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Posts Tagged ‘RMA’

Observations on the 2017 Election campaign thus far… (rima)

16 September 2017 1 comment

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Ask David: When is a Bribe not a Bribe?

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National has added to it’s list of expensive election year bribes. Not content with offering $10.5  billion on new roads (which is additional to an  estimated $12 billion  to be spent on seven roads in National’s “Roads of National Significance” plan) – the Nats have promised  to increase their  HomeStart grant by $10,000. First home buyers would get $20,000 to buy an existing house or $30,000 for a newly constructed property.

The election year bribe has been condemned by both Left and Right. Political commentator, Chris Trotter pointed out the bleedin’ obvious;

You’ve had nine years to come up with a policy like this and you leave it until the last 13 days in an election campaign to make such an announcement.

This is a further sign of National Party desperation.

If a government wants to do something, the money is there. If National says they’ll find the money, I’m sure they will, but the question is why has it taken so long?

I think that’s a perfectly fair question, the timing is what is most remarkable.

But as Newsroom reported when National began to offer home-ownership subsidies in an over-heated housing marlet;

Treasury warned the Government in 2013 that increasing first home buyer subsidies would undermine the Reserve Bank’s efforts to slow down the housing market, force an early Official Cash Rate hike and push up house prices.

According to Newsroom, in  2014 Treasury  pointed out what should have been obvious to the Nats – a party that should be well-versed in supply and demand rules;

[Welcome Home Loan and KiwiSaver withdrawal schemes]  may undermine the power and credibility of the Reserve Bank’s proposed use of restrictions on high Loan to Value Ratio mortgages, depending on up-take.

Experience with homeowner grants in Australia suggests that such programmes tend to push prices up in a supply constrained environment by supporting greater demand, rather than improving affordability.

The Kiwi Saver Home Deposit Scheme increases the cash available to homebuyers for deposits. Increasing eligibility may encourage buyers to take on more debt/seek more expensive houses. This could exacerbate house price pressures.”

Nothing better highlights National’s failure to constrain housing prices, pushed up by rampant speculation and unplanned migration , than having to throw tax-payer’s money at the problem. (Obviously not content with putting a sheep farm in the middle of the Saudi desert, costing taxpayers at least $11.5 million.)

National’s favourite holographic coalition partner, ACT’s David Seymour,  also put the boot into National’s election year gift calling it out for what it is – a policy failure and a baked election bribe;

It’s an admission of National’s failure to fix the fundamentals of our housing crisis. Instead of getting homes built, they’re trying to soothe home buyers’ pain with a bribe.

Only a few months of flat price growth has scared National into propping up investors’ capital gains with taxpayer money. ”

However, David Seymour is not above throwing tax-dollars around as election year bribes when it suits his own electoral re-election agenda;

The ACT Party says it would bring in bulk funding for teacher salaries, offering schools $93,000 per teacher but only if they abandon collective agreements.

At its campaign launch this afternoon, ACT leader David Seymour said he wanted to give schools the power to decide what individual teachers earn.

The party would do this by introducing bulk funding, where schools could opt out of the centralised payroll system and collective agreements.

Seymour was blunt in his desire to see teacher’s unions undermined and destroyed;

ACT’s policy will address these pressures. And because it comes with the proviso that schools leave the union contract […] It’s frankly a disgrace that teacher unions would reject a billion dollars in new funding in order to protect the status quo that denies kids the education they deserve.

Seymour couldn’t explain where the money for the outright bribe for teachers to abandon their voluntary union participation would come from. He simply dipped his fingers into government coffers;

Party leader David Seymour said that the Government surplus of $3.7bn meant the party could promise to pay principals $975 million, to pay good teachers an extra $20,000 each, without cutting services or raising taxes.

It is not just National that is showing increasing signs of desperation. When a right-wing political party that supposedly espouses individual freedom of choice offers  tax-payer funded bribes for people to quit an organisation they have voluntarily opted to join – then we begin to understand that the entire neo-liberal paradigm is under threat.

Will David Seymour offer our hard-earned tax money to other people to quit organisations he doesn’t agree with?

