House of Assembly: Vol1 - FRIDAY APRIL 12 1912

FRIDAY, April 12th, 1912. Mr. SPEAKER took the chair and read prayers at 2 p.m. PETITIONS. Mr. T. L. SCHREINER (Fauresmith),

from M. A. Barry, late teacher.

Mr. W. RUNCIMAN (Fauresmith),

from Alexander MacDougall, station master, Muizenberg.

Mr. J. P. G. STEYL (Fauresmith),

from N. P. C. Raaff, Messenger of the Court, Bloemfontein.

Mr. T. L. SCHREINER (Fauresmith),

for the introduction of legislation prohibiting the sale of liquor to aboriginal natives.

LAID ON TABLE. The MINISTER OF THE INTERIOR:

Final reports of a Commission appointed to make recommendations for the re-organisation of the Departments of the Public Service.

DIVISION ERROR. Mr. J. X. MERRIMAN (Victoria West)

called attention to an error in the division list for the “Noes,” on the amendment of the new clause 138 in the Irrigation and Conservation of Waters Bill, proposed by Sir Henry Juta yesterday, his name not appearing therein, although he so voted.

Mr. SPEAKER

having called upon the tellers for the “Noes,” the list was corrected accordingly.

CLUB LICENCES. The MINISTER OF FINANCE:

With reference to the question which was asked by the hon. member for Newlands on the 6th February last, regarding the liability of clubs to take out a licence for the sale of tobacco to its members, I beg to state that, in accordance with the promise contained in the concluding sentence of my reply to the hon. member, I have caused the matter to be re-submitted to the Government’s legal advisers for further opinion. The law officers have now advised that holders of club licences should be regarded as “licensed retailers” within the meaning of Act No. 36 of 1887, and, consequently, are entitled to take out the £1 10s. aerated water licence, which includes the sale of tobacco and cigars. It follows that holders of club licences are not liable to the £3 licence imposed under the later Act—No. 39 of 1908 (Cape)—and, accordingly, I am authorising the refund to those holders of club licences who have paid both duties of the difference between the two rates of licences—with effect from the 1st January, 1911.

PAPERS WANTED. Mr. J. X. MERRIMAN (Victoria West)

asked the Minister of Finance when there would be laid on the table the papers he had promised relating to death duties and bewaarplaatsen?

The MINISTER OF FINANCE

replied that they were being prepared, and he hoped to lay them on the table soon.

LAND SETTLEMENT BILL. Mr. SPEAKER:

My attention has been drawn to clauses 38 and 39 of the Land Settlement Bill. Clause 38 provides that acquisitive prescription shall not run against the Crown in respect of any Crown land, and clause 39 makes provision against trespassing on Crown land. Not only are these provisions not covered by the title of the Bill, but they are so foreign to the import thereof that they should be dealt with in a separate measure. I therefore rule that these two clauses must be omitted from the Bill.

Sir E. H. WALTON (Port Elizabeth, Central):

Would it be in order to alter the title of the Bill so as to include the principle?

Mr. SPEAKER:

I have just stated that these clauses are outside the principle of the Bill, and should form the subject matter of a new Bill altogether. Even were the title altered the objection would not be covered.

JUDGES’ SALARIES AND PENSIONS BILL.
FIRST READING.

The Bill was read a first time and set down for second reading on Wednesday.

BUDGET DEBATE. *The MINISTER OF FINANCE,

who on rising to reply was received with Ministerial cheers, said that a great deal of time had been taken up by the discussion on his budget statement. He felt that the thinking members of the House would agree with him that there had been very little criticism of a real or substantial character. (Ministerail cheers and Opposition laughter.) Though that criticism had not been very real or very effective he would try to agree with his hon. friend the member for Fordsburg when he said that it was desirable on such an occasion that every hon. member should be allowed the fullest latitude to roam over the field of finance, and to speak on matters generally affecting the country. It would be unwise to curtail discussion. Mr. D. M. BRCWN: “Hear, hear.”) He agreed with that, but perhaps there was a stronger reason, namely, that on an occasion like that many members who had no other opportunity of voicing their grievances could seize that one to address their constituents through the newspapers. (Ministerial laughter.) Now, before he dealt with the principal criticisms which had been levelled against his Budget statement, he would like to somewhat modify the figures which he placed before the House the other day, when he explained the financial position of the country up to the end of March last. He gave then what he anticipated would be the Estimates of Revenue and Expenditure, and he said that the figures were merely estimates, because certain adjustments would have to be made for expenditure which would take several months, and also because all the returns for the financial year had not then been received by the Treasury. He was now in a position to tell the House, so far as the expenditure of the year just ended was concerned, that the figures which he had placed before the House a few weeks ago were substantially correct, but that so far as the revenue was concerned—for the year ended March 31—he found, now that he had the returns, that this figures were somewhat out and he thought it would be as well if he explained to the House how far those figures were out. He was glad to say that the figures were out, not against him, but in the other direction. (Ministerial cheers.) His estimate of revenue would be exceeded by the sum of very nearly £300,000, so that the surplus which he had indicated the other day of £446,000, would be converted into a surplus of roughly three quarters of a million, or, to be exact, £743,000, instead of £446,000. That was for the year that had just ended. That sum would go to the Public Debt Commissioners in conformity with the law that was passed last year, and would foe utilised for the redemption of debt. Before he passed to other matters, might he be allowed to deal with what he considered was an eminently satisfactory position of affairs The figures which he had quoted meant that since Union the Government would, together with the £743,000, have redeemed debt—Union debt—by a sum of over two and a half million sterling. He said the other day that the debt redemption during the first ten months, out of revenue balances, brought into Union by the Provinces, amounted to £1,800,000, and this further sum, taken from the period ended March 31, would bring the total to two and a half millions sterling. Hon. members would remember that this was irrespective and apart from the substantial provision made annually towards the sinking fund, and the annual contribution to the sinking fund was £625,000. Then he might be allowed to repeat that while this was taking place, while debt was being redeemed and while this contribution was being made to the sinking fund of the Union, they had succeeded in remitting revenue through the railways and other sources of taxation to the extent of about two millions sterling—that was, of course, including the £750,000.

BUDGETING FOR A DEFICIT.

These figures were very striking figures, and figures upon which he thought they had every reason to congratulate themselves. He would now deal with the principal criticisms that had been levelled against his statement; it would be impossible, he thought, to deal with all the points that had been raised by hon. members on both sides of the House. The first point he would deal with was that raised by his hon. friend who, he supposed, in the course of time, would occupy his seat on the Treasury benches—his hon. friend the member for Port Elizabeth. The first criticism which he levelled was that during a time of unexampled prosperity, while in fact his pockets were bulging, he (the Treasurer) had budgeted for a deficit. Well, he (the Treasurer) did not think that many hon. members on the other side had backed that point very strongly, but had rather been in disagreement. What did his hon. friend mean? His hon. friend meant that if he were in his (the Treasurer’s) place he would not have presented a Budget that indicated a deficit for the coming year, but he would have presented a Budget which would either have balanced or would have produced a surplus. Well, let them see how his hon. friend could have achieved such a result.

An HON. MEMBER:

What did he do?

*The MINISTER OF FINANCE:

I am coming to that later on. Continuing, he said that one of three ways by which his hon. friend could have achieved that result would have been by estimating his revenue at a far larger figure than he (the Treasurer) did. He might have wiped out the anticipated deficit by putting up the estimate of revenue by £670,000. But he did not think that hon. members on the other side of the House would have allowed his hon. friend to have done such a thing, because, as far as he could ascertain from what had been said in the course of the debate, his hon. friends on the other side were hopelessly divided as to what the revenue would be for the coming year. One expert who was not in his place at that time—he alluded to the hon. member for Yeoville—made no bones about what he thought of the matter. He thought that he (the Treasurer) had under-estimated the amount in budgeting for this large revenue for the coming year. He would have opposed his hon. friend, if his hon. friend had been on the Treasury benches and expounded such a scheme. It was true that the latest recruit to the ranks of the experts, the hon. member for East London, thought that the revenue estimates were £400,000 too low. He did not think, however, that this latest recruit to the army of experts and his estimate concerning the £400,000 need be taken too seriously. His hon. friend, however, did not indicate to the House the heads under which tins £400.000 would come. Another way of balancing the accounts would have been to deal with the expenditure estimate.

SINKING FUND.

Well, now, right through this debate, had any single member indicated where deductions in the expenditure amounting to the sum of £670,000 could be made? No. The hon. member for Fordsburg (Mr. P. Duncan) said it was the duty of the Government to so frame the Estimates as to make the two sides of the accounts square. Well, he had not been in the position, for the coming year, to frame his Estimates in such a way as to bring about equality on both sides. There was a third way in which his hon. friend might have brought about a balance. He might have slightly put up the Estimates of Revenue and slightly decreased the Estimates of Expenditure. But even then he did not think he would have succeeded in achieving his object. The next point made against him (the hon. Minister) was the manner in which he proposed to deal with his deficit—the estimated deficit of £670,000. He thought his hon. friend accused him, in rather violent language, of filching the sum of £855,000 and of robbing the Sinking Fund. (Opposition cheers and Ministerial laughter.) He must say that this was one of the most extraordinary criticisms that he had ever listened to. He wondered what the hon. members on that side of the House would have said to him if he had adopted their suggestion. He agreed that it was not pressed, but was merely thrown out as a suggestion. It was that he should come forward in the House with new taxation proposals, and say, that inasmuch as he expected to have a deficit during next year of £670,000, he wanted them to leave the £855,000 intact, and he wanted them to submit to further taxation! He wondered what the hon. members would have said! He thought the adjectives about filching and robbing would have been surpassed. But let him view this from another standpoint. Where did he get the £855,000 from? Had they forgotten where he got it from? The whole of it he obtained from his hon. friend the Minister of Railways and Harbours. If he could have foreseen during the first period last year exactly how much money they were going to spend and how much revenue they were going to get in, he would have asked his hon. friend for £1,520.000 less £855.000, and the result would have been that his hon. friend would have had that in his pocket. Assuming this was still in the hands of the railway, and he had come down to the House and said he had expected to have a deficit of £670,000. hon. members on the opposite side of the House would have immediately said to him: “Look at section 127 of the Act of Union,” which exactly contemplated the position that had arisen, namely, that for a period of four years after Union, whenever there was a shortfall, they must help themselves out of the railway fund. Therefore he could not see where the robbing of the Sinking Fund came in. (Ministerial cheers.) Perhaps his hon. friend the hon. member for Port Elizabeth, Central (Sir E. H. Walton), would allow him before he departed from this question, to refer to another criticism which he and one or two other members directed against him.

SIR E. H. WALTON’S WARNING.

They warned him not to over-estimate expenditure, and said that his principal failing, here as well as in the Transvaal, had always been that he under-estimated his revenue and over-estimated his expenditure; and his hon. friend went on to say: “Do not for Heaven’s sake over estimate your expenditure, whatever you do.” Well, he thought that a cautious Treasurer was acting upon sound fines when he took a cautious view with regard to his earnings, because his experience had been that whatever they based their revenue upon they always found Ministers and hon. members ready to spend the whole of the amount. That was his view of the thing, and that was the attitude he always took; to be cautious with regard to revenue because he knew, if he over-estimated it, the tendency was to find someone to come along to spend the estimated revenue, and they would find themselves very much in the gutter his hon. friend anticipated the other day. Just before he came to the House that afternoon, an hon. member opposite was good enough to hand him a copy of the Cape Hansard for the House of Assembly for the session 1908.

Sir J. P. FITZPATRICK (Pretoria, East):

A member of the Opposition, or behind?

*The MINISTER OF FINANCE:

A member sitting opposite—(laughter)—and I have to thank my hon. friend opposite very sincerely, because this confirms my own view with regard to the Estimates. Proceeding, he said that in a speech made on, he thought, the Budget by the right hon. member for Victoria West (Mr. J. X. Merriman)—his right hon. friend during the course of his Budget was criticising some figures which his predecessor in office placed before the House—he believed it was the hon. member for Port Elizabeth, Central. He did not know if the hon. member was speaking by the book—

Mr. J. X. MERRIMAN (Victoria West):

Yes.

*The MINISTER OF FINANCE:

I shall read what he said on that occasion. It is, I think, extraordinarily appropriate to the present occasion. He said: “It is not my desire to blame the late Treasurer …” It was very curious, now, how fond some people were of starting with: “It is not my desire to blame my predecessor.” (Laughter.) He thought his right hon. friend was very fond of that: that it was not his intention to say so and so, or anything, about his right hon. friend the Prime Minister, and then proceeded to say something very considerable about him: “It is not my desire to blame the late Treasurer or to discuss the matter from a party point of view, and I will only say he was singularly unfortunate, and we will look for the reason why he was. He was unfortunate because he persistently and consistently in this House over-estimated his revenue. (Laughter.) In 1903-4, a period for which my hon. friend was not responsible, the revenue was over-estimated by £1,810,000. In 1904-5, the first Estimate when my hon. friend was Treasurer, the revenue was over-estimated by the sum of £1,993,000, and in 1907-8 the revenue was over-estimated by £648,000.” In 1906-7 he over-estimated by £1,200,000; he saw his hon. friend always dealt in millions—(laughter)—and in 1907-8 he over-estimated by £1,272,000. Now, what he wanted to point out (said the right hon. member for Victoria West) was that the effect of that constant over-estimation was that it unduly swelled the revenue; naturally the Government was pressed for more expenditure by individual members, and at the end of the year they found themselves with an unintelligible deficit.

CHARGE OF EXTRAVAGANCE.

Proceeding, Mr. Hull said that he thought that his hon. friend, before criticising him in future about the Estimates, should bear that in mind. (Laughter.) Now, the next point of criticism which had been directed against him was the same criticism which had been directed against him the previous year, he thought—that the Expenditure Estimates were altogether too extravagant, and that no effort was being made by the Government to effect any economies, and in connection with that charge he had been twitted very considerably by his right hon. friend the member for Victoria West—(Mr. MERRIMAN: “Hear, hear”)—as well as by the hon. member for Cape Town, Central (Mr. Jagger), and other speakers also, about the famous Treasury circular—(laughter)—issued the previous year; and instead of commending it, they had said that that mountain had brought forth a ridiculous mouse. Well, he had to thank the hon. member for George (Mr. Currey) for reminding the House that that circular, which had been issued by the Treasury in May of the previous year, was substantially what he (Mr. Hull) had said in the House previously during the Budget discussion. He had stated then that he recognised that large economies could be effected, and that the Estimates really represented the Estimates of the four colonies thrown together; and so the circular issued from the Treasury, and about which he had been chaffed, was merely carrying out the opinions which he had expressed in that House. He was told what had been the result of that marvellous circular: that there had been a saving of a paltry £303,000. He thought that was a very unfair statement to have made. In the first place, he thought that £303,000 was a very substantial economy to effect—(Ministerial cheers)—and let him remind the House of the further economies effected which had been effected on the balance. Now, if his hon. friends looked at the estimates of additional expenditure they would have seen that the effect of the Treasury circular had been to reduce these estimates of expenditure by a sum of £670,000. There were the figures printed; and it was perfectly true that of that £670,000 he had to encroach upon part of these economies by having to meet expenditure which he had not foreseen; for example —

An HON. MEMBER:

Barbary ostriches. (Laughter.)

*The MINISTER OF FINANCE:

Yes, Barbary ostriches—(laughter)—and £40,000 to the Imperial Government, a debt which was cast upon me by the previous Cape Governments. (Laughter.) I merely refer to some of the items: the printing bill, because of the Act of Union, and you cannot blame me for that; and but for these that economy of £670,000 would not have been encroached upon. There was the purchase of the Groote Schuur estate—£25,500—that, of course, I did not anticipate last year, and I met it out of my savings of last year. The hon. Minister went on to say that that was as far as expenditure from revenue was concerned, but the Treasury had further effected economies, and curtailed expenditure upon the loan account also; and that also appeared upon those figures and showed the sum of some £600,000, so that he thought that his hon. friends had been unfair and unjust towards him when they said that that mountain had only brought forth a ridiculous mouse. A “mouse” of £670,000 upon expenditure alone was a very substantial one. (Laughter and cheers.) He was also told that that volume of expenditure was still keeping up, and that for the next year his decrease only amounted to the sum of £108,000. He did not mind criticism when it was fair, but when criticism suppressed material facts which were within their knowledge, surely he was entitled to charge them with being unfair and unjust. He had made it perfectly clear, when he made his Budget statement, that that figure of £108,000 was not nearly all the saving in the amount, but that for the next year he had been called upon to meet expenditure of an extraordinary character, which he had not been called upon to meet before—

Mr. J. W. JAGGER (Cape Town, Central)

was understood to say that there had been savings also. The hon. Minister must take both sides.

