web analytics

Efficient market hypothesis

Written By: - Date published: 7:15 am, June 20th, 2012 - 87 comments
Categories: bill english, energy, privatisation - Tags:

Bill English has attacked the MED numbers showing that private electricity companies are 12% more expensive than public ones saying that argument assumes “that hundreds of thousands of New Zealanders are systematically paying more for electricity than they could?”. Um… Has English heard of Powerswitch? That multi-million dollar government campaign is based on exactly that premise.

87 comments on “Efficient market hypothesis ”

  1. Gosman 1

    Some really good comments on this blog post from Kiwiblog from a commentator who works in the industry

    http://www.kiwiblog.co.nz/2012/06/debunking_the_lies_about_power_prices.html#comments

    • Zetetic 1.1

      Try looking at the actual data. I know that’s not consistent with the right’s faith based policy but give it a go

      • Gosman 1.1.1

        Do you disagree with the comments made by East Wellington Superhero? IF so what is wrong with his points?

        • ad 1.1.1.1

          Don’t always agree with you but great great link there Gosman.

          Very interesting commentator there. Makes me shed a few reasons against asset sales. But hold on to the main ones.

        • ad 1.1.1.2

          People, it’s worth looking at the unpcoming Commerce Commission hearing on airport landing charges as well.

          This Long Term Equilibrium theory has been trotted out in every submission. I honestly wonder if it only applies to utilities with massive Asset Management Plans who have really long investment plan and benefit horizons, and a really stable set of customers ie they are close to monopolies.

        • Deano 1.1.1.3

          Do you disagree with the data that shows that in most of the country, the most expensive retailers are private?

        • ghostwhowalksnz 1.1.1.4

          Superhero is obviously a staffer in Englishs office – “you wont be able to stop listening to his speech”
          A bit grandiose dont you think ? This is that Bill English hes talking about

          Anyway a lot of churn in switching retailers comes from people moving house. Plus the constant door to door sellers over the summer. That cant be cheap with commissions for each switch, doesnt mean they get cheaper prices just a deal to appear its happening

          • Gosman 1.1.1.4.1

            Oh it is quite obvious, just as it is quite obvious you are a cretin.

            • bbfloyd 1.1.1.4.1.1

              this coming from the moron who can’t grasp the concept of competition being viable only after the number of consumers has reached critical mass…. which nz hasn’t by a long chalk……. pretty much like every tory “intellectual” I have encountered in my life…..

              btw… don’t appreciate being directed to that pile of filth that seems is your natural home little durex gossomer……thank god i havn’t got smellavision on my computer…. would take days to get rid of the fecal stench…..

              • Draco T Bastard

                this coming from the moron who can’t grasp the concept of competition being viable only after the number of consumers has reached critical mass…

                Competition only works if it’s perfect:
                Everyone has perfect information (Omniscience)
                Everyone is capable of changing to any other job at a moments notice (Omnipotent?)
                There happens to be an infinite amount of resources to cater to the infinite amount of competition
                Pricing properly contains all costs

                If anyone of those things is not true then the competitive market becomes irrational.

                • NickS

                  Ah no, competition works in pretty much everything, even if there’s imperfect information, it’s just a case that the cost benefit ratio dives into the toilet in certain circumstances. Such as utilities, where the stable point of the market is local/regional monopolies which lead to rent-seeking activities.

                  And frankly, all decisions are irrational due to the impossibility of perfect knowledge /epistemology101

                  😛 😛 😛

                  What matters is in the decision rational in the context of the knowledge that’s relevant, available, true and not ignored.

                  *ahem*

                  But yeah, pricing needs much better transparency, and the electricity market in NZ really needs to go back to being a SOE with different regional branches instead of wasting money and resources competing against each other via marketing.

                  (Been absent due to helping out with support under the name The_Mess)

                  • Draco T Bastard

                    Ah no, competition works in pretty much everything, even if there’s imperfect information…

                    If that were true then we wouldn’t have had a couple of centuries of recessions intermingled with a few depressions. The only prolonged prosperous period was after WWII with heavy regulation and limited competition (the whole lot still fell down though due to capitalisms need for growth and the limits used prevented that growth).

                    And frankly, all decisions are irrational due to the impossibility of perfect knowledge /epistemology101

                    True (in fact, that was my point) but we can make them less irrational if we regulate to ensure that everyone is working with the best knowledge available whether they themselves know it or not (we should also be making the knowledge available of course so that people can know it).

              • Gosman

                So any evidence supporting the view that there has to be a critical mass in a market and NZ is nowhere near it?

