No. 39
               
            
            
            
            
               I have the honor to forward Copy of a letter which has been
               addressed by the present Senior Naval Officer on this Station to
               the Secretary for the Admiralty, pointing
out
 out how totally we are
               dependent on the Americans for our communication with Europe.
               
               2.  Until recently a subsidy was given by the Government of
               
Vancouver Island to the English Vessel "
Labouchere" for carrying
               the mails from 
San Francisco to 
Victoria and the Authorities of
               
British Columbia employed a Vessel under the American Flag for the
               same purpose.  On the loss of the "
Labouchere"
a
 a double Subsidy
               was given to the United States Vessel in order to induce her to
               call at 
Victoria on her way to 
New Westminster.  The Conveyance
               of the Mails under this arrangement entailed an expense of six
               hundred pounds a trip:  an amount beyond the ability of the now
               united Colony to pay.  As soon as the contract expired, I declined
               to renew it.  Not too soon—as the Government of 
VancouverIsland Island
 Island
               is still in debt to the 
San Francisco Mail Company for ten Voyages,
               having only paid the subsidy for two.  The Government of the Mainland
               had however paid all its obligations under this head punctually.
               
               3.  The Legislative Council has now placed at my disposal
               a sum of twelve hundred pounds a year for keeping up Communnication
               with 
San Francisco and securing
the
 the receipt of the European Mails.
               I need hardly say that this amount is altogether insufficient to
               secure the object sought to be obtained.   We may perhaps induce
               steamers to call once a month during the summer but we shall
               have to trust to accident for maintaining our Communication with
               the Mother Country during the winter.
               
               4.  Perhaps Your Lordship will forgive me for saying
that
 that
               some assistance should be given by the Imperial Treasury for
               keeping up the connection between England and this important
               Colony, containing as it does the head quarters of the Pacific
               Squadron.  The steamers which ply between 
Panama and 
San Francisco
               are under no contract even with the United States Government for
               the conveyance of mails and may of course at any time refuse to
               carry ours.  The Telegraph is in the hands
of
 of the Americans and in
               the event of a rupture with the United States the intelligence
               would not reach this Colony or Her Majesty's Ships until it might
               suit the convenience of the enemy.
               
               5.  I understand that the Royal Mail Steam Company is willing
               to establish steam communnication between 
Panama and 
British
                  Columbia if 7 1/2 per cent per annum be paid on the sum of
               £250,000
which
 which would be required to provide the vessels to keep
               up a fortnightly communication on the Pacific in connection with the
               steamers leaving 
Southhampton on the 2
nd and 17
th of each month.
               
               6.  My own belief is that the Revenue of the Colony will,
               after the present year, prove sufficient for us materially to
               assist in lightening the expense of any line of Steamers which
               may be established
under
 under the direction of the Home Government.
               
               Minutes by CO staff
               
                
                  
                  Mr Elliot
                     I do not see that any practical question for the decision
                     of the 
Secy of State arises upon the contents of this
                     despatch.  The 
Govr reports that the late 
V.C.I. Govt has
                     failed to pay its engagement for the conveyance of its despatches—he
                     observes that the Legislature of the United Colonies has
                     granted the (obviously) inadequate sum of £1200 a year for
                     the postal service to 
San Francisco, & renews the oft repeated
                     cry of aid for a mail subsidy from the Imp
l Govt.  Perhaps
                     some such arrangement as the 
Govr suggests may be come to
                     with the 
Panama Cy but it is for the Governor not for
                     this Office to open the negotiation as he best knows what
                     the finances of the Colony can afford to pay.  On the whole,
                     therefore, I 
shd be in favor of informing the Governor
                     that there is no prospect of an Imperial subsidy being granted
                     to the 
B.C. mail service, and that this Office will be glad
                     to learn if any satisfactory terms can be suggested by him
                     with a view to an arrangement for the conveyance of the
                     Colonial Mails by the 
Panama C
o.
                     
 
                  
                  
                   
                  
                  
                     The Home Govt contribute already towards this part by
                     sending the letters as far as Colon.
                     
                  
                  
                   
                  
                  
                     I suppose this shd be sent to the Treasury with an
                     expression of opinion.
                     
                  
                  
                     That opinion I hope against any Impl subsidy.
                     
                  
                  
                     ? use of Naval Station there?
                     
                  
                  
                   
                  
                  
                     Copy to Treasury & to Admiralty—asking for any remarks
                     they may have to offer.
                     
                  
                  
                  
                   
            
            
               Documents enclosed with the main document (not transcribed)
               
                
                  
                  
                     Captain 
R.B. Oldfield to Secretary of the Admiralty, 
5 March
                        1867, regarding postal service in the colony.
                     
                     
 
            
            
               Other documents included in the file
               
                
                  
                  
                     Rogers to Secretary to the Admiralty and 
G.A. Hamilton, Treasury,
                     
16 May 1867, forwarding copy of the despatch for consideration.
                     
 
                   
            
            
               
                  People in this document
                  
                        Adderley, C. B.
                  
                        Blackwood, Arthur Johnstone
                  
                        Carnarvon, Earl
                  
                        Elliot, Thomas Frederick
                  
                        Grenville, Richard
                  Hamilton, George Alexander
                  
                        Oldfield,  Captain B.
                  Rogers, Baron Blachford Frederic
                  Seymour, Governor Frederick
                
               
                  Vessels in this document
                  Labouchere, 1858
                
               
                  Places in this document
                  British Columbia
                  New Westminster
                  Panama
                  San Francisco
                  Southampton
                  Vancouver Island
                  Victoria