Work on privatisation under way

Written By: - Date published: 9:08 am, August 23rd, 2010 - 38 comments
Categories: privatisation - Tags:

For the last few months, the Standard has been politely asking Treasury for their papers on the sale of Crown assets.  To say they weren’t keen to share would be an understatement. After several OIAs and numerous deadline extensions we’ve managed to get a few papers dating back to the early days of the National government. You can read them here(9.6mb) but these are some of the key passages:

“While recognising Government policy, and the broad political support for retaining state control and ownership of current commercial assets, we think better performance will be achieved by moving towards greater private sector involvement in SOEs. There are a range of options for achieving this while retaining 100% government ownership.”

” put pressure on SOEs to increase their gearing (which as a side-effect will result in greater dividends being paid to the Crown). The way that Ministers think about SOE gearing and special dividends may link to the wider Crown balance sheet management issues that Ministers are interested in”

“There are strong arguments for the Government to put pressure on SOEs to increase their gearing ie encouraging SOEs to borrow more from the private sector and pay special dividends to the Crown.”

“Higher debt levels put increased pressure on SOEs to perform, by committing a fixed part of their future cashflow to debt servicing”

“Higher debt levels do put SOEs under greater financial stress and increase the chance they will require additional capital from the government”

“Shareholding Ministers and SOEs are likely to have different perspectives on the appropriate balance. SOEs will favour lower than optimal gearings as that increases the SOEs operational flexibility, and reduces the likelihood of having to ask shareholders for additional capital.”

“Without sustained and effective pressure from Ministers, SOEs will tend to err on the side of having too little debt on their balance sheets . We suggest that if persuasion continues to be ineffective Ministers should consider directing an SOE or SOEs to pay a special dividend.

Ministers have never directed an SOE over dividends in the past. Such a direction could undermine the Board’s accountability.”

“Which SOES?

Genesis, Meridian, Mighty River Power, NZ Post, Landcorp, and Solid Energy. Together, these six SOEs make up about 87% of the total SOE portfolio.”

And, from the cover letter:

“There are an additional eight documents covered by your request that I have decided to withhold in full [because they are] still under active consideration“.

It’s clear that this is the first stage of the privatisation agenda others have posted about on the Standard. The Government knows it is politically impossible right now to sell public assets straight out, so it is looking at how to sell the value while retaining the company. They’re calling it “private sector ‘involvement'” but it also provides significant new cashflow to the private sector, so it is privatisation in all but name.

Forcing SOEs to fund special dividends and take on private sector debt by issuing bonds effectively privatises the profit stream of public assets, while leaving the companies nominally in public hands. It’s like selling the pearl, leaving you the oyster shell, and telling you that you’re no worse off. With that privatisation ‘private sector involvement’ comes comes an imperative to maximise short-term profits – leading to asset stripping, and the risk that SOEs will need bailouts in the future. This is just what happened in  the 1980s, when the bailouts led to outright sales.

The eight withheld papers tell us the Government is actively working on this privatisation programme right now. One of the most disturbing aspects of this is that two of those papers examine why New Zealanders are opposed to privatisation. Treasury is just telling to government how to sell our assets, they’re trying to work out the propaganda for it too.

Is this surprising? No. This is National doing what National does. But let’s not pretend their goal is not to cut the value out of our public assets and give to their wealthy mates.   National is the party of privatisation. Their branding might change but their fundamental ideology does not.

38 comments on “Work on privatisation under way ”

  • Comments are now closed

  1. Marty G 1
    23 August 2010 at 9:22 am

    forcing the SOEs to sell bonds is like selling the family silver but keeping the box it was stored in, and telling New Zealand we’ve lost nothing

  2. Bored 2
    23 August 2010 at 9:34 am

    You might note that every one of the SOEs mentioned were built with state raised capital. Which begs the question, if that was a good model when they were built, what has changed? If capitalists were so keen upon having these things why did they not build them in the first place?

    The answer of course is that capitalists never commit cash to major infrastructural enterprises unless any risk is taken by the public via government. Banks rarely loan developement cash to private companies to build this type of asset. Its too risky. Now what capital wants is a way to clip the ticket on SOEs as no risk rentiers. These risk averse parasites disgust me.

    • Craig Glen Eden 2.1
      23 August 2010 at 9:59 am

      Agreed Bored If they want to enter the electricity market go a head build a power station and enter the market. Na to hard why not just pay national some money for their election fund and have National sell off the Nations assets. Screw the tax payer and make out that they are so smart because they have money like they actually earn t it.

  3. Zaphod Beeblebrox 3
    23 August 2010 at 9:52 am

    Shouldn’t this cash be going into exportproducing enterprises.

    • ZB 3.1
      23 August 2010 at 10:58 am

      Look that’s how the scam works. Work harder NZ to export more, means NZ
      can carry more foriegn owners who need a profit income stream going the other way.
      Its the whole chinese finger trap, the harder you pull to get your fingers out, the
      stronger the trap is.
      We need less foreign ownership, so we don’t have to work as hard to produce
      profits to pay our debts!
      National selling assets when the government books are very rosy is blantent
      corruption in my opinion. Government should be investing in infrastructure
      while cheap oil is still with us by nudging highly indebted foreigner companies
      into bankruptcy, instend National LOWERED their taxes! So they could continue
      paying their debts (undoubtly to themselves as the creditor in the foriegn domicile).
      We should be build stronger local economies where owners live next door, or
      next town over, not in China, Japan, or Europe (US is now bankrupt thanks to neo-liberal
      policies still being employed by Key and National).