          • Vicky32 1.1.1.4.2

            That cant be cheap with commissions for each switch, doesnt mean they get cheaper prices just a deal to appear its happening

            That reminds me of the angry people on Fair Go, who’ve been sold a pup and persuaded to switch…
             

      • Glg 1.1.2

        Ha ha “faith based policy” that sums it up completely

    • DH 1.2

      The usual resource for power prices is the nz quarterly survey of domestic electricity prices which can be viewed here;

      http://www.med.govt.nz/sectors-industries/energy/electricity/prices/electricity-tariff-surveys/quarterly-survey

      Strange how Treasury use the consumer website when a govt department has the full stats available. Maybe that’s because the survey shows the private providers consistently charging more.

    • Huginn 1.3

      Hi Gosman, sorry about my late response to your request for response to this.

      I read East Wellington Superhero’s comments – at your suggestion – and I think that he, or she is disingenuous.

      Electricity markets are highly complex – the most highly complex in the energy sector.

      This is the domain of uber-geeks and quants. Fortunately, I can spare you my own attempts to describe some of the issues by directing you to this powerpoint presentation from AU’s School of Engineering’s Electricity Power Optimization Center:

      http://www.epoc.org.nz/presentations/energyshowcase.ppt
      http://www.epoc.org.nz/

      One of the problems is that the way that the market doesn’t work very well. It’s not ‘well behaved’ and that’s why it’s just not good enough for an’ industry insider’ to say that electricity prices are determined by competition between providers in the retail sector in a deeply imperfect market like the electricity sector.

      Also, and this is just an aside, East Wellington Superhero is wrong when he says:
      ‘I note the NZ Herald says that electricity prices in the USA are even lower. How many government-owned power companies does the USA have? Not many I’d venture.’

      For example, almost all the electricity and gas utilities in California are community or municipality owned. The Los Angeles Department of Water and Power (LADWP), the largest municipal utility in the United States, used to be privately owned but was taken over by the State towards the end of the 20th Century because it wasn’t serving the interests of the people of that state.

  2. Afewknowthetruth 2

    In western societies the purpose of government is to facilitate the transfer wealth from ‘the people’ into the hands of a few individuals, to ensure that the money-lender scam is maintained, and to oversee the looting and polluting of the environment -whichever party is in power.

    The present government is doing spectacularly well on all counts.

    • Gosman 2.1

      Really???

      So in the sum of Western Society over the past 200 odd years, (since the development of the modern free market Capitalist system), the percentage of wealth in the hands of the few has increased by how much?

      • Colonial Viper 2.1.1

        Are you advocating a return to the high wages and high employment of the 1960’s and 1970’s?

        • Gosman 2.1.1.1

          I’m not advocating anything CV. I am merely pointing out that Afewknowthetruth’s view about the purpose of government in western societies is completely and utterly bogus.

      • freedom 2.1.2

        Global info is difficult to pin down especially over a 200 year period, but here is a rational breakdown of the US over the last century, a Country that we cannot say we are all that different from in terms of wealth distribution.

        “According to the Drum Major Institute’s 2006 Injustice Index, the ratio of the average U.S. CEO annual pay to minimum wage worker’s is 821:1 whereas twenty years ago the ratio was 40:1. The richest 0.1% are vanishing off the chart because it would take a bar graph that stretched out of the building to represent them on a societal wealth distribution chart.”

        http://www.peakprosperity.com/forum/wealth-gap-and-collapse-us/24520

      • bbfloyd 2.1.3

        what a complete ignoramus you are little durex……not a shred of historical knowledge, and you presume to lecture those do possess sense, and knowledge…..

        I’ll take pity on you….. capatalism was the driving force behind the empire building expansion that exploded out of europe when?

        let’s see… columbus discovering america was when? cortez arriving in south america was when? the feudal system was replaced over a period of a century when?

        are you trying to tell us that slavery, was still operating in britain at the beginning of the 19th century? And that the peasant population were still serfs at that time….

        i suppose the industrial revolution that started centuries before that was founded on slave labour? And that the peasants transplanted off the land to work in the factories were press ganged by their owners, and they weren’t paid a penny?

        fuck you’re an ignorant fool…..

  3. captain hook 3

    it has increased by just that amount necessary for tory idiots to think that they know everything.

  4. captain hook 4

    to the arrogant overweening narcissistic desire of the right to own and control everything.
    wise up dude.

    • Gosman 4.1

      Is this directed to any particular post?

      • Jackal 4.1.1

        Don’t you mean comment? captain hook was obviously not responding to the post by James Henderson.

