Читать книгу: «Australasian Democracy», страница 8

The correlative of protection, which principally benefits the manufacturer, is the direct encouragement of the enterprise of the producer. In this respect successive Governments have displayed an eagerness which has not always been confined within the limits of prudence. The borrowed capital sunk in the construction and equipment of the Victorian Railways is about £36,730,000, which returned in the year 1895-6 a net profit on working of £855,000, being a deficit of £584,000 upon £1,439,000, the annual charge for interest upon the loans; but a large proportion of this deficiency was due to the failure of the wheat crop and the consequent decrease in the amount of goods carried along the lines. Recent returns show that several lines not only do not pay any interest on the capital expenditure, but do not earn even as much as is disbursed in working expenses. The report of the Railway Inquiry Board shows that the Assembly was actually disposed at one time to sanction the expenditure of a further sum of £41,000,000 upon the construction of new lines; but the Age newspaper published a series of articles which showed clearly that national insolvency would follow the approval of expenditure on such a gigantic scale. The exposure attained its object, but involved the proprietor, Mr. David Syme, in actions for libel, brought by the Railway Commissioners, which extended, with intervals, over a period of four years. Finally, he was proved to have been entirely justified in his language, but was saddled with an enormous bill of costs as the reward of his patriotic efforts on behalf of the community. The danger that similar proposals might be carried in the future was lessened in 1890, when the Standing Committee was appointed as a check upon the extravagant tendencies and culpable pliability of individual members.

Again, in connection with water supply and irrigation, the expenditure has been on an extravagant scale. The Melbourne Waterworks are justified by the requirements of the metropolis, but those of Geelong and of Bendigo and adjacent areas commenced in 1865, and constructed at a capital cost of £1,427,000, show an annual deficit of £35,000; and other national works which cost £830,000 are dependent for a return upon irrigation trusts, most of which are unable to meet their own liabilities. Apart from this direct expenditure, the State has advanced £2,438,000 to local bodies, urban and rural waterworks trusts and irrigation trusts. Adding together these different amounts, we find the total direct and indirect expenditure of the State to have been £4,695,000, and we learn from the report of a recent Royal Commission that the annual revenue is about £68,000, or less than 1-½ per cent. upon the capital. As the money bears an average interest of 4 per cent., the loss to the consolidated revenue is at the rate of £120,000 a year. The expenditure was based upon the principle that the national credit should be pledged in order that farmers and land and property owners might be assisted to provide works of water supply which would accelerate the permanent settlement of many parts of the Province. Loans had been granted to municipalities before 1881, but in that year the question was treated comprehensively by the Water Conservation Act, which authorised the constitution of trusts for the construction of works of water supply for domestic purposes and the use of stock. In 1883 the Act was amended so as to include trusts formed for the promotion of works of irrigation. The Urban Trusts and local bodies generally have met their obligations satisfactorily, with the exception of some of the latter, which, instead of striking higher rates or increasing the charge for the water, appear to have hoped that the State would step in and relieve them of their liabilities. The Rural and Irrigation Trusts also have attempted to throw the duty of paying interest on the cost of the works upon the taxpayers of the whole province. In the latter case the Public Works Department cannot be absolved from blame. It is clear from the report of the Commission that money was advanced to Irrigation Trusts without an adequate preliminary investigation of the amount of water available or of the number of settlers who would make use of it. "The public mind was excited at the time, and the gospel of irrigation was preached from one end of the Colony to the other. The farmers had been suffering from a cycle of dry seasons, the price of produce was high, and the prospect of insuring their crops against the exigencies of climate by means of irrigation appears to have overruled all prudential considerations. Schemes were hastily conceived and as hastily carried out. The question as to whether the cost of the undertaking would be commensurate with the benefits to be derived therefrom, or whether the land could bear the burden that would be placed upon it, was apparently lightly considered, if considered at all." But, according to an official who had been concerned in the matter, the Department, far from readily concurring in or urging on schemes, had done its utmost to restrain the popular enthusiasm. Continued pressure had been exercised by deputations, generally supported by the Member for the district, which tried to induce Ministers to set aside formalities in view of the great necessity for water and of the great benefit that would ensue. The lavishness of the Department, whatever may have been its cause, was equalled by that of the Trusts, which in most cases expended the loan money as expeditiously as possible without regard to the requirements of the district or the supervision of the undertakings; they did not realise that they would ever be called upon to provide for meeting the interest on the moneys advanced to them. There can be no doubt that the Government overrated the knowledge and ability of the Trusts, and their recognition of the responsibility involved in the control of large sums of public money. The Royal Commissioners recommended that, after Parliament had decided what concessions should be made, the enforcement of the monetary obligations should be transferred from the Department to the Audit Commissioners, who should be vested with powers enabling them to take action to recover arrears due to the State. They believed that, in the absence of such a change, the Department, being subject to political pressure, might make further concessions, and again allow matters to drift into an unsatisfactory condition.

