Fidel Castro and Kim Jong Il Are Not Ideal Role Models
ACT Transport Spokesman Deborah Coddington today asked why the `Buy Back Rail' gang want to stop at nationalising
railways.
"Green and Progressive politicians claim the Government must purchase Tranz Rail because the private company is not
making a profit. But if we accept that argument, surely the Government has a moral duty to nationalise every business in
difficulty from Cape Reinga to Bluff.
"As we saw with Air New Zealand, rewarding a `poor performer' by bailing it out with taxpayer money sends the worst
possible signal to the commercial sector.
"The test of privatisation is not whether a company does well - it's whether the public is better off. The
privatisation of New Zealand Rail increased competition, put taxpayers at less risk, and brought a consumer focus to the
company.
"United Future claims the Government should purchase the entire rail network and leave the private sector with the
rolling stock. That's just loopy. It places all the risk on the taxpayer. If the Government failed to maintain the track
and there was an accident affecting privately owned machinery, it would be the taxpayer who would foot the bill.
"Tranz Rail should be left to get on with its legitimate business, or go into receivership or liquidation.
"I'm appalled that these politicians believe our country should emulate North Korea and Cuba and embark on a project of
nationalisation. There's no reason for the Government to waste a cent of taxpayer money," Miss Coddington said.