INDEPENDENT NEWS

Opposition loses the plot on economy

Published: Thu 18 Apr 2013 03:57 PM
Hon Steven Joyce
Minister for Economic Development
18 April 2012 Media Statement
Opposition loses the plot on economy
Labour and the Greens have jumped the shark with a half-baked Soviet Union-style nationalisation “plan” for electricity in New Zealand, Economic Development Minister Steven Joyce says.
“This is truly wacky and desperate stuff obviously made up in the last minute in the Koru Lounge between comrades Norman and Shearer,” Mr Joyce says.
“Their crazy idea to have both a single national purchaser of electricity and to exempt Government-owned companies from both company tax and dividends would effectively demolish private investment in the electricity industry overnight. It would also raise real questions as to why any individual or company would want to invest in businesses in New Zealand.
“Even the idea of it is economic vandalism of the highest order, with the timing designed to try and disrupt the mixed-ownership company floats. What we are seeing here is a desperate Opposition that is prepared to sacrifice economic development in New Zealand on the altar of political opportunism.
“The sad truth is that Labour has no idea how to operate a competitive market that keeps downward pressure on prices. Labour made a number of reforms to the electricity market in the early 2000s and the result was power prices rising 72 per cent over nine years.
“This Government’s reforms have halved price increases while maintaining investment in generation and transmission. Labour’s suggestion today is no more than a belated apology for their mismanagement, with a back-to-the-70s solution that would only make things worse.
“You seriously have to question the quality of economic advice the Labour Party is getting. They really need to get a lot more serious if they are ever to be considered fit to manage the New Zealand economy.”
ENDS

Next in New Zealand politics

Government announces plan to tackle problem plastics
By: New Zealand Government
On The New Lockdowns, Leadership And Lebanon
By: Gordon Campbell
National Selects Emma Mellow As Auckland Central Candidate
By: New Zealand National Party
Update on New Zealand and the Cook Islands travel bubble
By: New Zealand Government
Speech: Ardern - Let’s Keep Moving - 2020 Election Campaign Launch
By: New Zealand Labour Party
On Political Twins, And On Labour Extending Its Wage Subsidy Scheme
By: Gordon Campbell
Overall, 82% Trust Pandemic’s Management – Down From 91%
By: Horizon Research Limited
National Releases 2020 Party List
By: New Zealand National Party
How Judith Collins stopped the bleeding
By: Horizon Research Limited
Your Vote 2020: Bringing Election Coverage To Viewers Across TVNZ Channels And Platforms
By: TVNZ
30% Believe Households Worse Off, 298,000 Expect To Lose Jobs
By: Horizon Research Limited
Findings Of Investigation Into COVID-19 Active Cases Privacy Breach
By: State Services Commission
New Zealand suspends extradition treaty with Hong Kong
By: New Zealand Government
WasteMINZ Pleased To See Phase Out Of Single-use Plastic Items
By: WasteMINZ
Govt Proposal To Ban Wide Range Of Single-use Plastic Items World-leading, Says Takeaway Throwaways
By: Takeaway Throwaways
View as: DESKTOP | MOBILE © Scoop Media