PMM(46) 11th Meeting LONDON, 3 May 1946, 11 a.m.

TOP SECRET

Military Bases in the Pacific: Proposed Cession of Tarawa
I. MR. ATTLEE said that Mr. Bevin had had some conversation in
Paris with the United States Secretary of State on the general
question of bases in the Pacific. A detailed report of this
conversation would be available shortly; and discussion of the
general question might be resumed during the following week, in
the light of that report.

Meanwhile, Mr. Attlee said that he wished to report to Dominion
Ministers a specific proposal which had been put forward by Mr.

Byrnes in the course of this conversation, viz., that His
Majesty's Government should make an immediate announcement of
their readiness to cede to the United States the island of Tarawa
in the Gilbert and Ellice Islands. Mr. Byrnes had recalled that
this island had been the scene of one of the most glorious actions
of the United States Marines during the war, and had said that its
cession to the United States in memory of that action would make a
deep impression on public opinion in the United States and would
assist materially the proceedings in Congress on the proposed loan
to the United Kingdom.

Mr. Attlee said that he had discussed this proposal with his
Cabinet colleagues earlier that morning; and they had agreed that
it must be rejected. It would be contrary to our principles to
cede territory without taking any steps to ascertain the wishes of
the inhabitants. It was essential that any such request should be
considered as part of the general problem of bases in the Pacific,
in consultation with other interested Governments of the British
Commonwealth. Finally, it was doubtful whether a sudden
announcement of a decision to cede Tarawa to the United States
would, in fact, influence favourably the Congress discussions
about the loan. His Majesty's Government had, therefore, decided
that Mr. Byrnes must be informed that they were unable to deal in
isolation with his request for Tarawa, but they would be willing,
together with the Governments of Australia and New Zealand, to
consider this request sympathetically as part of the general
problem of bases in the Pacific.

MR. CHIFLEY and MR. NASH said that they were in full agreement
with the reply which His Majesty's Government had decided to send
to Mr. Byrnes's suggestion about the cession of Tarawa.

Atomic Energy
2. The Meeting discussed questions relating to the development and
use of atomic energy. The discussion is recorded in a Confidential
Annex. [1]

Regional Organisation in South-East Asia and the South Seas
(Previous reference: P.M.M.(46) 1st Meeting, Item 3.) [2]

3. The Meeting had before them a memorandum by Mr. Chifley on
Economic and Welfare Co-operation in the South Seas and South-East
Asia Areas (P.M.M.(46)17).

DR. EVATT, Speaking at Mr. Chifley's request, said that at the
first meeting Mr. Bevin had emphasised the importance of
international cooperation in South-East Asia. The Australian and
New Zealand proposal for regional co-operation in the South Seas
had then been mentioned. The paper now before the Meeting had
accordingly been circulated to give an account of the history and
present position of this matter.

Dr. Evatt recalled that in the Agreement signed at Canberra in
1944 the Australian and New Zealand Governments had agreed to
promote the establishment of a regional organisation with advisory
powers. The body they had in mind would have no executive
responsibilities, but they had thought that it might be very
useful to have meetings from time to time with representatives of
the United Kingdom and, perhaps later, of France and the United
States to discuss their common affairs. The Australian Government
felt that a similar organisation for South-East Asia would
similarly serve a useful purpose.

Section 3 of the paper now before the Meeting described a School
of Colonial Studies, which already existed in Australia, and a
School of Pacific Studies, which it was proposed to set up at
Canberra. Dr. Evatt thought that these Schools might provide one
positive means of international co-operation in the Pacific.

Mr. Bevin had also mentioned broadcasting. A powerful short-wave
station had been set up by the Australian Government during the
war as an instrument of political warfare. Broadcasts were
continuing in many languages. This station might serve as a centre
for broadcasting activities throughout both the South-East Asia
and the South Pacific regions.

Dr. Evatt thought that it would be very useful if all these
matters could be discussed while Dominion Ministers were in
London, as he would like to see the proposals made by the
Australian and New Zealand Governments followed up.

MR. HALL said that he entirely agreed that it would be useful if a
South Seas Regional Commission were established on the lines
indicated in the first part of the paper before the Meeting. His
predecessor, Colonel Stanley, had circulated to Dominion
Governments in 1944 a paper dealing with the regional idea. The
idea was one to which he attached considerable importance. The
United Kingdom Government had now some experience of the working
of these bodies. In 1941 a regional organisation had been
established in the Caribbean. This had started as an Anglo-
American body, but it had now been broadened to include the French
and the Dutch. It had done a good deal of useful work on very much
the same lines as those on which the Australian and New Zealand
Governments proposed that a South Seas Regional Commission should
work. Again, in West Africa a satisfactory liaison had been
established with the French, and the consultations there between
the two Governments covered much the same ground. He hoped that
the Belgians would also in future take part in these
consultations.

The United Kingdom Government, therefore, would be extremely ready
to see a regional commission established in the South Seas, and he
suggested that the details should be discussed between officials
of the three Governments. He would prefer that, in the first
instance, the organisation should be limited to the United Kingdom
and to the two Dominions. Other Governments might be invited to
join in later on. The Dutch might well welcome the organisation
and possibly the French would do so too.

