South Australia.-South Australia, once foremost in the confederating movement, was not free from the centrifugal impulse which was the chief feature of the year's history among her neighbours. There also was a notable uprising of the people against the Labour and Socialist party. At the general election held simultaneously for both Houses on May 3, when for the first time the women voters outnumbered the men, the party in favour of reform and retrenchment was triumphant. The members of the Assembly were reduced from 54 to 42, of the Council from 24 to 18. The Socialistic land settlement scheme, after costing 100,000l., was abandoned. The Treasurer reported a deficit of 239,1761., attributed, as in some of the other States, to the partial operation of the Federal Tariff.

In other directions there was a very significant change in the public feeling and a marked decline in the enthusiasm for the Commonwealth.

In 1901 the South Australians were anxious to get rid of their cumbrous and costly appanage, the Northern Territory, which was offered to the Commonwealth Government. Indeed, it was confessed that one chief motive for the Federal vote in South Australia had been the hope of transferring this useless possession-rendered all the more useless by the popular demand for a white Australia "-to the Commonwealth.

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In 1902, however, there was a complete change in popular opinion. At a great meeting in Adelaide the offer of the Northern Territory to the Federal Government was voted to be entirely unauthorised by the people." So far from wishing to get rid of it the State Government declared it to be a most valuable national possession, with the use of which no other State should interfere. They had found a use for it which would be greatly to the benefit of the State in a scheme which would "infuse life-blood into the whole of Australia." This was a project for a trans-continental railway continuing the State line from the South Australian frontier to Port Darwin-a distance of 2,000 miles from Adelaide. Some 1,200 miles were to be constructed to complete the communication from sea to sea. The railway would cost 6,000,000l., an expense which it was proposed to meet by the issue of land grants to the extent of 90,000,000 acres along the line.

This scheme, which involves certain issues likely to bring about a collision of State with Commonwealth interests, was very favourably received by the South Australians, and seemed likely to be pressed with all the force and energy at the command of the State.

A monument to Captain Flinders, the great Australian discoverer and circumnavigator, in the shape of a commemorative tablet on a white stone column, was erected on the summit of Mount Lofty, near Adelaide.

Queensland.-In Queensland, whose attitude towards the Commonwealth has been already referred to, the chief concern

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of the year was the drought, which inflicted serious loss on the pastoral, the chief producing, interest. All other questions, even those arising out of Federation, were merged in this, the greatest calamity from which the Colony had ever suffered. The loss to the pastoralists was reckoned at 16,000,000 of sheep and 3,000,000 of horned cattle. Partial rains fell at the close of the year, though less in quantity than in the southern States.

The Government was occupied with measures of relief, the chief of which was a new Land Act, in which the old policy of restricting the letting of Crown lands for pastoral purposes was to a large extent reversed. Increased facilities were given to the pastoral tenants; leases were granted on more favourable terms, and their holdings enlarged. In the case of inferior lands, the maximum of 20,000 acres was extended.

A general election was held on March 11. In the result the relative strength of parties was not greatly altered. The Philp Ministry secured a good working majority, the Opposition being practically confined to the Labour party, which, owing to the electoral system and the influence of the prejudice against colour, was stronger in this State than in any other.

The sugar planters proposed to defeat the Kanaka Act by substituting East Indians for Pacific Islanders. Many of the former, it was believed, could pass the legal test by being able to speak fifty words of English.

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A remarkable point arose in the working of the Kanaka Act. Under the old system those returning to the islands, on the completion of their term of contract, mostly re-shipped for the Colony after a brief interval. But under the new Act they cannot return; "and so," it was said, by the opponents of the measure, they are either eaten or fall into slavery "-a result exhibiting a conflict between humanity and the humanitarian sentiment alleged to be the motive of the Act. A petition to the King, protesting against the forcible removal of the Kanakas from their new homes in Queensland, was presented to the Governor on June 14.

The Treasurer, in making his financial statement on July 16, reported a deficit of 247,000l., which rendered necessary the imposition of new taxes. He attributed the financial failure to the Commonwealth legislation, which had been most disastrous to Queensland.

The Kenniffs, father and two sons, who had been guilty of several murders and outrages, were, after a long chase, captured at Mitchell, 370 miles from Brisbane, on June 23.

The new Governor, Sir Herbert Chermside, arrived in November.

Western Australia.-In Western Australia the public mind was chiefly occupied by the thought of a railway from Coolgardie to Esperance Bay, on the south-east coast of the Colony. This would shorten the distance from the gold fields to the Eastern States by 600 miles. The scheme was opposed by those who

had vested interests in the ports of Perth and Fremantle, but it was warmly advocated by the mining community.

Mr. George Leake, Premier and Attorney-General of the State, died of pneumonia on June 24. He was succeeded by Mr. W. H. James.

Tasmania.-A vacancy in the representation of the State in the Commonwealth Parliament was filled by the return of Mr. Hartnoll by a majority of 341 over his Protectionist opponent.

The Treasurer made his financial statement on July 24. New taxes were proposed to meet the increased expenditure under Federation. A house tax was substituted for the income tax, with a tax on foreign " combines ".