*The MINISTER OF FINANCE (Laughter.)

He (Mr. Hull) had been called upon to make provision for £100,000 for Defence, and £95,000 in regard to the Department of the Minister of Justice, for additional police. Would any hon. member in that House tell him that there was any extravagance in the Police Vote, and that they had got too many policemen and police officers in the Service? (Hear, hear.) So far as he understood, constant appeals were made to his hon. friend the Minister of Justice from all parts of the Union still further to increase the police force. Well, the Government realised that there had been a considerable expansion, and that the additional police were necessary and they had made that provision. Pensions had gone up by £42,000, and he would deal with that later. There had also been an increased amount for the Post Office owing to expansion, so that altogether the saving on expenditure, as compared with the previous year, was not £108,000, but that plus £330,000, or a sum of nearly £450,000. (Hear, hear.)

APPOINTMENTS IN THE SERVICE.

Let him deal now with what he conceived to be one of the most serious criticisms which had been directed against the Government during the Budget discussion, viz., the criticism that they had retrenched officers of the public service and thereby increased the pension liability by a sum of £42,000 and brought large numbers of men, amounting to about 626, on the establishment votes. Now he might say at once, if that charge should be substantiated, it was a very serious charge and a great deal of the hard things that had been said against the Government would have been said with justification. Now let them examine and see whether this charge held water. (Hear, hear.) He remembered on a previous occasion during the present session a general charge of a very similar character was made against the Government, and his friend the member for Cape Town, Central (Mr. Jagger), was delegated to fill in the details of the charge. (Hear, hear.) On this occasion a general charge was made that the pension list had been swollen by £42,000, that there had been retrenchment, and that men had been brought into the service from outside, and the member for Cape Town, Central, was left to fill in the details. He did not think that his hon. friend deliberately wished to mislead the House, but he thought that, when he quoted figures, figures from official documents, it was his duty, as an honourable gentleman, occupying a very important position and a very influential position in this House and this country, to state the case fully and frankly, and not mislead people who were outside the walls of that House. (Hear, hear.) This charge mostly concentrated, as usual, round the department controlled by his hon. friend the Minister of Justice. (Hear, hear.) The hon. member (Mr. Jagger) said that, while the Pension Fund was going up new appointments had been made, etc., and since Union appointments made from outside the service came to 626 men. Of these 258 were definite appointments and 306 were temporary appointments, and the Department of the Minister of Justice took the lead with 98 definite appointments and 123 temporary appointments. He might be allowed here to correct his hon. friend. There were not 98 definite appointments, but 99, and there were 124 temporary appointments, not 123. Well, he did not know whether it was Hertzogism, or something approaching Hertzogism, but whenever there was an opportunity of assailing the Government, and particularly the Minister of Justice, no opportunity was lost of doing so. His hon. friend, in making the statement that he did, left the House under the impression, and certainly the country under the impression, that there were still these 200 people in the employ of the Department of Justice. Now, the grave charge he made against his hon. friend was that when he made that statement he obtained information furnished by a return laid on the table of the House. He carefully analysed the number of appointments, and so careful was his analysis that he kept out not one of the temporary appointments or one of the permanent appointments.

NEW APPOINTMENTS.

He very carefully refrained, although the return said so, from telling the House, and, what was worse, telling the country outside, that these 129 temporary appointments had all left again. (Ministerial cheers.) The return that was laid on the table of the House—

Mr. J. W. JAGGER (Cape Town, Central):

Where does it say that?

The MINISTER OF FINANCE:

The return that was laid on the table of the House—I shall read it—it just shows how my hon. friend rushes to conclusions. (Hear, hear.) He gets hold of one part of a case and he draws the most improper conclusions from it. Proceeding, the Minister of Finance said that the Department of Justice appeared on page 4 of the return, showing the new appointments made in the Public Service since July 1, 1910. The return stated: “Those whose names are marked with an asterisk are no longer employed.” (Ministerial cheers.) Those people who were no longer employed numbered 129. He wanted to put it to his hon. friend and his hon. friends opposite, was it fair and right to his hon. friend the Minister of Justice, or to members of the Government, to say that 226 people had been appointed when he knew from this return in his hands that 129 men were no longer employed, were merely temporary appointments, men taken on for a day or two days or a week? They were told that men had been turned off and men brought from outside into the service, and that 129 men had been brought in whose places might have been taken by the men who had been retired.

Mr. J. W. JAGGER (Cape Town, Central):

I said a certain number.

The MINISTER OF FINANCE:

While I have been speaking, he has just discovered about these asterisks. (Ministerial cheers

Mr. J. W. JAGGER (Cape Town, Central):

I knew all about them.

The MINISTER OF FINANCE:

He has only just discovered about it since I have been speaking.

Mr. J. W. JAGGER (Cape Town, Central):

You are wrong.

The MINISTER OF FINANCE:

Whether he discovered it before or not, my point is still that it was the duty of my hon. friend, when he made that statement, to have said his charge was not in respect of 98 plus 123, but only in respect of 98.

Mr. J. W. JAGGER (Cape Town, Central):

I said they were temporary appointments.

*The MINISTER OF FINANCE (continuing)

said that in regard to these 129 temporary appointments, did his hon. friend seriously mean to suggest or did any hon. member opposite seriously mean to suggest that officers who were in the permanent Civil Service and who were redundant should have been asked by the Minister of Justice whether they would take a temporary job as a policeman or a warder, or a job that might last for a week or a month at 5s. a day, that they should surrender their posts and take on this job? Now he would deal with the other 99. There was plenty of time to deal with them. Well, sir, this chief sinner who was charged with putting on over 200 extra men, they found that of these, 129 had disappeared. Let them take the other 99 men. Here there was no single vestige of justification for what he said, because he had the figures to show what were the appointments made, yet he asked them to believe that 99 men were brought in whilst their places could be filled by men inside the Service.

THE PERMANENT 99 OFFICERS.

Of these 99 permanent officers, 12 of them required special qualifications, such as Judges of the Supreme Court, Attorneys-General, and interpreters in the Indian language. Did his hon. friend suggest that these appointments could have been filled by men who had been retired? Following out the argument, however, they found that two other of the appointments were as prosecutors and two more as interpreters. That accounted for 16 out of the 99. That still left them with 83. Of the remainder one was receiving £120 per annum and seven were employed at salaries ranging from £3 to £7 a month. Did his hon. friend propose to fill these posts by men who had been in the receipt of £400 or £500 a year salaries and who had been retrenched from the Civil Service? On this occasion his hon. friend had not been quite fair also. There were still, however, 75 of the 99 to be accounted for. These were employed at a daily rate of pay ranging from 5s. to 7s. per day. (Ministerial laughter.) Again, he wanted to say that his hon. friend was most unfair to the Minister of Justice and the public outside. Continuing, the Minister stated that he did not propose to go into an analysis of all the departments, nor on the matter of those men who had been brought into the Civil Service to do the census work. Before, however, he had finished with his hon. friend, he would point out that in criticising the Estimates, his hon. friend, for the purpose of comparison of the expenditure of the four colonies prior to Union, took the year 1908-9 as a basis. Then he selected last year for the same purpose for making comparison of the Union expenditure, and he drew the conclusion that, when they compared since Union and prior to Union, the Estimates had gone up about £2,000,000. He (the Minister of Finance) had pointed out how unfair it was to make that comparison, and that these figures were entirely wrong, but he found it was impossible to squelch his hon. friend. (Laughter.) It was unfair to take 1909 as a comparison; he would quote from the Financial Relations Commission the statement of Mr. Justice Laurence, who was the representative of the Cape Province, and whose judgment he did not think his hon. friend would doubt. Mr. Justice Laurence said that the attempt to obtain useful information from former expenditure was surrounded by difficulties. It was useless to go to a period preceding or during the war. For the first year after or during the war the conditions which prevailed, especially in a new colony, were abnormal. On the whole, the most convenient period to take for comparison and investigation appeared to be the quinquennium following the last census, from July 1, 1905, to June 30, 1910. During this period the financial position was one of grave depression in all kinds of business, especially in the Cape and Natal. It became impossible to make both ends meet. There was a series of substantial deficits, heavy additional taxation had to be imposed, loans had to be raised on onerous terms, and the expenditure on public works almost entirely ceased. The expenditure during that period afforded no criterion of what might be regarded as reasonable in normal times. Proceeding, Mr. Hull said that he hoped that when he had an authority of that kind on his side, that his hon. friend would make up his mind that 1908-9 was not a fair year to be taken as a basis of comparison, nor was the year 1909-10, which had been taken by the hon. member for George (Mr. Currey). His hon. friend (Mr. Jagger) still shook his head. He (Mr. Hull) agreed with Mr. Justice Laurence.

Mr. C. F. W. STRUBEN (Newlands):

What year do you take?

*The MINISTER OF FINANCE:

I will take no year from you.

MR. CURREY’S SPEECH.

Proceeding, Mr. Hull said that even upon the basis of 1908-9, his hon. friend’s comparison was totally and entirely wrong. His hon. friend had said that the expenditure, as compared with 1908-9, had gone up by £1,700,000. The figure given by him as the expenditure for 1908-9 was 15 millions. But, in giving that figure, he entirely excluded the extraordinary expenditure out of revenue by the Transvaal and the debt charges of the C.S.A.R. If they included these two items, the expenditure for the four Provinces should be £15,780,000. This reduced the excess to a million. But we spent £525,000 more for education than we did in 1908-9. Was that waste of expenditure? The hon. member (Mr. Jagger) was one of the men who was always crying out for more expenditure on education, and he (Mr. Hull) agreed with him. Then the post and telegraph expenditure had gone up by £200,000, while defence had increased by £160,000, and compensation to Colonial capitals accounted for £42,000. These figures amounted to over a million, so that, quite apart from the wrong basis of comparison, his hon. friend’s figures would not stand examination. Now, let him say a word or two with regard to some most interesting figures given by the hon. member for George. He must say that he listened, perhaps, with more attention to his hon. friend’s speech than he did to any other speech on the Budget. It was a speech worthy of the hon. gentleman and worthy of the occasion. It showed, at all events, that the hon. gentleman had made a careful study of the expenditure estimates, perhaps a greater study than most of his critics opposite, and for that reason he (Mr. Hull) welcomed the hon. member’s contribution very much. He had the hon. member’s figures checked, and substantially they were in agreement.

THE SALARY LIST

The net result of the hon. member’s figures was that the salary list had gone up by half-a-million as compared with 1909-10. There were some things which the hon. member included which he (Mr. Hull) did not. The hon. member included in the establishment charges the salaries paid to members of Parliament, which were a very substantial sum, and one or two other things, but they might accept the hon. member’s figures as more or less correct. The result of the hon. member’s figures was that he made out that the salary list had gone up by £500,000 as compared with 1909-10. In the first place he would remind the hon. member what Mr. Justice Laurence had said. The year 1909-10 was not a fair basis of comparison; things were abnormally low then. (Mr. CURREY: “Not salaries.”) The Cape had not given any increments for a number of years. One of the things upon which strong appeals were made to the Union Government was that for a period of five years there had been no increments in the Cape, while the Civil Servants in other parts of the Union had their increments going on. The Cape Civil Servants had been given three of these increments, amounting to about £20 to each man, or, for the three years, to about £60 to each Civil Servant. The teachers’ salaries had increased by £207,000. Of course, there had been an enormous expansion in education, many more schools having been built throughout the Union. Owing to extensions, the salaries of men in the postal, telegraph and telephone service had gone up by £142,000, and police salaries by £101,000. These three items amounted roughly to £450,000. Unfortunately, they had to put people in gaol, and they must have people to look after them, and that accounted for another £30,000. Printing and stationery he had already given, asylums had gone up by £14,000, agricultural education by £13,000, public health by £12,000, and forestry £9,000. These items totalled £553,000. He submitted that that accounted for the very striking difference in the increase in the establishment vote.

HEADS OF DEPARTMENTS.

He thought that it had been entirely justified. There was one other small point that his hon. friend referred to, and which he would like to touch upon. He stated that while he agreed with the action of the Government in adopting the recommendations of the Campbell Commission with regard to the lower branches of the service, he thought it a pity that the Government, in adopting those recommendations, had not also adopted the recommendations in regard to the heads of departments. Hon. members would recollect that the Campbell Commission recommended that the heads of departments should receive a maximum salary of £1,350 a year, excluding their local allowance. The local allowance for these highly-paid officials amounted to £100 a year, so if they had adopted the recommendation of the Commission—as his hon. friend suggested they should—the ultimate maximum salary plus allowance of these heads of departments would have amounted to £1,450 a year each. The Government had divided these heads of departments into two scales. Rightly or wrongly, they thought that some departments were more important than others, and that there should not be a uniform grade for all heads of departments. (Hear, hear.) The one scale started at £1,200 a year, and went up by annual increments of £30 to £1,350, and the other started at £1,300, and went by annual increments of £40 up to £1,500. An important point was that they did not give any local allowance. That scale represented the gross amount of salary. The net result was that if his hon. friend’s proposal had been agreed to by the Government, that was the Campbell Commission’s recommendations, these heads of departments would have drawn an aggregate annual salary, plus local allowance, of £14,500 a year. Under the Government proposal these ten men, when they had reached their maximum, would be receiving an aggregate salary of £14,400. So, though on the face of it, their proposal might look more extravaant, they were really saving the country £100.

Mr. D. M. BROWN (Three Rivers):

You give pensions on the higher scale?

The MINISTER OF FINANCE:

Yes, of course!

Mr. BROWN:

Then you are not saving anything.

INEQUALITY OF TAXATION. *The MINISTER OF FINANCE (continuing)

said that the point was made very effectively, and went to show that there was not much in it either way. Another point of criticism that had been raised against him by the hon. member for Port Elizabeth was that no effort had been made to remove the inequalities that existed at the date of Union—that they were still in existence. He thought that that was a mere figure of speech. He did not think that his hon. friend could possibly have forgotten what they did last year in the way of removing inequalities, and what they proposed to do this year, and what few inequalities were left. Had he forgotten the number of inequalities that had been removed last year, the consolidation of the Mining Tax laws, and the Stamp Act? Apart from that, his hon. friend knew what was done in regard to patent medicines, cigarettes, and the removal of railway and postal anomalies. For this year they had on their list the Land Bank and the Estate Duty. The only two things that were left would be Customs and Excise, and native taxation.

Mr. C. F. W. STRUBEN (Newlands):

And transfer duty.

The MINISTER OF FINANCE:

One hon. member says transfer duty. Apparently he has not up to the present read the Commission’s recommendations.

Mr. STRUBEN:

Have you adopted them?

The MINISTER OF FINANCE (continuing)

said that it was quite clear that the only two things left were Customs and Excise, and native taxation. Licences, transfer duty, and similar things were, of course, still matters that remained unequal. The Government proposed to act in accordance with the recommendations of the Financial Relations Commission, and intended to hand over these taxes to each of the Provinces. Surely his hon. friend did not expect him on the eve of these taxes being handed to the Provinces to bring in legislation by which each Province would be deprived of some of these sources of revenue. He would be at once stultifying the recommendations of the Financial Relations Commission. The charge that nothing had been done to remove these inequalities was not a charge that had any foundation. There was one other matter he wished to speak about. But he would refrain from doing so. (VOICES: “Go on.”) It was the constant cry that went up that one Province was being treated worse than another Province. He thought that the sooner they made up their minds to do away with this Provincial feeling—(Ministerial cheers)—and the sooner they refrained from dealing with railways or any other matter upon a Provincial basis, the better. (Ministerial cheers.) The hon. member for Cape Town, Central, knew as well as anyone that if one went carefully into the figures of revenue and earnings he would be the first to admit that his Province, or the Province whose interests he had most at heart, came out far better than the other three Provinces. (Ministerial cheers.)

CAPE STOCKS.

