Asset sales are not what they said they'd be

The way our public power companies are being privatised is nothing like the promise the National Government put to the electorate, Labour Leader David Shearer said today.

His comments follow the Chief Ombudsman’s appearance at a parliamentary select committee this week.

Beverly Wakem criticised the government for exempting the assets from the Official Information Act and the Ombudsmen Act after they're sold down.

“This is not the model of privatisation the public were given before the election,” David Shearer said.

“We were told that the privatised companies would be just like public companies with a few private shareholders. In fact, what the government is creating is a private company with some state shareholding.

“They got rid of the Treaty clause. They got rid of the social obligation that required our power companies to be good corporate citizens.

“Now they’re removing another advantage of public ownership - public scrutiny and accountability through the official information and Ombudsmen processes.

“There is no reason to do this. The Official Information Act already provides exceptions for commercial sensitivity.

“The Chief Ombudsman’s appearance before a select committee is rare, indicating the seriousness of this issue.

“Selling out our assets and selling out our legislation is bad for New Zealand. The government is not delivering what it said it would with the privatisation of our power companies. Removing the companies from public accountability shows the government is acting against the interests of New Zealand,” David Shearer said.