Introduction

The transition of the Colonial postal systems within Australia into a uniform Federal system was a very gradual process, hampered not only by inherent differences in outlook in the several States but by the political circumstances of the day.

Despite these difficulties, the Postmaster-General’s Department, over the period 1901 to 1912, while still maintaining the six regional postage stamp series and their separate designs, did vary them otherwise to the extent that the stamps lost many of the characteristics of their Colonial origins and acquired a distinctly Federal character.

1. Transition

The form of postage stamps to be available to the public within the Commonwealth of Australia after Federation was one of many matters which exercised the minds of senior postal officers, firstly at joint conferences of the several Australian Colonies before Federation, and subsequently over the years until the appearance in 1913 of the first uniform stamp series.

The postal view was that a uniform series should be introduced very shortly after Federation. One recommendation which might have been adopted, if other factors had not intruded, was that all Australian Colonial postage stamps should be declared valid fur use in any part of the continent and issued with the overprint “AC” signifying “Australian Commonwealth”.

The Federal Constitution provided that all postal matters became the responsibility of the Federal government. As a corollary, the new States, erstwhile Colonies, had no jurisdiction in postal affairs. The six separate Post and Telegraph departments were transferred to the Commonwealth on 1st March, 1901, and this amalgamation marked the beginning of the Postmaster—General’s Department. From that date, all postage stamps were issued under the authority of the new department.

An aspect arising in this connection concerns the status of postage stamps issued over the period from 1st January, 1901, when Federation came into being, until the end of February, 1901. It cannot be questioned that such stamps were the products of the Colonial period and were sold by State (erstwhile Colonial) officers awaiting transfer to the Commonwealth. However, as Federation was then in being and the Colonies no longer legal entities as such, having been succeeded by the States which as mentioned had no authority to issue postage stamps, those stamps currently in use had by reason of the political climate acquired a new status - that of Commonwealth issues.

Factually, it must be recognized that the Colonial postal departments continued to function without obvious change when the calendar turned to 1901, but in the broader view and with cognizance of the political background they had become in actuality agents of the new Federal government. From 1st March, 1901, the position is of course a great deal clearer.

During the Colonial regimes, some categories of duty stamps and of postage stamps had interchangeable usage. The necessity of varying this practice so that postal and fiscal revenues could be separated was foreseen, and necessary action was initiated in the several Colonies*. So far as New South Wales, Queensland and Tasmania were concerned, the arrangements were made and gazetted prior to the end of 1900 so that from 1st January, 1901, fiscal stamps of those States had no postal validity. The Western Australian gazette notice also stipulated that from 1st January, 1901, revenue and postage stamps were no longer interchangeable. However, as the notice was not gazetted until 17th January, 1901, the status of any revenue stamps which may have been used for postage purposes during the interval is of some doubt.

In Victoria, an Act of Parliament assented to on 27th December, 1900, almost on the eve of Federation, provided that no stamp on which the words “Stamp Duty” appeared could be used for postal purpose. However, the Act then went on the authorize the use of such stamps for postal purposes until 30th June, 1901.

There is no doubt that in Victoria stamps inscribed “Stamp Duty” were so used. The practice was permitted by the Victorian administration of the Postmaster-General’s Department and it is of equal significance that the condition was set out in the Postal Guide of the day.

While it is questionable if the validity of the Victorian Act was maintained after Federation, it is clear that usage of “Stamp Duty” issues was permitted as that Act intended. Stamps which were within the defined category, and they included denominations up to £100, must therefore also be regarded as having acquired Commonwealth status, in the postal sense, up to 30th June, 1901. After that date they were simply Victorian duty stamps, not valid for postage.

South Australia presented a different situation. Its pre-Federation legislation had provided that adhesive stamps could be used for stamp duty purposes and for this reason the Colony did not have a separate series of revenue stamps. At Federation, the position could not be altered quickly. All stamp printing was then being carried out by the Post Office and some time was required to prepare new postage stamps to replace those inscribed “Postage and Revenue”, and also to allow the State to produce separate duty stamps. For those reasons, it came about that after 1st January, 1901, stamps inscribed “Postage and Revenue”, with values up to £20, continued valid for both purposes.

By a (South Australian) Stamp Act Amendment Act which came into force on 24th October, 1902, it was provided that the only adhesive stamps which could be used for fiscal purposes in South Australia were those inscribed “Stamp Duty”. The new revenue series, bearing those words, was then available.

An immediate effect was that stamps inscribed “Postage and Revenue” ceased to have validity for State revenue purposes but their postal status remained unimpaired. About this time, new stamps bearing the inscription “Postage” in lieu of “Postage and Revenue” commenced to appear and within a short time the earlier series was completely replaced, although never invalidated.

2.  Early Legislation and its Effects

A further reason for the maintenance of the six regional stamp series, advanced by the Prime Minister of the day, das associated with Tattersall’s lottery in Tasmania. He indicated that the retention of the different regional issues would facilitate calculations

as to toe effect on the Tasmanian revenue of the prohibition of communications to the pro­moters of the lottery. A secondary but very important factor was, of course, the part played by the differing regional postal rates in the overall financial pattern.

The Post and Telegraph Rates Act of 1902 had one other important feature relating LI to the payment of charges in respect of postal articles and telegrams originated by Government departments.

Under colonial postal legislation governmental authorities generally were exempted from payment of postage and in some colonies there was extensive use of impressed “frank” stamps in lieu of postage stamps. The latter system was particularly developed in Tasmania, Victoria and Western Australia. In New South Wales “franks” or postage stamps were not required to be affixed to envelopes originated by government departments and in South Australia it was the practIce to use stamps overprinted “OS”. Alone of all colonies, Queensland govern­ment departments were required to use ordinary postage stamps on nail articles.