He came to his last note, and he was sorry that the hon. member for Yeoville was not in his seat. He referred to the bewaarplaatsen. His hon. friend, in commencing his speech, warned the House regarding the predatory instincts of the Treasurer, and he told the House to be careful that the predatory instincts of the Treasurer did not induce the country to do something that would shake the credit of South Africa to its foundations, and by way of preliminary he referred to what he (Mr. Hull) had stated in connection with the so-called Cape perpetual annuities. He (Sir Lionel Phillips) said that here was an indication that he (the Minister) intended to apply his predatory instincts, and he thought that it was a most unwise thing to do, because he said that after all if his (Mr. Hull’s) proposals in regard to this Cape 4½ per cent. and 5 per cent. perpetual stocks was adopted the country would only save a sum of £5,000 a year. He (the speaker) conceived it to be his duty as Treasurer to place before the House exactly what the circumstances were, and what the legal position was in regard to these Cape perpetual annuities, and whether it meant a saving of £5,000 or of £500, it was his duty to tell the House exactly what the position was, and it was really for the House to determine whether that £5,000 should be saved or not. Nor did he regard £5,000 as a mere bagatelle. The hon. member for Yeoville had no doubt been accustomed to deal with globular figures, and regarded £5,000 as of no importance. He (Sir Lionel) had also criticised him for extravagance. Yet, he said, even for the sake of £5,000 a year do not reduce the rates of interest, or interfere with the stock. That was not this hon. friend’s object. He referred to that merely by way of preamble to the larger charge. Before he left this question of the annuities he did not think it was right that hon. members should maintain the idea that it was only a matter of £5,000 a year. The stock stood in the market at present at a premium of about £140. If, therefore, ‘he were to purchase the £500,000 worth of stock outstanding, in face of the legal opinions which had been given him, and purchased it at the present rate of premium, he would have to pay something like £200,000. Surely it was for him to tell the House the position, and for the House to determine what should be done. The real object of his hon. friend the member for Yeoville in bringing this matter forward was to make a more serious attack upon him in regard to bewaarplaatsen.

BEWAARPLAATSEN.

He had said that if his (the Treasurer’s) instincts were allowed full play it would create a scandal, it would create a scandal in the financial world and shake the credit of South Africa to its foundations. Incidentally he (the Treasurer) was charged with having smuggled and concealed these receipts from the House. Well, let him first deal with the charge of concealment and having smuggled this money. Well, let him just say that according to the South Africa Act he was directed to pay all receipts, all revenues from whatsoever source, into the Exchequer, into the Consolidated Revenue Fund. All receipts and all revenues of whatsoever description that had come into his hands had been paid into the Consolidated Revenue Fund; so that the charge of concealing money and smuggling money fell away. Now, he would deal with the merits of the case. He did not think that that was the proper time for the House to come to a final conclusion upon this matter. It was a matter that involved very considerable sums of public money, and he took it that before the House determined what should be done with the proceeds of the bewaarplaatsen the House would require fuller information than it had before it at the present time. The statement was made by his hon. friend the member for Yeoville that there were certain people who had every right to a share in the proceeds of these bewaarplaatsen, and that if any effort or attempt were made to deprive certain people of their share in the proceeds it would create a scandal in the financial circles of the world and would shake the credit of South Africa to its foundations. Let them see ‘how far the statement of the hon. member would bear examination. He said that the last word upon the subject of the bewaarplaatsen was said in 1896, 16 years ago. He said that in 1896 it was finally and definitely settled that the owners of the freehold of the land upon which the bewaarplaatsen were situated should be entitled, upon the sale of the bewaarplaatsen, to receive half of the proceeds. Let him explain the position. When farms in the Transvaal were proclaimed for gold-mining purposes the owner of the freehold was entitled to take out certain mineral rights for himself. After he had exhausted those rights then the public could come in and peg out claims and water rights and peg off bewaarplaatsen. But the fact of holding a bewaarplaatsen title did not entitle the holder to do mining there. It was merely a right on the surface, and did not confer the right to minerals under the surface. Well, from 1892, nearly twenty years ago, this bewaarplaatsen question had been notoriously what he might call one of the scandals of the Transvaal. There were certain people who claimed that, by virtue of their holding licences, they were entitled to the mining rights. There were other people—he thought they were called concessionaires—who claimed that they had sent in applications for these rights before others, and that they were entitled to these rights. There were others, the owners of the freehold upon which the bewaarplaatsen was situated, who claimed that they were entitled to the under mining rights. As he had said, from 1892 until the war broke out, this was one of the annual scandals connected with the Volksraad. There was a group of men in Johannesburg who were trying to acquire these rights. They were valuable rights and they were considered to be more valuable than they proved to be though the value was stated to be several millions. He did not wish to go into these scandals. The only point which he wished to make clear to the House was to controvert the statement made by the hon. member for Yeoville to the effect that the last word on this matter was said in 1896, and tell the House that that statement was not in accordance with facts. It was not settled in 1896, it was not settled in 1899, the year when the war broke out, and it was not settled even to the present day. He hoped hon. members would not imagine that the Government had done something which it should not have done or that it was trying to deprive people who had vested rights and title to this area out of their rights. Let him refer to documents which would support what he had just said. He would like the House to remember that the hon. member had said that the last word on this question was said in 1896. In 1896, the year after the so-called last word had been said, the old Republican Government appointed an Industrial Commission.

CHAMBER OF MINES’ EFFORTS.

And that Industrial Commission inquired into a large number of questions and grievances; and the Chamber of Mines made representations to that Commission on the subject of the bewaarplaatsen. He thought in 1897, when this Commission sat, the hon. member for Yeoville was either the president or was closely associated with an executive member of the Chamber of Mines.

Sir J. P. FITZPATRICK (Pretoria East):

No, he left before that.

*The MINISTER OF FINANCE:

Oh, yes. At all events his firm was closely associated with the Chamber of Mines in 1897. That is the year after the last word was said. Proceeding, he said that the Chamber of Mines appeared before the Commission and made representations to it on the bewaarplaatsen question. He wanted the House to bear in mind that the claim put forward by the hon. member was that the owners of the freehold were entitled to share to the extent of 50 per cent. in the proceeds of these bewaarplaatsen, and that if the Government did not allow owners of the freehold to share in those proceeds they would shake the credit of South Africa to its foundations. His own opinion was that neither the owners of the freehold nor the owners of the surface rights or anybody else except the State was entitled to those minerals. Prior to 1894, when the first legislation took place upon the Subject in the Transvaal, there could be no question and no shadow of doubt that the owners of the freehold had exhausted their rights. The owners of the surface rights had no rights to the minerals, and the only people entitled to the minerals were the State. However, that was beside the question. He was only concerned now with the contention that the 50 per cent. belonged to the owners of the freehold. In 1897, this was what the Chamber of Mines represented to the Industrial Commission. They said in a memorandum: “In 1891 the companies found it necessary to acquire ground at some distance from the mines for the carrying on of their operations.” In those days the companies were not in every case the owners of the freehold. “This they did by taking areas under ordinary claim licences, but as this licence gave no title to the use of the surface, bewaarplaatsen licences were also obtained. They were then advised to stop paying claim licences, as the bewaarplaats licence fully secured their rights, the Volksraad having that year passed an amendment to the Gold Law by which digging under bewaarplaatsen was prohibited, and at the same time an annexure was attached to the Gold law containing certain regulations providing that the holder of a bewaarplaats licence should have a preferent right to the minerals. In 1892, at the instance of the Government, the Volksraad again amended the law, authorising the Government, subject to certain conditions, to grant permission to mine under bewaarplaatsen and other reserved areas. The Chamber thereupon endeavoured to get a rider attached to the amendment, giving the holder of the surface rights a three months’ preferent right to take out mining rights, but did not succeed. It was currently reported that a group of speculators, cognisant of the contemplated alteration of the law, had already applied to Government for the mining rights under bewaarplaatsen, and the companies in self-protection also lodged applications. An announcement was then made that no applications sent in prior to the 1st September would be entertained, and that, in dealing with the applications, the question of preference would be a matter of careful consideration. Both the State President and the Minister of Mines gave verbal assurances that no injustice to the mining companies would be permitted. On the 1st September the companies accordingly filed new applications, but up till now their receipt had not been acknowledged, nor, within our knowledge, had they ever been considered. In 1893 the Chamber presented a memorial to the Volksraad on this subject. It was then referred to a special commission, which recommended certain further amendments to the law, one in accordance with the Chamber’s request providing that the owner or occupier of bewaarplaatsen should have a preferent right to the mining rights in question over all other applicants. The Volksraad, however, decided to defer consideration of these amendments until the next session, and to have the law, with the proposed amendments, published as a draft law.

SALE OF BEWAARPLAATSEN.

In 1894 the Chamber memorialised the Legislature again, and the Second Volksraad, after a protracted debate, adopted the draft law virtually as published, Article 21c providing that “such rights (mining rights) shall be granted to the holders of machine stands, water rights, etc.” An effort was made by the Government to induce that body to reconsider its decision, which, however, only drew forth a resolution not to alter the law as already passed. The First Volksraad adopted the law in principle without making any alterations; but the bewaarplaatsen articles could not come into operation until the regulations controlling mining in these areas had been approved by the Second Volksraad; and as the Government failed to submit these regulations before the close of the session, the whole matter was shelved for another year. In 1896, the Chamber presented a memorial to the First Volksraad, asking them to confirm the articles as passed by the Second Volksraad, but although no fresh information was submitted by the Government, the First Volksraad over-rode the decision of the Lower Chamber and stultified their own action of the two previous sessions by affirming the principle that mining rights under bewaarplaatsen, water rights, etc., shall be sold by public auction, one-half of the proceeds going to the Government, and the other half to the owners of the farm. This year the Chamber again memorialised the Second Volksraad, pointing out that the mining companies are of opinion that they have been deprived of their equitable and legal claims to the mining rights under bewaarplaatsen, etc., by the First Volksraad, and asking “that the amended articles, as adopted in 1894, may be restored in the law.” Well, proceeded the hon. Minister, this said that in 1897 the Chamber of Mines, representing the mining companies who held the surface rights of bewaarplaatsen, claimed that they and not the owners of the freehold should be regarded as the people entitled to share in the proceeds. This was the year after the matter was supposed to be settled.

Sir J. P. FITZPATRICK (Pretoria, East):

To be fair to them, on the Volksraad’s decision, they bought out the owners.

*The MINISTER OF FINANCE:

Wait a moment. Proceeding, he said the next thing was that the war intervened. During the war the Government of the Transvaal advertised these bewaarplaatsen for sale. He did not intend to make very much point out of that, because he might be met with the answer that the war was going on, and the Republican Government was prepared to do anything to raise the wind. But the tact remained, that in February, 1900, the Republican Government offered to sell all the bewaarplaatsen, thereby showing that the Transvaal Government regarded themselves as owners of the bewaarplaatsen. (Ministerial cheers.)

CHAMBER OF MINES’ MEMORANDUM.

In 1901, Lord Milner had appointed a Commission to inquire into the Gold Law, which was presided over by Sir Richard Solomon, and one of the members was Mr. Rouillot, who, he thought, was a partner of the hon. member for Yeoville (Sir L. Phillips) at the time. They sat in 1901-1902, and took voluminous evidence; and the Chamber of Mines submitted a memorandum to the Commission. There was no law drafted by them.

Mr. J. X. MERRIMAN (Victoria West):

What did the Commission say?

*The MINISTER OF FINANCE:

They made no recommendation as to the law at all.

Mr. MERRIMAN:

We know what the Chamber of Mines says. (Laughter.)

*The MINISTER OF FINANCE:

My right hon. friend does not know what the Chamber of Mines said. (Laughter.) Proceeding, he quoted from the memorandum, and said that the Chamber of Mines in 1901-2 said—and it was closely associated with the hon. member for Yeoville (Sir L. Phillips) and was the trustee for the general body of claimholders on the Witwatersrand—“Cancel the old Volksraad resolutions; don’t let the proceeds go to the owners of the freehold, but to the owners of the bewaarplatsen.” (Hear, hear.) Well, he had been told the other night that if they did that, or if they did not give the proceeds to the owners of the freehold they would “create a scandal in financial circles.” Why had they not said that at the time? What was the difference? He (Mr. Hull) had only been trying to convince the House that it was utterly and entirely wrong when it was represented there that the rights were interfered with, or that any person had a right to share in these proceeds. In 1908 legislation had been introduced into the Transvaal and a law passed, of which the hon. Minister read the section dealing with bewaarplaatsen, and said that here in 1908, or 12 years after the last word had been said, according to the hon. member for Yeoville (Sir L. Phillips) the Parliament of the Transvaal, of which the hon. member for Germiston (Mr. Chaplin) was a member, passed that clause in the law under which the absolute right to sell or dispose of the bewaarplaatsen had been given to the Crown. It was true that there was another clause which said that any sum accruing to the Treasury from the rights of mining under the last preceding section of the Act should be set apart, pending the directions of Parliament. The Transvaal Parliament had therefore, first of all, stated that the right to dispose of these minerals should vest in the Crown, and the Crown might, if it liked, enter upon the property and mine itself; secondly, with regard to the area of the mineral rights in bewaarplaatsen, if the Crown disposed of them themselves, they should be kept under separate accounts, pending the directions of Parliament. Now, his point was this: if that question had been definitely settled in 1896, and the Transvaal Parliament had said that half the proceeds should go to the owner of the freehold, it would be different, but the whole question had been left an open question, and it was entirely misleading for anybody to come in that House and say that anyone had a right to share in these proceeds. The hon. Minister proceeded to quote what the Attorney-General of the Transvaal (Mr. De Villiers) had said when he introduced that law. In consequence of the statement made by Mr. De Villiers, the Government Commission presided over by Mr. Esselen was appointed. The member for Yeoville read what the findings of the Commission were the other day. They recommended that half of the proceeds should go to the owners of the freehold—(hear, hear)—and the other half should belong to the State. But, he (the Minister of Finance) said, because the Commission recommended that, it did not confer any right of any sort or title upon the owners of the freehold or upon anybody else. It was for Parliament to determine, in terms of the Transvaal law of 1908, what should become of these proceeds. (Hear, hear.)

Mr. F. D. P. CHAPLIN (Germiston):

That is our case.

The MINISTER OF FINANCE:

Your case is that we are shaking the foundations, that if we don’t pay half of the proceeds to the owners of the freehold we shall shake the foundations of South Africa. I say it is perfectly competent for this Parliament to say: “We will adopt an entirely different basis from that of the Commission, or any basis at all.”

Mr. J. W. JAGGER (Cape Town, Central):

That is taking away a man’s property.

*The MINISTER OF FINANCE:

Where is the man’s property? I think I have shown quite clearly that the hon. member for Yeoville was entirely wrong when he said that the last word on this question was said in 1896. The question was not settled as recently as 1908, and it is not settled today, and until this Parliament directs me what I shall do with the proceeds, I believe it to be my duty, as the Treasurer of this Union, to retain the whole of the proceeds under my charge and under my control, and not disgorge or pay over one single penny of these proceeds, either to the owners of the freehold or the owners of the bewaarplaatsen. (Ministerial cheers, during which the Minister resumed his seat.)

THE RAILWAY BUDGET. The MINISTER OF RAILWAYS AND HARBOURS,

in replying on the debate, said that this debate on the Budget had taken longer, he thought, than any debate on the Budget that he had ever known. (“No.”) There might have been some that were longer; this certainly is much longer than the last debate in the House of Commons. Recently he saw that the Budget debate in the House of Commons took three days, but then, of course, the House of Commons had only 670 members, and this House had 121. (A laugh.) They had to do with a world-wide Empire, with a revenue of about 180 to 185 millions, and this House had to do with a small population and a revenue, combining railway and general revenue, of something like 30 millions. But, then, he did not think the House of Commons had so many financial authorities—(laughter)—and in that he thought this House was to be congratulated. (Renewed laughter.) They had also developed in that House a new way of obtaining close attention to their addresses. It was the first time, he should say, that he had found that a Minister was not allowed, although the debate lasted for a week, to absent himself for a single moment, even though he were obliged to do so, without attention being drawn to it, and a threat made that the House would adjourn. (Hear, hear.) These were new manners. He ventured to say that it was a practice which might prove very inconvenient. He was not one who objected to debate or criticisms, but if the debates were unduly long, he must say that they were likely to find difficulty in getting through measures which were in the public interest—(hear, hear)—and which were necessary to be made law during the present session. After last session, hon. members who sat opposite were good enough to go about the country and say, “We are such patriots that whenever the Government were right, we supported them.” He hoped this session they might be able to go back and be able, not only to say that they helped the Government when they were right, but also that they did not take an undue time in discussing matters, frequently of minor importance, because he did not believe that in any House about 89 per cent. of the hon. members on one side of the House discussed almost every question that arose. After all, the first object of Parliament was to get through what was necessary in regard to legislation during each session. He had no objection at all to offer to the criticisms that had been levelled against the Budget that he had submitted, he meant so far as the subjects were concerned. In very many instances the matters that had been criticised were of a very trivial character, and if he did not reply to all the points raised or to all the criticisms, it would only be because many of them were of such minor importance, and the time occupied in doing so would be so great, that he should trespass, not only on the time of the House, but he would, perhaps, be wasting what was valuable time at present. Therefore, he should select matters which he thought were of some public importance, and deal with them as briefly as possible. Now, before coming to the main question which had been debated so far as the Budget submitted by him was concerned, he wished to refer to a few minor points raised by several members. He would take the items more or less in the order in which they were raised. The first point was a very small one, and was raised by his hon. friend the member for Vryheid, who thought that the railway refreshment department should show more sympathy towards the use of Colonial produce. He was very much surprised to hear that complaint, because from 80 to 90 per cent. of the articles of food and drink, etc., used were entirely South African. He wished that some of their friends, the merchants, who were always telling farmers how to conduct their business, would show a little more of the same sympathy as the Railway Department. In fact, every South African article that was good for use was used.

