Senate
5 October 1927

10^th Parliament · 1^st Session

PAPERS
QUESTION
- AIR FORCE ACCIDENTS
QUESTION
- FEDERAL CAPITAL
QUESTION
- VISIT OF DUKE AND DUCHESS OF YORK
QUESTION
- MIGRATION OF SOUTHERN EUROPEANS
QUESTION
- NEW GUINEA
QUESTION
- DEVELOPMENT AND MIGRATION COMMISSION
QUESTION
- ASSISTED BRITISH MIGRANTS
QUESTION
- PERFORMING RIGHTS
QUESTION
- DUTY ON POTATOES
COMMONWEALTH ELECTORAL BILL
- Second Reading
QUESTION
- ESTIMATES AND BUDGET PAPERS 1927-28
SUPPLY BILL (No. 2) 1927-28
- First Reading
ADJOURNMENT

The President (Senator the Hon. Sir John Newlands) took the chair at 3 p.m., and read prayers.

page 165

PAPERS

The following papers were presented : -

Report of the Tariff Board for the year 1926-27, together with annexures. Ordered that the report only be printed.

Air Force Act and Defence Act - Regulations amended - Statutory Rules 1927, No. 108.

British Phosphate Commission - Report and Accounts for the year ended 30 June, 1928.

Cotton Bounty Act - Statement setting forth the reasons why the Minister for Trade and Customs has authorized the use of less than 50 per cent. of Australian grown cotton in the manufacture of certain counts of cotton yarn on which bounty has been paid.

Edie Creek (New Guinea) Leases - Report, dated 30th August, 1927, of the Royal Commission on the Edie Creek (New Guinea) eases, together with Summary of Exhibits.

Papuan Oilfields - Reports for the months of January, February, March, and May, 1927. Drilling Report to 30th June, 1927.

Report of Debates of Commonwealth and State Ministers’ Conference, held at Melbourne, June, 1927, and at Sydney, July, 1927, to consider -

Australian Exhibition.

Child Endowment. 3.Financial Relations between the States and the Commonwealth.

International Labour Conference.

Soldier Land Settlement.

page 166

QUESTION

AIR FORCE ACCIDENTS

Will the Minister give the number of accidents that have occurred to members of the Air Force, whilst flying, each year from 1920, also the number that were fatal?

The answers to the honorable questions questions are as follow : -

I might point out that in 1926 the number of pupils undergoing flying training was four times the number in any previous year.

Senator ELLIOTT:
VICTORIA

– Will the Minister for Defence lay on the table of the Senate the evidence taken by, and the finding of, the board which inquired into the accident when members of the Air Force were killed on the day of the visit of the Duke and Duchess of York to Melbourne?

Senator Sir WILLIAM GLASGOW:

– I propose to ask the Air Accidents Investigation Committee to make a report on all the accidents up to date, and I shall make it available to honorable senators.

page 166

QUESTION

FEDERAL CAPITAL

Sale of Leases: Commission Paid to Agents - Building Sites - Shareholders inlocalinvestment and Trading Concerns - Residences - Pastoral and Farming Leases - Swimming Baths - Consolidationof Ordinances - Sale of Intoxicating Liquors.

Senator ELLIOTT:

asked the Minister representing the Minister for Home and Territories, upon notice -

With reference to a promise given by the then Minister for Home and Territories (Senator Sir William Glasgow), on the 24th March last, in reply to a question relating to the sale of business sites in Canberra that he would discuss the matter with the Federal Capital Commission, will the Minister concerned inform the Senate of the result of such discussion?
What were the number and upset prices of business sites offered for sale by the Federal CapitalCommissionatitslast sale?
What number was sold, and at what prices?
How is the great excess over the upset prices accounted for?
In view of the result, what modifications of the Federal Capital Commission’s policy is proposed ?

Senator Sir WILLIAM GLASGOW:

– The information required by the honorable senator is being obtained, and he will be advised as soon as it is received.

Senator DUNCAN:
NEW SOUTH WALES

asked the Minister representing the Minister for Home and Territories, upon notice -

Is it a fact that practically all sites in Canberra, whether residential or business sites, have been disposed of through one firm or company of agents?
If so, what is the amount of commission which has been paid, and/or which is now due and owing by the commission to such agents?
What is the reason for granting such agents a monopoly in this respect?
Is it a fact that a member or members of such firm of estate agents is’ or are also a director or directors and/or large shareholders in certain buildings and/or investment companies which have purchased or dealt very largely in lands acquired from the commission through such agents?
Is it a fact that a number of public servants and/or servants of the Federal Capital Commission are also large shareholders in one or more of such concerns?
How many blocks in the “ Civic “ Centre were submitted for sale at thelast sale of business sites?
How many of such blocks were purchased by any, and which, of the aforesaid concerns in which public servants or servants of the commission are interested ?
Is one of such concerns carrying on a motor garage firm or company ?
Is it a fact that a rival motor garage, the site for which was purchased at a very large price, has been notified by the commission that it will not be permitted to carry out repair work?
If so, will this prohibition have the effect of giving a monopoly of such repair work to the concern referred to in Question No. 8?

Senator Sir WILLIAM GLASGOW:

– The information desired by the honorable senator is being obtained, and willbe made available as soon as possible.

Senator GRANT:
NEW SOUTH WALES

asked the Minister representing the Minister for Home and Territories, upon notice -

How many building sites have been leased within the Capital area.
What is the total annual rental received for these.
How many residences have been erected by the commission.
What is the total cost of the residences erected.
How many of these are occupied.
How many are in course of erection.
What is the total rental as fixed by the commission for the completed residences unoccupied.
How many of these have been allotted.
What is the rental as fixed by the commission for the residences allotted and unoccupied.
How many residences have been erected by private enterprise.
What is the total - (a) number, (b) area, (c) rental, of the - (a) pastoral, (b) farming, (c) other areas leased by the commission.
What is the area of - (a) the Capital Site, (b) Federal Capital Territory not leased.

Senator Sir WILLIAM GLASGOW:

– The information desired by the honorable senator is being obtained and will be made available as soon as possible.

Senator NEEDHAM:
WESTERN AUSTRALIA

asked the Minister representing the Prime Minister, upon notice -

Will the Prime Minister now take into consideration the request contained in my letter to him dated6th April last that swimming baths be erected at Canberra.
In view of the fact that summer is rapidly approaching, will the Minister, if he favorably considers the matter, see that the work is put in hand immediately in order that the baths may be completed this year.

Senator Sir WILLIAM GLASGOW:

– This matter will be taken up with the Federal Capital Commission, and as soon as a decision has been reached in regard thereto, it will be communicated to the honorable senator.

Senator GRANT:

asked the Minister representing the Minister for Home and Territories, upon notice -

In view of the multiplicity of additions and amendments made to the ordinances and regulations in reference to Canberra and the Federal Capital Territory, will he have prepared for the use of senators a consolidation up to date of all such ordinances and regulations.

Senator Sir WILLIAM GLASGOW:

– In view of the expense involved, it is not thought that a consolidation of the ordinances and the regulations thereunder could, at this stage, be justified. Steps, will, however, be taken to have any ordinance which has been frequently amended consolidated. The honorable senator’s difficulty could probably be overcome by the publication of an index to the ordinances and regulations. Instructions have been given for the preparation of such an index.

Senator DUNCAN:

asked the Minister representing the Minister for Home and Territories, upon notice -

Is the government aware of the fact that senators are being inundated by correspondence from churches and temperance bodies, dealing with the question of the “no licence” regulations as applied to the Federal Capital area.
With the view of quieting the public mind upon this matter,will the government say if there is any intention of, in the near future, remitting the question to a referendum of the residents of the area.

Senator Sir WILLIAM GLASGOW:

– The answers to the honorable senator’s questions are as follow : -

The government is aware that there has been considerable correspondence on the subject referred to by the honorable senator.
As the Prime Minister has already announced, it is intended to take a poll on the question at such time and subject to such conditions as Parliament may determine. It is not, however, practicable at present to indicate theprobable date of thepolling.

page 167

QUESTION

VISIT OF DUKE AND DUCHESS OF YORK

State Ball and Garden Party

Senator GIVENS:
QUEENSLAND

asked the Minister representing the Treasurer, upon notice -

Was the cost of the State ball and State garden party given by the Governor-General in Melbourne, in connexion with the visit of their Royal Highnesses, the Duke and Duchess of York, paid by the Commonwealth Government; if so, what was the total amount?

Senator Sir WILLIAM GLASGOW.The cost of the functions referred to was paid by the Governor-General, to whom a grant of £2,000 was made towards expenses in connexion with theRoyal visit.

page 167

QUESTION

MIGRATION OF SOUTHERN EUROPEANS

Senator GRAHAM:
WESTERN AUSTRALIA

asked the Minister representing the Prime Minister, upon notice -

Has the attention of the Prime Minister been drawn to the large influx of Southern Europeans into the Commonwealth?
Will the Prime Minister take immediate steps to prevent these foreigners coming into Australia, and if not, why?

Senator Sir WILLIAM GLASGOW.The answers to the honorable senator’s questions are as follows: -

Statements to this effect have come under the notice of the Prime Minister.
It is not considered that any circumstances have arisen which would ‘justify such a course of action.

page 168

QUESTION

NEW GUINEA

Medical Services. - Local Government

Senator PAYNE:
through Senator J. B. Hayes

asked the Minister representing the Prime Minister, upon notice -

Have representations been made at any time by the Administrator of New Guinea for increased financial assistance for extension of medical aid and services for the natives of the territory?
If so, will the necessary provision be made this year?

Senator Sir WILLIAM GLASGOW.The answers to the honorable senator’s questions are as follows: -

No request has been received from the Administrator for increased financial assistance for the purpose mentioned since the inception of the annual grant by the Commonwealth Government for the betterment of the natives of New Guinea.
A special grant of £10,000 per annum is made by the Commonwealth Government to the New Guinea Administration, to be expended solely for the direct benefit of the natives. A substantial proportion of this grant is allocated to the provision of medical aid and services for the natives, in addition to moneys which are made available for the same purpose from the local revenues of the Territory. The first payment of the grant was made in respect of the year 1925-1926.

Senator GRANT:

asked the Leader of the Government in the Senate, upon notice -

In view of the disposal to private enterprise of nearly all of the plantation and trading stations in the Mandated Territories of New Guinea, is it the intention of the Government to introduce a bill conferring upon the white residents some measure of local government?

Senator Sir WILLIAM GLASGOW.The question of establishing a Legislative Council or some other form of local government for the Territory of New Guinea is receiving consideration, and an announcement in regard thereto will be made in due course.

page 168

QUESTION

DEVELOPMENT AND MIGRATION COMMISSION

Senator NEEDHAM:

asked the Minister representing the Prime Minister, upon notice -

Has the Development and Migration Commission made any definite recommendations to the Commonwealth Government?
If so, what are they?

Senator Sir WILLIAM GLASGOW.A number of recommendations have already been received from the commission, and particulars of these recommendations will shortly be made available to honourable senators in the form of the annual report of the commission.

page 168

QUESTION

ASSISTED BRITISH MIGRANTS

Tasmania - Repayments

Senator SAMPSON:
TASMANIA

asked the Minister representing the Minister for Markets and Migration, upon notice -

The number of assisted British migrants who arrived in the State of Tasmania during theyears 1921, 1922, 1923, 1924, 1925, and 1926?
The amount of declared capital they possessed ?
Is migration now limited by the State Government to nominated passages only?

Senator CRAWFORD:
Honorary Minister · QUEENSLAND · NAT

-Theanswer to the honorable senator’s questions are as follows : - 1 and 2. 1921 - Number of migrants, 615; declared capital, £12,218. 1922 - Number of migrants, 411; declared capital, £16,590. 1923 - Number of migrants, 394; declared capital, £9,650. 1924 - Number of migrants, 226; declared capital, £7,880. 1925- Number of migrants, 139; declared capital, £2,815. 1926 - Number of migrants, 152; declared capital, £2,140.

Yes.

Senator NEEDHAM:

asked the Minister for Markets and Migration, upon notice -

What is the amount of money expended by the Commonwealth per annum in connexion with the bringing of assisted immigrants to Australia, showing - (a) Free passage money grants, (b) loans of passage and landing money (recoverable from migrants) for the year 1920 to 1927?
How much of the total amount loaned to these migrants has been repaid to the Commonwealth ?