The next instance of national expenditure in the promotion of enterprise comes under a different category: the State has, since 1878, devoted to the encouragement of the gold-mining industry the sum of £800,000, which was not intended to give a direct return upon the outlay so much as to maintain the pre-eminence of Victoria among the gold-producing Provinces of Australasia. Of this amount £455,000 was expended in boring, the remainder in subsidies to mining companies and prospecting parties. But, as in the case of railways and works of water supply, the Government were confronted by the extreme difficulty of providing safeguards against the misapplication of the funds. Direct control by the Minister of Mines was proved neither to yield good results nor to be satisfactory to the Minister, as he was subjected to continual pressure from Members of Parliament. Prospecting Boards were, accordingly, appointed in the seven mining districts into which the Province is divided, each Board consisting of five members, the surveyor of the district, a member of the Mine-owners' Association, a member of the Miners' Association, a member of the local mining board, and a representative of the municipalities. These men were authorised to allocate all votes, and, according to a statement of the present Minister, as they represented different interests in the mining and different localities, they took a parochial view of their duties and developed "a kind of unconscious log-rolling" which caused the grants, in many cases, to be devoted to entirely unprofitable objects. The expenditure of the £800,000 is believed to have been of the greatest value to several mining companies, but has produced a direct return of only £11,526, an amount which would have been smaller had not the Minister threatened dividend-paying companies with the forfeiture of their leases unless they repaid their loans to the State.

The Government have also attempted to increase the export of such articles as butter, wine, cheese, and frozen meat, for which a large market is believed to be obtainable in Great Britain. Their policy has been to foster these industries by means of bonuses to producers, subsidies to owners of factories, and the free use of cold storage at refrigerating works, and to enforce a certain standard of quality as a necessary condition of their assistance. As the industry progresses the bonus is reduced and finally withdrawn, and charges are made for cold storage which are sufficient to reimburse the State for its outlay. Such a course has already been pursued in the most successful case, that of butter, in which the value of the amount annually exported has risen from £51,000 in 1889-90 to £876,000 in 1895-6. In this manner the State is not permanently engaged, but initiates its expenditure at the highest point and gradually releases itself from the obligation.

In 1893 the Government were confronted with a large amount of misery among the working classes, much of it undeserved, which had resulted from the collapse of many land companies and banking and building associations. An artificial prosperity, caused by the inflation of metropolitan values, had created a demand for the services of a disproportionate number of artisans, who, upon the inevitable reaction, were thrown suddenly out of employment. Under these circumstances the Ministry were called upon to do something to relieve the distress, and passed a new Land Act which offered favourable terms, in the way of tenure and monetary advances, to those who were willing to settle upon the land. They were enabled to take it up either individually or in associations of not less than six persons who desired to live near each other. At the expiration of a year after the passage of the Act 4,080 applications had been received, of which 2,122 had been approved, 993 rejected, and 965 were under consideration; and, in order that the benefit might be immediate, the land had been made available as speedily as possible and applicants had not been compelled to wait until blocks had been surveyed. In view of the conditions under which the settlements were formed it is not surprising to learn from subsequent official reports that the favourable anticipations have, in numerous instances, not been realised, owing to the unsuitability of the soil, the inexperience or physical incapacity of the settlers, or the absence of a local demand for labour or of a market for the surplus produce. Many of the associations have been disbanded as the members were unable to work together harmoniously; and those that are still in existence have, in almost every case, abandoned the co-operative principle and are working their blocks on individual lines. In 1896 the number of resident settlers was 2,127, who, with their wives and families, formed a total population of 8,802; they had received, during the three years, advances from the Government to the amount of £57,000.