THE COAL INDUSTRY.

Another point that he wished to draw attention to was made by his hon. friend who sat in one of the humbler seats of the members for Natal. (Laughter.) He drew attention to the enormous wealth that was contained in the coal deposits of South Africa and especially Natal. undoubtedly these deposits were very valuable, and although he could not venture to prophesy what was going to happen in the next fifty or sixty years, there was no doubt that they were going to be an immense asset to the country. Personally he had endeavoured to show as far as possible the appreciation of the Administration for the value of these assets. Shortly after he came to office it was brought to his notice that there was delay in carrying coal to the ports, that the trucks were insufficient, and that they wanted some reduction of the railway rate on the export of coal. Much heavier engines had been put on, they’ were making the road and gradient easier, and the time in taking the coal from the pit’s mouth to the coast has been reduced from four days to twenty four hours, with the result that they were carrying 75 per cent. more coal than they had been doing last year in the same time. That was a matter upon which the permanent officials of the railway could heartily congratulate themselves. In fact they were carrying all the coal that could to-day be produced on the mines. One trouble they had with Natal, and they had several—((laughter)—was that numbers of trucks were detained for an unreasonable time; in fact, trucks seemed to be often used for the storage of coal, and people who did this then complained that there was an insufficiency of trucks. He told the Natal coal owners that he was willing to give a shilling rebate on export coal provided they would grade their coal or take delivery without delay. All they said, however, was, “Give us the rebate and we will discuss the matter afterwards.” (Laughter.) In view of the magnitude of this industry he said that they should encourage it in every way, and he would say that wherever possible or reasonable, if that way was by a reduction of the rate or a rebate, and they knew what his views were regarding rebates, this would be considered when they were dealing with how the £750,000 was to be allocated. He believed that Durban had a great future with regard to this coal industry, and the Government, when the time arrived to increase their expenditure to encourage it, would not hesitate to do so. (Cheers.) His hon. friend the member for Fordsburg had referred to a matter that he would like to give some attention to. He referred to the vexed question of piece-work, but with true Scotch caution he would not take sides. (Laughter.)

TRANSVAAL RAILWAY PROFITS.

The hon. member spoke of the coal and other rates existing in the Transvaal today. He (Mr. Sauer) could not understand his hon. friend, for whom he had the greatest personal and political regard, for his hon. friend was very busy in that House breaking up his own past administration. He (Mr. Sauer) would regret to see the whole edifice come down. The very matters that his hon. friend complained of he (Mr. Sauer) had inherited from him, and now the hon. gentleman denounced them as involving most iniquitous and most unheard of principles. Let the hon. gentleman be not too severe when they were carrying out what he has set on foot. In fact these coal and other rates in the Transvaal were enforced in the time of his hon. friend, but he did not agree that they were quite so iniquitous. Then his hon. friend said that because of the very high profits on certain lines in the Transvaal the rates ought to be reduced. That was one of the most extraordinary doctrines he (Mr. Sauer) had ever heard. Were they, then, going to charge one passenger more than another; were passengers who travelled from Cape Town to Muizenberg or from Johannesburg to Germiston, to pay less per mile than those who travelled long distances? The test was what the individual paid rather than what the community paid. If they were going to have each line with a tariff according to the revenue it earned or the amount of profit it made they would have a great variety of tariffs over the South Africa railways, and it would mean that people who did whatever permanent development there was done in the country would be charged a very much higher rate than they were at present. He (Mr. Sauer) was a little surprised, because whenever that question was discussed at the same time a point was made that the condition of the Cape railways was very much worse than the others. He would have a word to say about that presently, to show that in that respect there was a misconception, and that the position of the Cape railways was better than it had been. He regretted to have to refer to it, because he generally found that when anyone said he was not provincial in his ideas he at once proceeded—as the hon. member for Pretoria East did—to contrast the position of one Province financially with that of another Province.

Sir J. P. FITZPATRICK (Pretoria East):

I only quoted the Prime Minister.

The MINISTER OF RAILWAYS AND HARBOURS (continuing)

said the hon. member for Durban had referred to the question of rates in respect of soap, fertilisers, and maize. He (Mr. Sauer) was quite prepared to admit that the rate on soap was a little unusual, but it had existed for some time, and he hoped that the matter would be considered later.

THE EXPORT OF MAIZE.

The hon. member made a point of the maize rate, and it was complained that owing to the maize rate Durban had lost the traffic which hitherto she had enjoyed. With regard to the export rate on maize—(Sir T. WATT: “The flat rate.”)—that came into force before Union. He thought he was correct in saying that the idea of that rate originated with the late Prime Minister of Natal; at any rate, he knew that that gentleman was very pressing that it should be put in force. That rate, which was not very remunerative, came into force prior to Union and was still in force today. At one time Durban—in fact from the very beginning, he thought—the export through Durban was larger than through any other port. The reasons were obvious. A good deal of mealies were grown in Natal, and a great deal in the Transvaal and the Free State, and they went to Durban. That continued to be the case until this year. Now it was made a great point that the export through Cape Town had increased, while the exports through Durban had decreased. He wanted to put this clearly before the House because there was a misunderstanding. In the figures which he saw quoted from Natal they included coal in one instance and not in the other, with the result that the comparison was misleading. Now, he had taken the exports from Cape Town and Durban for the years 1910 and 1911. The general exports through Cape Town in 1910 amounted to 73,087 tons and in 1911 to 60,000. Therefore Cape Town had lost 13,087 tons. The exports through Durban in 1910, not including coal, totalled 636,795 tons.

EFFECT OF FLAT RATE.

The figures excluded coal in respect of Durban too. In 1911 they exported 597,000 tons; there was a decrease of 39,315 tons. Taking the maize they would find that in 1910 Durban exported 123,872 tons, and in 1911 46,167, or 77,000 tons less. This was not owing to the flat rate. That was the point he wished to make, because the fiat rate had been in operation for the two previous years, during which time Durban exported much more than any of the other ports, but owing to the shortage of the crop the export of maize through Durban was less in 1911 than it was in 1910. The maize export through Cape Town was practically the same in these two years, the figures being: 1910 28,000 tons, and 1911 29,000, a difference of 1,000 tons. He was told that the reason was that the Cape Town merchants went forth and purchased mealies in different parts. It would therefore be seen that so far as the mealie export, in which Durban was very much interested, was concerned, it fell off entirely owing to the decreased production in 1911. In regard to the flat rate (10s. per ton), he wished to say that it had made no difference, because in the three previous years Durban, notwithstanding the flat rate, exported very much more than the other ports. The flat rate—which was, of course, for the benefit of the exporter, and for the benefit of the producer—gave rise to a good deal of discussion, not, he thought, at the time—he was talking of the 10s. rate—but on the introduction of a subsequent rate, which fixed the maximum for mealies within the Union at 20s. When that was proposed, a great outcry was raised in certain parts. It was not confined to one seaport. There were two reasons why that was adopted. In the first place, the more maize carried within the Union at 20s. the better it was for the Union, because they made 10s. more, and because it seemed strange that while they could convey South African produce at a paying rate within the Union, they should allow it to be exported and some of it re-imported again. Therefore that rate was adopted, but up to the present he was sure it had not led to the carriage of much South African mealies. Still he believed that that was largely owing to the fact that there was so much less to send away. Anyhow, it gave the producer a market for his mealies within South Africa, which heretofore, under the high rates that existed, he had not, because really the long-distance rates for mealies had made it quite prohibitive to bring them to certain parts of the Union. The question of the flat rate gave rise to a great deal of discussion, and when the Associated Chambers of Commerce sat some time ago at East London, this question was raised. If he remembered aright, the representatives of every commercial centre except Durban supported the flat rate. Durban moved in the matter at that Conference, and was defeated. They then moved that mealies should be sent to the nearest port at the flat rate. He was glad that that was also defeated. From a railway point of view, he would rather carry the mealies to the nearest port. It would be more profitable.

FERTILISERS.

But there were other considerations. For instance, they knew that last year a point had been raised, and it had created a good deal of feeling in connection with the ocean mail contract. They very often found that when they had a ship at one harbour, they had not got it at another. (Laughter.) He meant that a ship might be available at one port, and none at another. There was a resultant difficulty in the export of mealies, and the consumer, as well as the middleman, was discouraged, and loss was often sustained. One of the objects of that flat rate was to enable the mealies to be sent away as expeditiously as possible. In principle the rate was, he thought, perfectly sound. Without it, the railways would, to a large extent, be unable to supply different parts of South Africa with South African produce. It would be unwise to do so, and they would have the extraordinary spectacle that if they wished to send produce from one part of South Africa to another, it would have to be carried by sea, whereas it could be carried on the railways, to the advantage of the railways and to the advantage of the producer and the consumer. The middleman is ever at the gate collecting toll. They had no objection to him getting a reasonable amount of toll, but there was another consideration to be borne in mind—the development of the resources of the country. One way of doing that was by reasonable railway rates. The, hon. gentleman also referred to the question of fertilisers, and the flat rate—a low rate—was also applied there. From the railway point of view, there was nothing more remunerative than the carriage of fertilisers, because the result was that production was increased very much indeed. He would not say that they could carry it for nothing, or at a loss, but they could carry it as cheaply as possible, and the railway would be richly rewarded. It was now being carried at rates at which the farmers should not complain. As had been pointed out, there was a considerable increase in the quantity of fertilisers in use. He had the returns for the last three months of 1910, and for the last three months of 1911. In the first period this new rate was not enforced, but it was in the second.

REDUCED RATES.

Take the first three months of 1910. From Cape Town—the point was that Cape Town was now able to compete where otherwise it could not—if they took the three months when the rate was not in force—up to the end of December, 1910—they would find that the amount of fertilisers sent from Cape Town by rail to Cape stations amounted to 992 tons. For the three months ended December, 1911, the amount of fertilisers sent from Cape Town to Cape stations amounted to 1,544 tons, a large increase between 992 tons and 1,544 tons. It was a very satisfactory sign. He thought that the other day an hon. member spoke about railways where there was no development and low rates, meaning the Cape. Perhans this was a better instance of agricultural development in the Cape than anything he could mention. From Port Elizabeth—he was glad to see that they were waking up in that excellent town—the increase had been from one ton—(hear, hear)—to 112 tons in the same period. From East London the increase had been from 78 to 113. so it would be seen that the bulk of the increase was to Cape stations he must say in one or two instances there had been slight increases, very slight increases, from Cape ports to the Orange Free State. For instance, from the Cape to the Orange Free State in the first period there was nothing sent. Subsequently three tons were sent. To the Transvaal 71 tons, and, strangely enough, to Natal there was one ton sent in the last three months. Nearly the whole of the increase of fertilisers had been sent since the reduction in rates. He was glad to say that Natal—he was going to say progressive Natal, but he refrained because he might be misunderstood. (Laughter.) In Natal, for the three months ended December, 1910, 5,646 tons were sent; when the new rate came into force they sent 5,950 tons. So the new rate had helped Durban also. The fact was that the cheaper they made the rate the better farmers were enabled to buy what they wanted. That showed the position in regard to the rates about which they had heard such a great deal. The hon. gentleman then proceeded to give the amounts for the different reports in detail. He hoped that his hon. friend would see that rather than the railway administration being criticised for reducing the rates they should be congratulated on being able to help a deserving class. Now, he was sorry the hon. member for Woodstock was not in his place. He would not move the adjournment of the House, as was the practice when their critics wanted to say something special. (Laughter.) No, he did not think it was necessary to call the hon. gentleman. (Laughter.) He had not got to that state of thinking himself, so important; he left it to the good will of hon. gentlemen whether they wished to hear him or not. If they were enjoying their tea let them do so; he would not deprive them. (Laughter.) It was a wonder to him that the oratory they heard in that House was not sufficient to bring hon. members to their benches—(laughter)—though it was remarkable what a number of wonderful speeches were made in that House, according to the accounts of the Press. (Laughter.) He would have thought that these wonderful speeches would have been sufficient attraction to hon. members to stay in that dreary—no, let me say, useful—House. (Laughter.) Well, he would have to go on without the hon. gentleman. (Laughter.) His hon. friend the member for Woodstock had said something about making it compulsory that there should be a guarantee fund for good behaviour on the part of all railway people. That hon. member was cheered by the hon. member for Port Elizabeth.

An HON. MEMBER:

Uitenhage.

*The MINISTER OF RAILWAYS AND HARBOURS:

No, the hon. member for Port Elizabeth.

An HON. MEMBER:

What about Uitenhage?

*The MINISTER OF RAILWAYS AND HARBOURS:

Well, I heard him cheer—and I thought of the Greek orator who said when he was cheered, “What foolish thing have I said?” (Laughter.) There is hardly a platitude or a foolish thing said but what the hon. member for Port Elizabeth, acting as a sort of clack, doesn’t applaud.

Sir E. H. WALTON:

I cheer you sometimes. (Laughter.)

*The MINISTER OF RAILWAYS AND HARBOURS:

It shows how foolish you are. (Laughter.) The amusing suggestion was made to pay the men first and collect the money afterwards. He made some inquiries and he thought the contribution was a little too high. But the man who did not handle money to-day might handle it to-morrow, and men were constantly shifted from one position to another; and on all the railways he had been connected with it was the rule.

WEEKLY WAGES PAYMENTS.

As to the humorous suggestion that they should get it back from the men after their wages had been paid to them; well, he could appreciate the smiles on the faces of his hon. friends. Unless they took this contribution before it was paid, it would not be paid. Then it was also said, and he thought that the hon. member for Port Elizabeth Central cheered, that they must pay the men weekly. (Hear, hear.) That was not so foolish. (Laughter.) There was a good deal to be said for that. He would like first to say that it meant an additional expenditure to the railway of £18,500. He could quite say if there was an absolute necessity for it, £18,500 should not stand in the way if monthly payments meant loss to the men, because, as a general rule, when a man had done his work he was entitled to his pay; but he found, on inquiry, that the men were not so insistent on that as some hon. members, and there was a good deal of division of opinion on it—

An HON. MEMBER:

Rich and poor?

*The MINISTER OF RAILWAYS AND HARBOURS:

Well, I don’t know. I don’t know if any of them are very rich, and it is well known that these people are good, respectable people on fixed salaries or wages and they have no difficulty in getting credit. (Cries of “Oh!”) Proceeding, the Minister said it was not a matter on which there was any very strong feeling, and unless there was a hardship done, or serious inconvenience, he naturally did not feel like parting with £18,500. He would very much sooner give it away in additional wages than spend it where it was not necessary. The hon. member for Pretoria East (Sir J. P. Fitzpatrick) intervened in the debate and he did not think that the psychological moment had exactly come when the question of education should have been re-opened. (Hear, hear.) But he did not think that the incursion improved matters. (Opposition cheers.) The incursion by the hon. member for Pretoria East especially. (Opposition laughter.)

Sir J. P. FITZPATRICK (Pretoria East):

We thought you meant the Minister. (Opposition laughter.)

The MINISTER OF RAILWAYS AND HARBOURS:

The hon. member has always, ever since I have had the very great pleasure of knowing him, been true to the traditional habits of his country, and is always trailing his coat so that someone might tread upon it. Proceeding, he said he was not going to object and wax wroth, but he must say that he was a little surprised at the vehemence of personal and reckless character the hon. member adopted in delivering such a telling off as he said as ever man had. He said much about a promise made; a solemn promise. The hon. gentleman repeated it till it was likely to lose its effect by repetition. He did not suppose, and did not insinuate that the hon. gentleman or his friends were less likely to keep their promise than they (the Government) were. But talking of promises, what about a promise made to Mr. Chamberlain? How was it kept? and how angry people now got who were parties to the breach of that promise.

