5 APRIL 1902, Page 3

We strongly advise all who are interested in the problems

connected with the supply of material to Governments and public bodies to study the able and lucid reflections on the whole subject contained in a series of despatches written by Lord Cromer, and set forth in a Blue-book published on Thursday. In the despatches in question the special case dealt with is the supply of engines to the Egyptian Railway Department; but Lord Cromer does not confine himself to the local problem, but states with great clearness and force what he believes are the principles that ought to govern the tender system. The system of open public tender has, he points out, certain great advantages. In the first place, it minimises the possibility of undue influence being exercised in favour of one particular firm. But this is very much in its favour, for it is most important not only that there should be no favouritism in fact, but that the public should be convinced that none exists. With the officials concerned with the supply of material the system of open tender is always popular, for it naturally relieves them of responsibility and from the odious risk of accusations of jobbery. "The principal demerit of the system," Lord Cromer continues, " is that it not unfrequently fails to secure the main object in view, which is to obtain for the taxpayers, for whom various responsible officials act as trustees, the best and elreapest article which can be procured:. These defects, however, can be modified by reserving the right not to choose the lowest tender, and by limiting the competition to certain selected firms. We gather, indeed, that such limited competition among carefully selected firms is, on the whole, the system which Lord Cromer favours, though he declares generally that each case must be decided on its merits. The risk of paying too little is insisted on by Lord Cromer in a very striking passage. We never remember, indeed, to have seen the principles which should guide public, bodies in regard to the supply of material by tender more

ably and usefully set forth. -