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Posts Tagged ‘NZ Power’

Radio NZ: Nine To Noon – Election year interviews – David Cunliffe

26 February 2014 Leave a comment

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– Radio NZ, Nine To Noon –

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– Wednesday 25 February 2014 –

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– Kathryn Ryan –

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On  Nine To Noon, Kathyrn Ryan interviewed Labour’s leader, David Cunliffe, and asked him about coalition negotiations, policies, polls, and other issues…

 

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Radio NZ logo -  nine to noon

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Click to Listen: Election year interviews (27′ 50″ )

A major policy statement by David Cunliffe;

@ 22.00:  “We will create incentives for private employers to be certified living wage employers, who pay the living wage  to all their employees, by giving them a preference in  Crown contracts.”

This will not only support firms that pay their staff properly – but will de facto give preference to local businesses to supply goods and services!

If this doesn’t motivate Small-Medium Enterprises to switch their allegiances from the Nats to Labour, I don’t know what will!

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Radio NZ: Politics with Matthew Hooton and Mike Williams – 24 February 2014

24 February 2014 Leave a comment

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– Politics on Nine To Noon –

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– Monday 24 February 2014 –

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– Kathryn Ryan, with Matthew Hooton & Mike Williams –

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Today on Politics on Nine To Noon,

Matthew Hooton and Mike Williams discuss the recent political polls.

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radio-nz-logo-politics-on-nine-to-noon

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Click to Listen: Politics with Matthew Hooton and Mike Williams (21′ 58″ )

  • TV1-Colmar Brunton Poll, Roy Morgan poll
  • Election campaigns
  • David Parker
  • Labour Party, NZ Power, “Best Start”, Auckland Rail Loop early start
  • Russell Norman, Kim Dotcom
  • David Cunliffe
  • Shane Taurima, TVNZ
  • Winston Peters
  • Greens, David Hay, Leaders’ Debates
  • ACT, Richard Prebble, Jamie Whyte, flat tax
  • Conservative Party, Colin Craig
  • and an early election in September?

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Employers and Manufacturers Association – wishing for cheaper power is not enough

1 January 2014 5 comments

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HeraldCartoon3413

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Recently, EMA CEO, Kim Campbell, issued a media statement condemning the current high power prices and promises of a “price freeze” by Mighty River Power as inadequate. Campbell’s own words were that the so-called price freeze is  “simply not enough”.

By the way, I refer to MRP’s price freeze as “so called” because, as CEO,  Doug Heffernan stated,

We are now confirming that for our customers there will be no increase in our energy prices for a further 15 months. However, there will likely be changes in customer pricing from April 1 due to variables over which we have no control that we pass through on our bills – such as transmission and distribution charges and any increases in metering costs due to regulatory requirements.”

Source

Unfortunately, the Employers and Manufacturers Association – whilst calling for a drop in power prices – offers nothing constructive in making it happen.

Indeed, in May 2013, soon after the combined LabourGreen announcement on the creation of a single-buyer desk called NZ Power, the EMA (and others) roundly condemned the move.

The EMA was a co-signatory to an open letter  on 2 May, from BusinessNZ and the heads of several chambers of commerce. The letter said, that the policy would harm jobs, growth and investment, causing interest rates to rise, reducing KiwiSaver retirement savings and making people less well off (source).

The associated media release stated,

The signatories to the letter offer to work with the Labour and Green parties to help increase public understanding of the operation of the electricity market and in ensuring consumers have better choice as the electricity market becomes more competitive.”

IBID

BusinessNZ Chief Executive Phil O’Reilly, stated,

More price competition – rather than damaging price controls – is needed to drive down electricity prices.”

IBID

Well, that “price competition” has worked so amazingly well that seven and a half months later, on 16 December, one of the signatories to that letter condemning NZ Power wrote,

With power supply clearly outstripping demand, electricity prices are now too high and should come down, the Employers and Manufacturers Association says.

