Don Brash on the NZ Herald live chat
Earlier this afternoon Don Brash participated in an online live chat on the New Zealand Herald website. Below are some of the highlights.
On ACT’s appeal in 2011:
I subscribe to most of the values that National espouses on its website - limited government, personal responsibility, equal citizenship, to name just three.
My disappointment with National is that they seem to have forgotten those values - government spending now higher, relative to the economy, than in any year of the last Labour Government and no obvious commitment to Article III of the Treaty (which commits to all NZers being equal under the law).
And low and middle income earners are those most disadvantaged by the relatively poor performance of our economy. ACT has policies to fix that underperformance.
On tackling household and government debt:
Yes, household debt is a bigger issue than government debt at the moment, though government debt is rising fast - by hundreds of millions of dollars a week. Restraining the growth of private sector debt is not straightforward, but one of the causes of it over the last 20 years has been a persistent belief that property prices always rise, and therefore borrowing against property is a riskless activity.
The rapid growth in house prices was driven in significant part by the dopey restrictions which too many local governments have placed on the availability of residential land, so that, though we are one of the most under-populated countries on Earth, our residential land prices are truly ridiculous.
On whether National can get New Zealand into surplus by 2015:
Well, the Government has projected surpluses in the medium-term future for the last several years, and so far at least those surpluses seem to constantly slip further into the future. Over-hanging those projections is an extremely threatening world economy: if that turns out to be half as ominous as seems like at the moment, getting back into surplus by 2015 will be very tough.
On what one issue he could fix right now if he could:
Excessive government spending. That's not only driving a big increase in government debt (albeit from a low starting point, as I've mentioned), it is also a significant fact in keeping our exchange rate too high - much of the borrowing to fund that spending is being done offshore, and overseas investors have to buy NZ dollars to buy the NZ government bonds. That makes life tough for exporters, and with a high level of international indebtedness that isn't what we need.
You asked for one policy; If I had a second one, I’d go for radical reform of the RMA.
On the trouble with Capital Gains and land taxes:
I used to favour a CGT, but I now believe there are more arguments against than for. They don't prevent property price bubbles (Australia and the US have both had property price bubbles, and both have a CGT), and effectively involve double-taxation of corporate income. (When a company share is sold, the value of that sale is the present value of an expected stream of future after-tax profits.)
The trouble with a land tax is that it would hit hardest the most important part of our export industry, namely farming, and perhaps indirectly jeopardise the soundness of the banking sector.
On how ACT policies help students:
ACT does not support interest-free student loans (and I well recall Bill English describing the policy as an unprecedented electoral bribe when Labour introduced it in 2005). But even under previous policy, interest did not become payable until the borrower was earning above a certain threshold.
NZ now spends quite a lot on tertiary education, but a disproportionate amount of that spending goes to students rather than tertiary institutions themselves. The danger is that, because universities are increasingly unable to compete with the best universities overseas for good staff, the degrees which our students get will be progressively less valuable, with our very best students heading overseas to better universities.
On whether governments should own certain assets:
Actually, I believe that National is using a rather weak argument for selling minority stakes in four of the SOEs. Yes, that will avoid some borrowing, but selling assets is a poor way of bridging a deficit caused by too much spending.
The real argument for selling SOEs should be that governments very rarely make good owners of commercial businesses. Yes, there are a few exceptions (most of them in Singapore!), but that's the general experience around the world. And yes, the government "had" to purchase railways because their private owners couldn't make a go of it. But then nor could the state: railways made a loss for the taxpayer in almost every year for the 20 years before it was sold.
There are a few SOEs which I would not favour selling - those operating natural monopolies like Transpower - but why government would want to run three competing generating companies is beyond me. Power generation is important - but so is food production and retailing, and nobody seriously suggests the government should run a chain of supermarkets!
On catching up with Australia:
The main reason why I'm seeking to get back into Parliament is well illustrated by your question. Far too many people are finding it very tough indeed to make ends meet now, and can see a much better future for themselves and their families in Oz.
As a fifth generation New Zealander, that makes me angry. There is no inherent reason why we can't have incomes similar to those in Australia. I was delighted when the National Government committed to closing the gap between incomes here and those across the Tasman by 2025, but I've been profoundly disappointed that so far at least they've shown no serious commitment to that goal.
On ACT’s small business policies:
First, we will strongly oppose any increase in the minimum wage (you can't raise wages by decree - if you could, why not raise it to $50 an hour and eliminate poverty at the stroke of a pen?): many small businesses are finding it tough to pay even the current minimum wage.
Second, we will make a strong attack on red tape - the RMA is a symbol of that, but there are a raft of other areas too where red tape makes life a misery for small businesses (and large businesses).
Third, we will cut the company tax rate - not to favour "our rich friends" but because the only sustainable way to raise wages and salaries to have more capital per worker, in other words more investment. Countries with a seriously low company tax rate (and we've suggested 12.5%) attract investment better than those with a high company tax rate.
On New Zealand’s relationship with Fiji:
Fiji has long been a part of the New Zealand family and I think it is a tragedy that we are gradually pushing them away (and into the arms of other countries). We have tried ostracism and is doesn't seem to be working. It's time to look at a change in direction, in the interests of both Fiji and New Zealand. After all, we already deal with plenty of governments around the world which are not remotely democratic.
