AP1E~DIX M

DE8PA~CH FROlH THE LIEUTENANT-GOVERNOR SUBMITTING VIEWSRESPECTING ALIENATION OF CROWNJ-ANDS

No 55J Brisbane 24~h July1899

My Lon~-With reference to Your Excellencys despatch No 26 of 28th March and other correspondence on the subject of the alienation of Crown Lands in British N ew Guinea which h18 been 16Served for lliscnssion with the Premiers of the Contributing Colonies I have the honour to submit the following c~nClusions which after consulting my advisersrepresent the views of the Administration of the PossessIon -

2 Applicatiuns for Lands--eThere lire at present llevelat applications fromland or commercial ~yndicates for areas varying from a few thousand to 200000 acres in different blocls In somec)ses certain blocks areaslred for in specified distlictsi The applications il the aggregate amount to farmolmiddot~ trm1theGovern~nent at the present time has purchased from the natives or is ina position to alienate but If the land IS at aU available it can probably be purchased from the llatlve ownerR If any or 1~ found to be unoccupied can be treated as waste or vacant lands and as such made Crown property nnder the existing law For the purposes of this discussioll we may assume that there is sufficient land in the immediate or prospective possession of the Crown to justify us in iuviting and entertaining applications for it

3 ~~J~~ish I were in a position to statedefinitely what lands are or ca~ be ~ade ir~mediafely av~ilable but it is impossible for fie to state this except as to the blodu whICh have actually been piitchaseaftohi tbti natives and which amonht altogether to 82600 acres of which I enclose a sMt(ment Immedifely~n ~myfirAt arrival at Port Moresby 1 caused a-circular to be issuedtothe District Magistrates asldng them to report Oil the extent and nature of the waste anct vacant lands in their districts hut the districts are so enormous and so little of the intel~ior has been visited vet that the Magistrates halve sopoundarinot had the time or theopportllnity in some ca~es to comply with it but from what I have been able tq see for myself I think the position may be shortly stated as follows--

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4 There are very large tracts of land which consist of shy(1) Swamps (2)Uridulatiilg or more often very steep grass-qovered hills and ridges (in An immense extent of poundorest~covered mountain rising to several thousands of feet

5 There is a large native popuiation in bonafide occupatio~ of a ~reat part of theiands but there are large extentsof unoccupied lands---in fact the totalexteut or land iapoundor beyond the present or probable requirements of the native population

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-6 I have leen fand well suited for cocoa coffee or other tropical productions of economic value also excellent pasture Jl~ld for cattle (the presence ofspwtr grass in manyparts makes it dou-btful wn~tliei itw9u1dbesafe to iiffer it 113 pastHage for sheep though isolated spots might be found ofmiddot course where tlleYwould be free from it)

ith~ lowlyihgswamp landsmight be rhadeavlilablefor rubber Rice could be grown there but itw()u)dproplfbly be v~ry deadly work for th6seultivttiilgit nOl do I think thecnltivation couJdbe pJofitab~yearried lt()~ ~ith any ~apuan labour

The mountain lands are no doubt suit~ble for anycultivatio~ bnt di~htnc~ climate rainf~]] and-the extraoldinaryruggedness of the surface of theJand are aU factorsw~ich must be taken jnto account Viewed from thecoast almost the only mountain I SIlW with a gentle slope which wOllld appeal to present less physicaLdifficulties than auy of the others is that which bears Your Lordships qame~ Mount Lamington (HYdrographers Range) on thel1orth-easfconst ~o~he we~t of Cape NelsoD~ It rises very gradually from a plain and the country lyingbetweell it and the Main Rangeill pIQb)-bly w9rth prospootingfor agriculture The plain I slioulclaay is probably swamp land but this is only surmise

7 pr(li~i~inaries to AppZictltion--Itwduld beveljunwise however of either the GovelinUleDt 01 a probable purchtser to enter into any large laud transactions on paper Syndicates or othersmust send some representative to go and e6 wneridand can be got and what ita nature is before definitely applying for it It would be lIW3t injudicious foreithel partY to agree to ~ell or purchase blocks of several thousands of acres of land on the bulh or in the neighbourhood of the great and practical1y unexplored rivers without knowing whether there was land tliereavailableahd suitable for settlement or cultivation An instance has occurred in my own knowledge since I carrie which illustrates mymeaning

The represelJt~tiye ofa small1ustlalial H~nc1icate who were taking up some 6000 acres went up one of the larg~rivers and selected wqathe thoughtwas available al1d practicable landlLtid in an agreement with the Government it was stipulated that it should be within twenty miles of the mpp~h of the river Whert h~ visited it first the riyer ~as low tue banks high and the laud drmiddoty wpEln h went to corprppnce operations theriver~~s hi~n the banks 16w1 and the land ~nder wate_ and III place of twenty mIles he hac1 to gC over forty illIlesup before he could find a dry spot upon whlCh to bmlda hquse His selection hM been provisionally transferred from the twenty miles on paper to the forty miles iwtualdistallce but had there been any native occupatiim or had the land been previously alieriat~to some other purchaser hil syndicate might havehadto conteilt th~mse1ves with a block of perfectly iIllpracWable lliiJd iand I Nish to ilvoid as much as possible tIle recurrence of thill

Spearking fQr myself I shouldobjectv~ry much to dealing with any~pplicfttion for a large area unless the applicant or a prpperly accredited and authorise~ agent 01 representative were in the Possession Jie would make a preliminary application for land whe~e he thoughtit would suit him and after visiting it with a Government official to see whether there was any native occupation (if this was not already

known) he could then make a definite applic~tio61 wKicnicbuld be dealt with in the manner I am going topopse But Lam pot pr~par~(h n9~ t~lgtt ~haf( ~ee1he qutline of the ltountry to~yal with applIcatIOns for large blocks when It IS not known for certam whether there IS avaIlable land and If the land will suit the purposes of the applidntfwhohaa nMer ~eenmiddotmiddotltmiddot

8 It may no doubt be said that if the applicant chooses to buy land which does not suit him it is lilOt the brtsiness middotOfthe Government to interfere but that is an unsatisfactory way of opening up a new country Besides itis difficult to s~y~hat~he po~itiop oUht Go~ent~y~tis ~f it ha~ already agreed to selt a block of several thousand ummrveved acresin an unknown di8trict Is it to undertake that the land shall be suitable or after thc bl~ckha bcel ~~r~eJe(Ua~f~rusar~ajsconmiddotc~rlfed)aiIdthell found to be in whole or in part impraqyicabljl is ~he appliltlaJlt to be Jble to say-- I will npt complete my purcha6e I want land I can make use of C

