Scoop has an Ethical Paywall
Breaking Down Market Disciplines
Breaking Down Market Disciplines
"We have now seen the spectre of Government announcing the construction of a new 155-megawatt oil-fired power plant - it seems that Labour isn't satisfied with its state-owned monopolies controlling the energy sector, it now wants to return to the days when energy decisions were made around the Cabinet table" ACT New Zealand Deputy Leader and Energy Spokesman Ken Shirley said today.
"This is a complete breakdown of market disciplines. What process did the Government take in coming to this investment decision, and how will we ever know if it was the least cost option?" Mr Shirley said.
"We now have a Government making major arbitrary decisions that can only compound the serious distortions in the energy market.
"This decision is not a Labour first. We saw Kawerau's geothermal fields passed to Mighty River Power by Government decree, without any consideration of competitive bids. We have also seen Cabinet override the SOE model by directing Genesis on reserve coal stocks.
"It seems the days of relying upon
the market and competition to provide least cost options
have ended, as we progressively slide back to the former
inefficiencies of Government control and poor
decision-making. We are still servicing the debt on the
failed `Think Big' projects, which resulted from
decisions made by Cabinet ignoring market disciplines,"
Mr Shirley said.
Gordon Campbell: On unemployment, Winston Peters’ low boiling point and music criticism
Labour Party: National Gaslights Women Fighting For Equal Pay
The Treasury: New Treasury Paper On The Productivity Slowdown
NZ Government: Government Recommits To Equal Pay
Emily Ireland - Local Democracy Reporter: Deputy Mayor ‘disgusted’ By Response To Georgina Beyer Sculpture
Te Pāti Māori: Māori Unemployment Rate Increases By More Than Four-Times National Rates
Government: Streamlining Building Consent Changes