On whether we should be more like Singapore:
I greatly admire Singapore, and have visited there many times. But I very much doubt that most New Zealanders would vote for that kind of regime. As John Key said once, Paula Bennett spends more than a million dollars an HOUR on social welfare; in Singapore they spend $40 million per YEAR. But there are things we should copy: their dedication to education, savings, family values - those are all things we should and can emulate.
But at the end of the day, New Zealand is unique, with our own values and own environment. There is no good reason why we can't have a country which is wealthy enough so that families are not struggling to make ends meet, and which has a social and natural environment which is the envy of the world.
On education:
I think Anne Tolley has been trying very hard to deal with the fact that, though many of our schools are extremely good by any standards, too many children still come out of school unable to read and write, or do basic arithmetic.
The ACT Party wants to go much further, and allow the money which the taxpayer provides for the education of our children to be used at any school of the parents' choosing. We'd also make available the information from SchoolSMART so that parents could make an informed choice about the best school for their child.
And we'd allow good state schools to expand, by opening additional campuses elsewhere in the country.
On Don’s overall ambition for New Zealand:
I very badly want to help set New Zealand on a path where most families can make ends meet, where everybody who wants a job can get one, where we protect the natural environment, and where every citizen is equal before the law, no matter his or her ethnicity.
That's the kind of New Zealand I would dearly like to leave to my children and grandchildren.
Roger Kerr 1945-2011
Today we lost a dear friend and an exceptional New Zealander.
Roger Kerr spent his lifetime serving New Zealand. After 20 years working at a senior level with the New Zealand Treasury and the Department of Foreign Affairs he was appointed the first Executive Director of the New Zealand Business Roundtable, a position he held for the next 25 years.
Those of us who believe the most successful societies are built upon free markets, individual responsibility and choice, and the encouragement of entrepreneurship, had no better champion than Roger. Even those who disagreed with his views could not help but respect his depth of knowledge and passion.
Roger argued his case calmly and rationally, but no one could mistake his warmth and civility for weakness. Roger never gave up without a fight - an attribute he maintained until the end.
Roger Kerr was an intellectual giant and tireless advocate for freedom. More than that he was a husband, father, colleague, teacher, and friend. He will be greatly missed.

ACT Confirms List Positions
In a joint press statement, ACT Party Leader Don Brash and President Chris Simmons today confirmed that all ACT candidates would move one place up the list to fill the position vacated by the Party’s retiring Parliamentary Leader John Boscawen, and that the number two spot would be filled by former Party President Catherine Isaac.
Dr Brash said he was extremely pleased with the calibre of the list and that Ms Isaac would be a great addition to it.
“Catherine is highly respected in the Party, and in business and political circles, and I very much look forward to working with her in the next Parliament,” Dr Brash said.
Mr Simmons said Ms Isaac had the unanimous support of the Party Board, as did Leader Don Brash and all the candidates.
“We’re all very pleased Catherine will be standing at number two. She brings a lot of Party experience and has had a long and successful business career. She will make an excellent MP,” Mr Simmons said.
Catherine Isaac, who was Party President between 2001 and 2006, and is currently Managing Director of a communications consultancy, said she felt very strongly that ACT had a critical role to play in the next Parliament. She said she wanted to help ensure the Party remains true to its core principles,which are all about a stronger, more flexible economy and higher standards of living for all.
“John Key is a capable and respected leader, who has seen New Zealand through some very difficult times and is generally taking the country in the right direction. But the big issue in this election is the economy. New Zealand is facing the worst economic outlook since 1984. The Government needs to go further and faster and take some tough decisions to safeguard the country and put it onto a path to genuine prosperity. There are a lot of people out there who would like to see the government do that.
“That’s why it’s so important that ACT’s voice is heard loud and clear in Parliament and why Don Brash as a former Reserve Bank Governor with outstanding economic credentials is the ideal leader for ACT at this critical time.
“I also see improving choice in education to better equip our young people for life as a vitally important area of focus, and as a former Welfare Working Group member I have a strong interest in welfare reform.
“But our key concern is the economy and that will be our strong focus going forward. The recent credit downgrades are a major concern and I think the Government will be counting itself lucky with many of the public quite understandably absorbed by the Rugby World Cup.”
Ms Isaac said she was very proud of what the ACT Party had achieved over its history and that it was important the Party stayed true to its roots and the vision of its founders.
“Many people have put a great deal of time, effort and resources into ACT over the years and we need to build on that legacy and secure its future as a strong political force advancing freedom, choice and personal responsibility. I would like to help bring into Parliament a strong contingent of ACT MPs, including in particular the outstanding young people on the list who I see as ACT’s leaders for the future,” Ms Isaac said.
ACT Releases Its Party List For 2011 General Election
Announcing the Party’s list for the 2011 general election today, ACT Party President Chris Simmons said the board was extremely pleased with the strong line-up of high quality candidates.
ACT Party Leader Don Brash is number one on the list with ACT’s current Parliamentary Leader Hon John Boscawen at number two, former Federated Farmers President Don Nicolson at number four and ACT’s Epsom candidate Hon John Banks at number five. The number three position is being held for someone who has the unanimous support of the board, and has strong credentials for the role, but is not currently in a position to confirm availability. Dr Brash advised that in the meantime he would not be commenting further on this position other than to confirm that the person concerned was not a current MP.
Dr Brash said the list comprised an excellent mix of practical, political and ACT Party experience, with policy nous and youth.
“We have an exceptionally talented group lined-up to campaign for ACT in the upcoming election and I feel privileged to lead them.”
