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In the mechanical engineering department steady progress has been maintained, and the classes are growing in popularity. The need for sufficient laboratory room and equipment is very great. The engineering workshop is. however, well equipped, and the classes in fitting and turning are growing in popularity. Building Trades. —These classes have maintained their position, and have shown for the most part the good effects of careful and intelligent instruction. Commercial Classes. The demand for evening instruction in commercial work continues unabated, and the classes have been large and successful in all the subjects taken. Continuation Classes. —The classes in arithmetic, English, and Latin were well attended, and good work was done, especially in the Civil Service senior class in English, in which out of thirty-five candidates twenty-six passed. Domestic Economy Classes. —These classes have improved considerably in numbers and also in quality of work since last year. A Large amount of day-work was done with classes of girls from the commercial department during the last six months of the year, with satisfactory results. Examinations and Prizes. —Board of Education, London : At the art examinations conducted by this body ninety-four passes were secured. It may be noted that the percentage of passes obtained was higher than the average percentage in Great Britain. At the science examination conducted by the same body eighteen passes were obtained. The results, especially in building-construction, were very satisfactory. National Competition. —The only works sent from the school were a set of drawings by a student of the machine-design class. S. 11. Higgs, for a 50 brake horse-power suction-gas engine and producer. These obtained a book prize, and. had they been specially prepared in the form required by the examiners, would probably, in their opinion, have obtained a medal. The only other award in any subject made to a competitor outside the United Kingdom was a " Commended," ('itg and Guilds of London Examinations. —At the technological examinations conducted by this body thirty-two passes were obtained. Here, again, the percentage of passes was higher than the average percentage in Ureal Britain. A bronze medal, one of the only two which were awarded in all the examinations to candidates outside the United Kingdom, was obtained by C. H. Hocking in the plumbing examination ordinary grade. The above results may be summarized as follows : .Medal. 1 ; book prize, 1 ; first-class certificates. 32 : second-class certificates, 55; pass certificates, 9; certificates in ordinary grade, 10; in honours grade, 1 : total, LO9. The total for the previous year was 97. Local Examinations far Full Certificates. —At these examinations 49 candidates gained certificates as follows : Plumbers. 34 ; electric wiremen, 9 ; electric fitters, 6. Fifty-four second-year junior free students were recommended for. and were granted, senior free places tenable for three years. Other Examinations and Competitions. The numbers of those entering for Junior Civil Service, Matriculation, and other examinations are not available, nor is it possible to assign the share which the school has had in the preparation of those candidates. I may mention, however, as instances of the work done, that out of 35 candidates in English in the Senior Civil Service prepared at the school, 26 passed ; and that two candidates sent up for the Associateship Examination of the New Zealand Institute of Accountants were both successful. The Technical School Section at the Manawatu and West Coast Agricultural and Pastoral Association's Show is a prominent feature. In the various competitions this school secured 28 first prizes. 25 second prizes, 4 third prizes. 25 V.H.C. certificates, and 1 H.C.—a total of 83 awards for 302 exhibits sent in. In the competitions for students arranged by the New Zealand Academy of Fine Arts the school secured 11 out of 15 prizes in competitions open to art students of the Dominion. The present buildings and equipment are in the main thoroughly unsatisfactory. This Board has during the past year devoted a considerable amount of time and energy to the problem of securing a satisfactory and central site on which to lay the foundations of a technical institution more in keeping with the importance of the city. It is hoped that the efforts of this Board will shortly be crowned with success, and that the financial difficulties in the way of meeting the growing demands for better educational facilities in subjects of common interest may be overcome. When it is remembered that the technical institutions should provide instruction suitable to the needs of about 90 per cent, of the young people of the country, it is at once obvious that an enormous disproportion exists at the present time between the facilities available and the real needs of the people ; and it is further obvious that the inadequacy of the present arrangements must react to the prejudice of these institutions in public opinion, and so render less possible the establishment of a completely satisfactory system. The present buildings have been maintained in good repair during the past year. The equipment has been added to where possible. In particular, the engineering workshop and equipment was increased by the addition of a fust-class modern lathe, a modern type of planing-machine. a universal grinding machine, and sundry small tools, with the result that it is now fairly representative of the ordinary engineering workshop. The machine tools are all of good modem design and in good work-ing-order. We are now able to give thorough instruction in the handling of materials and in the ordinary processes of an engineering workshop. The crying need of the engineering and building department is a good mechanical and materials laboratory, without which our students are seriously hampered on the scientific side of their work. We also need a good heat and heat-engines laboratory, and satisfactory electrical and electricalengineering laboratories,