Senator CRAWFORD:

– The answers to the honorable senator’s questions are as follows: -

The following is a statement of the amounts expended by the Commonwealth during the period 1920 to 1927 (30th June) in connexion with the introduction of assisted migrants, showing (a) free passage money grants, and (b) loans of passage money, landing money, and medical fees: -

The total amount of loons repaid to the Commonwealth by migrants to the 20th June, 1927, is £206,90B.

page 169

QUESTION

PERFORMING RIGHTS

Senator ANDREW:
VICTORIA

asked the Leader of the Government in the Senate, upon notice -

Is it the intention of the Government to take action to protect proprietors, such as municipalities and other parties, against the demands of the Australasian Pei forming Rights Association when their halls have been let for public concerts, dances, and other performances ?
If so, when?

Senator Sir WILLIAM GLASGOW.The answers to the honorable senator’s questions are as follows : - 1 and 2. This matter has been receiving the attention of the Commonwealth Government. The Attorney-General has written many letters explaining the legal position, which is briefly as follows: - “No owner of a hall incurs any liability under the law of copyright merely because he is the owner of a hall in which a copyright piece of music has been performed. He would bc liable only if he authorized the performance of copyright music without the consent of the owner, i.e., if he arranged or controlled the programme ; or if he, for his private profit, permitted the hall to be used for the performance of a particular piece of music without the consent ot the owner of the copyright. The ordinary letting of a hall for a concert or dance, without any knowledge, supervision or control of the programme, does not involve the owner in any liability. Of course, in all cases, the actual performer of a piece of music is liable for infringement of copyright committed by him.”

An international conference for the reconstitution and revision of the International Copyright Convention will be held at Rome early next year. It is expected that the Commonwealth will be represented at the conference by

Sir Harrison Moore. The question of performing rights will be open for discussion at the conference, and, when its report is available, the question of amending the Copyright Act will receive consideration.

page 169

QUESTION

DUTY ON POTATOES

Senator J B HAYES:
TASMANIA

asked the Minister representing the Minister for Trade arid Customs, upon notice -

Will the Minister make available to senators the Tariff Board’s report on the proposed increase of duty on potatoes?

Senator CRAWFORD:
NAT

– The report is only recently to hand, and has not yet been considered by the Government. When full consideration has been given the report it will be laid on the table of the House.

page 169

COMMONWEALTH ELECTORAL BILL

Second Reading

Senator Sir WILLIAM GLASGOW:
Minister for Defence · Queensland · NAT

[3.17].- I move-

That the bill be now read a second time

It will be remembered that a joint committee of both Houses of Parliament was appointed early last year to enquire into the electoral law and procedure in relation to enrolment, postal voting, signed articles, polling facilities, and donations or gifts by members or candidates, and to report upon any additional safeguards necessary to prevent impersonation and duplicate voting. Later, the reference to the committee was extended to include informal voting, absent voting, joint rolls, and the administration of the compulsory sections of the Electoral Act. The committee is to be congratulated upon the very thorough investigation which it made and the completeness of its report and recommendations upon the subjects referred to it. It took evidence in all the States and examined many witnesses, including Members of Parliament, Commonwealth and State, electoral officials, representatives of political organisations of all parties, professional men, journalists, govern1 ment printers, postal and police officials, and individual members of the public who gave evidence voluntarily or by request. The report of the committee was presented to the Senate on the 3rd March, 1927, and this measure to amend the Commonwealth Electoral Act is now introduced to give effect to certain of the committee’s recommendations. In addition to the amendments arising out of the recommendations of the committee the bill contains some further proposed amendments suggested by the Chief Electoral Officer. I shall deal first of all. with the committee’s recommendations in the order appearing in the report, and in so far as legislative action is necessary. With reference to enrolment, the committee recommended that the qualifying period of residence for enrolment in a sub-division should be three months instead of one month, and that the disqualifying period of three months should be permitted to elapse, after the removal of an elector from a sub-division, before an objection might be made to the retention of his name on the roll. If this recommendation were adopted the rolls used at an election “would be very much out of date. Under the present law, having regard to the period which elapses between the issue of a writ, when the rolls are closed, and the polling, together with the qualifying residential period of one month, it is not possible for a person who changes his place of living within ten weeks of polling day, to make a corresponding change in his enrolment. To further extend this period by an additional two months would not be desirable. Further, the Commonwealth has already entered into agreements for a joint roll with three States - Victoria, South Australia and Tasmania - and hopes, in the near future, to effect a similar agreement with Western Australia, upon the basis of a qualifying period of one month for enrolment, and a disqualifying period of similar duration for objection to retention of enrolment. It would be impracticable to maintain efficient joint rolls with the divergent qualifications which the committee’s recommendation in this respect would introduce. For these reasons the recommendations has not been accepted. A further suggestion by the committee deals with the adoption of a claim card providing for all information to be furnished by the elector being on one side and recuiring one signature only. This will be effected by regulation, and therefore does not require legislative action. Under the head ing,, postal voting, the bill provides for a “reduction of the distance from a polling booth, from ten to five miles, as a ground upon which an elector may obtain a postal vote, and also that an application for a postal vote may be witnessed by any elector. Further, it enlarges the list of persons who may act as authorized witnesses. These amendments are desirable in view of the introduction of compulsory voting. Provision is also made for the im- - position of a penalty on a person who, being entrusted with an application for a postal vote, fails to post it.

With reference to the signing of political articles the bill provides that the leading articles in the columns, of a newspaper and reports of meetings which do not contain comment shall not be required to be signed by the writer; otherwise the existing law will remain unaltered. It is generally recognized that the leading articles in a newspaper set forth the policy of the journal, and there does not seem to be any need to require such articles to bear a signature. The bill s makes provision for several alterations of the existing law with regard to polling facilities. .It adopts 7 o’clock as the hour for closing the poll. In Queensland the poll at State elections closes at 6 o’clock, and in South Australia, Western Australia and Tasmania, at 7 o’clock. It is con- sidered that every elector who desires to vote will have ample opportunity to do so between 8 a.m. and 7 p.m. The new provision will enable blind persons and persons so physically incapacitated as to be unable personally to mark their ballotpapers to be accompanied into the voting compartments by a person selected by themselves to mark their papers for them. It will also permit votes recorded under the provisions of section 121 of the act under a misapprehension on the part of the presiding officer or the elector, to be admitted to the scrutiny, in cases where the elector is fully entitled to vote. Certain recommendations made by the committee regarding “ How to Vote “ cards, canvassing, and the hiring (.f motor cars, are not included in the bill. N The committee’s re- . commendation upon the subject of donations bv members of Parliament has been adopted with slight modifications. The bill provides in clause 23 - (1.) No member of Parliament shall offer promise or give directly or indirectly any gift, donation or prize to or for any club or other association or institution:

Provided that it shall not be a contravention of this section for a member of Parliament to contribute, or to offer or promise to contribute, to the funds of a hospital, a charitable body, an educational institution, a pastoral, agricultural or horticultural society, a memorial, or a church of which he is a member, or to contribute to church collections.

Penalty: Ten pounds, (2.) No proceedings shall be taken for a contravention of this section except within three months after the act complained of.

With a view to minimizing informal voting the committee recommended that the name of the party to which a candidate belongs should be shown on the ballotpaper. This suggestion has not been adopted. It will be remembered that, as far as the Senate is concerned, the names of candidates are shown in groups in accordance with an arrangement agreed to by the severalcandidates offering themselves for election. The committee’s report relating to absent voting and joint rolls does not contain anything requiring legislative action. Joint rolls are at present maintained in Victoria, South Australia, and Tasmania. In Western Australia the Parliament has now a bill before it which, when passed, will enable a joint roll to be established in that State. Further representations will be made upon this subject to the Governments of New South Wales and Queensland. The only recommendation under the heading, “ Administration of the Compulsory Sections of the Act,” is that an amendment should be made to provide for a minimum fine of 10s. for failure to vote. This is included in the bill, it having been ascertained that in some cases fines as low as 1s. have been imposed. It is thought that this leniency encourages a disregard of the compulsory voting law.

The committee suggested that the forms relating to “declaration” votes should be simplified. It was considered that there were too many of these forms and that they were too complicated. In this connexion the Chief Electoral Officer suggested a re-casting and simplification of the questions put to electors at the polling. Provision is made in the bill to give effect to this suggestion, and, incidentally, to reducethe number of forms of declaration and to simplify them. These proposed amendments are contained in clauses 2 and14 of the bill. Clause 2 provides that an elector, who on polling day does not live in the division for which he is enrolled, may vote in respect of that division if his real place of living was in that division at any time within the preceding three months. It also defines “ real place of living “ to include the place of living to which an elector temporarily absent intends to return for the purpose of continuing to live thereat. Without materially alteringthe present law, the clause puts the position more clearly. Clause 14 simplifies the questions regarding an elector’s place of living which may be put to an elector at the polling. In the first place it eliminates the question regarding temporary residence by providing a definition of the meaning of the words “ real place of living”; and secondly, it prescribes a simple question that the elector can readily understand as to whether, if he is not living in the division in which he is enrolled, he has lived therein at any time within the preceding three months. It further provides that the answers “ Yes “ or “ No “ to the prescribed questions shall govern the question of the elector’s right to vote, and thus avoid the necessity of providing for a “ declaration “ form of voting. Additional amendments suggested by the Chief Electoral Officer havebeen included in the bill, and will be explained in the committee stage.

In bringing forward this bill, I should like to say that we are indebted to the joint electoral committee for the very valuable services it has rendered, and that when legislative effect is given to its recommendations the electoral system, in which we are all deeply interested and upon which so much depends, will be vastly improved.

Debate (on motion by Senator Needham) adjourned.

page 171

QUESTION

ESTIMATES AND BUDGET PAPERS 1927-28

Debate resumed from 29th September (vide page 74), on motion by Senator Sir William Glasgow -

That the papers be printed.

Senator NEEDHAM:
Western Australia

– After a parliamentary close season of a little over twelve months, the budget has been presented to us at a time when three months of the financial year have expired. A considerable amount of the money provided for in the budget has’ already been expended. The answer of the Government to such a charge is that the delay has been due to the transfer of the departments from Melbourne to Canberra. I do not consider that to be a valid excuse for a delay of three months. There was no necessity for the Parliament to function in Canberra until everything here was in / readiness for it. In the meantime it could ‘have carried on its legislative work in Melbourne possibly for a further twelve months. During the last twelve months the people of Australia have not been governed along democratic lines. The doors of Parliament have been closed, and they have been ruled by the handful of men who comprise the Government. Ministers have been peregrinating from one end of Australia to the other, delivering speeches on all sorts of subjects, and doing acts that have not received the sanction of Parliament. That is not right or proper, and I sincerely hope that the practice will not be continued. The most inveterate traveller in the Ministry is unquestionably the Treasurer (Dr. Earle Page). He has made very many speeches during the close season to which. I have referred.

Senator McLachlan:

– Does the honorable senator desire that there shall be a close season for speechmaking?

Senator NEEDHAM:

– I do not want the doors of Parliament to be closed. On the contrary, I contend that Parliament should do its work thoroughly, and that Ministers should be in their places in this and the other chamber, so that we can keep our eyes upon them. Included in the charming phrases that have fallen from the lips of the Treasurer and other Ministers are: “Maximum production,” “ Plans for the elimination of waste,” “National efficiency,” “Cultivation of oversea markets,” “ Great need for better transport facilities.” Those are fine, high-sounding phrases; but what action has been taken by the Government during the last twelve months to bring about such a delightful, and, may I add, necessary state Df affairs? None at all. As a matter of fact it has been in office for a period of 21 months since the last election.

Senator Findley:

– Twenty-one months too long.

Senator NEEDHAM:

– I echo that sentiment. The Government cannot point to one piece of legislation which will help in any way towards bringing about the desideratum expressed in the phrases which its members have been bandying about so frequently and readily. One looks in vain to the statute-book to furnish evidence of the policy propounded by the Government at the 1925 elections having been put in operation. During the recess the Treasurer delivered in Sydney, before members of the Australian Country Party Association, an address, in the course of which he said : -

Let us now proceed to determine a policy for Australia. The first step is by the initiation of a national plan of efficiency in production and marketing that will ensure wellbalanced development.

