He talks about how Saint-Simon gives freedom a different meaning. He says that socialism is collective and that democracy is individualistic in its' nature. He sees the socialist adoption of democracy as a sort of a pretense, and not authentic at its core. It is facism. In terms of planning, Hayek is completely against central planning.
Central planning is ineffective in many regards.
I think that is pretty clear. He thinks that the free market and competition have some good checks and balances to help regulate the system in a way a completely centralized market couldn't. Hayek acknowledges this. Central planning deprives competition of its power of bringing about an effective co-ordination of individual efforts. Hayek's criticism of planning, is that of planning against competition, not against planning.