9 I am conVinced that ifiland dealings in such amiddot country asthe Possession are to be satiBfact~ry to either or bOth parties carefulinspectiouof the landmiddotproposedto be taken up must be ~ neccssary preliminary Of course when tHe landis known this question does not arisemiddot Delay may becaused and speculators IDay notthink it worth vhile to incur the delay or expenset but to ill bona fide investor who wants real security for his capital it will pity much better to have obtained the quality of land which hemiddotmiddotis sure of tlian an asset onpaper whicn he may find unavailable

Besides it ii very doubtful whethQrlmilch rltialljgoOd landis availablejn anyrone place It varies very much and in any larg~block th~re Vill prbbablybe a cOf)s~derable pr~porti~n opound j~ferjorlandl Care should be taken that 111 purchas1I1g a large block some of It at middotleast IS good ThlscaJlnqt be lIllcertained by means of a telescope or pocket compass imd at a distance-stillles by a in~p and measure in England~r Australia rmiddot i 11 Imiddot Ii t - I bull I bull ~ bull bull I bull 1 I bull ~~ i 1

I Pr9vided t~erefore th~~ we cfn d~a) withipplicant~ ~hono~ wat theywlf~t ariq whiwt~ry can get ItI do not thmk any hlln~ need be made(to theiL~oull~of apphQa~I9n~ I b~hegtemiddot Ye laquotn filiir landfor all who are likely to apply but i~ will t~ke timE( beforEthey C(a~1ie ap properly suppl~ed-that is inevitable if my advice is followeQ The altllrnative course will bEto sell the blopks 9n p1per ~ithout k~o~ing precisely w~er~ they are or whether they can be made any use of

What is lmown of the lands along the great rivers No one can say what they ar~ like hcept for a few hundred yards from the banks ana yet wcmiddotareaskedmiddotto sell these inlblocks of square IDiles I am sure that the disappointment and loss will outweigh the delay

I prqpose ~he~eforeas It pr~limJll~ry ~hat~ppli~lotiprt sIaI~Ily heltle~lhmiddot~ph wren the a~plicant or hlsrepresentative III tle PossesslOllIS ~napo~l~OJl t9 say dyfImtefy-- I want so illq~h land III such It pltce and I have f~lUnd that it is available and suitable

11middot Pro~ed~r~~No a~ t~ the mod~in ~hic~ su~~ ~ppF~atio~ sho~d be dealt it~ Amendments qf Crown Land Ordinance 1890-The pr6seht Crown lands Ordinance o~ l 1890 Part

IV provid~s f9r the altelati0to~ C~~wn lands by publ~~ auctil1 or private salEl liider c~rtai~ coniiitions ltmongst wJllchare the followmg- Buildinq Allotments-Section XXXIII ellpower~ t4e Adrninistr~tor ~n Councitto syll quilding allotments of Crown lands by private bargain when no sale by auction of Crown la~d~ si~~atedat t~~ same place hafl previouly been he~d Irecomme1d the repeal of thQ words I have givel) vithin quotationpoirits It is an embaiTassing restriction which has no usefuleffectmiddot If building allotments a~eplit up foisale by auction 1md tiot bought it Would be imch bett(r to ~llow the Government to dispose of thetl) as opportunity arrive by private argain In POIt Moresby where allotments were piltup foi iiuction ho one of those then unsold can- now be purchased unless iI presume atanother auctionwhicn under present circumstances would be futile I quite concur in the view that town allotments shojlld if possible be sold at aucti)Iiand it might beproper to saythat before disposing of them by privlltebargain they should be put up to auction at an npset pricebut after that the Tsct-that lllaleby auction oflan~s ~ituatedatthemiddotmiddotsame place has (lllce occurred should riot for ever debarthe Government from selling them by privatemiddotbargain if itgets a proper opportunity I bull

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12 Agricultural and Pastoral Laws-Sections XXXV XXXV XXXVII deal with the alien~tio~ of QrWli lands f~r ~lyeni~ult1ll~~ pasto~~l fish~~~g o~ t~ading p~rposes or for the planting of lt090anut trEles andnxes the mm~~umWlCes as f~l1ow~ - (1) lfor ~gricHl~UIallal1ds lOllmiddot perlCr~ ~ J (~) For pastorailljonds 2s pxrJalre bull ) 1 I II I (~) Eorpshing()l trading purposes iI~ periLcre (4) ForplantWgofcoc9arlllt~ 5s Plracrr

Section XxXIX provides for the siLle of parcels of Crown landsmiddot not exceedipg fiftY I~cres on deferred payments within five yei~r8 with a minimum price of pound1 per acre

I I 1 13 Irpiy opinio~an~ ih th~t f ~y middota~i~~rs t~es~ reslricti6ns and conditions aremiddot not sui~able fQr tlie enc meht of capItal or the ~evelopment of the country 1 propose to repeal these sectioDs and to substft the following sjsteni Jbull 1 bullbull bull bullbull

(~) i~1d~ilrti~8rnent~Tt~IG-qterhmiddotinmiddotemiddotntmiddotof We P6s~essi6n sli61l1d ddvertise inthe ofIiyisl ( Gazette arid in one of the leading Australian papers inieach colonvarldiriEhgland

f I I

that ap~lica~ibps ~wj~r~~ r~de~~ea f~r i~n4~iii sp~ie~ p~~~s ~fthe Possessio~ i i

I (~~) That afternqt le~s~a ~lxfPo~thsrf~qf11 ~4~ datEl oqhe last o~~lat ady~rtulen~rtthe ri Admin~~~rlotor in(Jo]lncl~ shou~qi h~y~~ P(rpound~Rt~yrl~ 91f9i~9~~~1~I~h any apph~atiori

and ~o 11Jak~ slcr po1JdttlOlls ~s to terrps R~ iJaymynt an~ )mpr~e~ent ~r q~yelopflleiit of the land as may be best in each case It is iinpos~ible alniostt6lay down ahard-and~faBt

