Rt Hon Winston Peters
New Zealand First Leader

Andrew Williams MP
Spokesperson for Commerce

1 March 2013

Government Procurement Bill To Give NZ Firms Preference

New Zealand First is drafting policy that would make it compulsory for government departments, state-owned companies and local councils to give first preference to New Zealand firms over foreign competitors.

The Government Procurement – Buy New Zealand policy would be triggered whenever public contracts go to tender.

The Policy would incorporate measures to ensure central and local governments put their business through New Zealand-owned banks.

Rt Hon Winston Peters says the difference in cost between a local product and an identical foreign product must exceed a certain percentage and benefit before foreign bids would be accepted.

“An independent board would be set up to review government procurement decisions based on a set of economic criteria.

“Central government alone spends $30 billion a year on procurement. Too many of these contracts are going offshore.”

Commerce spokesperson Andrew Williams says a 2010 study by BERL found that for every $1 million spent locally rather than overseas, 10.4 jobs are created or maintained, $108,457 of tax revenue is generated, and $128,685 savings are made on welfare payments.

“Our policy would put a stop to cheap foreign labour undercutting Kiwi workers. For example, it would have saved KiwiRail’s Hillside workshop,” says Mr Williams.

New Zealand First is in the process of drafting a Member’s Bill based on its Government Procurement policy.

ENDS

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Wellington: NZTA's Plans
For Basin, Mt Vic Tunnel, Transport Spine

A better transport future for Wellington City is a step closer, with a package of transport infrastructure proposals that will make getting around the city easier for everyone.

The NZ Transport Agency, Greater Wellington Regional Council and Wellington City Council today released the final report of the Public Transport Spine Study about future public transport options for the city. At the same time, NZTA released refined plans for State Highway 1 including the Basin Bridge, Mount Victoria Tunnel duplication, and widening of Ruahine Street and Wellington Road.

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