NEW ZEALAND COMPARISON.

But he did not want to quote the past, but only wanted to say that the Prime Minister was denounced because he failed to keep his promise. When he went to Europe after he made his promise, and before he came back, and could have given effect to his promise, he was denounced for having broke it. (Ministerial cheers.)

An HON. MEMBER:

His colleagues did.

*The MINISTER OF RAILWAYS AND HARBOURS:

I will leave the matter there. I can well understand my hon. friend being uncomfortable. I shall leave it there for the present; but if it is opened up again I shall have a little more to say.

Sir T. W. SMARTT (Fort Beaufort):

It is opened.

*The MINISTER OF RAILWAYS AND HARBOURS:

I think it was a mistake to reopen it, and I think it was an equal mistake to speak on it in the way the member for Pretoria East did.

Sir J. P. FITZPATRICK (Pretoria East):

Why didn’t you object?

An HON. MEMBER:

We won’t tolerate it.

*The MINISTER OF RAILWAYS AND HARBOURS:

The member for Pretoria East, like so many others, read the farmers a lesson and made comparisons; those little comparisons comparing one country with another, losing sight of local conditions and various other matters; comparing New Zealand, where they have the finest sheep walks in the world, with the Cape—

Sir J. P. FITZPATRICK (Pretoria East):

I never mentioned it.

*The MINISTER OF RAILWAYS AND HARBOURS:

Well, the hon. member who sits behind, then.

Stir J. P. FITZPATRICK (Pretoria East):

Yes, try again.

*The MINISTER OF RAILWAYS AND HARBOURS:

But the member for Pretoria East complimented the member behind him on the excellent speech he had made, and the information he had, and said that most of what he wanted to say had already been said. (Ministerial cheers.) Really, if the hon. member knew how much I am upset by these interruptions he would let me go on. (Laughter.) Proceeding, he said the hon. member gave them some comparisons. In the one place, New Zealand, they had a country one of the best sheep walks in the world. They had a regular rainfall, and various drawbacks which they had in this country they had not got there. They might just as well, say, take an equal area in the Soudan and compare it with the same area elsewhere, because that was all people seemed to think they need take—area and population. The hon. member for Cape Town, Central (Mr. J. W. Jagger), was a hardened sinner in regard to figures. He gave them figures, but did not read into them. Now, in this country he did not say they had made all the progress they should have; but he would say that in the last three or four years, and even before the war, the progress made in this country, under great difficulties—drought, want of communication and transport, diseases and other things—had been very great. (Ministerial cheers.) The hon. member for Pretoria spoke of the under-development of the Cape. He would like him to go to the South-western Districts, and then show him where there was equal development; and he would say there was not greater development in few parts of the world than on some of the rivers in this country. (Ministerial cheers.)

THE FISHING INDUSTRY.

He often wondered why these people did not do a little more themselves to develop the land. (Hear, hear.) The life of the farmers was hard; they were scattered, and it was difficult for them to co-operate. But let them take the great fishing industry, of which they heard so much the other day They were told that there they had one of the finest industries. Why did not the gentlemen who were always lecturing the farmers put their hands in their pocket, and develop that industry? The farmer might turn round to them and say with greater truth: “What have you done to develop that industry?” He had already expressed his view on the extraordinary doctrine that they must have the rates according to the profits made by the several sections of the line, favoured by some people in the Transvaal. These forgot, when they spoke of the heavy rates they pay, that there were lower rates for the competitive area than for the people outside who lived nearer the coast. If they read the Johannesburg newspapers, and heard what was said by their members, one would not believe that it was so, but it was so—they were carrying to the competitive area goods at a lower rate than for places outside that area and nearer the coast. Now, he would not have raised that question, but if one heard how they were bled—one day their poverty was great, the next day they were the mainstay of South Africa—

Mr. P. DUNCAN (Fordsburg):

Where do you make your profits?

*The MINISTER OF RAILWAYS AND HARBOURS:

I say that the idea has always been that the Transvaal railways pay so well because they charge such high rates, and I say the competitive area is charged a, low rate. We are told at the same time: look at the Cape. The Cape’s railway position is apparently not so satisfactory, but what is the main reason for it? Because the Cape Province lines carry South African produce at a low rate, and the Johannesburg people get the chief benefit. While we take produce cheaply to the Transvaal, and Johannesburg gets the benefit of that, we carry imported goods for them at a lower rate than anybody else, and they turn round and say: how badly we are treated; and see there is that miserable Cape. (Laughter.) If we were to charge the same rate for South African produce as we charge for imported goods, the position of the Cape would be very much better. (An HON. MEMBER: You will lose your market.)

Siu J. P. FITZPATRICK (Pretoria East):

What is the cause of your deficiency?

*The MINISTER OF RAILWAYS AND HARBOURS:

Do you want higher rates on farm produce? The Cape is carrying more South African produce than the rest of the Union, and the bulk of our cargo is South African produce. Johannesburg is more benefited by these low rates than any other community; and the farmer appreciates the value of the Johannesburg market. Then, as to why some of the Transvaal lines pay so well, he would like to point out that a large percentage of high rated goods was carried in the Transvaal. The profit that they made was on imported goods, and very properly so, but 45 to 50 per cent. of that came through Delagoa Bay, and the result was that the Transvaal railway made a very large profit. A good deal was carried through Durban, also at a high rate, and the result was that the Natal railway showed a good result. They carried a small amount of that through the Cape, and that was a reason why the Cape railways showed a worse financial position that the others. But let them have a uniform rate to-morrow all over South Africa, whether it was on imported or South African grown produce, and there would be a very different tale; but he did not think it would be good business for South Africa. They had got Union, though he held that whether they had Union or not they should carry South African produce at a low rate, so as to help both the consumer and the producer. As to the position of the Cape, let them take the last two years. He knew that the profits in the Transvaal were greater than elsewhere, and he knew that in Natal there was a profit, and that in the Cape for the last financial year, or the last calendar year—he was not sure which—there had been a loss of £130,000, largely due to the large amount which went to depreciation. If they took 1910, the earnings at the Cape were £3,365,000, and in 1911 they were £3,499,000, or an increase of £134,000.

EQUALISATION OF RAILWAY RATES.

Natal had increased by £13,000, the Transvaal had decreased by £93,000, and the Free State had increased by £53,000. He did not want to make too much of these figures. He was very conscious of the fact that they made, he would not say “pots of money,” but they made a handsome profit out of their railways, more particularly in one Province. He hoped that may long continue, and that it would spread all over the Union, and that the railways soon would be, as he had every reason to believe, paying and paying handsomely in each of the respective Provinces. In this connection he would like to say a few words with regard to a matter which had been continually raised, and was raised again by the hon. member for Pretoria East. He said to the Prime Minister the other day that there was a reduction of £370,000 odd to the Cape. There was also £70,000 to Natal, and there was a small reduction in the Free State and the Transvaal. Now, why were these reductions made? It was made to equalise the railway rates within the Union. (Hear, hear.) His hon. friend the Minister of Finance had been blamed because he had not equalised taxation and everything else that it was possible to do, and here when he (Mr. Sauer) attempted to equalise railway rates he was criticised by the very same people. It was an obvious, a simple, a natural, and proper thing to do. When they had a surplus on their railways the first thing to do was to equalise the railway rates. It was a great mistake to suppose that only the Cape would benefit by these reductions. If they were not to equalise their railway rates when they had a surplus, and they could do it easily, he wanted to know what was the good of equalising anything with regard to financial matters. The benefit of the reductions extended to various parts of the Union beyond the Province immediately concerned.

WORKSHOPS’ REPORTS.

Now he wanted to say a few words with regard to an important matter. He was coming to a question that had given rise to a considerable amount of discussion. He would have gone more fully into it, but he did not want to detain the House long and should content himself with a very brief Statement. He was referring to the important question of piece-work. The hon. member for Port Elizabeth (Sir E. H. Walton) said, with that politeness which was customary to him when he was on his legs, because, when he was sitting down, he was a most careful man, but he could not think when he was on bis legs, and so when he was on his legs he said the rudest, most foolish, and extraordinary things—(laughter)—he had not yet learnt the art of thinking on his legs—(laughter)—the hon. member did himself a great injustice there—he said the other day, in speaking on this question of piece-work—he could not quite make out what the hon. member wanted—but he denounced him (Mr. Sauer) for wanting to order a large number of people out into the streets, and he said, “Here the right hon. gentleman (Mr. Fischer) was trying to get people in, and he (Mr. Sauer) was going to turn them out.” The hon. member, like himself, had to carry out retrenchment in the past, but he remembered his coming down to the House on more than one occasion and saying how vigorous his retrenchment had been and how many people he had got rid of. What he (Mr. Sauer)wanted to say was this, that at all times it would be to him, as he was sure it would fee to every member of that House, to every man with any humane feeling, it would always be more than a disagreeable task, it would be a painful thing to throw men out of employment, and, if he had conveyed that it was the intention to turn a large number of men adrift, then he must have very ill expressed himself, because that never entered into his mind, and in the proposals which he wished to consider was not contemplated. Now, a great deal had been said as to the method under which the relative efficiencies of the different workshops had been attained. He had gone into the question and he could say much upon it, and, speaking from the same brief as others had, he thought he could controvert many of the conclusions drawn, and he could show that some of the statements made were quite incorrect. But, really, the question of relative efficiency was a comparatively minor thing. Whether one shop was a little more efficient than another or a little more inefficient seemed to him a matter of secondary consideration, and so he should not enter the lists for the reasons that he had stated. He had got some very interesting information upon that point, but he would not go into it. He was prepared to admit that the methods adopted for arriving at it formed a debatable question, and here let him say that when he made the statement and referred to the matter in his Budget speech he had not Mr. Beatty’s report, and he said so then. He only had the report of the majority, which he then gave to the House, not as his opinion, but the opinion of the majority. (Hear, hear.) He did intersperse a few observations—(laughter—of a very kindly character, which were very much misunderstood. (Renewed laughter.) He was a very much misunderstood man. (Laughter.) He did not know Mr. Beatty’s opinions then, he had heard that he was likely to differ, but not to what extent. Mr. Beatty had the advantage of seeing the Majority Report, but he was informed that those who signed the Majority Report had not the advantage of seeing Mr. Beatty s, and so they had been subjected to criticism. The majority maintained, in spite of the criticisms, that the methods they adopted were those universally adopted for investigation.

Mr. P. DUNCAN (Fordsburg):

What did the Majority Report consist of?

The MINISTER OF RAILWAYS AND HARBOURS:

It consisted of two.

Mr. P. DUNCAN:

Two out of four.

The MINISTER OF RAILWAYS AND HARBOURS:

Well, the majority said that theirs were the methods generally adopted. He would say that this question of piecework being introduced into shops did not originate with this Commission. The idea that the question should be considered had been long present in the minds of the Administration, but it was delayed until they had full information and the opinion of competent men, because it was a question of great magnitude. But what he would like to point out was that every member of that Commission was in favour of piecework, though all the speakers opposite carefully concealed that fact. Three of the Commissioners, after referring to the fact that this question had been twice reported upon during the past four years, once by the former Railway Commission and more recently by the committee dealing with the grading, pay and conditions of employment, stated that the conclusions they had arrived at were substantially the same and that they were in favour of piecework. Mr. Beatty had also stated that this question had received a great deal of consideration, and it seemed to him that a system of payment by results was very advantageous, as enabling a larger output of work to be obtained. He recommended that a system of piecework or a bonus system be adopted. Now they had listened for days and days to hon. members opposite, and yet they had heard nothing that these four gentlemen were all in favour of piecework. Mr. Beatty had come to see him that afternoon—he had not asked him to come—and they had discussed certain matters, and Mr. Beatty said in conversation that if they had piecework at Salt River it would be the most efficient shop in the Union. Piecework had been in force in the Cape Colony, and the reason for its abolition was that, as Mr. McEwen said, they found they were turning out so much work that they had more men than they wanted, and they did not want to turn them off.

WHERE THE PIECE-WORK SYSTEM PREVAILS.

He was not so bold as to put his judgment against that of the four men who were responsible for the report before the Blouse. As far as he could ascertain the piece-work system worked very well at the Cape before. Some little while ago the Administration here asked the High Commissioner in London to make inquiries as to what was done elsewhere in this matter. The High Commissioner reported that the following concerns employed the piece-work system to a greater or lesser extent: The Great Western Railway, in practically all the shops at Swindon; the Great Northern Railway, throughout the system; the London and North-Western Railway, in all its shops; the North-Eastern Railway, in the locomotive shops; the Admiralty dockyards; the C.P.R.; the Canadian Grand Trunk, and on the railways in Victoria, that paradise of the working man when he was in the ascendant. It had been said—and he was very sorry to hear it—that a great slur had been cast on the men.

Sir T. W. SMARTT (Fort Beaufort):

Do you withdraw the charge?

*The MINISTER OF RAILWAYS AND HARBOURS:

It has been said that I put a slur on the men. I read the report made by experts, but, sir, I do not know that reading that report is necessarily casting a slur. But if some shops are more inefficient than others it is my duty to say so, and I shall say so—(Ministerial cheers)—if we think it is deserved. I do not say it is, or it is not, in this case. But are we going to be such poltroons that we dare not speak the truth? (Ministerial cheers.) Are we to he so intimidated because men have votes? (Ministerial cheers.) If I think that any shop is inefficient I shall say so. I know that this objection is partly made in order to get political capital; it is done very largely to estrange the good feelings which have existed—and which I hope will continue to exist—between the railway people and myself. If I should do anything which would separate the people with whom I have worked most agreeably—and I speak more particularly of the people at the Cape—nothing would give me greater regret than to feel that I had lost even a little measure of confidence or a large measure of their good feeling; but I shall be slow to do anything which will disturb this pleasant relationship. I hope I shall show that I shall be as good a friend in the future as I have been in the past.

PIECE-WORK COLONIES.

But I have duties to discharge, and I am going to discharge them, and if I come to the conclusion that it is in the best interests of the Union and of the Railway Administration that a change should be made in the workshops it is my intention to do so. (Hear, hear.) Continuing, Mr. Sauer said he was very conscious that the piece-work system might lend itself to abuse, but under the Government men would be treated more fairly than they would be private employers. He could hardly think that a South African—be he a railway man, a salaried man, or any other official—was likely to overwork himself. Cur climate was against that, and none of us worked hard in a climate like this as people did in a northern climate, and if the railway men did not work so hard as elsewhere they were only following the example of South Africa. As to what was to be done in the future, this matter would receive most careful consideration—(Opposition laughter)—and a decision would be come to very soon as to what was to be done. He had been asked whether he would submit to Parliament for its approval, or otherwise, what should be done in this matter, but he told his questioner that he could give no promise. It was purely an executive matter for which the Minister must take the full responsibility, and that was the course that would be pursued. He wanted to make it perfectly clear that if this change were made it would be done only after full consideration, and with a view to minimising all possible abuses—none existed at present. He heard no complaints, and if the change were made men would not—as it was supposed—be thrown out of work. The Commission said that they could employ these men on work that was now done elsewhere. At that moment they were having railway work done in Europe that could be turned out here. They could act very largely on the lines sketched out in the Majority Report and so need all the people they had at present in their employ to do good, useful work at a sufficient rate of pay. He was sure that none of them would earn less than they did to-day, while many of them would get much more. All that would be fully taken into account if a decision was made to change the present system.

RAILWAY MEN’S UNION. Mr. W. B. MADELEY (Springs):

Will you take the opinion of the men?

*The MINISTER OF RAILWAYS AND HARBOURS:

I have never refused to hear them. (Ministerial cheers.) If they wish to approach me and lay their case before me I shall give it full consideration. I shall take no step in the matter before they have ample opportunity of voicing their view. Continuing, he said there was only one more question he wished to deal with. He had been told that, rather by inference than otherwise, he said it was proposed to take away the political rights of the railway employees in Natal. He had never said that. What he had said, and said again, was that the men in Natal should enjoy the same rights as the others, and any rights they had in excess of those enjoyed by the men employed in the Cape and Northern sections, and by the Civil Servants would be abrogated from them. Their ordinary political rights would be enjoyed by them just the same. In reply to the hon. member for Maritzburg, who spoke about recognising the men’s Union, would they let him say at once that he had no objection to the Union per se. He had no objection to railwaymen or workmen seeking to get their rights, or seeking to get a minimum wage. He entirely shared the view that in the past the division of profits between the employer and the employee had not been on the side of the employee, who was perfectly within his right to try to improve his position. But when they told him that he must recognise the Union that did not consist of half the people in the Service—

Mr. W. B. MADELEY (Springs):

Oh, yes.

