CONFIDENT IAL

3RD DRAFT

Naval Aircraft Repair Organisation

29. Work is almost complete on the re-organisation of the Naval

Aircraft Repair Organisation (NARO), following the transfer to the

Royal Air Force of responsibility for the repair management of

Naval fixed-wing aircraft and the assumption by the Royal Navy

of responsibility for the repair management of helicopters for

all three Services. Preparations are also well advanced for the

overhaul and repair within the NARO of marine gas-turbine engines

for the Fleet. Methods are currently being studied for improving

the efficiency and competitiveness of the NARO, without reducing

its flexibility in responding to urgent operational requirements.

The Royal Naval Supply and Transport Service (RNSTS)

30.

Multi-purpose workshop complexes are being constructed at

Portsmouth and Devonport to assist the RNSTS in servicing the

sophisticated weapons now entering service. Each complex is wholly

self-contained and able to maintain a variety of weapons, with an

improved standard of protection for personnel and equipment should

a mishap occur during assembly and testing. These workshops

represent a significant advance on existing maintenance facilities.

ROYAL ORDNANCE FACTORIES

Introduction of a Trading Fund

no

31. From 1 July 1974 the operations of the Royal Ordnance

Factories (POPS) have been financed by means of a Trading Fund

instead of by annual votes and appropriations. In consequence,

Vote provision has been made for their operations in Defence

Estimates. The disciplines and responsibilities of the new funding

arrangements, coupled with the greater autonomy which the Trading

VI-10

CONFIDENTIAL

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