“New Zealand clearly now has an excess of installed electricity capacity,” said Kim Campbell, EMA’s chief executive.

“Demand for power is well below the country’s generation capacity and its price should reduce to help stimulate New Zealand’s economic recovery and offset inflationary pressures forecast in other parts of the economy.

“At present projections the savings available to business and residential consumers would be at least $67 million a year, but we suspect it could be much more.

“Stating as Mighty River Power has, that they will not increase the electricity price for three years is simply not enough.

“The Major Electricity Users Group notes the futures price for wholesale power for the year from 1st April 2014 is 7.14 c/kWh, down 0.17 c/kWh for the year. In a competitive market this reduction would be reflected in wholesale costs which would be passed through to retail customers.

“MEUG calculates that an average household using 8,000 kWh per year would save at least $13.80 per year or $23 million for all households.

“For all businesses and residences the potential cost reductions amount to $67 million in 2014/15.

“To maximise competitiveness our electricity market structures need to ensure the lowest possible power price while signalling the right time to invest in future generation and transmission.

Source

Unfortunately, Campbell then shoots himself in the proverbial foot by adding,

The Labour/Greens electricity proposal to underprice our existing power assets is no answer.

“To spur on market competition businesses should seek out the best power deals at www.whatsmynumber.org.nz/mybusiness

As I said, hasn’t that worked out well?!

So, if I understand Campbell’s stance on this problem; the LabourGreen proposal for NZ Power “is no answer“.

Instead, begging the power companies to drop their prices is Campbell’s only solution?!

Pathetic.

His “solution” is a do-nothing, beg-for-the-best, whilst New Zealanders are having to pay for higher and higher power prices.

To remind Campbell and his fellow businessmen and women; the more that we consumers pay for electricity –

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MED Prices-httpwww.med.govt.nzsectors-industriesenergyenergy-modellingdataprices

Source

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the less disposable income we consumers have to spend on their goods and services.

Without drawing a bright, pretty, picture with crayons, I can’t make that simple truism any clearer to understand.

Which is why, when the EMA joined BusinessNZ in an ideological vendetta against the LabourGreen proposal, they were not only doing consumers a grave disservice – but also slitting their own financial throats.

The. More. We. Spend. On. Power, The. Less. We. Have. To. Spend. On. Other. Goods. And. Services.

Perhaps Campbell and his supposedly astute business colleagues should re-visit their position on NZ Power?

Who knows – it might actually be good for business!

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This blogpost was first published on The Daily Blog on 25 December 2013.

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References

Otago Daily Times: Lower power prices coming says Bradford (3 June 1999)

MoBIE: Power prices

Statistics New Zealand: The history of electricity reform

NZ Herald: Labour, Greens make power promise

Scoop media: Open Letter to Labour, Greens: Please Withdraw Your Policy

TV3: Mighty River Power promises price freeze until April 2015

Scoop media: Electricity prices should come down

Fairfax media: Business urges Opposition to dump power plans

Previous related blogposts

The Politics of Power and a Very Clear Choice – Part Tahi

The Politics of Power and a Very Clear Choice – Part Rua

The Politics of Power and a Very Clear Choice – Part Toru

The Politics of Power and a Very Clear Choice – Part Wha

It’s Official, The Sky Will Fall – Phil O’Reilly

Labour, Greens, NZ First, & Mana – A Bright Idea with electricity!

History Lesson – Tahi – Electricity Sector “reforms”

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Radio NZ: Politics with Matthew Hooton and Mike Williams – 9 December 2013

10 December 2013 Leave a comment

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– Politics on Nine To Noon –

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– Monday 9 December 2013 –

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– Kathryn Ryan, with Matthew Hooton & Mike Williams –

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Today on Politics on Nine To Noon,

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radio-nz-logo-politics-on-nine-to-noon

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Click to Listen: Politics with Matthew Hooton and Mike Williams ( 25′ 53″  )

This week:

  • The political ramifications of Nelson Mandela’s death and the NZ delegation travelling to South Africa,
  • the Green Party’s new policy for the Meridian share float,
  • and leadership changes within New Zealand’s smaller political parties.

