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PERSONNEL The continual increase in the size and importance of the operating side of the undertaking;, together with the large programme ahead, has made it necessary to reorganize and extend the staff of the Department, The Electricity Act, 1945, named and appointed the previous Chief Electrical Engineer of the Public. Works Department, Mr. P. T. M. Kissel, B.Sc(Eng.), A.M.1.C.E., M.1.E.E., as General Manager. As Mr. Kissel is fully qualified in the three branches of engineering—mechanical, civil, and electrical —and, in addition, as Chief Electrical Engineer of the Public Works Department for the past twenty-two years has been in control of all activities of the Hydro-electric Branch of that Department, the Government is fortunate in having him in initiating its new programme. Under Mr. Kissel's general direction, Mr. A. E. Davenport, 8.E., A.M.1.E.E., previously Assistant Chief Electrical Engineer, has been appointed Chief Electrical Engineer, and will have charge of all operation and the design and construction of electrical sections. Similarly, Mr. C. W. 0. Turner, B.Sc.(Lon.), M.E. (Illinois), M.1.C.E., previously Chief Inspector in the Ministry of Works, will have charge of civil engineering works, and Mr. S. Roberts, A.R.A.N.Z., of accountancy, clerical staff, and administration sections. Considerable difficulty is being experienced in getting sufficiently educated and trained officers to build up the staff, particularly on the design and investigation side. Professional vacancies are therefore being advertised in Australia and the United Kingdom. FINANCIAL RESULTS I stated in my Public Works Statement, 1945, that the annual accounts of the Electric Supply Account would not be in sufficiently complete form to permit of their publication at the time, but that they would be published later and in separate form 8.-l [Pt. 4]. This is being done, and as this year's accounts have not been audited I am showing herewith a (brief summary of the results of the operations for the vear ended 31st March, 1946: North Island Scheme Capital outlay at end of year, £19,688,037 £ £ Revenue .. ... . . .. 1,927,143 Operating-costs . . . . .. 962,633 Gross profit .. . . . . ■ 964,510 The capital charges are— Interest .. .. . . .. 515,413 Depreciation . . . . v . . 260,731 Total .. .. .. •• 776,144 Leaving a balance of .. .. £188,366 Income-tax, social security, and national security taxes amount to £279,981, resulting in a net deficiency of £91,615, with the result that we are unable to meet any of the statutory requirement of £272,588 for loan-redemption purposes this year. Arrears of Loans Redemption Fund now amount to £376,531.

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