        The problem with the entire powerswitch regime is that the companies that are associated with National ministers drop their prices, the government pays for a bunch of advertising to get people to switch suppliers, and then they just increase prices again. In other words it’s a con to gain more market share for the power companies that the Nats have shares in.

        • Gosman 4.1.1.1

          Do you have any evidence for this highly uncompetitive behaviour?

          I don’t know what Captain Hook is replying to. It could very well be the topic post.

          • bbfloyd 4.1.1.1.1

            Ask a few actual people about their experiences regarding this practice little durex….. I can answer for myself that that has happened to me every time i’ve changed providers to try to get ballooning costs down.. the average period it has taken to become as, or more expensive has been three months……regardless of which company i used….

            but then.. operating in the real world isn’t a tory nitwits favored option…

  5. marsman 5

    Does Bill English have an answer as to why privatisation of electricity resulted in a 75% increase in power bills for domestic consumers? English probably hasn’t noticed as one imagines the old trougher makes the tax-payer foot his bill.

    • Gosman 5.1

      When was the electricity industry privatised? As far as I am aware it is largely in the hands of the State.

  6. Colonial Viper 6

    I’d laugh out loud if it turns out that English is one of those consumers paying more for their electricity at home than he needs to be.

    • Lanthanide 6.1

      For people on his kind of income, a few hundy here and there don’t make much difference.

  7. felix 7

    Yell out when Gosman’s fucked off and the thread becomes worthwhile, will you?

    • Gosman 7.1

      Might as well find another thread felix as I’m in this for the long haul 😉

      • vto 7.1.1

        Why? Some vested interest?

        • Gosman 7.1.1.1

          Yeah vto, I’m being paid big bucks by the Private energy sector to post Pro-privatisation messages on a hard left political blog that most people in the country haven’t even heard of let alone read.

          • quartz 7.1.1.1.1

            No, You’re EW Superhero and you work for the nats.

          • vto 7.1.1.1.2

            Oh really. I thought it may have been one of the myriad other possibilities. Or that you simply believe in the divine goodness of all things right – defend to the end! So many people on all sides of the political equation are so vehement in their beliefs that it is like a religion – they are religious extremists in the exact same manner as all those people in foreign lands who get described as extremist. No difference. Shit still smells like shit.

            • Gosman 7.1.1.1.2.1

              No, unlike many people on here, (and you I suspect), I actually acknowledge that ALL policies come with both negatives and positives. Right wing policies are not the panacea for all things under the Sun. If you want to address certain ills you might have to take a more interventionist approach. However I much prefer the Free market to the Interventionist approach on most matters as I realise that Interventionist approach comes with some rather nasty hooks.

              • Pascal's bookie

                On that basis, what do you think of the MOM policy?

                Looks like a dog if you oppose state intervention in markets. Provides all of those nasty hooks, for less benefit.

                And I assume it was an oversight that you phrased your comment to imply that the free market approach doesn’t come with its own rather nasty hooks.

                • Gosman

                  Of course the free market system comes with nasty hooks. Politics is all about deciding which nasty hooks are acceptable.

                  I dislike the MOM because I see no purpose in the State having an active stake, (as a commercial player), in a competitive market and lot’s of potential opportunities for the State to be tempted to distort the market for political purposes.

                  • Pascal's bookie

                    I understand that you think total privatisation would be the best policy. But that is not actually on the table.

                    So the question for people who support total privatisation is “What’s the second best policy option?”

                    Do you think MOM is better than the status quo of state owned enterprises? What’s your reasoning on this?

                    You are making great play of your own self percieved virtue here. That you think things through more profoundly than many here with regard to policies and their alternatives.

                    So I’m asking if you’d like to grant us the benefit of your thinking.

                    Are MOMs better than SOEs? Why, or why not?

                    Not difficult, I should think.

                    .

                    • Gosman

                      I like the idea that introducing an aspect of market ownership into the SOE’s might makethem more responsive to a wider range of opinions than what the Government of the day wants or dictates. I also agree with the position expressed by the head of the Employers and Manmufactures Association ,(I think), who highlighted that listing the shares on the NZ Stock market would likely increase the attractiveness of investing there. We have a problem in NZ where people invest in unlargely unproductive assets like property rather than shares. This increases the cost of capital for NZ businesses. anything which alters this from a market perspective is good in my mind.

                    • Pascal's bookie

                      Hmmm. Not seeing any analysis of the hooks there. 🙁

                      What do you make of the fact that a bunch of large (by NZ standards) organisations will be listed on the NZX which have an implicit government guarantee?

                      Why do you think that having these former SOEs listed will attract new money to the NZX from property?

                      Do you think that institutional investors (like kiwisaver managers and the like) will adjust their weightings so that they are more invested in NZ energy stocks than previously, or do you think that over the mid to long term it will just be a reshuffling?

