King Annette: Questions for Oral Answer — Questions to Ministers 
King Annette: Questions for Oral Answer — Questions to Ministers 
[Volume:666;Page:13972] 
1. 
Hon ANNETTE KING (Deputy Leader—Labour) 
 to the  
Minister for Canterbury Earthquake Recovery  
: Does he agree with the Canterbury Employers Chamber of Commerce chief executive Peter Townsend that the reconstruction of Canterbury following the earthquake requires someone “to co-ordinate and oversee” reconstruction? 
Hon BILL ENGLISH (Deputy Prime Minister) 
 on behalf of the  
Minister for Canterbury Earthquake Recovery 
: Generally yes. In order to assist a coordinated recovery effort Mr Brownlee has been appointed the Government’s Minister for Canterbury Earthquake Recovery. Last night Parliament unanimously passed the Canterbury Earthquake Response and Recovery Act which establishes the Canterbury Earthquake Recovery Commission consisting of the three relevant Canterbury mayors plus four other appointed experts to help oversee the recovery. The job of the commission will be to provide advice to the Government on what steps need to be taken to help the region get on with the job of reconstruction. 
Hon Annette King 
: Was John Jackson the construction economist who helped in Darwin following Cyclone Tracy right when he said today that we need to learn the lessons from Darwin and New Orleans and appoint a non-political leader who is on the spot able to allocate resources and able to make sure there is no ripping off or price gouging; if so will the Government appoint such a person? 
Hon BILL ENGLISH 
: Of course the Government is open to any advice from people who have had previous experience in these matters. Given that the Act was passed just yesterday and that coordination efforts have been largely successful up until now including efforts by the Canterbury Employers Chamber of Commerce and Mr Peter Townsend it is the Government’s view that we test the current arrangements to see whether they work; the indications are that they will. 
Hon Annette King 
: What discussions has he had with building companies undertaking work in the rapid rebuild phase following the Canterbury earthquake and has he set out the Government’s approach to companies that ramp up prices and price gouge? 
Hon BILL ENGLISH 
: I cannot give a detailed answer on behalf of the Minister but I understand that he has had discussions with building companies. One proposition has been to publish a price list so that members of the public know what ought to be charged; prices could be set by the main suppliers. 
Hon Annette King 
: Does he have any reports of a shortage of building supplies and has he been advised of the need to ration material and prioritise need in Christchurch; if so what action is the Government planning to ensure there is not only a rapid rebuild but also a fair rebuild? 
Hon BILL ENGLISH 
: I think the Minister has heard such reports. The process related to the building is that at the moment the banks the insurance companies and the Earthquake Commission are finalising processes by which claims will be handled. I think the matter the member raises is pertinent because there is not an unlimited supply of building materials or personnel. Once the process of dealing with the claims is settled there could well be a discussion about how and whether priority can be allocated to some projects over others. I imagine it will not be as easy as that simply because there are so many distressed householders. Whether they have had a water tank burst or had their house crack in half they regard their circumstances as important and as needing to be dealt with quickly. 
Hon Annette King 
: Is he aware of reports of price gouging and that an earthquake premium is already being applied according to the past president of the Canterbury Registered Master Builders Association; if so what action is the Government taking in light of the Prime Minister’s saying last week that it would take a tough stance on rip-off builders? 
Hon BILL ENGLISH 
: The Minister is in Christchurch and if that kind of behaviour is going on then I am sure he will hear about it. In respect of Government action Parliament supported the passing of legislation that allows for reasonably extensive Government action. The first Orders in Council pursuant to that Government action will probably be passed tomorrow once Opposition members have been consulted on them. At least there we have a tool that may help us deal with these issues. 
Hon Annette King 
: Will the Government require those in the building industry who receive money from the Earthquake Commission in order to rebuild houses and businesses to sign an agreement to charge usual prices and not impose a so-called premium for earthquake work? 
Hon BILL ENGLISH 
: That may well be a constructive suggestion. As I have mentioned before the different parties to the claims process are finalising the process by which they will allocate the claims. I am sure that will lead on to discussions about how to ensure that there is some control of the costs. After all both the insurers and the claimants and the wider community have an interest in ensuring that there are not extensive rip-offs.