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The Vote, Electricity, and Sex! (That’ll grab your attention!)

18 June 2013 6 comments

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TV3 The Vote  18 June

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Question: How would it feel to be pregnant?

Answer: No idea. I’m not a woman.

Question: How would it feel to be a billionaire?

Answer: No idea. I’ve never had that kind of wealth.

Question: How would it feel to be intellectually handicapped through foetal alcohol syndrome.

Answer: No idea. I’m not intellectually handicapped, nor affected by foetal alcohol syndrome.

Question: How would it feel to be in a warzone, as a combatant, killing people?

Answer: No idea. I’ve never been in a warzone, as a combatant, killing people.

Yet, TV3 is asking viewers – many of whom are reasonably well-off, comfortable, secure, well-fed, warm,  middle class families – to understand the effects that long-term, ingrained poverty has on families?

The question tomorrow (19 June) will be;

Our kids – The problem’s not poverty, it’s parenting. Do you agree?

It a ludicrous question, of course.  Those who’ve never experienced poverty have little idea what it’s really like.

What is even more stomach-turning is that the debating team that supports the Question – that The problem’s not poverty, it’s parenting – are these following characters,

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The Vote - Bob McCoskrie

Bob McCoskrie

Bob McCoskrie has a background in teaching and accounting, having graduated from Auckland University in 1986 with a Masters of Commerce with Honours, and a Diploma in Teaching from the Auckland College of Education. He lectured in accounting, taxation, and commercial law at Manukau Polytechnic for four years, before becoming Director of Youth for Christ (YFC) South Auckland in 1990. In 1994, he set up the Papatoetoe Adolescent Christian Trust (PACT) working with at-risk youth and their families in schools and the South Auckland community. In 1996 he was appointed a Justice of the Peace. In 2002, he joined the Rhema Broadcasting Group as Breakfast / Talkback Host on their nationwide programme, and Television presenter on their Current Affairs show “NZone Focus”.In 2006 he left RBG to establish the advocacy and research organization Family First (NZ) and is its National Director. Bob is married to Tina, and they have three children.

The Vote - Hannah Tamaki

Hannah Tamaki

Hannah is the co-founder of Destiny Churches New Zealand with her husband, Bishop Brian Tamaki. The church movement possesses one of the largest Maori memberships in the country. In addition to being a grandmother of 10 adoring grandchildren, Hannah’s role involves senior level leadership as well as ground-floor mentoring and counselling with families requirement spiritual and practical input and guidance. Besides running a very successful and well attended women’s ministry, Hannah founded Healing Hands Trust which assists women and their whanau with acute medical conditions requiring urgent surgery, and she has played a lead role in establishing a school and early childhood centre. Hannah’s unwavering passion for people is evident in everything she puts her hands to.

The Vote - Christine Rankin

Christine Rankin

Christine Rankin is a former Families Commissioner, CEO of the ‘For Sake of Our Children Trust’ and has recently taken up the position of CEO of the Conservative Party. Christine was on a Domestic Purposes Benefit and had no University Degree before taking on a temporary job with the Department of Social Welfare in 1978. By 1998 she had worked her way to the top, becoming the youngest director in the country. She was later appointed General Manager and then Chief Executive of Work and Income New Zealand, responsible for around 5500 staff. Christine is committed to the well-being of children and is renowned as a speaker on leadership, culture change and political/social issues, as well as sharing her own story of making it against the odds.

Acknowledegment: TV3 – The Vote

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Why are three middle class, affluent, well-resourced, high-income earning individuals pontificating about the effects of poverty on this country’s poorest people? What the hell would they know?

It’s like having men debating the effects of pregnancy and/or abortion on women’s bodies and minds.