                      Why do you think that directors will suddenly start bringing new ideas to the companies given that most directors in NZ SOEs are also private sector players? Is this a faith based thing? Underpants gnome stuff? Or is there actual reasoning behind it? If so, could you share it please?

                      Why is it that if there is, presumably, a bunch of capital floating around in unproductive holding pens, that we need the state to float SOEs to soak it up? Is not the NZX intended as a vehicle for getting that capital to areas that the private sector thinks it would be productive? Why, I am forced to ask, does the private sector not step up with areas for investment?

                    • Pascal's bookie

                      All in all, looks more like desperate justification that the reasoned balancing of pros and cons you promised.

                      It would be sad if it wasn’t so funny.

                    • Pascal's bookie

                      *Ahem*

                    • McFlock

                      PB, he’s trying to think of some “hooks”.
                         
                      Trouble is, if your religion states that privatisation has no faults, there are no hooks to find.

                  • Huginn

                    I agree with you that the state should not hold an active stake in a competitive market.
                    Unfortunately, the electricity markets are not competitive and pretending that they are. the way that Max Bradford did, will not make them competitive – ever.

                    Here’s a hint – look at the tools used to model the electricity markets – stochastic modelling is used to look at states of uncertainty i.e. not fully informed and therefore NOT COMPETITIVE.

                    One possible consequence of making utilities operate in the naively ‘competitive’ markets is that they will build in margins to buffer against uncertainty, which feeds through to higher power bills. Another is that they will find ways to game the market to make gains on the spikes.

  8. captain hook 8

    well if you here for the long haul then rail is more efficient than road.

  9. prism 9

    Somebody on radio this morning talked about the number of times Kiwis change power supplier each year and it was in the 100,000s. So the present system does encourage competition at first glance, with some companies offering a lower price and sometimes extra short term incentives. I don’t see more privatisation being advantageous to ordinary NZs but those who have been wealth accumulators or are being paid salaries with many 000’s will be satisfied.

    • Lanthanide 9.1

      “So the present system does encourage competition at first glance, with some companies offering a lower price and sometimes extra short term incentives. ”

      Or we could just get rid of all of this useless competition and reduce prices for everyone by 15-20% permanently. We wouldn’t have ads on TV about how NZers are full of “good energy”, newsboy talking about windmills or cute pukekos running amok through people’s houses. All of that is pointless overhead that doesn’t actually make electricity any cheaper for anyone.

      • Draco T Bastard 9.1.1

        +1

        One day people will wake up to the fact that competition increases costs and thus prices.

        • Lanthanide 9.1.1.1

          Depends on the market. Often, competition reduces costs (through innovation, striving for profit) and thus prices.

          For something like power in NZ however, I don’t believe competition achieves anything.

          • Draco T Bastard 9.1.1.1.1

            Depends on the market. Often, competition reduces costs (through innovation, striving for profit) and thus prices.

            Nope, competition always increases costs due to duplication, advertising etc etc. The only thing that competition can reduce is the dead weight loss of profit and there’s better ways to do that.

            Innovation is increased when people work together and share what they’ve learned.

            For something like power in NZ however, I don’t believe competition achieves anything.

            Infrastructure is the one thing that is an obvious natural monopoly.

  10. Tangled up in blue 10

    Can Molly Melhuish’s research be considered “independent” due to her strong association with DEUN which runs an anti- privatisation of electricity assets campaign?

    • prism 10.1

      Tangled
      Oh really. She has been working with the facts for years. Unlike your interest which is apparently inclined to feelings, prejudices, obfuscating statements, and the squeezing of profit by the iron grip of private interests.

    • Deano 10.2

      the link is to MED data analysed by the parliamentary library. nothing to do with this molly person.

      Do you dispute the data? If so, why?

  11. Slartibartfast 11

    Aren’t we on a bit of a diversion here?
    Sure we have some competition in the retail sector but……
    When we adopted the Californian system of splitting up the wholesale, transmission & retail aspects of the industry and using an auction process to determine wholesale prices (they had their problems if you check the history) then don’t you have THREE lots of management, administration costs and of course profits? My guess is that these would easily account for a 75% rise in the retail price.

    • Gosman 11.1

      So I suspect it the policy of opposition parties to re-centralise and regulate the electricity sector again. Which parties have this as one of their polices?

      • Lanthanide 11.1.1

        Yip, just like how National are joining the government departments back together after they split them up to create efficiencies in the first place…

    • bbfloyd 12.1

      about as useful as tits on a bull….. in line with most of your comments…. you aren’t little durex’s flatmate are you?

