D.—l

The following table shows for the last four years the capital expenditure on new school buildings, additions, sites, and teachers' residences : — 1933-34. 1934-35. 1935-36. 1936-37. £ £ £ £ Public schools .. .. .. 57,664 35,105 87,908 162,894 Secondary schools . . .. .. 2,568 14,679 23,516 24,092 Technical schools .. .. .. 1,504 12,851 59,350 77,836 Training colleges .. .. .. .. .. 6 10 6,729 Native schools .. .. .. 2,698 5,419 8,399 12,172 Child-welfare institutions .. .. .. . . 221 2 473 University Colleges .. .. . . .. ' 525 Massey College .. .. .. .. .. 3;0 22 Gross total.. .. .. 64,434 68,054 180,004 289,743 Less credits-in-aid .. .. 7,778 10,894 48,547 7,848 £56,656 £57,160 £131,457 £281,895 ESTABLISHMENT OF AERODROMES. During the year activities in this side of my Department's operations have increased considerably, and its scope has been widened to carry out or advise on all matters pertaining to aerodrome facilities and ground organization for air transport. In consequence of the success of the initial air transport services a greater demand for such services has arisen, and development of facilities to serve the Main Trunk Services has been energetically proceeded with. During the year there has been a considerable increase in passenger and air-mail traffic. East Coast Airways, whose service between Napier and Grisborne was suspended during improvements to the Gisborne Aerodrome, returned to operation with considerably improved terminal facilities. Cook Strait Airways has extended its services from Nelson to Hokitika to connect with the existing South Westland service. Union Airways daily express passenger and mail service between Auckland and Wellington via New Plymouth has been commenced recently. All services have maintained their schedules with very commendable regularity and the maximum of safety. To illustrate the growth of regular air services the following is a tabulation of passengers, mails, and freight carried for three-monthly periods" from Ist Januarv 1936, to 30th June, 1937 : —-

During the coming year even greater increases in all classes of traffic are to be expected, while extensions to the Mam Trunk routes are contemplated. These extensions, as well as the development of feeder services, will follow the establishment of the relative aerodromes and facilities and a planned programme is being pursued to this end. The development of aerodromes and emergency-landing grounds has been concentrated primarily to serve the Main Trunk routes, and a commencement made with those for the feeder services. There are now forty-nine aerodromes licensed for regular operation, on twelve of which enlargement or improvement work is proceeding, while fifteen additional fields were under development during the year. A major undertaking has been the investigation and planning of new Royal New Zealand Air Force stations and the improvement of the two existing stations

XXXI

Quarter ended Number of ! Passenger- j Freight Mail Passengers. | miles. j Ton-miles. MalL Ton-miles. I j K i īb 5.1st March, 1936 .. 5,460 560,000 7,200 1 360 6 400 350 30th June, 1936 .. 5,080 550,000 8,400 370 ! 20'000 1 600 30th September, 1936 .. 4,750 540,000 8,700 450 25'000 2'250 31st December, 1936 .. 6,150 700,000 13,700 ; 630 33'000 2'880 31st March, 1937 .. 8,200 I 870,000 13,200 595 ! 32'200 2'530 30th June, 1937 i 7,400 770,000 16,500 Not 36,800 Not ! available, j available.