      • Bored 3.1.1
        23 August 2010 at 1:31 pm

        ZB, You are quite correct in what you say, the biggest issue we face as we sell off our incomes is that we lose our freedom. We become a nation of serfs to some party we saw fit to give our assets to.

        Another problem I have with “business” here is that the infrastructural costs do not just benefit citizens, they provide the necessary things that “business” too needs to operate. What these pillocks are saying is that state assets should be privatised so they dont have to pay the taxes etc….what the fools need to realise is that they will still be asked to pay for the usage by whoever buys them, and most likely a lot more.

  4. Bright Red 4
    23 August 2010 at 9:53 am

    Raising capital with a bond issue to expand an SOE is one thing. Forcing SOEs to pay special dividends to the Crown, which they in turn fund by issuing bonds (effectively, selling off their profit stream) – that’s privatisation

  5. just saying 5
    23 August 2010 at 10:07 am

    Excellent work.

    It’s almost worse than an outright buy-out because in addition to losing the value, the public is underwriting private failure if it occurs.

  6. Bright Red 6
    23 August 2010 at 10:26 am

    Silence from the Righties.

    It’s a hard one for them. Key and co have been lying to us, they are planning privatisation.

  7. Anne 7
    23 August 2010 at 10:38 am

    “Silence from the Righties.”
    Good grief! The Tory propoganda machine has been caught by surprise. Their research capabilities are going to be streteched on this one. They’ll need a few hours at least to figure out what spin to give their online bovver boys and girls.

    • luva 7.1
      24 August 2010 at 12:05 am

      IB has banned most of them

      [lprent: Not that many – they make far more noise than their actual numbers.

      We have accumulated 16 people marked as having permanent bans, two on bans that expire next month, and one that I’m awaiting an apology from for making unfounded assertions about the authors at The Standard.

      Banning is pretty much about behaviour, and around here most of the bad behaviour comes from a small but noisy minority. ]

  8. Draco T Bastard 8
    23 August 2010 at 11:25 am

    Who are the Treasury working for? Because it certainly doesn’t appear to be NZ as what they’re recommending there is no less than taxpayer subsidy of the private finance sector.

    • Tiger Mountain 8.1
      23 August 2010 at 11:43 am

      Treasury is acting like comprador capitalists as they used to be called, or more accurately the CCs representatives in Government. Dispensing corporate ‘welfare’ no less. Mr “Shithead’ and the treasury minions must be loving this. It will be interesting to see what their fanclub makes of it when they get their script together.

  9. Lanthanide 9
    23 August 2010 at 11:27 am

    So just to clarify what all this means, can someone confirm if I’ve got it right?
    – Government will ask SoE for a ‘special’ dividend, which the SoE will not have the funds to pay
    – SoE is forced to sell bonds on the private market to raise money required to return to the government
    – Private investors now own bonds in the SoE, which the SoE will have to pay out at a future date, out of their normal income stream.

    Once the bonds are paid back, the SoE would essentially be 100% government owned again, right? Of course that never happens, because like a ponzi scheme, they have to keep selling bonds to raise the money to pay back the old bonds that are maturing, not to mention fund any other additional ‘special’ dividends that the government has asked for as well.

    • Bright Red 9.1
      23 August 2010 at 11:38 am

      The key phrase is “Once the bonds are paid back”.

      When a bond matures, you have to find the cash from somewhere to pay it. Either the SOE would have to save even more for that time, or the government would have to repay its special dividend, or the SOEs would have to issue new bonds to repay the old ones – the latter would be normal practice. From the point of view of the govt’s books, you may as well consider the term of a bond indefinite unless a govt decides to pay down debt.

      • Lanthanide 9.1.1
        23 August 2010 at 11:58 am

        Right, that’s what I thought.

      • MrSmith 9.1.2
        23 August 2010 at 8:24 pm

        Can’t we find a replacement for the word KEY please! I’m am sick to death of people in the MSM using it every chance they get, especially national lakys and having it mentioned here makes me feel ill.

    • Draco T Bastard 9.2
      23 August 2010 at 11:57 am

      You forgot one point – the government will be forced to loan more money at interest to keep the SoEs afloat and to put in the needed investment in infrastructure which will come from the private sector as well. As I said – nothing but taxpayer subsidy of the private finance sector. It’s nothing but a huge rort (ponzi scheme) that the Treasury is recommending.

      They should all be fired for this shit.

      • Bright Red 9.2.1
        23 August 2010 at 12:01 pm

        yeah. borrowing costs money.

        you do it when there’s a good reason – like funding expansion that will give you returns greater than the cost of borrowing.

        But this is just selling off the profit-stream permanently in return for a one-off cash injection (which will probably be used for tax cuts for the rich)

  10. Zaphod Beeblebrox 10
    23 August 2010 at 11:33 am

    Don’t you see, this is about energy conservation. Shareholders demand SOE’s maximise profits, so they put up electricity prices to exhorbitant levels. Then we are all forced to freeze to death because we can’t afford the bills! Brilliant!

    Now normally you’d expect everyone to go out and put in photovoltaics- but somehow I don’t expect the SOE’s and the government to encourage that sort of individualism as it will affect the SOE’s profits.

    • DS 10.1
      23 August 2010 at 1:22 pm

      To be fair, if the pensioners etc all freeze to death then you can ratchet down the Health budget as well.

      Cunning.