Turning to South-East Asia, Mr. Hall said that he thought that it
would certainly in the future be desirable to have a regional
organisation of the same type there, but he doubted whether the
time was ripe for the formal constitution of such a body at
present. Civil government had only recently been resumed
throughout the area and a great deal of reorganisation was
required. Lord Killearn had been appointed recently as Special
Commissioner for the area: his primary responsiblity at the moment
would be in regard to food supplies, but his organisation might
provide the nucleus round which a more formal organisation could
later develop. He thought it would be very useful if the
Australian and New Zealand Governments could attach liaison
officers-either permanently or from time to time as occasion
demanded-to Lord Killearn's staff, and he asked Dominion Ministers
to consider this suggestion.

He said that he had been much interested in the Australian
Government's arrangements for Colonial studies and he suggested
that it would be useful if officials of the Colonial Office could
discuss these plans with officials of the Australian Government.

It would be very valuable to have an interchange of ideas on this
subject. There had been a number of developments in the field of
Colonial studies in recent years.

In regard to broadcasting, the United Kingdom Government entirely
shared the view that a more extensive scheme of broadcasting
should exist for South-East Asia and for the Far East generally,
and they were now considering the subject. One proposal was that a
powerful station should be established at Singapore. it might be,
however, that greater use could be made of the facilities already
in existence in Australia, and he suggested that this matter might
also be discussed on an official basis.

Mr. Hall said that there were already a number of Australians and
New Zealanders in the United Kingdom Colonial Service. He welcomed
this fact very much and would be very happy to see more officers
in the Colonial Service from the Dominions, possibly on
secondment. He hoped very much that Dominion Governments would
consider this.

LORD NATHAN said that, during the conferences which he had already
held since he arrived in South-East Asia, Lord Killearn had had
the utmost assistance from New Zealand and Australia. The
Australian representative [3], at his recent conference, had been
most helpful and, as a result, he hoped that Australia would be
providing extra flour for the area and also consumer goods which
were very necessary for procuring rice from Siam.

MR. NASH said that the New Zealand Government were anxious to push
ahead with the proposal for a Regional Commission for the South
Seas. He thought that there was great opportunity for co-
operation, particularly on welfare matters and on health. Our
objective should be to help the inhabitants of this area to
exploit their own resources for their own benefit. He supposed
that a Commission in South-East Asia would have the same objective
and it seemed to him that such a body might well be useful. He
would, however, wish to consider further this question and the
precise nature of any relation between the Government of New
Zealand and Lord Killearn's organisation.

He was not in a position to commit himself to any specific
arrangements in regard to Colonial studies for the Pacific or
broadcasting.

MR. CHIFLEY said that the proposal that an Australian liaison
officer should be appointed to Lord Killearn's staff would be
quite satisfactory to his Government and he would be happy to
consider the details of it. [4] LORD ADDISON said that there
should be an immense field for development of the resources of the
area for the benefit of its inhabitants. In regard to
broadcasting, he felt sure that the B.B.C. would be very anxious
to help in improving the services to the Pacific and, indeed, to
all the Dominions.

DR. EVATT said there appeared to be general agreement that the
three Governments should proceed with the proposal for a South
Seas Regional Commission and that the details should be further
discussed between officials. He thought that it was important to
press on with this development because, if there were to be a
regional organisation for defence, it would be well that it should
be balanced by a similar organisation for welfare and development.

As regards South-East Asia, Australia would certainly be willing
to maintain liaison with Lord Killearn's organisation. There
should be further discussion between officials regarding Colonial
studies and broadcasting.

There was general agreement that this correctly represented the
position and it was agreed that talks between officials should
start as soon as possible. It was understood that the Foreign
Office would be associated with the discussions.

Future Business
4. Discussion took place regarding the arrangements to be made for
future meetings.

MR. ATTLEE suggested that some outstanding questions should be
discussed in the following week. These discussions might be
completed by the middle of the week, after which he suggested that
the meetings might be adjourned until after the arrival of Mr.

Mackenzie King on the 18th May.

After discussion it was agreed that the time-table for the
following week should be as follows:-

Monday, 6th may.

(1) United States Request for Bases in the Pacific.

(2) Procedure in the Peace Settlements.

Tuesday, 7th May.

(3) Political Situation in India.

(4) Future of the Ruhr and the Western Frontier of Germany.

Wednesday, 8th May.

(5) Draft Peace Treaties with Italy, Balkan Satellite States and
Finland.

The meetings should then adjourn until Mr. Mackenzie King arrived.

It was also agreed that it would be useful to have a preliminary
exchange of views on the subject of Imperial Preference; this
would best be deferred until the arrival of Mr. Mackenzie King.

FIELD-MARSHAL SMUTS suggested that the problem of the nationality
of married women might be discussed. It was agreed that it would
be best to defer discussion of the subject until after Mr.

Mackenzie King's arrival, when it could be considered in
connection with Canadian proposals regarding citizenship
legislation.

Mr. Chifley
5. MR. ATTLEE expressed the regret of the Meeting that this was
the last occasion on which Mr. Chifley would be able to attend. He
said that it had been a very great pleasure to him and his
colleagues to meet Mr. Chifley and to have this valuable
opportunity for exchanging views with him, and he thanked him for
undertaking the visit to London.

MR. CHIFLEY expressed his regret at being obliged to leave. He
said that he had much appreciated the opportunity for consultation
with his British Commonwealth colleagues, and extended his warm
thanks to Mr. Attlee for the hospitality and courtesies extended
to himself, Dr. Evatt and their staffs.