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Tauranga Westwards - Tauranga Section (35 m. to 41m. 5 eh. ; length, 6 miles 5 chains). —The formation is now done from 35 m. 26 eh. to 39 m. 55 eh., with the exception of four gaps totalling about 28 chains in length. Stone-pitching the embankment was done from 35 m. 65 eh. to 36 m. An overbridge at 38 m. 35 eh. was completed, and the bridge approaches and road to overbridge at 40 m. 22 eh. are in hand. The stationmastcr's house and four platelayers' cottages were erected at Tauranga station-yard. Tauranga Eastwards - Malapeehi Section (41 m. 5 eh. to 45 m. 0 eh. ; length, 3 miles 75 chains). —• The approach bank on the east side of the Tauranga Harbour Bridge was completed during the year. Progress on the Tauranga Bridge has not been very rapid, owing to the bad formations encountered, but the cylinder piers are now nearing completion, and a start will be made almost immediately with the erection of the steel girders. During the year 106 ft. of concrete cylinder was made, and 155 ft. sunk into position. Considerable difficulty and delay was experienced in sinking cylinders in pier P owing to tho presence of timber. In six of the piers the cylinders are now sealed and ready to receive the concrete core filling, and in one pier the cylinders are filled. The manufacture of the steel girders for this bridge is being done at the Department's Workshops at the Mount. One span has been completed and erected at the shops, and the majority of the steel for the other spans has been fabricated. Mount Branch (0 m. to 4m. 7 eh.; length, 4 miles 7 chains). —In the Mount station-yard extensive alterations and additions have been made to the sidings to accommodate extra traffic in connection with the workshops, and to provide for general increase of traffic on the line as it is extended. Workshops were enlarged during the year, and are now carrying out a large amount of steel-manufacturing for the Department's works all over the Dominion. In addition to the fabrication of tho Tauranga Bridge, steel girders are being made for bridges on three other railways. Repairs were made to all locomotives and to rolling-stock as required. Sixty new M hopper-wagons were built, as well as a large number of earth-wagons. During the year 146 double huts and 173 single huts for workmen were built. Te Puke Section (45 m. to 54 m. ; length, 9 miles). —The banks have been raised where subsidences have occurred, and the line generally maintained in good order for the running of traffic. At tho To Puke ballast-quarry about 10,000 cubic yards of rock were crushed and delivered on to the construction works, or sold for road-metal to the local bodies. In addition to the crushed metal, 16,000 cubic yards of inferior stone spalls were taken from the quarry, and used for protection work along the railway. Paengaroa Section (54 m. to 59 m. 67 eh. ; length, 5 miles 67 chains). —In addition to the ordinary maintenance of the railway, a 2 ft. arch culvert was put in at 56 m. 25 eh., and a private crossing made at 59 m. 67 eh. Pongakawa Section (59 m. 67 eh. to 64 m. ; length, 4 miles 13 chains). —An overbridge was erected at 61 m. 50 eh. Except for this, work was confined to tho usual maintenance of the railway. Otamarakau Section (64 m. to 71 in. 5 eh. ; length, 7 miles 5 chains). —A considerable amount of work has been done during the year on this section in raising and widening banks. At Otamarakau Bluff 11,000 cubic yards of spoil were excavated by hand-work, and 16,000 cubic yards by steamshovel, and utilized for the making-up of the banks, 12,000 cubic yards being used on this section and 15,000 cubic yards on the Matata Section. The work was considerably hampered by the necessity for keeping traffic open during the running of the spoil on to the line. Another steam-shovel was employed excavating from a borrow-pit for the making-up of the Otamarakau station-bank. The spoil excavated by tho shovel was transported by a caterpillar tractor and bottom-dump wagons. In four months' time 23,000 cubic yards were excavated and transported an average distance of 24 chains, at a cost of less than Is. per cubic yard. A 3 ft. Armco culvert was put in at 64 m. 56 eh. A number of concrete posts were made at Otamarakau, as well as a few concrete piles. Matata Section (71 m. 5 eh. to 79 m. 16 eh. ; length, 8 miles 11 chains). —A quantity of 15,000 cubic yards was obtained from Otamarakau Bluff to raise and widen the banks on this section. An 8 ft. arched concrete culvert is now in hand at 77 m. 40 eh. Reinforced-concrcte bridges are being erected at 75 m. 54 eh. and 76 m. 16 eh. Rangataiki Section (79 m. 16 eh. to 87 m. 71 eh. ; length, 8 miles 55 chains). —Cuttings from 79 m. 55 eh. to 80 m. 5 eh. have been widened; 85 chains of side drains were cut. A steam-shovel has been constantly employed at Awakaponga excavating material for the construction of the banks between 83 m. and 88 m. During the year 78,500 cubic yards were taken out, at a very low cost, considering the distance the material had to be transferred. One concrete culvert was completed and two others are in hand. A rcinforced-concrete bridge was completed at 79 m. 24 eh. One and a half miles of fencing was done, and additional sidings were put in at Awakaponga Station. Awakeri Section (87 m. 71 eh. to 91 m. 40 eh. ; length, 3 miles 49 chains). —Very little work was done on this section except to keep it open for traffic. Two and a quarter miles of fencing was done, and a little widening of the banks. Taneatua Section (91 m. 40 eh. to 100 m. ; length, 8 miles 40 chains). —One and a quarter miles of formation was done, practically completing the earthwork to as far as 96 m. 67 eh. A steamshovel has been employed on portion of this distance. The cutting at 97 m. 10 eh., which is being taken out with another steam-shovel, is now well on towards completion. A third steam-shovel is now being installed at 97 m. 25 eh. for the purpose of excavating the large summit cutting. From here on to 98 m. earthworks are now well in hand. Forty chains of side drains have been cut; ten concrete culverts and two earthenware-pipe culverts were constructed. One mile of fencing was done, and permanent-way was laid for a distance < of 12 chains, making the railhead now at 93 m. 35 eh.