He particularly welcomed the selection of two very impressive young candidates in David Seymour and Stephen Whittington.
David Seymour, 28, who is number six on the list and standing in Auckland Central, has just returned from a role as a senior policy analyst at the Frontier Centre for Public Policy in Canada. He is an also an author and rugby coach. Mr Seymour stood for the ACT Party in the 2005 in the Mt Albert electorate.
Stephen Whittington, 25, who is number eight on the list, works in the tax law team of a corporate law firm. He is also a champion debater who has been named as one of the top ten speakers in Australasia and in 2009 was named as the 15th the best speaker in the world. Mr Whittington has worked as an adviser to Sir Roger Douglas in Parliament.
“David and Stephen are two brilliant young candidates and I very much look forward to working with them in Parliament.
“We are also very pleased to have Kath McCabe and Robyn Stent in the top ten, both are extremely competent women and will be great assets to the ACT Party in Parliament,” Dr Brash said.
Kath McCabe, who is number nine on the list, is a highly-qualified environmental lawyer and company director.
Robyn Stent, who is number ten on the list, is a former Health and Disability Commissioner.
Mr Simmons, who was selected at number seven, said he was very proud to feature on the list and looked forward to campaigning hard for the Party and securing a successful outcome in the election.
“I’ve been honoured to be President of the ACT Party and I’m now doubly honoured to be selected on the list.”
Dr Brash said that with the top-quality list announced he was looking forward to campaigning hard to ensure that as many people on the list as possible get into Parliament.
“This is a tremendous line up and I’m confident we will be a force in the next Government. It’s what the country desperately needs and this is the team to deliver it”, Dr Brash said.
For more information on our top ten, click here.
ACT Party List 2011
1. Dr Don Brash
2. Hon John Boscawen
3. TBC
4. Don Nicolson
5. Hon John Banks
6. David Seymour
7. Chris Simmons
8. Stephen Whittington
9. Kath McCabe
10. Robyn Stent
11. John Thompson
12. John Ormond
13. Lyn Murphy
14. Kevin Moratti
15. Robin Grieve
16. Pratima Nand
17. Dominic Costello
18. Toni Severin
19. Richard Evans
20. Ian Cummings
21. Gareth Veale
22. Toby Hutton
23. Daniel Stratton
24. Robert Burnside
25. Hayden Fitzgerald
26. Alex Speirs
27. Peter McCaffrey
Housekeeping 15: Sitting Week 16-18 August 2011
Legal Assistance (Sustainability) Amendment Bill
This Bill amends the Legal Services Act 2011 to implement the Government’s policy, to make legal aid more affordable, announced in April 2011. The means test for family cases will be tightened for family cases and the existing means threshold for family and civil cases ($22,000 per year for a single adult and $50,934 for adult with two dependents) will be extended to less serious criminal cases. Automatic inflation adjustment of eligibility thresholds will be discontinued with future adjustments made in line with Budget priorities. The changes contained in the Bill will not affect cases involving vulnerable parties, care and protection of children, and serious criminal matters. ACT issued a press release in April 2011 supporting the overhaul of the legal aid system.
ACT has agreed to support this Bill.
Biosecurity Law Reform Bill
This Bill is in two parts. Part One makes amendments to the Biosecurity Act 1993 to ‘improve and modernise the biosecurity system’.
Changes include:
- Adding the craft risk management standard to the Act (clause 22 AC – 22 AF of the Bill). The standard specifies requirements for craft entering and remaining in NZ territory. Craft owners and operators can apply to operate under a craft risk management plan that contains requirements equivalent to but different from the risk management standard. They must make and submit a plan, specifying the risks, to the Director-General of MAF for his/her approval.
- Authorising MAF to enter agreements with industry organisations under which they will take joint decisions on readiness and response (clause 100 S to 100 ZC of the Bill). Organisations must be able to meet financial commitments under the agreement and must have consulted with producers in the sector. Possibly giving excessive authority to selected industry organisations?
- A strict liability offence for providing false information in connection with the importation of goods or taking steps to hinder the detection of goods (clause 154 of the Bill).
Part Two amends the Maritime Transport Act 1994 to implement the International Convention for Control and Management of Ship’s Ballast Water and Sediments, 2004.
- Allowing a levy on ships discharging ballast from outside NZ waters into NZ waters.
- Making it an offence to discharge ballast water in breach of marine protection rules or articles 9 and 10 of the convention.
Select Committee changes:
Amendments relating to border risk management:
- Amending clause 17 to remove the requirements for importers to retain records, instead publishing a statement of the duties that are expected of importers.
- Inserting new section 142H to provide a clear legal framework to retain information for risk profiling purposes. Information given or disclosed to the Director-General by biosecurity agencies can be used or shared by the Director-General with other agencies for the purposes of protecting biosecurity.
- Improving the legislative framework for collaborating with other agencies.
Amendments relating to readiness and response:
- New provisions authorise MAF to enter agreements with industry organisations to take joint decisions on readiness and response.
ACT has agreed to support this Bill.
URGENCY
Freedom Camping Bill
The intention of the Bill is to minimise negative effects of freedom camping. There are two areas of behaviour addressed; camping in unsuitable areas, and campers leaving waste. The Bill creates an offence of freedom camping in an area where it is not permitted and an offence in relation to depositing human or other waste on local authority or conservation land. The Bill allows local authorities to make bylaws specifying where freedom camping is prohibited or restricted and the conditions of any restriction.