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Challenge to David Seymour on the RMA

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Māori Party co-leader Marama Fox; Green Party leader James Shaw; ACT Party leader David Seymour; and United Future’s new leader, Damian Light participated in TVNZ’s Multi Party Debate on 8 September.

Only NZ First’s Winston Peter’s – in a hissy-fit of unbridled ego – refused to take part. Peters’ reasoning could be called weak at best’

“…I was astonished, on a general inquiry late Tuesday, to be told by them that neither Labour nor National had ever accepted the invitation.

Though why Peters believed that the two major parties – National or Labour – would participate in a Minor Parties Debate is unclear.

Anyway, despite Peters’ toy-tossing tantrum, “minor” parties they may be, but their presence in Parliament will often determine the government, and influence policy.

During the debate, the Resource Management Act was made the scapegoat by ACT leader, David Seymour, for the failing of the neo-liberal system to satisfy market demand for housing.

The moderator asked Seymour if his electorate of Epsom would accept higher-density housing developments  if the RMA’s urban protections were removed.  Seymour replied;

Oh, they’ve already accepted it [higher density housing]... People have already accepted it.

Green Party Leader, James Shaw, then issued a startling challenge to David Seymour;

We could make Epsom a RMA free zone and see what happens.

Seymour ducked the challenge, changing the subject.

For good reason.

There would be blue-blood in the streets of affluent, leafy, upper middle-class Epsom if high-rise developments suddenly filled the skyline.

An example of what Epsomites might expect if ACT got it’s way and the RMA was abolished or significantly weakened to allow unfettered urban development can be found in the Wellington suburb of Mt Victoria.

Amongst the single, two-story, and occassional three-story homes is a massive high-rise block of apartments called  Melksham Tower. The building was constructed around 1975, prior to the passing of the Resource Management Act in 1991 (ironically by the then Bolger-led National Government).

Melksham Tower around 1975 with locals protesting;

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Melksham Tower, currently. Note the height of the ten story building and surrounding house(s);

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Victoria University’s Salient magazine reported local public opposition to the development;

A newly completed block of high-rise flats in Mt. Victoria has become the focal point in a struggle between private developers and local residents.

The local residents, led by the Mt. Victoria Progressive Association, are angry about the construction of Williams Development Holdings’ new 10-storey Melksham Towers building, which was originally given a council permit on the basis that it would be a block of flats.

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Residents have mounted a vigorous campaign against the tower block itself, but the main attack has been focused on the roots of the problem—the inability of a community to have any say in the development of their area. The campaign started from general meetings of the Progressive Association and a small group of people went from door-to-door in the area discussing Mt. Victoria’s development and the significance of Melksham Towers.

The response was such that a demonstration of 70 residents gathered outside the tower block recently to show their disapproval of what has been described as ‘a human filing cabinet’. They also discussed what steps could be taken to prevent the construction of any similar structures.

[…]

The struggle between the interest of private developers and local communities will continue as long as people are told that area planning is perogative of those experts ‘who know best’. But, even if the Mt. Victoria residents have been too late to stop the construction of the Melksham Towers monstrosity, they have been successful in building a much closer community which is more aware of the injustices that surround it and the forces that control it. As one resident said: ‘The protest has only just begun.’

If David Seymour takes up James Shaw’s challenge, the good people of Epsom could “share the pleasure” of Mt Victoria’s citizens of  learning the hard way what unfettered development has in store for them.

Would Seymour accept that challenge?

For Epsomites, ‘The protest will have only just begun’.

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English’s Committment on child poverty – real or “aspirational”?

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On 4 September, during  TV3’s Leader’s Debate, National Party Leader and soon to be ex-Prime Minister, Bill English, sprung a surprise on the people of New Zealand. English committed his administration to committed to raising 100,000 children out of poverty in the next three year Parliamentary term;

There’s two things you need to do, one is lift incomes the other is get inside the very toxic mix of social issues which we know are family violence, criminal offending and long-term welfare dependency. We’ve got the best tools in the world now to support rising incomes with cracking the social problems.

All we have to do is party-tick National and give him that fourth term in Parliament. Simple as, bro!

