D.—2

III

Mr. T. Ronayne, who filled the position of General Manager since 1895, voluntarily retired on the 31st October last. Mr. E. H. Hiley, new General Manager, assumed control of the railways on the Ist November, after having inspected the principal sections in company with Mr. Ronayne. Mr. Hike's report on the New Zealand railways, which is very comprehensive and contains a number of important proposals, is attached hereto, and I commend it to the careful perusal of honourable members. The report of Mr. Ronayne (late General Manager), covering the period the Ist April to the 31st October, together with the report of Mr. John Henry Lowe, C.E., M.1.C.E., on the condition of the New Zealand railways, has also been printed for the information of the House. A number of very important proposals, involving an expenditure of £3,250,000 for the provision of new stations at Auckland, Wellington, and Christchurch ; construction of new line from Auckland southwards to connect with the Main Trunk line at Westfield ; the duplication of the suburban lines—Newmarket to New Lynn, and Penrose southwards; also duplication of the Lyttelton Tunnel ; reorganization of station-yards at Palmerston North, Hastings, Addington, and Timaru ; erection of new workshop for engine-building purposes at Newmarket; extension of Petone Workshops ; provision of level-crossing alarms ; importation of locomotives from abroad ; and grade-easements and bridge-strengthening are contained in Mr. Hiley's report. There is no doubt in my mind that if the railway business of the Dominion is to be efficiently carried out and the Department satisfactorily performs its functions in dealing with the commerce of the country, considerable additions must be made to the existing railway facilities. The amount involved in providing new lines, grade-easements, bridge-strengthening, and new locomotives will be remunerative for all time, and give a handsome return on the investment. The new stations and improvements to station-yards are essential to the economical and efficient conduct of the business, and may also be regarded as remunerative expenditure. The signalling and interlocking expenditure is essential in the interests of public safety, and the workshops additions are for increasing the output of rolling-stock and enabling the Department to avoid the necessity of going abroad for plant in the near future. The following statement shows a brief comparison of the traffic and the rolling-stock for dealing therewith on the 31st March, 1907, with that at the 31st March of the present year : — 31st March, 31st March, increase Per Oent - of 1907. 19H. increase. Inorease _ Passengers (number) ... 9,600,786 13,355,893 3,755,107 39 Season tickets „ ... 165,504 287,037 121,533 73 Parcels „ ... 929,929 1,392,814 462,885 50 Horses „ ... 17,770 21,778 4,008 23 Carriages . „ ... 2,440 2,755 315 13 Dogs „ ... 42,081 54,383 12,302 29 Drays „ ... 2,496 3,090 594 24 Cattle „ - 133,031 254,291 121,260 91 Sheep „ ... 4,661,001 6,860,495 2,199,494 48 Pigs ... 115,222 145,773 30,551 27 Chaff, lime (tons)" 168,316 235,980 67,664 40 Wool 128,161 155,709 27,548 22 Firewood „ 109,236 117,038 7,802 7 Timber „ 567,835 676,858 109,023 19 Grain 770,706 1,050,395 279,689 36 Merchandise „ 712,399 873,746 161,347 23 Minerals „ 2,135,446 2,551,614 416,168 19 Total tonnage 4,592,099 5,661,340 1,069,241 24 Total revenue £2,624,600 £4,043,328 £1,418,728 54 Locomotives (number) ... 398 534 136 34 tractive power (lb.) 3,993,028 6,754,663 2,761,635 69 Passenger-cars (number) ... 966 1,363 397 41 Passenger - cars, seating - accommodation ... ... 40,470 53,819 13,349 33 Brake-vans (number) ... 326 406 80 24 Sheep-wagons (number) ... 877 1,481 604 69 Total wagons, all classes (number) 14,279 19,845 5,566 39 Waeon carrying-capacity (tons) 107,585 166,737 59,152 55 Train-mileage run... ... 6,755,454 9,319,268 2,563,814 38 I estimate that the revenue for the year ending 31st March, 1915, will be £4,250,000, and the expenditure £3,030,000. I desire to place on record my sincere appreciation of the loyal and valuable services rendered by the railway staff during the recent labour troubles.