*The MINISTER OF RAILWAYS AND HARBOURS:

It is only 40 or 45 per cent.

Mr. H. W. SAMPSON (Commissioner-street):

Who told you that?

*The MINISTER OF RAILWAYS AND HARBOURS:

The Administration told me, and I believe them. The Union does not comprise all the men, nor even a majority. More than one man on the railway had said: Save me from the Union. (Labour cries of “No,” and Ministerial cheers.) Proceeding, he said that even a minority had rights, and why should he take cognisance of a body that could not speak for all, and ignore the others?

Mr. W. B. MADELEY (Springs):

Hear them as well.

*The MINISTER OF RAILWAYS AND HARBOURS:

The Union wished to speak for the whole Service. He was going to leave it perfectly free, and would endeavour to let the men understand that whether they joined the Union or no it would be all the same, and they would enjoy the same privileges. It was all very well for the officials of the Union to take up this attitude, but let him tell the House that he knew what was going on in the railway. Many people did not favour the Union, and preferred to remain outside it—(hear, hear)—and he was bound to regard the feelings of those people. He would treat union men and non-union men alike, fairly and justly—(Ministerial cheers)—and he would take no step that would coerce any man to join that body. (Ministerial cheers.)

Mr. F. H. P. CRESWELL (Jeppe):

On a point of order, will the Minister lay on the table—

Mr. SPEAKER:

No; that isn’t a point of order.

Mr. CRESWELL:

The Minister—(Loud cries of “Order.”)

Mr. SPEAKER:

The hon. member must resume his seat. He has already spoken. (Further cries of “Order.”)

Mr. W. B. MADELEY (Springs)

said that he did not intend to speak at any length. He wished only to ask the question that the hon. member for Jeppe had been prevented from asking. Would the Minister be good enough to lay on the table the whole of the report from which he quoted?

Mr. SPEAKER:

The Minister has replied, and cannot reply further.

Mr. MADELEY:

I am not asking him to reply. (Ministerial cries of “Order.”)

The motion for the House to go into Committee of Supply on the Estimates was agreed to, Wednesday being the day fixed.

Mr. F. H. P. CRESWELL (Jeppe):

Before proceeding, sir, I want a ruling. A few days ago, I asked you whether—(Cries of “Order.”)

Mr. SPEAKER:

There is nothing before the House for a ruling. Does the hon. member rise to a point of order?

Mr. CRESWELL:

I do.

Mr. SPEAKER:

What is the point of order?

Mr. CRESWELL:

The point of order on which I wish your direction is this. A few days ago I asked you, sir, to direct that certain papers should be laid on the table. I was then informed that too long a period had elapsed since the incident to which I had referred, and my application to you is to order these papers to be laid on the table. A few minutes ago I wished to ask whether the Minister would lay certain papers from which he quoted on the table, and I was not allowed then to do so I want to know precisely the right moment when I can ask that these papers be laid on the table.

Mr. SPEAKER:

I am not prepared to give a ruling as the question does not arise now.

Mr. CRESWELL:

When can I bring it up?

Mr. SPEAKER:

The hon. member can give notice

Mr. CRESWELL:

Can I ask now that the papers be laid on the table? (Cries of “Order.”)

Mr. SPEAKER:

No, the hon. member is out of order.

LAND SETTLEMENT BILL.
IN COMMITTEE.

New Clause 16,

†Mr. J. G. KEYTER (Ficksburg)

moved the following amendments: In line 30, after “may,” to add, with the approval of Parliament first obtained”; and in line 33 to delete “exclusively” and to add a new sub-section (5) as follows: “A report containing a list of all applications received, and all applications accepted and rejected, shall annually within one month of the commencement of each ordinary session of Parliament be laid on the tables of both Houses.”

The MINISTER OF THE INTERIOR

said he did not think that the hon. member was securing his object. He hoped that his hon. friend would not move the end of the amendment, but embody it in another clause. He sympathised with the first part of the amendment, and would support it.

Mr. F. D. P. CHAPLIN (Germiston)

said he thought it a distinct advantage that the House should have full particulars, but could not understand the Minister supporting the first part of the amendment. He was surprised at the attitude taken up by the Minister, because in committee the Minister of Lands accepted the proposal as it stood.

Mr. D. M. BROWN (Three Rivers)

said that the clause was drawn up by the Minister and placed in the Bill.

The MINISTER OF LANDS

said that he could not see that the amendment made any great difference, and he hoped it would not give rise to two discussions instead of one.

Business was suspended at 6 p.m.

EVENING SITTING.

Business was resumed at 8 p.m.

†Mr. J. G. KEYTER (Ficksburg)

withdrew the new sub-section.

*Mr. F. D. P. CHAPLIN (Germiston)

said that now an hon. member on the Ministerialist side introduced an amendment which altered the tenour of the whole section

An HON. MEMBER:

How?

*Mr. F. D. P. CHAPLIN (Germiston):

I will tell you why. The hon. member went on to say that as regarded its effect on the practical working of the Bill, it seemed to him the amendment would make all the difference in the world. It was now proposed that no applications from oversea shall be invited, except with the express approval of Parliament. That meant that, in spite of the fact that the Bill gave Government the power to invite applications, that power was only to be exercised in favour of applicants on this side; and that for applicants from oversea fresh legislative sanction had to be obtained. Well, that rendered the section perfectly useless. He thought it was perfectly obvious that it would nullify the whole policy that was contained in this section, and that was a policy on which they on that side of the House had laid great stress. He did not want to go into details, but it was perfectly well known in the House that leading members of the Government had identified themselves with that policy. The Prime Minister identified himself with it in speeches delivered in London, and the Minister of the Interior strongly in speeches delivered up-country, and now that a concrete proposal was brought forward, they had members on the Government side bringing forward amendments that would nullify the idea, and Ministers getting up and telling them they should accept them, because they would have no effect on the section. That was a policy they could not support. (Opposition cheers.)

The MINISTER OF THE INTERIOR

said he failed to understand the reasoning of the hon. member opposite, and failed to understand by what process of reasoning he came to the conclusion that the amendment was going to nullify the effect of the section. He would have thought that hon. members opposite would welcome this amendment. (Opposition laughter.) His hon. friend the Minister of Lands would come to Parliament next year—he would suppose—and asked for £100,000 to be devoted to buying up land for distribution among settlers. Parliament voted that money. If that money was voted, as the section now stood, it would be competent for his hon. friend to say: “I am not going to devote a single penny of that money to South Africans. I want to favour a policy of land settlement from abroad. I am not going to give a single holding to a South African; but the sum I am going to devote to settlers from abroad, and I am going to send all these lots to England or Europe to be allotted.” What did the amendment say? Under it—and he would have thought the hon. members opposite would welcome this policy more than hon. members on his side—the Minister of Lands would ask for £100,000, and in asking for that sum of money to be devoted to land settlement, he would have to say: “I am going to devote £5,000 or £10,000 to be allotted abroad.” As the result of that the House would have the fullest information so as to be able to shape the policy of the Government. He would have thought hon. members opposite, who favoured land settlement, would welcome this, as otherwise the Minister would be able to devote the whole of the £100,000 either to applicants from abroad or here, and the House would be none the wiser. The advantage of the amendment was that when the House was asked for money it would know exactly what were the intentions of the Government. Parliament should be able to criticise the policy in advance. The proper thing was when the Minister asked Parliament for money for land settlement, he should state, for the approval of Parliament, how much was to be devoted to settlers in this country, and how much to settlers from abroad. He thought the fears of hon. members opposite were entirely groundless. It was most unfortunate that they should start with the assumption that the object of the amendment was to kill land settlement from abroad.

*Mr. P. DUNCAN (Fordsburg)

said that when the Minister of the Interior asked the Opposition why they were so distrustful, he (Mr. Duncan) would remind him of what was said a few days ago by the mover of the amendment, namely that if he had thought that a clause of that kind was to be put into the Bill he would not have voted for the second reading, and that so long as a single Afrikander wanted land, not a single person should be brought from abroad.

Mr. J. G. KEYTER (Ficksburg):

I never used the word “Afrikander,” but white persons.

*Mr. DUNCAN:

I did not use the word “Afrikander” in a racial spirit. But is that not enough to make us wonder whether the amendment is to further the object we have at heart? We think this amendment is intended to affect the whole meaning of the section. Proceeding, Mr. Duncan said that the Minister had stated that the amendment would extend Parliamentary control but he (Mr. Duncan) trusted that the Minister would have to show how the money was to be spent in any case. If they must come to Parliament anyhow for money, why put the section in? (Opposition cheers.) The Opposition had no doubt as to what the intention of the amendment was. If Parliament wanted to consider the principle of giving land to settlers from oversea, let Parliament consider it now. The question was before Parliament now, and if Parliament were against that principle, they would rather it said so now. (Opposition cheers.) But if Parliament were not against that principle, why put in the amendment? He did not take the optimistic view of the amendment that the Minister of the Interior did. They had heard views during some days past upon this clause, and that it seemed to be taking away the inheritance of the children of the country. Surely this land was not the inheritance of the people who were living here only. Where would the hon. members be now if this policy had been applied in the early days of South Africa.

It seemed to him that they were saying to the whole world “we are the chosen people.” No wonder that anyone hearing such statements would say that the progress of the country was delayed. Because of the few people that were here they wanted to divide up the land of the country and prevent others from making good use of it. He regretted that the Minister of the Interior had given up his views, because of the people who were behind him. As far as he was concerned he had no objection to the amendment brought forward by the hon. member for Standerton. They would not say that the people who belonged to the country should not have the first chance, but they did not want to shut out people from oversea. He could only come to the conclusion that the power in this section would never be used, unless the hon. member for Ficksburg modified his views. (Opposition cheers.)

†Commandant H. C. W. VERMAAS (Lichtenburg)

said that they respected the opinions of hon. members on the opposite side, and he hoped that they, on their side, would respect the opinions of members on the Government side. The Select Committee had gone and put an altogether new clause into the Bill, and he could not be expected to accept it without some consideration. They had no objection to people coming into that country from Europe, and they were quite free to come in, but it was quite a different matter when they said that the Government must assist them with money belonging to the State. The idea of the Opposition, no doubt, was to get more people into the country who would be their political supporters—(hear, hear)—and he was not going to help them in that.

Mr. H. M. MEYLER (Weenen)

said they had all come to the conclusion that the Minister of Lands wished to bring forward a decent Land Settlement Bill for South Africa. They had worked with him in committee and the clause was actually drafted by the Minister.

Sir T. W. SMARTT (Fort Beaufort):

With the consent of the Government?

Mr. H. M. MEYLER:

Of course, with the consent of the Government. Now, the Minister of the Interior comes to the House and explains an amendment which wholly alters the Bill. Do we understand that the Minister of Land agrees to that? Would it not be better if he said that he had altered his mind. Continuing, the hon. member said that the Minister of Lands’ colleague, the Minister of the Interior, had quite enough upon his own shoulders. What would he say if the Minister of Lands were to alter his Defence Bill? The increase of the native population was at nearly double the rate of the increase of the white population in the Free State. (An HON. MEMBER: “There is no danger.”) When the voortrekkers first went to the Free State there were no blacks there at all. Hon. members opposite looked at the matter from the view-point of their present convenience. With the Irishman they exclaimed: “What have we to do with posterity! What have they done for us?” They were asked to completely nullify the effect of this clause by the amendment. They were showing their teeth. Without a better explanation from the Minister they were bound to think that he was in the know as to the alteration, and was shielding himself behind the hon. member.

†General T. SMUTS (Ermelo)

said it appeared to him the Opposition thought they were the only people who loved South Africa. The last speaker alleged that hon. members on the Government side of the House did not think of the future, but only took account of present advantages, and were therefore lacking in true love of the country. But on his side of the House there were men who were a hundred times more devoted to their country than was the hon. member for Weenen, who was about the last person who should make them such a reproach. He believed the hon. members on his side knew South Africa more than the hon. member for Weenen did—(hear, hear)—and they were not opposed to immigration, and hon. members opposite had continually girded at the Government, both this session and last, for spending money without the authority of Parliament, and yet they now raised opposition to the provision in the amendment, whereby the sanction of Parliament had first to be obtained for spending money. He could not understand such an attitude. The amendment was necessary, as the Minister was thereby compelled to show how he proposed to spend the money. It was said they wanted immigrants in order to improve the relative proportions of whites to blacks. In 1840 the disproportion would have been even more to the disadvantage of the whites, and yet the whites continued to exist. (Ministerial cheers.) He agreed that it was wise that they should increase the number of whites, but it should not be used as an argument in favour of immigration with State help.

Sir H. H. JUTA (Cape Town, Harbour)

did not think that the hon. member for Weenen had been quite fair to the hon. gentleman. He thought that after the speeches made by the Prime Minister and the Minister of the Interior—who, he was sure, loved South Africa as well as the hon. member for Ermelo and himself—that the right hon. gentleman had no course left open but to carry out what these gentlemen, in their capacity outside the House, had given to the world, namely, that through affection for the welfare of South Africa, we should increase our white population, and as we could not do that sufficiently from within, we should encourage immigration from without. He thought that when the Minister proposed this clause he was honestly carrying out what his leader had publicly expressed his conviction in favour of. But, since then, a change had come over the scene, and it had become pretty evident that that clause was not going to be carried. The hon. gentlemen opposite were up in arms, and there was no need to make a mystery of it: they were opposed to immigration from abroad. (Ministerial cries of “No.”) Perhaps he might be able to convince the hon. member for Ermelo of the erroneous basis on which he had built his remarks. He put it to the House that a change had come over the scene, and that a number of the supporters of the right hon. gentleman who introduced this clause were not in favour of it, and were not going to carry it. It therefore became necessary for the Ministry to save its face. (Sir T. SMARTT: “Hear, hear.”) Those of them who had some experience of Parliamentary practice knew how it became necessary for a Ministry to save its face. (Laughter.) Consequently, the Minister of the Interior got up, and of all the specious special pleading—(laughter)—that touched the fringe of the question and left out the substance, he had never heard a better example. (Laughter.) If the hon. member for Ermelo would give him his ear, he would show how utterly specious and unfounded was the plausible statement made by the Minister of the Interior.

If Parliament were asked by the Minister of Lands for money to buy holdings, the point taken by the hon. member for Ermelo (General T. Smuts) was that Parliament ought to know whether those holdings were for men from oversea or for men in this country. The Minister was not bound to come to Parliament for one penny, provided that there were Crown lands belonging to the Government which might be allotted for holdings, and provided that the Government had got lands of its own, which it might exchange privately for lands which would be suitable for holdings. The hon. member for Ermelo understood that, because he had said that he was in favour of immigration from oversea, provided it did not cost anything. (General T. SMUTS: “Oh. no. no,” and laughter.) He had gone on to say that if the money had to be voted by the House for immigration from oversea, it was only right for the House to know’ what money was to be voted for that purpose. What became of the argument of the Minister of the Interior that the new amendment only meant coming for money? It meant, of course, absolutely nothing of the sort. Government need not come to Parliament for a single penny. Therefore it was absolutely incorrect, to say the least of it, to imagine that that amendment, which said that the Minister might only with the approval of Parliament allot holdings to immigrants from oversea, meant only that you must come to Parliament for money—because it did not mean that. The meaning of the amendment was that you would have to come to Parliament, and that the Ministry would not be able to allot a single acre of ground to an immigrant from oversea without taking a vote of that House and setting the whole of the machinery of the Union Parliament in motion. Therefore, it was quite erroneous to say that the vote for money was an essential part of that amendment. It was not. If that was encouraging immigration, it was a most extraordinary way of doing it. (Opposition cheers.) Either they meant to assist immigration, or they did not—it might be a good thing or it might be a bad thing—but if they adopted the policy which had been laid down by the Prime Minister and the Minister of the Interior, was any man of sense going to say that every acre you were going to allot to an immigrant from oversea was to be voted upon by that Parliament? It was a farce, and it meant that no man was going to come in from abroad.

