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

 


Govt admits asset sales program in deep trouble

27 May 2013

Govt admits asset sales program in deep trouble

National has admitted that its asset sales programme is a failure with its decision to consider selling Meridian Energy in blocks, Green Party Co-leader Dr Russel Norman said today.

Media reports suggest Meridian's 49% shareholding may be sold down in blocks by the National Government.

“As shares in Mighty River Power hit a new low, the Key Government knows it cannot sell 49% of Meridian Energy in one hit in the current climate,” Dr Norman said today

“Unfortunately, rather than biting the bullet and calling a complete halt to its asset sales program it is pushing ahead with a foolish plan to sell Meridian Energy in chunks.

“The Mighty River Power sale was a mighty flop and the Key Government knows that pushing ahead with another sale will result in even fewer shares going to ‘mum and dad investors’.

“Despite spending millions on advertising the truth is that 98 percent of New Zealanders bought no shares in Mighty River Power at all.

“The Government simply can’t get the numbers of ordinary New Zealanders to buy shares in its asset sales program.”

According to Milford Asset Management, at least 170,000 retail investors will have to buy Meridian shares to match Mighty River's retail ownership. Only 113,000 participated in Mighty River’s sale, despite 440,000 people pre-registering their interest.

“Mighty River Power shares have for the most part gone to a small group of wealthy New Zealanders, companies, trusts, and overseas investors,” Dr Norman said.

“Most New Zealanders do not want to buy shares in companies they currently all own.

“It is time for the Key Government to listen to the concerns of commentators, the business community and ordinary New Zealanders and cancel its economically disastrous asset sales program.”

ENDS


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

PARLIAMENT TODAY:

Labour: Cash For Charter Schools, Mould For State Schools

“Recently released financial statements show the Whangarei charter school He Puna Marama received $3.9 million in government funding to the end of last year. Yet their audited accounts show they only spent $1.4 million on education, leaving almost $2.5 million over two years unaccounted for." More>>

ALSO:

Kiwirail Plans Shift From Electric: National Urged Not To Take Backwards Step

The National Government shouldn’t drag New Zealand backwards by replacing its climate friendly electric trains with carbon-polluting diesel trains, the Green Party said today. More>>

ALSO:

Capital Connection:

Harmful Digital Communication Bill Passes: Focus Must Be On Education

InternetNZ acknowledges the passage of the Harmful Digital Communications Bill into law this afternoon, and says that the sooner the education efforts at the heart of the legislation start, the better... More>>

ALSO:

3-Year Transport Plan: No Plans On Six Northland-Election Bridges

The Transport Authority’s decision to fund only four of the 10 bridges promised in National’s shameless Northland by-election bribe is a huge embarrassment for Transport Minister Simon Bridges, Labour’s Transport spokesperson Phil Twyford says. More>>

ALSO:

Gaza Blockade: Māori TV Crew Returning Safely From Israel

A Māori Television crew will be flown back from Israel after their boat was detained by the Israeli Navy while attempting to break the Gaza blockade. More>>

ALSO:

Family Violence: Increasing Reporting But Fewer Resolutions

“We are aware the Police have embarked on a significant programme of change in how they respond to family violence. The data suggests that adequate resourcing including investing in staff training, support and culture change will be required for this to be effective.” More>>

ALSO:

Health: NZ Children Still Suffer Rickets From Lack Of Vitamin D

Vitamin D deficiency continues to cause rickets in young New Zealanders, new University of Otago research has found. The researchers say that their finding suggests that at-risk mothers and children should be better targeted for Vitamin D supplementation. More>>

Also GPs, Housing, Milk: PM Press Conference On The UN Security Council

In a press conference today the Prime Minister discussed the upcoming appointment of New Zealand to chair the UN Security Council. He said they would put pressure Asad in Syria and attempt to “jump start” negotiations between Israel and Palestine. More>>

ALSO:

Housing: State Houses Could Sell To Overseas Groups

Bill English’s admission that he would sell hundreds of New Zealand’s state houses to the Australians is the latest lurch in the Government’s stumbling, half-baked housing policy, Labour’s housing spokesperson Phil Twyford says. More>>

ALSO:

AND:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news