H.—s.

X. Naval Base. 17. The general appearance of the Naval Base, Devonport, is good and continues to improve, reflecting great credit on the Naval Officer in Charge, Commander Edward L. Berthon, D.S.C., Royal Navy. 18. The use of the Calliope Dock and workshops connected therewith by the Naval authorities forms the subject of a long-standing agreement with the Auckland Harbour Board, who are required to maintain the machinery and plant in substantial repair and efficient working-condition, and. when necessary, to renew such of the equipment as shall become worn out or obsolete or otherwise insufficient for the purpose of effectually repairing H.M. Ships. A certain number of the older machines in the Harbour Board workshops were replaced during the year by others of more modern design. XI. Naval Armament Depot. 19. Lieutenant (Retired) Herbert A. llavnes. Royal Navy, returned to the Dominion on completion of special courses of instruction in the United Kingdom, and is now employed in the dual capacity of Inspecting Officer of Naval Ordnance and Armament Supply Officer. Ho has performed the duties with ability, and the depot reflects much credit on the officer and his staff. The works approved to be carried out during 1932-33 had been practically completed at the close of the financial year. Other work to be undertaken includes the replacement of a defective shell-store (estimated cost, £310) and the construction of an additional magazine (estimated cost, £700). The former will !»■ constructed during 1933-34, and provision will be made for the latter as finance permits. XII. Visits of Foreign Warships. 20. The only foreign warships which visited New Zealand during the year were the Japanese Cadet Training Ships " Asama " and " Iwate." XIII. Drills, Exercises, and Training Afloat, and General Remarks. 21. The long absence of H.M.S. " Dunedin " from the Station (February, 1931, to August, 1932) had restricted the scope of exercises, &c, and her return was most welcome. The two main exercise periods in the Hauraki Gulf- regrettably short though they were—were sufficient to raise the fighting efficiency of the Division to a creditable standard. The results of both gunnery and torpedo practices compare Favourably with those of other commands. 22. The Permanent Air Force ai Hobsonville has rendered the same valuable assistance to the Division as in previous years, and their co-operation in combined exercises has I n faultless. 23. Unfortunately, combined operations with the Military Forces have not been possible during the year. The military authorities and rifle clubs at the various New Zealand ports have granted every facility for the use of their ranges, and great benefit has been derived therefrom. It would be beneficial if the Royal Marines of H.M. Ships'" Dunedin " and " Diomede " could In , afforded opportunities of working with higher formations, and it is hoped that arrangements may he made for the detachments to attend military camps from time to time. 24. The Harbour Boards and their staffs have assisted H.M. Ships in every way possible, anil I am very glad oi this opportunity of expressing not only my own appreciation of their assistance, but also that of my Commanding Officers. XIV. Policy. 25. As explained in my predecessors report for 1931-32, the Naval Defence estimates for 1932-33 were based on the minimum sum required to maintain existing services, and no provision was made for development in accordance with the requirements of Local naval defence and approved policv. The year 1932-33, therefore, has been one of consolidation, rather than progress. Consideration, however, has been given to a number of important matters, and the resulting proposals will be placed before you in due course. 26. The charting of the coast-line of New Zealand has been given preliminary consideration in conjunction with the Admiralty, and proposals for a resurvey will be placed before the Government on receipt of more detailed particulars as to estimated cost. I have, &c, F. Buboes Watson, Commodore Commanding N'ew Zealand Station.

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