746 THE NEW ZEALAND GAZETTE. [No. 37

My Ministers have proceeded cautiously but effectively with the prosecution of other public works. They hope that at no distant date the railway between Wellington and Napier will be finished. Rapid progress is being made in the construction of the Otago Central Railway, which, when completed, will open up the interior plains of that provincial district.

No time was lost in making an agreement under the East and West Coast and Nelson Railway Act. My Ministers are in hopes that, in accordance with its provisions, Nelson and the West Coast will before long be connected with the East Coast of the Middle Island, and that a vast area of land, which, from its nature, requires a railway to develop it, will become available for useful purposes. The gain to the colony from opening these lines of communication with the West Coast my Ministers consider will be of immense importance, whilst the utilization of the land, of which the colony will retain alternate blocks, must prove of great service.

You will be asked to consider whether the effective working of the railways opened for traffic could not be improved by the constitution of Boards of Commissioners, to whom would be entrusted the general management of the railways. In order to enable you to deal with this subject my Ministers will submit a Bill for your consideration.

In accordance with the authorities given by Parliament in 1882, and by you last session, the loans of £1,000,000 and £1,500,000 have been raised, and exceedingly satisfactory prices obtained. Papers on the subject will be laid before you.

The Industrial Exhibition in Wellington will shortly be opened, and my Advisers believe that through it an impetus will be given to manufacturing enterprise throughout the colony. You will be asked to authorize the representation of the colony at the Colonial and Indian Exhibition, to be held in London next year. A great opportunity will thus be afforded of making known throughout the world the vast resources and natural advantages of this colony.

Considerable attention has been given to the promotion of agricultural settlement. The special settlements formed under the regulations lately gazetted promise to prove a great success. Applications far exceeding the area at present available by law have been received by the Lands Department.

The constitution of the Legislative Council has often been discussed. A Bill dealing with the subject by limiting the appointments to a term of years will be submitted for your consideration.

GENTLEMEN OF THE HOUSE OF REPRESENTATIVES,—

The estimates of revenue and expenditure for the current year will be laid before you without delay. They have been framed with the desire to promote the utmost economy consistent with the efficiency of the departments.

My Ministers believe that the time has come when there should be some readjustment of taxation, and proposals with this object will shortly be submitted to you.

HONOURABLE GENTLEMEN OF THE LEGISLATIVE COUNCIL, AND GENTLEMEN OF THE HOUSE OF REPRESENTATIVES,—

For some time during the recess considerable apprehension existed of an outbreak of war with Russia. My Ministers, therefore, felt it necessary to make immediate and strenuous efforts to place the colony in a state of defence. With this object considerable expense has been incurred, to which you will no doubt readily assent. The main ports are being put in a state to resist attack, and it will be proposed to you to sanction further expenditure to render the defence of the colony still more complete. You will be invited to express your views on the question both of naval and land defences.

There has been throughout the colony a desire to improve the system of local government. My Ministers consider that any reform attempted should interfere as little as possible with existing institutions so long as the objects sought can be attained. They have prepared for your consideration various Bills making provision for granting local bodies larger powers, with a more assured local finance, thus enabling them to perform their important functions without continually referring to the central Government or to Parliament for aid and assistance.