objects at the earliest possible period,
and in the most economical manner, con-
sistent with efficiency.

As you are so well aware of the views
of the Government in this matter, it is
unnecessary to do more than request
that you will put yourself in communica-
tion with Mr. Sewell on your arrival at
Sydney and receive from him the papers
connected with this subject, should he
leave Australia before the required con-
tracts have been entered into. The Go-
vernment of Victoria have been informed,
that in the absence of Mr. Sewell you are
authorised to act on behalf of this Government. In the event of your acting under
this authority, you are requested to give
the Government the earliest intimation
of the steps taken by you in respect of
it, with a view to enabling them to deter-
mine as soon as possible the subsisting
contract with the "Zingari."

I have, &c.,

(Signed) E. W. STAFFORD.
J. Logan Campbell, Esq.,
&c., &c.

Sydney, Dec. 2, 1856.

Sir,—I have the honor to acknowledge
the receipt of your letter of the 20th
November, on the subject of the steam
postal service to New Zealand.

Since I last wrote, I have been in
communication with the Sydney Go-
vernment.

That Government does not feel itself
at liberty to enter into a special arrange-
ment for the New Zealand service. It
has written to the Government of Victo-
ria, agreeing to the proposal for issuing
advertisements for tenders for perfor-
mance of the service both from Melbournne
and Sydney. The object is to test the
cheapest route.

A communication to the above effect
will go to Melbourne by the next mail.
After discussion with Dr. Campbell,
we agree in opinion that it will be for
the interest of New Zealand to wait the
result of the tenders, and then to nego-
tiate for the additional service required.

Should it devolve on me to undertake
the negotiation, I will not fail to observe
the instructions contained in your letter.

Should both Dr. Campbell and myself
be under the necessity of leaving before
this arrangement is made, we will take an-
ourselves to depute some fit person to
act on behalf of the New Zealand Go-
vernment, according to your instructions.
Meantime, I suggest the expediency, if
practicable, of making a temporary ar-
rangement with the William Denny for
continuance of the present service. As
regards the Zingari, that has been al-
ready done.

I propose to leave this for Melbourne
on Saturday next.

Nothing further has been heard from
England on the subject of the mail con-
tract, except that an Agent has arrived
here, who has made the necessary coaling
arrangements for the steamers, the first
of which is expected to arrive towards
the latter end of December.

I have, &c.,

(Signed) HENRY SEWELL.
The Hon. Colonial Secretary,
New Zealand.

Colonial Secretary’s Office,
Auckland, Dec. 18th, 1856.

Sir,—His Excellency’s Government
have had before them your letter of the
2nd instant, informing them of your re-
newed communication with the Govern-
ment of New South Wales on the subject
of the steam mail service to this Colony,
and stating that Dr. Campbell and your-
self were agreed in waiting the result of
the tenders proposed to be invited for the
performance of that service from Mel-
bourne as well as Sydney, before conclud-
ing any negotiation.

2. The Government concurs with you
   in the propriety of this decision, especial-
   ly in the absence of that information which
   will be afforded by receipt of copies of the
   Imperial Contract, and which may either
   facilitate the arrangements you have been
   authorised to make, or may, on the other
   hand, by specially naming some agent for
   constituting the branch service, prevent
   this Government from deciding wholly
   upon the conditions of the service.

3. Should, however, the Contract, when
   received, permit the Government of New
   Zealand to decide in this matter, it is de-
   sirable from the difficulty which has been
   experienced in getting the Governments
   of the Australian Colonies to take activi-
   ty, that all the necessary arrangements for
   establishing the service should at once be
   made by yourself and Dr. Campbell on
   the general basis detailed in my letter of
   the 20th ultimo, especially bearing in
   mind that the service must be productive
   of as equal an amount of benefit to all
   the Provinces as can be derived from the
   services of two steamers only, that being
   the maximum number which we believe
   can be subsidised for the sum voted by the
   General Assembly for a Steam Service.