~ II II ~ I set of c1ohditions~f6r leVery Ich~se 1 thesituatioi lanalq~~lity~opound middottbe land) the inature of the I I It duftiv~tiurlrot bthei- purposeurotfor wllicnl itfisrequired- are factors which vary 801 muc1i I tlliit itDuld i~eiiiipracticaoie iIi my opini6iitoqiya~)viJfiXedc6niitions ThesfJshould - I J beiMt to be agreed toib~tweei thillocarAdtiiiTlistration aildtheiI)Urchasers~ t IJ

known) he could then make a definite applic~tio61 wKicnicbuld be dealt with in the manner I am going topopse But Lam pot pr~par~(h n9~ t~lgtt ~haf( ~ee1he qutline of the ltountry to~yal with applIcatIOns for large blocks when It IS not known for certam whether there IS avaIlable land and If the land will suit the purposes of the applidntfwhohaa nMer ~eenmiddotmiddotltmiddot

8 It may no doubt be said that if the applicant chooses to buy land which does not suit him it is lilOt the brtsiness middotOfthe Government to interfere but that is an unsatisfactory way of opening up a new country Besides itis difficult to s~y~hat~he po~itiop oUht Go~ent~y~tis ~f it ha~ already agreed to selt a block of several thousand ummrveved acresin an unknown di8trict Is it to undertake that the land shall be suitable or after thc bl~ckha bcel ~~r~eJe(Ua~f~rusar~ajsconmiddotc~rlfed)aiIdthell found to be in whole or in part impraqyicabljl is ~he appliltlaJlt to be Jble to say-- I will npt complete my purcha6e I want land I can make use of C

9 I am conVinced that ifiland dealings in such amiddot country asthe Possession are to be satiBfact~ry to either or bOth parties carefulinspectiouof the landmiddotproposedto be taken up must be ~ neccssary preliminary Of course when tHe landis known this question does not arisemiddot Delay may becaused and speculators IDay notthink it worth vhile to incur the delay or expenset but to ill bona fide investor who wants real security for his capital it will pity much better to have obtained the quality of land which hemiddotmiddotis sure of tlian an asset onpaper whicn he may find unavailable

Besides it ii very doubtful whethQrlmilch rltialljgoOd landis availablejn anyrone place It varies very much and in any larg~block th~re Vill prbbablybe a cOf)s~derable pr~porti~n opound j~ferjorlandl Care should be taken that 111 purchas1I1g a large block some of It at middotleast IS good ThlscaJlnqt be lIllcertained by means of a telescope or pocket compass imd at a distance-stillles by a in~p and measure in England~r Australia rmiddot i 11 Imiddot Ii t - I bull I bull ~ bull bull I bull 1 I bull ~~ i 1

I Pr9vided t~erefore th~~ we cfn d~a) withipplicant~ ~hono~ wat theywlf~t ariq whiwt~ry can get ItI do not thmk any hlln~ need be made(to theiL~oull~of apphQa~I9n~ I b~hegtemiddot Ye laquotn filiir landfor all who are likely to apply but i~ will t~ke timE( beforEthey C(a~1ie ap properly suppl~ed-that is inevitable if my advice is followeQ The altllrnative course will bEto sell the blopks 9n p1per ~ithout k~o~ing precisely w~er~ they are or whether they can be made any use of

What is lmown of the lands along the great rivers No one can say what they ar~ like hcept for a few hundred yards from the banks ana yet wcmiddotareaskedmiddotto sell these inlblocks of square IDiles I am sure that the disappointment and loss will outweigh the delay

I prqpose ~he~eforeas It pr~limJll~ry ~hat~ppli~lotiprt sIaI~Ily heltle~lhmiddot~ph wren the a~plicant or hlsrepresentative III tle PossesslOllIS ~napo~l~OJl t9 say dyfImtefy-- I want so illq~h land III such It pltce and I have f~lUnd that it is available and suitable

11middot Pro~ed~r~~No a~ t~ the mod~in ~hic~ su~~ ~ppF~atio~ sho~d be dealt it~ Amendments qf Crown Land Ordinance 1890-The pr6seht Crown lands Ordinance o~ l 1890 Part

IV provid~s f9r the altelati0to~ C~~wn lands by publ~~ auctil1 or private salEl liider c~rtai~ coniiitions ltmongst wJllchare the followmg- Buildinq Allotments-Section XXXIII ellpower~ t4e Adrninistr~tor ~n Councitto syll quilding allotments of Crown lands by private bargain when no sale by auction of Crown la~d~ si~~atedat t~~ same place hafl previouly been he~d Irecomme1d the repeal of thQ words I have givel) vithin quotationpoirits It is an embaiTassing restriction which has no usefuleffectmiddot If building allotments a~eplit up foisale by auction 1md tiot bought it Would be imch bett(r to ~llow the Government to dispose of thetl) as opportunity arrive by private argain In POIt Moresby where allotments were piltup foi iiuction ho one of those then unsold can- now be purchased unless iI presume atanother auctionwhicn under present circumstances would be futile I quite concur in the view that town allotments shojlld if possible be sold at aucti)Iiand it might beproper to saythat before disposing of them by privlltebargain they should be put up to auction at an npset pricebut after that the Tsct-that lllaleby auction oflan~s ~ituatedatthemiddotmiddotsame place has (lllce occurred should riot for ever debarthe Government from selling them by privatemiddotbargain if itgets a proper opportunity I bull

I bullbullbull lt ~ I I ~ i bull l I t bull bull

12 Agricultural and Pastoral Laws-Sections XXXV XXXV XXXVII deal with the alien~tio~ of QrWli lands f~r ~lyeni~ult1ll~~ pasto~~l fish~~~g o~ t~ading p~rposes or for the planting of lt090anut trEles andnxes the mm~~umWlCes as f~l1ow~ - (1) lfor ~gricHl~UIallal1ds lOllmiddot perlCr~ ~ J (~) For pastorailljonds 2s pxrJalre bull ) 1 I II I (~) Eorpshing()l trading purposes iI~ periLcre (4) ForplantWgofcoc9arlllt~ 5s Plracrr

Section XxXIX provides for the siLle of parcels of Crown landsmiddot not exceedipg fiftY I~cres on deferred payments within five yei~r8 with a minimum price of pound1 per acre