    • Bored 10.2
      23 August 2010 at 1:39 pm

      Shareholders are dangerous creatures because they have only one goal. return on investment. Social or even national economic utility dont come into it. Therein lies the bankruptcy of the “free market” model, we can be as price effecient as sin whilst people who cant afford to be in the market freeze. Some costs we actually socialise because to not do so is highly inefficient as well as anti social.

    • loota 10.3
      23 August 2010 at 1:48 pm

      I don’t get it. So SOE’s will be forced to take on more debt regardless of the business case (because more debt is the answer, uh, to what again?) and also pay the Govt more in terms of dividends. However to service that debt and to pay the Govt more, SOEs will have to extract more money from the community.

      Huh?

      So the NATs are saying forget making business decisions based on business cases; ideology will do thanks.

  11. BLiP 11
    23 August 2010 at 12:43 pm

    Now we see what National Ltdâ„¢ meant when it said it was going to “deepen the markets”. And the result, sink or swim, suckers.

  12. ZB 12
    23 August 2010 at 2:59 pm

    We breed the best dairy cows (invest and build core infrastructure and services) and then National
    get into power and sell the best milkers! Sorry even Fonterra isn’t that stupid. Fact is you can
    expose a market to outside investors without selling the silver. You sell a ownership right
    to the production for that year! Not the frigging dairy herd! National have no idea about
    business, only about harving them up and selling them low.

    Its the bottom of the market, why is National even considering this?

    • Bored 12.1
      23 August 2010 at 4:33 pm

      Look ZB, let you into a little secret. The selling of cows on dairy farms to overseas interests is actually a smokescreen so we dont notice that the whole of the proposed John Key Memorial Cycleway falling into overseas private hands. Its a double whammy because foreign interests noticing the depletion of oil based urea fertilisers are going to mine the urea soaked soil beneath the cows. Brownlee put them onto it, hush hush. I also hear that the Cycleway will become an SOE shortly, the capital costs of construction being done with a public bond float.

  13. marsman 13
    23 August 2010 at 5:52 pm

    Sneaky Nasty NACT.

  14. G Duff 14
    23 August 2010 at 6:10 pm

    I believe there is a good opportunity for Local and Central Government to issue what I term “InfrastructureBonds” to help fund much needed infrastructure.

    Many retired people were badly let down by the collapse of the finance sector over the last four years and are looking for a safe place to invest their retirement savings. They want a fair return on their funds but above all want a return of their funds at the end of the investment term.
    For the SOE, or Local body, this does not require them to give up Govenment/Taxpayer or Ratepayer ownership or control of their enterprise, but allows them to raise sufficient capital for much needed expansion.
    While Rates or taxes should fund most of the budget, the local authorities from time to time require capital for new roads, sewerage works, or maybe in the case of Greater Auckland, a rail link to the Airport.
    These are the sorts of ventures which could be encouraged to the long term benefit of all.
    I prefer this option to that of Toll roads or Public-Private Partnerships. which tend to privatise the profits and socialize the losses.

    • loota 14.1
      24 August 2010 at 1:06 am

      Many retired people were badly let down by the collapse of the finance sector over the last four years and are looking for a safe place to invest their retirement savings. They want a fair return on their funds but above all want a return of their funds at the end of the investment term.

      What kind of ass-backwards capitalism is this?

      Creating an investment vehicle for the sakes of putting money into it without any plan of generating value? How do you think these bond holders are going to get paid their capital back plus interest? By SOE’s magicking $$$ out of think air?

      So lets start with answering the basic question of whether or not any SOEs actually need extra funds for investment now and what they are going to use those funds for – what ROI can they get for the funds they borrow.

      Coz if they can’t get a good ROI on the funds they are supplied with through the issuing of bonds its a very bad deal for them and a very bad deal for tax payers.

  15. tc 15
    23 August 2010 at 8:41 pm

    Treasury appear to have a severe case of the double diptons.

    • Draco T Bastard 15.1
      24 August 2010 at 12:58 am

      They’ve been so well trained in the illogic of neo-liberalism that they fail to recognise when something is logically false.

  16. innocent bystander 16
    24 August 2010 at 7:20 am

    SOEs already borrow from th private sector. They also often pay dividends to the Crown. The question in relation to borrowing is one of degree ie are they incentivised to borrow at the optimum amount to deliver services to other SOEs or the public in the most efficient and effective way. The special dividend would be used to ensure the former where other incentivies haven’t worked. Read the report.

    Personally I find the selective quoting that some posters do here worrying becuase it dumbs down the debate rather than invigorating it with cogent arguments. I for one would a appreciate a well structured argument for or against Treasury’s advice rather than some half arsed political smear.

  17. David Lloyd 17
    26 August 2010 at 11:49 am

    Why don’t they privatise Treasury?

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    Polling shows that Wellington Mayor Tory Whanau has the lowest approval rating of any mayor in the country. Siting at -12 per cent, the proportion of constituents who disapprove of her performance outweighs those who give her the thumbs up. This negative rating is higher than for any other mayor ...
    Democracy ProjectBy bryce.edwards
    3 days ago

  • Justice for Gaza?
    The New York Times reports that the International Criminal Court is about to issue arrest warrants for Israeli officials, including Prime Minister Benjamin Netanyahu, over their genocide in Gaza: Israeli officials increasingly believe that the International Criminal Court is preparing to issue arrest warrants for senior government officials on ...
    No Right TurnBy Idiot/Savant
    3 days ago

  • If there has been any fiddling with Pharmac’s funding, we can count on Paula to figure out the fis...
    Buzz from the Beehive Pharmac has been given a financial transfusion and a new chair to oversee its spending in the pharmaceutical business. Associate Health Minister David Seymour described the funding for Pharmac as “its largest ever budget of $6.294 billion over four years, fixing a $1.774 billion fiscal cliff”. ...
    Point of OrderBy Bob Edlin
    3 days ago