      • fender 12.1.1

        Not very likely, Grossmans flatmates all end up taking their own lives, sadly. Any exceptions to this have all volunteered themselves for medical experiments or electric shock therapy.

  12. freedom 13

    for gosman, who wanted some info on wealth gaps . .

    Efficient market hypothesis

  13. BLiP 14

    .

    DFTT !!!!!

  14. lcmortensen 15

    The Government fails statistics – Contact offers a 22% discount for electronic and prompt payment, Genesis offers 10%, so you are comparing apples with oranges to start with. The MED data does not include such discounts so therefore is more accurate, and from my quick browsing, there is only one region where a private company is the cheapest – Trustpower in Waitaki.

  15. Rich 16

    NZ generates electricity from a few dozen power stations. Their costs are pretty fixed – a worker isn’t going to come up with a bright idea to make Huntly burn less coal, or the Waikato stations let less water through for the same power output.

    So a fair price for electricity reflects fuel costs and capital servicing (which is always cheapest if the government is doing the borrowing. We should have a single fair price for power and a plan that runs the generators to minimise carbon emissions.

    Instead we have a pseudo-market that exists just to keep white collar workers (like Powershop) employed and to facilitate price gouging. privatisation just adds to that.

  16. captain hook 17

    Rich, so are you saying that the market is deliberatley made inefficient to facilitate the profits to private individuals?

    • fatty 17.1

      “are you saying that the market is deliberatley made inefficient to facilitate the profits to private individuals”

      Its called capitalism, profits are the number one concern. All other issues, whether they are ethical or moral, are subjugated to ensure the prime objective is achieved. Efficiency generally results in more profit (outsourcing/flexibility/casualisation etc)…but in some cases inefficiency can create more profits. Limiting the supply will increase the price.
      Same goes for electronic goods, their technology is often held back or even taken out of some products to ensure more money will be paid for ‘high quality’ goods.
      More often than not, the invisible hand is down our pants and molesting us without us even being aware of it. There is no happy ending.

    • Draco T Bastard 17.2

      Not deliberately made inefficient – the market just so happens to be inefficient. All it’s good for is transferring wealth to the already wealthy.

    • Rich 17.3

      It’s intrinsically inefficient. Electricity is a monopoly product with fixed input costs, like I said.

      Having a pseudo-market (which is what we have) is an inefficent way to price electricity, but it’s attractive to free market zealots and it transfers money from the ordinary consumer to (mostly) electricity industry managers and (after privatisation) foreign financial institutions. Many of those beneficiaries are in the 1% for whom this country is run, and the others are amongst the ‘useful idiots’ who can be relied on to support the interests of the 1%.

  17. Matthew 18

    English claims that a lot of people have changed to a cheaper power company. This is true. However when the generators are all in private hands, there will be no such option.

    • tc 18.1

      Smoke and mirrors.

      The retailers are just clipping the ticket from power exiting the grid (transpower) through the lines companies (vector etc) after the generators create that power.

      Who owns the retailers, why the generators do, who can take a loss on the retail as they make it on the generation but with some generous cross charging can make it look ‘viable’.

      Hardly competitive or transparent.

  18. MrSmith 19

    Well Hats off to Winston, unlike Labour and the Greens he has put his money were his mouth is and said:
     
    “New Zealand First is committed to buying back the shares at no greater price than paid by the first purchaser”, 

    And until the other parties start doing the same they should be seen for what they are, just pigs with there noses in the public troth,  I suggest we start telling them Winston will be getting our vote unless they start taking the same line. 

  19. Draco T Bastard 20

    NZ Asset Sales Policy Began On Wall Street

    So what’s really behind asset sales?
    All wealth extraction is facilitated by international and national economic policies, coupled with the private banking system, which together deliver benefits to the financial elite by transferring wealth upward within and between nations.

    The state asset sales policy is just one of several reforms under the Washington Consensus, a set of monetary and economic policies designed to allow: the privatization of public resources and utilities, the removal of barriers to foreign investment and ownership, the sale of state assets, trade liberalization, deregulation, the lowering of business taxes, and cuts to public services.

    That really is all the reasoning behind the asset sales – more wealth to the few.

