H.—37

Ground Engineers. The number of Ground Engineers' Licences issued during the year totalled twelve, compared with seventeen for the preceding twelve months, and in the same period fifteen extensions to existing licences were granted. On the 31st March, 1940, sixty-four ground engineers held current licences valid in one or more categories. The practice of holding frequent examinations to enable applicants to qualify for licences, or to obtain extensions to existing licences, was followed until shortly after the commencement of war, when all examinations were completely suspended. During the period Ist April to 30th September, 1939, nine series of examinations were held, in which seventeen candidates were dealt with and fourteen were successful. Aircraft. On the 31st March, 1940, there were only 39 aircraft on the Civil Register, compared with 107 at the end of the previous year. This small total was due to the fact that 72 aircraft belonging to clubs and companies were requisitioned by the Government shortly after the outbreak of war, and these were accordingly removed from the register. The machines remaining in use may be analysed as follows :— D.H. 60 .. .. 3 Monospar S.T. 25 .. 1 D.H. 80a .. .. .. 2 Rearwin .. .. 2 D.H. 83 .. .. 3 Spartan .. .. .. 1 D.H. 90 .. .. 2 Waco .. I Avro Avian .. .. .. 2 Whitney Straight .. .. 1 Cub .. .. .. 5 Pou-de-ciel .. .. 3 Desoutter .. .. .. 1 Miscellaneous .. .. 7 Fleet ...... 1 — Lockheed 10a ...... 4 39 Of these, 32 are single-engined machines and the remainder twin-engined. Only 12 are not of British manufacture. On the 31st March, 1940, twenty-five of the aircraft on the register were certified as airworthy, the remaining 14 comprising 11 machines which were under overhaul or temporarily out of action, and three Pou-de-ciels (" Flying Fleas ") which, being experimental aircraft, were not granted certificates of airworthiness. During the year, 8 new aircraft were added to the Civil Register, 6 United Kingdom certificates of airworthiness were validated for use in the Dominion, 13 New Zealand certificates were issued, and 53 renewed. SECTION lI.—COMMERCIAL FLYING. The steady increase in route miles flown on commercial services, and their greater use for the carriage of passengers, mail, and freight, was continued until shortly after the outbreak of war. By the 9th November, 1939, ten of the aircraft operated by commercial companies had been requisitioned by the Royal New Zealand Air Force, and, in addition, a number of their personnel, who were members of the R.N.Z.A.F. Reserve, had been called up for war service. It was therefore necessary to rearrange certain of the existing services and to cancel others wholly. As a result of this, the route mileage, which stood at 2,015 at the declaration of war, fell to 1,720 at the end of September, and 1,348 during November. Despite these factors, the services available were well patronized, and in most cases are carrying almost capacity loads. Had war not intervened, there is every possibility that active steps would shortly have been taken to inaugurate the Dunedin-Invercargill, Auckland-Rotorua, and NelsonTakaka services, with the added possibility of the resumption of a feeder service to cater for traffic in the Wanganui and Taranaki districts. On account of defence requirements it must be expected that services of a civil nature will be severely restricted through lack of suitable material. Valuable knowledge has, however, been gained in operating the commercial routes, and it can be anticipated that this practical experience will serve as a valuable basis for future operations. The three companies operating were Union Airways of New Zealand, Ltd., Cook Strait Airways, Ltd., and Air Travel (N.Z.), Ltd. The services maintained during the year were as follows : — (1) Auckland-Wellington. (2) Wellington-Dunedin. (3) Palmerston North - Gisborne (suspended, 25th October, 1939). (4) Gisborne-Auckland (suspended, 12th October, 1939). (5) Palmerston North - Christchurch (suspended, 16th September, 1939). (6) Wellington-Blenheim-Nelson. (7) Nelson-Grey mouth (extended to Hokitika, 10th November, 1939). (8) Hokitika - Jackson's Bay. (9) Inchbonnie-Weheka. The total route mileage covered at 31st March, 1940, was 1,348, and the number ,of aircraft in use nine, comprising four Lockheed Electras on routes (1) to (6), and three De Havilland Fox Moth and two De Havilland Dragonfly aircraft on routes (7) to (9).

11