Which raises some interesting and obvious questions;

  1. Why didn’t National do this earlier in their nine years in office? Why have they put it off until now, when National is floundering in the polls?
  2. What has changed since October last year when then-Dear Leader, John Key, refused to measure and address child poverty because it was “a complicated area and there are many particular measures you can use”?
  3. How are they defining who those “100,000 children in poverty” really are? Will they be using dodgy stats such as Statistics NZ uses for unemployment? Thus far, National has steadfastly refused to measure child poverty in this country.
  4. Paula Bennett  refused to accepted a recent UNICEF report on child poverty in New Zealand, disputing it’s figures. How will we know which figures are acceptable to National if it disputes the UN?

But worse still – how seriously can we take Bill English’s “committment” when National Ministers have excused their failings to meet their own goals by labelling them as “aspirational” only;

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When Minister Tolley was challenged on TV3’s The Nation why welfare numbers were still high, she replied;

It’s a very aspirational target.

“Aspirational” – National’s way of setting ambitious goals (especially at election time), and then shrugging when things don’t eventuate.

I wonder if National’s campaign for re-election is also… “aspirational”?

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ACT considers Eugenic Final Solution for the Poor?

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According to ACT’s Beth Houlbrooke, the poor should not be allowed to breed;

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The sub-text of Houlbrook’s assertion is clear and simple; poverty is the fault of the poor. Obviously they are incapable of enjoying the benefits of the neo-liberal, free-market system and have chosen to remain – poor. So after thirty-plus years of the “Revolution”, the peasants cannot recognise the paradise put before them by the likes of Roger Douglas, Ruth Richardson, et al.

In which case, if ACT believes so deeply that “parents who cannot afford to have children should not be having them” – then it should be prepared to make that Party policy and legislate accordingly.

I therefore call upon ACT Leader, David Seymour, to publicly announce that his party will be putting forward legislation to ban low-income families from having children. He can advise the public how much people must earn before the State will issue a permit to breed.

Of course, that still leaves the thorny problem of what to do with children of parents who lose their job(s); become bankrupt; lose their business, and must rely on welfare.

One response to ACT’s announcement offered a possible ‘solution’;

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I look forward to how ACT will sell this policy to the public.

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References

Fairfax media:  National announce $10.5 billion roading plan

Radio NZ:  National pledge to add $10k to HomeStart

Fairfax media:  National to double Home Start Grant for existing houses

Newsroom:  Election 2017 Live – National doubles first home grant

NZ Herald:  Editorial – Saudi sheep deal leaves bitter taste

Scoop media:  National pumps up house prices with HomeStart bribe

Radio NZ:  ACT promises bulk funding if schools drop union contracts

Scoop media:  Broken union model creating third-world staff shortages

Fairfax media:  ACT says it will give schools $20k more per teacher, if they abandon union contracts

ACT Party: Principles

Mediaworks:  Winston Peters pulls out of minor parties debate

TVNZ:  ‘We could make Epsom a RMA free zone and see what happens’ – Greens leader lands jab on ACT’s David Seymour

Wikipedia:  Resource Management Act 1991

Victoria University:  Salient – Volume 38, Number 14. June 20, 1975 – Photo of Melksham Tower, Mount Victoria

Victoria University:  Salient – Volume 38, Number 14. June 20, 1975 –  Mt Vic On The Move

Mediaworks:  Newshub Leaders Debate – Bill English commits to poverty target

Fairfax media:  National drops to 39 in new bombshell poll, Labour remains ahead

Fairfax media:  Government won’t commit to a poverty target because it’s too ‘difficult’ – John Key

NZ Herald:  Bennett slammed over child poverty claim

Mediaworks:  Paula Bennett disputes UNICEF poverty report

NZ Herald: Anne Tolley – Government’s benefits target ‘very aspirational’

Scoop media:  On The Nation – Lisa Owen interviews Bill English, Anne Tolley and Hekia Parata

Twitter: ACT Party – Poor shouldn’t have kids

Twitter: Wendy Smith responds to ACT

Additional

Newsroom:  National doubling first home buyer subsidies in face of Treasury opposition and Australian experience

Other Blogs

The Standard:  Nat/ACT don’t think poor people should have kids

Previous related blogposts

Election ’17 Countdown: The Promise of Nirvana to come

Observations on the 2017 Election campaign thus far… (tahi)

Observations on the 2017 Election campaign thus far… (rua)

Observations on the 2017 Election campaign thus far… (toru)

Observations on the 2017 Election campaign thus far… (wha)

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This blogpost was first published on The Daily Blog on 11 September 2017.