Recent Comments

Recent Posts

  • Expert group appointed to lead New Zealand’s future health system
    An outstanding group of people with extensive and wide-ranging governance and health experience have been appointed to lead the Māori Health Authority and Health New Zealand, Health Minister Andrew Little says. “This Government is building a truly national health system to provide consistent, high-quality health services right across the country. This ...
    BeehiveBy beehive.govt.nz
    3 hours ago
  • Funding to help clean up contaminated sites
    The Government is supporting the clean-up of contaminated sites in Northland, Dunedin and Southland to reduce risk to people’s health and protect the environment. Environment Minister David Parker said the funding announced today, through the Contaminated Sites Remediation Fund, will help us turn previously hazardous sites into safe, usable public ...
    BeehiveBy beehive.govt.nz
    6 hours ago
  • Predator Free apprenticeships open up new job opportunities
    The expansion of a predator free apprenticeship programme is an opportunity for more people to kick-start a conservation career, Conservation Minister Kiri Allan says. “The Predator Free Apprenticeship Programme is focused on increasing the number of skilled predator control operators in New Zealand through a two-year training programme. “The Trust ...
    BeehiveBy beehive.govt.nz
    19 hours ago
  • Further NCEA support confirmed for Auckland students
    The number of Learning Recognition Credits for senior secondary school students will be increased for Auckland students, Education Minister Chris Hipkins confirmed today. This recognises the extended time these students will spend in Alert Levels 3 and 4. “It means students in Auckland will have a fair opportunity to attain ...
    BeehiveBy beehive.govt.nz
    22 hours ago
  • Long-term pathway next step to better mental wellbeing for New Zealanders
    The Government is taking a new approach to support people who experience mental distress, Health Minister Andrew Little says. “Kia Manawanui Aotearoa – Long-term pathway to mental wellbeing (Kia Manawanui) is the first 10-year plan of its kind that targets the cause of mental distress and also sets out how ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Keeping our Police safe to keep our communities safe
    The Government is committed to keeping our frontline police officers safe, so they in turn can keep New Zealanders safe – with one of the largest investments in frontline safety announced by Police Minister Poto Williams at the Police College today.   The $45 million investment includes $15.496 million in ...
    BeehiveBy beehive.govt.nz
    1 day ago
  • Clean Vehicles Bill passes first checkpoint
    The Land Transport (Clean Vehicles) Amendment Bill will help New Zealand drive down transport emissions by cleaning up the light vehicle fleet, Transport Minister Michael Wood says. The Bill passed its first reading today and will establish the legislative framework for key parts of the Government’s Clean Car Package, including ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Funding boost supports ongoing Māori COVID-19 response
    The Government is responding to the need by whānau Māori and Māori Health providers to support their ongoing work responding to COVID-19 and to continue increasing rates of Māori vaccination, Associate Minister for Health (Māori Health), Peeni Henare and Minister for Māori Development Willie Jackson announced today.   This increased ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Significant increase to COVID-19 penalties
    Penalties for breaches of COVID-19 orders are set to significantly increase from early November 2021 to better reflect the seriousness of any behaviour that threatens New Zealand’s response to the virus, COVID-19 Response Minister Chris Hipkins said today. “Throughout this Delta outbreak we’ve seen the overwhelming majority of people doing ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Counter-Terrorism Legislation Bill returns to Parliament
    The Counter-Terrorism Legislation Bill has returned to Parliament for its second reading in an important step towards giving enforcement agencies greater power to protect New Zealanders from terrorist activity. “The Bill addresses longstanding gaps in our counter terrorism legislation that seek to protect New Zealanders and make us safer,” Justice ...
    BeehiveBy beehive.govt.nz
    2 days ago
  • Joint Statement: New Zealand and Australian Trade Ministers
    Hon Damien O'Connor MP, New Zealand Minister for Trade and Export Growth, and Hon Dan Tehan MP, Australian Minister for Trade, Tourism and Investment, met virtually on Monday 20 September to advance trans-Tasman cooperation under the Australia-New Zealand Closer Economic Relations Trade Agreement (CER). CER is one of the most ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Prime Minister’s Post Cabinet Press Conference/COVID-19 Update opening statement
    ***Please check against delivery***   E te tī, e te tā, nau mai rā [To all, I bid you welcome]   As you will have seen earlier, today there are 22 new community cases to report; three of which are in Whakatiwai in the Hauraki area, and the remainder in ...
    BeehiveBy beehive.govt.nz
    3 days ago
  • Major milestones for Māori COVID-19 vaccine rollout as new campaign launches
    Whānau Ora and Associate Health (Māori Health) Minister Peeni Henare acknowledges two major milestones in the rollout of the COVID-19 vaccination programme for Māori. “I am very pleased to announce more than 50 percent of eligible Māori have received their first dose and 25 per cent are now fully vaccinated,” ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Government funding to fight infectious diseases