Dr. Page has. been Federal Treasurer for a period of five years. One would have thought that he, and the Government of which he is a member, would in the time have given effect to the policy he there enunciated; but nothing has been done. The Country Party is supposed to be an active organization. What has it done, or insisted upon the Government doing,’ to bring about national efficiency and the better marketing of our products ?

I shall deal now with the question of finance. Since Dr. Page became Federal Treasurer the people of Australia have been hoping for the best, but expecting the worst. In the latter respect they have not been disappointed. Practically every budget has been a splendid example of manipulation from end to end. The Government claims to be out for economy, but no evidence can be gleaned from the last budget of any intention on its part to practice economy in the future; nor can I find any record of economy in the past.

Senator CRAWFORD:
NAT

– “ There is none so blind as they that won’t see.”

Senator NEEDHAM:

– Before I sit down I shall prove that there is ample evidence of the lack of the economy which has been preached so loudly and constantly by the Treasurer. Prior to his association with the Government as Treasurer he was an ardent disciple of economy; but since he has been in charge of the Treasury he has recklessly squandered the funds of the nation. A brief glance at the budget might lead one to believe that the finances of Australia are in a sound condition; but a close analysis will prove the contrary to be the case. It is true that last year there was a surplus of £2,635,597, and that the estimated surplus for this financial year is £149,381. The Treasurer has always been guilty of estimating a low surplus. Every presentation of the budget so far has shown him to have been very far out in his estimates. Surpluses recur every year; but how are they brought about? The expenditure out of loan money on works during 1921-22 was approximately £5,000,000. In 1926-27 the expenditure out of loan for works was £7,000,000, an increase of £2,000,000 since Dr. Page became Treasurer. If honorable senators will turn to page 6 of the budget for 1922-23 they -will find that during 1921-22 the sum of £2,572,000 was spent out of revenue oh additions, new works and buildings. In the following year, however, when Dr. Page became Treasurer, only £720,000 was spent out of revenue for the same purpose, while in 1926-27 the amount so expended was only £215,000. It will, therefore, be seen that during the term of office of the present Treasurer, the Government has spent more than £2,000,000 additional loan money, and a correspondingly less amount out of revenue, on additions, new works, and buildings.

Senator Crawford:

– During the period the Government has paid £36,000,000 off the war loans.

Senator NEEDHAM:

– I shall show presently that that does not improve the position. In 1922 Dr. Page; who was then a private member, said : -

There appears to be some manipulation of the loan and revenue expenditure in order to make the budget look as favourable as possible.

Senator NEEDHAM:

– Our net debt in 1922 amounted to £339,000,000; it is now £341,000,000, clearly showing that we are increasing instead of reducing our debt.

A great deal has been said about the proposed reduction of our income tax and our land tax by 10, per cent. As a private member, Dr. Page ridiculed the idea of a reduction in taxation. In 1920, when our taxation had reached its peak, he said: -

I make no complaint of the incidence of taxation….. I do not complain of its ‘being* high, because, in my view, now is the time when we should tax ourselves, with the object of reducing our public debt. ,

In 1921 he went further, and said : -

The electors most know, and will know, as far as it lies in the power of the Country Party to inform them that the proposed reduction in taxation cannot continue unless there is a permanent reduction in the cost of government.

Where is that reduction in the cost of government? What has the Country Party done to bring it about? Dr. Page has clearly spoken with two voices. It is amazing how one’s ideas change when one ceases to be a private member and assumes the responsibilities of office. While the Treasurer proposes to reduce the income tax and the land tax by 30 per cent., he is piling up the general taxation, which directly affects the workers. For the year 1924-25 we find 3,638 persons receiving incomes of over £1,000, and companies contributing £9,278,000 out of a total £10,296,000 income tax assessed. It will be seen, therefore, that the great mass of the people will reap very little benefit from the proposed 10 per cent, reduction. During the last five years the general taxation of the Commonwealth has increased This is indicated by the following table: -

It is evident that since Dr. Page has been Treasurer the general taxation of the Commonwealth has increased oy nearly £10,000,000 a year. In 1922 the taxation per head of the population was £9 0s. 4d. In 1926 it was £9 ls. 6d., an increase of ls. 2d. per head. To-day it is 8 per cent, higher than it was during the period of the war.

The surplus earnings of the department of the Postmaster-General for the year 1926 amounted to £362,739. When Mr. Bruce was in Perth during the recess he said that the surplus earned by the department of the Postmaster-General would be used as a set-off against the loss on the Commonwealth railways, but when Dr. Page was a private member he strongly condemned the policy of absorbing the surplus of the Postal Department into the general revenue. He said that the department should be self-contained, and that whatever profits it earned should be’ devoted to extension and development of postal facilities. Nevertheless, we still find that the profits of the department are devoted to purposes entirely foreign to that section of Commonwealth activities which has earned them. To make matters worse, we are borrowing for postal extensions. Let us see how this policy operates. For the years from 1901 to 1921 the expenditure on new works, buildings, and sites for the Department of the Postmaster-General was £10,541,000 from revenue, and £1,696,000 from loan. In 1921-22, the expenditure from revenue was £990,000, and that from loan was £848,000. In 1922-23 only £221,000 was spent from revenue, while £2,288,000 was spent from loan. Since then the whole of the expenditure on new works, buildings, and sites has been provided out of loan funds.

Senator Sir William Glasgow:

– Does the honorable senator disagree with that policy ?

Senator Elliott:

– Does not the honorable senator consider that civil aviation will assist defence?

Senator NEEDHAM:

– I am speaking of aviation generally, and its usefulness in any country. I suggest that the Government should inaugurate its own air services throughout Australia. They could be used for the benefit of the people, particularly those in the more remote parts of the Commonwealth, and in. assisting in the carriage of mails for the Postmaster-General’s Department, and also passengers. As the governments of Australia, both Federal and State, practically control land transport, they should take charge of air transport. Depots could be established all over the country, and the services linked up in such a way as to benefit our commercial and military activities. While we are handling our air services in the present haphazard manner, other countries are making marked progress. The Government should pay more attention to this important service than it is doing at present. During the past year nearly £600,000 was spent on the Air Force; but in common with many other branches of defence we have not received value for the money expended. Speaking on defence matters in 1921, the present Treasurer said, “A further study of the defence Estimates shows an increase in general contingencies and fat salaries.” During the five years the Treasurer has been in office there has not been any reduction in what he terms “ fat salaries.” In this year’s Estimates provision is made for the payment of £8,500 to1 seven colonels, lieutenants-generals, &c, and £123,000 for the payment of the salaries of lieutenants-colonel, colonels, majors, &c. It would appear that our Defence Forces consist of all officers and no privates.

As honorable senators are aware, Mr. Trumble, who occupied the position of Secretary of Defence, and who carried out his duties with great ability, has been transferred to the High Commissioner’s office in London, and Mr. Shepherd, who was secretary to the High Commissioner in London, has been appointed Secretary for Defence. During the last two years Mr. Trumble was paid £1,350 per annum, but prior to that he was receiving only £1,150. As Mr. Shepherd is now receiving £2,000 par annum, as against £1,350 paid to Mr. Trumble, I should like to know if the increase in the salary of the office is to be permanent. If that is the case I venture to say there are other officers in the Commonwealth Service holding equally responsible positions who are entitled to equal recognition.

Reference is made in the budget speech to the financial relations between the Commonwealth and the States, and we have been informed that an agreement has been entered into between the Commonwealth and the States under which certain moneys are to be paid to the States in lieu of the per capita payment. Prior to the introduction of legislation for the abolition of the per capita payment, the Prime Minister and Treasurer stated that it was a pernicious system for one government to borrow money and another government to spend it. If the proposals are ratified by the Commonwealth Parliament and the State Parliaments, this “ pernicious “ system will continue. For a period of 58 years it is proposed to pay certain sums of money to the States, so the pernicious system referred to by the Treasurer, of one Government raising money for another Government to spend, is to be continued. It is true that, during the period mentioned, the Commonwealth Government has undertaken to pay interest on State debts; but my objection is that the new agreement will not be as beneficial to the States - certainly it will not be as beneficial to Western Australia - as the per capita payments were. Western Australia is the largest State in the Commonwealth, and under the developmental schemes now in - operation its population will increase steadily. The per capita payments, if they were continued, would correspondingly increase. Perhaps the same may be said of Queensland. That State and Western Australia offer the greatest scope for land settlement, and under the per capita system both States would benefit more than they will under the new arrangement.

Senator Crawford:

– And yet population is increasing more rapidly in New South Wales and Victoria.

Senator NEEDHAM:

– That does not dispose of my argument that the per capita payments would not be a better arrangement for the States.

Senator THOMAS:
NEW SOUTH WALES · NAT

– Why did not the honorable senator support the payments ?

Senator NEEDHAM:

– I opposed their abolition, as reference to the Hansard debates will prove. I agree that the Premiers of the States made the best arrangements possible in the circumstances.’ They were in .a corner, so to speak, since this Parliament had signed the death warrant of the per capita payments. The new financial agreement has yet to be ratified by the Parliaments of the States, and by this Parliament also, and must then be submitted to the people in order to obtain their approval for an amendment of the Constitution in the direction indicated. Previous appeals to the people have demonstrated that they are not disposed, too readily, to agree to any vital amendment of the Constitution, and I am not confident that the proposed referendum for an alteration of the financial relationship between the Commonwealth and the States will be agreed to.

In his reference to Commonwealth finance, Senator Crawford said that £70,000,000 -represented borrowings for the States. If the Minister will look at page 2 of the Budget papers he will find that it is not so.

I come now to the Customs tariff. The actual revenue receipts were approximately £65,000,000. Of this amount £43,552,000 were derived from Customs and excise ; this indicates clearly on what, source the Government relies for its revenue. If by any chance the Customs revenue fails, the Government will be in difficulties. It is evident, however, that the Ministry is determined that the Customs revenue shall not decline. My view is that he tariff, is more revenue-producing than protective in its incidence. The interests of the man on the land are being overlooked. This Government is charging everything possible to loan. It is imposing high tariffs on every conceivable article that is used by farmers and roads boards in the different States.

Senator CRAWFORD:

– “Would the honorable senator prefer to have freetrade in agricultural implements ?

Senator NEEDHAM:

– I do not wish to enter into a controversy concerning the tariff at this juncture. I endeavoured to secure a reduction in the duties on farming “ implements and road-making machinery, but without success ; and again

I plead for more consideration for tho man on the land. “Western Australia, which is a purely primary producing State, is launching out on a large scale to open up new agricultural areas. Land is being taken up as quickly as it is being surveyed. A great deal of agricultural machinery will be necessary for its proper development. Therefore, I say without hesitation, that high protective duties on farm implements and road-making machinery will not help the new settlers in Western Australia. They will assist industry in other States, bat that should not be done to the injury of an industry, such as I have mentioned, in Western Australia.

Senator CRAWFORD:

– We cannot discriminate between the States.

Senator NEEDHAM:

– I admit that, but by the imposition of lower duties on the implements so necessary for the development of land in the various States, we can help our primary producers. We all know what hardships they have to endure, and what difficulties confront them : it therefore should be our duty, when framing the tariff, to ease the burden as much as possible. It has always been a source of amazement to me that representatives of the Country Party allow their confreres in the Ministry to impose high duties on farm implements and machinery. Before that party became associated with the Nationalist Party, through their leader, Dr. Page, it was entirely opposed to such duties, but now it allows them to be levied without protest.

Senator Chapman:

– We are always voicing our protests against high duties on agricultural machinery and implements, but honorable senators opposite vote for them.

Senator NEEDHAM:

– I am afraid the honorable senator will have to protest more vigorously in future if he wishes to persuade the Government to ease the burden on our primary producers. [Extension of time granted.]

For the edification of Senator Crawford I should like to read the following statement, concerning our public debt, from the budget speech delivered by the Treasurer last week : -

The balance of our public debt has been contracted on account of Commonwealth works and loans raised for the States and Federal Capital Commission.

The amount of this debt at 30th

Senator Crawford:

– Now read the next half-dozen lines; they disclose the true position. The honorable senator said that the public debt was £461,000,000 and did not allow for a deduction on account of State debts of £120,000,000, making the nett Commonwealth debt £340,928,000. He quoted the gross instead of the nett debt.

Senator NEEDHAM:

– I thank honorable senators for their courteous hearing, and shall close by saying that the federal budget reminds me of the reply made by the beadle of a certain Scottish town when asked by a young Scotch clergyman what he thought of the sermon. “ Weel, he said, it was read; it was badly read, and was no’ worth reading.” That is what I think of the Treasurer’s budget.