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Letter to the Editor – RMA Reforms and screaming Epsomites

22 January 2015 2 comments

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Frank Macskasy - letters to the editor - Frankly Speaking

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the editor

NZ Herald

I suspect that the good people of Epsom, Remuera, Pukranga, Khandallah, Fendalton, and other leafy upper middle class suburbs will soon be screaming blue bloody murder at their ACT and National MPs when developers over-ride local objections and build high-rise monstrosities that are utterly inappropriate for the neighbourhood.

This will be one instance when National/ACT voters get the consequences they voted for, and richly deserve.

Ironically, low-income earners and welfare beneficiaries will probably be least affect (in the short term) by Nick Smith’s  RMA “reforms”.

Keep an ear open. The screaming is about to begin.

-Frank Macskasy

 

[address & phone number supplied]

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References

Radio NZ: Smith’s RMA speech strident, says Dunne

Other Blogs

The Daily Blog: The real problem with affordable housing

The Standard: RMA reforms … be very afraid

The Standard: Nick Smith’s RMA reforms – low cost housing in Epsom?

Transport Blog: Governments New RMA reforms


 

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rma cartoon

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Categories: The Body Politic Tags: ,

Letter to the Editor: A great business opportunity, courtesy of ACT

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old-paper-with-quill-pen-vector_34-14879

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This item in the NZ Herald caught my eye today,

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Act wants Resource Management Act dumped

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Which led me to a few thoughts on the issue,

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FROM:   "f.macskasy"
SUBJECT: Letters to the editor
DATE:    Sun, 02 Mar 2014 10:16:00 +1300
TO:     "The NZ Herald" letters@herald.co.nz 

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The Editor
NZ HERALD
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ACT's new leader, Jamie Whyte, wants to dump the Resource
Management Act (RMA). He claims that,

"There are far too many powers currently being given to
various times of groups and bureaucrats around the country
to interfere with people and the use of their property."

Excellent idea! I can hardly wait to implement a few
start-up businesses;

* a full scale brothel/strip club on Paretai Drive, complete
with ten metre tall neon signage of naked women,

* a series of fifty story apartment blocks throughout Epsom,
Herne Bay, Remuera, etc, which will look cheap and nasty,
but will offer low-cost one-bedroom flats for low-income
families desperate for accomodation as the government sells
of state housing,

* a tallow factory on the North Shore,

* and a tyre-disposal plant - complete with furnace to burn
shredded runner - next to Mr Whyte's residence.

For far too long, the RMA has prevented setting up factories
and controversial businesses, in the leafy subsurbs of
middle class and affluent New  Zealand.

Mr Whyte will do away with all that.

About time, eh?

-Frank Macskasy
(address and phone number supplied)

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References

NZ Herald: Act wants Resource Management Act dumped

Hat-Tip

Edmond Slackbladder

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ACT

Above image acknowledgment: Francis Owen

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12 June – Issues of Interest

12 June 2013 4 comments

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Looking at the pieces

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Nigel Latta on National Standards

On Facebook, child psychologist and TV host, Nigel Latta, had this to say about the recent National Standards “results”;

‘National Standards’ aren’t.

The latest national standards ‘results’ being reported in the media are utter nonsense. Pure and simple. Even if we ignore the large inconsistencies between the way that the ‘standards’ are measured (and we can’t because the inconsistencies make comparisons all but impossible), and the fact that it assumes all children of a given age are maturing at the same rate (which they don’t), and we ignore the impact of little things like child poverty (which some politicians like to do much to their shame), it’s still impossible to say anything at all about a change in the numbers when you only have two data points.

They can’t say that a difference of 1.2-2% on the various measures between last year and this year is an ‘improvement’, because we simply don’t know.

If you had assessed all of those very same children again the day after they were assessed for these numbers, in the exact same conditions with the exact same measures, then you would also get a different number. That’s because in the real world we have this little thing called statistical variation–things never work out exactly the same. To make any meaningful statements about ‘improvements’ you need meaningful measures (which national standards aren’t anyway) over several different data points (i.e. over several years).