  • FastTrackWatch – The case for the Government’s Fast Track Bill
    Bryce Edwards writes – Many criticisms are being made of the Government’s Fast Track Approvals Bill, including by this writer. But as with everything in politics, every story has two sides, and both deserve attention. It’s important to understand what the Government is trying to achieve and its ...
    Point of OrderBy poonzteam5443
    3 days ago

  • Bernard’s pick 'n' mix for Monday, April 29
    TL;DR: Here’s my top 10 ‘pick ‘n’ mix of links to news, analysis and opinion articles as of 10:10am on Monday, April 29:Scoop: The children's ward at Rotorua Hospital will be missing a third of its beds as winter hits because Te Whatu Ora halted an upgrade partway through to ...
    The KakaBy Bernard Hickey
    3 days ago

  • Gordon Campbell on Iran killing its rappers, and searching for the invisible Dr. Reti
    span class=”dropcap”>As hideous as David Seymour can be, it is worth keeping in mind occasionally that there are even worse political figures (and regimes) out there. Iran for instance, is about to execute the country’s leading hip hop musician Toomaj Salehi, for writing and performing raps that “corrupt” the nation’s ...
    Gordon CampbellBy lyndon
    3 days ago

  • Auckland Rail Electrification 10 years old
    Yesterday marked 10 years since the first electric train carried passengers in Auckland so it’s a good time to look back at it and the impact it has had. A brief history The first proposals for rail electrification in Auckland came in the 1920’s alongside the plans for earlier ...
    Greater AucklandBy Matt L
    3 days ago

  • Coalition's dirge of austerity and uncertainty is driving the economy into a deeper recession
    Right now, in Aotearoa-NZ, our ‘animal spirits’ are darkening towards a winter of discontent, thanks at least partly to a chorus of negative comments and actions from the Government Photo: Lynn Grieveson / The KākāTL;DR: These are the six things that stood out to me in news and commentary on ...
    The KakaBy Bernard Hickey
    3 days ago

  • Disability Funding or Tax Cuts.
    You make people evil to punish the paststuck inside a sequel with a rotating castThe following photos haven’t been generated with AI, or modified in any way. They are flesh and blood, human beings. On the left is Galatea Young, a young mum, and her daughter Fiadh who has Angelman ...
    Nick’s KōreroBy Nick Rockel
    3 days ago

  • Of the Goodness of Tolkien’s Eru
    April has been a quiet month at A Phuulish Fellow. I have had an exceptionally good reading month, and a decently productive writing month – for original fiction, anyway – but not much has caught my eye that suggested a blog article. It has been vaguely frustrating, to be honest. ...
    A Phuulish FellowBy strda221
    3 days ago

  • 2024 SkS Weekly Climate Change & Global Warming News Roundup #17
    A listing of 31 news and opinion articles we found interesting and shared on social media during the past week: Sun, April 21, 2024 thru Sat, April 27, 2024. Story of the week Anthropogenic climate change may be the ultimate shaggy dog story— but with a twist, because here ...
    Skeptical Science
    3 days ago

  • Pastor Who Abused People, Blames People
    Hi,I spent about a year on Webworm reporting on an abusive megachurch called Arise, and it made me want to stab my eyes out with a fork.I don’t regret that reporting in 2022 and 2023 — I am proud of it — but it made me angry.Over three main stories ...
    David FarrierBy David Farrier
    4 days ago

  • Vic Uni shows how under threat free speech is
    The new Victoria University Vice-Chancellor decided to have a forum at the university about free speech and academic freedom as it is obviously a topical issue, and the Government is looking at legislating some carrots or sticks for universities to uphold their obligations under the Education and Training Act. They ...
    Point of OrderBy poonzteam5443
    4 days ago

  • Winston remembers Gettysburg.
    Do you remember when Melania Trump got caught out using a speech that sounded awfully like one Michelle Obama had given? Uncannily so.Well it turns out that Abraham Lincoln is to Winston Peters as Michelle was to Melania. With the ANZAC speech Uncle Winston gave at Gallipoli having much in ...
    Nick’s KōreroBy Nick Rockel
    4 days ago

  • 25
    She was born 25 years ago today in North Shore hospital. Her eyes were closed tightly shut, her mouth was silently moving. The whole theatre was all quiet intensity as they marked her a 2 on the APGAR test. A one-minute eternity later, she was an 8.  The universe was ...
    More Than A FeildingBy David Slack
    4 days ago

  • Fact Brief – Is Antarctica gaining land ice?
    Skeptical Science is partnering with Gigafact to produce fact briefs — bite-sized fact checks of trending claims. This fact brief was written by Sue Bin Park in collaboration with members from our Skeptical Science team. You can submit claims you think need checking via the tipline. Is Antarctica gaining land ice? ...
    Skeptical Science
    4 days ago

  • Policing protests.
    Images of US students (and others) protesting and setting up tent cities on US university campuses have been broadcast world wide and clearly demonstrate the growing rifts in US society caused by US policy toward Israel and Israel’s prosecution of … Continue reading → ...
    KiwipoliticoBy Pablo
    5 days ago

  • Open letter to Hon Paul Goldsmith
    Barrie Saunders writes – Dear Paul As the new Minister of Media and Communications, you will be inundated with heaps of free advice and special pleading, all in the national interest of course. For what it’s worth here is my assessment: Traditional broadcasting free to air content through ...
    Point of OrderBy poonzteam5443
    5 days ago

