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ANNUAL REPORT OF THE GENERAL MANAGBB OF NEW ZEALAND GOVERNMENT RAILWAYS. New Zealand Government Railways. Head Office, Sir,- Wellington, 27th June, 1912. I have the honour to report upon the working of the open railways for the financial year ended the 31st March. 1912. The capital cost has increased from £29,606,546 to £30,506,089. The revenue was £3,676,509 against £3.494.182. The expenditure for the year amounted to £2.465,896, against £2,303,272 last year. The rate of interest on the capital was £3 19s. 7d., as compared with £4 Is. 3d. for the preceding year. The revenue per train-mile was Bs, 9jd. and the expenditure ss. 101 d., as compared with Bs, 6Jd. and ss. 7fd. respectively last rear. The following extensions were opened during the rear: — M. eh. Kawakawa-Towai . . . . .. . . .. .. 20 50 Seddon-Ward .. .. .. .. .. .. 14 55 Waimahaka-Tokanui .. .. .. .. 8 26 Kioreroa-Onerahi .. .. .. .. . . 2 60 46 31 The mileage added to the system was thus 46 miles 31 chains, making the total mileage open for trafficon the 31st March. 1912, 2,807 miles 56 chains, as against 2.761 miles 25 chains at the close of the previous year. During the year 11,891.131 passengers were carried, yielding a revenue of £1.185.825: and 236,957 season tickets were issued, the revenue derived therefrom amounting to £133,289. There was thus an increase of 690,521 ordinary passengers and £81,530 revenue, and 14,853 season tickets and £14,172 revenue over the traffic carried under these heads during the previous year. 71.213 children and teachers and 63,612 adults travelled by school and factory excursions during the year, the revenue derived therefrom amounting to £9,703. 840,473 passengers travelled at holiday-excursion fares. yielding a revenue of £206,473. The coaching and goods traffic has been well maintained during the year, and shows increases under all heads, with the exception of cattle, sheep, pigs, chaff, wool, and grain. Increases. Coaching. —Parcels, 72,546; horses, .'l7.';: carriages, 50; dogs, 3,394. Revenue, £9,545. Goods. —Drays, 463; firewood. 1,036 tons; timber, 91,306 tons: merchandise. "2,723 tons: minerals. 21.533 tons. Total increase in goods and miscellaneous revenue, £77,080. Decreases. Goods. —Cattle and calves. 3.302 head; sheep. 45fi,84S head; pigs, 13.111 head: chaff, lime, &c, 6,752 tons ; wool, 1,640 tons ; grain, 63,743 tons. Various additions and alterations were made in the tram services during the year to meet the requirements of the traffic and to give greater facilities to the travelling public. These alterations involved a considerable increase in the train-mileage which was 230,612 miles greater than for the year ending 31st March, 1911. The train accidents during the year have not been of a serious nature, and there was not an injury to a passenger as a direct result of a train accident. Good progress was made in the work of equipping the lines with electric tablet, interlocking of points and signals, telegraph and telephone facilities, and fixed signals. The tablet system is now in operation on 1.389 miles of railway, and the electric lock-and-liloek system on 38 miles of track. Locomotive. Mr. A. L. Reattie, Chief Mechanical Engineer, reports as follows :— The engines, rolling-stock, plant, machinery, and appliances have been maintained in thoroughly efficient working-order, the details of work- completed and in hand being as follows : — Locomotives. —On the Ist April. 1911. there were 478 engines in service, and on the 31st March, 1912, there were 493 engines. Fourteen new engines were added to stock, and one engine was taken over from Department's sawmill. Of the new engines added to stock eight were built in the Government Railway workshops, and comprised four large tender engines, Class Ba and four heavy tankengines, Class Wo ; six (.'lass An 72-ton tender engines, four-cylinder "balanced compound" type, were completed under the contract with Messrs. A. and G. Price (Limited), of Thames. This completed their contract for ten Class An 72-ton tender engines. In the Government Railway workshops to date ninety-seven engines have been built and twenty four old locomotives have been rebuilt to modern designs. _ .;