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

 


Private prison deal details revealed - finally

18 October 2012

Private prison deal details revealed - finally

The formal tabling in Parliament of a $900 million deal that National has struck with a private sector consortium to build and operate a new 960-bed private prison at Wiri has finally taken place – on the last possible day that it could legally be revealed, Labour’s Justice spokesperson Charles Chauvel says.

“Serco – the consortium member that will operate the prison once it is built - advised the London Stock Exchange on 11 September that it anticipates revenues of just under $30m per year once the prison is built, with revenues before then of around $4m, on the basis of a revenue stream stretching out till 2040.

“An initial perusal of the contract, and a consideration of the business model necessary to run a prison for gain, suggests that much of this income will end up as profit, headed directly offshore.

“Serco has an unsatisfactory record as a private operator of public entities, in New Zealand and elsewhere. As operator of the Mt Eden Remand Centre it has a track record of escapes, bungling and missed performance targets.

“In the UK, its delivery of health services was investigated recently by the health watchdog following allegations that it has been so understaffed as to put patient safety at risk and over admissions that data has been manipulated.

“In Australia, serious concerns have been expressed Serco’s operation of immigration detention centres. It is said that a deliberate policy of short-staffing centres such as Villawood, in Sydney, has exacerbated security and human rights issues encountered there.

“The risks faced by the taxpayer in having a prison built and operated by a private operator, a first for New Zealand, are obvious from these and other overseas examples. Yet National has committed nearly $1billion of taxpayer money over the next 25 years to just such an arrangement.

“All this at a time when there are 1000 surplus beds in the prison system, and where forward projections indicate that the prison population is trending downward.

"National has made a poor decision here, driven more by ideology than by need. The members of the Secure Future Wiri Ltd Consortium need to remain on notice that Labour reserves the right to review the arrangement, with the taxpayers' interests prioritised, when we become Government,” Charles Chauvel said.
ends

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Spy Update: Appointment Of GCSB Acting Director

GCSB Chief Legal Advisor Lisa Fong will become the Acting Director of the Government Communications Security Bureau (GCSB) from 15 February 2016, Minister Responsible for the GCSB Christopher Finlayson announced today. More>>

Protests Close Roads: TPP Signed In Auckland

“TPP was signed by Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United States and Viet Nam.” More>>

ALSO:

Emails Behind 'Diplomatic Immunity' Case: Whitehead Report Released

“As previously indicated the conclusions reached by Mr Whitehead’s investigation are not unexpected but they are very disappointing,” Mr Mccully says. “At the heart of the matter is a single email, along with procedural shortcomings, which gave Malaysian officials the impression it would be acceptable for Mr Rizalman to return to Malaysia." More>>

ALSO:

Gordon Campbell: On The Treaty/TPP Overlap, And Iowa

The fears about the ISDS provisions in the Trans Pacific Partnership deal are well-founded. The reality is that there is a sharp uptick in the occurrence of ISDS litigation in developed countries, and even the right wing likes of The Economist have been souring on the process for some time. More>>

ALSO:

Christchurch Red Zone Offers: Fresh High Court Proceedings

Grant Cameron, Solicitor for the Quake Outcasts said “the action seeks judicial review of the Crown’s recent decision to make a fresh offer to purchase properties from uninsured property owners in red zones. More>>

ALSO:

PM's Post-Cabinet Press Conference: Waitangi And TPP

Prime Minister John Key on Tuesday said his office has received an invitation for him to visit the Lower Marae on Waitangi Day, but was waiting for a meeting of the Te Tii Marae Trustees. More>>

ALSO:

Flagged: 'Wrong Colour' Bridge Flag To Change

NZ First: Only 13 days after National trumpeted its legally questionable flag on Auckland Harbour Bridge, it is now coming down because it is the wrong colour... “Mr Key’s latest flag fiasco is another waste of taxpayers' money. Given it is coming down, down is exactly the location where it should remain. More>>

ALSO:

School's In: Children Head Back To School

“Across the whole of this year we expect 61,820 five year olds will begin their primary schooling for the first time,” says the Ministry of Education head of sector enablement and support Katrina Casey. More>>

ALSO:

Dog & Lemon: FBI Disagrees With NZ Government Over Police Chases

Multiple studies, quoted by the FBI, show that once suspects realise they're no longer being chased; they tend to slow down to normal driving speeds and therefore become far less of a risk. The FBI report also categorically rejected the argument that abandoning police chases meant ‘giving in’ to offenders. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news