7 May 2009

Government leaves room to privatise Auckland water

The Government set the stage for a sell-off of Auckland's water services today.

"The Government's privatisation agenda for Auckland has been laid bare, as they would not promise to keep legislation that protects Auckland assets," Dr Russel Norman, Green Party Co-Leader said today.

The Local Government Act 2002 http://www.legislation.govt.nz/act/public/2002/0084/latest/DLM172933.html?search=ts_act_local+government_resel currently states that a local government organisation must not 'divest its ownership or other interest in a water service' or 'lose control of, sell, or otherwise dispose of, the significant infrastructure necessary for providing water services in its region or district'.

"The Prime Minister could not deny during question time that these important protections are under threat. John Banks may soon have a free hand to flog off all of Auckland's silverware," Dr Norman said.

"The Prime Minister hedged his bets, saying that privatisation would not be part of their restructuring plans, but failed to say that current protections in the law will remain in force.

"He said that privatisation is a choice for Aucklanders, but it is not. His Government has to change the law for privatisation to happen and he will not rule that out.

"This is privatisation by stealth and Aucklanders are not likely to be properly consulted about it," Dr Norman said.

For the relevant section of the Local Government Act 2002: http://www.legislation.govt.nz/act/public/2002/0084/latest/DLM172933.html?search=ts_act_local+government_resel#DLM172933

ENDS

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