E.—Ba,

10

Main Trunk Lines. • I do not attach that importance of extending the main trunk line northwards in its entirety to either Nelson or Picton at the present time that some persons appear to do, for, in my opinion, the route it should take cannot be decided upon at once, but that, on the contrary, it can only be wisely and judiciously carried out in the course of time, and which circumstances alone can eventually decide. In noticing this subject, I can but reiterate what I have already recorded in a former report as my opinion, and that is that, of all the routes that have been examined in connection with this work, the line by way of the Waiau and Kaikoura Townships, the Coast, and Flaxbourne, to Blenheim, is the best and only one that can ever be expected to pay for its construction. None of the other examined routes for the extension of the main trunk line northwards can enter into comparison with this one as regards its adaptability for a line of railway when viewed in the light of containing land fit for cultivation, or in any other way as possessing the means whereby a population can be supported along it. For example, there is a larger population in the township and suburban districts of Kaikoura than along the whole of the other routes put together, if we except the Town of Beefton. Nor must it be forgotten that, as at Kaikoura, so it would be in many parts along this route, where the settlers would obtain their support by the cultivation of land, instead of the more precarious industry of golddigging. The Hurunui and Waiau Plains, and the intervening runs, Lynden, Highfield, and Greenhills, with Kaikoura, contain altogether a considerable district of country the lands of which could be easily and cheaply brought under cultivation, and capable of supporting a large agricultural population. Kaikoura, from its geographical position, its picturesque scenery unsurpassed by any other place in this Island, with its mild and salubrious climate, and its moderate amount of rainfall, would doubtless become, in course of time, one of tho most fashionable watering-places in the whole of the colony. No other place can compare with it as a sanitarium for invalids or other persons seeking a change of air. Kaikoura may be considered about half way between the Ports of Lyttelton and Wellington, and, if the present harbour was improved by the removal of portions of the rock that at present block up the entrance, the place would become an attraction to the inhabitants of both Islands. Along the beach at Kaikoura, from tho township the whole way to the Hapuka Biver, a distance of about eight miles, a road might be cheaply constructed that would furnish a drive equal to any of those at our wateringplaces at Home. There can be no exaggeration of the picturesque beauty of Kaikoura and its suburbs, for it is at once acknowledged by every person who has visited the place. I may here draw your attention to the well-ascertained fact that the whole of the country north from the Waiau Biver, with an imaginary line continued in that direction to the West Coast, presents an unbroken chain of high and rugged hills (see sketch map), without, comparatively speaking, an acre of land fit for cultivation in any of the valleys until the vicinities of Nelson and Blenheim are reached ; so that any line of railway passing through this district of country must of necessity depend upon a through traffic for support, and the distance through this mountainous country may be roughly estimated as being from 80 to 100 miles. ' Although it may be considered by some persons that the Government is bound to afford railway communication throughout the entire length of the Island, yet it would be simply waste of money to construct a railway through a district that could not possibly contribute anything whatever to the maintenance of the line. The only thing that, in my opinion, can be done by the Government in connection with this part of the country is for them to encourage, to the fullest extent in their power, the building of branch lines by private enterprise under the provisions of the District Baibvays Bill. For instance, a line from the north bank of the Waipara Biver, and passing over the Waipara Plains, as shown upon the sketch map, to Cheviot Hills. Another from the station at Waikari, over tho Hurunui and Waiau Plains, following the course of the line recommended as the probable route, in the course of time, of the main trunk line, to the Waiau Township, and another from off this last-mentioned line to what is called the Upper Waiau Ferry, to accommodate the traffic from the Hanmer Plains. These, together with another branch line in the northern district—namely, from Blenheim to Flaxbourne, would serve as feeders to the lines already constructed, and probably to the intercoastal line also, if the owners of property in these districts could be induced to lay out their lands in lots and dispose of them on easy terms to intending settlers. This, of course, would be necessary, as, unfortunately, the lands throughout the whole of the districts just mentioned are in the hands of persons who hold them as private property. Another important consideration in connection with the main trunk line northwards, as regards its continuity from Christchurch to Nelson, or even to Picton, is the opposition that such a line would have to contend with from the steamers that are constantly plying between the Ports of Lyttelton and Wellington; for it must not be forgotten that the break at Picton, which would be the case with a railway, does not apply to that of the steamers. And this circumstance alone would be sufficient to effect in a considerable degree a line of railway as a competitor for a through traffic between the abovementioned ports, so that it would of a certainty have to depend for its support exclusively on a local traffic. I will now conclude by giving a short summary of the preceding remarks, by which the lines under consideration will be brought more prominently under your notice. I cannot take these lines as they are numbered upon the sketch map, for they have now lost their distinctive character in that respect, but I can easily particularize them by a short description. There are three main trunk lines and one intercoastal that may be considered in relation to their distances and grades. Main Trunk Lines. The first we will consider as Mr. Fowler's line, commencing at Brunnerton; then by way of the Haupiri Flats, Marina Plains, and Buller Biver to Tophouse; thence with branches to Nelson and