The Act of 1893 also provided for the establishment of Labour Colonies. The movement in this direction originated with a few people at Melbourne, who saw the futility of periodical doles to the destitute, which were of merely temporary assistance to them and did not place them in the way of earning a permanent livelihood. It was also felt that, in the absence of any system similar to the English poor-law, which, whatever its evils, relieves the conscience of the community, ministers were subject to continual pressure, which compelled them to institute public works for the sole benefit of the unemployed. In 1892 the distress was met, as far as the public were concerned, by the subscription of a large sum of money, which was distributed through the agency of the local branch of the Charity Organisation Society; but, in the following year, the distress being still more acute, the idea of a Labour Colony rapidly gained ground and was met by the Government by the grant of an area of 800 acres at Leongatha, some 80 miles from Melbourne, which enabled the promoters of the scheme at once to commence their operations. At the outset it had been intended that the funds should be obtained, partly by private subscription, partly by pro-rata contributions from the national exchequer; but, in the absence of popular response, the Government deemed it advisable, at the commencement of 1894, to take over the entire administration of the colony, and appointed, as Honorary Superintendent, Colonel Goldstein, who had been actively identified with the undertaking. Colonel Goldstein states that the main purpose of the colony, which is based on a German model, is to give temporary work at unattractive wages to the able-bodied unemployed in order that they may be prevented from passing over the narrow line which separates poverty from pauperism. At first the aged and infirm were admitted, but it was found that employment could not be obtained for them and that their presence affected the value of the colony as a means of instruction for a class of men in whom it is necessary to arouse a spirit of responsible independence. They are, moreover, provided for by benevolent asylums and other charitable institutions which receive large subsidies from the Government. Consequently men beyond the age of 55 years are now only received in exceptional cases. All applicants are registered, and, if their alleged destitution is believed to be genuine, are forwarded by rail to the colony, where they receive free board and lodging. The colonists are subjected to strict discipline, work for a week without pay upon probation, and then earn wages which rise to a maximum of 4s. a week; they receive no money while at the colony, but may draw certain necessaries, or, if married, cause their wages to be remitted to their wives. The work is so arranged that the capabilities of the colonists may be used to the best advantage and that they may be fitted as far as possible for agricultural employment, which is obtained for them by means of a Labour Bureau established at the colony. At the expiration of six months, or upon an accumulation in their favour of a credit balance amounting to 30s., colonists must, subject to occasional exemptions, seek employment elsewhere, and may not be re-admitted under a period of six weeks. In this manner the men either obtain outside employment while resident at the colony or leave it possessed of a sum of money which renders them better able to search for it; they have the alternative of applying subsequently for re-admittance. The results obtained during the three years have been of a most satisfactory character; 1,832 men have passed through the colony since its inception, of whom only 124 have been dismissed for faults, and none for insubordination; 573 have had remunerative work found for them, and the remainder have earned sufficient ready money to enable them to set out in search of employment. There have been 566 re-admissions of 307 men who have returned from one to eight times. "The majority of the men," says Colonel Goldstein, "are of the shiftless sort, who cannot do anything for themselves. As Leongatha is 80 miles from Melbourne, we seldom see the genuine loafer there. The men who go are willing enough to work when shown how, but they seem unable to rouse themselves into any sort of vigour, to say nothing of enthusiasm, until they have been there a considerable time.... Numerous instances could be given indicative of the generally helpless nature of the men. There can be no doubt that employers, during the depression, will first reduce their worst men. Of these, many have sufficient energy to shift for themselves; the rest drift to the labour colony. Most of them have suffered severely from privation and poverty, and probably have had their dejected condition further dispirited by semi-starvation.... After a few months' stay it is surprising to see the difference in their appearance, and, what is more to the purpose, their discovery that a new kind of life is opened to them. Bush-work gives them a healthier feeling of self-dependence than they ever enjoyed before, especially so for men who have a trade behind them ready when the chance comes." The total outlay has amounted to £11,276, which has been expended mainly upon farm appointments, implements, and permanent improvements, and is represented by assets of the value of £10,861. The net cost must be regarded as exceedingly small in view of the fact that, as the great majority of the colonists are artisans and quite unused to bush or farm work, their labour is necessarily slow and expensive, and that, as soon as a man begins to be useful, he is selected for some private employer. The Labour Colony has, it is maintained, apart from the benefits conferred upon hundreds of individuals, paralysed the agitation of the unemployed; as long as it is in existence no able-bodied man need starve.

