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

 


Green Party proposal will keep more Meridian in public hands

New Green Party proposal will keep more of Meridian in public hands
 
The Green Party has announced it will offer investors in Meridian Energy the choice of not paying their second instalment payment in return for the Government retaining more shares in public ownership, Green Party Co-leader Dr Russel Norman said today.
 
In National's sale of Meridian in October, investors paid a dollar per share up front and owe a further 50 cents in May 2015 to take full ownership of the shares. The Green Party proposal will give investors the option to opt out of the remaining 50 cents instalment and, instead, receive fewer full shares which will remain in public ownership instead (the number of shares investors forego will depend on the current share price).
 
The shares investors forego will go to the Crown to settle the investors' payment obligation. If the share price in 2015 is $1.50 and all investors take up this option, the Crown's ownership of Meridian will be 67-68%, rather than 51%.
 
This option will be open to both individuals and institutions and will be voluntary.
 
"This plan will give investors choice and will see more of Meridian in public hands," said Dr Norman.
 
“This is a smart solution to keep more public ownership of Meridian. It is a win for the public and a win for those investors that want to get out of the Meridian sale.
 
"Effectively, investors will be able to choose to settle their obligation in shares, rather than cash. New Zealanders who don't want to put more money into their Meridian investment will now have another choice.
 
"The Crown will trade higher ownership in Meridian for receiving slightly less asset sales revenue.
 
"The higher net dividends that the Crown will receive from owning more of Meridian, rather than receiving asset sales cash, will add up to $18 million a year to the government surplus.
 
“The Government holding on to a greater number of Meridian shares is more financially beneficial than selling them now. 
 
"Instalment sales, such as National's sale of Meridian, are notorious for investors refusing to pay the second instalment, especially when the value of the shares has fallen since the first instalment was paid.
 
"The Greens have steadfastly opposed asset sales from day one. This move will keep more of Meridian in public ownership.
 
“New Zealanders oppose asset sales. A strong no vote in the current referendum sends a strong message to the Government to use all means possible, such as the Meridian proposal we have announced today, to keep as much of our assets in public ownership.
 
"Further options to return the assets to public ownership will depend on the state that the Crown accounts are in following National's record borrowing binge and the strength of the mandate that we receive in the current referendum," said Dr Norman.
 
Backgrounder on the proposal - https://www.greens.org.nz/factsheets/backgrounder-green-party-plan-higher-public-ownership-meridian-0

ENDS

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Life And ACC Work Of Sir Owen Woodhouse

With the death of Sir Owen Woodhouse, the founding father of the Accident Compensation Scheme, New Zealand has lost one of the titans of its post-war social policy.

In its original incarnation in the early 1970s, ACC had been a globally innovative “no fault” scheme whereby accident victims surrendered their right to sue those responsible – on the understanding that they would receive compensation at a level that, as Woodhouse famously stated, would be sufficient to enable accident victims to fully participate in social life... More>>

 

Parliament Today:

Bad Transnationals: Rio Tinto Wins 2013 Roger Award

It won the 2011 Roger Award and was runner up in 2012, 2009 and 08. One 2013 nomination said simply and in its entirety: “Blackmailing country”... More>>

ALSO:

Select Committees: Tobacco Plain Packaging Hearings

The Stroke Foundation is today backing the Cancer Society and Smokefree Coalition who are making oral submissions to the Health Select Committee in support of proposed legislation to remove of all branding from tobacco products. More>>

ALSO:

Milk: Oravida Asked For Cabinet Help

New evidence released by New Zealand First today reveals Justice Minister Judith Collins used her position to manipulate the Government to help her husband’s company, Oravida, after the Fonterra botulism scare, says New Zealand First Leader Rt Hon Winston Peters. More>>

ALSO:

With Conditions: Ruataniwha Consents Approved In Draft Decision

The Tukituki Catchment Proposal Board of Inquiry has granted 17 resource consents relating to the $265 million Ruataniwha Water Storage Scheme in a draft decision that would open more of the Hawke’s Bay to irrigation. More>>

ALSO:

Fast Lanes, Campervans: Labour 'Making The Holidays Easier For Kiwi Drivers'

The next Labour Government will make the holidays easier and journeys quicker for Kiwi families driving on the roads, says Labour Leader David Cunliffe. More>>

ALSO:

Gordon Campbell: On Royalty And Its Tourism Spin-Offs

Ultimately the Queen’s longevity has been one of her most significant accomplishments. A transition to Prince Charles while the monarchy was in the pits of public esteem in the mid to late 1990s would have been disastrous for the Royal Firm. Far more congenial representatives have now emerged... More>>

ALSO:

Privacy (Again): ACC Demands Excessive Privacy Waivers

Labour: “This is just another example of ACC under National deliberately acting to deny treatment and compensation... Those who did fill in the form have effectively been victims of yet another ACC privacy breach. This time Judith Collins knew it was happening..." More>>

ALSO:

IPCC: Many Pathways To Substantial Emissions Reductions Available

A new report by the Intergovernmental Panel on Climate Change (IPCC) shows that global emissions of greenhouse gases have risen to unprecedented levels despite a growing number of policies to reduce climate change. Emissions grew more quickly between 2000 and 2010 than in each of the three previous decades. More>>

ALSO:

Bowels: Green Light From Labour For Cancer Screening Programme

Labour Leader David Cunliffe has today committed to a national bowel screening programme, starting with extending the current service to the Southern and Waikato districts. More>>

ALSO:

Dotcom Speaks To Mana AGM: Negotiations With The Internet Party To COntinue

The MANA AGM decided unanimously to continue negotiaitions with the Internet Party. Within a month further negotiations, further consultation with MANA branches and a final decision on whether to proceed with a relationship is expected. More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news