I I 1 13 Irpiy opinio~an~ ih th~t f ~y middota~i~~rs t~es~ reslricti6ns and conditions aremiddot not sui~able fQr tlie enc meht of capItal or the ~evelopment of the country 1 propose to repeal these sectioDs and to substft the following sjsteni Jbull 1 bullbull bull bullbull

(~) i~1d~ilrti~8rnent~Tt~IG-qterhmiddotinmiddotemiddotntmiddotof We P6s~essi6n sli61l1d ddvertise inthe ofIiyisl ( Gazette arid in one of the leading Australian papers inieach colonvarldiriEhgland

f I I

that ap~lica~ibps ~wj~r~~ r~de~~ea f~r i~n4~iii sp~ie~ p~~~s ~fthe Possessio~ i i

I (~~) That afternqt le~s~a ~lxfPo~thsrf~qf11 ~4~ datEl oqhe last o~~lat ady~rtulen~rtthe ri Admin~~~rlotor in(Jo]lncl~ shou~qi h~y~~ P(rpound~Rt~yrl~ 91f9i~9~~~1~I~h any apph~atiori

and ~o 11Jak~ slcr po1JdttlOlls ~s to terrps R~ iJaymynt an~ )mpr~e~ent ~r q~yelopflleiit of the land as may be best in each case It is iinpos~ible alniostt6lay down ahard-and~faBt

~ II II ~ I set of c1ohditions~f6r leVery Ich~se 1 thesituatioi lanalq~~lity~opound middottbe land) the inature of the I I It duftiv~tiurlrot bthei- purposeurotfor wllicnl itfisrequired- are factors which vary 801 muc1i I tlliit itDuld i~eiiiipracticaoie iIi my opini6iitoqiya~)viJfiXedc6niitions ThesfJshould - I J beiMt to be agreed toib~tweei thillocarAdtiiiTlistration aildtheiI)Urchasers~ t IJ

V - f

59

Oonditions-Blit it is well that the mlllllnum conditions which will be insis~ed on should be approved of and made known when advertising They are as follow-

(1) The price of agricultural land will be not less than 2s 6d per acre and of pasturage landsls per acre

(2) IlI)provements to be effected within five years on agricultural land to the value of 213 6d per acre on pasture lands 2sper acre In each case exclusive of the cost of houses for residential purposes

In agricultural land is also included land especially adapted for any particular cultivation such for instance as cocoanuts A sandy island or piece of ground may be valuable for cocoanut planting while valueless for ordinary agricultural purposes

14 The Austramiddotlian term pastoral lands is likeiy to mislead persons Ve have no great tracts of pastoral land as understood in Australia in fact the terms agricultural and pastoral have quite a different valUeuro in the tropic especially in British New Guinea and I am anxious to avoid any misapprehension as to the realmeaning of terms which are commonly uaed in the Australian Oolonies but in our case are rea~ly widely different

The price of land either for agriculture or pasture would vary considerably according to the locality and general nature of the land selected 15 It is not the desi~e of the Administration to promote or in any way encourage the locking-up of large blocks of land lmt to insist on their continuous and progressive improvement This is in my opinion of fa greater ultima~~ importan~e than selling lands for higher prices and having them u~deteloped and my object is to encourige bond fide investors and those interested in deve]oping t~e country commercillly bymaking the initial cost of purchase as light as it fairly can be made in each case btlt to insist on use being made of the land and the cOst of d welling-houses is expressly exceptlt=d from the value of improvements Ido not want the improvements of lgt block of land to be represented by a dwelling-house built in one corner of it Buildings for the carrying on of cultivation or other industry may be included as tne erection of a mill ampc necessarily implies the cultivation of the product to be treated in it 16 A perfectly free h~nd should then be given to the Administration to dea] with applications

for lands under these conditions and to deal withippliclitions without necessarily any q uestion ~f priority Every effort will be made tofind land for all but I wish to be perfectly nee to deal with the applications as may be most advantageous to the interests of the Possession ]7~ Small Grants-Blocksupto ol)esquaTe mile640 acres) it is proposed should 1Je sold at any

time on any conditions that the Administrator in Council may determine If however sllch a block should be applied for in any area which has been definitely included in any advertisement no sale should take place until after the expiration of the six months and the consideration of any other application which may include it 18 Prospectors~ Grants~There is also the case of the ~ona fide prospector who has actually prospeted and selec~ed lands and is willing to purchase It would be discouraging and unfair to him to tell him that theYl1ust first be adv~rtised for six months and that then he must take his chance with other applicants

Ve prpposein snch cases that the Administration should be free to sell to such a selector land not exceeding 5000 acres or to take a figure commonly used in Australia say ten square milesshy6400 acres-on such conditions as rrmy be fixed by trie Administrator in Council provided that the land has not Heen already definitely included in any adYlr~jsedar~a If it has lie must wait for ilix months and take his chance with other applicants ceteris par~bus he practically would have priority in consideration

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19 Free Giants-rphe ques1ion of free grants has also Deen con8id~red It was considered that It would not be to the ultimate benefit of either the Government 9r the commuuity to attract settlers without any ~apital by the offers ofs~all free grants The history of tpe majority of snch cases is too well known to those who hav~ hadexperience oftropicaisettlements In(t short time the property is in the han~s of the local merchant for debt and the individual is unable to do a~y more good for himself or the State

Ih~ve heard t~lt in another tropical colony fre~ grants have been give-l of 500 acres to personflt who have actual avaIlable capital of pound2OOO-the figures may Dot be actually correct but they will illustrate the principle+whicQ is to encourage settlement by persons with Aufficient capital to make a real begin~ing at some iildlls~ry Con4itiops of improvement would no doubt be attached to such gralltl~ If the Governments of the contributing colonies are in favour of this I am quite disposed to place the matter before my advisers in order to settle the most practicable terms on which it could be done

20 Minerals--rhe questi~n of the reservatipn of minerals in grants of fee-simple presents conBI~~rable difficulty Go~~and other metals exist and are being ~orked in the Possession under practlClilly the same1aw~ as III Queensland and it is advisable that as far as practJcable the Mining ~glliati6ns of t1e Ppssesfl~ons40uld be sirqilarto those in Australia The questiom3 to bllldetermined are-

(1) Should gold and silver and perhaps other valuable specified metals such as those of the platin~m group beabso~uttlly cOIlveyed with tht land or should they he f~served t9 the