Other exemptions from postage authorised by colonial Acts were often on an extensive scale. While the Commonwealth Act of 1901 drastically reduced the list of exemptions, it did not cover adequately the position of government departments in relation to postage. As a consequence, the government franking systems of the pre-1901 period continued undiminished and State authorities continued to enjoy the colonial privilege of free postage. Indeed, the franking system expanded still more after Federation and even newly—created Federal Departments continued to use their own franks. The Postal Rates Act of 1902 swept away the franking and free postage concessions and - s from lot November of that year postage was required to be paid so all postal articles originated by government departments, unless they were exempted by particular provisions of the 1901 Act.

The first Federal postal legislation was the Post and Telegraph Act 1901, which came into force on 1st December, 1901. This Act stipulated that the various Colonial Acts relating to the postal, telegraphic and telephonic services ceased to apply. The new Act was essentially a working amalgamation of the earlier Colonial Acts and while it included a provision for the manufacture and sale of postage stamps it made no reference to a uniform series.

This latter point, and the absence of any provision for Australia-wide “penny postage” - then enjoyed only by Victoria - were subjects for criticism in and outside Parliament at that time, and again, more forcibly, in the following year when another postal bill was being debated.

This second measure, the Post and Telegraph Rates Act 1902, became effective on 1st November, 1902. As its title implies, it was concerned with postal rates. Dominantly, this Act maintained in force the six separate rate structures which had been expressed in Colonial postal legislation and which had been continued in the several States immediately following Federation. The only uniform rates which were embodied in the 1902 Act affected newspapers and telegraphs, for which the same scale was applied throughout Australia.

The inability to achieve uniformity of postal rates generally at that time, which might have led to the early provision of a uniform postage stamp series, was due to the far-reaching effects of the “temporary” financial clauses of the Constitution. These clauses had been inserted to avoid dislocation of States’ finances, consequent upon Federation, and the course of legislation was limited accordingly.

The “book-keeping” system which the financial clauses imposed necessitated specific accounts being kept in each State of all moneys received in respect of public services taken over by the Commonwealth, and States were paid large proportions of such revenues according to agreed formulas. Had uniform postal rates been introduced at the “penny postage” level during this financially critical period inevitably some States would have been very adversely affected.

Originally, the financial provisions were intended to continue for five years after Federation, but circumstances brought about extension on several occasions and they were not allowed to expire until 31st December, 1910.

The circumstances of the “book-keeping” system could not allow stamps of the post 1901 period to have interchangeability of use in any State and thus forced the maintenance of the six regional stamp series. It was contended in that connection that it would have been impossible to credit a State with the exact amount of revenue if uniform postage stamps had been introduced because of the tendency of the public to use stamps as remittances and perhaps to purchase them in one State and to use them in another.

A further reason for the maintenance of the six regional stamp series, advanced by the Prime Minister of the day, das associated with Tattersall’s lottery in Tasmania. He indicated that the retention of the different regional issues would facilitate calculations as to the effect on the Tasmanian revenue of the prohibition of communications to the pro­moters of the lottery. A secondary hut very important factor was, of course, the part played by the differing regional postal rates in the overall financial pattern.

The Post and Telegraph Rates Act of 1902 had one other important feature relating to the payment of charges in respect of postal articles and telegrams originated by Govern­ment departments.

Under colonial postal legislation government authorities generally were exempted from payment of postage and in some colonies there was extensive use of impressed “frank” stamps in lieu of postage stamps. The latter system was particularly developed in Tasmania, Victoria and Western Australia. In New South Wales "franks" or postage stamps were not required to be affixed to envelopes originated by government departments and in South Australia it was the practice to use stamps overprinted "OS". Alone of all colonies, Queensland govern­ment departments were required to use ordinary postage stamps on nail articles.

Other exemptions from postage authorised by colonial Acts were often on an extensive scale. While the Commonwealth Act of 1901 drastically reduced the list of exemptions, it did not cover adequately the position of government departments in relation to postage. As a consequence, the government franking systems of the pre-1901 period continued undiminished and State authorities continued to enjoy the colonial privilege of free postage. Indeed, the franking system expanded still more after Federation and even newly created Federal Departments continued to use their own franks. The Postal Rates Act of 1902 swept away the franking and free postage concessions, and -as from 1st November of that year postage was required to be paid on all postal articles originated by government departments, unless they were exempted by particular provisions of the 1901 Act.

The new obligation was not accepted without demur. South Australia wished to con­tinue using stamps overprinted “OS,’ and other States also desired to apply various forms of overprints to stamps of the appropriate regional series. However, the Postmaster-General’s Department would not allow postage stamps to be overprinted in any way and required the series of “OS” stamps then in use in South Australia to be discontinued.

As a compromise solution to assist Federal and State government departments which wished to use stamps distinguishable from those in general use, the Department agreed that stamps might be punctured either with the initials “OS” or with other initials which might be desired by a State. When this new system became generally operative, all Federal and many State government departments used stamps punctured “OS”. But in New South Wales the puncture for State departments read “0S/NSW” and for a time in South Australia “GA” was used. In Tasmania and Western Australia the initials “T” and “WA” respectively were employed by State departments. The practice became varied and underwent considerable change in some cases in subsequent years although at all times only stamps punctured “OS” were used by Federal authorities within the period under review.

Continued in part 2.

Reprinted from the APO Philatelic Bulletins - 1966/67