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H.—lsa

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(4.) The estimated cost of works considered necessary. If the schemes eventuate we estimate the cost to be : — (a.) Tamaki barge-canal between Waitemata and £ Manukau Harbours . . . . . . 300,000 (b.) Waiuku barge-canal between Manukau Harbour and the Waikato River . . . . . . 475,000 In the alternative, the Waiuku barge-canal and railway .. .. .. .. .. 300,000 (c.) Mangawara-Piako small-steamer canal between the Rivers Waikato and Piako .. .. 1,000,000 (5.) The working-expenses of these canals, including maintenance, interest, and sinking fund. We report that in the absence of data and other conditions relating to the trade of the canals we are unable to determine what the working-expenses would be likely to be. In respect to maintenance, we estimate the maintenance of canals at 1 per cent, per annum on the capital value. We advise that \ per cent, per annum is sufficient for sinking fund. (6.) What effect the construction of a canal or canals will have upon the revenue of the Government Railways. We are of opinion that the construction of canals upon the routes suggested would not adversely affect the net railway returns, but would in some cases add thereto. (7.) The contingent works necessary to enable the canals to be fully developed and used, such as roads, railways, wharves, and stores. We have in our estimates for the construction of the canals included the roadworks and wharves necessary for the working of such canals. We are of opinion that no alterations to the railway system would be required at first, and the extent of the provision for stores could only be determined as the traffic developed. In the event of the Mangawara-Piako canal being carried through, the railway, where it crosses the creek, would have to be raised to an extent sufficient to give head-room for navigation thereunder of the vessels that would be using the canal. (8.) As to the form of control or management of any such works as the Commission may recommend. (a.) The control of the Tamaki canal should be undertaken by the Auckland Harbour Board. (b.) If the Waiuku canal or barge-railway be constructed, then the control should likewise be vested in the Auckland Harbour Board. (c.) If the Manga wara-Piako canal be constructed, its control between the Waikato River and. its junction with the Piako River should be placed under the River Conservation Board herein described for the control of the Waikato River. (d.) We are of opinion that all works connected with river-improvement, flood protection, and drainage within, the Waikato basin should be placed under the control of a special Waikato River Conservation Board, to have the constitution set out hereinbefore and be subject to the Minister of Public Works. (e.) In view of the fact that the scheme for a bridge across the Waitemata is not likely to be proceeded with for many years to come, we consider it premature to formulate any system of control, and therefore make no recommendation. (/.) If the Mount Rex-Helensville river-improvement be carried out, the control and management should remain as at present under the Marine Department. (9.) As to the finance, construction, and maintenance thereof. (a.) We are of opinion that the Tamaki canal should be financed, constructed, and maintained by the Auckland Harbour Board. We have indicated in the body

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