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


Opposition loses the plot on economy

Hon Steven Joyce

Minister for Economic Development
18 April 2012 Media Statement
Opposition loses the plot on economy

Labour and the Greens have jumped the shark with a half-baked Soviet Union-style nationalisation “plan” for electricity in New Zealand, Economic Development Minister Steven Joyce says.

“This is truly wacky and desperate stuff obviously made up in the last minute in the Koru Lounge between comrades Norman and Shearer,” Mr Joyce says.

“Their crazy idea to have both a single national purchaser of electricity and to exempt Government-owned companies from both company tax and dividends would effectively demolish private investment in the electricity industry overnight. It would also raise real questions as to why any individual or company would want to invest in businesses in New Zealand.

“Even the idea of it is economic vandalism of the highest order, with the timing designed to try and disrupt the mixed-ownership company floats. What we are seeing here is a desperate Opposition that is prepared to sacrifice economic development in New Zealand on the altar of political opportunism.

“The sad truth is that Labour has no idea how to operate a competitive market that keeps downward pressure on prices. Labour made a number of reforms to the electricity market in the early 2000s and the result was power prices rising 72 per cent over nine years.

“This Government’s reforms have halved price increases while maintaining investment in generation and transmission. Labour’s suggestion today is no more than a belated apology for their mismanagement, with a back-to-the-70s solution that would only make things worse.

“You seriously have to question the quality of economic advice the Labour Party is getting. They really need to get a lot more serious if they are ever to be considered fit to manage the New Zealand economy.”


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines



Housing Issues: Homelessness On The Horizon For Baby Boomers

Baby Boomers who have held down jobs and contributed to the well-being of New Zealand through their taxes may yet become homeless in late middle age or early retirement without urgent Government action, says The Salvation Army. More>>


Treasury Has Doubts On Christchurch Rebuild And... Auditor-General Follows Up On EQC

Despite the improvements made, EQC could still learn better from complaints and improve its customer focus and interactions... Although the programme is nearing completion, EQC needs to provide the best service possible for the home owners whose homes are still to be repaired. More>>


Man Who Banned 'Into The River' Out The Door: Appointments To The Film And Literature Board Of Review

Internal Affairs Minister Peter Dunne has announced seven appointments to the Film and Literature Board of Review... “The new members of the Board... will provide a strong mix of skills and experience to help the Board carry out its functions, while representing a cross-section of society.” More>>


Climate Marches: New Zealanders March For Solutions Not Pollution

Ahead of the UN Climate Summit in Paris more than 15,000 New Zealanders have taken part in the Peoples Climate march in Auckland, kicking off the largest climate mobilisation the world has ever seen... More>>


Labour: Little Announces New Shadow Cabinet

“Labour had an impressive intake of fresh faces after last year’s election and newest MPs have now had a year to show what they’re made of. This reshuffle rewards hard work and continues my drive to renew our Caucus line up." More>>


Because Reasons: Someone Reckons David Seymour Is Politician Of The Year

Trans Tasman's 11th annual Roll Call has thrown a curve ball this year, ignoring the likes of John Key, Bill English, and Winston Peters to pick its politician of the year from the ranks of the new generation. More>>


Whaling: NZ Deeply Disappointed By Japan's Decision

“New Zealand is strongly opposed to whaling in the Southern Ocean. We call on Japan to take heed of the 2014 International Court of Justice decision and international scientific advice concerning their whaling activities.” More>>


Relevant Consents Gained: Government Unveils RMA Reform Package

The government has formally hauled down the flag on its attempts to alter the balance of environmental and economic priorities in the Resource Management Act, unveiling a 180-page Resource Legislation Amendment Bill containing reforms that have been largely endorsed by most political parties. More>>


Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news