Crown iraq grants (2) If reservep to the Cro~n ~houli the owner of the and have thil prior or exclusive right

on pay~ent of the presc~1gte~liclnse to worktherp or should the Crown have the right to grant licenses to work them t9 lllyone whoappJiesand if so what right if any is conveyed to the licensee to pass over or use the proprietors land in order to make use of his license f bull

(B) I~ ~~t reseljVed to t~e Crown shoud the Crown bave the right of resumption on payment of compensatIOn to the proprietor

(4) Shou1d these conditions iapp~y to aliCJ9~V1gJantsin fee-simple or only to those iu excess of some specified limited area Building allotments of course are excepted Should these apply to leases of Crown lands

60

21 With regard to freeholds I believe it would be to the best interest of the co~ntry not to allow any interference with the proprietor and not to grant allY licenses to anybodybutiheproprietor to prospect 01 work for minerals on the land granted It may be prudent to exact a license to work minerals found on lard sold as proposed on very easy terms for agricultur11 or pastoral industries but having regard to the indisposition of It capitalist to invest n~oney in land ouF of yl1jch other~ mig11t be free t reap the richest benefits rthink it would be the wisest Rnd safeRt course to conserve the right to mmerals for the owners of the land subject to any resclveod interest of the C~own The same relIark applies ~lso in my opinion to leases I think it very dOllbtful if anyone ~vould take upa lease of Crownlands m New Guinea ullder cOnditions which nil owed anyone else to use the larid

These are points which should be definitely setHed before we invited applications for land 22 Leases-The conditions and limitations contained in Part V of the Grown Lands Ordinance

of 1890~ with r~spect to leascs 0pound Crown l~nds re considered by my advisers too hard to eQcourage application for leaseholds- (a) The words in the first paragraph of sectio~ XLIII fron for agricultural t~ fishing

stations should be deleted (b) T~e yearly rent in sub-paragraph (1) s~ould be reducedfroll Is (one shilling) to 6dmiddot

(s1Xpence) per acre (c) The limit of fifteen years in slibparagrnph (4) ror pastoral lands should be extended

from fifteen to twenty-fivc and theminjmum rent reduced from two pence to one penny per acrc

There seems no reason why a lease of pasture bnd in British New Guinea snoulunot contain a purchasing clause and the prohibition contained in the bat line of that sub-paragraph should be repealed

I repeat that the picture of imniensc tracts of pastoral lands in Australia will be utterly misleading in considering how to dcal with limited areas of pasture land in New Guinca I would certainly ad vise that that rest~iction be Jmiddotepealed If a lessee finds the lalld he has leased to suit him permanently he should have the priority of option to purchase

23 I enc1o~e a Draft Amendment to the section I have drawn attention to in this despatch for Your Excellencys cOllsiderntion which embodies the proposed chnnges nnd nlso a memorandum by His Honour Mr Winter Chief Judicial Officer indicating eerttiin other points which he considers should lgte embodied in any AmendingOrdimince

24 Financial-There remains the questiou of ~hat should be done with the proceeds of land sales In my despatcl1 No 51 of 13th July 1899 submitting my financial propo~als I advised that the receipts from land sales should not be trented as revenue but be paid into the AccuI)1llated Revenue Fund to form a reserve fmid for future uses 25 It may very probably be saiil in answer tq my proposal to invest the Accumuljted RevenuE

Fund that before asking for any further contributions from the Australian Colonies to meet current expenditure the Accumulated Revenue Fund should be exhausted especially in view of the proximity of ederation when the financial future of the Possession limy have to be again considered from the view o~ its beillg all appendage of Federated Australia Hut T purposcly advised that immediateadvantage be taken of the ~xistence of a sum sufficieut to form a material Reserve Fundbll~ only sufficient to carry ou the administmtion for a very limited period-under two years-if expended in that way

It would be far wiser to treat it as unexpended capital and putit in reserve and add to it the proceeds of the sale of land which is really the capitallosource of a country In this ~f1Y will be formed a Reserve Fund on which the Possession could draw for emergencies or for middotspecial development wheu the

f bull I case arose 26 The great colonies who support us cannot seriously feel their contributions Many of their

rich agricultural or pastoral proprietors ~pella as much J-nnually on their private estates I know the inclusion in plillt~d Estirrllltes of pound5OOOto British New Guinea affords opportunityfor discussion and criticism in Parliameut as to the administrative control or the material benefit which any particular eontributiog colony derive but surely their Governments will view the qucstiop from a higher standpoint than tbis I have el~ewhere said that I am not afraic of the Administrative Control being less beneficial in the future than it is at present The Administration owes a great deal tu the liberal tre(LtmEmt arid encouragement of the Goverumellts ill~erested iri it and with regard to reciprocal benefits the one objcct I have in view is the best interests of all concerned alike-whelher it be those of British 01

Australian capitalists rhe natural course of trade twd direct commercial benefit is governed by fundamental principles beyond the control of any individurutt Administrators or )alliamentary Governments

27 I mny be too sanguine but I hope that our Accumulated Revenue Fund may be looked at as a8apital leserve Fupd for the development of the Possession It will be in the safe keeping of the A IIstral ian Governments as its trustee only to be u8ed as they think proper and justifiablewhen any special call arises for some special work of deielopment whieh would increase the value of the lands and tlJat is why although perhaps it maio ploperly be101lgs to the Financial Despatch I have reserved it for more special mention in dealing with the allimportant subject of the utilisation of the lands in British N ew Guinea d

28 I have now My Lord discharged t1e two duties I wasfirst entrmited with and directed to submit throngh Your Excellency to the Secretary of State and the Governments of the contributing colonies-the questions of the financial requirements of the Possession and tHe alienation of large areas of Crown lands I awnit the views of the Premiers who I am sure will give them that consideration which their importance requires and deserves

I have ampc

G RUTHVE~ LE HUNTE

His Excellency the Right Honourable Lord Lamington KCMG Governor of Queensland

[Enclosure No1 in Appendirc M] LANDS IMMEDIATELY AVAILABLE FOR ALIENATIOS

DescriptionLocalityAreaNq __ I~_ ------c~_ middot_middot____________I-------------------shy

Acres Rich black ahilHead of Milne Bay GaurantuaCreek 10101 Rich black Roil scrub land