  • Bryce Edwards: FastTrackWatch – The Case for the Government’s Fast Track Bill
    Many criticisms are being made of the Government’s Fast Track Approvals Bill, including by this writer. But as with everything in politics, every story has two sides, and both deserve attention. It’s important to understand what the Government is trying to achieve and its arguments for such a bold reform. ...
    Democracy ProjectBy bryce.edwards
    5 days ago

  • Luxon gets out his butcher’s knife – briefly
    Peter Dunne writes –  The great nineteenth British Prime Minister, William Gladstone, once observed that “the first essential for a Prime Minister is to be a good butcher.” When a later British Prime Minister, Harold Macmillan, sacked a third of his Cabinet in July 1962, in what became ...
    Point of OrderBy poonzteam5443
    5 days ago

  • More tax for less
    Ele Ludemann writes – New Zealanders had the OECD’s second highest tax increase last year: New Zealanders faced the second-biggest tax raises in the developed world last year, the Organisation for Economic Cooperation and Development (OECD) says. The intergovernmental agency said the average change in personal income tax ...
    Point of OrderBy poonzteam5443
    5 days ago

  • Real News vs Fake News.
    We all know something’s not right with our elections. The spread of misinformation, people being targeted with soundbites and emotional triggers that ignore the facts, even the truth, and influence their votes.The use of technology to produce deep fakes. How can you tell if something is real or not? Can ...
    Nick’s KōreroBy Nick Rockel
    5 days ago

  • Another way to roll
    Hello! Here comes the Saturday edition of More Than A Feilding, catching you up on the past week’s editions.Share ...
    More Than A FeildingBy David Slack
    5 days ago

  • Simon Clark: The climate lies you'll hear this year
    This video includes conclusions of the creator climate scientist Dr. Simon Clark. It is presented to our readers as an informed perspective. Please see video description for references (if any). This year you will be lied to! Simon Clark helps prebunk some misleading statements you'll hear about climate. The video includes ...
    Skeptical Science
    5 days ago

  • Cutting the Public Service
    It is all very well cutting the backrooms of public agencies but it may compromise the frontlines. One of the frustrations of the Productivity Commission’s 2017 review of universities is that while it observed that their non-academic staff were increasing faster than their academic staff, it did not bother to ...
    PunditBy Brian Easton
    6 days ago

  • Luxon’s demoted ministers might take comfort from the British politician who bounced back after th...
    Buzz from the Beehive Two speeches delivered by Foreign Affairs Minister Winston Peters at Anzac Day ceremonies in Turkey are the only new posts on the government’s official website since the PM announced his Cabinet shake-up. In one of the speeches, Peters stated the obvious:  we live in a troubled ...
    Point of OrderBy Bob Edlin
    6 days ago

  • This is how I roll over
    1. Which of these would you not expect to read in The Waikato Invader?a. Luxon is here to do business, don’t you worry about thatb. Mr KPI expects results, and you better believe itc. This decisive man of action is getting me all hot and excitedd. Melissa Lee is how ...
    More Than A FeildingBy David Slack
    6 days ago

  • The Waitangi Tribunal is not “a roving Commission”…
    …it has a restricted jurisdiction which must not be abused: it is not an inquisition   NOTE – this article was published before the High Court ruled that Karen Chhour does not have to appear before the Waitangi Tribunal Gary Judd writes –  The High Court ...
    Point of OrderBy poonzteam5443
    6 days ago

  • Is Oranga Tamariki guilty of neglect?
    Lindsay Mitchell writes – One of reasons Oranga Tamariki exists is to prevent child neglect. But could the organisation itself be guilty of the same? Oranga Tamariki’s statistics show a decrease in the number and age of children in care. “There are less children ...
    Point of OrderBy Bob Edlin
    6 days ago

  • Three Strikes saw lower reoffending
    David Farrar writes: Graeme Edgeler wrote in 2017: In the first five years after three strikes came into effect 5248 offenders received a ‘first strike’ (that is, a “stage-1 conviction” under the three strikes sentencing regime), and 68 offenders received a ‘second strike’. In the five years prior to ...
    Point of OrderBy poonzteam5443
    6 days ago

  • Luxon’s ruthless show of strength is perfect for our angry era
    Bryce Edwards writes – Prime Minister Christopher Luxon has surprised everyone with his ruthlessness in sacking two of his ministers from their crucial portfolios. Removing ministers for poor performance after only five months in the job just doesn’t normally happen in politics. That’s refreshing and will be extremely ...
    Point of OrderBy poonzteam5443
    6 days ago

  • 'Lacks attention to detail and is creating double-standards.'
    TL;DR: These are the six things that stood out to me in news and commentary on Aotearoa-NZ’s political economy in the two days to 6:06am on Thursday, April 25:Politics: PM Christopher Luxon has set up a dual standard for ministerial competence by demoting two National Cabinet ministers while leaving also-struggling ...
    The KakaBy Bernard Hickey
    6 days ago

  • One Night Only!
    Hi,Today I mainly want to share some of your thoughts about the recent piece I wrote about success and failure, and the forces that seemingly guide our lives. But first, a quick bit of housekeeping: I am doing a Webworm popup in Los Angeles on Saturday May 11 at 2pm. ...
    David FarrierBy David Farrier
    6 days ago

  • What did Melissa Lee do?
    It is hard to see what Melissa Lee might have done to “save” the media. National went into the election with no public media policy and appears not to have developed one subsequently. Lee claimed that she had prepared a policy paper before the election but it had been decided ...
    PolitikBy Richard Harman
    6 days ago

