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Rail Study Vindicates Privatisation - Prebble

The independent study into rail privatisation vindicates the decision to sell, says former rail Minister Richard Prebble.

"The study not only shows how all New Zealanders have benefited from privatisation, it also shows that the private investors have not made the windfall profits that Alliance MPs keep alleging.

"The $1 billion benefit to New Zealand is a huge sum, equal to 1% of GDP. I believe that studies of other privatised industries would show similar benefits to the consumers.

"The paper should be matched by a similar study of the cost of not privatising TVNZ, the baby ECNZs and other businesses still owned by the taxpayer. The cost of holding on to TVNZ alone is costing the taxpayer at least $100 million a year in lost value.

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