Anopheles Mosquito. I have determined to enter upon the heavy task of training the nullahs flowing into the City of Victoria, and there have been for several months about 200 coolies employed in cutting the bush and filling the pools that harbour mosquitoes in the Western Nullabs.

The expenses of the New Territory are still very heavy, and so far the revenue has not nearly come up to the estimate. The reason of this is that the land revenue cannot be satisfactorily collected until the cadastral survey has been made and the lands demarcated. The difficulty will then disappear. The expenditure has been for the construction of the Taipo Road now approaching completion to Taipo Hu, for police stations, for police launches to patrol the two hundred miles of coast. for the survey, and for the Land Court in whose hands the settlement of land claims is placed. These expenses could not have been avoided, and when the country begins to develop the expenses will be amply repaid.

The present financial position of the Colony is satisfactory. On the 31st December, 1900, the Assets of the Colony showed a balance over Liabilities of $1,100,785.69, which does not include the value of silver at the Mint amounting to $40,415.82. This balance it is antici- pated will be still further increased by $358,295.94, the estimated balance of Revenue over Expenditure in 1901, which will thus increase the Assets to $1,499,497.45.

The Loan Account of £341,799.15.1 to be paid off in 1943, had £16,485.13.2 to the credit of the Sinking Fund.

The Revenue for 1900 was $4,202,587.40, and the Expenditure was $3,628,447.13. Taking the Revenue of five years ago at $2,609,878.94 and the Expenditure exclusive of the Interest and Sinking Fund of the Loan at $2,244,291.05, these figures show that in five years the Revenue has increased by 61 per cent. and the Expenditure by 563 per cent.

Turning to the Estimates now placed before you, it will be seen that the estimated Revenue amounts to $4,605,965, and the estimated Expenditure including Public Works Extraordinary to $4,560,505.26. The memorandum accompanying the Estimates for 1902 explains in detail the reasons for the anticipated increases and decreases in the various items of Revenue, 1/11 has been taken as the rate of exchange for Sterling payments.