  • Skeptical Science New Research for Week #17 2024
    Open access notables Ice acceleration and rotation in the Greenland Ice Sheet interior in recent decades, Løkkegaard et al., Communications Earth & Environment: In the past two decades, mass loss from the Greenland ice sheet has accelerated, partly due to the speedup of glaciers. However, uncertainty in speed derived from satellite products ...
    Skeptical Science
    6 days ago

  • Maori Party (with “disgust”) draws attention to Chhour’s race after the High Court rules on Wa...
    Buzz from the Beehive A statement from Children’s Minister Karen Chhour – yet to be posted on the Government’s official website – arrived in Point of Order’s email in-tray last night. It welcomes the High Court ruling on whether the Waitangi Tribunal can demand she appear before it. It does ...
    Point of OrderBy Bob Edlin
    7 days ago

  • Who’s Going Up The Media Mountain?
    Mr Bombastic: Ironically, the media the academic experts wanted is, in many ways, the media they got. In place of the tyrannical editors of yesteryear, advancing without fear or favour the interests of the ruling class; the New Zealand news media of today boasts a troop of enlightened journalists dedicated to ...
    Bowalley Road
    7 days ago

  • “That's how I roll”
    It's hard times try to make a livingYou wake up every morning in the unforgivingOut there somewhere in the cityThere's people living lives without mercy or pityI feel good, yeah I'm feeling fineI feel better then I have for the longest timeI think these pills have been good for meI ...
    Nick’s KōreroBy Nick Rockel
    7 days ago

  • “Comity” versus the rule of law
    In 1974, the US Supreme Court issued its decision in United States v. Nixon, finding that the President was not a King, but was subject to the law and was required to turn over the evidence of his wrongdoing to the courts. It was a landmark decision for the rule ...
    No Right TurnBy Idiot/Savant
    1 week ago

  • Aotearoa: a live lab for failed Right-wing socio-economic zombie experiments once more…
    Every day now just seems to bring in more fresh meat for the grinder. In their relentlessly ideological drive to cut back on the “excessive bloat” (as they see it) of the previous Labour-led government, on the mountains of evidence accumulated in such a short period of time do not ...
    exhALANtBy exhalantblog
    1 week ago

  • Minister acknowledges passing of Sir Robert Martin (KNZM)
    New Zealand lost a true legend when internationally renowned disability advocate Sir Robert Martin (KNZM) passed away at his home in Whanganui last night, Disabilities Issues Minister Louise Upston says. “Our Government’s thoughts are with his wife Lynda, family and community, those he has worked with, the disability community in ...
    BeehiveBy beehive.govt.nz
    13 hours ago

  • Speech to New Zealand Institute of International Affairs, Parliament – Annual Lecture: Challenges ...
    Good evening –   Before discussing the challenges and opportunities facing New Zealand’s foreign policy, we’d like to first acknowledge the New Zealand Institute of International Affairs. You have contributed to debates about New Zealand foreign policy over a long period of time, and we thank you for hosting us.  ...
    BeehiveBy beehive.govt.nz
    13 hours ago

  • Accelerating airport security lines
    From today, passengers travelling internationally from Auckland Airport will be able to keep laptops and liquids in their carry-on bags for security screening thanks to new technology, Transport Minister Simeon Brown says. “Creating a more efficient and seamless travel experience is important for holidaymakers and businesses, enabling faster movement through ...
    BeehiveBy beehive.govt.nz
    15 hours ago

  • Community hui to talk about kina barrens
    People with an interest in the health of Northland’s marine ecosystems are invited to a public meeting to discuss how to deal with kina barrens, Oceans and Fisheries Minister Shane Jones says. Mr Jones will lead the discussion, which will take place on Friday, 10 May, at Awanui Hotel in ...
    BeehiveBy beehive.govt.nz
    21 hours ago

  • Kiwi exporters win as NZ-EU FTA enters into force
    Kiwi exporters are $100 million better off today with the NZ EU FTA entering into force says Trade Minister Todd McClay. “This is all part of our plan to grow the economy. New Zealand's prosperity depends on international trade, making up 60 per cent of the country’s total economic activity. ...
    BeehiveBy beehive.govt.nz
    21 hours ago

  • Mining resurgence a welcome sign
    There are heartening signs that the extractive sector is once again becoming an attractive prospect for investors and a source of economic prosperity for New Zealand, Resources Minister Shane Jones says. “The beginnings of a resurgence in extractive industries are apparent in media reports of the sector in the past ...
    BeehiveBy beehive.govt.nz
    23 hours ago

