"As the armoured cruiser is the essential part of the Fleet unit, it is important that an _Indomitable_ of the _Dreadnought_ type should be the first vessel to be built in commencing the formation of a Fleet unit. She should be officered and manned, as far as possible, by Colonial officers and men, supplemented by the loan of Imperial officers and men who might volunteer for the service. While on the station the ship would be under the exclusive control of the Dominion Government as regards her movements and general administration, but officers and men would be governed by regulations similar to the King's Regulations, and be under naval discipline. The question of pay and allowances would have to be settled on lines the most suitable to each Dominion Government concerned. The other vessels, when built, would be treated in the same manner. "It is recognised that, to carry out completely such a scheme as that indicated, would ultimately mean a greater charge for naval defence than that which the Dominions have hitherto borne; but, on the other hand, the building of a _Dreadnought_ (or its equivalent), which certain Governments have offered to undertake, would form part of the scheme, and therefore, as regards the most expensive item of the shipbuilding programme suggested, no additional cost to those Governments would be involved. "_Pari passu_ with the creation of the Fleet unit, it would be necessary to consider the development of local resources in everything which relates to the maintenance of a Fleet. A careful inquiry should be made into the shipbuilding and repairing establishments, with a view to their general adaptation to the needs of the local squadron. Training schools for officers and men would have to be established; arrangements would have to be made for the manufacture, supply, and replenishment of the various naval, ordnance, and victualling stores required by the squadron.