It’s like having white anglo-saxons denying the existance of racism.

And really, none of those three are in any position to moralise.

One is an advocate of beating children and is openly homophobic.

Another has grown bloated-rich on the backs of her poor (often Maori) congregation.

And the last – well, I’ll keep my knowledge of the “Ear-ringed One’s” past proclivities to myself.

The question is utterly meaningless in the wider context, and the “Yes/No” nature denies the complexities of the problem (I refuse to call it an “issue”).

For what it’s worth (admittedlynot much), we’ll be voting a firm,

‘No’

Text 3665.

Or, vote on-line.

If only to show that there is more to this than playing the ‘blame-game’.

As for Rankin, Tamaki, and McCoskie – I don’t expect much from them except tediously-repeated prejudice, rhetoric, and stereotyping.

Prove me wrong, you three.

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Labour promises to cut power prices

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NBR - Power authority head attacks Greens-Labour electricity plan

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Industry critics shocked by chairman's report

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Electricity Authority Chairman, Brent Layton, was a National Party appointment, in October 2010.

Hardly surprising then, that the Nats would prompt him to try to condemn Labour-Greens “NZ Power” single buyer desk.

Unfortunately, Layton cannot ignore the fact the electricity prices have soared since Max Bradford’s “reforms” – by over 75% – and he has done nothing to alleviate price rises.

Ministry of Economic Development (MED) statistics show average power prices rose from 13.9 cents per kilowatt-hour on average in May 2001 to 26 cents in May 2011.

Acknowledgement: NZ Herald – Power prices double over decade

Low and middle-income families have been the ones paying higher and higher prices – whilst industry and commercial users have had cheaper tariffs. The reality is that, we, the public, have been subsidising business. (On top of which,  electricity costs for business are tax-deductible – unlike for residential users.)

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MED domestic business electricity prices

Acknowledgement: Ministry of Economic Development (MED) – Prices

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The MED graph above is fairly crystal clear.

So much for Layton’s scare-mongering  bullshit – some of which was published on the right-wing publication, the NBR (National Business Review).

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electricity - Electricity Authority - NZ Power - rising power prices

Brent Layton – scare-mongering for his National mates?

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Grey Power is 100% when they state;

“We can argue about the reports and validity of the data but everyone knows electricity prices have continued to rise at an alarming rate over the last decade, and the profits of the electricity sector have been far in excess of what is reasonable and in some cases quite obscene.”

As such Layton, as a government mouth-piece and cadre for the “market”, is part of the problem.

This consumer can hardly wait for NZ Power to come online. It can be funded by getting rid of the useless Electricity Authority – and sacking Layton.

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Sex report slams Kiwi lessons

Acknowledgement: NZ Herald – Sex report slams Kiwi lessons

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On the issue of  Bob McCroskie and his ultra-conservative, right-wing group, Family First, they have released a report called “R18: Sexuality Education in New Zealand – A Critical Review”.

The report criticises sex education in New Zealand, with the author, United States psychiatrist Dr Miriam Grossman, stating,

A premise of modern sex education is that young people have the right to make their own decisions about sexual activity, and no judging is allowed. Risky behaviours are normalised and even celebrated. Children and adolescents are introduced to sexual activities their parents would prefer they not even know about, let alone practice. It’s reasonable to ask: is the ‘comprehensive sexuality education’ foisted on young people all over the world about sexual health, or sexual licence?

While most of these resources claim to promote sexual health, we find, overall, little encouragement of restraint or self-discipline. Instead, students are informed that at any age, sexual freedom is a ‘right.

The information is not accurate, comprehensive, or up-to-date. Sex is seen as risky only when it’s ‘unprotected’. The efficacy of condoms is overstated, in some cases vastly so. The quantitative data about their use is absent. The vulnerability of the immature cervix and the hazards of anal intercourse are omitted. Chlamydia is incorrectly described as ‘easily cured’. Young people are led to believe that sex is easily divorced from emotional attachment. Worst of all, critical life and death information is distorted or ignored.

