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Brash Announces Lines Company Moves

Don Brash MP
National Party Leader
17 June 2005

Brash announces lines company moves

National Party leader Don Brash announced today that National intends to look closely at allowing electricity lines companies to move into electricity retailing.

He told the Electricity Engineers Association annual conference in Auckland that it was imperative New Zealand's electricity supply was improved, and one way of doing this was to allow lines companies to move into other areas of the industry.

"This idea of lines companies in retailing is an area we are putting a lot of effort into, and on becoming the Government we intend to talk closely with the sector about the options available.

"We will also allow the companies to invest in generation, with no restrictions on the amount they own. It makes good sense to allow companies which already have a major investment in the sector to add to the capacity of our generation base by owning generation."

National will also introduce substantial amendments to the Resource Management Act within three months of becoming the Government and pass the changes within nine months.

"This bureaucratic monster is stifling growth and contributing to an infrastructure crisis, and it must be sorted out."

Dr Brash says National is also prepared to re-think the way funding infrastructure investment is looked at.

"We have made it clear we would be prepared to borrow for expenditure on capital assets.

"This is a prudent thing to do. Simply put, borrowing to invest in assets where the prospective economic returns outweigh the costs just makes good sense. It's good business.

"What is completely wrong is borrowing for consumption. The borrow, spend and hope policies of New Zealand's past were a dismal failure, and I can promise you that I will never allow New Zealand to return to the failed polices of the 1970s."


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