Finally, a measure, passed in 1896, aimed at the protection of pastoralists, farmers, and other cultivators of the soil by providing machinery by which the State might grant loans to them, upon adequate security, at a low rate of interest, with a sinking fund extending over a long period of years.

The salient features of Victorian legislation are the strong note of humanity and the confidence in the wisdom and efficiency of State action. If this confidence has sometimes been misplaced, there is no reason to suppose that the Victorians have imposed upon themselves a burden that they are unable to bear. They are an energetic race, who have not only developed the resources of their own country, but have obtained large interests in New South Wales and Queensland. If in the past they were too much inclined to draw bills upon futurity, they have had a sharp lesson which has taught them the necessity of retrenchment and compelled them to reduce their annual expenditure by a third of the total amount. It is impossible to form an unfavourable estimate of the prospects, or of the high average prosperity, of a population of less than 1,200,000 persons, which includes 185,000 freeholders and has accumulated at the Savings Banks £7,300,000 divided among nearly 340,000 depositors.

VI
THE GROWTH AND DEVELOPMENT OF WESTERN AUSTRALIA

Constitutional history—The relations of Church and State—Natural impediments to development—The construction of railways—The scarcity of water—The promotion of the mining and other industries—The absence of parties in Parliament.

Western Australia received the privileges of Responsible Government many years after the other Australasian Provinces; otherwise, its constitutional development has proceeded upon similar lines. The first Governor was appointed in 1829, and administered the affairs of the country with the assistance of an Executive Council. Two years later a Legislative Council was established which consisted solely of the members of the Executive Council, but it was subsequently widened by the admission, at first, of unofficial nominee members, afterwards of a sufficient number of elected members to form a majority of the whole body. Then an agitation sprang up in the Province in favour of Responsible Government, and in 1889, after a unanimous vote of the Legislative Council, a Constitution Bill was submitted by the Government, considered by the Council, and forwarded to the Secretary of State for the Colonies. In the House of Commons it met with considerable opposition, on the ground that the Crown Lands of the Province should not be handed over to a population of only 46,000 persons. But, upon a favourable report of a Select Committee and representation made by the Agents-General of the other Australasian Provinces, the point was decided in the sense desired by the Province, and, as the Bill passed rapidly through the House of Lords, it received the Royal Assent in August, 1890.

Under the Constitution the Executive power is vested in the Governor, who acts by the advice of a Cabinet composed of five responsible Ministers. They are, at the present time, the Colonial Treasurer and Colonial Secretary, the Attorney-General, the Commissioner of Railways and Director of Public Works, the Commissioner of Crown Lands, and the Minister of Mines. The Premier, Sir John Forrest, holds the offices of Colonial Secretary and Colonial Treasurer, and the Minister of Mines, the only Minister in the Upper House, controls the Postal and Telegraphic Departments.

