cmap. Xx] MILITARY AND NAVAL DEFENCE 1283 
many as possible of whom should be men recruited for the 
Royal Navy in Australia; that the officers (79) and men (1125) 
should serve under the King’s Regulations for the navy, but 
that the direction of the fleet should be entrusted to the 
Minister of Marine of the Commonwealth, who should control 
the fleet so long as it remained in Australian waters, or while 
passing from one point to another pointof Australian territory, 
including Papua. If passing beyond Australian waters, the 
feet should fall under the control of the senior naval officer, 
but by arrangement with the Commander-in-Chief it would 
be possible to dispatch the fleet on training cruises. The 
estimated total annual cost was just under £350,000, while 
the capital cost was estimated at £1,277,500. It would be 
understood that in time of war the fleet would be placed by 
the Commonwealth Government under the control of the 
Commander-in-Chief.* 
The Government of New Zealand in 1908 decided to 
increase the subsidy to the squadron on the present basis 
to £100,000 a year from October 1, 1908, and this proposal 
was approved by the Dominion Parliament (Act No. 225). 
Recognizing how important it was for the protection of the 
Empire that the navy should be at the absolute disposal of 
the Admiralty, the Dominion Government did not desire to 
suggest any conditions as to the location of the ships, as they 
were confident that the truest interests of the people of New 
Zealand would be best served by having a powerful navy 
under the constant control of the Admiralty. 
A totally new position as to naval defence was developed 
by the proceedings in the Imperial Parliament in 1909, 
when great concern was expressed even by ministers? as to 
the rivalry of the foreign fleets. The result was the spon- 
taneous offer of a ¢ Dreadnought,’ or, if necessary, two, to the 
Imperial Navy by the Government and Parliament of New 
Zealand? and this was followed by an important telegram 
from the two Governments of New South Wales and Victoria, 
sffering to provide one if the Commonwealth Parliament 
See Parl. Pap., Cd. 4325, pp. 48-56. 
House of Commons Debates, ix. 955 seq. 3 Parl. Pap., Cd. 4948, p. 1.