Clive I know for sure that flag cancel had been used
at least 6 months before this one is dated, so no, first use of it is not the reason for the price obtained.
![Wink ;)](./images/smilies/icon_e_wink.gif)
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As I have typed before in
'Stamp News' - the following explains WHY QV stamps were used in 1912
despite her being DEAD for 11 years.
In fact all states used QV and not KEVII in the same period, where a monarch was depicted.
This absolutely superb looking item I just bought, shows QV heads from 4 states used in 1914 along with a
4d Roo! All quite legal.
As is generally known, Australia became a 'Commonwealth' on January 1, 1901 - the month Queen Victoria died. For postal arrangements, the amalgamation of the six different state Post and Telegraph services was required. This occurred on March 1, 1901.
That date can be regarded as the date after which any stamps issued, were done so by the Australian Commonwealth Postmaster-General's Department.
However, the Post and Telegraph Act 1901 was not enacted into law until November 1, 1901. Interestingly enough Colonial stamps were never demonetised, and most continued to be valid for use (in any State) after 1901 - indeed were fully legal on any mail until 1968. Many collectors and dealers used them for normal mail to other collectors as low values were very inexpensive.
For near a century 'Australian' stamp issues have been regarded as those commencing with the Kangaroo and Map series in 1913. The ACSC catalogue now (correctly) broadly defines them as any stamps issued since 1901.
Curiously, despite Queen Victoria dying in January 1901, nearly all stamps on sale across Australia until the Kangaroo series was issued in 1913 featured her image - which itself was over 70 years old. I have NEVER understood why the next 2 monarchs were not depicted on the letter-rate stamps.
A person licking a 1d or 2d Queen Victoria stamp onto every letter they mailed for 12 years after she had died, as there was no other design choice, seems incredibly bizarre. If you lived in Victoria or Queensland or South Australia, that was your only option.
King Edward VII's Coronation was 9th August 1902. Other than the Victoria £1 and £2 high values, he was not depicted on any other State's postage stamps at any time.