Senator J B HAYES:
Tasmania

– I congratulate the Treasurer on the clearness of his budget statement. It contains many things that call for more than passing comment. The outstanding feature is the financial agreement between the Commonwealth and the State Governments. For many years the problem has engaged public attention throughout the Commonwealth. It would be difficult to find two people with exactly the same opinion as to the best means for its solution ; but by his tactand courage the Treasurer has been able to settle it once and for all. If the several

– If a business man could extend his business and increase his assets, whilst at the same time keeping his overdraft at the same amount, he would consider that he was placing himself in a very sound financial position. I attach no importance to the borrowing of that £38,000,000, provided it has been wisely spent on reproductive works.

Senator Sir William Glasgow:

– The expenditure on postal works is returning sufficient to meet both interest and sinking fund payments.

Senator J B HAYES:

– Money has also been expended on railways that will return revenue.

– I understand that it was introduced by a Labour Government in 1913 with the object of breaking up big estates. It did not have that effect. Frequently men are taxed even though they have only an equitable interest in their land; they are not entitled to claim a remission on account of mortgages. That is unfair. Admittedly land tax returns a considerable amount of revenue, and, consequently, the government cannot agree to remit it wholly ; but I hope the time will soon come when that will occur.

Another matter to which I wish to refer is the increase in the amount spent under the Rural Credits Act, which was passed three or four years ago. The benefit which that act: has conferred upon the primary producer is shown by the fact that last year rural credits to the extent of £8,000 were made available to assist in the export of produce.

Senator Needham:

– What did it cost the farmers to get it?

Sentaor J. B. HAYES.- I do not know ; presumably 6 per cent. When the act was before this Chamber, I suggested that it should apply to not only exportable ‘produce, but also produce for sale on the local market. It may have been impossible to give effect immediately to that suggestion. Probably the majority of the farmers in Australia grow exportable produce, such as wheat, wool and butter; but there is a large number who do not, on account of the geographical and physical features of the country they are farming. I refer to those who hold land in heavily timbered country such as Gippsland, and Tasmania chiefly. The credits made available through the Rural Credits department of the Commonwealth Bank are not of as much assistance to them as they should be. The government has endeavoured, and is endeavouring, to assist farmers in Tasmania. Through the Development and Migration Commission. One of the best methods is to provide for the orderly marketing of their produce. A scheme along those lines could easily bs devised. After each harvest produce is quoted at a very low price. The reason is obvious; as soon as tho average man gathers his crops he has to sell. The stores become filled, and there is no readiness to buy. Later in the season prices rise. I am quite aware that the present is an exceptional year. I have seen good, bright oaten chaff sold for £4 a ton. The price has since risen to £8 10s. or £9 a ton in the same market. And so with other crops. Men who obtained advances by which they were able to hold their crops, realized good prices. That position arises to a greater or less extent every year. I hope that the Government will take this matter into consideration and give some assistance to those farmers who do not grow exportable produce.

Senator Ogden:

– Is the honorable senator asking that the Federal Government should do so?

Senator J B HAYES:

– Yes. The machinery is already in existence. Last year the Commonwealth Government advanced £8,000,000 to assist in the export of Australian produce. By extending the machinery a little, other farmers could also be assisted. I suggest that a farmer should be able to take his produce to a reputable merchant, have it examined and branded, and a sample taken, and receive from the merchant a storage warrant marked with the value of the produce on the day it was delivered. By taking that storage warrant to the Commonwealth Bank he should be entitled to draw up to 75 per cent, of the value marked thereon. Later, when the market was no longer glutted, he could instruct the merchant to sell his produce, when he would repay the money advanced to him and receive any balance due to him. By that means he would be able to take advantage of the higher prices offering.

Senator Reid:

– Who would pay the storage charges?

Senator J B HAYES:

– They would not be great. Some merchants would be willing to store the produce for the right to handle it; merchants will often give free storage for three months. My suggestion, if carried out, would only mean the extension of a principle already in operation. It would apply to farmers operating in districts such as are found in Tasmania and parts of Victoria. A good deal has been said of the desirability of making provision for times of drought. The system I have suggested would enable farmers in productive districts to make provision for the lean years. I commend the suggestion to the Government.

– The States were not so careless as some people would have us believe. Honorable senators should remember that the various State Governments were urged by an intensely loyal and sympathetic, but irresponsible public to purchase estates on which returned soldiers could be settled. In consequence of the demand for land, prices rose. Produce at that time was also extremely dear. Wheat brought as much as 10s. a bushel, and oats 6s. or 7s. a bushel; milking cows cost from £14 to £20, and calves which would not bring more than 25s. to-day, were sold for £5. All this had the inevitable effect of increasing land values. The States certainly made mistakes, but many keen private business men also made mistakes in buying estates and stock. While many men made fortunes, others lost thousands of pounds. I am convinced that had the Commonwealth Government controlled soldier land settlement, more money would have been lost than actually was lost by the States. Now that we have returned to normal times I trust that our returned soldiers will be given a chance to make good, and that thereafter businesslike methods will prevail in all transactions with them. All is not well with our soldier farmers. I hope that whatever remissions are made to them will not be in the nature of deferred payments. Any concessions made should be regarded as a further war liability. Let us give the soldiers a fair start. Let us value their land afresh, give them a fair start in that way and then treat them as ordinary civilians.

SenatorFoll. - What would the honorable senator do in cases where poor land has been sold to the soldiers?

Senator J B HAYES:

– I can speak only of instances that have come under my direct notice. It is so long since land of this class was selected or taken up by soldiers, and subsequently abandoned by them, that much of it has gone completely out of occupation.

Senator Foll:

– But the Commonwealth has not been paid.

Senator J B HAYES:

– The Commonwealth must bear the loss if certain land has gone out of cultivation. In Tasmania, and also in parts of Gippsland, Victoria, and, I have no doubt, in other States also, second-class land was cultivated when everything was on a lower basis, and labour was cheaper. That land was producing quite a lot of butter, and root crops. But when the boys went to the war there was no one to work it. The bracken grew up, and the rabbits came in, with the result that it went absolutely out of use. Two or three weeks ago I looked at some land in Victoria upon which financial men, in good faith, had advanced a large amount of money. That land has gone out of use. No doubt, schemes will be evolved to bring it back into use, but it is a big problem to say what should be done with land abandoned by the soldiers and now out of cultivation. I think that the Commonwealth will have to bear the loss. In any case, the percentage of losses on this score will not be any greater than has been the percentage of losses incurred by private individuals.

SenatorFoll. - What are the prospects of the same thing occurring under our scheme of settling immigrants?

Senator J B HAYES:

– I do not know. I take it that in the process of getting back to normal conditions we are likely to exercise more care and to buy land that will stand present-day high costs. It all depends upon the physical features of the land. Wheat land bought at a comparatively low price can lie abandoned for twenty years and yet be cultivated again with little expense; but some land in Gippsland and Tasmania is covered with ferns after a year, and might as well be let go altogether after being left unoccupied for two or three years. I hope that under the overseas settlement scheme people will be placed on some of our rich chocolate soil or on land that will stand heavy farming costs. They should certainly be placed on land that will pay to keep in good order, or land on which large implements can be utilized . with a consequent minimum expenditure on labour.

I am somewhat diffident about referring to the request for duties on timber and potatoes, because the matter is subjudice. The Tariff Board has had the position of the timber-cutters and potatogrowers under consideration. When we were sitting in Melbourne, I understood that the board was just about to furnish reports on a request for higher duties on timber and potatoes, and I think the Government should by now have had time to consider those reports and give’ effect to them. I hope that in both cases there will be an increased duty. The timber industry in Tasmania is now at a very low ebb. The machinery in many mills is rusting, and the timber is rotting in the bush. There is plenty of it available, but it cannot be cut at the present cost of production. We certainly have an embargo against the importation of potatoes from one country, but embargoes do not last for ever, and the growers would know better where they stood if an increased duty were imposed. I should not advocate import duties on timber or farm produce if it were not for the fact that the extraordinarily high duties on other articles have so increased the cost of production that the primary producer is seriously handicapped. First we have the tariff, bringing in its train a high cost of living. A high cost of living leads to high wages, and these in turn call again for a higher tariff. And so the whole thing goes round in a vicious circle. But the farmer does not come into that circle. He has to take whatever he can get for his produce. The miller, likewise, has to take whatever he can get for his timber. It is disheartening to the timber-millers to have to shut down their mills. There are more mills shut down in Tasmania to-day than there are working.

Senator Reid:

– That applies to all the States.

Senator J B HAYES:

– I have not the slightest doubt it does. There seems to be no reasonable hope of reducing the cost of production. The timber areas in Tasmania do not lend themselves to large operations. Several large companies have established mills, but they have not proved very successful, because the timber, although plentiful, is scattered. The small mills seem to do best ; but even they have been compelled to close down because they cannot make ends meet. Apparently there is no immediate prospect of reopening them. I hope the Government will see its way to give the timber industry, and also the potatogrowing industry, a little more help. Even if the assistance given does not serve to increase the price of the products, it will at least keep the mills going, and enable the capital invested in them to earn some little return.

The Treasurer proposes to spend a large sum of money on the exceedingly laudable object of developing our air services. No one will complain of expenditure to increase the usefulness and popularity of air travel, but I was somewhat disappointed when I read in this connexion the words, “probably to Tasmania.” If there is one State more than another that should be connected by air with the other States it is Tasmania. We already have air services between places on the mainland that have a splendid rail service, whereas Tasmania sometimes is cut off from the mainland, and the mail service is hung up by strikes. It would be only fair for the Commonwealth Government to say that as Tasmania is separated from the mainland, and has not a reliable sea service, it should be the first to be served by an air service. I know that it is an expensive matter to provide an air service over water, because better engines must be provided than are necessary for an air service on land, but on no part of a trip from Victoria to Tasmania would an -aeroplane be more than 25 or 30 miles from land, and that at only one spot. In most cases no aeroplane would be more than fifteen miles from land. I hope that the Government will decide that Tasmania shall be served by air. Several companies are willing to provide the service if they have a suitable Government subsidy.

Senator GRAHAM:
Western Australia

– Notwithstanding surplus after surplus, nothing has been done to relieve the people who have made Australia a fit place for us to live in. In my opinion some of the surplus revenue should have been given towards the relief of old age pensioners.

– I believe in goods which cannot be manufactured in Australia being admitted free of duty; but, in order to provide employment for our own people, we should manufacture all we can. In certain industries in Australia, the wages paid and the conditions that obtain are a pattern to similar industries in other parts of the world. This is due to the protection given them. Australian manufacturers are getting the maximum return from their employees; the conditions under which they work practically make it “impossible for them to do otherwise.

As honorable senators are aware, a good deal has been said during recent months concerning the influx of Southern Europeans into Australia. The Prime Minister’s explanation of the position is altogether unsatisfactory. I believe in Australia for the Australians, and will always endeavour to assist in improving the conditions of Australian workmen ;. but, whilst we are advocating a White Australia, and an Australian sentiment, thousands of Southern Europeans, who do not know the English language, are entering the Commonwealth. This1 is due to the fact that there are on committees in the capital cities influential Greeks and Italians who nominate their own countrymen. These migrants do not have to pass the language test.

Senator Ogden:

– They do.

Senator GRAHAM:

– No, they are nominated. There are large numbers of these Southern Europeans on the canefields in Queensland, and if the present influx continues it will not be long before we shall have in Australia a mixed population, such as is to be found in the United States of America. On the Kalgoorlie gold-fields these Southern Europeans are let loose like fowls from a crate. The Melbourne Herald of the 30th September, states -

Alien migrants in Victoria in many cases accept low wages in order to secure employment, according to statements made by several of the European consulates to-day.

These people are being brought out at the expense of the rank and file of Australian citizens, because they are ever ready to work for reduced wages. Unless prompt action is taken it will be difficult later-, to stem the on-coming tide of Southern European migrants. According to figures furnished by the Commonwealth Statistician, the Commonwealth has paid up to’3&th June, 1926, over £5,750,000 in bounties for the encouragement of Australian industries. The principal payments have been - Sugar, £3,899,542; frozen beef, £244,352; wire netting, £284,991; fencing wire, £243,619; galvanized sheet or plate, £147,376 ; pig iron, £186,699 ; shale oil, £125,492, and I have nothing to say against the legitimate encouragement of Australian industries, because I realize that, in their earlier stages, many business ventures require assistance. Nor have I anything to say against the large sum paid in connexion with the Queensland sugar industry; but I think that all those industries that have benefited in this way should have some consideration for the people of Western Australia.

