English 'swings' both ways on Mighty River Power shares for iwi
"As long as they pay fair value for the shares what is the problem?"
Featured commentUPDATE 5.30pm: The Mixed Ownership Model bill passed at 5pm by 61 votes to 60, as expected. National MPs plus United's Peter Dunne and ACT's John Banks voted for the legislation.
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Finance Minister Bill English is riding a dodgy see-saw over the possibility of holding back some Mighty River Power shares for Treaty of Waitangi settlements.
Earlier today Mr English suggested some of the 49% of shares in the state-owned company which are planned for sale later this year might need to be kept back by the government to settle any claims.
On his way to the House this afternoon he said: "There are no plans to set shares aside" for treaty settlements.
But then went on to concede it is "possible" the government might have to do so.
Mighty River Power owns a number of electricity generation assets at the upper end of the Waikato River and at Lake Taupo, and the local iwi, Ngati Tuwharetoa, has threatened legal action to stop the sale of the minority shareholdings in the company.
The mixed ownership model legislation – the State-Owned Enterprises Amendment Act 2012 and the Public Finance (Mixed Ownership Model) Amendment, to give it its full title – will be passed either later today or tomorrow.
The legislation outlines provisions for the share float of up to 49% of Mighty River Power and three other state-owned companies, Genesis Energy, Meridian Energy, Solid Energy, and Air New Zealand.
Prime Minister John Key also told Parliament this afternoon there are no plans to reserve shares for Ngati Tuwharetoa but added that "we live in a democracy" and the iwi could still challenge the legislation in the courts.
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Comments and questions10
As long as they pay fair value for the shares what is the problem.
They would be long term shareholders which is great for retaining NZ ownership and shares are a better option in a Treaty settlement than cash - or at least the Govt is no worse off.
problem with that, what is a fair price for something that is not on the market ? ok, so it will after the sale date , market price .... this is a bit presumptive of there objectives to take the muskets and run !
About time the Government got the iwi to pay for the assets - so a smart move by Bill English.
It is a far better result for Iwi and the Government to settle by way of shares in these companies than just cash. One positive aspect is that Iwi are progressing from the hand out mentality of the past to one of long term investment and more importantly reinvestment in NZ Inc.
The Governmnet should encorage such invetsment as long as it's long term and not just opportunistic.
There is no mention of iwi actually paying for the shares, they would expect to be given them as part of the treaty gravy train, wake up Kiwis!! let the coup d'etat continue
Ron you need to sharpen old boy
The Iwi are going to reach a financial settlement with iwi whether you like it or not. What is on offer is a part settlement in shares rather than cash - which for the uneducated means they are reinvesting in NZ.
Take your bigotted hat off and think about what Bill English is endeavouring to do before you say things that don't make sense - no offense meant Ron.
Sorry typo - the iwi are going to settle with the Govt whether you like it or not
As long as fair value is ascribed to any shares transferred to iwi there is no problem, but the share valuation will need to be carefully examined.
liberte
No more free stuff for Maori's. They should have to pay like every other New Zealander.
Please, the plural of Maori is Maoris; even if we all wish there weren't more than one to pander to.
time to vote these guys out. Payouts look corrupt to me.