The Legislative authority is vested in the two Houses of Parliament, the Legislative Council and the Legislative Assembly. The Council consists of twenty-one members, of whom a third retire every two years. They are elected upon a property qualification, and must have been resident for at least two years in the Province. The Assembly consists of thirty-three members, who must have resided at least one year in the Province, and are elected upon a wider franchise for the period of four years. No remuneration is paid to the members of either House, but they receive free passes over all Government Railways and, by courtesy, over those belonging to private companies.

The limitations upon the power of legislation possessed by the Parliament of Western Australia are similar to those imposed upon the Legislatures of other Australian Provinces, except that the protection of the aborigines has been placed in the hands of an independent Board, nominated and controlled by the Governor. It receives for the execution of its duties 1 per cent. of the annual revenue of the country, but cannot carry them out without the active support of Government officials. The existence of this Board is strongly resented by Western Australians as an unjust reflection upon them, and as an imputation that they cannot be trusted to deal in a just and humane manner towards the natives; and the Premier, voicing the unanimous opinion of both Houses, has attempted, hitherto without success, to secure the repeal of the obnoxious section of the Constitution Act.

The attitude of the Government in regard to the relations between Church and State as affecting the endowment of religious bodies and the assistance given to denominational schools was, until recently, that grants should annually be voted by Parliament. But the trend of public opinion has been in the direction of secular education and the termination of the payments made to the Churches. The matter was, accordingly, during the session of 1895, dealt with by the Ecclesiastical Grants Abolition Act and the Assisted Schools Abolition Act. Previously the payments to the Churches had been at the rate of about £3,500 per annum, of which the Church of England received £2,000, the Roman Catholics £1,000, and the Wesleyans and Presbyterians £360 and £160 respectively. The grants have been commuted at ten years' purchase, and the capital amount is to be paid pro rata out of the Consolidated Revenue Fund in two equal instalments to the recognised heads of each religious denomination. This Bill was passed, with universal approval, through both Houses of Parliament, but a like unanimity was not manifested in regard to the Education question. In fact, early in the session, the Premier had stated that he had no immediate intention of dealing with it, but his hands were forced by popular opinion, as manifested by the result of several elections fought upon that issue. Consequently, after a resolution passed by both Houses that "It is expedient that the Assisted" (denominational) "Schools should no longer form part of the public Educational system of the Colony," and on the report of a Joint Committee, a Bill was introduced by the Premier into the Assembly fixing the sum to be paid as compensation, in lieu of grants in aid, at £20,000. In 1894 one-third of the children being educated in the Colony were attending the Assisted Schools, at a cost to the country of £2,093 for the Assisted, and £11,356 for the Government Schools. The Bill was hotly discussed; the Opposition divided over the amount, and were only beaten by one vote, and it was finally decided that the compensation should be £15,000. The whole of this money will be paid to the Roman Catholics, who had alone taken advantage of the system. There is a High School at Perth established by statute; otherwise little has been done in the direction of secondary education, and Western Australia has no University. The advantages of primary education have been extended as far as possible; any district which can guarantee the attendance of fifteen children can claim the erection of a school and the appointment of a teacher; but it is clear that, in a very sparsely inhabited country, no system can be devised which will reach the whole population.

The policy of the Ministry has been, in the main, one of loans and public works. They were called upon, at the inauguration of Responsible Government, to administer an area of nearly a million square miles, thinly populated and penalised by great natural drawbacks, such as the scarcity of good harbours, the difficulty of inland communication, and the absence over large tracts of country of a sufficient supply of water. These drawbacks the Government have, in various ways, done their best to overcome.

The principal ports of Western Australia are—on the south Albany and Esperance Bay, on the west Bunbury, Fremantle, and Geraldtown, and on the northwest Cossack and Broome. The most important of these are Albany, a fine natural harbour, which is the point of call of the ocean liners, and Fremantle, the port of Perth. All have been improved, as far as conditions would permit, by dredging operations and the construction of piers and jetties, but very extensive works, for which the sum of £350,000 has already been allotted, are being carried out at Fremantle, in the hope of making it a good and commodious harbour for all classes of ocean vessels. In the interests of safe navigation, lighthouses have been erected at various points along the coast.