Currently local authorities have difficulty imposing fines as fines cannot be attached to vehicles, Councils have supported the Bill as it makes existing rules more enforceable. Freedom camping is generally permitted under the Bill unless prohibited through bylaws. The Motor Caravan Association (NZMCA) supports the Bill’s intent but has concerns about the power the Bill gives to Councils to designate ‘no camping’ areas to campers with self-contained motorhomes.
ACT has agreed to support this Bill.
SOP to Freedom Camping Bill
The SOP makes a number of technical amendments to the Bill, mostly being amendments that update and correct the references to bylaws specified in Schedules 3 and 4. Secondly it authorises rental companies that are served with infringement notices for an infringement offence to debit the credit card of the hirer with the amount of the infringement fee.
ACT has agreed to support this SOP.
Student Loan Scheme Bill
This Bill makes a number of policy changes relating to the administration of the student loan scheme:
- Make the student loan process a largely electronic system, allowing additional repayments and contact etc easier.
- Reduce the late payment penalties to encourage repayment of overdue debt.
- Introduce a threshold of $1,500 of pre-tax income such as interest and dividends below which borrowers will not have to make additional student loan repayments.
- Allow the Commissioner of IRD to require additional repayments to correct major under deductions.
- Exempt current and future student loan contracts from the Credit Contracts and Consumer Finance Act 2003.
ACT has agreed to support this Bill.
Taxation (Tax Administration and Remedial Matters) Bill
The Bill amends the Tax Administration Act 1994 to make improvements to tax administration.
Disclosure of information
The Bill makes it easier for Director to disclose information, for tax administration purposes, when:
- He/she is responding to incorrect media statements about Inland Revenue
- Disclosing statistical data and information to Treasury
- Disclosures have been expressly consented to by the taxpayer
- Information already in the public domain
- Sharing of information
The Bill makes it easier for the Director to share information with other government agencies when the agency already has the ability and authority to collect such information in its own right. This will avoid unnecessary duplication of effort. Privacy concerns are alleviated: affected agencies and the Privacy Commissioner must be consulted prior to the Minister recommending an Order in Council.
Tax disputes procedure
Taxpayer-initiated disputes will be more closely aligned with Commissioner-initiated disputes.
Clause 67 abolishes the small claims jurisdiction of Taxation Review Authorities; the merits of a dispute to be considered by the Commissioner.
Clauses 68 & 69 extend the timebar for taxpayer’s exercising their right of appeal in the disputes process.
Clause 70 clarifies when a taxpayer can challenge an income tax or GST assessment.
Other Changes include:
Part 3 of the Bill abolishes gift duty. A good move, gift duty is estimated to raise revenue of only $1m while attracting administration costs of $430,000.
Clause 41 gives donee status to 7 overseas orientated charities.
Clause 80 allows for credit card payments of overdue tax, with the taxpayer paying applicable fees.
Clause 83 retrospectively clarifies that interest paid (on underpayments and overpayments of tax) is deductible.
ACT has agreed to support this Bill.
Supplementary Order Paper to the Taxation (Tax Administration and Remedial Matters) Bill
This SOP amends the Bill to add a new provision to relieve interest charged on overdue tax for some workers involved in the Christchurch earthquake recovery. Currently when foreign workers stay in New Zealand for extended periods of time they can be subject to New Zealand tax, backdated to their first day of presence. Some foreign earthquake recovery workers only intended to be in New Zealand for short stays but have had their stays unexpectedly prolonged due to continuous aftershocks. The SOP also contains technical amendments to foreign investment PIE rules.
The SOP also makes an amendment to a technical provision in the Bill relating to inter-corporate dividend exemptions, a provision that is retrospective. The provision allows dividends paid from one company to another in the same group to be tax exempt if they have different balance dates. Maori authorities who have already received dividends from subsidiaries and acted on the basis that dividends were taxable would be faced with compliance costs if forced to reverse tax credits attached to the authority. The Committee agreed to make the change prospective for Maori authorities but due to a drafting oversight this was not given effect in the Bill.
ACT has agreed to support this SOP.
Duties of Statutory Officers (Census and Other Remedial Provisions) Bill
This Bill defers the census from this year to 2013 by amending the Statistics Act 1975. The 2011 census was cancelled in the wake of the February 22 Canterbury earthquake. The Bill also includes amendments to enable the Chief Parliamentary Counsel to delegate his or her powers in the period of absence, similar to the delegation powers currently afforded to the Clerk of the House of Representatives.
ACT has agreed to support this Bill.
Education Amendment Bill (No 4)
The Bill seeks to strengthen regulation of the tertiary education system by the NZQA and facilitate expansion of international education in New Zealand.
Tertiary Education:
The NZQA will take full responsibility for its quality assurance functions under the Education Act 1989, currently these can be delegated. Rules made under the new rules regime will have the legal status of deemed regulations, meaning they can be scrutinised by the Regulations Review Committee, similar to those administered by the Civil Aviation Authority and Maritime New Zealand.
International Education:
The Bill establishes Education New Zealand, a Crown agent, which will safeguard the quality and reputation of New Zealand Education and its Crown-funded overseas promotion. This function is currently being performed by three separate entities, all will be merged.
Select Committee Changes:
The Committee recommends allowing the Minister to give direction listing the categories of student services an institution may provide. This amendment would also make it clear that where an institution had been given a ministerial direction the fee fixed by the institution would be limited to covering services in those categories. The purpose of this amendment is to ensure accountability in the use of compulsory student service fees.
