Lance Hopping, 50, was the pilot of the balloon. He was due to marry long-time partner Nina Kelynack at Easter Weekend.

The Civil Aviation Authority (CAA) has reacted with "disappointment" over the revelation that the pilot in January's balloon tragedy in Carterton was flying with cannabis in his system when the crash occurred.

All 11 people on board were killed in the accident.



Toxicology tests performed on the body of Lance Hopping, 53, four days after the crash, returned positive for cannabis, with the discovery described as "concerning" by investigators.

CAA chief executive Graeme Harris said he was "disappointed" by evidence of cannabis use in the crash and the Fox Glacier crash of a parachuting plane in September 2010, in which nine people died.

1 of 28 TAIC A TAIC picture points to where the fuel supply later burst. 2 of 28 MAARTEN HOLL Parents of crash vitim Alexis Still, Allan and Vivienne Still with her two older siblings Ben, 22, and Emma-Jane, 24. 3 of 28 ROBERT KITCHIN Wairarapa Area Commander Brent Register talks to media during a briefing on investigations into the fatal balloon crash. 4 of 28 ROBERT KITCHIN TAIC communications manager Peter Northcote. 5 of 28 PHIL REID/The Dominion Post Police at the scene of the balloon crash which killed 11 people. 6 of 28 Twitter Alexis Still. 7 of 28 Supplied Lance Robert Hopping, 50, was to marry long-time partner Nina Jane Kelynack at Easter weekend. 8 of 28 ROBERT KITCHIN/Fairfax NZ Friends and family at the scene of Saturday's hot air balloon tragedy at Carterton. 9 of 28 RYAN BECKETT An onlooker took this photo only moments before the fatal crash near Carterton. 10 of 28 PHIL REID/The Dominion Post Two of the three tents covering the area where the balloon crashed. 11 of 28 PHIL REID/Fairfax NZ Flowers being placed on Somerset Road near the site of the fatal hot air balloon crash. 12 of 28 PHIL REID/Fairfax NZ A man talks to police officers at the scene of the fatal balloon crash in Carterton. 13 of 28 ROBERT KITCHIN/Fairfax NZ Deputy chief investigator for TAIC (Transport Accident Investigation Commission) Peter Williams, left, Police Area commander Inspector Brent Register, and Nathan Guy at Saturday's press conference regarding the fatal balloon accident near Carterton. 14 of 28 ROBERT KITCHIN/Fairfax NZ Carterton mayor Ron Mark at Saturday's press conference. 15 of 28 PHIL REID/Fairfax NZ People leave the scene of the hot air balloon crash, near Carterton. 16 of 28 Phil Reid Relatives at the scene of the fatal Carterton air balloon crash. 17 of 28 Phil Reid Nurses Jacqui O'Connor and Annette Tempest were among the first on the scene of the fatal hot air balloon disaster on Somerset Rd in Carterton, Wairarapa. 18 of 28 Phil Reid A woman places flowers at the scene of the fatal Carterton air balloon crash. 19 of 28 Phil Reid The scene of the fatal balloon accident in Somerset Rd, Carterton. 20 of 28 Phil Reid The site of the crash being photographed from a fire. 21 of 28 Phil Reid Police talk to media at the scene of a horrific balloon crash near Carterton. From left to right: Wellington District commander Superintendent Mike Rusbatch and Wairarapa area commander Inspector Brent Register. 22 of 28 The scene of the crash from the air. 23 of 28 Bevan Lambess, witness to the horror crash. 24 of 28 ROBERT KITCHIN/Fairfax NZ Friends and family members at the scene of the fatal hot air balloon crash on Somerset Rd in Carterton. 25 of 28 ROBERT KITCHIN/Fairfax NZ Emergency services at the scene of the fatal hot air balloon crash on Somerset Rd in Carterton. 26 of 28 ROBERT KITCHIN/Fairfax NZ Friends and family members at the scene of the fatal hot air balloon crash on Somerset Rd in Carterton. 27 of 28 ROBERT KITCHIN/Fairfax NZ Emergency services at the scene of the fatal hot air balloon crash on Somerset Rd in Carterton. 28 of 28 ROBERT KITCHIN/Fairfax NZ Friends and family members at the scene of the fatal hot air balloon crash on Somerset Rd in Carterton.

He said an education and safety promotional campaign was planned addressing the issue.