8 Head of Milne Bay Waigara River 2 600

Grass land sandy soil 4

Cloudy Bay Tina Guiana Creek Dedere 560 Forest land black alJuvialsoil and rich scrub

5 Cloudy Bay Amina Guiana Creek 4noO

Good sugarmiddot land 2900

9(10 Cloudy Bay left ban of DllDorawai River Good openforest pandanu ampc

6 Cloudy Bay Born Guma RIVer

Open grass land SIlndy loam ti-tree ampc good cocoanut ll1nd

7

Cloudy Bay west side Cape Rodney 2700

Cllieylightly timbere(j good cocoanut land frontage 8200 Velalupu District Imila River MarshallLagoci~ black allu vial soil

8 Velanlpu District Up~~~~ Ri~~middot~ Chiefly grassy plains black soil belts of timber2400 Waipara River Good forest and grass land belt of rich scrub

10 1280l

KempWelch River Grassiplainarid low spllr~ 11

2600 Dora District Veiya and Veimauri Riverd Richscrub suitable for coffee and sugar

12 8600

Kabadi District 40 miles NW from Port Moresby Rich scrub grass plains and low ridges well watered 2t994

6000 Laloki Rivet Frontage dense jungle then l~kes and swamp

21200 OrioIflo River Rich dense scrub and undulatIng grassy forest also flat grassytitree forest

8160 Forest and grass land rich soil 1000

v~ier~pu Di~trict Upugau River Grass forest and scrub Hood Lagoon

82604

[Encl~sure No2 iii Appentiix MJ DRAFT OF CERTAIN PROPOSED AMENDMENTS TO THE CROWN LANDS

ORDINANCElS90 (BRITISH NEW GUINEA) j (

I The words when no salemiddotbyauction of Cron lands situated at the same place has Amendment of previously ltbeen held~in Section XXXIII of tbe Crown Lands Ordinance 1890 hertioafter Section XXXIII termedmiddotthe PrincipaL Ordinance aremiddot hereby repeaied Crown LandS

Ordinancemiddotl890 IL Sction s XXX V XXVIanelXXXVII of the Principal Ordinance are hereby RepealofSections

rElpealed and the follolingprovi~iops Ilre emictedin lieu thereqf- XXXV XXXVI XXXVII

iIL The Administrator in Council may from time to time give notice that lalds canmiddot be Publication of notice applied for inany part of the Possession that maybe therein specified for application for

Such notice shall be published three timeiin the London Gazette and in the official land Gazette of the several colonies of Australia and middotNew Zealand and of the Possession and in one of the principal newspapers published in London Lnd in each of the colonies aforesaid

Tbe notice shall state the period after which the lands will be sold which shH11 not Particulars of riotice in any casemiddotbe less than sixmiddotmonthsflom the date olthe third publication of the notice in the London Gazette The (auditions if ally as to the upset or minimum price the terms of payment conditions of occupation and improvement which may befixed by the Administrator III CounciL

IV After the expiratioll ampf the period stated in buch notice as aforesaid the Adninis- Sale of lands after trator in Council may sell any land included in suchnotice by private bargai] alld malie any notice terms ana conditions as to the price terms of payment occupation and improvements not being less than middotthoseif any stated in the noticr hJving due regard to the situation and quality 9ft~eland nd tli~ natur~of thb intended Icultiva~ion indust~middoty or other improvement

V The Administrator in Council shall not be bound togive priority to any applicatidil No priority of appli middotr I 1 bull cation VI rlhe Administrator in Coulcil may at any time without notice as aforesaid and on SalewilJioutroti~eof

any conditions as aforesaid sell any land not exceedingone square mile (640 acres) in any part blocks not exceeding of the Possession to anyapplicant 640 acres

Provided that the land applied for is not included in any notice under Section III of this Proviso Ordinanee tlie period of which has not expired at the time of sale

VII The Admi~istrator in Council may nt anr time with~ut notice as afJfCsaiJ and on Sllle without notice any eonditionsas aforesaid selltoany person in the Pos~essioll who has actually popected and to prospectors up to selected lands to themiddotextent of five thousand almiddotre~ (If avallable) 5000 acres bull

Prolgticlcd that such lands are not included in any notice as mentioned in the proviso to the Proviso last preceding section

YIJi~e~tion XXXIX pi ~he Principal Ordinance is hereby repealed Repeal of Recti()n XXXIX

IX Section XLIII in Palt y (Leases of Crownya~ds) is hereby amended as follows- SectlonmiddotXLIIl Part (a) The words~for agricuiburaLor pastoral purpo~es or for planting oocoanuts or as V (Leases of Crown

trading or fishing stations in the third and fourth lines of the first paragraph of Lands) Alllendmen~ the said section are hereby rellealed

(b) The w9rd sixpence i~ hereby substituted for the words one shilling in the thirdlineof sub-paragraph (1) of the said section

(c) The wor~s t1Yerity-five 1nd one pe~~y Il-re hereby substituted for tbe words fifteen and twopence in the second aDd third lines respectively of subshyparagraph (4) of the said section

(d) The words nosueh leaseshall contain anypurchasing claUlie in the third and fourth lines of sub-pillagraph (4) ofjthe said section are hereby repealed

For other amendrriezts to the Principal Ordinance see the memof1ndum from 11 is Honoul Mr Winter Chief JudiCial Officer

G R LE H 27t9~~ly 1899

[J7u10~yenmiddote No 3 in AppendirJV]

lVIElW ON LANDS ORDINANCES INCONNEOTIONWITH ANY FURTHER AMEISDMENTS THEREOF

1 There are at presentthree Land Ordinances-yiz The Grown Grants O~inan(e of 1889 The Orown Lands Ordinance oj 1890 and The Crown Lands Ordinance (Amended) Qf 1892 Of these the prmcipalone IS Llle Crown Lanrh Ordinanre If 1890 If it be proposed to amend this last Ordinance to such an extent that a fresh Ordinance will be required then the fresh Ordinance had better embody the other two Ordinances

THE CROWN GRANTS ORDINANCE OF 1889 2 Seftion 2is practically obsoiete Section 5 is superseded by section 54 of The Grown Lands Ordinance qf 1890

THE CROWN LANDS ORDINANQE (AMENlJED) OFIR92 8 The provisions of this Ordinance do not need any special ainenrlnlent