The Prime Minister (Mr. Bruce) during the last election campaign, had a good deal to say about a scheme of child endowment. The Government, he said, intended to protect the motherhood of Australia. Up to the present, however, nothing has been done by the Commonwealth Government. The Prime Minister now offers the excuse that it is ,a State matter. It may be, but how is it possible for the States, in their present financial position - many of them have to come cap in hand to the Commonwealth for financial help - to carry out such a scheme? The Prime Minister has admitted that th;’ child is Australia’s best asset. Therefore child endowment is a national matter and the scheme should be launched by the Commonwealth Government.

Senator Elliott:

– Did the honorable senator say that the Prime Minister had promised to bring in a scheme of child endowment ?

Senator GRAHAM:

– Yes.

Senator Elliott:

– Where ?

Senator GRAHAM:

– In Perth, I am given to understand.

Senator Elliott:

– I am told that the Prime Minister was not in Perth during the last election campaign.

Senator GRAHAM:

– In the Commonwealth there are approximately 1,630,000 children under the age of fourteen years. The parents of approximately 90 per cent, of that number are in receipt of less than £300 a year. We must look to the present generation of boys to take their part in the defence of Australia, if war should come again, and we may be sure that whilst the present capitalistic system continues, there will be war in the future, though it may not come in our time. Child endowment is plainly the duty of the National Government. I have only to say, in closing, that it is high time the Government took steps to prevent the influx of Southern Europeans into Australia.

Senator THOMPSON:
Queensland

– In the few observations which I propose to make on the budget I shall touch on departmental matters in which I am deeply interested, and I shall be obliged if the Minister concerned will make a note of them and give me replies, so that it will be unnecessary for me to ask for the information on other occasions.

I should like, at the outset, to express my appreciation of the very satisfactory financial statement which the honorable the Treasurer (Dr. Page) submitted last week. The income tax changes will be welcomed- by the whole of the people, and especially by the mercantile community, as several very obnoxious regulations in connexion with assessments will now be done away with. Of course the greatest measure of satisfaction is in respect of the promised reduction of 10 per cent. A similar reduction in land taxation is also very welcome; but with Senator Hayes, I should like the Federal Treasurer to evacuate both these fields of taxation. I daresay this may come in time. At present it would not be wise for the Treasurer to withdraw wholly from these two avenues of taxation, as the receipts from them are necessary to enable him to balance the ledger; but I hope he will keep in mind the desirability of giving the people the relief suggested in the not distant future.

I also congratulate the Treasurer on the provision that has been made for many useful government activities. Amongst these may be mentioned the pro,posal to set aside £100,000 for the purchase of radium to be used in connexion with the treatment of cancer. I feel sure that this will be a very useful provision. Many people, private as well as professional, are endeavouring to find a cure for this dread scourge. In my own division a man is experimenting in a humble way, and, I believe, with a large measure of success. Although he is not a professional man, it is due to him, and the public generally, that the Department of Health should take notice of his experiments, because, as we know, the professional men sometimes overlook certain phases of research work upon which nonprofessional experimenters concentrate their attention sometimes with the most satisfactory results. It is reasonable, therefore, that all such research workers should receive every encouragement.

It is a matter for congratulation that the Government is making further substantial provision for scientific and industrial research. I should like to know what is being done with regard to the extraction of petrol from coal. On former occasions I have expressed the view that we have a better chance in Australia of securing an adequate supply of petrol from the liquefaction of coal than from the discovery of flow oil. I hope that I am wrong. But even if we, are successful in the search for natural oil fields, we have a vast reserve supply of coal from which oil may be extracted, and it should be the business of the Council for Scientific and Industrial Research to find the means to extract it on a commercial scale. I have in mind an immense coal deposit at Blair Athol, in Queensland, where there is a seam of black coal 90 feet in thickness, with an overburden of from 40 feet to 100 feet only. It is quite an easy proposition to remove the overburden and mine the coal, and if the liquefaction of coal for the extraction of petrol were an accomplished fact, that deposit would be an asset of incalculable value to the Commonwealth.

Senator Foll:

– Has the company done anything with it?

Senator THOMPSON:

– “Would a bounty on gold make the mine pay?

Senator THOMPSON:

– Yes, if sufficiently large, but the payment of a bounty on gold mining, which is a wasting asset, cannot be justified. The only way to make gold-mining pay is to reduce the cost of production. Everything possible has been tried at Mr Morgan; yet the mine cannot be made to pay. It seems inevitable that that great mine will have to close down permanently.

The financial agreement arrived at between the Commonwealth, and the States is the greatest achievement which any Government of recent years can claim. Although many people considered such an agreement to be impossible 1 always contended that the States would not fail to receive a quid pro quo from the Commonwealth for the abolition of the per capita payments. So effectively has that been done that former opponents of the Government’s proposals, including many of the leading Queensland newspapers, are now acclaiming the financial agreement as a wonderful achievement.

Senator Reid:

– They take the credit for it.

Senator THOMPSON:

– But they were not responsible for it. On the contrary those honorable senators from Queensland who supported the States Grants Bill were subjected to severe criticism by most of the leading newspapers of that State. .Such, fortunately, was not my experience, because my support of that measure was approved by the leading newspapers in my home town, Rockhampton, as well as by public opinion there. The financial arrangement with the States will stand to’ the credit of the Bruce-Page Government for all time.

Senator GRANT:
New South Wales

, - The financial statement before us gives prominence to certain facts to which, in my opinion, still greater publicity should be given. The revenue derived from Customs duties for the year 1926-27 amounted to £31,832,000, and for the same period Excise duties represented £11,719,878. Those figures make it clear that the so-called protective policy of this country is not effectively protecting Australian industries. In the public press a few days ago there appeared a statement by the Minister for Trade and Customs, Mr. Pratten, in which he stated that, as a result of his recent visit to Great Britain, a considerable sum of British money would probably be invested in Australia. The Commonwealth Government continues to indulge in heavy borrowings overseas, not only in Great Britain, but also in the United States of America. Senator Needham rightly pointed out that when a former labour Premier of Queensland sought to obtain a loan in the United States of America he was condemned by the press of Australia for what was termed his disloyalty to Great Britain. But when the Commonwealth Treasurer (Dr. Page), refusing to accede to the demands of the London financiers, floated a loan in the United States of America, he was commended for his action.

Senator Thompson:

– The financial authorities in London suggested that that loan should be floated in the United States of America.

Senator GRANT:

– The fact remains that, whereas Mr. Theodore was scathingly condemned ‘for borrowing money in New York, there was a discreet silence on the part of the press when Dr. Page did the same thing. Honorable senators apparently fail to realize that when a loan is floated overseas - either in London or New York - Australia is not supplied with a bundle of Bank of England notes or American dollars. What happens is that a wireless message arrives announcing the flotation of the loan, whereupon the Commonwealth Bank advances its own notes to the amount of the loan, less certain expenses. In the case of a loan floated in New York, Australia receives, not dollars, but a quantity of foreignmade goods. Yet the Government, which professes’ to encourage and support Australian industries, continues to pursue s policy which it knows will result in large quantities of goods of foreign manufacture being imported into this country. That point cannot be too strongly emphasized. Not only does that policy result in large quantities of foreign goods entering Australia, but upon their arrival heavy duties - yet not so heavy as to prevent their entry - are imposed on them. The last thing that Mr. Pratten would contemplate would be their entire prohibition. No man in Australia has a greater regard for the interests of the class he represents so efficiently than has the present Minister for Trade and Customs. It would appear that his chief object is to ensure that the great bulk of the taxation of this country shall be levied upon those least able to bear it. He knows that so long as the public Treasury is full there is not only no chance of increasing direct taxation, but also a probability that it will be decreased. It will be admitted by all fair-minded men that a tax upon incomes is a fairer system of taxation than is the imposition of Customs duties. Nevertheless, the Government year by year takes care that the Customs revenue will increase. Ever since the Commonwealth assumed the sole right to impose Customs taxation, the revenue from the Customs House has, with certain slight fluctuations, increased. Last year the revenue received from that source amounted to the enormous sum of £31,832,600, while for the current financial year the Treasurer estimates that the Customs House will collect £33,150,000. Surely honorable senators will see that for Australia to continue to borrow money abroad, and for that money to come here in the form of goods, is to deal the most deadly blow that could possibly be aimed at Australian industries. To the extent to which these foreign-made goods - whether stimulants, narcotics, or otherwise - are permitted to enter the Commonwealth, they are not manufactured here.

The Government, which professes to be a protectionist government, is nothing but a lot of arrant cowards.

Senator Chapman:

– The honorable senator’s party is asking for more protection.

Senator GRANT:

– It is peculiar that, although we fight Mr. Pratten to the best of our ability at the general elections, when it comes to the collection of our national revenue many of us - not all of us - ask Mr. Pratten to put on higher and higher duties.. I congratulate the Minister upon his sagacity, upon the intelligence he displays, and upon the way in which he takes down those who support him. I congratulate him, also, upon the effective manner in which he succeeds in placing the taxation of this country on the shoulders of those least able to bear it, as well as upon the excellent way in which he protects the really wealthy people from taxation. During the last financial year, the amount of land tax paid by the land-owners of Australia to the Commonwealth revenue was £2,615,900. It is a totally inadequate amount and ought to be substantially increased. In the same year the landowners of New South Wales paid to the State revenue the miscroscopic sum of £3,500. Under the present system of taxation we collect the great bulk of our revenue by means of Customs and excise duties. Nothing better could be devised for the protection of the wealthy people. From a protectionist stand-point, I could understand Customs duties being made sufficiently heavy to exclude foreign-made goods; but it is the very last thing Mr. Pratten would think of doing. Not satisfied with the large amount of revenue he is now deriving from the taxation of foreign-made goods which arrive here from low-wage countries, I notice with some degree of dismay that he has discovered that a large quantity of goods is coming here without paying any taxation. Unless I am very much mistaken, he will, as soon as the occasion presents itself, ask that these foreign-made goods should also be subjected to some form of taxation to produce more andmore revenue. I should not be at all surprised if the Federal land tax were wiped- out, and also the State income taxes, the deficiency being made up by the imposition of more Customs and excise duties. It is just about time the people realized that neither Mr. Pratten, nor the Government of which he is a member, is prepared to impose taxation sufficiently heavy to exclude foreign-made goods. The sole object of the Government has been to make our so-called protectionist policy a high revenue tariff policy. That is the policy adopted in Great Britain. The total revenue of Great Britain is £900,000,000. The great bulk of it comes from the people who work and from income tax payers, and not from the land-owners. It is astounding to see the amount of Customs revenue collected every year in so-called freetrade England. What is more astounding is the amount of revenue collected under our own so-called protectionist policy from Customs taxation. Those people who vote for protection in the belief that the Government will exclude foreign-made goods have been deceived year after year. I have no hesitation in saying that, so long as it remains’ in office, the Government will continue to deceive them, and will continue to admit ; foreign-made goods for the sake of the taxation to be obtained through the Customs House. Could anything be more absurd than to buy goods in Great Britain, as we do when we borrow money there, and when those goods come to Australia to place an import duty on them? No bettermethod could be devised of imposing on the poor people and the workers of Australia the task of paying the great bulk of the country’s revenue.

I have been looking into the position of the Commonwealth Bank. This bank was established by the Labour Government in the teeth of very strong opposition, and it was the belief of those who advocated its establishment that, after some time it would gradually control and transact the financial business of the Commonwealth.

Sitting suspended from 6.30 to 8 p.m.

