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the Peninsular and Oriental Company's steamers tween the United Kingdom and the Australian
part of the contract, so that by this arrangement Colonies.
the expense, and naturally of course the remune- You enclose also the copy of a letter from the
ration of all letters to and from King George's chairman of the Australian Direct Steam Navi-
Sound and the Australian Colonies would be the gation Company, vis Panama, and the copy of a
province of the Colony, the Imperial Govern- letter from Mr. A. Gabrielli on the same general
ment would then on their part enter into a con- subject.
tract with the Peninsular and Oriental Company
for the transmission of the mails between King
George's Sound and England, and charge accord- In reply to your enquiry, what steps are in
ingly.
contemplation for placing this service on a less
unsatisfactory footing than that on which it has
From the feeling that exists in the colony as stood for so long a time, I am directed by the
well as an act of justice which all connected with Postmaster General to state for the information
Australia have a right to expect from the Home of Sir George Grey, that his Lordship has been
stands the best chance of success. I would there- in communication with the Peninsular and Ori-
fore suggest to your committee to give me their ental Steam Navigation Company relative to a
valuable assistance in submitting this scheme to proposed increase in the packet communication,
the Post Master General as well as to the Pen- by the route of Singapore, which route affords a
insular and Oriental Company and as soon as I am more speedy and regular means of communica-
in possession of a favorable reply, I will undertake tion with the Australian Colonies than any other
to carry out the colonial part of the business im- which has yet been tried; that on the 25th Oc-
mediately.
tober last, a proposal was sent to the Admiralty
by the Peninsular and Oriental Company to make
It would be useless to enlarge upon the expe- the Postal Communication with Australia by
diency of an early solution of this all important this route monthly instead of once in two months
question, and particularly as I am given to under- as heretofore; and that Lord Canning was about
stand that the general Screw Steam Shipping to recommend the Lords of the Treasury to
Company will not be able to continue their con- sanction an agreement to this effect, when, to
tract, so that I consider this to be the most pro- his great regret, a letter was re-
pitious time to press upon the Government, the ceived from the Admiralty informing him not
urgency of immediate steps being taken to reme- only that the proposal, just referred to, has been
dy the inconvenience the Colonies are now labour- for the present abandoned, but that, in conse-
ing under, to establish a regular communication quence of two of the Company's Steam Packets
on which reliance can be placed.
in the Indian Seas having sustained much damage,
and all their disposable vessels being employed
It is beyond doubt that the route via Suez is for the purposes of the War, the Company had
not only the quickest and safest, but also the least applied for leave to withdraw for a time the two
variable, if we take as an instance the regular way vessels employed between Ceylon, Singapore, and
in which the India and China Mails have for Australia, and to place them on the China line.
many years been carried.
The same letter informed the Postmaster-Gene-
ral that the Lords Commissioners of the Admi-
I have, &c.,
ralty had acceded to this application. Moreover,
(Signed), A. GABRIELLI.
owing to the exigencies of the war, sailing ves-
sels have for the present been substituted for
To the Committee
steam ships for the conveyance of the Australian
the Australian
mails via the Cape of Good Hope.
Postal Association.
Sir George Grey will thus perceive that, in-
Downing Street,
stead of there being immediate prospect of im-
5th December, 1854.
provement, the postal communication with Aus-
tralia has suddenly become much worse.
SIR,-I am directed by Secretary Sir George
Grey to transmit to you for the consideration of As a first step towards remedying this state of
the Post Master General, the enclosed copy of a things, Lord Canning has applied to the Admi-
letter from the Secretary to the Association for ralty, suggesting the re-establishment at least to
promoting Postal Steam Communication with its former extent of the Indo-Australia service,
Australia, containing a strong representation with although at the cost, in part or in whole, of the
regard to the insufficiency of the present arrange- less important service to China.
ments for carrying out that service. I also en- If this should not be practicable, Lord Canning
close a copy of a letter from the chairman of the will be prepared to recommend the Lords Com-
Australian Direct Steam Navigation Company missioners of the Treasury to invite tenders for
via Panama; and a copy of a letter from Mr. A. the establishment of a new steam service between
Gabrielli on the same subject.
Australia and Singapore, or some other point of
junction with the main line of the Oriental Com-
I am to request that in laying these papers pany.
before the Post Master General, you will state The proposal of the Australian Direct Steam
that this is a question which Sir George Grey Company appears to Lord Canning to be in effect
regards as one of great importance, and that he an application for the promise of a subsidy from
would be glad to be informed what steps may be this Department in favour of a route of which no
in contemplation for placing this service on a less satisfactory experience has been had, and to a
unsatisfactory footing than that on which it has Company which does not seem as yet to have es-
stood for so long a time.
tablished any strong claim to confidence. His
Lordship, therefore, cannot recommend that it
I have, &c.,
should be accepted.
(Signed), H. MERIVALE.
With respect to the scheme suggested by Mr.
Roland Hill, Esq.,
Gabrielli, Lord Canning is inclined to believe
that if such a proposal for the conveyance of the
General Post Office,
mails were made to her Majesty's Government by
20th December, 1854.
the Governments of the Australian Colonies, in
SIR,-I have laid before the Post Master Gen- concert or with their sanction, it would be well
eral your letter of the 5th inst., enclosing the copy deserving of attention; and that, subject to modi-
of a letter from the Secretary to the Association, fication as regards the division of postage, it
for promoting Postal Steam Communication with
Australia, containing a strong representation res-
pecting the present Postal Communication be-