THE CROWN LANDS ORDINAllCE OF 1890 PART I

4 Tpispart ielate~ to claims toland based upon something that hltPpened prior to the pass~ng of the Or4inancJ So far as I know all these claims have been dealt with hut even if there be middotany that have not they could be dealt with under this part whether it is re-enacted or not There seems therefore no need to re-enact it

PART II S Sectiom 18 to 21 inClusive-The instrument of attestation referred to in these sections has never

appeared to me a satisfactory instrument At first sight it might seem as if it were conclusive proof that the land to which it relates has been duly acquired by the vrown But it is not so Dor doe~ the Ordinance attempt to make it so If any dispute arose as to whether the land had been duly arquirlld pr not the transfer from the natives or other written or verbal evidence would have to be taken TheiristrumEmt merely sets out in a certain form particulars obtained a~ second hand I do npt th~nk it would be right to make such an ilstrument evidence of the acquisition of the land The vendor of the land has no part inits preparation When lands are now purllhased from the natives transfers are always middottaken in fact this course has I think been pursued since the establishment ofthe present form of government It seems tomiddot me that lhese transfers are the important record and that it iR they that should be registered Instead ofan instrument of attestationa book containing the padiculu-s now s~t out in the instruuiet ~f attestation would be m~re useful At present there exists an ImpreSSIOn that the lUstrument of attestatIon IS the baSIS of the Crown s tItle

6 ampctionlI2-Thi~ relates soleiy to larlds that h8ve been alienated by the drown The effect of alienating Crownland is to bring it under The Real Property Ordinance of1889 which adopts the Real PrOperty Acts of Queensland ~he grant is registered in the Real P~operty Office and ail f1ture transaction~ affecting such land are rerorded ln that office The effect of the first prIvate sale of the land IS that the duphcate grant that belo3ged to th~ grantee ~s Idged and kept in ~he Real Property Office All subse~uent owners have simply a certificate of title as theIr tItle dld rhe section states that when tbemiddot Crown acqUires the land the transfer shall be taken in the namLofHer Majesty andrecorded by the Registrar-General as instruments are directed to be recorded in section 21 Butmiddot Jand3 coming within section 21 are not within the scope of the Real Property QrdinanceAll that ~hJt ~ection ~tates is thatdocuments shall be recorded in the way that documents are recorded nuder the Real Property Ordinance rile land mentioned in section 22 is within the scope of the Real Property Ordinance As the law stands the course to be pursued bY the Re~istrar-GenerRI would be to record the transfer and issue a certificate of title in the name of Her Majesty bu t this would place the Sovereign in the peculiar position of holdiul an estate in fee-simple from herself as tlovelmiddoteign The better course if the transfer is to be to lIer MaJesty wuld apparently be to enact that the transfer should have the effect of cancelling the grant and that the land should be deemed to have reverted to the Crown

Another course would be to take the transfer in the name of some Government officer In this case the estate in fee-simple vrou1d not be extinguished and a certifiuate of title could issue in the name of the officer If the land is land that is likely to be again sold the latter course seems to be the most suitable

With relard to leases the leases in whosesoever name they are taken will probably be leases under the R~al PropertyOrdinances

7 Seotion 23-The instrument of attestation under this section is perhaps a more conclusive document thant~~ on~ previously referred to but I doubt if it is the best form of lellord Some instrument recording the fRct that certain lands are deemedmiddot to belong to the Crown because they practically have no owner is needed But I think an Order in Oouncil would be the better instnlment What at present usually takes place in the case of ~hese lands is this AJ3 wants to buy a piece oiland The magistrate or agent reports that the land in CJuestion 1S waste and vacant land This report is accepted by the Administratormiddotin Council and generally an order IS made that In instrument of attestation be registered The sectioD does not state that the question of whether the land IS to be deemed Crown lllnrl shall be-middotdecidedmiddot by the Administrator in Council ncr does the Ordinance state that tho Administrator in Council is-to direct an instIument of uttestatior to be re~istered It is quite possible therefore that the Administrator in Council might not decide anything about the land or the instrument of attestation The Act which decides that a piece of Iand in the Possession is land not used or required or leasonaMy likely to be required by natiy~ born Papuans may I think ~ regarde as an ioportarit one and one that should be deCIded by the AdmInIstrator In Council If the AdmlDlstrator III CounCil dflCldes It then an Order inOouncil will best prove that he has dOile so and that the instrumimt contains what the Administrator in Oouncil diddecide

8 BecUtYli 25-It seems to methat a notice intimatinl that if no one shall show reasous to the contrary certain land win after a certain day be deemed to belong to the Crown would be better than the notice prescribed by this section

PART III 9 SectiOll 28 i~ practicallyobsolete The mode ofenforcing the order to quit is Ithink unsatisfactory

The somewhat barbarIC method of bodily ejecting the offender is not in accord with modern ideas I think it would be better to make disobedience a summary offence punishable by fine and imprisonment

PART IV 10 As th qUeS~iOll of altering the law relating to the sale of lands may arise I should like before

cOYfImenhng on the sectIOns in this part to make a few remarks on this subject I assume that the principal obJect or at least on~ of the principal objects to be attained by the disposing of land will for some years to come be the beneficlal settlement and development of the country In order to develop the country we

I -ppar~ntly have to mducmiddotemiddot European somethingmiddot to cme into it European of cOllrse incluIes coun~ries mhabited by people of European descent ThIS beneficlal settlement of the country cannot I trunk bemeasured