Senator GRANT:

– Perhaps one of the most important events since the inception of federation was the establishment in 1911 of the Commonwealth Bank for which the Labour Government at that time was responsible. Despite all the opposition shown to the venture, the bank was established without capital, but with the credit of the Commonwealth as a security. The public had no doubt whatever as to its stability, and it gradually increased in importance from the moment its doors were opened. The latest balance sheet is indeed a very illuminating document, and disclosing, as it does, the enormous sums which have been placed in the bank’s care, shows that the people of Australia have every confidence in the bank. I do not think, however, that the management is acting in the best interests of the people, as although it has been established for seventeen years its business has not extended to the extent which it was fully believed it would. Those who advocated the establishment of the Commonwealth Bank believed that as years went on its operations would gradually extend to the general business of banking in such a way that it would be the only banking institution in the Commonwealth. Nothing of the kind has happened because it has not been administered in a sympathetic manner. AntiLabour Governments have not favored an extension of its operations and almost everything, apart from actually closing its doors, has been done to prevent its business increasing. It is surprising to find to-day that in New South Wales there is only a very limited number of branches of the Commonwealth Bank, » while the other banking establishments have branches in almost every town of any consequence. Apart from savings bank branches, the Commonwealth Bank has in New South Wales only eighteen branches, in Victoria twelve, Queensland thirteen, South Australia five, Western Australia five, Tasmania four, New Guinea one, and Great Britain two. At all of these branches savings bank business is transacted, and in addition there are in New South Wales three savings bank branches, hi Victoria four, in Western Australia two, or a total of nine. Apart from these activities the Commonwealth Bank has 3/179 agencies in the Commonwealth, “Papua, New Guinea and the Solomon Islands, and in addition has throughout Australasia, Great Britain, Europe, Asia, Africa, North, South and Central America, and the West Indies, an army of agents and correspondents. Although these connexions have been established, the management of the bank has steadfastly refused to open branches in the various large towns throughout the Commonwealth where, in the best interests of the bank they should be established. Although the management is supposed to be free from political control, it has neglected, in conformity I suppose with an undisclosed wish, to increase the number of branches. That is unfair to the bank and its customers. There is no doubt as to its stability and no reason why it should not give to depositors and lenders better te’-ms than do other banks ; but that is impracticable, unless it establishes branches throughout the Commonwealth. Pressure should be brought upon the management in this direction. Officers of. the bank, who have been in its service for many years, find i that there are no opportunities of pro motion, and seek other avenues of employment where the remuneration is more attractive. I am looking forward to the day, which I know is not far distant, when we shall have a Labour Government on the Treasury bench and when the most conservative members of the board will find that they will be unable to hold their positions unless the operations of the bank are extended in the direction originally intended. According to the document which I hold in my hand - the accuracy of which I do not question because it is signed by Mr. C. J. Cerrutty, the Auditor-General - the amount of deposits and interest in the Commonwealth Savings Bank up to the 30th June, 1927, amounted to the substantial sum of £46,479,020 16s. 5d. The State Savings Bank of New South Wales - I cannot speak for the moment of the other State Savings Banks - pays its depositors 4 per cent., but the Commonwealth pays only 3£ per cent. I do not think it gives better terms to the borrowers than do the State Savings. . Banks, and, in effect, it is deliberately refusing depositors’ money by paying them only 3^ per cent. That is an important direction in which the Commonwealth Bank is turning away business, and the sooner a Government is in office which will indicate to the board that it should pay small depositors at least as high .a rate of interest as is paid to the depositors in the State Savings Banks, the sooner will the bank function in the direction intended by its sponsors. I believe that the deposits in the Commonwealth Bank, excluding interest added during the past twelve months, suffered in some States at all events, a substantial reduction. That is a clear indication that, notwithstanding the undoubted prosperity which is to be found in States such as New South Wales and Queensland, where Labour Governments are in office, the depositors in the savings bank branches of the Commonwealth Bank are not increasing. We have also to consider the manner in which the money on deposit is being used. No attempt is made to assist housing or land settlement schemes, and what is being done with the money is a conundrum to me. Money is invested in London in British, Colonial and Government securities at short call, and Commonwealth Government securities on fixed deposit, amounting to £2,149,000, are deposited in other banks. Does it not seem extraordinary that money placed in the Commonwealth Savings

– The bank’s terms, I repeat, are just the same as the terms of private’ banks. Senator Thompson knows this. He knows also that if the Commonwealth Bank increased the interest paid to small depositors by one half per cent., tens of thousands of people who at present have deposits in the State savings banks, would transfer their accounts to the Commonwealth Bank. I protest strongly against the crucifixion of the bank by the present administration.

I turn now to the housing proposals of the Government. We have been informed through the press and in the budget that the Government proposes to make available the substantial sum of £20,000,000 for the purpose of giving effect to its declared policy to assist citizens to own their own homes. The Ministry does not mean this. The proposals have been outlined merely for the purpose of misleading the people of Australia. The Government will do nothing. . Does the Ministry propose to erect homes? . .Nothing of the kind. All that it intends to do is to make available a certain proportion of the increased deposits of the Commonwealth Savings Bank - I doubt if there will be an increase if the present policy is continued - and of maturing investments of savings bank funds, for this purpose. We are told,’ further, that loans will be raised by the Government from time to time, and that eventually the total provision for housing will be £20,000,000. The Treasurer then goes on to say: -

It ib not proposed to enter into competition with authorities which at present provide assistance to persons to acquire their own homes, hut moneys provided by the Commonwealth will be made available through existing authorities fmd supplement their funds. Advances will be made to the agencies of State or Territorial administrations, State savings banks, or municipalities, for assistance in the purchasing and building of homes, provided that the amount of the advance does not exceed £1,800, and does not exceed 90 per cent, of the valuation of the property.

When first I heard of the Government’s proposal to engage in the business of home building for the people, I thought that perhaps, after all, a genuine effort would be made to do so, and I have no doubt that many thousands of votes were secured by Nationalist candidates at the last election on account of that declaration of policy. We find now that it was an empty promise, because all that the Government intends to do is to advance money to existing agencies for the purpose of building homes. That is of no value.. The scheme does not. touch the real difficulty which confronts home-seekers to-day. Notwithstand ing the activities of the different State departments and of innumerable building societies and other agencies, I am confident that throughout the Commonwealth rents were never so high and overcrowding never so prevalent as is the case to-day. Under this proposal the Government will not in any way bring about an alleviation of the position. What are the difficulties that confront a man who wishes to make a home for himself? The first requisite of every person is a home site. Although Australian bricklayers, carpenters, stonemasons, and other workmen are exceptionally good tradesmen, they have not, and cannot acquire, the ability to build a house without a site. They are unable to build it in the air - the law of gravity would come into operation. Any one who endeavours to procure a home site is confronted with very grave difficulties. Within reasonable distance of the General Post Office, Melbourne, Sydney, and other large centres of population, no man can buy a home site unless he is prepared to pay £4 or £5 a foot for it, or perhaps more. He may have to pay between £200 and £300 for it. Does the Commonwealth Government propose to interfere with that system? No. It intends to make available a greater sum than is at present offering, so that competition for home sites will be accentuated, and as a consequence prices will be increased. I have no doubt of that, because it is the natural tendency when money is plentiful: The construction of a railway, a tramway, or a concrete road increases the value of home sites. The Government will be merely giving a donation, not to home-seekers, but to those who are speculating in land values in the vicinity of every large city. If honorable senators carefully study the newspapers, they will find page after page devoted exclusively to advertising, not the leases at Canberra - they are all locked up - but vacant blocks of land in the suburbs of our large cities. The Government does not intend to take any action to relieve that pressing difficulty. I suggest that if it wishes to make housing cheaper it should first put forth an effort to secure cheap building sites. There is only one way in which that can be done, and it is by the imposition of a tax at a flat rate per pound on every available building site. That rate should be sufficiently heavy to make it unprofitable for any person to keep out of use a block of land which is suitable for a home site. So long as land is allowed to remain in the hands of monopolists, rents cannot be reduced, and houses cannot be made plentiful and cheap.

Senator Ogden:

– Would that reduce the cost of building?

Senator GRANT:

– Certainly. Taken on an average, alluvial gold mining is not as profitable as speculation in vacant blocks of land. If a person discovers an alluvial goldfield he is entitled to peg out a claim ; but if he does not work it within a certain number of days the warden can dispossess him, and permit it to be worked by any person who is prepared to comply with the requirements of the law. If, however, a person acquires a vacant building site he can retain possession of it for as long as he is prepared to pay the nominal tax that is imposed by the local authority. [Extension of time granted.! I was employed for many years in the building trade, and understood the business fairly well. I am always anxious to see taken every step that will enable a person to make a comfortable home for himself. If that is the desire of the Government its proper course is to make it unprofitable for any one to hold out of use blocks that are suitable for building purposes. Many years ago an effort was made to cheapen the cost of transfer. Torrens was responsible for eliminating many of the costs which at that time attached to the transfer of land. He put through an act under which any person could transfer a piece of land upon payment of a nominal sum. He had very keen opposition from his legal friends, and ever since then strenuous efforts have been made to render it more and more difficult for persons to secure the transfer of a piece of land on which to build a home. Whenone has paid a deposit for a block in New South Wales, one is confronted with a demand’ by the State Government for the payment of 15 shillings per cent, on the value of one’s purchase.

Senator Crawford:

– That is one of the advantages of having a labour Government.

Senator GRANT:

– The Labour Government in New South Wales ought to have abolished that provision immediately it took office. It certainly made it inapplicable to returned soldiers ; and if it receives the endorsement of the electors on Saturday next I have no doubt that it will remove this provision from the statute-book. It is wrong to compel a man to pay stamp duty when he makes an effort to escape from his rent lord. I believe that that is the law not only in New South Wales, but also in the other States of the Commonwealth. The fees payable on mortgages are prohibitive. On a sum of £800 or £900 the exactions in various directions total from £30 to £40, and a respectable firm of solicitors will charge as much as £50. There is nothing in the proposals now before us which will overcome, these difficulties. It appears that the Government will not be convinced except by an unequivocal demonstration of their inutility. I should not care to offer opposition to them, although I know - and the Government and its supporters also know - that the workers are merely being humbugged and bamboolzed by the suggestion that such ridiculous proposals will provide a way of escape from the rent lords. Vacant sites suitable for building purposes should be dealt with as a warden deals with alluvial gold mines. Until action is taken along those lines the workers* will not have an opportunity vo possess homes of their own. Any Government worthy of the name would realize that nothing was more conducive to the welfare of a country than for its people to live in their own homes, on a fair area of land. What do we find to-day? It is no uncommon thing to find two, or even three families, living in one home on a block of land about 20 feet by 80 feet. In a country comprising approximately 3,000,000 square miles of land such things should not be permitted. This Parliament should see that every family has a reasonable area of land on which to live. -The reason for these small allotments and for the increasing number of flats is that the price of land is too high. I hope to see the day when those who hold blocks of land in this country will either use them or be forced to sell them. Under existing conditions the proposals of the Government are worthless.

I should like to know what the Development and Migration Commission is doing. I understand that its chairman, when in England, contemplated the purchase of a number of tanks for the purpose of rolling down mallee scrub. Such a proposal is ridiculous. The commission is not likely to accomplish much if it continues as it has begun. We read in the press the other day that, despite adverse reports as to climatic and other conditions, numbers of men went to New Guinea because it was reportedthat gold was obtainable there. In the early days thousands of people came to Australia for the same reason. The discovery of gold at Ballarat and Bendigo was sufficient attraction. If the people of Great Britain were given clearly to understand that land would be available for them on arrival, they would come here of their own volition. Unfortunately, such inducements have never yet been offered, and, probably, never will be.

Senator Hoare:

– Land is made available for them in Western Australia.

Senator GRANT:

– If it were generally known throughout Great Britain that land in the Esperance district of Western Australia, where there is a fair rainfall, could be obtained for about 15s. an acre, there would be a flood of migrants to that State. Under existing conditions, migrants arriving in Australia with the object of purchasing farms, stations, or home sites, are confronted with innumerable, and, to many of them, insuperable, difficulties. Nothing is being done by the Development and Migration Commission to remedy that state of affairs. The population of Australia can be increased by making land available on reasonable terms. There are thousands of nativeborn Australians desirous of settling on the land, yet nothing is being done to make land available for them. The Government will appoint commissions, and do almost anything except make land available to the people who want it. There is too much regulation, and too little freedom.

Senator Thompson:

– The Commonwealth Government has no land to make available to settlers; the land in Australia is in the control of the States.

Senator GRANT:

– The Commonwealth Government has the power to impose a flat rate of 3d. in the £1 on all land values in the Commonwealth. The imposition of such a tax would open up sufficient land to settle thousands of people on it. Instead of doing something practical, the Government continues to humbug the people by the imposition of Customs duties. The population of Australia is about two persons to the square mile, whereas in Great Britain there are about 700 persons to the square mile.

