As the proposition of the postmaster general provided for the reservation to the treasury of the full amount of the packet postage, part of which had until that time been used in the colonies to defray the expenses of their services, there could be no objection in point of finances to leaving to the colonies the control of their post offices.

Lord Elgin, who came out as governor general in the beginning of 1847, brought with him instructions to convey this information to the several legislatures. In these instructions Lord Grey, the colonial secretary, after alluding to the great change in the economic policy of the United Kingdom towards the colonies as a consequence of the adoption of the principle of free trade—the abolition of the preferential tariff which the colonies had hitherto enjoyed, and the concomitant removals of the restrictions, which had existed on their trade with foreign countries—pointed out that in order that they might reap the largest measure of benefit from the greater freedom of trade, it was necessary that they should be united for customs purposes, on lines perhaps similar to those of the German Zollverein.

Grey further intimated that it was also desired, in order to complete the commercial association of the colonies, that some arrangement should be come to for settling the affairs of the post office. He suggested that a conference of the representatives of the colonies should be held in Montreal, to discuss these important subjects, and to endeavour to arrive at some agreement as to the principles to be adopted in giving effect to united colonial action.

Elgin delivered his message to the Canadian legislature in opening the session of 1847, on the 4th of June. He stated that he was enabled to inform the legislature that His Majesty's ministers were prepared to surrender to the provincial authorities, the control of the department in the colonies as soon as, by consent between the several legislatures, arrangements should be matured for securing to British North America the advantage of an efficient and uniform postal system.

But before this official intimation reached the colonies, action had been taken in one of them, on lines so closely parallel to those defined in the letter of the postmaster general to the treasury, as to suggest that Elgin, on his arrival in Boston on the 25th of January, had at once despatched a message to Halifax, since, on the 27th of January, the question of the post office was brought up for discussion in the legislature of Nova Scotia.

A committee was appointed to inquire generally into the conditions of the post office, and, particularly, into the advantage of one general system being adopted for the colonies, and the best means of accomplishing such an object.[286] Their task was to submit such a scheme as should be likely to command the approval of the other colonies and of the imperial authorities. This scheme should be founded upon some principle of central supervision and management of the various colonial post offices that would ensure uniformity in their operations, security against conflict with the general post office of the empire, and a proper degree of responsibility of the local heads to their legislatures.

Addressing themselves first to the question of postage rates, the committee at Halifax decided, though with some misgivings, to recommend for adoption the rates proposed by the commission approved by Sydenham to investigate the affairs of the post office. These rates were based on the principle of charging according to the distance letters were carried.

The preference of the committee was for a single uniform rate. But they were prepared to waive it, and adopt the rates proposed by the commission, "because those suggestions had already received the sanction of able men well acquainted with the subject, because they believed their adoption would involve very great benefits to the people of this colony, and because they believed those suggestions were more likely to be concurred in by the authorities in England, and by the other colonies, than would be any that proceeded directly from themselves."

The concurrence of the legislatures of the other provinces should be obtained in the recognition of common principles, and of the necessity for an independent authority placed in one of the colonies, whose function it should be to organize and centralize the department within certain limits to be prescribed and defined.

The report of the committee was submitted to the assembly of Nova Scotia on the 29th of March, and was adopted on all points, except the important one of the rates of postage. The house was not disposed to concur in the continuation of a system of postal charges, which had been definitely abandoned in Great Britain and the United States, and which had been condemned by every public body in the colonies, which had considered the subject. The assembly substituted for the rates proposed by the committee the uniform rate of threepence, and were prepared to face such deficits as should result. The lieutenant governor was requested to send the resolutions to the other colonies, with the earnest desire that they would be pleased to give them consideration.