simply by rhe numerical increase of its EuroPlltu populatiqnmiddot In countries that are congenial to th~ ~urvpean race the simple increase of the European population may be a very important matter but the probablhtles seem to be that this cOJlntry or a great delll otjt~mnot Ie found suitable to the European race If we Deed Europeap something-a1d this something 58 not $implyhumatl beings-it must be sometjJiug else It ~eems t9 me that It IS money or the expenditure of money Aild ill e8tirruitiog the probabll6ri~l advan(lge to be obt~ined by~heP~ssesslon from the eipenditure of money the imigoitudeof thesum spent seemstobe a very middotimportant consIderatIOn It may perhaps be argued that theexpendilure of poundl(JOO does just ten times as much good to the counlry ~t large as the expenditure of it100 alid tlteeipenditure of pound10000 just ten times as much good as the expendIture of pound1000 arid so on It inightb~ so in the case of established industries but I do not think it is in the case of establis~ing industries that are new ooes in the country in which it is sought to establish them Inthls last instance the ratio of the benefit obtainlld bymiddotthe expenditure may increase ata greater rate than the ratio of the expenditure An pxarriplc of thisig I think to be found ill the history of the cstablishmclJt of th~ sugar industry in Fiji That it ha~ been established there is I think due chiefly to tIle CoJopial Su)ar Befining Comp~ny Other companies started at the same time is they did and failed becalise they had exhausted their means a~4 crippled them~elves before tbe business ~egln to give returns That the capital of it least oneof tliese co~panles was not small IS shown by the Imiddotact that thIS company spent pound100000 beforethelr first whlCh was theIr last crushing I believe that the initial expenditur~ of the Colonial Sugar Refining Oompany was far greater than that of any other company But their command of capital enabled them to carry middoton and thEllarge sum they had sunk in tlte enterpris~ was ~rhaps a sl)ong inducempnt to do so WllC~her ~o them the game was worth the candle I do n~t know But their expenditure has establi~hed an industry in Fiji which is a benefit to that colony

Th~re areothermiddotriiattltl~smiddotwhichmay ina new countrybe important factors such as the natur~ of a proposed industry and the partonhc country it is proposed to stilit it in1

It seems to me therefore that if the Government ure not to be hnmpered their efforts to settle the countrY they illUSt belillowedapoundair amount of discretidn in disposing oflandsmiddot A law that should provide th~t the samecoii~essions will be givep to the man who is prepared to expend pound100 that ~re given to th~ man that IS

prepared to spend pound10000 mayll the ~bstractbe an equitable ODE middotbut it m~ght not te~d to haste the settlement of the country nor mIght It strIke a business man as being in middotaccordmiddot With the maXlms of buslOess The experience of Queenslind p~09es that it is extremely difficult to frame land laws that will m~et tht exigencies tl-ta~ arise in acountry that isbeings~ttled c

ILSer-tion lllI thinkmiddot that the first senteilCe wourd be better ifitsimply conferred a discreti0llflrypo~er to grant the lands As fuEl clause stands it might hecnntended that the Jand ought to be ~rallted if ip i~ nece~al-IY t9 tht JJliss~oPo for ~heh worJr Llnd has been ~efused tq a nliltsion notmiddot because it was not necElssalY for tpcir work but because the mission was encroaching on the district of another mission

The cla-se mightalsigt 1]e Iaried toalIowof the grant being inade out direlit to a corporattl body H~ Section lll-Idomiddot not s~e the adva~tage of the ~estri~tion ~onta~ned in the words w4~u no sale l~y

auctIOn of Crown lands sItuated at the ~allle place has urevlOusly been held A sale by auctIOn may have been held and may have shown that further saltisby auction are not de~itable 13 SeiJ~iQTt 35-TbeiandSr~feIred t(i inthis~~~tioncannot b~ sold under aminimum pdceilied Jihh~ Ordinance when they are s91d by private bargain Apparently therefore the upset price oughtnot to be less than this minimum price but the Ordinance does not ehactthis i

14 Se~iid1dI6-Appar~nHyitwoul9be bEitter t6 leave the conditions altogether to the Executive

is middotSf~ion~7-+ t~t~kjp~t th~~ip~~urri pr~efor a(riRlltural lnd is too hih and that the minimu~ prICe for land for tradmg or fislilDg purposes IS far too lllgli I do Ilotknow that there IS any advantage In

dis tinguis hing between agri cultural hind and llihd fortha planting 0 f oq(ollnu ts It is not clear whethr it is the quality oftlieland orthe purpose to which it is to be pat thatcorlstitutes it lmid for the planting of cocoanuts Hthelatterit llihQuld be sold sllbjeet to a condition that cocoanuts will be pliuited on it butmiddot the section relates to sales without conditions

16 Section 38-1 think this needs a slight aniendmEmti tdshoiv that the Assurance Fund fee is not payable until the issuemiddotof the Crown grant itself and is then payable 17 Section 39-This docs not seem to be middot(if nlUch use Noone has evcr applied for land under this

section 18 Section 41middotmiddotmiddot-The remarks madeori sectibn 38 apply tothissection also 19 SectiQI~ 42-The words for the preparation of a grant apparently would be better left out

PART y imiddot

20 The remarks mSdeim tlie subject of 8J~O~ng ihe GO~l)rnme~t discretionary poworsinsemng lands apply als6 I think to leasing land

21 ~l3ction 43-T(e eectpf e~a~ting t~r-t hi~d ~ay beJ~ased f~r o~rtain specificd purpose~ makes it doubtful It It can be leased for purposes that are not speClned IhIS I thmK IS a flaw

(1) yenioimum rent ~efgtmstoo high (2) Tbe effect of this enactment is to limit the oonditions of iruprovemeut because the concession ip

rent is limited (4) It is ~ot quite cle~lmiddot why past6raUeases shall be limited to 6ft~en years ~d why they shal~ not

con tal ~ purchasmg clause rh~ qrdinancec~lsewhere enables pastrall~nds to be purchased at - low prle Unless V~iSt grass plampll[l~ aJc dIscovered somewhore 1lI thIS country the past6ral Industry IS not hk~ly to assume the character it has done in Australia The present laws of Australia that relat~ to pllstolallands a~e framed to suit a longestablished uusiness in a country where the agriculturl~t at tlinesphisses hard on the pastoralist The minimum rent seems too high It is equal

to pound(j 68 8d per square mile--a rent which -Ipoundancy would ruin many Queensland pastoralists (5) Period of lease seems too limited ahd rent r~ther high Instead of enacting that the Administrator

in Council shall take care that thelease does not grantmiddot (ertain things it would I think be better if the Ordioance itself enacted that tbe lease shall notdo 90

(6) Is useful in the case of smalUslands which it is not cQnsidered advisable to alienate 22 Section 44-J think the wording of this will bearimprovement The remarks made on Section 22 have

somc application to this section PART VI

23 i)ectioii 54-r think it would be better if the O~ainance ena~ted that the instruments sho~ld be deemed ~o contain that which the section directs to be put iIi them There is always a danger of its being left out of the lOst~ument i

24middot6~99 FRANCIS P WINTER i