He says that (1) / he reads novels/ (2) to pass away the time. (3) / No error. (4)

Answer

3

Explanation

pass the time will replace pass away the time because -
pass the time (Idom): to spend time doing some thing
Look at the examples given below:
I read to pass the time while waiting in the doctor.s clinic.
While she was at home with a broken leg, she passed the time listening to music.