D.—l

X

The Southland Power Board is pushing on the Monowai scheme of two units, each of 2,000 kw., with provision for future extension by means of four more such units. The New Plymouth Borough has plans in hand for a power-station of 4,500 kw. on the Waiwakaiho River, and the Taranaki Power Board one of 1,500 kw. at Tariki, and the Wairarapa Power Board, Tauranga Borough, and Taumarunui Borough have smaller water installations in hand and approaching completion. The steam reserve plants at Auckland, Wellington, Wanganui, and Invercargill are being extended and reconstructed, and the steam reserve which will be available in the course of a few years will be a follows : Wellington City, 10,000 kw. ; Auckland Power Board, 25,000 kw. ; Waihi Grand Junction Company, 3,000 kw. ; Wanganui Borough, 1,750 kw.; Christchurch Tramways, 2,500 kw. ; and Invercargill Borough, 2,200 kw. These, with the existing power plants already in operation, will amount in 1930 to 181,500 kw. of water-power and 45,750 kw. of steam plant, compared with the present total of 29,000 kw. of water-power and 31,000 kw. of steam and other power already in service. This development will amply meet the demands and give a margin for attracting special industries depending on a supply of cheap power. The question of large surplus power to attract special export industries by offering cheap electric power is an important one, and is receiving the fullest consideration. The Dominion is at present too dependent for its export trade on agricultural produce, the prices of which are liable to serious fluctuations, and as the agricultural industries of the world are restored to their pre-war output the prices of agricultural produce will inevitably fall. It is therefore important that every effort be made to develop an export trade in manufactured goods or chemical or metallurgical products, and in this direction cheap power can assist very largely. The provision of such power is met in the above programme by the possibility of large extensions to several of the power-stations, particularly Arapuni and Waikaremoana. The continued demand for hydro-electric power indicates the necessity for the Department putting in hand surveys and investigations of available schemes considerably in advance of the actual requirements, so as to ensure that the developments made will be in the best interests of the Dominion as a whole rather than that of isolated districts. Consequently portions of this work have been carried out, and as soon as the survey parties have completed the surveys required for actual construction it is proposed to carry on with this work, particularly in the direction of the supply to North Otago, North Canterbury, Westland, Buller, Nelson, and Marlborough, and in the detail location and survey of one or two of the most economical sources with a view to their being made available for the development of large electro-chemical or electro-metallurgical industries. In view of the magnitude of the works now under construction and projected for the development of the hydro-electric resources of the Dominion, it has been decided that officers of the Department should be required to keep in touch with the modern developments in other countries by periodic visits to the countries in which developments are proceeding most actively along similar lines to those of the Dominion. In pursuance of this policy, Mr. F. T. M. Kissel has, during the year, visited the main hydro-electric developments of California, Canada, Norway, Sweden, France, Switzerland, and Italy, and the factories of England and America. As a result of this visit it is anticipated that the latest improvements and economies will be incorporated in. the designs now being drawn up. The management of the various electrical-power plants of the Department, including the sale of power therefrom, together with the supervision and control of the operations of the various Electric-power Board districts and other electricsupply organizations, is of considerable proportions, and in a few years will have grown to very considerable magnitude. With this in view it will be necessary to set up a special body to take over the administration of the electric-supply services, and so relieve the Minister of many of the details with which he is at present concerned. The Minister will still, however, retain general control of the Department and the general finance. The exact composition of this body has not yet been determined, but its general functions will be as indicated above, and before anything is done the question of its detailed powers and personnel will be given very careful consideration. Complete details of all the hydro-electric works and matters will be found in the Chief Electrical Engineer's report, while the schedule attached hereto sets out the scheme of development of hydro-electric power for the next six years.