In Western Samoa significant constitutional changes provided for
in the Samoa Amendment Act 1959 came into effect on 1 October,
when the Honourable Fiame Mata'afa assumed office as the Trust
Territory's first Prime Minister. My Government, after consultations
with the United Nations and the Samoan leaders, expects Western
Samoa to achieve independence at the end of 1961.

The new refrigerated vessel, the Moana Roa, has been launched
and should assist greatly in the economic development of the Cook
Islands. You will be asked to consider a Bill to make certain amend-
ments to the Cook Islands Act.

My Government has pressed forward its plan to maintain full
employment and the standards of living of an increasing population.
It has been particularly concerned to promote a balanced geographical
pattern of industrial promotion. Proposals for the long-term develop-
ment of the Chatham Islands are under consideration.

You will be asked to consider two Bills which will be of substantial
benefit to the economy. One will authorise the construction of the
Nelson-Blenheim railway. The other will validate and make provision
for carrying out an agreement with Consolidated Zinc Proprietary
Ltd. of Australia for the use of the water resources of Lakes Manapouri
and Te Anau and of the Waiau and Mararoa Rivers to generate power
for the development of industry.

The programme for the supply of electricity is under constant review.
Works in hand are being pursued vigorously, planning has been put on
to a definite basis, and every effort is being made to discover new sources
of power. You will be asked to consider legislation to amend the State
Supply of Electrical Energy Act.

My Government has set up a Committee of the National Parks
Authority to work with the Ministry of Works and the Electricity
Department in the overall planning of essential works. You will be
asked to consider legislation to place a substantial area of scenic reserves
under the control of the National Parks Authority.

The tenders for the Cook Strait rail-sea ferry are being examined
and it is expected that construction will start before the end of the
present year.

The report of the Committee of Inquiry set up last year to study
the future development of the West Coast will receive the earnest
attention of my Ministers. Measures have been taken to expand the
market for coal. My Government has welcomed the active search for
oil in New Zealand.

In the great majority of New Zealand's industries relations between
employers and employees have continued to be good. The high incidence
of industrial accidents, on the other hand, is still giving cause for
concern and my Ministers are intensifying measures to promote safety
at work. Prompt action last winter held unemployment in check and
avoided the substantial problems met in other countries. You will
be asked to consider legislation to amend the Apprentices Act, the
Industrial Conciliation and Arbitration Act, the Workers' Compen-
sation Act, the Police Offences Act, and also legislation concerning the
removal of political disabilities.

The re-equipment and reorganisation of the Armed Services is pro-
ceeding. One new Whitby class frigate for the Royal New Zealand
Navy will arrive in New Zealand early next year and a second vessel
later in 1961. No. 14 Squadron of the Royal New Zealand Air Force
will this year become operational as a light bomber squadron, equipped
with Canberra aircraft.

The enlistment of the voluntary Territorial Force has proceeded at
an encouraging rate and the development of the Regular Force, with
particular emphasis on operational units, has been continued. The 2nd
Battalion of the New Zealand Regiment moved to Malaya last year to
relieve the 1st Battalion after its two-year tour of duty. Consideration
is being given to the reorganisation of the Field Force of the New
Zealand Army to increase its mobility and operational effectiveness.