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Random thoughts on NZ Power

Written By: - Date published: 7:10 am, April 24th, 2013 - 37 comments
Categories: Economy - Tags:

I’m not surprised that the finance crew are so upset about the gently social democratic policy that is NZ Power (the latest stupid claim is that it’ll mean higher mortgages). But what is surprising is the way in which they’ve made it very clear that they believe the economy should be geared toward the wealthy elite – it’s as if they think Kiwis are so stupid they’re not even bothering to disguised their class bias.

From a political communications point of view all they are doing is underlining the difference between National and Labour/Green – and not in a way that is likely to help National with swing voters.

Young Simon Bridges appears not to be allowed to speak on NZ Power anymore. Not surprising given his poor performance at the start. What is surprising is that Joyce is continuing to front despite doing such a cracker job of discrediting National’s response from the get-go – I wonder if he thinks it’ll help him when it comes to the leadership contest?

On the other hand, John Key gave a calm, measured critique of the policy on Breakfast on Monday. He should be fronting National’s response but will be too concerned about getting his hands dirty. As an aside, it’s interesting to see Key’s chief press sec Kevin Taylor get moved out of his job – his hostility has been pissing off journos for a while now.

And on something other than NZ Power – I’m sure the Nats will be holding their breath all the way through Maurice Williams’ talkshow interview – he’s got a reputation for opening his mouth and putting both feet right in.

37 comments on “Random thoughts on NZ Power”

  1. ghostwhowalksnz 1

    Its great to see Nationals ‘partial privatisation’ derailed so effectively.

    Did they really think they could have the next 18 months of nice warm messages about share price sales, lots of ( free for national) advertising.

    The last thing they want to talk about is power prices and their agenda of total sell off.

    If Key has toned it back , its only because the the phones at Curia having been running hot to test their counter messages.

    • ghostwhowalksnz 1.1

      As an aside about Williamson going on Ellen. Could he be about to come out?

      After all, when he was described by some reports as ‘openly gay’ , his response was only that ‘it will be a surprise to his wife of 25 years’- well its the wives who are the last to know !

  2. AmaKiwi 2

    Good morning, TS junkies.

    I went from disgust to delight with Key’s comment yesterday:

    “Mighty River Power expects it would take at least four years for the Labour and Green party electricity policies to be enacted and Prime Minister John Key said this morning he didn’t think it would ever happen.”

    With only a three year term in office, any fool knows a Labour/Green government will put through the changes ASAP so consumers get immediate rewards and re-elect Labour/Greens. I estimate one year at most.

    When Key’s lies become transparently obvious to even the semi-literate, he is desperate.

    I see today the Herald is trumpeting a different tune, explaining in plain language how we are being ripped off by the power companies.

    http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10879443

    In a related article they have a share salesman predicting: “We expect Mighty River to generate return on invested capital of 12.5 per cent on average over the next five years …” but the Herald fails to ask the critical question: “Why would anyone be stupid enough to sell a secure investment earning 12.5 per cent?”

    http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10879410

  3. Colonial Viper 3

    Some of the messaging out of the NATS which doesn’t quite make sense to us will be geared towards internal National power factions

    • King Kong 3.1

      It is good to see that you now realise just how badly you sodomised your own party with the indiscreet bile you spat over the leadership battle debacle, however, I don’t see much success in your attempts to foist the perception of “trouble at mill” onto the Nats.

      • Colonial Viper 3.1.1

        It is good to see that you now realise just how badly you sodomised your own party with the indiscreet bile you spat over the leadership battle debacle

        LOL mate I disagree, I realise no such thing 😀

      • Mary 3.1.2

        I can see Judith Collins, Steven Joyce and John Key in a three-way high-five over Key’s great work duping everyone with his story behind the Ian Fletcher appointment.

      • North 3.1.3

        Hey CV……..KK at 3.1 above.

        One can always depend on RWNJs to start spitting out allusions to impliedly indecent and brutal sexual behaviour when the going gets tough. Check out Slater Porn. The tendency is wickedly manifested there !

        Ha ! As says the old fulla on “Dad’s Army” – “Oooooh, they do not like it up ’em…..!

    • Jim Nald 3.2

      You are on the money there.

  4. vto 4

    National are all at sea because they are adrift in a pool of cess. This and other issues have highlighted how they are bereft of thinking. No new policy initiatives, no critique or debate about the effectiveness of their ‘neolib’ and other approaches to near anything. No discussion of privatisation and its value. No discussion of the place of the free market. No discussion. No discussion or debate about anything. No thinking. They make no sense because they have nothing to say. They are stagnant. They have become stagnant and this issue has shone a torch on the flies and scum that are drifting around on top of the long-still pool that is the National Party. Whatever you do, don’t sniff.

    This means that they are going backwards, soon to become apparent. They will then need to reinvigorate and adjust their place, start to think and articulate properly before they can even begin to move ahead again.

    I sense a listing to starboard.

  5. Paul 5

    First NZ Capital, a broking firm, who set to benefit from the sale of our assets are all over the media like a rash today.
    First they were on Morning Report, where the interviewer, to his shame, never mentioned this conflict of interest, as they explained the dire consequences of the the NZ Power proposal. I would have expected Morning Report to have questioned the broking analyst’s stance.
    Now, the next piece of spin, after the scaremongering of North Korea…higher interest rates…..Zimbabwe…..the crash of the stock market…etc etc, we have this news from them (to be found on that fair and balanced source of news, the NZ Herald.) that a “10 per cent reduction in power prices could be achieved through the current electricity market.” This begs the question….why hasn’t this happened already?
    They also claim that “Despite the alleged “excessive price increase in the 13 years since 2000 we are not convinced the system is broken. If it isn’t, then it doesn’t need fixing,.” Note the word alleged. They don’t believe price rises have been excessive.
    So the brokers don’t like the proposal.What a surprise.
    And what a surprise that the owned media fails in any way to challenge the viewpoint. Wonder how many shares the owners and managers of the Herald were planning to buy.