II. NEW ZEALAND.

Untroubled by Federal cares and ties, and happy in the possession of Mr. Seddon, whom his patriotic Imperialism had advanced into a greater figure than ever, New Zealand had a year of tranquil prosperity-singular among the Colonies of Australia in a surplus, an advancing revenue, and an increasing population.

At the opening of the year Mr. Seddon delivered a fervid patriotic speech at Wellington in defence of the British cause and Army and against Continental calumnies. He declared that New Zealand, which had sent eight contingents to the war, was prepared to send a ninth if necessary. The enthusiasm for the Prime Minister affected even his political opponents. This one robust personality overshadowed all, and in Seddonism-not always a word in favour-was merged, to a degree unprecedented in Colonial history, every act and movement of the State.

At Christchurch on April 5 there was held what was described as the greatest meeting in all the history of the Colony, when, with absolute unanimity, his opponents joining with his friends in the enthusiasm, a national testimonial was presented to Mr. Seddon, with a purse of 2,500l., in recognition of the Prime Minister's conduct during the war. Six days afterwards Mr. Seddon left for London, having a "send-off" marked by an extraordinary effusion of popular feeling.

The Parliament, which was opened for business in July, did nothing of importance-in the absence of Mr. Seddon-and was prorogued in October.

At the general election held on November 26 the Government was enabled to secure a majority of twenty, although the Opposition was slightly increased in numbers. There was much cross voting on the Prohibition ticket. Several Pro-Boers were badly beaten. The popularity of Mr. Seddon, acquired by his loyalty to the mother-country and to the Empire, was sufficient to cover all errors of domestic administration and to atone for some wild legislation, aimed at the realisation of that social

Utopia which is the dream of the governing party in New Zealand.

The working of one leading law which had been intended to bring about the industrial millennium, the Compulsory Arbitration Act, continued to produce much friction between employers and employed, even though trade was prosperous and therefore there were no strikes. As long as the decisions of the court were favourable to the men, the trades were friendly to the Act, but whenever the judicial arbitrators declined to raise wages when appealed to to do so, the men held indignation meetings and protested. As for the employers, they have been able to submit with little demur to the decisions of the court because the times have been favourable and trade flourishing. The Premier himself, it should be noted, had occasion to warn the Labour party against "working the Act to death." A Ministerial organ, the New Zealand Times, has admitted that the Act has failed to lessen the forces of industrial antagonism; and, indeed, there was much in the action of both employers and employed during the year to refute the notion that Compulsory Arbitration, even after amendment, has solved the labour problem.

Mr. Seddon returned to the Colony in October, and received the same ovation as at his departure, creating tremendous enthusiasm by his recital of his triumphs in London and his declaration that never, in any circumstances, would he desert New Zealand.

Fiji. The one item in the history of the year is the raising of a sum of 1,600l. among the natives for a monument to Queen Victoria. The agitation aroused by the announcement of a project of annexation to New Zealand has died away. There is no genuine native feeling either for or against the amalgamation with New Zealand, though such a scheme is viewed with a certain favour by the white settlers from Australia.

III. POLYNESIA.

The encroachments of the French in the New Hebrides were once again the subject of complaint by the British settlers. A deputation representing their views had an interview with Sir Edmund Barton, who promised to attend to the matter. British Resident, he said, would be appointed.

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The British territory in New Guinea was declining in population and industry owing to the frequency of murders of the white people and the want of adequate Imperial protection. The Australian Commonwealth, it is alleged, purposely neglects this British possession, of which it is the custodian, because of the prejudice on the part of the Labour party against any dependencies of coloured men.

PART II.

CHRONICLE OF EVENTS

IN 1902.

JANUARY.

1. Issue of an authorised edition of Lord Rosebery's Chesterfield speech with a prefatory note in which the author appealed for "spadework" on behalf of the policy expounded in that utterance, which appeared to him to have met with much general approval.

Round Table Conference at Fulham Palace on Confession and Absolution continued and concluded.

Rioting at Bethesda, the men employed at the Penrhyn slate quarries being attacked by large crowds of strikers. Hussars summoned from Bangor.

3. Announced that an anonymous philanthropist, who shortly afterwards was revealed as Sir Ernest Cassel, had placed 200,000l. at the disposal of the King, who had decided that the sum should be applied to the erection of a sanatorium for the open-air treatment of tuberculous patients in England.

- The Marquis Ito (ex-Premier of Japan) entertained at luncheon, with a distinguished company, by the Lord Mayor (Sir J. C. Dimsdale, M.P.) at the Mansion House.

Protracted Ministerial crisis at Sofia ended by formation of a Cabinet under M. Daneff, entirely composed of members of the Zankoffist or Russophil party. The Sobranye, having refused a Ministerial demand for two months' supplies, was immediately dissolved.

4. Publication in The Times of Mr. Rudyard Kipling's poem, “The Islanders," severely satirising the British people for their excessive devotion to field sports and other pleasures, and their unwillingness to face the sacrifices necessary for national security.

Under Rugby Union rules the Devon football fifteen defeated the Rest of England by one goal and two tries to nothing.

5. About 2.30 A.M. an explosion, due to fusion of electric lighting

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