*The MINISTER OF LANDS

said that the hon. member who had just spoken had got into such a way of using superlatives that one was almost afraid to reply for fear of again raising his ire. (A laugh.) If the hon. member would do him the justice—that clause had not originated with him, but with an hon. member who was not present just now—

Mr. M. ALEXANDER (Cape Town, Castle):

You accepted it in the committee.

*The MINISTER OF LANDS

was understood to say that he had, and he was not escaping the responsibility. (Hear, hear.) He had been, and was still, for the clause as it stood, with any reasonable emendation which could be made to make it clearer. (Opposition laughter.) In dealing with that question preference should be given to those who were in the country, and provided that there was a sufficient number in the country of the right quality they need not go hunting outside—and they all admitted that that had been said by everybody. The clause, as it stood, had engendered doubts in the minds of those who sat behind him that there was no guarantee that it might not be use d in the “opposite” direction, and that preference might be given to those of other countries. Preference should be given to those who were here. He maintained that one could not guarantee it by putting in a percentage which might be, or seem, a fair one to-day, but in a few years’ time too small for the requirements of the country.

He did not think that the committee should tie this down to a question of percentage. They wanted any assurance, and surely hon. members who were not prejudiced members, were entitled to ask for that? Let them give these hon. gentlemen that assurance. They wanted to deal with it in such a way that the person in South Africa would have the preference. In some respects it was a question of money, and they said: “Don’t come and tell us what you have done when we have not got the control.” Hon. members on his side wanted to be certain that the circumstances with which they had to deal would be fully considered. This law would be on the Statute book for a long time, and they did not want to see the stable door shut after the steed had gone. He (the Minister) did want to see new blood introduced into this country. He did want to see quality introduced into this country and they had to reckon at the same time with the circumstances of the country. He said they should give hon. members the information beforehand to which they were entitled. Why should they deny the principle of going to Parliament? He thought they should give the article a fair trial and not judge after the event had happened. This suspicion on both sides was ill founded.

Sir T. W. SMARTT (Fort Beaufort):

I am extremely sorry for my right hon. friend —

The MINISTER OF LANDS:

Thanks. (Laughter.)

Sir T. W. SMARTT (Fort Beaufort):

I will tell my right hon. friend why, and I think that many hon. members will agree with me. I have never seen a Minister subjected to such indignity by one of his own colleagues as the Minister of Lands has been subjected by the Minister of the Interior, the reason being, no doubt, that my hon. friend the Minister for the Interior’s argument was so subtle that he thought it would be impossible of interpretation by the Minister of Lands. Continuing, he said that the Minister of the Interior, despite what happened before the dinner interval, had not shown very much interest in the matter. The Minister of Lands piloted this Bill through the second reading and into the hands of a Select Committee, and he found on page fifteen of that committee’s report that the Chairman moved—why the Chairman moved it he did not know—a new clause embodying the suggestions that had been brought forward because he found them so good. Now the Government was being dragooned into an entirely different policy, and it was a case of the tail wagging the dog. He regretted that his right hon. friend the Prime Minister was not in the House to give them his definite policy on immigration and land settlement. He understood that the Prime Minister was in the building at the present time, and he would be obliged if one of his colleagues would send for him in order that the House might obtain from him a statement of policy in regard to this land settlement scheme. Either the Government was in favour of encouraging immigration, either the Government was in favour of that policy enunciated by the Prime Minister in England, or the Government was in favour of the policy enunciated by the Prime Minister when, yielding to pressure, he went to Losberg and repudiated every word of what he had said in England. (Cries of “No, no,” “Nonsense,” and Ministerial laughter.) Hon. members on the other side might laugh. Would one of his hon. friends send for the Prime Minister? His hon. friends laughed. It was a serious thing when the House was not in a position to get a straightforward exposition of the policy of the Government on this subject.

The hon. member said they were. He believed two members of the Government honestly were in favour of it—the Prime Minister and the Minister of the Interior—but their favour was useless when they were afraid to carry out the policy of which they were in favour. (Opposition cheers.) He did not know why the Prime Minister was absent. He sympathised exceedingly with the hon. member for Ficksburg. He was honest enough to get up in the House and say that he believed in the policy that was enunciated by the Minister of Lands before his instantaneous conversion in the committee-room the other day, and in the policy enunciated by the Minister of Justice. The Minister of Lands said some short time ago, while the Prime Minister was in England—he would contradict him if he was incorrect—that to introduce set tiers into this country before every white person in it was settled on the land, would be a sin. He may have said a crime; but at Smithfield he said a sin. But what did the Prime Minister say in London?

An HON. MEMBER:

We know.

Sir T. W. SMARTT (Fort Beaufort):

You know it, and it is because my hon. friend knows it that he thinks it is necessary to move this amendment to make it impossible for my right hon. friend the Prime Minister to carry out that policy. I understand it thoroughly; but I want the House and the country to thoroughly understand the position in which we find ourselves. The Prime Minister in London said on May 27th—there have been great changes since then. He said: “We have a very large country in South Africa—”

An HON. MEMBER

So we have.

Sir T. W. SMARTT (Fort Beaufort):

Right, and we want ‘to fill it up with suitable people to develop it; and you want to prevent it. Let us be perfectly clear upon the position. It is perfectly justifiable for hon. members to hold different views from me, and to advocate that position. I am not disputing so much with them; but I say you have a certain section of people in this country who won’t allow you to know what their opinions are. It is not the position of my hon. friend who honestly speaks out and tells us his position; but it was the position of the Minister of Justice who speaks at different places with a different voice. The Prime Minister said in London: “We have a very large country in South Africa; but it is a country full of problems and we ask that we should be helped to solve our problems in the best possible manner. In assisting people to immigrate to our part of the Empire we ask you to send your very best men. (Loud cheers.) We have any amount of room for a large population in our country. Those men who began to establish the policy of liberty in South Africa may die, but the fruits of that policy will live for ever, and that will continually bring South Africa closer to the Mother Country.”

Proceeding, Sir Thomas said he had to cheer the Prime Minister himself, because he believed those sentiments were genuine; but he was also beginning to think he was living in an atmosphere of make-believe. (Opposition cheers.)

At the Imperial Conference there was a very interesting debate, at which the Prime Minister spoke, and he would commend it to the hon. member for Ficksburg. He said “Now, I am very much in favour of supporting emigration to South Africa.”

An HON. MEMBER:

Hear, hear

Sir T. W. SMARTT (Fort Beaufort):

Well, I wish my hon. friend and other people who think with them would give us some tangible expression of their favour by voting for this clause and not voting for the amendment, which makes it entirely inoperative. The Prime Minister, proceeding, “But there I do not want men who will be idle in the streets; I want agriculturists, and for that class I am prepared to spend money, and I hope, if we get over this difficulty we have with the Union-Castle Company and get that settled, to make provisions to support our immigration scheme, because we are in favour of it, and we are going co encourage it to a very large extent. But, at the same time, I think we shall have to be very careful in bringing in or trying to bring in the best and the right men to South Africa. Unless we are careful it will be a hopeless failure and a great drawback to us in South Africa. Everything, therefore, depends solely upon the selection of the men.”

Well, proceeded Sir Thomas, he would ask hon. members on that side of the House if anything could be more plainly stated in favour of the duty of the Government to arrange for immigration into this country of immigrants suitable for agriculture, than the statement made by the Prime Minister at the Imperial Conference in London last year. Had his hon. friend read the Bill? Did he know that under this clause immigrants who would be assisted to come into South Africa would be carefully selected in England? It was a most regrettable thing that hon. members on that side of the House differed from hon. members on this side with regard to the advisability or not of introducing immigrants into this country. What he did say was that the attitude of the Government—in one place they said one thing and in another they said another thing, whereby the people of this country had no real idea of the policy of the Government. (Opposition cheers.) He thought that those who had sat in this House and seen how the pressure of the back-benches on the Government prevailed, knew full well, no matter what their intentions were, their policy was a policy of maintaining the votes of these gentlemen behind them Well, it was not a very high-minded position to behold. It was pitiable. The Minister of Railways and Harbours smiled. Surely it was the duty of the Government to lead the House? Surely it was the duty of the Minister of Lands, after accepting this clause in the Bill, not to be dictated to by the hon. member for Ficksburg; but to tell him that this was the confirmed and thought out policy of the Government, and if the hon. member and his friends did not like it they had their opportunity in this House of voting against it. (Opposition cheers.) Surely the House was not going to expect that the Government was going to run away from its own policy, and—worse than that—to have speeches of the Minister of the Interior giving the idea that the Government was in favour of oversea immigration, when it must have given assurances to hon. members on the Government benches that if the amendment were carried it would make the Bill absolutely useless. (On-position cheers.)

†Mr. H. S. THERON (Hoopstad)

saw nothing absurd in the amendment. The speeches which had been made by the Prime Minister were not in conflict with the object of the amendment. It was untrue that the Minister of Justice had described immigration as a crime. That was a half truth, and therefore worse than a lie. What the Minister had said was that immigration at the cost of the State was a crime. He (the speaker) was astonished that the Opposition was willing to place so much power in the hands of the Minister of Lands, seeing that in the debate on the Irrigation Bill they were unwilling to give him any power at all.

Mr. F. H. P. CRESWELL (Jeppe)

said that whether the amendment was carried or not, he did not think it was going to make a particle of difference to the amount of immigration that there would be. Whether they put in the amendment or not, they, on the cross-benches, did not believe it was going to make any real difference, for no immigration was ever brought about by measures mainly destined to induce the immigration of persons with capital. (Hear, hear.) The hon. member for Ficksburg had conveyed the impression of being frightfully nervous about anyone coming into the country. (Hear, hear, and “No, no.”) They entirely sympathised with the view that it was not right to take the children’s bread and cast it to people from outside. That view was very closely akin with the feeling which prevented hon. members on the Government benches from really facing the land question in this country. When they saw a large number of men born in this country gradually being driven out of agricultural pursuits into the towns, they said that the same process which made it difficult for these men to exist on the land was going to make it equally difficult for immigrants to exist on the land. If hon. members opposite would bring some of their patriotism to bear in considering the circumstances of their own countrymen who were becoming more and more landless, the same measures they would take to cure these evils would be the same measures that would bring about a natural stream of immigration that was desired. Convinced as he was that the main reason of this amendment had its rise in the old feeling that no one outside the country should come in—(loud Opposition cries of “No”)—he would oppose it.

*Mr. J. HENDERSON (Durban, Berea)

said he was a member of the Select Committee which sat on the Bill. It was not the Minister of Lands who introduced the suggestion first, but when it was introduced he accepted it without an objection, and said that he would see that the idea was put into proper form. Later on the Minister moved that very clause. What was the use of having a Select Committee and having a clause accepted by the Minister, only to find when the matter came before the House that he went back on it? (Hear, hear.) They believed that the Minister in bringing forward this clause brought it forward with the full consent of his colleagues, and that he would do his best to see it through. What were they to expect from this manoeuvre? He was one of those who read the speeches of the Prime Minister in connection with this question, and many people in Natal believed that he meant what he said, and they meant to stand by him. Why was the Prime Minister not there just then to stand by and defend his action? As already had been pointed out, this amendment was to prevent people from coming to South Africa. Why had they not come forward and said they wanted to have the clause deleted? Anyone would see who had studied the Bill that it was intended mainly for people already in South Africa, and this clause was the only one in it providing for the settlement of immigrants from oversea. It was only a permissive clause, and the Minister was not bound to take action under this clause, but the Government could work upon the clause if they wanted. According to a statement the Government had 50,000,000 acres of land, much of which could be used for settlement, and they would not need to use the amendment of the hon. member for Ficksburg at all. After all it was well that they knew the policy of the Government, and that there was no further need for misunderstanding. If this clause were not passed, then they would understand the policy of the Government. (Opposition cheers.) He welcomed the amendment of the hon. member for Ficksburg, because they knew now what was intended. Taking for granted that this was the position, he thought members on the other side were very short-sighted. If they looked to the future of the country, how could it possibly go ahead if they did not encourage immigration? If they took the whole of the Union population, they would find that the black population was increasing four and a half times faster than the white. How were they to counteract that? Last year it would be remembered the Senate appointed a committee to inquire into this very matter.

They stated in their report that the presence of a large coloured population in South Africa was an outstanding factor in the consideration of closer settlement. Whilst it afforded a cheap and very good supply of farm labour, under such conditions unskilled white labour could not be economically settled in South Africa. In the best interests of the Union, the committee considered that the ranks of the settlers should be supplemented by settlers from oversea. It seemed undoubted from the evidence (they continued) that the chances of individual prosperity would be far greater by the addition of fresh settlers from oversea The interchange of ideas would be beneficial, and the promotion of individual friendship between members of the different races would be a national gain. The committee went on to state that they believed if there was an organised and earnest system of land settlement, these requirements would be met, and recommended that while this was being provided for, steps should be at once taken to organise the introduction of reliable settlers. It seemed to him that there could be nothing clearer than that. The committee had been comprised of Senators on both sides, representing both races, and they were agreed on that point. Any hon. member who cared to go through the evidence would find the opinion running throughout that the country required settlers from outside. He earnestly asked hon. members opposite to be careful in connection with this matter. They should not let the impression go abroad, beyond the House and beyond South Africa, that the people of South Africa did not want settlers from oversea, and that they wished to keep this country a close preserve for the people at present in it, and that they wished things to remain as they were. Under those conditions, they were bound to go back. He thought this a very important subject. He was not sorry that it had come before the House. The sooner it was decided one way or the other the better. (Opposition cheers.)

†Mr. L. GELDENHUYS (Vrededorp)

said it appeared to be the opinion of the Opposition that they on the Government side of the House were entirely opposed to immigration. That was not the case. He (the speaker) was not opposed to immigration, but it ought to be placed on a proper basis, and should not be allowed to degenerate into a sort of speculation. They wanted more help in South Africa to cultivate the land, but it was their duty in the first place to help those who were already here That policy had always been preached by the Prime Minister. The speaker was not afraid of immigration, nor of immigrants from oversea becoming landowners here, and it was improper continually to reproach back bench members with being opposed to the whole policy of immigration. Immigration was one of the planks in their political platform. Hon. members on the cross-benches were always talking about a land tax and such like proposals, but in his (the speaker’s) opinion it was not the right thing to import newcomers at the cost of the State. He could not understand why they should not be prudent in such a matter, and that was the object of the amendment.

*Mr. C. L. BOTHA (Bloemfontein)

said there was one point which hon. members on that side of the House, at all events, should consider in all seriousness. It had been the policy, since the Union Parliament was started, for the Government when it brought before the House a matter which concerned the interests and was in the best interests of the country—it had been the custom of the Government to suggest to his (the speaker’s) side of the House that such a measure should go to a Select Committee. That was done in this case. The point was that this clause was introduced into and passed by the Select Committee which was appointed, and they had it from the Minister of Lands that he himself was responsible for the introduction of this very clause. The moral which they had to draw from this experience was that in the future hon. members on his side of the House must be very careful about what they did, and not be so eager to help the Government over stiles. It had proved a complete let-down on hon. members on that side of the House, and Government had gone back on what they had done in the committee. It was pitiful to see the attitude which had been taken up by the Minister of the Interior, and he (the speaker) would like to see the Minister of the Interior on his (the speaker’s) side of the House and hear what criticism he would have brought forward on such a subject. His argument was that this was a safeguard against the rash action of a Minister who might devote all the land at his disposal to settlers who came from over the seas. He could hardly understand the position of the Ministers; it was the most extraordinary position he had ever heard of in any Parliament. He had a good suspicion why his hon. friend the Minister of the Interior had come forward in an attempt to save the Minister of Lands from the consequences of his rash act when the Bill was before the Select Committee.