ACT has agreed to support this Bill.
Aquaculture Legislation Amendment Bill (No 3)
This Bill will:
- streamline planning and consenting processes by removing the requirement for Aquaculture Management Areas (normalising aquaculture in the RMA);
- provide stronger incentives for industry development while maintaining existing processes to ensure environmental limits are respected;
- enable central government to take a more active role in aquaculture planning and consenting (Councils will be able to ask for Ministerial direction);
- honour the Settlement under the Māori Commercial Aquaculture Claims Settlement Act.
ACT has agreed to support this Bill.
SOP to Aquaculture Amendment Legislation Bill (no. 3)
The Aquaculture Legislation Amendment Bill No 3 is laid out in five parts. These are the four acts that will be amended, and schedules that will remain in the Bill itself. Below is a list of the major changes proposed:
Transitional Act
- Discount Regulations won’t apply to outstanding applications
- 2004 Settlement provisions apply to new space in Gazetted Aquaculture Areas
- Confirm the Waikato Communal Area marine farm permit to 2033
- Prevent exempted Western Firth of Thames Spat Catching applications from resuming on day of enactment
Fisheries Act
- Amend notification of UAE decisions
- Remove the proposal for all quota owners to vote on Pre-Request Agreements
- Remove proposed change to Judicial Review period
Settlement Act
- Obligation will be met by Crown, not individuals
- Provides for Regional Agreements to deliver settlement within 2-3yr timeframe
- Regional Agreements can be a combination of space, financial or anything else
- Enables space to set aside by gazette notice
- Default mechanism established
- Provides for periodic review of obligation
This SOP is designed to allow the Crown to fulfil existing settlement obligations. A two page summary of this SOP has been given by Hon Heatley to Hilary Calvert and is available to members.
Resource Management Act
- Allowed for consents to be processed concurrently with a private plan change, including with the EPA route
- Regional Councils must take account of existing information when ‘re-consenting’
- Limits Minister of Conservation power to allow incumbent farmers' priority right to apply to change species
Amendment Act
Coromandel Marine Farm Zone:
- Establishes new 300ha finfish zone
- Allows for staged development and limits nitrogen
- Sets aside space for settlement, and uses weighted tendering for the remaining space.
The finfish zone is being established because the industry has signalled a desire to commercially trial the farming of hapuku and/ or kingfish. Any consents for aquaculture activity will be subject to the RMA. The zone has been chosen because it avoids major constraints on aquaculture such as commercial shipping and ferry routes. A two page summary of this SOP is available to members.
ACT has requested further research of the amendments contained in the SOPs before making a decision.
Trade Marks (International Treaties and Enforcement) Amendment Bill
This Bill will:
- Accede to the Madrid Protocol Relating to the Madrid Agreement.Accede to the Nice Agreement Concerning the International Classification of Goods and Services for the Purposes of the Registration of Marks.
- Ratify the Singapore Treaty on the Law of Trademarks.
- Empower MED and Customs to enforce the criminal offence provisions under the Trade Marks Act and the Copyright Act related to counterfeit goods and pirated works.
Summaries of all Agreements are available.
ACT has agreed to support this Bill.
Maori Purposes Bill
This is an omnibus Bill that changes how a Maori estate is administered and amends three further Acts relating to Maori trusts and trust boards.
ACT has agreed to support this Bill.
Statutes Amendment Bill (No 2)
This is an omnibus bill consisting of a large number of amendments of a minor or tidy-up nature to 20 disparate Acts. A summary of amendments is available to Members on request. Note: ACT has been advised by the Government that the proposed amendments involving the Horticulture Export Authority regarding pip fruit will not be included in this Bill.
ACT has agreed to support this Bill.
Commerce Commission (International Co-operation, and Fees) Bill
This Bill allows the Commerce Commission to work with their equivalent overseas regulators, in particular the ACCC in Australia. It will allow the Commission to use their statutory powers to provide investigative assistance to overseas competition and consumer regulators and to provide compulsorily acquired information to overseas regulators. The Bill will also make some changes to the fee structure, with some exemptions and refunds being provided for.
ACT has agreed to support this Bill.
Housekeeping 14: Sitting Week 5-7 July 2011
Government Bills
New Zealand Security Intelligence Service Amendment Bill
This Bill implements Government policy decisions to update the interception warrant framework. The following specific issues are addressed in the Bill:
- the principal Act does not expressly provide for the NZSIS to undertake tracking of subjects by electronic means. The Bill will clarify that the warrant framework does cover the use of electronic tracking devices:
- the principal Act needs to be updated to provide a clear framework for facilities to be the subject of surveillance (such as telephone numbers or IP addresses). The Bill will confirm that facilities can be specified as the subject of warrant applications. This is a necessary update in an age where the use of mobile phones and cyber identities is common:
- authorities provided to the NZSIS also require clarification in the area of computer-based surveillance. Section 253 of the Crimes Act 1961 already provides a qualified exemption to the “access without authorisation” offence for the NZSIS. The current approach of providing a qualified exemption for some activities relating to computers, but not others, creates uncertainty for the intelligence agencies, as well as for other agencies acting under warrant:
- the principal Act does not adequately protect from liability those persons exercising NZSIS entry powers when they are seeking to obtain or facilitate entry. The principal Act also fails to provide consistent protection to all persons acting under NZSIS warrants from liability, regardless of the foreign or domestic status of the warrant. The Bill will clarify protections in the Act for persons acting in accordance with a warrant:
- there is an existing requirement to specify, in advance, all those persons assisting the NZSIS under warrant. The Bill amends this requirement, which will improve efficiency and enable the NZSIS to respond more quickly to changes in circumstances.
