■_\--No. 4.

20

REPORT OE THE SUBMARINE

in favour of a line via King George's Sound, and Mr. Todd, holding a similar position in South Australia, having favoured a line from Adelaide, following Stuart's track, through the centre of the Continent to Northern Australia. Neither of these routes appeared at the time feasible, nor do I think, even at this date, lines of telegraph could be cheaply constructed or maintained over an uninhabited country. A new aspirant has lately advocated the King George's Sound route, with the view of forming a Company for a line to Western Australia aud on to Java, but his calculations and distances are so absurd that he has met with little or no support, and I think both the gentlemen above alluded to have now arrived at the conclusion that the Queensland route is the best. As regards the burden to be borne by the several Colonies, even supposing they are called upon to pay, it will be so insignificant that it will scarcely be felt; but as all main trunk cable lines have proved more than self-supporting, and in nearly every instance returned very high rates of interest, I am of opinion that no portion of the annual guarantee will be required, in support of which I will quote the three large cable undertakings now working, and show their gross earnings:—

The working expenses are a mere trifle to be paid out of these sums, except when the cables are injured, when a considerable outlay is required; but even then tho maintenance expenses are not very much felt, as they are generally paid out of reserve funds for renewals, the same as adopted by large ship companies. The imports and exports to and from Australia are also so extensive as to warrant our guaranteeing the whole 7 per cent., even without the contemplated assistance from Java. The Australian imports and exports amount annually in value to nearly forty million pounds sterling, with a gross tonnage of 1,121,424 tons. The commercial transactions induced by this enormous sum annually, would bo sufficient to pay an ample dividend without falling back on tho guarantee. Thirty thousand messages per annum through the cable would more than pay the working expenses and the 7 per cent, interest; that would be proportioning 30s. as a fair charge for the submarine line. The charge for messages of ten words to England, I think, might be approximately calculated at £4 195., to be divided in the following manner : — £ s. d. fUnited Kingdom to India ... ... ... ... 2 0 0 India to Siak ... ... ... ... ... 0 10 0 Java and Sumatra lines ... ... ... ... ... 050 Java and Australian cable ... ... ... ... 1 10 0 Sydney to Gulf of Carpentaria ... ... ... ... 014 0 Total ... ... ... ... 4 19 0 This cannot be considered too high a charge for a distance of 13,676 miles, as under— London to Berlin ... ... ... ... ... 591 miles Berlin to Vienna ... ... .. ... ... 530 „ Vienna to Constantinople ... ... ... ... 919 „ Constantinople to Fao ... ... ... ... 1,950 ~ Fao to Kurrachee ... ... ... 1,176 knots, or 1,372 „ Kurrachee to Eangoon ... ... ... ... 1,500 „ Eangoon to Malacca ... ... ... 1,000 knots, or 1,160 „ Java lines, say ... ... ... ... ... 1,500 ~ Banjoewangie to Normanton, Gulf of Carpentaria 1,900 knots, or 2,216 ~ Normanton to Cardwell ... ... ... ... 360 „ Card well to Sydney ... ... ... ... ... 1,572 ~ Total number of miles ... ... 13,676 „ The Government of South Australia will, I have no doubt, negotiate for a station at Port Darwin, in their northern territory, and may be induced to construct a land line to the Queensland boundary. This would shorten the submarine portion very considerably, but the annual charge for working expenses and maintenance of the land line would perhaps cost more than the 7 per cent, on the outlay for the cable. It is curious to take a glance at the nature of the business transacted by the telegraph, and how largo consignments are disposed of, in some cases, before the vessels have left the port of departure. Take for instance a shipment of cotton from India, say 500 bales, consigned from Madras to a firm in London or Liverpool. The shipper telegraphs to the consignee, " I have shipped 500 bales of a certain , class of cotton," and authorizes his agent to sell at once on the water. This is done, and a reply is sent to the Madras shipper, who, instead of waiting weeks and months for the return of post, repeats

* The receipts vary so much on this line, and the revenue therefore can only be taken as an approximation. t Telegraphic communication with India, by F. Gisborne, 1866.

Length in knots. Interest Weight in Tons per knot. Name of Cable. Cost. Annual Revenue. on Cdpital. /[alta and Alexandria 'ersian Gulf 1,330 1,176 £480,000 400,000 *£96,200 96,000 per cent. 20 24 2 13 3-00 Ltlantic Cable ... 3,748 1,200,000 400,000 m Cl-75( 186?