  • Ō-Rākau Remembrance Bill passes first reading
    The return of the historic Ō-Rākau battle site to the descendants of those who fought there moved one step closer today with the first reading of Te Pire mō Ō-Rākau, Te Pae o Maumahara / The Ō-Rākau Remembrance Bill. The Bill will entrust the 9.7-hectare battle site, five kilometres west ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Government to boost public EV charging network
    Energy Minister Simeon Brown has announced 25 new high-speed EV charging hubs along key routes between major urban centres and outlined the Government’s plan to supercharge New Zealand’s EV infrastructure.  The hubs will each have several chargers and be capable of charging at least four – and up to 10 ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Residential Property Managers Bill to not progress
    The coalition Government will not proceed with the previous Government’s plans to regulate residential property managers, Housing Minister Chris Bishop says. “I have written to the Chairperson of the Social Services and Community Committee to inform him that the Government does not intend to support the Residential Property Managers Bill ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Independent review into disability support services
    The Government has announced an independent review into the disability support system funded by the Ministry of Disabled People – Whaikaha. Disability Issues Minister Louise Upston says the review will look at what can be done to strengthen the long-term sustainability of Disability Support Services to provide disabled people and ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Justice Minister updates UN on law & order plan
    Justice Minister Paul Goldsmith has attended the Universal Periodic Review in Geneva and outlined the Government’s plan to restore law and order. “Speaking to the United Nations Human Rights Council provided us with an opportunity to present New Zealand’s human rights progress, priorities, and challenges, while responding to issues and ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Ending emergency housing motels in Rotorua
    The Government and Rotorua Lakes Council are committed to working closely together to end the use of contracted emergency housing motels in Rotorua. Associate Minister of Housing (Social Housing) Tama Potaka says the Government remains committed to ending the long-term use of contracted emergency housing motels in Rotorua by the ...
    BeehiveBy beehive.govt.nz
    2 days ago

  • Trade Minister travels to Riyadh, OECD, and Dubai
    Trade Minister Todd McClay heads overseas today for high-level trade talks in the Gulf region, and a key OECD meeting in Paris. Mr McClay will travel to Riyadh to meet with counterparts from Saudi Arabia and the Gulf Cooperation Council (GCC). “New Zealand’s goods and services exports to the Gulf region ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Education priorities focused on lifting achievement
    Education Minister Erica Stanford has outlined six education priorities to deliver a world-leading education system that sets Kiwi kids up for future success. “I’m putting ambition, achievement and outcomes at the heart of our education system. I want every child to be inspired and engaged in their learning so they ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • NZTA App first step towards digital driver licence
    The new NZ Transport Agency (NZTA) App is a secure ‘one stop shop’ to provide the services drivers need, Transport Minister Simeon Brown and Digitising Government Minister Judith Collins say.  “The NZTA App will enable an easier way for Kiwis to pay for Vehicle Registration and Road User Charges (RUC). ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Supporting whānau out of emergency housing
    Whānau with tamariki growing up in emergency housing motels will be prioritised for social housing starting this week, says Associate Housing Minister Tama Potaka. “Giving these whānau a better opportunity to build healthy stable lives for themselves and future generations is an essential part of the Government’s goal of reducing ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Tribute to Dave O'Sullivan
    Racing Minister Winston Peters has paid tribute to an icon of the industry with the recent passing of Dave O’Sullivan (OBE). “Our sympathies are with the O’Sullivan family with the sad news of Dave O’Sullivan’s recent passing,” Mr Peters says. “His contribution to racing, initially as a jockey and then ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Speech – Eid al-Fitr
    Assalaamu alaikum, greetings to you all. Eid Mubarak, everyone! I want to extend my warmest wishes to you and everyone celebrating this joyous occasion. It is a pleasure to be here. I have enjoyed Eid celebrations at Parliament before, but this is my first time joining you as the Minister ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Government saves access to medicines
    Associate Health Minister David Seymour has announced Pharmac’s largest ever budget of $6.294 billion over four years, fixing a $1.774 billion fiscal cliff.    “Access to medicines is a crucial part of many Kiwis’ lives. We’ve committed to a budget allocation of $1.774 billion over four years so Kiwis are ...
    BeehiveBy beehive.govt.nz
    3 days ago

  • Pharmac Chair appointed
    Hon Paula Bennett has been appointed as member and chair of the Pharmac board, Associate Health Minister David Seymour announced today. "Pharmac is a critical part of New Zealand's health system and plays a significant role in ensuring that Kiwis have the best possible access to medicines,” says Mr Seymour. ...
    BeehiveBy beehive.govt.nz
    4 days ago

  • Taking action on Fetal Alcohol Spectrum Disorder
    Hundreds of New Zealand families affected by Fetal Alcohol Spectrum Disorder (FASD) will benefit from a new Government focus on prevention and treatment, says Health Minister Dr Shane Reti. “We know FASD is a leading cause of preventable intellectual and neurodevelopmental disability in New Zealand,” Dr Reti says.  “Every day, ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • New sports complex opens in Kaikohe
    Regional Development Minister Shane Jones today attended the official opening of Kaikohe’s new $14.7 million sports complex. “The completion of the Kaikohe Multi Sports Complex is a fantastic achievement for the Far North,” Mr Jones says. “This facility not only fulfils a long-held dream for local athletes, but also creates ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • Diplomacy needed more than ever
    Foreign Minister Winston Peters’ engagements in Türkiye this week underlined the importance of diplomacy to meet growing global challenges.    “Returning to the Gallipoli Peninsula to represent New Zealand at Anzac commemorations was a sombre reminder of the critical importance of diplomacy for de-escalating conflicts and easing tensions,” Mr Peters ...
    BeehiveBy beehive.govt.nz
    5 days ago

  • Anzac Commemorative Address, Buttes New British Cemetery Belgium
    Ambassador Millar, Burgemeester, Vandepitte, Excellencies, military representatives, distinguished guests, ladies and gentlemen – good morning and welcome to this sacred Anzac Day dawn service.  It is an honour to be here on behalf of the Government and people of New Zealand at Buttes New British Cemetery, Polygon Wood – a deeply ...
    BeehiveBy beehive.govt.nz
    6 days ago

  • Anzac Commemorative Address – NZ National Service, Chunuk Bair
    Distinguished guests -   It is an honour to return once again to this site which, as the resting place for so many of our war-dead, has become a sacred place for generations of New Zealanders.   Our presence here and at the other special spaces of Gallipoli is made ...
    BeehiveBy beehive.govt.nz
    6 days ago

