firm. Messrs. Holmes and Co. were the very capable general contractors to the Government. They also built the telegraph line between Christchurch and Lyttelton, crossing the Port Hills by the Bridle Track, the first telegraph line in New Zealand, opened on July 1, 1862.
But these undertakings were relatively insignificant when compared with the decision of the Government to begin building a Main Southern Railway to connect Christchurch and Dunedin. The contract for the first section, about thirty-six miles, as far as the Rakaia River, was signed by Messrs. Holmes and Co. on May 20, 1865, and ratified by the Provincial Council on June 1. The contract price for this section was £201,000, of which one-half was to he paid in cash, one-fourth in debentures, and the remaining fourth in waste lands, at £2 per acre. The policy of the Government in disposing of waste lands in payment for public works was severely criticised subsequently.
The Southern Railway, like the Lyttelton Tunnel, was a very bold enterprise, and may well have alarmed cautious people. Mr. Rolleston, who was a member of the Government, considered that the time was not yet ripe for so large an undertaking. He had been away on the West Coast when the decision was arrived at, and on his return his loyalty to his colleagues kept him silent; but after the Provincial Council was prorogued he resigned his seat on the executive.
In addition to the work on the railway, the Government made important improvements in Lyttelton Harbour, in anticipation of the opening of the Tunnel. These improvements were carried out under the advice of Mr. Stephenson, and included the two moles (built about 1864), which remain at the present day.
The great activity shown in the prosecution of public works affords some indication of the general prosperity of the Province.
