Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Air NZ: Lessons Too Late For The Learning

Media Release
14 September 2001

Air NZ: Lessons Too Late For The Learning


New Zealand First Leader Rt Hon Winston Peters has released the following statement regarding Air New Zealand from Tauranga today:

We have noted that while there has been justified criticism of the Air New Zealand Board the Government is also clearly culpable.

Although New Zealand First supports the recapitalisation of Air New Zealand it does not support the means by which this has been achieved. The New Zealand Government has not learned the lessons of experience and has followed the Airline Board into the mire of bad investment decisions.

The effects of the rescue package are that: the private (and now foreign) company, Brierley Investments, has again been bailed out by New Zealand taxpayers; the cap on foreign ownership in our national airline has again been raised and will continue to be so; and, taxpayers’ funds have been risked without any of the benefits of ownership or control.

When Air New Zealand was hocked off by Labour in 1989, along with the rest of the country’s assets, taxpayers received $660m. Now the bulk of that is being risked with one more throw of the dice by a government that has fiddled while Ansett, Air New Zealand, and the nation’s tourism and trade have burned. And worst of all our international reputation lies in tatters, which will make the turn around of Air New Zealand in international markets even more difficult. Immediately offshore Australians of every political persuasion are not going to forgive us for what has happened to their iconic Ansett.

Brierley Investments should have been required to divest its shareholding as they have long failed to satisfy any reasonable test of New Zealand ownership. Its convoluted trust arrangements are a device contrary to the spirit and intention of the law.

For months now the Government has had the opportunity to reinvest in Air New Zealand, to secure the future of our world class carrier, and to protect it from foreign raiders.

Our nation has a serious balance of payments crisis exacerbated by the repatriation of dividends overseas and by high interest payments to overseas lenders.

By far the best outcome would have been for the Government to have used its investment to acquire BIL’s equity interests and gain oversight of the new Board.

A second-rate option has been taken by a second-rate Government whose inaction and belated decisions have undermined the credibility of our country and its institutions. It is an option that has the effect of socialising the losses and privatising the profits. It is an option that demonstrates that this Government has not learned any lessons from our turbulent economic past.

It begs the question, why is the Government bailing out another company for the umpteenth time – and what is it that these businesses have over both National and Labour for them to act so contrary to the public interest?

ENDS


© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Tax Working Group’s Road Map

Trying to analyse the interim report on the Tax Working Group (TWG) is like trying to review an entire All Blacks game, but at the half- time mark.

With so much still to be finalised, Sir Michael Cullen and his colleagues are going to need all the All Blacks’ fabled finishing skills to get a coherent, fiscally neutral package together by the February 2019 deadline. More>>

 

Meth Testing Report: Housing NZ "To Right Wrong"

Phil Twyford “Housing NZ acknowledges that around 800 tenants suffered by either losing their tenancies, losing their possessions, being suspended from the public housing waiting list, negative effects on their credit ratings or, in the worst cases, being made homeless.” More>>

ALSO:

No Reshuffle: Meka Whaitiri Removed As A Minister

Meka Whaitiri will be removed as a Minister with immediate effect... The decision was made after receiving a report into an incident that occurred on 27 August in Gisborne, involving Meka Whaitiri and one of her staff. More>>

ALSO:

Pay Equity Bill: Making History For Women’s Pay

The Equal Pay Amendment Bill, introduced to the House today, will make it easier for workers to make a pay equity claim , using a more simple and accessible process within New Zealand’s existing bargaining framework. More>>

ALSO:

Suffrage 125: NZ A Trailblazer For Women

“We acknowledge the work of Kate Sheppard, Meri Te Tai Mangakāhia, and all of the suffragists who tirelessly campaigned for the vote… Today we also need to ask each other: how we can continue to make our country a fairer and better place to continue the legacy of the suffragists.” More>>

ALSO:

Asylum: Refugee Quota Increasing To 1500

“The quota increase will take place from July 2020. In the meantime, we will work to increase the number and spread of refugee resettlement and support services. We need to make sure we’re prepared for this change in policy.” More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels