Cosgrove Clayton: Questions for Oral Answer — Questions to MinistersText is incorporated into the Bound VolumeCosgrove Clayton: Questions for Oral Answer — Questions to Ministers[Sitting date: 24 October 2013. Volume:694;Page:14265. Text is incorporated into the Bound Volume.]2.Hon CLAYTON COSGROVE (Labour) to theMinister of Finance: Does he stand by all his statements?Hon STEVEN JOYCE (Associate Minister of Finance)on behalf of theMinister of Finance: Yes. In particular I stand by my statement of last evening that the Labour Opposition has no credibility in criticising the share offer programme because it has had the opportunity for months to say it will go and borrow $2 billion from foreign bankers to buy these assets back and as far as I know it has not promised it the Greens have not promised it and New Zealand First has not promised it. It is all crocodile tears hand wringing and politicking from the Opposition.Hon Clayton Cosgrove: Which of these statements made by him in the last 24 hours regarding the Meridian Energy float are correct: that it was “a success” that it “met our objectives” and was “a pretty good outcome” or that the Meridian Energy float was “sabotage”?Hon STEVEN JOYCE: If the member had listened to the answer to the primary question for question No. 1 he would have heard we listed all the ways in which the float has been a success—Hon Clayton Cosgrove: I raise a point of order Mr Speaker. I listed a series of quotes and asked the Minister which ones were correct. That was the simplicity of the question.Mr SPEAKER: I appreciate the simplicity of the question. I think the member is trying to address the question. If we give him some time we might well get the answer.Hon STEVEN JOYCE: As I said it has been a success for all the reasons outlined in answer to parts of his question. But in terms of the sabotage issue the reality is that if Labour and the Greens were being responsible more people would have felt confident about buying shares in Meridian Energy and also Mighty River Power. To that degree Labour and the Greens have been sabotaging the public share offers.Hon Clayton Cosgrove: Simple question—Hon Gerry Brownlee: It would have to be.Hon Clayton Cosgrove: Especially for you Gerry. Given that answer how can he claim that the float of Meridian Energy was “a success” but at the same time “it was sabotaged”?Hon STEVEN JOYCE: Well I just said. I will try it again a little slower for the member. It was a success because of the amount of money raised the 62000 shareholders the 86.5 percent New Zealand ownership and the fact that it is by value the largest retail investment in an initial public offering in New Zealand’s history. Where it could have been more successful if the Greens and Labour had not been deliberately scaremongering is to have even more shareholders who wanted to invest for the first time.Hon Clayton Cosgrove: Given that he forecast repeatedly that $5 billion to $7 billion would be raised from asset sales and given that Solid Energy is no longer fit for sale the Government got $110 million less from Mighty River Power than planned and the Government is more than $1 billion short on what was forecast for the Meridian Energy sale how exactly will his Government make up that shortfall?Hon STEVEN JOYCE: The Minister of Finance has been saying for some time that it will be at the lower end of the $5 billion to $7 billion range because Solid Energy is not available for sale. It just goes to show how much these valuations can move over time. The good news for investors and the good news for New Zealanders is that as these assets are listed on the New Zealand Exchange they will be valued on a daily basis.Hon Clayton Cosgrove: I raise a point of order Mr Speaker. My question again was exactly—Mr SPEAKER: Order! I heard the question and the problem is that if the member wants a specific answer that is the supplementary question he should ask. Has the member got a further supplementary question?Hon Clayton Cosgrove: Given that the polls consistently show that an overwhelming majority of the public are opposed to asset sales and only 14 percent of New Zealanders were even interested in purchasing Meridian Energy shares why did he ignore the clear market signals and proceed with the Meridian Energy float with the upshot being that only 1 percent of the population at best given that a large number are institutions and trusts—not mum and dad Kiwis—purchased shares?Hon STEVEN JOYCE: I think I have answered that question in primary question No. 1 from Mr Norman but I am happy to repeat it for the member because he obviously did not hear it. It is pretty straightforward. In terms of the very first part of his question in terms of the popularity or otherwise of the share offer programme the reality is the New Zealand public has looked at the Government’s economic programme as a whole. They think it makes sense and that is why they elected this Government again in 2011 with all of that programme laid out. This programme has raised $3.6 billion so far. If the member had any courage he would say that he would buy the shares back.Hon Clayton Cosgrove: Given that 99 percent of Kiwis did not buy Meridian Energy shares is his Government now truly the Government for the 1 percent?Hon STEVEN JOYCE: With the greatest respect to the member he must be able to do better than that.