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I do not think there will be much extra expense. The contractor has to maintain the roadway for the first six months, and what is more than an equivalent to the Province for what extra expense there may be after that time, is that the outlay on the railway will become productive at least six months sooner than it otherwise would, independently of the consideration that it will by that period also sooner advance the commercial interests of the Province.

I would also observe that where an embankment goes over swampy ground, it is a question whether the lightness of the embankment is not a consideration of more consequence than the relative durability of different materials. In every case in which peat has been used the seat of the embankment is swampy, the surface of which has by draining been formed into a crust of from two to three feet thick. Peat placed upon this tends to prevent the superincumbent weight of the bank from breaking through it.

In cutting No. 2 the material has been placed on the bank, the greater portion being reserved for ballast; the rest is lignite run to spoil.

Embankment No. 3, is principally formed from cutting No. 3, but north of the Waimatua Creek it was formed from side cutting. The material from the side cutting is peat sand and loam, and one-third peat.

The Waimatua bridge was constructed too high by mistake of the contractor, and he had to alter it.

There was very little flax or grass on the line, and it was not necessary to cut it; and although it is mentioned in the specification, not being scheduled it would have to be paid for as an extra.

On the Mokomoko branch, where the surface was moss, it was all removed. There have been no other deviations from the contract that I am aware of.

I have seen the pitching of the road; it is incomplete and in progress. I do not object to the size of the stones; I consider them suitable for the purpose; there are a few stones laid on the flat, but where so laid they are not objectionable.

The stones are laid longitudinally, and correctly so in this instance.

None of the metalling is completed or finally passed yet.

The harbour sheeting of the embankments near the New River has given way where the work was incomplete; but when completed it will be strong enough.

I think the railway would have taken at least six months longer to complete if several of the embankments had not been made from side cuttings, for the following reasons:—

In cutting No. 4 a great quantity of the material has been placed on the bank; more than half of this is ballast, and the rest has been run to spoil, in order to facilitate the completion of the work for the reasons before stated.

The drain for the road here answers the purpose of a side drain for the line, and this has been deepened.

A very large proportion of No. 5 embankment is formed of peat, and the topping is sand and gravel.

The main posts in the space which according to specification would have been occupied by only four. There is no saving either in timber or labor. The sizes of the posts and rails are according to contract, and also the description of the timber.

Fascines have been used in every place where required; to have placed more would have increased the expense of the works, as the contractor is paid for the quantity used. The fascines are to be placed only where it is ordered.

I authorised the alteration made in the fencing, because I consider the substituted fence the better one, in the place of prick posts. The main posts are placed two feet nearer each other, giving five main posts in the space which according to specification would have been occupied by only four.