As the rivers are mostly filled only during the rainy season, and unnavigable for any distance even for small boats, the methods of internal transit are limited to road and rail. The Government have regarded the construction of roads as a matter of national rather than of purely local importance, and have expended upon them large sums of money. They are at present engaged in opening up stock routes to the North and between the Murchison and Coolgardie Goldfields. Their railway policy has been to render accessible the different resources of the country. The South-Western Railway from Perth to Bunbury, Busselton, and Donnybrook traverses country suitable for the growth of cereals and for mixed farming. Its course is along the foot of the Darling Range, which is covered with valuable forests of jarrah. Parliament has recently sanctioned two extensions: to Collie, an important coalfield, and to Bridgetown, the centre of an agricultural area. The Eastern Railway, starting from Fremantle, passes through Perth and taps an important district adapted for general agriculture, fruit-growing, and viticulture; it connects with the Yilgarn Railway, which has now been completed to several points upon the Coolgardie Goldfields, and will be dependent for its returns upon their prosperity, as it passes through vast areas of arid scrub. The Northern Railway consists of short lines from Geraldtown, which pass through country suitable, in parts, for the growth of cereals, in others, for pastoral purposes; it is to be continued to Cue, on the Murchison Goldfield. The above are all Government railways, built under private contract and equipped and managed by the State. There are also two large private companies, the Great Southern Railway, connecting Albany with Beverley, the terminus of the Eastern Railway, and the Midland Railway, connecting Geraldtown with Perth at points on the Northern and Eastern Railways. They were built upon the land-grant system, at a time when the Government were anxious to extend the railways, but were not in a position to incur the cost of their construction. This system is not likely to be adopted again, as both Companies have pursued an ungenerous policy in regard to the alienation of their lands, while the Midland Company were unable to complete their undertaking without the assistance of the Government, which, in return for a mortgage of the whole line, guaranteed for them the interest and principal of a loan of £500,000. In fact, during the session of 1896, the Government, after negotiations with the Great Southern Railway Company, obtained the authority of Parliament for the negotiation of a loan for the purchase of all its interests, including the permanent way, rolling stock, buildings, and unsold lands.

In the southern and western portions of the Province water is plentiful. The northern portion is subject to terrible drought, such as that which a few years ago almost ruined the squatters and caused the loss of three-quarters of a million sheep. But the attention of the Government has been mainly turned to the eastern division, which includes the Yilgarn, Coolgardie, and Dundas Goldfields, and has an average annual rainfall of about ten inches, and it is in this portion of the country that the heaviest expenditure was incurred during the year ending June 30, 1895. Thirteen large and two small tanks were completed on the Coolgardie Goldfields with a capacity of 13-½ millions of gallons and at a total cost of nearly £38,000. Wells were sunk, bores put down in the search for water, condenser plants erected, and new soaks opened up at advantageous places throughout the district. Wells have also been sunk, and reservoirs constructed, on the Murchison and Pilbarra Goldfields, and in other parts of the country. But the greatest undertaking in this direction will be the construction of vast works for the supply from a distance of water to the Coolgardie Goldfields. Parliament has authorised the required loan, and may therefore be presumed to concur with the Ministry in the belief that the necessary water cannot be obtained on the spot by artesian bores or otherwise. The future of Western Australia is bound up with that of the goldfields. Should they fail through lack of water, recent immigrants would leave the country, and their departure would cripple, if not ruin, the agricultural industry, and cause immediately a heavy fall in the revenue. Under these circumstances, the scheme of the Government, even though it entails a very large expenditure, might be justified as being essential to the continued prosperity of the Province. A similar argument may be applied to the large sums spent upon the railways, since they, as well as the waterworks, should be remunerative; but when we find Parliament sanctioning, in one session, applications for loans amounting to seven millions—and bear in mind the smallness of the population—we cannot but fear that the Province is beginning to borrow recklessly and may expose itself to the financial troubles which have overtaken some of its Eastern neighbours.