ACT has agreed to support this Bill.
Regulatory Standards Bill
This ACT Party Bill sets clear standards that new rules and regulations will be measured against.
These standards spell out what good laws look like and should do. For example, laws and regulations should treat everyone equally, be accessible and easy to understand, should not remove property rights without good reason or without compensation, and should not remove right to appeal to the Courts. Second, the Bill would require anyone proposing new laws or regulations to certify that their proposals meet such standards.
If laws don’t meet the standards, the person proposing the law – for example, a Minister or MP – would need to explain to Parliament why the law doesn’t comply and why this is in the public interest. Finally, if someone believes that a new law doesn’t meet the standards, they will be able to go to Court, the Court can then issue a ‘declaratory judgement.’
ACT has agreed to support all stages of this Bill.
Courts and Criminal Matters Bill
The Courts and Criminal Matters Bill is an omnibus Bill amending a number of statutes to enhance the courts’ powers and processes for the collection of fines and other monetary penalties, and civil debt. The Courts and Criminal Matters Bill amends:
- the District Courts Act 1947 to improve the efficiency and effectiveness of the civil debt enforcement system
- the Land Transport Act 1998 to introduce Driver Licence Stop Orders as a new penalty enforcement measure in relation to traffic offences
- the Summary Proceedings Act 1957 and other Acts to improve the collection and enforcement of monetary penalties including by:
- authorising the inclusion of overdue penalties in credit reports
- giving the courts priority over secured creditors for the sale proceeds of seized property in certain circumstances
- authorising the Courts to substitute prison or home detention sentences for unaffordable and unenforceable reparation sentences and orders
- the Sentencing Act 2002 to improve the operation of the reparation and vehicle confiscation penalty regimes
ACT has agreed to support all stages of this Bill.
Weathertight Homes Resolution Services Amendment Bill
This Bill will implement the Government’s Financial Assistance Package as agreed by the Ministers of Finance, Local Government, and Building & Construction.
ACT has agreed to support all stages of this Bill.
SOP to the Weathertight Homes Resolution Services (Financial Assistance Package) Amendment Bill
The SOP amends the Bill to provide for the legislation to commence on 1 July 2011, the SOP will be introduced during the CWH (the Bill had its second reading on 12/5/11).
The Bill currently provides for legislation to commence by Order in Council no later than the first anniversary of the date of Assent. PCO have recommended the SOP bring the legislation into force. This is consistent with the recommendations of the Regulations Review Committee and the Department of Building and Housing.
ACT has agreed to support this SOP.
Private and Local Bills
Royal Society of New Zealand Amendment Bill
This Bill, put forward by the Society through the local Member Grant Robertson, amends the principal Act to allow the Society, at their request, to expand their functions to include the research of humanities.
ACT has agreed to support this Bill.
Member’s Bills
Education (Freedom of Association) Amendment Bill
This Bill will make membership of student unions/associations voluntary. Students remain the only sector of society to be forced to join a union.
Although the right of conscientious objection is written in law, many unions have refused students the right to opt-out. This Bill will make student unions/association opt-in, in the same way that trade unions are, so that no student is compelled to join.
ACT has agreed to support this Bill.
Housekeeping 13: Sitting Week 21-23 June 2011
Telecommunications (TSO, Broadband and Other Matters) Amendment Bill
The Bill (in their words) will: help with the roll-out of broadband in urban and rural areas by:
- Reforming the Telecommunications Service Obligations (TSO) framework (a set of reforms to the legislative framework which supports the establishment, administration and funding of “TSO instruments”); and
- Introducing a package of Government measures to streamline the technical and administrative procedures for the construction and deployment of broadband infrastructure.
The Bill contains amendments to the Act which set out a legislative framework for the declaration and management of TSO instruments. These instruments record arrangements between the Crown and a service provider for the delivery of telecommunications services which would not otherwise be delivered on a commercial basis or at an affordable price. The Bill:
- amends the basis for calculation of the net cost of deemed TSO instruments (including the TSO Deed for Local Residential Telephone Service – the Local Service TSO – provided by Telecom); and
- streamlines the legislative funding mechanisms for TSO instruments by introducing a new Telecommunications Development Levy (the TDL), which will be collected from industry participants annually and be used for the payment of TSO-related compensation, rural telecommunications infrastructure development and upgrades to the emergency services calling system. The levy amount to be collected is set at $50 million for 6 years and $10 million thereafter.
Part 2 of the Bill contains amendments to insert a new Part 4AA to the Act to establish a regulatory framework for the enhanced telecommunications networks that will be established under the UFB Initiative and the RBI. The key legislative amendments to this effect—
- establish a statutory framework enabling the Crown to accept binding ‘open access’ undertakings from service providers;
- where a service provider has had open access undertakings approved, restrict the Telecommunications Commissioner from recommending regulation of access to the service provider’s FTTP access infrastructure until 31 December 2019; and
- establish a new information disclosure regime to require those service providers who qualify for forbearance from FTTP service regulation to disclose information regarding network and service costs and characteristics to the Commerce Commission.
- In an agreement reached with the Maori Party Minister Joyce has agreed to remove the controversial 10 year regulatory forbearance period or ‘regulatory holiday’.