I desire now to refer to the shortsighted policy of the Commonwealth Government and of the Governments of New South Wales and Queensland in failing to construct, on the railway from Kyogle to South Brisbane, tunnels sufficiently wide to carry two lines of rails. The designers of the Sydney Harbour Bridge were men of vision, with the result that that bridge will be the widest in the world. All the tunnels between Sydney and Maitland carry a double line of rails. The north coast district of New South Wales, from Newcastle to the Tweed River, is unsurpassed. It is a well watered, fertile country, capable of supporting an immense population; but the short-sighted policy of the several governments concerned in building railways capable of carrying only one line of rails will retard the progress of that district. At first it was in tended that the Hume Reservoir should be capable of impounding 1,000,000 acre feet of water, but because of representations made, it was ultimately decided to increase its capacity to 2,000,000 acre feet of water. Similarly a wider vision should be displayed in connexion with the railway to which reference has been made. I repeat my former protest against the waste of thousands of pounds in building tunnels only wide enough for one set of rails.

I desire also toenter my emphatic protest against the action of the Government in proposing to borrow £2,000,000 for the Federal Capital Commission, when that body could itself raise far more money by releasing vacant blocks of land in the Territory and making them available to leaseholders. Although I have so far been unable to obtain the number of building sites which have already been made available in the Territory, I have no hesitation in saying that if the commission would make available to the highest bidders a sufficient number of building sites subject to certain building conditions, thousands of sites would immediately be applied for. . Moreover, instead of the sites being reappraized after twenty years, they should be reappraized- every twelve months. The principles of Henry George, as set out in his Progress and Poverty, should be applied to the Federal Capital Territory. The foolish policy adopted by the Federal Capital Commission has resulted in enormous premiums having to be paid to obtain possession of blocks leased from the commission at comparatively low rentals. Honorable members will remember Senator Elliott’s protest at having to pay a premium of over £1,000 to obtain possession of a block of land in Canberra. The action of the lady who held the lease of that block was perfectly legal ; but what would honorable senators say if she had been a sister of Sir John Butters, the Chairman of the Commission, or if he himself had held the lease of the land! Yet the principle would be the same, whether Sir John Butters or some one else held the lease. The commission should be instructed to mak°. more building sites available. Moreover, provision should be made for reappraizement every twelve months, instead of the present long term. The present policy was probably adopted to prevent settlement in Canberra. Bricklayers cannot build homes for themselves in Canberra, because they cannot obtain building sites. To borrow £2,000,000 at 5 per cent. or. per cent., is to place an unfair burden on the city. The income of the commission from the sale of leases in the Federal Capital Territory is about £550,000. If the Government had the courage to retreat from the position it has taken up, and to. instruct the commission to make building sites available on the conditions I have mentioned, there would be no need to borrow £2,000,000 to carry out necessary work in the Federal Capital. This city should be self supporting.

In the hands of a capable, competent commission, instructed by a Government knowing its business, the money would be paid off as soon as possible, and Canberra would grow and prosper. It is an outrage that thousands of acres of vacant land should be held for a rise, the commission doing exactly that which is regarded as objectionable when done by private speculators. The Government should see the error of its ways. It should cease this borrowing abroad, paying £100,000 a year for money that, if the land were made available, would be easily obtained in rentals. If the land in the Territory were made available, the revenue of the commission would probably be £2,000,000 a year for a start. I hope that in the near future we shall have a Government that will realize the importance of dealing with this question in a proper way. By making the leases available to the highest bidders, subject to a building covenant and a reappraizement every twelve months, the Government would get the full rental value of the land, and the tenant would pay only the full rental value of his lease.

I am not at all satisfied with the Government’s proposal to take over the debts of the various States and pay interest on them. Where will the Treasurer get the money ? He is reducing the land tax and the income tax, and I suppose he proposes to use the Customs House to get the money with which to pay this interest. I hope that method of financing the State debts will soon come to an end.

We are paying enormous sums for the construction of the Hume weir and locks along the River Murray, and I should like to get some definite information as to what is being done in New South Wales to utilize the waters that are to be stored. So far as I know nothing is being done. . I should also like to know what is being done at the mouth of the river to allow navigation from the river to the sea. So far as I know nothing has been done in that direction either. . It appears to me that the influence of Adelaide and Melbourne is such as to prevent the settlers on the Murray from getting a fair deal. .1 hope that the Government will take steps to arrange an expedition of the members of Parliament to view what is the finest river in the Commonwealth, draining as it does 500,000 square miles of country. It is only right that members of Parliament should have an opportunity to realize its immense potentialities. In particular they should acquaint themselves with the fact that so far no steps have been taken to see that the mouth of the river is opened up. Until that work is carried out, we shall not get the full fruits of the work involved in the construction of the Hume weir and the locking of the River Darling and the River Murray.

There are many more matters in the budget of great and absorbing interest, but time will not permit me to deal with them.

Debate (on motion by Senator Duncan) adjourned.

page 199

SUPPLY BILL (No. 2) 1927-28

Suspension of Standing and Sessional Orders.

Bill received from the House of Representatives.

Senator Sir WILLIAM GLASGOW:
Minister for Defence · Queensland · NAT

[9.6].- I move-

That so much of the standing and sessional orders be suspended as would prevent the bill being passed through all its stages without delay.

I submit this notice because it will be necessary to get the bill through by tomorrow night. I have no desire to curtail debate, but honorable senators will see that it is necessary to suspend the Standing and Sessional Orders in order that the bill may pass in time to enable payments- to be made on Friday.

Senator NEEDHAM:
Western Australia

– I thought that when we assembled in this 0re spacious building, far from the madding crowd, under new conditions, and in new surroundings, the Government would abandon the bad old practice of moving the suspension of the stanling orders on the slightest pretext in order to rush a measure through the Senate. After a close season of over twelve months with the budget delivered three months late, we are asked to suspend the standing orders in order to rush a Supply Bill through in a few minutes. No matter how honorable senators on this side may protest, or divide the Senate, we can achieve nothing, but I ask the acting Leader of the Senate to try to get away from this very bad practice of asking that the Standing Orders be suspended on the slightest pretext. The Senate has not beer treated as it should have been. Another place has had this Supply Bill” before it for nearly four full sittings, but we are told that supply must be granted by to-morrow so that the various public services may be continued. The time is altogether too short to enable us to handle such an important measure. I hope that in future arrangements will be made whereby this branch of the legislature will have more time to consider a bill of this importance, and that it will be unnecessary to suspend the Standing Orders. I object to the Minister’s proposal.

Senator GRANT:
New South Wales

– So do I. I have not seen a copy of the Supply Bill, and I have no idea how much money is required. I think that before we are asked to vote on a measure of this kind we should have at least a few hours in- which to peruse it. In any ruse there is no need to rush the bli I through this evening. We shall meet to-morrow in the ordinary course of events, and I am sure there will be no obstruction from this side of the chamber to the passing of the bill in the shortest possible space of time. It is unreasonable for tb.f Loader of the Senate to ask for the suspension of the standing orders. Why cannot he agree to’ the reading of the bill a 4rat time and to the postponement of the second reading until to-morrow,, by which time we shall have had an opportunity to look through the document, and to make ourselves acquainted with its contents.

Senator Sir WILLIAM GLASGOW (Queensland - Minister for Defence) [9.12]. - ‘Honorable e senators must be aware that it is necessary that the bill be passed to-morrow in order to enable public servants to be paid on Friday. Owing to the unfortunate death of the Clerk of the House of Representatives, both houses adjourned on Friday afternoon last; otherwise we could have had the- bill earlier. As I have already said, I have no desire to curtail debate, but if we allowed the consideration of the measure to stand over until to-morrow, I should still have to ask for the suspension of the Standing Orders in order to get ‘ it through by tomorrow night. I think it meets tha convenience of honorable senators to bring it before thom now. The objection that honorable senators have not seen the bill is easily overcome, because it will be made available to-night and Senator Grant will then be prepared to discuss it to-morrow.

Question resolved in the affirmative.

First Reading

Motion (by Senator Sir William Glasgow) proposed -

That the bill oe now read a first time.

Senator NEEDHAM:

– These figures, I repeat, do not relate solely to Southern Europeans. They cover migrants from foreign countries, and the total in eight years was 37,356. It will be noted that, since the formation of the Bruce-Page Government, the number of foreign migrants has increased. If we examine the position more closely, we find that the majority came from Italy. The figures relating to net Italian migrants during the same period are: - 1919, minus 581; 1920, 25; 1921, 1,192; 1922, 3,312; 1923, 1,633; 1924, 4,971; 1925, 5,762; 1926, 3,921. In 1919 the excess of departures over arrivals was 581, but for the three years 1924-26 inclusive, the excess of arrivals over departures averaged 4,885 per annum. This requires the serious attention of the Government. Prompt measures should be taken to lessen the number of migrants from Italy. The Prime Minister has suggested that any interference from this end might cause serious international complications. I fail to see where the danger lies. The Prime Minister of Italy does not give much thought to the possibility of international’ complications when he is dealing with legislation affecting his own people. I mention, this matter in the hope that the Government will at once take . steps to lessen the number of foreign migrants that are coming to Australia.

Senator FINDLEY:
Victoria

– On the motion for the first reading of a Supply Bill one may, if so disposed, deal with matters that are.not relevant to the bill itself. There is a very wide field for debate, if an honorable senator wishes to speak on matters of moment to the people. I propose to confine my remarks to the subject raised by Senator Needham. I know, of course, that the Government and its supporters never tire of declaring that Australia’s greatest need is population, and still more population. They entertain a hazy idea - at least some of them do - that population is synonymous with prosperity, and appear to think that, if Australia had a much larger population there would be fewer unemployed and much greater prosperity than the Commonwealth’ has enjoyed to the present. If that were true, all the older countries, with their teeming millions, should have few, if any, unemployed, and there should be general prosperity, happiness, and contentment. But, so. far from that being the case, we find that those old-world countries, with large populations, are extremely anxious to get rid of. what they call - it is an offence to me - their surplus population. They .speak of a surplus of human beings as they would talk about a surplus of commodities. To assist overseas countries to send some of their unemployed to Australia, this Government some time ago appointed certain gentlemen as a commismon to act the part of a super Parliament. It was implied that the Development and Migration Commission would, by the waving of its magic, wand, solve the unemployed problem, establish industries, primary ‘ and secondary, and

– The- Commonwealth Parliament has made available this sum of money, and it is not all to be spent in South Australia. The work to which the honorable senator has referred represents a very small percentage of the whole. It is foolish and absurd to infer that the Government of South Australia is so financially embarrassed as to be unable to make provision for such a paltry sum.

I shall now touch upon another aspect of migration. From time to lime members are supplied with copies of “ The Journal of the Parliaments of the Empire.” Malta, as honorable senators are aware, has responsible government. Under the heading “ Migration “ this journal refers to the migration scheme-, of the Maltese Government in the following terms : -

On 30th December, 1920, in the Legislative Assembly,

Mr. W. Salomone asked the Head of the Ministry how much of the ?0,000 voted in the previous month for assisted passages to emigrants had been expended; what was the criterion followed in selection of candidates for the grants; and how much was being apportioned to each emigrant and under what contions ?

The Head of the Ministry (Dr. the Honorable U. P. Mifsud) laid on the Table a paper relative to a scheme which, he said, when it came into operation, would, it was hoped, allay partially the distress consequent, principally on the discharges then in course from the RoYal Dockyard and indirectly on grounds coincident therewith.

The honorable gentleman made a fairly lengthy statement, in the course of which he said -

There were two large immigrating countries, at least, which had enacted laws against the admission of assisted emigrants (Canada and the United States). It was known that the Argentine did not look with any favour on the advent of such emigrants. In regard to other countries, it was undesirable that it should be publicly manifest that Maltese emigrants were being financially assisted for the specific purpose of going there, for their doors would be immediately closed against all emigration from Malta. Whilst, therefore, the Government was prepared to assist unemployed deserving persons to the best of its ability, it was most undesirable that it should be thought that there was any intention of dumping. For that reason it had been considered advisable to make the scheme entirely independent of the Emigration Department.

The report continues as follows: -

Referring to paragraph II. of the scheme which dealt with the question of sending to Australia and South America two gentlemen to study local conditions and make some preparation, Dr. Mifsud said that the directors of the Orient and Royal Mail Lines had offered to the Government first-class complimentary return passages to Australia and South America for the two gentlemen deputed to proceed to those countries. That would mean a clear saving to the Government of well over £300.

