Peters dings Key for lack of detail on Mighty River loyalty scheme

Winston Peters (TVNZ)

NZ First leader Winston Peters has criticised the government for not providing more detail on a Mighty River Power loyalty scheme today.

The government is aiming for 85% to 90% local ownership of the power company at the time of the IPO with a series of incentives and priority measures for so-called local mum-and-dad investors.

But beyond the mid-May listing date, there is nothing to stop small parcel holders onselling their shares to foreigners - a negative outcome in Mr Peters' view.

The government has floated the idea of a loyalty scheme which would incentivise mum-and-dads to keep hold of their shares for a year or more.

Last year, SOE Minister Tony Ryall pointed to a state railway privatisation in Queensland that saw $A1000 share parcels dished out as loyalty bonuses after 12 months.

However, at the Mighty River pre-registration launch today, no detail was offered on a possible loyalty scheme. The government said it wanted to get a better idea of demand before it settled on a specific scheme.

Mr Peters labelled that "one more quisling moment" from the Prime Minister.

“Mr Key is clearly selling the assets of the many, for a favoured few who in time will become a favoured foreign few," the NZ First leader said.

The NZ First leader also claimed that while the government said it wanted to make the share offer "as easy as possible" for ordinary New Zealanders, this was merely a guise for minimalist registration requirements that would make it easy  for foreigners to leap in through loopholes.

“When the only requirements to be counted as a New Zealander are an IRD number, New Zealand bank account, residency and a New Zealand address, this isn’t going to be hard to get around," Mr Peters said.

“The so-called promise of Kiwi Mums and Dads being first in the queue is a transparent exercise in deception. Kiwi mums and dads are first in the queue now - they own these assets outright. When this process is over, the mass majority won’t."



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12 Comments & Questions

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Mr Peters has a point.
I would have thought everything would have been all arranged, well managed and professional.
Typical NZ...making it all up as we go along and the online facility is amateurish.
They should have asked Dotcom to organise the launch and registrations.


Well, that's Winnie, isn't it?
He rants and raves about everything the govt thinks or does and then he wants to be taken seriously at election time. He held the country in limbo way back when and he is really just an overpaid,short stroppy little joker who loves mirrors and power.
Go spend your super Winnie and flash your gold card along with your teeth. You are yesterday's man.


The style of your response to an awkward question is typical of the National Government's response to criticism.
The fact that WInston makes a good point seems irrelevant to you and you'd rather focus on what, Winstone's height, his teeth and his age? You could have been describing a number of parliamentarians - John Banks springs to mind.


I would agree. His response was typical of the dismissive, irrational propaganda usually associated with the far right lobbyist/bloggers such as Whale Oil.


'No', Mr Peters.

Which part of the word 'NO' do you not understand?


You would hope that Winnie is aware that there are strict processes to follow for listing on the NZX and even stricter for the ASX. Presumably these comments are aimed at the uniformed (including the mainstream media).


You or Winnie may or may not be 'informed', as you put it, but for the vast majority of New Zealanders we are all talking gobbledegook. The mum and dad investors are the retired rich, of whom John Key intends to be.

The common Kiwi doesn't know the difference between the stock exchange and telehpone exchange (to quote my wife). Get real, all of you. The rich get richer and the poor get poorer. All a government can do is regulate and slow the widening gap. And John Key does not want to regulate because he and his mates will not get as rich as quick.


I sincerely hope you were trying to demonstrate your statist / collectivist Keynesian economic adherence and not your jealousy of those who have succeeded or are successful. Because I think the latter overpowered the former.


I fail to see the real problem here. The sale proceeds is not money in Nationals bank nor Mr Keys, it's actually a transfer of assets. Using the proceeds from to build hospitals schools, etc, rather than borrowing the funds is good business.
As to loyalty bonus, they have to know the interest level of those who want to buy shares in order to structure a bonus. This is good practice - only promising what you can deliver. Politicians are not usually known for this so we should celebrate National getting something correct.

Mr Peters, like all politicians in opposition, has to speak against everything the government in power is doing, if they believe in what they are saying or not. If they don’t they will not be in the media and will soon become irrelevant.


Another brainwashed fanboy


Another lemming or educated fool. Lack the understanding of corruption.


Hmmm.... I wonder if Winnie would demand that a quota be placed on immigrants' (who are residents here already) purchase of these shares, in particular the Asians or Chinese?


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