ACT Minority Report:
ACT’s Minority Report criticises the Bill as ‘Picking Winners’ by encouraging companies to invest in technology that may become obsolete. The report also notes that New Zealand may get little benefit from faster broadband (relative to the cost) and that the fibre roll out will likely be ineffective without lines going in and out of New Zealand also being upgraded.
Three ACT MPs have agreed to support this Bill.
New Zealand Security Intelligence Service Amendment Bill
This Bill implements Government policy decisions to update the interception warrant framework. The following specific issues are addressed in the Bill:
- the principal Act does not expressly provide for the NZSIS to undertake tracking of subjects by electronic means. The Bill will clarify that the warrant framework does cover the use of electronic tracking devices:
- the principal Act needs to be updated to provide a clear framework for facilities to be the subject of surveillance (such as telephone numbers or IP addresses). The Bill will confirm that facilities can be specified as the subject of warrant applications. This is a necessary update in an age where the use of mobile phones and cyber identities is common:
- authorities provided to the NZSIS also require clarification in the area of computer-based surveillance. Section 253 of the Crimes Act 1961 already provides a qualified exemption to the “access without authorisation” offence for the NZSIS. The current approach of providing a qualified exemption for some activities relating to computers, but not others, creates uncertainty for the intelligence agencies, as well as for other agencies acting under warrant:
- the principal Act does not adequately protect from liability those persons exercising NZSIS entry powers when they are seeking to obtain or facilitate entry. The principal Act also fails to provide consistent protection to all persons acting under NZSIS warrants from liability, regardless of the foreign or domestic status of the warrant. The Bill will clarify protections in the Act for persons acting in accordance with a warrant:
- there is an existing requirement to specify, in advance, all those persons assisting the NZSIS under warrant. The Bill amends this requirement, which will improve efficiency and enable the NZSIS to respond more quickly to changes in circumstances.
ACT has agreed to support this Bill.
Notice of Motion to suspend Standing Orders for Courts and Criminal Matters Bill
This is a notice of motion suspending Standing Order SO 299 (1) to authorise the Committee of the whole House to consider and adopt the amendments set out on SOP 202. The SOP strengthens fines enforcement and civil debt recovery processes.
All amendments are within the scope of the Bill – a view confirmed by the Office of the Clerk. The Government intends to extend the amendments of the SOP to six Acts not included in the omnibus Bill:
- the Crimes Act 1961,
- the Criminal Proceeds (Recovery) Act 2009,
- the Disputes Tribunals Act 1988,
- the Misuse of Drugs Act 1975,
- the Misuse of Drugs Amendment Act 1978, and
- the Residential Tenancies Act 1986.
SO 299 (1) prevents an omnibus bill amending an Act that was not amended by the bill as originally introduced, without leave of the committee. The Green Party have agreed not to support the request for leave as they oppose the Bill.
The alternative to suspending the Standing Orders is redrafting the entire SOP 202 which would compromise the Government’s intention to see the Bill implemented by the end of the year.
ACT has agreed to support this Motion.
Housekeeping 12: Sitting Week 14-16 June 2011
Government Bills
Appropriation (2010/11 Supplementary Estimates) Bill
This Bill seeks parliamentary authorisation of the individual appropriations and changes contained in the Supplementary Estimates presented to the House of Representatives on 19 May 2011.
ACT has agreed to support this Bill.
Telecommunications (TSO, Broadband and Other Matters) Amendment Bill
The Bill (in their words) will: help with the roll-out of broadband in urban and rural areas by:
- Reforming the Telecommunications Service Obligations (TSO) framework (a set of reforms to the legislative framework which supports the establishment, administration and funding of “TSO instruments”); and
- Introducing a package of Government measures to streamline the technical and administrative procedures for the construction and deployment of broadband infrastructure.
The Bill contains amendments to the Act which set out a legislative framework for the declaration and management of TSO instruments. These instruments record arrangements between the Crown and a service provider for the delivery of telecommunications services which would not otherwise be delivered on a commercial basis or at an affordable price. The Bill:
- amends the basis for calculation of the net cost of deemed TSO instruments (including the TSO Deed for Local Residential Telephone Service – the Local Service TSO – provided by Telecom); and
- streamlines the legislative funding mechanisms for TSO instruments by introducing a new Telecommunications Development Levy (the TDL), which will be collected from industry participants annually and be used for the payment of TSO-related compensation, rural telecommunications infrastructure development and upgrades to the emergency services calling system. The levy amount to be collected is set at $50 million for 6 years and $10 million thereafter.
Part 2 of the Bill contains amendments to insert a new Part 4AA to the Act to establish a regulatory framework for the enhanced telecommunications networks that will be established under the UFB Initiative and the RBI. The key legislative amendments to this effect—
- establish a statutory framework enabling the Crown to accept binding ‘open access’ undertakings from service providers;
- where a service provider has had open access undertakings approved, restrict the Telecommunications Commissioner from recommending regulation of access to the service provider’s FTTP access infrastructure until 31 December 2019; and
- establish a new information disclosure regime to require those service providers who qualify for forbearance from FTTP service regulation to disclose information regarding network and service costs and characteristics to the Commerce Commission.
In an agreement reached with the Maori Party Minister Joyce has agreed to remove the controversial 10 year regulatory forbearance period or ‘regulatory holiday’.
ACT Minority Report:
ACT’s Minority Report criticises the Bill as ‘Picking Winners’ by encouraging companies to invest in technology that may become obsolete. The report also notes that New Zealand may get little benefit from faster broadband (relative to the cost) and that the fibre roll out will likely be ineffective without lines going in and out of New Zealand also being upgraded.
