The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1900-07-21
NEW SOUTH WALES GOVERNMENT
REFUSES.
Will Not Contribute to the Line of New
Boats Because British Vessels Are
Barred Out.

was taken yesterday by the Postmaster
General after consultation with the Pre-
mier. 1t was that the New Zealand
Government should be informed that it
was not intended at present to contrib
ute anything towards the proposed SUBJ
sidy to the Spreckels line of boats be-
tween Sydney and San Francisco.
The history of this matter is u pecu-
liar and complicated one. For years the
passenger traffic and mail service from
Sydney via Auckland to San Francisco
have been conducted by the Union
Steamship Company of New Zealand, in
conjunction with the Oceanic Steamship
Company of San Francisco, which is
another name for the Spreckels firm.
The Spreckels is a huge Californian
corporation, with large interests In
shipping, railway and sugar enterprises.
1t has, too, enormous sugar interests in
the Hawaiian Islands, of which Homo
| lulu is the center.
BY an arrangement with the Spreck-
els, the Union Steamship Company of
| New Zealand maintained the service for
many years, with only the subsidy
which they received from the govern
ments of New Zealand and New South
Wales. The government of the United
States refused to contribute anything.
| The subsidy, however, was not a large
one, and did not require this colony to
! pay more than $4,000 or $4,000 a year
! as it's share. OF the boats that were en-
gagged in the trade, Spreckels provided
! two, the Alameda and the Mariposa,
/ and the Union Steamship Company one,
| the Monowai, which was afterwards re-
| placed by the new boat, Moana.
! The trade was to some extent cut into
| by the Vancouver line, which was car
ried in the face of great difficulties until
| the boats were taken over by the New
Zealand Shipping Company. Now a
monthly service is kept in existence,
and mails pass all the way under the
British flag. Connecting at Vancouver
with the CanadianPacific Railway,
! they are run through Canada on the
train known as the Imperial Limited,
in about 100 hours, and then shipped
direct across to Liverpool. New South
Wales contributes to the Vancouver line
a subsidy of 10000 year, the Queens
! land Government a small amount, the
Fiji Government something, and the
| Canadian Government a larger amount
than the rest combined This service
is now on a substantial footing, and has
helped materially to foster and increase
the trade relations between this couu-
try and Canada.
A few years ago the United States
Government, which had previously set
its face dead against mail subsidies, de-
cided to enter upon a policy of encOur-
aging shipbuilding in America by heavy
payments, though hedged around with
conditions which absolutely prohibited
any but American firms from compeL-
/ ing. The SpreckelS obtained a subsidy
for their two boats. and determined to
replace the whole mail service with
three steamers of larger build and
greater speed, and secure the subsidy
which the United States Government
was offering. Accordingly three steam
ers were placed in hand. One of them
&c oil n
all to have been completed months ago
but owing to strikes in the yards OF
the Cramps at Philadelphia, where they
were being built, the work was much
delayed.
Not satisfied, however with the sub
sidy that they are to receive from the
i United States Government the Spreck-
els are asking New Zealand and New
South Wales to contribute an additional
subsidy of 100000 a year in support OF
the new line. The Union Steamship
Company, which hitherto, has shared
the service with the Spreckels, is not
to be allowed to participate in the new
scheme, so that it will, if present ar
rangements are concluded, drop out OF
the service, after having assisted ia
maintain it for many years.
The matter is being taken up quite
warmly in New Zealand. The feeling
judging by expressions of opinion in the
press there, appears to be growing
against any local subsidy to the com
pany. The head of the firm of Spreck-
els intends TO visit New Zealand and
Australia towards the end of the year
in order to bring pressure to bear or
the government of this colony and OF
New Zealand, with view to securing
an annual subvention. There seems, in
deed, to be a disposition to offer induce
ments with the object of attracting ar
| INN nj heats n
couVer line, so as to insure more FIRE
quent and more rapid passages than are
possible at present.