te Heuheu Georgina: Questions for Oral Answer — Questions to Ministers 
te Heuheu Georgina: Questions for Oral Answer — Questions to Ministers 
[Volume:628;Page:170] 
3.  
Hon GEORGINA TE HEUHEU (National) 
 to the  
Minister of Broadcasting 
: What “other assignments” will Ian Fraser be required to perform in return for remaining on the Television New Zealand payroll for six months receiving $300000 and another $120000 in superannuation subsidy despite his resignation from the role of chief executive? 
Hon STEVE MAHAREY (Minister of Broadcasting) 
: 
 I am advised by the board of TVNZ that Mr Fraser will be available to provide advice and assistance to management through the transition period until a new chief executive officer is formally appointed. Any other detail of course is an operational matter. 
Hon Georgina te Heuheu 
: Can the Minister specifically deny that he has given any directions to the TVNZ board or chairman about the manner in which TVNZ deals with the contracts or exit payments of Ian Fraser Susan Wood or any other news and current affairs staff at TVNZ in breach of the Minister’s duties under the Television New Zealand Act 2003; if not what directions has he given? 
Hon STEVE MAHAREY 
: Yes. 
Dave Hereora 
: What reports has the Minister seen on the performance of TVNZ? 
Hon STEVE MAHAREY 
: The TVNZ annual report tabled this afternoon shows an annual operating surplus before non-recurring items interest and tax of $57.3 million. That is up $4 million on the previous year. In addition TVNZ commissioned 208 New Zealand programmes from 86 separate production companies with local content reaching a peak of 70 percent in May this year. As I have said before TVNZ is going through a transition towards becoming a company that will be commercially strong. In respect of its charter it is doing well on that score as well. 
Hon Georgina te Heuheu 
: Has the Minister also seen the TVNZ annual report showing a sharply reduced dividend paid to the Government of $10.5 million down from $37.6 million last year together with gloomy financial forecasts; if so has he considered requesting that Mr Fraser earn his golden handshake by taking on the special assignment of attempting to transform TVNZ’s financial fortunes? 
Hon STEVE MAHAREY 
: The explanation for that change in dividend is of course that TVNZ is spending the money on New Zealand programming. I will repeat that to the member: it is spending the money on New Zealand programming. The member needs to remind herself that the company is a public-chartered organisation as well as a commercial organisation. It is required to do things like make New Zealand programmes so it spends its money on that. 
Rodney Hide 
: Why does the Minister not get Ian Fraser to do something useful by readying TVNZ for sale and privatising it so that it too can become in the Minister’s words a class act like TV3 has? 
Hon STEVE MAHAREY 
: Because that would not be useful. 
Hone Harawira 
: A kia ora Madam Speaker. Me mihi au ki taku hoa ki a Nandor kua hoki mai ki roto i te Whare. Tena koe Nandor. Hariana au kua hoki mai neii roto i a tatauitenei Whare iteneira. Hakoa te taumahatanga o te kaupapa o tohokinga mai hoi anokua hoki mai tena koe. Me te mihi atu ki a koe e tautoko kaha anaitotatau Tiriti o Waitangi. Kia ora ra! Kia ora ano ki a koutou e te whanaukua tae mai hei tautoko i te kaupapa o totataunei rangatira a Pita. 
[An interpretation in English was given to the House.] 
[ 
Thank you indeed Madam Speaker. First and foremost I must acknowledge my friend Nandor who has returned to the House. Greetings to you Nandor. I am thrilled that you have come back in our midst today in this House. Although the circumstances of your return were trying ones indeed the main thing is that you have come back. I acknowledge your strong support for the Treaty of Waitangi. Well done! My thanks to you the whanau who have arrived here to support our chief Pita’s kaupapa 
.] 
Madam SPEAKER 
: I must say that the member is out of order with that greeting. This is question time. One is expected and required to ask the questions on the Order Paper. I understand that the member is a new member and this I am sure will be the only time that he indulges in that behaviour. Would the member now please ask the question. The member is also required to sit when the Speaker is speaking but I understand that he is a new member. Would the member please now proceed to ask the question. 
Hone Harawira 
: Kia ora Madam Speaker. Ki a koe e te Minita. Me peheara koe e whakatautikaaii te rereketanga o te kaupapa whaimoni ki te kaupapa tiaki tangata? How does the Minister achieve the balance between the demands of a commercial profit-driven ethos and that of providing a public service as required in the charter? 
Hon STEVE MAHAREY 
: There are about 46 organisations within the fold of the State that have the same kind of mandate—that is that are required to make a commercial return while delivering on something like science education or in the case of TVNZ public service television. The way we do that is through the letter of expectations to the organisation. We require the organisation to be measured against its public responsibilities and commercial responsibilities. 
Hon Georgina te Heuheu 
: Does the Minister think that it is fair to describe Ian Fraser’s entitlement to almost half a million dollars in additional remuneration despite his shock resignation as a “golden handshake”; if not is that simply because such a payment can never be called a golden handshake if the Labour administration is responsible for it? 
Hon STEVE MAHAREY 
: The board advises me that Mr Fraser resigned in the correct manner. He and the board are fully entitled to discuss the manner in which that period of notice will be worked out. Therefore it is not a golden handshake. The board is obliged to honour the contracts under which it employs people and that is what it is doing. 
Gerry Brownlee 
: Can the Minister list the $20 million worth of local programming produced in the last year that would account for the profit downturn as expressed in his earlier answer this afternoon? 
Hon STEVE MAHAREY 
: I do not have a list with me but TVNZ reports against all of those programmes. 
Hon Georgina te Heuheu 
: Is the Minister prepared to deny the accusation that TVNZ board member former Labour Cabinet Minister and Labour Party fund-raiser Dame Ann Hercus has on occasion gone behind the backs of the board and chairman to discuss with the Minister and Prime Minister statements and messages that they would like her to carry from the ninth floor back to TVNZ? 
Hon STEVE MAHAREY 
: Yes. 
Hon Georgina te Heuheu 
: What explanation can the Minister offer for why Ian Fraser was moved to blame political interference for his resignation from Television New Zealand; and has he discussed with Ian Fraser or others exactly why the outgoing chief executive had lost confidence in the board of Television New Zealand? 
Hon STEVE MAHAREY 
: You would have to ask Mr Fraser why he resigned. I am not actually inside his head.