Students are left misinformed, and with a false sense of security. Surely this is the last thing parents want.

Acknowledgement: Scoop – Sex Ed Preaches Sexual Licence, Not Sexual Health

The Scoop press release issued by Family First describes Dr Miriam Grossman thusly,

“Miriam Grossman MD is known internationally for her courage in breaking ranks and calling foul on the sexuality education industry. She has lectured at the British House of Lords and the United Nations. Dr Grossman is board certified in psychiatry and in the sub-specialty of child and adolescent psychiatry. Dr Grossman visited New Zealand last year.”

Acknowledgement: IBID

So who is Dr Miriam Grossman? And why has she provided an anti-sex education report for the ultra-conservative Family First?

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Dr Miriam Grossman - anti-sex education, ultra-conservative

Dr Miriam Grossman – anti-sex education, ultra-conservative

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Because Dr Miriam Grossman herself is an  anti-sex education, ultra-conservative.

Without re-writing what has already been written about this person, instead I will quote from GayNZ. Their comments mirror mine precisely,

For a change, Grossman isn’t a fundamentalist Protestant or conservative Catholic- although she is a religious social conservative, namely an Orthodox Jew. It should be noted that not all Orthodox Jews subscribe to co-belligerency with the Christian Right, wary of the troubled fundamentalist and Catholic pasts insofar as anti-Semitism is concerned. However, Grosssman doesn’t fall into that category- she is a regular guest of US Christian Right organisations like Focus on the Family and participates within the World Congress of Families, a US Christian Right-centred international networking annual conference, to be held in Madrid in May 2012 this year.

And as one might guess, the “World Congress of Families” is fixated on a narrow range of religious social conservative obsessions- opposition to feminism, opposition to LGBT legislative reform, opposition to abortion rights, opposition to comprehensive sex education and nothing that really affects real families all that much. According to the March 2012, our own beloved Family First isn’t a ‘partner’ like notorious antigay organisations Americans for “Truth” about Homosexuality, Focus on the Family and Family Research Council (US), Christian Concern (UK), Endeavour Forum and the Australian Family Association (Australia), REAL Women (Canada), Human Life International and Tradition Family and Property.

Grossman’s forte is attacking comprehensive sexuality organisation as produced by mainstream evidence-based organisations like the International Planned Parenthood Federation and our own Family Planning Association. This involves indoctrinating young women with propaganda about STIs and psychological stresses involved with initiating and maintaining sexual relationships, while neglecting important correlates like self-esteem education and information about contraception. These ‘fear-based curricula’ don’t actually prevent teenagers from having sex, and they do lack information about how to protect oneself from HIV/AIDS and STI through condoms and other forms of contraception. Needless to say, Grossman toes the religious social conservative party line when it comes to homosexuality too- on the basis of extremely biased ‘evidence’ from the exgay NARTH organisation, she argues that sexual orientation can be easily modified. She herself is associated with the Clare Booth Luce Policy Institute, a US antifeminist research organisation. People For the American Way has excellent articles on insight into their agenda on their website, which provide useful rebuttals of the ‘science’ involved.

It’s easy to speculate what sort of ‘research’ will be cited at this event. We are supposed to be blinded by the fact that Grossman has professional qualifications without asking whether her particular opinion is congruent with evidence-based research and practise from mainstream professional opinion and practise. Whenever one encounters religious social conservative professionals, one is met with badly designed ‘research’ methods and practise, selective citation or distortion of others research if it contradicts religious social conservative dogma and ‘cherry picking’ of selective data sets compared to a wider body of research that shows some inconvenient conclusions that refute their case. In two words, junk ‘science’

No wonder Family First invited her to their Forum. I would also hazard a guess that her involvement suggests that Family First may be becoming increasingly dependent on the US Christian Right and its Canadian, British and Australian satellites for its survival in terms of propaganda, tactics and strategy. I could only count four fundamentalist small business donors for the Forum this year- Business and Tax Advisors, FetchALamp, Pharmabrokers and Leaning Options. Obviously, the recession is biting deep into their pool of available donors, judging from the meagre nature of this list. Family First is also actively involved in propagandising for one of her books, of which there are two, published by conservative US imprints Regnery and Sentinel.