I wish the media would get that very simple, but very important point. Politicians will spin it as a gain, but it isn’t. It’s simply meaningless statistical ‘noise’.

The government went with national standards because they thought voters would like it, not because it’s the best thing for making progress on education. If we really wanted to lift our ‘national standards’ then, perhaps as a beginning, we’d take more care of the large numbers of our kids living in poverty.

When they produce their ‘rankings’ of schools I’m pretty sure it’s going to show a trend whereby higher decile schools meet/exceed the ‘standards’ much more than lower decile schools. I wonder why that might be? And who do we blame for that? Teachers?

Don’t be sucked in by all this political positioning. My advice is to ignore the national standards tables because they don’t mean anything. There’s a reason teachers were so opposed to the way these ‘national standards’ are being used… fundamentally because it’s nonsense!

Nigel Latta, Facebook, 12 June 2013

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100% Pure brand busted!

New Zealand’s distance from it’s major trading partners (except Australia) has always been a major impediment to our trading. Our point-of-difference has  been the quality of our food products, and has made them desirable commodities on that basis.  Branding ourselves as “100% Pure” and  “Clean and Green” were marketing tools that created a multi-billion dollar export industry.

But that is coming to an end.

We are not “100% Pure” and nor are we “Clean and Green”. Anything but.

National has paid lip service to being green.

Pollution has been allowed to increase.

It’s focus on “reforming” the RMA to allow for exploitation mof sensitive environmental areas; more and more chemicals ion our farms; allowing dangerous deep sea drilling of our coastline; mining in Conservation lands; and ditching our committment to the Kyoto Protocol – have not gone unnoticed by our trading partners.

And those trading partners  are starting to react accordingly,

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Sri Lanka demands DCD testing on NZ milk powder

Acknowledgment: Radio NZ – Sri Lanka demands DCD testing on NZ milk powder

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An over-reaction?

Not when National has appointed a  board to over-see a resource consent application to allow an increase of nitrogen pollution  in the Tukituki River  by a staggering 250% !

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Nitrate proposal seen as death knell for river

Acknowledgment: Radio NZ – Nitrate proposal seen as death knell for river

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This will not doubt be ratchetted back to “only” 50% or 100%, and National will claim that they are “listening” to public concerns. It’s an old political trick when a deeply unpopular policy is put forward. Make a number unfeasibly large; then offer a lower number, and claim that government has listened to the public. In reality it was the lower number all along that was the preferred option.

National has consistently undermined environmental protections in this country, as well as knee-capped DoC by sacking staff and under-funding it’s operations.

We are now starting to pay the price of right-wing policies that pursue business and profit ahead of  preserving our environment.

What National and it’s one-eyed supporters don’t seem to comprehend is that business and profits are dependendent on our clean and green environment. Mess up the environment and expect to lose customers and profits.

Just ask the Sri Lankans.

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User-pays healthcare?

For those neo-liberals and naive National supporters who advocate replacing our socialised healthcare system with privatised healthcare insurance, I present the reality,

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NZ private health insurance uptake hits 6-yr low

Acknowledgment: NZ Herald – NZ private health insurance uptake hits 6-yr low

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Private health-privider,  Wakefield chairman Alan Isaac said,

“The total number of New Zealanders with private health insurance (is) decreasing.”

Acknowledgment: IBID

Well, no wonder!

Even as private healthcare companies like Wakefield are complaining about losing customers, they are hiking premiums and still making a 27% increase in full-year earnings. Twentyseven percent! Compare that to other investments, and you begin to realise that these companies aren’t doing too bad.

That’s 27% that could have been re-invested in healthcare – but is instead going into the pockets of shareholders.

What would happen, I wonder, if New Zealand’s healthcare system was fully privatised and  went totally “free market”, as ACT policy demands?

This OECD chart suggests the result, if we were ever foolish enough to go down that road,

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OECD - private - public - healthcare expenditure -2007

Source: OECD – Total health expenditure per capita, public and private, 2007

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At 7,290, the United States spends nearly three times as much on healthcare as we do. Their private/public health costs are vastly greater than the entire public/private expenditure we have here in New Zealand with our “socialised” system.

And ACT wants to emulate our American cuzzies?!

