Bakshi Kanwaljit Singh: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeBakshi Kanwaljit Singh: Questions for Oral Answer — Questions to Ministers[Sitting date: 08 May 2013. Volume:689;Page:9774. Text is incorporated into the Bound Volume.]4.KANWALJIT SINGH BAKSHI (National) to theMinister for State Owned Enterprises: What reports has he received on the sale of a minority of shares in Mighty River Power?Hon TONY RYALL (Minister for State Owned Enterprises): Last night the finance Minister and I were pleased to confirm the completion of the book build of the Mighty River Power share offer which will see 113000 New Zealanders become individual shareholders in the company on Friday not to mention those thousands who will own the shares indirectly through KiwiSaver accounts and suchlike.Rt Hon Winston Peters: I raise a point of order Mr Speaker. That question asked him about what reports he has received. We are getting a recitation of last night’s history but nothing about a report.Mr SPEAKER: I thought the Minister was addressing the question quite adequately.Rt Hon Winston Peters: He is asked by the question to give a report it is the No. 1 objective of that question and all we are hearing is a litany of what happened last night. That is not a report at all. I want to know why he is not answering the question now.Mr SPEAKER: I will allow the Minister to continue the answer and I am sure we will get the answer.Hon TONY RYALL: Numerous reports I have read tell us that $1.7 billion will be returned to the Crown accounts allowing the Government to control debt and invest in important public projects such as the new Christchurch city hospitals. We are very pleased at the level of enthusiasm from New Zealand investors despite 18 months of politicking from the Opposition. We look forward to seeing the Mighty River Power name on the New Zealand Exchange tomorrow—Friday afternoon.Kanwaljit Singh Bakshi: Has the Government met its objectives in relation to the Mighty River Power minority share float?Hon TONY RYALL: Yes. Despite a year and a half of the Opposition politicking and trying to convince New Zealanders that the float was off-track and that they could not be trusted to try to buy shares in these businesses the Government has met its objectives. We have got over 86 percent New Zealand ownership. New Zealand is at the front of the queue. Now 113000 individual investors thousands more through KiwiSaver and the Government Superannuation Fund and many others have had the opportunity to get a good investment experience. As a country we are controlling our debt while providing around $1.7 billion of money for the Future Investment Fund to invest in important public assets like schools and public infrastructure such as the new Christchurch city hospitals.Kanwaljit Singh Bakshi: Were there any particular matters that impacted on the offer over the course of the share float; if so what impact did these matters have?Hon TONY RYALL: Just 3 days into the offer period the Opposition parties set about to sabotage the offer by proposed changes to the energy sector that would strip capital and value from their investments. This economic sabotage was not thought through and it is clear that it cost many everyday New Zealanders the opportunity to participate. It cost thousands of New Zealanders through their superannuation fund investments in already listed energy companies and it cost taxpayers many tens of millions of dollars that could have been released in the sale of these minority shares to invest in schools and hospitals—all for political gain and all in vain.Dr Russel Norman: If we accept the logic of the Minister’s argument that the NZ Power announcement reduced the value of those electricity companies does it not follow from the logic of his argument that the market accepts that NZ Power will reduce the price of electricity for ordinary Kiwi families and businesses?Hon TONY RYALL: No not at all. I do not think that is the case at all. I think what most New Zealanders realise is that this was a case of economic sabotage where the Opposition parties decided that they wanted to interfere with the ability of New Zealanders to make this decision. The fact is that the NZ Power proposal is not well-thought-through. The Opposition parties did not consider the consequences and I think more and more New Zealanders as time passes will realise it was simply a political stunt.Hon Clayton Cosgrove: Why does his Government insist on ploughing ahead with the sale of electricity assets when the market is not working fairly for consumers and electricity companies are making windfall super-profits or is the Nelson Grey Power president Neville Male incorrect when he says that many senior citizens cannot afford “crazy” electricity prices?Hon TONY RYALL: This Government has made changes to the electricity market that have improved the level of competition which was never seen when that member was in Government. Under his Government electricity prices increased by 72 percent in 9 years. The rate of increase now is much lower. The amount of switching and choice that customers have is very very considerable. That is the benefit of having a far more competitive electricity market and it is the benefit of a Government that is determinedto give New Zealanders an opportunity to invest in good quality infrastructure assets in partnership with the Government.