How convenient to be so forewarned.

Acknowledgement: GayNZ – Who is Miriam Grossman?

Dr Miriam Grossman, Family First, and Bob McCoskrie – all advocating that when it comes to sex education, ignorance is bliss.

And McCoskrie is appearing on Third Degree The Vote, tomorrow night, debating against the concept of poverty’s affect on children?

More ignorance is bliss no doubt.

Other blogs

Ideologically Impure: Dr Miriam Grossman: when you want some fear-mongering in your sex ed

Frogblog: Family First gets it wrong on sexuality education also

Herstory: Dr Miriam Grossman, lies, bent truths, and irresponsible medicine

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Electricity Authority Chairman, Brent Layton, was a National Party appointment. Electricity Authority Chairman, Brent Layton, was a National Party appointment.Hardly surprising then, that the Nats would prompt him to try to condemn Labour-Greens “NZ Power” single buyer desk.Unfortunately, Layton cannot ignore the fact the electricity prices have soared since Max Bradford’s “reforms” – by over 75% – and he has done nothing to alleviate price rises. Low and middle-income families have been the ones paying higher and higher prices – whilst industry and commercial users have had cheaper tariffs. As such, we, the public, have been subsidising business.As such, Gre Power is 100% when they state; “”We can argue about the reports and validity of the data but everyone knows electricity prices have continued to rise at an alarming rate over the last decade, and the profits of the electricity sector have been far in excess of what is reasonable and in some cases quite obscene.”As such Layton, as a government mouth-piece , is part of the problem.This consumer can hardly wait for NZ Power to come online. It can be funded by getting rid of the useless Electricity Authority and sacking Layton.Hardly surprising then, that the Nats would prompt him to try to condemn Labour-Greens “NZ Power” single buyer desk.Unfortunately, Layton cannot ignore the fact the electricity prices have soared since Max Bradford’s “reforms” – by over 75% – and he has done nothing to alleviate price rises. Low and middle-income families have been the ones paying higher and higher prices – whilst industry and commercial users have had cheaper tariffs. As such, we, the public, have been subsidising business.As such, Gre Power is 100% when they state; “”We can argue about the reports and validity of the data but everyone knows electricity prices have continued to rise at an alarming rate over the last decade, and the profits of the electricity sector have been far in excess of what is reasonable and in some cases quite obscene.”As such Layton, as a government mouth-piece , is part of the problem.This consumer can hardly wait for NZ Power to come online. It can be funded by getting rid of the useless Electricity Authority and sacking Layton.

Shock News: Roy Morgan predicting change in government!!!

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Red Green Up

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A current shock Roy Morgan poll predicts a  change in government, if the results are carried through to the next general election.

The poll results are as follows;

National: 41% (down 3%)

Labour: 35% (up 3%)

Greens: 12%  (unchanged)

NZ First: 4.5% (down 0.5%)

Conservative Party: 2.5% (up 1%)

Maori Party: 2% (unchanged)

ACT:  0.5% (down 1%)

United Future: 0.5% (unchanged)

Mana Party: 0.5% (down 0.5%)

A Labour-Green Bloc together would win 47%  of the Party Vote – beating National’s 41%.

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Latest New Zealand Roy Morgan Poll

Acknowledgment: Roy Morgan

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What makes this poll stand out above recent television and Fairfax-IPSOS polls are;

  1. The poll results appear more realistic in terms in terms of negative public sentiment to National’s policies,
  2. Roy Morgan polling has been more consistent,
  3. The polling takes into account respondents contacted via cellphone – a major criticism of other polls which only contact landlines.
  4. The figure of 41% echoes a comment made by National Party supporter and right-wing commentator, Matthew Hooten, on Citizen A on 16 May.