The only thing the USA has demonstrated is that a privatised healthcare system will result in a massive blow-out in costs and rapacious profits for shareholders.

The argument from the neo-liberal Right is that private enterprise is “more efficient” and better for consumers. This is absolute bollocks.

If anything, private health insurance is highly ineffective at delivering  universal healthcare for it’s clients,

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Ongoing jumps in health insurance costs

Acknowledgment: Fairfax Media – Ongoing jumps in health insurance costs

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As has been observed by others in the past, private health insurance is relatively cheap when you are young, healthy, and make few demands for medical intervention.

But with old age; increased infirmity; and heightened vulnerabilty comes increased premium payments for policy-holders. Just when they most require increased medical services.

This is the fatal flaw in private medical insurance; those who most require it, will pay the highest premiums. And pay, and pay, and pay…

Just ask the Americans.

See also: NZ Herald – Jack Tame: Sickness is too expensive in the land of the free

Other blogs:  Canadian and U.S. healthcare – a debate

Canadian and U.S. healthcare – a debate
Canadian and U.S. healthcare – a debate
Canadian and U.S. healthcare – a debate

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Some good news at last…

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It has been a stain on our reputation that despite our anti-nuclear legislation, our Superannuation Fund was still investing in overseas companies engaged in producing atomic bombs and cluster munitions. This was a problem (I refuse to call it an “issue”)  that I highlighted  in December, last year.

Previous related blogposts:  New Zealand’s OTHER secret shame

Previous related blogposts:  New Zealand’s OTHER secret shame – *Update*

The Superannuation Fund has done the right thing by no longer continuing to invest in Babcock & Wilcox, Fluor Corporation, Huntington Ingalls Industries, Jacobs Engineering Group, Serco Group and URS Corporation;

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Super Fund sells nuclear investments

Acknowledgment: Fairfax Media – Super Fund sells nuclear investments

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The other weapons we are no longer investing in is the manufacture of cluster-munitions. These vile things are the weapons-of-choice for vicious dictators and other repressive regimes which they use against their civilian population.

They have been used in Syria, against unarmed civilians. Children have been killed by these monstrous devices.  (see: Syrian children ‘killed by cluster bombs’)

Cluster munitions have been outlawed by  nearly 100 nations which signed a  treaty to ban cluster bombs.  In 2009, to their credit, the current National-led government  passed legislation banning these obscene weapons from our country. This included the possession, retaining, stockpiling, assistance, encouragement, or even inducement to deal with them.

NZ Parliament: Cluster Munitions Prohibition Act 2009 (17 Dec 2009)

It would take a ruthless person to discount this human suffering and advocate for our continued investment in their manufacture.

The Superannuation Fund was effectively breaking the law with it’s investments in General Dynamics, L-3 Communications, Raytheon, and the Goodrich Corp.

It’s good to see that our fingers are no longer bloodied by such  investments.

As for right-wingers who dismiss investment in atomic bombs or cluster munition – go play with a cluster bomb.  Come back to me after it’s detonated in your hands. Then we’ll talk.

Just ask the Syrians.

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The bucks stops with me over there, somewhere…

I guess it was inevitable, really…

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Deputy Secretary resigns over Novopay

Acknowledgment: Radio NZ – Deputy Secretary resigns over Novopay

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Did we really, really expect any one of the three Ministers who signed off on Novopay to put their hand up and admit responsibility?!

No less than three ministers signed off on Novopay, to allow it to “go live”;

  • Education Minisrer Hekia Parata
  • Associate Education Minister Craig Foss
  • Finance Minister Bill English

Because doesn’t it strike people as  indicative that Minister for Everything, aka, Mr Fixit, Steven Joyce was appointed Minister in charge of Novopay – thereby taking responsibility for this ongoing balls-up away from Parata?! (see: ODT – Joyce to take on handling of Novopay)

Despite the so-call “ministerial inquiry”, Joyce had a very interesting point to make on 31 January;

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Government sticking with Novopay - for now

Acknowledgement – Radio NZ – Government sticking with Novopay for now

Steven Joyce revealed that Education Minister Hekia Parata, Finance Minister Bill English and former education minister Craig Foss approved the use of Novopay despite being told that it had bugs.”

