The power crisis couldn't have come at a better time. One of the biggest threats to local democracy at the moment is the government's agenda to corporatise our roads. The threat goes deeper that roads being run as profit making ventures. Roading is one of the main activities for local bodies. With that responsibility taken away from them the government will push ahead with its agenda to rationalise local government.
Rumours are rife.
Don't hold your breath for the Labour Party to oppose this loss of local democracy. Senior party figures would have done the same thing in 1989 if they could have got away with it. Don't expect community boards to be the saviour of local democracy. Many already have extremely limited powers and in some cases this is being watered down even further. Token community boards are not the answer to full local democracy.