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which would admit of vessels drawing (6) six feet water going alongside at low water.

3rd. At Waikouaiti a large trade is being done. This roadstead has the advantage of (2) two landing-places—the River on the south, and under Matanika Head on the north shore of the Bay. It is practicable to land on the north shore at all times that the state of the weather admits of landing on the south—having this advantage, that communication can be had at all times of the tide; whereas on the south, by the River, no communication can be had with the shore on the last quarter ebb and first quarter flood. As the north shore is near to the township of Hawksbury and the great North Road, it would be desirable to make it the landing place; and, so as to complete the little Boat Harbour which nature has partially formed, I would recommend that on the reef which at present forms a little shelter for boats, there should be erected a small Breakwater, thereby affording every facility to the loading and unloading of vessels, and thus avoid the destruction of goods that landing in a surf too frequently causes.

4th. Otago Harbour.—On the outer bar I find that no change has taken place in the depth of water from that shown by Captain Stokes’ survey, there being still (17) seventeen feet at low water spring tides. On the inner bar, which is of a shifting nature, there is (17) seventeen feet at low water spring tides. Within the last six months a sandy knoll, having only a depth of (11) eleven feet at low water, was formed in the channel across this bar, not blocking it up, but a corresponding width to that of the knoll has been washed away from the banks on either side. The knoll being in mid-channel, vessels drawing over (17) seventeen feet were with difficulty steered clear of it. I am glad, however, to inform your Honor that since the steamer “Samson” has been running the harrows over it, which she has done for (7) seven tides during the ebb, there is now a depth of (13) thirteen feet, and more of a uniform depth throughout the whole extent of the channel across this bar. There being (7) seven fathoms water not more than a cable’s length from the knoll, I feel convinced that the harrows must stir the sand up so that a strong ebb tide will carry it into the deep water before it can have time to settle, and the change already wrought proves it. From the inner bar to Dunedin Bay there is still the same depth of water in the main channel as is shown by Captain Stokes’ survey; and, from close observation of this harbour for the last seven years, I do not find any other change than the channel across the inner bar occasionally shifting. It is true that vessels have taken the ground in this channel from time to time; it is also true that there was the same obstruction in former years to the navigation as exists now. Three years ago it was considered not practicable to take vessels drawing (18) eighteen feet water above the lower anchorage, whereas now there are vessels from 1000 to 2,200 tons, and drawing (21) twenty-one feet water, taken up to the Port. If the knoll aforementioned were once removed, I feel assured that by running the harrows over the ground from time to time, it would prevent the formation of it in future. The Pilot Schooner is of great service in putting the pilots on board of vessels well in the offing, and much credit is due Captain Loudon, Chief Pilot, and his brother officers, for their careful watching and successful efforts in boarding vessels before they near the danger. The expenditure of the schooner has been heavier than I anticipated, caused by the loss of anchors and chains, and damage sustained through stress of weather. The Light on the Heads is much improved, the kerosene lamps being now visible (15) fifteen miles off. I have been disappointed by the contracting party in the erection of Beacons, the want of which is much felt by steamboat masters during the night, but I expect to have the works proceeded with immediately.

I would now respectfully recommend that a Steam Tug, of not less than (70) seventy horse power, should be procured for the Pilot service, which would be available for running the harrows in the channel when required, would be always at the Heads ready for any emergency, and would further facilitate the boarding of vessels in the offing. It would in a great measure be self-supporting; the rate of towage should be fixed at a price that would induce the masters of large vessels at all times to take the services of the boat, thereby avoiding the risk of grounding on the inner bar; and, on the whole, it would establish the character of the Port as being very safe for vessels of any tonnage under 2000. The cost of such a steamer would be about £4000, and the annual expenditure about £4000, being £2,800 in excess of the annual expenditure on account of the schooner, which the towage of 150 vessels, at £20 each,

• Since this was written a new channel has been opened, which gives a depth of ___ feet at low water.
• Two light-houses are expected immediately from Britain.