    $36 million for research into Covid-19 and other infectious diseases The investment will improve our readiness for future pandemics Research will focus on prevention, control, and management of infectious diseases The Government’s investing in a new Infectious Diseases Research Platform to boost Aotearoa New Zealand’s Covid-19 response and preparedness for ...
    BeehiveBy beehive.govt.nz
    4 days ago
  • Quarantine-free travel with Australia to remain suspended for a further 8 weeks
    Suspension to be reviewed again mid to late November Decision brought forward to enable access from Australia to first tranche of around 3000 rooms in MIQ Air New Zealand working at pace to put on more flights from Australia from October    The suspension of quarantine-free travel (QFT) with Australia has ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Extra support for Ethnic Communities to share vaccination information
    Extra support is being made available to Ethnic Communities to help them share COVID-19 vaccination information within their communities, Minister for Diversity, Inclusion and Ethnic Communities Priyanca Radhakrishnan said. “We know we need to get every eligible person in New Zealand vaccinated. A fund being launched today will allow for ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • School holidays remain unchanged for Auckland region
    School holidays in Auckland will continue to be held at the same time as the rest of the country, starting from Saturday, 2 October, Education Minister Chris Hipkins said today. “I’ve carefully considered advice on the implications of shifting the dates and concluded that on balance, maintaining the status quo ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Government continues crackdown on gangs and organised crime
    Operation Tauwhiro extended until March 2022 Since it was launched in February, Operation Tauwhiro has resulted in:   987 firearms seized $4.99 million in cash seized 865 people charged with a firearms-related offence Gangs and organised crime groups will continue to be relentlessly targeted with the extension of Police’s successful ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Speech to Body Positive 'HIV Treatments Update Seminar 2021'
    E ngā mana E ngā reo E ngā iwi Tēnā koutou katoa Ka huri ki ngā mana whenua o te rohe nei. Tēnā koutou. He mihi hoki ki a tatou kua tau mai nei I raro I te kaupapa o te rā. Nō reira tēnā koutou katoa Acknowledgements It’s a ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • Power bill changes bring fairness to charges
    A key recommendation of an independent panel to make electricity charges fairer across all households will be put in place, the Energy and Resources Minister Megan Woods has announced. “Phasing out the regulations on ‘low-use’ electricity plans will create a fairer playing field for all New Zealanders and encourage a ...
    BeehiveBy beehive.govt.nz
    6 days ago
  • NZ economy’s strong momentum will support rebound from Delta outbreak; COVID fund replenished
    The economy showed strong momentum in the period leading up to the recent Delta COVID-19 outbreak, which bodes well for a solid economic rebound, Grant Robertson said. GDP rose 2.8 percent in the June quarter, following on from a 1.4 percent increase in the previous March quarter. This was a ...
    BeehiveBy beehive.govt.nz
    7 days ago
  • Projects create benefits into the future
    Making a well-known lake swimmable and helping to halt the decline of the endangered hoiho/yellow-eyed penguins are among a suite of new projects being supported by the Government’s Jobs for Nature programme across the southern South Island, Conservation Minister Kiri Allan says. “It’s no secret that many of our most ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Opening statement for Whāriki Indigenous Small Business Roundtable
      Kei ngā tōpito e wha o te āo e rere ana te mihi maioha ki a koutou nō tawhiti, nō tata mai e tāpiri ana ki tēnei taumata kōrero mo te ao hokohoko arā mā ngā pākihi mo ngā iwi taketake Tēnā koutou, tēnā koutou katoa – Pai Mārire.  ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • New members appointed to Kāpuia
    The Government is adding four additional members to Kāpuia, the Ministerial Advisory Group on the Government’s Response to the Royal Commission of Inquiry into the terrorist attack on Christchurch mosques. “I’m looking forward to having Pamela MacNeill, Huia Bramley, Melani Anae and Katherine Dedo  join Kāpuia and contribute to this group’s ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Timeline confirmed for Emissions Reductions Plan
    Cabinet has agreed to begin consulting on the Emissions Reduction Plan in early October and require that the final plan be released by the end of May next year in line with the 2022 Budget, the Minister of Climate Change, James Shaw confirmed today. “Cabinet’s decision allows organisations and communities ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Pay parity pathway for early learning teachers confirmed
    Pay parity conditions and higher funding rates for education and care services will come into force on 1 January, 2022, Minister of Education Chris Hipkins confirmed today. The Government signalled this work in Budget 2021. “From 1 January, 2022, centres opting into the scheme will receive government funding and be ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Speech to the New Zealand Nurses Organisation Conference 2021