Senator GRANT:

-I shall supply the Minister with the particulars to enable him to do so.

Some time ago a royal commission was appointed to inquire into the question of national insurance. Various reports have been presented by that commission, and I understand that the Government intends to bring forward legislation to give effect to some of its recommendations. Whether it is intended to introduce one comprehensive bill, I do not know, but something should be done without delay to give relief to those who are not qualified, on account of age, to receive an old age pension, and also to those who, because hot permanently incapacitated, are ineligible to receive an invalid pension. At present, unless a person is totally and permanently incapacitated, he cannot get an invalid penson. I do not blame the officers who are administering the act; I blame the Government for not acting upon the report of the Commission on National Insurance, and bringing in a bill to give the relief sought. Thousands of people are suffering keenly because, under the pro visions of the Invalid and Old Age Pensions Act, those who are temporarily incapacitated cannot obtain financial assistance. A bill of the , kind would meet with almost unanimous approval.

Another aspect of this question is the proposal to make provision for those who are unemployed. It would be a new departure for the Commonwealth. Some people might fear that it would encourage malingerers - that men would receive payment to which they were not properly entitled ; but when we consider the matter impartially we find a very peculiar situation. A substantial proportion of the people of Australia are employed by the Federal or State Governments, municipalities, semi-public bodies, and large firms. They receive their wages regularly, are paid for holidays, and have other concessions. Contrasted with these, are men who receive intermittent wages, for instance men in the building trade. They render a service to the community quite equal and, in the opinion of some people, even superior to that which is rendered by many of those who are in permanent positions, but they lose employment frequently through slackness of trade, short supplies of material, inclemency of the weather, or strikes in other branches of trade. When they lose their work their remuneration ceases, but the home expenses continue just the same, and in fact are sometimes even greater than when they are working. In one family two boys may be employed in the service of the Government, and two may be working for private employers. The wages of the boys employed by the Government go on continuously, but the wages of those employed by private enterprise are so frequently interrupted that their average daily earnings for the year are very much less than their daily earning capacity. The time has arrived when the Commonwealth should recognize that those who are able and willing to work if they cannot get employment privately are just as much entitled to payment as those employed by the Government. The Royal Commission on National Insurance examined legislation in other countries, which appears to be working fairly well. The time is opportune for bringing in a bill to cover unemployment in Australia. The Government could introduce the measure in the Senate, and thus give honorable senators a chance to deal with it in a competent way instead of compelling them to discuss it hurriedly after it has been worn threadbare by weeks of discussion in another place: The Royal Commission on National Insurance has done better work than any commission ever appointed in the Commonwealth, and I ask the Government to bring in measures at the earliest possible moment to provide for temporary invalidity and involuntary unemployment.

Senator Sir WILLIAM GLASGOW:
Minister for Defence · Queensland · NAT

[10.19]. - A great deal of undue publicity has been given to the migration of aliens to Australia, a subject which has been referred to by Senator Needham. It is true that in recent years alien migration has increased, but even at the present rate it will take years to affect the proportion of Britishers in Australia, which to-day stands at 98 per cent. Further statistics show that 98 per cent. of the children born in Australia are of British parentage. Our racial purity is certainly not being affected by alien migration. Senator Findley referred to the influx of Maltese. The honorable senator must be aware that the Maltese are as much British citizens as we are, but I agree with him that they should not be admitted in such numbers as to render it probable that they will become a burden upon the State. An arrangement has been made, however, that not more than twenty Maltese may enter any principal port of a State in any one month, and that will limit the number of these people to be admitted into the country. Moreover, the arrivals must have relatives or friends in the country who will be responsible for their welfare, or must possess sufficient landing money to prevent their becoming a charge upon the State. Nominated migration is controlled by the State Governments. The Commonwealth does not bring into the country any migrants under the nomination system unless with the approval of the State authorities.

Senator Findley:

-Have the Commonwealth and Maltese Governments entered into a migration agreement?

Senator Sir WILLIAM GLASGOW:

Senator Sir WILLIAM GLASGOW:

– 1 cannot say. It has certainly investigated many developmental schemes submitted by the States, and has recommended several of them.

Senator Grant complained that a soldier’s widowed mother who had acquired a sum of £120 from the Repatriation Department had suffered a reduction of her old-age pension.. Such reduction is in accordance withthe law, which provides that any pensioner who possesses capital in excess of £50 shall suffer a reduction of pension at the rate of £1 for every £10 of such excess.

Senator Grant:

– The money was wrongfully withheld by the Repatriation Department in the first instance.

Senator Sir WILLIAM GLASGOWThe honorable senator’s complaint should be directed against that department. The Pensions Commissioner cannot he blamed for administering the law. If the honorable senator will draw the attention of the Minister for Repatriation to this case it will doubtless be investigated.

Question resolved in the affirmative.

Bill read a first time.

Senator Sir WILLIAM GLASGOW ( Queensland - Minister for Defence) [10.29].- I move-

That the bill be now read a second time.

Provision is made in thebill for an appropriation of £4,069,925 to cover the expenditure from revenue on Commonwealth services for two months pending the passing of the Appropriation Act for the year 1927-28. The amount to he appropriated by the bill may be summarized as follows : - For Departments and Services other than Business Undertakings and Territories of the Commonwealth, £1,486,500 ; for Business Undertakings, £1,822,720; for Territories of the Commonwealth, £60,705; for Refunds of Revenue, £200,000; for Advance to Treasurer, £500,000; total, £4,069,935. Although this bill is based on the Estimates of expenditure for the financial year 1927-28 ; no new services have been included pending the passing of the Appropriation Act. Provision is made to cover the pay day which falls on 2nd December. The total amount provided in the Estimates for 1927-28 to meet the ordinary services of departments is £20,202,698. The sum provided for these services is £3,369,925, which is less than one-sixth of the total Estimates referred to above. The total amounts provided under Supply Bills Nos. 1 and 2 for these services is £8,221,420, which is also less than fivetwelfths of the total estimated expenditure for 1927-28. In addition to the amount of £3,369,925 referred to above, provision is made for Refunds of Revenue -£200,000, and Advance to the Treasurer - £500,000. Honorable senators will remember that it is necessary to provide this advance to the Treasurer to meet unforeseen requirements, and also to continue works in progress at the 30th June last, which will subsequently be covered by appropriations for additions, new works and buildings for 1927-28. It is proposed to place these appropriations for works before the Senate at an early date.

Question resolved in the affirmative.

Bill read a second time.

In committee:

Clause 1 agreed to.

Progress reported.

page 207

ADJOURNMENT

Acoustic Properties of the Senate Chamber.

Motion (by Senator Sir William Glasgow) proposed -

That the Senate do now adjourn.

Senator GRANT:
New South Wales

. -When speaking this afternoon I found it most difficult to hear the interjections of honorable senators opposite. I do not know whether it was due to the acoustic properties of the Chamber or to a possible defect in my hearing. So far as I am concerned - and I think I can speak for other honorable senators on this side of the Chamber - I find it most difficult to follow the speeches from the Ministerial bench. The Government ought to recognise this fact, and institute inquiries to see if the acoustic properties of the building can be improved.

Senator Thompson:

– No difficulty will be experienced if honorable senators do not speak too loudly.

Senator GRANT:

– That may be so; but I found it almost impossible to hear honorable senators opposite. I direct the attention of the Senate to this important * fact, in the hope that the Government will see if an improvement cannot be effected, so that we shall be able to correctly hear what is said.

Senator Sir WILLIAM GLASGOW (Queensland) [10.36]. - I agree with what Senator Grant has said. I do not know whether the fault is due to the fact that the building is new to us, or to defective acoustic properties; but it seems to be more difficult to hear in this Chamber than it was in the building we recently vacated in Melbourne. Similar complaints have also been made concerning another place, where, I believe, it is even more difficult to bear what is said. I shall see if something can be done to effect an improvement.

The PRESIDENT (Senator the Hon. Sir John Newlands). - For the information of the Senate, I may say that this matter has already been raised in another place, and that Mr. Speaker and I are taking the necessary steps to see if an improvement can be effected. The cause of the echo will be ascertained, and an attempt made to correct any defect in the acoustic properties of the Chamber.

Question resolved in the affirmative.

Senate adjourned at 10.39 p.m.

Cite as: Australia, Senate, Debates, 5 October 1927, viewed 22 October 2017, <http://historichansard.net/senate/1927/19271005_senate_10_116/>.

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Senate 5 October 1927

PAPERS

QUESTION

AIR FORCE ACCIDENTS

Senator ELLIOTT:VICTORIA

Senator Sir WILLIAM GLASGOW:

QUESTION

FEDERAL CAPITAL

Senator ELLIOTT:

Senator Sir WILLIAM GLASGOW:

Senator DUNCAN:NEW SOUTH WALES

Senator Sir WILLIAM GLASGOW:

Senator GRANT:NEW SOUTH WALES

Senator Sir WILLIAM GLASGOW:

Senator NEEDHAM:WESTERN AUSTRALIA

Senator Sir WILLIAM GLASGOW:

Senator GRANT:

Senator Sir WILLIAM GLASGOW:

Senator DUNCAN:

Senator Sir WILLIAM GLASGOW:

QUESTION

VISIT OF DUKE AND DUCHESS OF YORK

Senator GIVENS:QUEENSLAND

QUESTION

MIGRATION OF SOUTHERN EUROPEANS

Senator GRAHAM:WESTERN AUSTRALIA

QUESTION

NEW GUINEA

Senator PAYNE:through Senator J. B. Hayes

Senator GRANT:

QUESTION

DEVELOPMENT AND MIGRATION COMMISSION

Senator NEEDHAM:

QUESTION

ASSISTED BRITISH MIGRANTS

Senator SAMPSON:TASMANIA

Senator CRAWFORD:Honorary Minister · QUEENSLAND · NAT

Senator NEEDHAM:

Senator CRAWFORD:

QUESTION

PERFORMING RIGHTS

Senator ANDREW:VICTORIA

QUESTION

DUTY ON POTATOES

Senator J B HAYES:TASMANIA

Senator CRAWFORD:NAT

COMMONWEALTH ELECTORAL BILL

Second Reading

Senator Sir WILLIAM GLASGOW:Minister for Defence · Queensland · NAT

QUESTION

ESTIMATES AND BUDGET PAPERS 1927-28

Senator NEEDHAM:Western Australia

Senator McLachlan:

Senator NEEDHAM:

Senator Findley:

Senator NEEDHAM:

Senator CRAWFORD:NAT

Senator NEEDHAM:

Senator Crawford:

Senator NEEDHAM:

Senator Duncan:

Senator NEEDHAM:

Senator Reid:

Senator NEEDHAM:

Senator Glasgow:

Senator NEEDHAM:

Senator Crawford:

Senator NEEDHAM:

Senator Sir Henry Barwell:

Senator NEEDHAM:

Senator Sir Henry Barwell:

Senator NEEDHAM:

Senator Crawford:

Senator NEEDHAM:

Senator Sir William Glasgow:

Senator NEEDHAM:

Senator Sir William Glasgow:

Senator NEEDHAM:

Senator Elliott:

Senator NEEDHAM:

Senate
5 October 1927

Senator ELLIOTT:
VICTORIA

Senator DUNCAN:
NEW SOUTH WALES

Senator GRANT:
NEW SOUTH WALES

Senator NEEDHAM:
WESTERN AUSTRALIA

Senator GIVENS:
QUEENSLAND

Senator GRAHAM:
WESTERN AUSTRALIA

Senator PAYNE:
through Senator J. B. Hayes

Senator SAMPSON:
TASMANIA

Senator CRAWFORD:
Honorary Minister · QUEENSLAND · NAT

Senator ANDREW:
VICTORIA

Senator J B HAYES:
TASMANIA

Senator CRAWFORD:
NAT

Senator Sir WILLIAM GLASGOW:
Minister for Defence · Queensland · NAT

Senator NEEDHAM:
Western Australia

Senator CRAWFORD:
NAT

Senator THOMAS:
NEW SOUTH WALES · NAT

Senator J B HAYES:
Tasmania

Senator THOMAS:
NEW SOUTH WALES · NAT

Senator THOMAS:
NEW SOUTH WALES · NAT

Senator GRAHAM:
Western Australia