Opposing Amendment Defeated, and Railway Project Approved by Provincial Council.

When the resolution, previously mentioned, was before the Council, an amendment in the following terms was submitted, viz:—

That this Council, having taken evidence on the proposed railway from Lyttelton to Christchurch, is of opinion that it is not expedient to proceed with the undertaking at present for the following reasons:

Because no sufficient evidence has been produced to show that the mercantile interests of the province will derive any advantage from the undertaking commensurate with the outlay required for its construction.

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Because irrespective of the evidence of Messrs. Gould, Jones, Latter, and Aikman being decidedly hostile to the project, it appears from the testimony of the Provincial Engineer that if the Sumner Road were completed goods could be collected, conveyed, and delivered at £1 per ton between the two towns, this being only 3/6 per ton above his estimated charge for railway carriage.

Because by the evidence of Captain McLean, steamers could convey freight and pay at 10/- per ton 50 per cent. below the sum required to cover the cost of working the railway, with interest and sinking fund, supposing a traffic of 30,000 tons and 125,000 passengers.

Because no sufficient evidence has been laid before this House to show that such a quantity of goods and number of passengers can be safely relied upon.

Because the financial statement of the Provincial Treasurer is altogether so conjectural as not to justify this House in acting upon it, especially for the following reasons:

(a) That past experience has proved that no such proportion as 50 per cent. on advances to assisted immigrants can be recovered year by year.
(b) It is exceedingly doubtful, in face of the rebellion of the natives in the North Island, whether the Customs revenue will be available to the extent estimated.
(c) The assumption that £35,020 will be available as receipts in 1886 from the railway is not so borne out as to warrant the province in entering upon so large a speculation.
(d) Should the Provincial Treasurer's estimate of receipts from Immigration or Customs prove incorrect, or the railway not realise the amount aforesaid, embarrassment would be occasioned to the finances of the province, involving either the imposing of a system of taxation, or a radical change in the land policy of the province.

This amendement was negatived by the Council by fourteen votes to two (Messrs. Thompson and Ross). The resolution, previously quoted, requesting the Superintendent to obtain the necessary legislative authority through the General Assembly and agreeing to the loan proposals was then carried.

Possibly one reason for again dealing at length with the railway proposals was that the Lyttelton and Christchurch Railway Loan Ordinance of 1859 was for only £70,000; the balance of the requirements was to be obtained from revenue. But when the matter had to be re-opened, the Superintendent submitted an amended proposal to borrow the whole sum required for the undertaking, in order that page 38 a greater portion of the revenue might be available for other public requirements.