Since the balloon accident new rules covering the commercial ballooning sector had been introduced demanding higher standards from operators who wished to carry fare-paying passengers.



"To date two ballooning companies have achieved this new certification, and two other companies are working toward it."

The balloon crash investigation findings were part of an interim report issued by the Transport Accident Investigation Commission (TAIC) this morning, four months after the balloon struck powerlines, caught fire and crashed into a field on January 7.



Investigator in charge Ian McClelland was unable to say what amount of the drug had been detected.



The initial results needed to be analysed independently and considered along with the time before the autopsy, and Hopping's background.



"There are simply too many variables to give a figure... and further research needs to be undertaken to get a figure and put it in context."



Tests for alcohol had been inconclusive and further analysis was needed, McClelland said.

The report also included a detailed description of the events leading up to the balloon striking powerlines, and the horrific moments shortly after as the basket caught fire.



It describes how Hopping knew the balloon was heading for powerlines, yelling "duck down" to passengers before impact.



The balloon had been travelling parallel to the powerlines for up to seven minutes before the crash.



Passengers then tried to push away from the powerlines after the balloon snagged under a wire, with the balloon ascending at the time of impact.



"As the balloon was trying to rise, it also began to slide along the powerlines towards Somerset Road," the report notes.



"About 15 to 30 seconds after contacting the wires, an electrical arcing occurred.



"A fire erupted shortly afterwards low down on the basket.



"Two of the passengers jumped from the burning basket and shortly after that the power line lying across the top of the basket broke and the balloon then ascended rapidly."



The balloon reached about 150m in the air before the envelope collapsed and the balloon crashed into a field.



Just yesterday TAIC called for an alcohol and drug testing regime to be implemented for people performing activities critical to flight safety, after announcing that two tandem skydive masters had smoked cannabis before the crash of a Skydive New Zealand plane after takeoff from Fox Glacier.



While this morning's report contains a number of details about what happened on the day, it includes no analysis of those facts, nor any recommendations or key lessons to be learned from the crash.



Instead those findings would be reserved for TAIC's final report due in March next year.



The families of the victims were briefed on the report last month, and it is understood several people have had drafts of the report for weeks, including the balloon company owners, members of Hopping's ground crew, and his fiancee Nina Kelynack.



Further lines of enquiry included whether any malfunction contributed to the crash, balloon and pilot performance, the regulatory framework for balloonists, and a review of other wire strikes around the world.



In February, preliminary findings released by TAIC showed the balloon should not have been in the air on January 7.



The burners and LPG fuel system had not been correctly inspected, the balloon material had not been properly strength-tested, and a safety logbook was left incomplete.



These oversights meant the balloon may have been in breach of CAA standards, and therefore not "airworthy".



The commission then recommended that the CAA make urgent checks on the maintenance of all 74 balloons in the country - a move labelled labelled as unnecessary and "knee-jerk" by balloon operators.



Later the CAA confirmed that just one maintenance provider was being examined - known to be Hawke's Bay Aviation - and only 16 balloons were potentially not airworthy.



In March, hundreds of people gathered at a civic service in Carterton, including many family members of the victims.



A week later tearful relatives released white balloons in the shape of doves in an emotional dawn memorial service for the victims, which doubled as the start of the Balloons Over Wairarapa festival.



Those killed in the crash were pilot Lance Hopping, 53, of Masterton; Alexis Still, 19, and Johannes Jordann, 21, of Wellington; Lower Hutt couple Belinda Harter, 49, and Stephen Hopkirk, 50; Denise Dellabarca, 58, of Kapiti, and her cousin Valerie Bennett, 70, of Masterton; Masterton couple Ann Dean, 65, and Desmond Dean, 70; and Wellington couple Diana Cox, 63, and Howard Cox, 71.

LANCE HOPPING: The pilot had traces of cannabis in his bloodstream.

KEY FINDINGS OF THE INTERIM REPORT:



- Pilot Lance Hopping had cannabis in his system at the time of the crash



- A witness reported noticing an "isolated gust of wind" before the crash



- The balloon had travelled to as low as 5 metres before ascending again prior to the crash



- The balloon travelled parallel to powerlines for as long as seven minutes before striking the lines



- After two passengers jumped from the basket, it rose to 150 metres before crashing



- The maintenance engineer who checked the balloon used a flight manual nine years out of date