Three ACT MPs have agreed to support this Bill.
New Zealand Security Intelligence Service Amendment Bill
This Bill implements Government policy decisions to update the interception warrant framework. The following specific issues are addressed in the Bill:
- the principal Act does not expressly provide for the NZSIS to undertake tracking of subjects by electronic means. The Bill will clarify that the warrant framework does cover the use of electronic tracking devices:
- the principal Act needs to be updated to provide a clear framework for facilities to be the subject of surveillance (such as telephone numbers or IP addresses). The Bill will confirm that facilities can be specified as the subject of warrant applications. This is a necessary update in an age where the use of mobile phones and cyber identities is common:
- authorities provided to the NZSIS also require clarification in the area of computer-based surveillance. Section 253 of the Crimes Act 1961 already provides a qualified exemption to the “access without authorisation” offence for the NZSIS. The current approach of providing a qualified exemption for some activities relating to computers, but not others, creates uncertainty for the intelligence agencies, as well as for other agencies acting under warrant:
- the principal Act does not adequately protect from liability those persons exercising NZSIS entry powers when they are seeking to obtain or facilitate entry. The principal Act also fails to provide consistent protection to all persons acting under NZSIS warrants from liability, regardless of the foreign or domestic status of the warrant. The Bill will clarify protections in the Act for persons acting in accordance with a warrant:
- there is an existing requirement to specify, in advance, all those persons assisting the NZSIS under warrant. The Bill amends this requirement, which will improve efficiency and enable the NZSIS to respond more quickly to changes in circumstances.
ACT has agreed to support this Bill.
Private and Local Bills
Westpac New Zealand Bill
This Bill would transfer some of the assets and liabilities from Westpac (based in Australia) to Westpac New Zealand. Under changes to Reserve Bank policy in 2003, banks were required to incorporate in New Zealand.
This Bill would vest assets and liabilities into the New Zealand incorporated company, something that requires legislation.
ACT has agreed to support this Bill.
Royal Society of New Zealand Amendment Bill
This Bill, put forward by the Society through the local Member Grant Robertson, amends the principal Act to allow the Society, at their request, to expand their functions to include the research of humanities.
ACT has agreed to support this Bill.
Member’s Bills
Education (Freedom of Association) Amendment Bill
This Bill will make membership of student unions/associations voluntary. Students remain the only sector of society to be forced to join a union.
Although the right of conscientious objection is written in law, many unions have refused students the right to opt-out. This Bill will make student unions/association opt-in, in the same way that trade unions are, so that no student is compelled to join.
ACT has agreed to support this Bill.
Notice of Motion to suspend Standing Orders for Courts and Criminal Matters Bill
This is a notice of motion suspending Standing Order SO 299 (1) to authorise the Committee of the whole House to consider and adopt the amendments set out on SOP 202. The SOP strengthens fines enforcement and civil debt recovery processes.
All amendments are within the scope of the Bill – a view confirmed by the Office of the Clerk. The Government intends to extend the amendments of the SOP to six Acts not included in the omnibus Bill:
- the Crimes Act 1961,
- the Criminal Proceeds (Recovery) Act 2009,
- the Disputes Tribunals Act 1988,
- the Misuse of Drugs Act 1975,
- the Misuse of Drugs Amendment Act 1978, and
- the Residential Tenancies Act 1986.
SO 299 (1) prevents an omnibus bill amending an Act that was not amended by the bill as originally introduced, without leave of the committee. The Green Party have agreed not to support the request for leave as they oppose the Bill.
The alternative to suspending the Standing Orders is redrafting the entire SOP 202 which would compromise the Government’s intention to see the Bill implemented by the end of the year.
ACT has agreed to support this Motion.
SOP to the Weathertight Homes Resolution Services (Financial Assistance Package) Amendment Bill
The SOP amends the Bill to provide for the legislation to commence on 1 July 2011, the SOP will be introduced during the CWH (the Bill had its second reading on 12/5/11).
The Bill currently provides for legislation to commence by Order in Council no later than the first anniversary of the date of Assent. PCO have recommended the SOP bring the legislation into force. This is consistent with the recommendations of the Regulations Review Committee and the Department of Building and Housing.
ACT has agreed to support this SOP.
Housekeeping 11: Sitting Week 7-9 June 2011
Appropriation (2011/12 Estimates) Bill
ACT is required to support this Bill (better known as Budget 2011) under the terms of our Confidence and Supply Agreement.
ACT has agreed to support this Bill.
Freedom Camping Bill
The intention of the Bill is to minimise negative effects of freedom camping. There are two areas of behaviour addressed; camping in unsuitable areas, and campers leaving waste.
The Bill creates an offence of freedom camping in an area where it is not permitted and an offence in relation to depositing human or other waste on local authority or conservation land. The Bill allows local authorities to make bylaws specifying where freedom camping is prohibited or restricted and the conditions of any restriction.
Currently local authorities have difficulty imposing fines as fines cannot be attached to vehicles, Councils have supported the Bill as it makes existing rules more enforceable. Freedom camping is generally permitted under the Bill unless prohibited through bylaws. The Motor Caravan Association (NZMCA) supports the Bill’s intent but has concerns about the power the Bill gives to Councils to designate ‘no camping’ areas to campers with self-contained motorhomes.
ACT has agreed to support this Bill.