    • ghostrider888 5.1

      from the “box”,
      -3 are attempting to crucify Shearer and Labour also over NZPower
      -NZ Shareholderes Assoc. “our credit ratings will go down”; really? oooh, is that right said the Wide-Mouthed Frogs, what shall we spawn next then?
      -Martin Hawes on MRP float; “too great a risk for novice investors”.”repay debt before investment” .”people loading up credit cards to buy shares” (what drugs are these people on?)

  6. grumpy 6

    This whole thing shows how artificial the electricity market in NZ has become. If it was a normal, natural market, the current furore caused by Labour/Greens announcement of policy would have no effect.
    The panic when someone proposes bringing fairness into the market is odd. Normally us righties look to the market to bring fairness.
    Labour and Greens are not home free on this however. Their intention to crank up carbon taxes would wipe out any savings accruing to ordinary households.
    Just one shonky capitalist system being replaced by a leftist one.

    • Dv 6.1

      HEP , geothermal wont pay much in the way of carbon taxex.

    • Colonial Viper 6.2

      We don’t need a market for electricity. Didn’t need it for 100 years, don’t need it now.

      • grumpy 6.2.1

        For a country the size of a European city to have such a plethora of generators, networks and retailers is really stoopid…..

        • ghostrider888 6.2.1.1

          but wait, how can more tickets be clipped and profits made without all those options?

        • Colonial Viper 6.2.1.2

          Yep exactly.

        • ghostwhowalksnz 6.2.1.3

          Japan has only 10 generator companies , they operate in defined areas. 3 of those are for each of the main islands outside Honshu

          • grumpy 6.2.1.3.1

            Wow! ……..but how could we create an artificial market to rip off and pay ourselves HUGE salaries if that were the case – must change it.

            Remember the head lobbyist for powercos in the Bradford era, Roger Sutton dropped hundreds of thousands of bucks to go from his cushy job as CEO of Orion, a monopoly network operator to CERA.

            • One Anonymous Knucklehead 6.2.1.3.1.1

              Big savings in my back pocket plus reduced profits for scum leeches = well earned huge salary.

  7. ghostrider888 7

    “it’s only electricity that is being regulated”-Ganesh Nana. (not stoopid peoples brain-washing by the tele, sadly).

  8. The OIA reply from Tony Ryall – where he repeats “.. if the Government doesn’t get a good price – the Government isn’t going to sell”.

    https://www.dropbox.com/s/ung4048v4cgtul7/Slevel6.3-c13031716040.pdf

    How is the Government now going to get ‘a good price’ for Mighty River Power?

    http://www.stuff.co.nz/national/politics/8588407/Uncertainty-swirls-round-MRP-float-shares

    “The Government had previously said it expected to issue Mighty River shares to investors for $2.35 to $2.80 a share, but experts expect the shares may be sold for about $2.20 each. This would knock up to $400m from the proceeds of the sale.”

    In whose interests is this National/ACT Government working?

    Investors or taxpayers?

    (Remembering that arguably – the majority of taxpayers are not investors?

    And – arguably a number of investors are not taxpayers ? :)

    Surely, if this National/ACT Government was working in the interests of the majority of taxpayers (and citizens) – they would be CALLING OFF THE SALE OF MIGHTY RIVER POWER?

    So – why aren’t they?

    Penny Bright
    ‘Anti-corruption / anti-privatisation’ campaigner

    2013 Auckland Mayoral candidate

    http://www.dodgyjohnhasgone.com

  9. Gosh – anyone would think the old (nationalised) NZ Department of Electricity and local Power Boards were some sort of BIG scary monster?

    ………………….. yawn……………………

    Back in those ‘bad old ‘inefficient’ days – when you could afford to have a heater on in winter?

    Unlike now.

    (‘Inefficient’ is just ‘corporate-speak’ for ‘we haven’t yet got our filthy hands on it’ :)

    Shows what garbage the competitive ‘market’ model is for a natural monopoly, such as the supply of electricity?

    All the ‘competitive’ market model for electricity has done is duplicate resources and put up the price of power for residential customers.

    FACT.

    Penny Bright
    ‘Anti-corruption / anti-privatisation’ campaigner

    2013 Auckland Mayoral candidate

    http://www.dodgyjohnhasgone.com

  10. kiwicommie 10

    Well of course neo-liberal lynch mobs are going to be upset, lower prices are ‘criminal, what next higher standards of living, more jobs, economic growth, low unemployment? Terrifying isn’t it? /End sarcasm. 😉

  11. One Anonymous Knucklehead 11

    Less than 10% of potential MRP buyers believe Key and Joyce’s shonky bullshit.

    Perhaps they understand the necessity of saying one thing while doing another.

  12. McFlock 12

    Lol

    The ODT reports that the current market system can drop the real price of power by 10% over the next four years, so no change is needed.

    Of course, that means that the current model means they’re overcharging by 10% right now, but that is no reason to change anything…

    • Peter 12.1

      What the ODT should also report is the Nats spin machine going into fine pitch, and Labour’s spin machine sitting there, with someone desperately pulling the start cord and nothing happening?

  13. dave 13

    i think tide is coming in on key i still think the bugger is going to shoot through , we have the referendom as well whitch is effectively now a mini general election whitich key will take a bath and so will all those shareholders

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