  • Anzac Commemorative Address – Dawn Service, Gallipoli, Türkiye
    Mai ia tawhiti pamamao, te moana nui a Kiwa, kua tae whakaiti mai matou, ki to koutou papa whenua. No koutou te tapuwae, no matou te tapuwae, kua honoa pumautia.   Ko nga toa kua hinga nei, o te Waipounamu, o te Ika a Maui, he okioki tahi me o ...
    BeehiveBy beehive.govt.nz
    7 days ago

  • PM announces changes to portfolios
    Paul Goldsmith will take on responsibility for the Media and Communications portfolio, while Louise Upston will pick up the Disability Issues portfolio, Prime Minister Christopher Luxon announced today. “Our Government is relentlessly focused on getting New Zealand back on track. As issues change in prominence, I plan to adjust Ministerial ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • New catch limits for unique fishery areas
    Recreational catch limits will be reduced in areas of Fiordland and the Chatham Islands to help keep those fisheries healthy and sustainable, Oceans and Fisheries Minister Shane Jones says. The lower recreational daily catch limits for a range of finfish and shellfish species caught in the Fiordland Marine Area and ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Minister welcomes hydrogen milestone
    Energy Minister Simeon Brown has welcomed an important milestone in New Zealand’s hydrogen future, with the opening of the country’s first network of hydrogen refuelling stations in Wiri. “I want to congratulate the team at Hiringa Energy and its partners K one W one (K1W1), Mitsui & Co New Zealand ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Urgent changes to system through first RMA Amendment Bill
    The coalition Government is delivering on its commitment to improve resource management laws and give greater certainty to consent applicants, with a Bill to amend the Resource Management Act (RMA) expected to be introduced to Parliament next month. RMA Reform Minister Chris Bishop has today outlined the first RMA Amendment ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Overseas decommissioning models considered
    Overseas models for regulating the oil and gas sector, including their decommissioning regimes, are being carefully scrutinised as a potential template for New Zealand’s own sector, Resources Minister Shane Jones says. The Coalition Government is focused on rebuilding investor confidence in New Zealand’s energy sector as it looks to strengthen ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Release of North Island Severe Weather Event Inquiry
    Emergency Management and Recovery Minister Mark Mitchell has today released the Report of the Government Inquiry into the response to the North Island Severe Weather Events. “The report shows that New Zealand’s emergency management system is not fit-for-purpose and there are some significant gaps we need to address,” Mr Mitchell ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Justice Minister to attend Human Rights Council
    Justice Minister Paul Goldsmith is today travelling to Europe where he’ll update the United Nations Human Rights Council on the Government’s work to restore law and order.  “Attending the Universal Periodic Review in Geneva provides us with an opportunity to present New Zealand’s human rights progress, priorities, and challenges, while ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Patterson reopens world’s largest wool scouring facility
    Associate Agriculture Minister, Mark Patterson, formally reopened the world’s largest wool processing facility today in Awatoto, Napier, following a $50 million rebuild and refurbishment project. “The reopening of this facility will significantly lift the economic opportunities available to New Zealand’s wool sector, which already accounts for 20 per cent of ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Speech to the Southland Otago Regional Engineering Collective Summit, 18 April 2024
    Hon Andrew Bayly, Minister for Small Business and Manufacturing  At the Southland Otago Regional Engineering Collective (SOREC) Summit, 18 April, Dunedin    Ngā mihi nui, Ko Andrew Bayly aho, Ko Whanganui aho    Good Afternoon and thank you for inviting me to open your summit today.    I am delighted ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Government to introduce revised Three Strikes law
    The Government is delivering on its commitment to bring back the Three Strikes legislation, Associate Justice Minister Nicole McKee announced today. “Our Government is committed to restoring law and order and enforcing appropriate consequences on criminals. We are making it clear that repeat serious violent or sexual offending is not ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • New diplomatic appointments
    Foreign Minister Winston Peters has today announced four new diplomatic appointments for New Zealand’s overseas missions.   “Our diplomats have a vital role in maintaining and protecting New Zealand’s interests around the world,” Mr Peters says.    “I am pleased to announce the appointment of these senior diplomats from the ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Humanitarian support for Ethiopia and Somalia
    New Zealand is contributing NZ$7 million to support communities affected by severe food insecurity and other urgent humanitarian needs in Ethiopia and Somalia, Foreign Minister Rt Hon Winston Peters announced today.   “Over 21 million people are in need of humanitarian assistance across Ethiopia, with a further 6.9 million people ...
    BeehiveBy beehive.govt.nz
    1 week ago

  • Arts Minister congratulates Mataaho Collective
    Minister for Arts, Culture and Heritage Paul Goldsmith is congratulating Mataaho Collective for winning the Golden Lion for best participant in the main exhibition at the Venice Biennale. "Congratulations to the Mataaho Collective for winning one of the world's most prestigious art prizes at the Venice Biennale.  “It is good ...
    BeehiveBy beehive.govt.nz
    2 weeks ago

  • Supporting better financial outcomes for Kiwis
    The Government is reforming financial services to improve access to home loans and other lending, and strengthen customer protections, Commerce and Consumer Affairs Minister Andrew Bayly and Housing Minister Chris Bishop announced today. “Our coalition Government is committed to rebuilding the economy and making life simpler by cutting red tape. We are ...
    BeehiveBy beehive.govt.nz
    2 weeks ago

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