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The fact that polling is including respondents who may rely solely  cellphones gives Roy Morgan an added advantage over other pollsters, who only call land-lines.

As Statistics NZ tabulates it’s recent census data, we will soon have a better understanding of how many households rely solely on cellphones, with an absence of landlines. (See related blogpost: Census, Surveys, and Cellphones)

As well, note Matthew’s comment at 27.15, where he says,

“The impact of gay marriage. The private polling by the major parties shows both National and Labour sharply down. National in one private poll has a poll number with a ‘3’ in front of it…”

His ‘slip’ (?) and reference  to “a poll number with a ‘3’ in front of it” backs up Roy Morgan’s poll results perfectly.

The National Party hierarchy must be fully aware that the TV and Fairfax polls are inflated and unrealistic. Which is one reason why the Nats recently ‘caved’ to public pressure and implemented a restricted ‘Claytons‘   food-in-schools programme.

National’s support of State provision for  feeding children came as a bizarre  after-thought to the main Budget, and it could only have occurred if massive public pressure had been brought to bear. This kind of socialised service provision does not come naturally to a right wing Party like National.

Keep an eye on future Roy Morgan polls.

We are witnessing the inexorable decline of one government – as the next,  government-in-waiting, prepares to take the reins.

However, one Big Question remains: what will a new, left-wing, Labour-Green government do, once in power? For a further viewpoint on this vexing issue, read Morgan Godfery’s blogpost; What the left can learn from Lusk.

Do we unpick and wind back neo-liberalism? Or should we be content merely to ‘contain’ it?

NZ Power was a good start and received favourable support from the electorate. But that is only a start.

After thirty years of failed neo-liberalism, and with around 270,00 children living in poverty, there is much work to do.

The rebuild of Christchurch is under way.

The re-build of New Zealand is yet to begin.

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Previous related blogposts

Census, Surveys, and Cellphones

References

Roy Morgan Poll 29 May 2013

Citizen A 16 May 2013

Other blogposts

What the left can learn from Lusk

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It’s Official, The Sky Will Fall – Phil O’Reilly

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The sky is falling

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As the rightwing and their business foot-soldiers are continuing their mad panic (or more accurately, their mad attempts to panic the public) over the Labour-Green proposal for a single electricity buyer-desk, aka, NZ Power – the public have moved on.

Not that the right wing have noticed. Their fear-campaign is still cranking out all manner of garbage to strike the Fear Of Mammon into the hearts and minds of the Great Unwashed Masses.

Chief executive of BusinessNZ, Phil O’Reilly, had this op-ed piece published yesterday (30 April);

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NZ Power - electricity - Greens - Labour -  lower power electricity prices

Acknowledgment: Fairfax Media – More competition good for power sector

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After only the first paragraph, O’Reilly launches into a list of dire sky-is-falling list of Doomsday scenarios;

  1. Price controls harm investment.”
  2. New Zealand is dependent on overseas investment. Without it, home mortgages would become more expensive and harder to get…”
  3. New Zealand is dependent on overseas investment. Without it …  and more expensive to get investment to grow businesses and create jobs.”
  4. History shows that in places with price controls – the former Soviet Union, Venezuela, North Korea, or New Zealand under the Muldoon wage and price controls – the result is capital flight, run-down industries and poorer populations.”
  5. This threat also almost immediately destroyed millions of dollars of value built up by small investors in the NZ Superannuation Fund, KiwiSaver and private power companies.”
  6. Electricity prices must take into account the cost of building new generators – if they didn’t, we’d find the lights would go out the moment we exceeded our capacity.”

O’Reilly left out terrorist attacks, alien invasion, and God striking us down with thunderbolts.