    Kia Ora tatau katoa.   Ka tuku mihi ki nga nēhi, He pou Hauora o Aotearoa, E ora ai tatou.   Whakatau mai  I runga i te kaupapa o te ra Te NZNO conference.   Tena koutou tena koutou Tena tatou katoa   Good morning, and thank you inviting me ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Government investment in farmer-led catchment groups sweeps past 150 mark
    171 catchment groups have now been invested in by the Government 31 catchment groups in the Lower North Island are receiving new support More than 5,000 farmers are focussed on restoring freshwater within a generation through involvement in catchment groups  Government investment in on-the-ground efforts by farmers to improve land ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Fight to protect kauri on track
    The Government is pitching in to help vital work to protect nationally significant kauri forests in Auckland, Minister of Conservation Kiri Allan says. “Ensuring the survival of these iconic trees for future generations means doing everything we can to prevent the potential spread of kauri dieback disease,” Kiri Allan said. ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Joint statement of Mr Bernard Monk; Hon Andrew Little, Minister Responsible for Pike River Re-entry,...
    [Note: The Parties have agreed on terms to fully and finally settle the proceeding and will jointly issue the below statement.] At the heart of this litigation are the lives of the 29 men tragically lost at the Pike River mine on 19 November 2010 and to whom we pay ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • More financial support for businesses
    Today’s decision to keep Auckland in a higher COVID Alert Level triggers a third round of the Wage Subsidy Scheme which will open for applications at 9am this Friday. “The revenue test period for this payment will be the 14th to the 27th of September. A reminder that this is ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Aotearoa New Zealand provides further humanitarian support for Afghanistan
    Aotearoa New Zealand is providing a further $3 million in humanitarian assistance in Afghanistan, Foreign Minister Nanaia Mahuta announced today.  “There is significant humanitarian need in Afghanistan, with the crisis disproportionately affecting women and girls,” said Nanaia Mahuta. The UN has estimated that 80% of the quarter of a million ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Innovative te reo prediction tool announced in Te Wiki o Te Reo Māori
    A new Māori language prediction tool will play a key role in tracking our te reo Māori revitalisation efforts, Minister for Māori Development Willie Jackson announced today. He Ara Poutama mō te reo Māori (He Ara Poutama) can forecast the number of conversational and fluent speakers of te reo Māori ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Further Government support for people to access food and essential items
    The Government is responding to need for support in Auckland and has committed a further $10 million to help people access ongoing food and other essential items, Minister for Social Development Carmel Sepuloni announced today. This latest tranche is targeted at the Auckland region, helping providers and organisations to distribute ...
    BeehiveBy beehive.govt.nz
    1 week ago
  • Half a million Pfizer vaccines from Denmark
    The Government has secured an extra half a million doses of Pfizer COVID-19 vaccines from Denmark that will start arriving in New Zealand within days, Prime Minister Jacinda Ardern announced today. “This is the second and larger agreement the Government has entered into to purchase additional vaccines to meet the ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Inland Revenue providing essential COVID support for businesses
    Inland Revenue is seeing increased demand for Resurgence Support Payments and other assistance schemes that it administers, but is processing applications quickly, Revenue Minister David Parker said today. David Parker said the Resurgence Support Payment, the Small Business Cashflow (loan) Scheme and the Wage Subsidy are available at the same ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • New Zealand marks 20th anniversary of 9/11 attacks
    New Zealand is expressing unity with all victims, families and loved ones affected by the September 11 2001 terrorist attacks, and all terrorist attacks around the world since, including in New Zealand. “Saturday marks twenty years since the 9/11 terrorist attacks in the United States, which killed nearly 3,000 people ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Speech to SPREP Environment Ministers
    Talofa Honourable Ulu of Tokelau Faipule Kelihiano Kalolo Tēnā koutou katoa and warm Pacific greetings from Aotearoa to your excellencies, ladies and gentlemen. The new science released by the Intergovernmental Panel on Climate Change on 8 August paints an alarming picture of the projected impacts of climate change on the ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • Additional Resurgence Support Payments to support business
    Businesses affected by higher Alert Levels will be able to apply for further Resurgence Support Payments (RSP). “The Government’s RSP was initially intended as a one-off payment to help businesses with their fixed costs, such as rent. Ministers have agreed to provide additional payments to recognise the effects of an ...
    BeehiveBy beehive.govt.nz
    2 weeks ago
  • More Dawn Raids scholarships announced
    Details of the ‘Manaaki New Zealand Short Term Training Scholarships’, a goodwill gesture that follows the Government’s apology for the Dawn Raids of the 1970s, were released today by Pacific Peoples Minister Aupito William Sio. “These scholarships that are targeted to the Pacific will support the kaupapa of the Dawn Raids’ ...
    BeehiveBy beehive.govt.nz
    2 weeks ago