He thought the time had come when the country realised that the policy of oversea immigration enunciated by members of the Government was mockery and mere farce. He thought that the Prime Minister believed that the salvation of South Africa lay in the introduction of new blood, but he was not allowed by his followers to enforce his views on this important subject. It was futile for the Minister of the Interior to tell them what was meant by the amendment which had been tabled, in the face of speeches which he had made from time to time in that House. The time for words had gone past. He would point out to his hon. friend the member for Vrededorp that he was not now standing on an election platform of that place. He was not on the platform at Vrededorp making promises; but was in the House of Assembly at Cape Town, where he should carry the promises out. He asked the hon. member to fulfil the promises which he had made on the platform at Vrededorp. If they required a million acres of land; if it was necessary to borrow a million to buy land for first settlers who were in the country, then they ought to borrow another five millions to settle people who came from overseas. It did not matter so much from what part of the world these settlers were imported so long as they were good settlers. He would not be opposed to the introduction of settlers from North Germany, and they could get excellent settlers from Denmark. If they could get good settlers from these countries why should they not get them? He did believe that if they encouraged immigration from overseas and spent money, therein would lie the salvation of the country. If the committee passed this amendment, then he (the speaker) would be in favour of the deletion of the whole clause. The clause would be absurd if the amendment were inserted. Why should they insert something into the Bill saying that legislation for legislation could be passed by Parliament in the future, when all they need do was to tell the Minister to bring in such a measure. There was no point in it. There was no necessity for it. He thought that the time was passed when the Prime Minister or any other member of the Government could throw dust in the eyes of the people of South Africa, and he was delighted at the remarks which had been made by the hon. member for Durban. The warning had been given the Government that the time for throwing dust in the eyes of the people was past. People were beginning to realise that the speeches of the Prime Minister on the subject were merely oracular. They knew these speeches meant nothing.

†The PRIME MINISTER

expressed his regret that the business of his Department had prevented him from being present at the debate from the beginning, as he would have liked to hear the speech by the Leader of the Opposition. He (the Minister) had never misled anybody and never would mislead anybody, least of all he British people. What he had stated in England, and what he had stated in South Africa, he intended to repeat. It was the truth. If the amendment were agreed to, it would be much easier for him to give effect to what he had said. He had been accused of breaking his cord, and it had been said that South Africa could now see what the speaker’s real object was. Such speeches were not intended to assist in obtaining immigrants for the country nor to help to advance the good of the country, but there was something behind it all. What they wanted was to have more men who would vote for the Opposition. (Hear, hear.)

Mr. M. ALEXANDER (Cape Town, Castle):

You do not get voters from Den mark.

†The PRIME MINISTER:

The amendment was honestly intended to settle a difficult matter. It was well known that public opinion in South Africa was divided on the question of immigration, a large proportion of the people being opposed to it. The clause as amended would accordingly give Parliament complete power to supervise immigration, and it was so drafted that the question could be discussed every year. The Opposition could introduce a motion year after year to compel the Government to disclose its plans in this particular, and if the amendment were accepted the members of that House would be responsible for the carrying out of the immigration scheme. If the clause were left unamended, the Minister might either spend too much money on immigration, or refrain from exercising his powers, and they could never compel the Minister to exercise them. They should not make a political matter of it. His position was made sufficiently difficult already by speeches from some members of the Opposition. When he had declared that before he would support a scheme of State immigration, the tens of thousands of poor whites already in the country ought to be dealt with, some hon. members opposite had at once declared that those poor whites were already proved failures, and that it would be useless to put them back on the land. Those speeches had frightened the public, who had afterwards expressed themselves against immigration. If the Opposition were sincere in the matter, they ought to help him in his work. He regretted that he had not heard the rather sharp speech which had been made by the hon. member for Fordsburg. In a question of settlements they must think not only of the land, but also of the industries. If they wanted a big white population in this country, they must deal with the question not only of importing farmers, but also of workmen for the different factories and industries. It surely was not the intention that immigration should ruin the farmers. Why did not the hon. member for Fordsburg, when he was in power, adopt an immigration policy? All he did was to import 50,000 Chinamen. Why not 50,000 whites? (Hear, hear.) If there were more workmen required, he would be willing to co-operate in importing them. If the hon. member for Fordsburg could persuade his friends to employ fewer Kafirs and to employ more whites, then they could do justice to a policy of immigration. In that case no legislation would be necessary. The people would come of themselves if there was work for them to do. When he (the speaker) discussed the question of immigration he had no other object in view than honourable objects, and the acceptance of the amendment before the committee would assist him. At present they were going in a wrong direction. The Select Committee of the Senate had recommended immigration, but had added that in the matter of settlements preference should be given to those people who were already living in South Africa. That was exactly what the amendment intended. If the clause proved to be practicable they might put a large sum next year at the service of immigration. He was bound to admit that he could not agree with everything which had been said in the House against immigration, but it was a fact that a large portion of the people were opposed to it, and if anything in the nature of compulsion were attempted the matter would certainly not be made any easier. It was impossible to bring forward any valid reason against giving to Parliament a power of supervision. He was a supporter of immigration, but not such as was proposed in the new clause. It was intended by that clause to allocate certain pieces of ground exclusively to immigrants, but such a scheme was bound to miscarry. If they wanted a scheme of immigration to succeed, they must mingle the newcomers amongst the present inhabitants. If ground for settlement were purchased, it would be necessary to make certain parts available for immigrants, and the following year he could point out the available ground to Parliament. His party were entirely in favour of immigration, but they were not disposed to make a failure of it. Mr. Birrell had reported in England on the subject of immigration, and had stated that only a few of the farmers were willing to emigrate, yet those were exactly the people who were wanted in South Africa. It would also be desirable to obtain people from America who were skilled in the culture of tobacco and cotton. If the clause remained unamended, the speaker feared they would have not a single immigrant. The amended clause would facilitate immigration under the supervision of Parliament. Surely they were not afraid of Parliament?

Sir T. W. SMARTT (Fort Beaufort):

Why wait another year?

†The PRIME MINISTER:

Now he has let the cat out of the bag. (Laughter.) They could not begin immediately with immigration, but must first help the people already in the country. There would certainly be no beginning of immigration even in the following year. (Applause.)

*Colonel C. P. CREWE (East London)

said that what he understood his right hon. friend to say was, that the attitude of the Opposition upon this poor white question had frightened his supporters upon the Government side of the House. Well, he would disabuse his mind of that feeling, because they on that side had done the most to make the settlement at Kakamas what it was to-day. (Ministerial dissent.) They would always find them friendly on that side of the House to this sort of idea of restoring people in the country to the soil. The right hon. gentleman said they wanted to get people to come to the country and vote for them, but he would say this, that the party the Prime Minister represented was likely to get just as much support from these settlers as they were. He would go into the question of the law if this clause was passed. In Natal, an Act of 1897 gave special permission to the Minister to declare any of the Crown lands to be available for settlement by Europeans only, at such prices to be fixed, the implication being that they might be offered for oversea settlement. The Prime Minister was not in the House when the hon. member for the Harbour Division (Sir H. Juta) stated that they could not put a single oversea settler into the country unless they came to Parliament. Now, he wanted to point out that although the preamble to the Bill stated, in the first clause, that the Act shall be considered as an addition to and not in substitution of any other Act that had been passed, nevertheless, it was in absolute conflict with the law of Natal, because the latest Act would prevail where there was a conflict. This amendment was certainly going to put up a barrier against immigration, and he hoped the Right Hon. the Prime Minister would think twice before he voted for it.

The question now was whether they had a stated policy from the Government? There was no question, in his mind, that the hon. member for Ficksburg’s intention was to divert the object the Prime Minister’s statement had in view. There was no use making speeches in favour of immigration when they voted against it. The policy of the Government announced by the Prime Minister was just the reverse to that enunciated by the hon. member for Ficksburg. If the Government voted for the amendment, it Would convince the people of the country that it was not the policy of the Government to carry out a policy of immigration into this country. The right hon. gentleman had said: “Vote for the amendment, because hon. members who sit behind me, and who are assisting in passing this clause, as amended, must in consequence vote for the principle of assisted immigration whenever the Government comes down to this House for financial assistance.” Would he put that to the test? Would he put a small amount down on the Estimates, and see whether the hon. member for Ficksburg would vote for the allocation of money for immigration into this country? Would he vote for it?

The MINISTER OF THE INTERIOR:

It is on the Estimates.

*Colonel C. P. CREWE (East London):

What?

The MINISTER OF THE INTERIOR:

It is on the Estimates.

*Colonel C. P. CREWE (East London):

That small amount! Is that supported immigration? The country won’t be populated at that rate. Continuing, he said it was no use the hon. member trying to bamboozle hon. members on his (the speaker’s) side of the House, because they would not be bamboozled. He would only say this: that the Prime Minister had enunciated the policy of the Government in regard to immigration. He (the speaker) had taken his word. He was still prepared to take his word. But not if he voted for the ciause as amended? The result of voting for this amendment would be to put up the barrier that was wanted by the hon. member for Ficksburg. He thought it better to allow the clause to stand over, and allow hon. members on the other side to think over the matter.

*Mr. D. M. BROWN (Three Rivers)

asked who moved the amendment? The hon. member for Ficksburg. What did the hon. member for Ficksburg say at another stage? Now the Minister said that it was a good amendment. No amendment could be good that came from a tainted source, and the hon. member said that he was practically against immigration into this country, so that he thought it was wrong on the part of the Government to allow the hon. member to move this amendment after what he had stated in that House. There seemed to be an idea that this was a poor man’s Bill. It was not a poor man’s Bill. A man had to deposit a certain sum of money. Continuing, he pointed out that if hon. members read up the immigration history of the world, they would find that countries were built up by men who came to them with practically nothing. By whom was South Africa made? It was made by men who, owing to their love for their religious convictions, left their own country and came here with nothing. Let him come to the Minister who had preached them a sermon of platitudes and trust. Who had to do the trusting? Why, they on that side of the House had to do the trusting. It was not a matter that was settled in a day, but it was only brought forward after earnest consideration.

They implicitly trusted the Minister. They went into that committee to do their best to try and put that Bill ship-shape, for it was most crude. The first duty of the Act was to the citizens of this country, driven to poverty under stress of circumstances. He knew the people they should rescue and put on the land. They were told by the hon. members that they would get a vote every year. Was there any other country that took a vote every year? Did Australia do so? Could the unfortunate immigrant coming to this country afford to wait until Parliament made up its mind? He was glad to hear the strong pronouncement that had been made. They had a vote the other day which tended to strengthen the tie between this country and the Mother Country; and that vote was refused on the grounds of economy.

The CHAIRMAN:

The hon. member cannot allude to a past debate.

*Mr. D. M. BROWN (Three Rivers):

I am sorry, then I shall allude to a future one. (Laughter.) Proceeding, he said, supposing something was put down. They did not require to put very much down, because of the terms they could make with the steamship company. He only wished they could have heard the Minister speaking in committee; how he was going to help this man with a horse and cart, and another with a cow, and so on. He would appeal to the Prime Minister that he had no light to accept that amendment from any member. They should have stood by their Bill. He only hoped when the vote took place some of the hon. members who sat opposite would show that there was something more than the Natal mess of pottage to be decided on, and would vote for bringing in the best men and women they could obtain. He would like the hon. member for Oudtshoorn to find a man who was a pioneer of this country, and who did not come from oversea. Would the Minister not consent to the withdrawal of this clause and bring it up at a later date?

*Sir T. WATT (Dundee)

said he was very sorry indeed that this most important question had been made a party question. (Opposition laughter.) They all remembered that the Opposition drew up its programme, which, of course, included land settlement, and after the Government’s programme was issued in Pretoria shortly before the General Election it was found that it included that same clause. There was an immediate chorus of approval throughout the English population of South Africa, and they were told by the Press and Opposition speakers on platforms that now they would have a flow of immigrants into the country, and that the progressive element, which, of course, was represented by the Unionist party, would be so strengthened that the backvelders would have to take a back seat. (Ministerial cheers.) That impression was current—

Sir E. H. WALTON (Port Elizabeth, Central):

Who said it?

*Sir T. WATT (Dundee):

It is not possible at the present time without a considerable amount of inconvenience to see—

Sir E. H. WALTON (Port Elizabeth, Central):

It is an invention.

*Sir T. WATT (Dundee):

It is an absolute fact that the Unionist press of South Africa, time after time, made it appear that their cause was going to be enormously strengthened by this flow of immigration from oversea—

Sir E. H. WALTON (Port Elizabeth, Central):

It is pure invention.

*Sir T. WATT (Dundee):

It is not.

Sir E. H. WALTON (Port Elizabeth, Central):

It is.

*Sir T. WATT (Dundee):

I repeat it.

Sir E. H. WALTON (Port Elizabeth, Central):

You may repeat it; but it is not true.

*Sir T. WATT (Dundee):

The boomerang which the Opposition had thrown had come back and hit them. He honestly believed them to be anxious to promote white immigration, but by instilling suspicion into the minds of a good many people the Opposition had brought about this amendment—(An HON. MEMBER: “Bunkum”)—because they had excited the fears of a number of people in the backveld that their position was about to be attacked.

Sir J. P. FITZPATRICK (Pretoria East):

So it is intended to exclude them.

*Sir T. WATT (proceeding)

said that after the Premier’s very clear statement that he was going to stand by his programme to ask him to put money on the Estimates for immediately starting immigration from oversea was preposterous in the extreme, when there were hundreds and thousands of settlers in the country clamouring for land. (Hear, hear.) Recently in Natal there were 400 applicants for land who could not be satisfied. It was utterly futile to charge the Government with being hostile to white immigration because they refused to put money on the Estimates to encourage that immigration, for after all, charity must begin at home. (Cheers.) It was the duty of the Government to settle people on the land who already were here, before bringing people from oversea. They were told that Government had reversed its policy because it was going to accept the amendment. The clause gave the Government power to make arrangements to introduce settlers from oversea, and in order to satisfy the fears of a minority of the Government’s supporters—fears caused by the ill-advised action of the Opposition—the Government had very wisely said: “We will consult Parliament before we do anything.” It was quite apparent that at present Government had no land to offer settlers from oversea. He believed that the great majority of the Government’s supporters were in favour of getting settlers of a proper class from oversea. (Ministerial cheers.) The experience in Natal had been that the men from oversea had in many cases introduced very valuable improvements in agriculture. (Cheers.) Fencing had been introduced by men from oversea, the men who advocated the passing of the Scab Act and who improved the wool production were from oversea, and it was the men from oversea who started the wattle, tea, and sugar industries.

An HON. MEMBER:

We are all from oversea.

*Sir T. WATT:

They were the men who came to this country and were not born here.

Sir E. H. WALTON (Port Elizabeth, Central):

Kick them out. (Laughter.)

*Sir T. WATT (continuing)

said he did not assume that because the hon. member for Ficksburg was nervous about immigration that he was upsetting the policy of the Government, but the hon. member had quite as much right to express an pinion as anyone else, although he thought his fears were groundless. (Hear, hear.) He (Sir Thomas) was in favour of the clause as originally drafted, but after the very explicit declaration of the Prime Minister—(ironical Opposition cheers)—of course it was good party business to throw ridicule and doubt on the professions of the head of the Government, but he had too much respect for the Prime Minister doubt a solemn statement he made in that House. After the declaration of the Prime Minister’s policy he (Sir Thomas) saw no harm in accepting the amendment of the hon. member for Ficksburg, although he would rather have seen the clause without it. One reason why he was supporting the Government was the policy of the Prime Minister’s in favour of white immigration, and he was glad that the Prime Minister had made it quite clear that night that he still adhered to the policy which he laid down in London.

*Mr. G. H. MAASDORP (Graaff-Reinet)

said that if the matter came to a vote he would be found to vote in the same way that he did in the Select Committee. (Opposition cheers.) He saw absolutely no necessity for the amendment, but at the same time he thought there had been an unnecessary amount of feeling over this subject, and he was afraid that sentiment had played a very important part in it. He did not think that the Bill was going to create a revolution. If the hon. members on the other side of the House thought they were going to have an enormous influx of immigrants into the country, they were very much mistaken. They did not want indigent people, however; they wanted people with capital. This was not a Bill to provide for poor whites. After all, he would like to see Englishmen, Scotsmen, and Irishmen upon the land, because they knew them, and could get on better with them. (“Hear, hear,” and cheers.) Speaking for his constituency as well as himself, he would be glad to welcome these people upon the land. But he remembered a large number of people who came to a district he knew, but the majority disappeared when times of adversity arrived. Only men born on the veld could really put up with the difficulties. It was invariably the rule that when a large number of people were put upon the land, the great majority failed to make a success. What he was glad to see was that large numbers of Englishmen were putting their children upon the land, instead of putting them into the Civil Service. That was satisfactory; but, on the other hand, a great many people were leaving the land for the towns. That was not altogether a bad thing, for the more the two races mixed up together, the better it would be for the future of South Africa. He must say that he did not sympathise with the prejudices that had been shown by either side. The clause was perfectly unnecessary, but having accepted it in committee, he was not going to go back upon it.

Mr. W. H. ANDREWS (Georgetown)

moved to report progress.

The motion was agreed to.

Progress was reported, and leave granted to sit again on Monday.

The House adjourned at 10.55 p.m.