Some of his rhetoric is so bizarre that you have to wonder if O’Reilly actually believes his own BS. Take for example this remark,

Electricity prices rise because a growing population and growing economy bring growing demand for power, and growth in demand requires investment in new generation plant, which is large-scale, long-lived and expensive to build.

Acknowledgment: IBID

O’Reilly then goes on to claim,

Much of the 64 per cent price rise under Labour resulted from interventionist policies.”

Acknowledgment: IBID

So if I have this straight; according to Mr O’Reilly, “Much of the 64 per cent price rise under Labour” is due toa growing population and growing economy bring growing demand for power”?!

Because that’s what he is implying;  growing population + economy = 64% in electricity price rises.

That’s utter bullshit.

The population of New Zealand grew from 3.8 million in January 2000 to our current 4.4 million. (See:   Trading Economics – New Zealand Population) That’s an increase of 600,000 – 15.8% (hopefully my math is correct on this calculation).  Somewhat short of the 64% that O’Reilly quotes.

As for suggesting that New Zealand’s economy grew by 64% during Labour’s term in office – as much as every left-winger  would love to acknowledge that – no. There has never been that degree of growth in New Zealand between 2000/08 or even 2000/13. Or any other decades;

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NZ GDP 2000 - 2008

Acknowledgment: Trading Economics – GDP Growth Rate

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After all the fear-mongering and name-calling, the only word left to describe O’Reilly’s piece is; laughable. His assertions are derisable; his “facts” are dubious and unsupported by evidence (ie; he’s made it up); and his fear-threat of more expensive mortages is  bogey-man stuff.

It may come as a shock to Mr O’Reilly – but whilst some of the public can be gullible, we are not that thick.

Nor do we willingly believe absurd claims like this,

Electricity prices must take into account the cost of building new generators – if they didn’t, we’d find the lights would go out the moment we exceeded our capacity.”

Acknowledgment: Fairfax Media – More competition good for power sector

Yes, we have had power cuts in the past. Usually due to low water storage in the dams; transmission line failure; or other equipment break-downs or shut-down for maintenance.

But let’s not forget the our entire past electricity generation infra-structure, such as Manapouri, Benmore,  Clyde Dam, etc,  were the  result of State  interventionist investment in energy infra-structure.

None of it was built by private enterprise in response to “consumer demand”. Private investment has been a relatively recent advent, such as Contact Energy’s Te Mihi development – a project, by the way that was under-taken during  Labour’s administration. (See: Te Mihi Power Station)

New Zealand has built up it’s energy infra-structure. We can do it again, when required. We most certainly did not rely on private enterprise.

But these are all “inconvenient facts” that the Right refuse to deal with – or even acknowledge. Right wingers like O’Reilly tend to re-write history in an Orwellian fashion, to suit their neo-liberal agenda.

Well, you can fool some of the people some of the time…

The associated poll with O’Reilly’s op-ed piece is hardly scientific, but as an indicator, it shows that people are waking up to the biggest con of the last thirty years of New Right “reforms”,

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More competition good for power sector  (2)

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Nearly two-thirds think that cheaper electricity is “about time”.

Just over a third want to “stick to what we’ve got”. Bloody National supporters – thick as two planks.

Well, I have a perfect solution to the demands for both groups;

  • Those 60.6% who want cheaper power can sign up to NZ Power, and recieve cheaper electricity through a single-desk buyer.
  • The remainder, 34.8%, can keep buying their electricity at “market” rates; paying whatever their powerco demands from them.

Both groups are catered for.

Those who want it, will get cheaper power.

National supporters (and we know who you are, you very thilly, thilly people) can keep getting gouged.

Choice is good, eh?

I’m happy.

This blogpost was first published on The Daily Blog on 3 May 2013.

Choice for everyone, eh?

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Additional

NZ Herald:  Lid blown on power price rort (3 Feb 2013)

NZ Herald:  The 30-year power price hike (3 Feb 2013)

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= fs =