So… how can  Joyce’s statement be reconciled with his statement, five months later,

Reporting to Ministers was inconsistent, unduly optimistic and sometimes misrepresented the situation.”

Source: Beehive.govt.nz: Ministerial Inquiry report into Novopay released

Either Ministers were “told that it had bugs” or  reporting wasunduly optimistic and sometimes misrepresented the situation“. Which is it?!

By the way, the Ministerial Inquiry was undertaken by Maarten Wevers and Chairman of Deloitte New Zealand Murray Jack.

Mr Weavers was former head of the Department of the Prime Minister (John Key) and Cabinet.

Connect the dots.

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WhiteWash

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Other blogposts: Gordon Campbell on the latest Novopay revelations

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Nanny State, Daddy State, poor state?

20 October 2011 1 comment

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Full Story

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National intends to sign up all workers?

Isn’t that… compulsion?

Isn’t that… “Nanny Statism“?

Isn’t that what National complained so bitterly about in 2008, promising to undo the dreaded tentacles of Nanny State?!

Well, let’s see…

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Source

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Source

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Source

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Perhaps I’m being unfair on National.  Calling them hypocrites on “Nanny Statism” may be unwarranted.  After all, National voted against the Repeal of Section 59 (“anti-smacking legislation), right? They voted against the Green Party initiative, right?

The legislation also carries an amendment agreed earlier by Prime Minister Helen Clark and National leader John Key that says the police have the discretion not to prosecute complaints against a parent where the offence is considered to be inconsequential.”  Source

Oh, no! National did vote for the Repeal of Section 59!!

It seems apparent that the term “Nanny State” was nothing more than a very clever election “bogey”, designed to paint Labour as some kind of authoritarian Party that loves to do nothing but micro-manage our lives.  It was a clever ploy, and it certainly played it’s part in helping to defeat Labour in 2008.

But as with the banning of using cellphones whilst driving or launching a “Food in Schools” programme, National is not averse to legislation to enforce “social-engineering” policy.

Their change-of-heart in regards to Kiwisaver may be viewed as  a further step into so-called “Nanny State” heartland. But, like other changes to the way in which we organise our society and manage our economy, it is a necessity which we cannot do without.

Some folk may jump up and down and whinge till the cows come home, that compulsory enrollment is a violation of their right to exercise choice; that it is not necessary; etc, etc.

Well, newsflash, my dear fellow Kiwis – it is necessary, and it is long overdue. The spend-up we’ve been having has been financed through massive borrowings from overseas – and the credit agencies have taken notice of our borrow & spend habits.

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Source

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Much of our debt is private debt – fuelling our housing bubble – and based on other peoples’  savings. Very little of it goes into the productive sector. In effect, the property speculation is based on borrowed money.

And the party, people, is rapidly coming to an end.

Kiwisaver will do for New Zealand what Australia’s compulsory super-scheme did for that country:  save.

Australia has amassed savings of over $1 trillion dollars,

After more than a decade of compulsory contributions, Australian workers have over $1.28 trillion in superannuation assets. Australians now have more money invested in managed funds per capita than any other economy.” Source

It is little wonder that Australia is a wealthier society than New Zealand. Their superannuation savings scheme – compulsory since 1992 – has meant that Australians do not rely on foreign capital to the same extent that we do, here in NZ.

By contrast, New Zealanders voted away a compulsory savings scheme in 1975, when we voted for Robert Muldoon and his National Government. His (in)famous “Dancing Cossacks” election ad was sufficient to “spook”  us – as was a certain measure of self-interest. We simply didn’t want to save for our future if we could get away with it. And Muldoon was only too happy to be elected into power and oblige us.

The current National Government – a different creature from the one in the 1970s – understands the sheer necessity to wean us off foreign borrowings. That is why they  belatedly support Kiwisaver after initially condemning it when they were in Opposition.

However,  it seems that Key and English haven’t quite got the stomach and cojones to make Kiwisaver compulsory, as in Australia. They will be offering an “opt out” clause to voters.

I guess they don’t want to be devoured by that mythical beast they created, the dreaded Nanny State.

Daddy State will have to do.

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Additional information

Dancing Cossacks anti Labour party political TV ad

Superannuation in Australia

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