Welcome to this, the last issue of Watching Brief for the year. The House has risen for the Christmas break, MPs have scurried back to their electorates and the shutters have, for the most part, gone up in the Beehive.
The House will resume on February 9 and the first issue of Watching Brief for the year will follow in short order. With the Prime Minister expecting Cabinet to have its shoulder to the wheel from mid-January on, it's going to be a busy year.
But that's then. For now, the Public Law & Policy Team would like to wish all our readers a safe and happy holiday season.
Ed
There aren't many of us who won't be happy to see the back of this year. In fact if it were possible to sneak up on the sucker, ankle tap it and give it a departing crack across the back of the skull as it goes down we'd all feel much better I'm sure.
Of course, the chief blight on things has been the recession. New Zild may have emerged relatively unscathed, but news of consequential decade-long fiscal deficits, income gaps with Australia, a likely shifting of the superannuation goal-posts and reforms that aren't really reforms all poured cold water over whatever cheery mood the Pollyannas amongst us may have managed to work up. And for those few paragons who succeeded in reaching on the sunlit uplands of rational ignorance, joy was in the end confined by the blaring intrusion of politics.
It came from all sides this year; central government, local government, regional government, gunpowder, treason and plot.
At the national level, Rodney Hide may have pronounced it the year of doing nothing, but it was an energetic nothing. Delivering against election commitments saw a great many things hammered through under urgency and Parliamentary draftspeople working themselves into a state of nervous exhaustion as they tried to guess which Bill Leader of the House Gerry Brownlee would advance through the Parliamentary process from moment to moment.
There was substance amongst the ephemera: the ETS, RMA reform, financial advisers regulation and Auckland governance, were prominent in this category. Overall, though, these were the exceptions amongst what otherwise were low hanging and populist fruit.
On balance Hide's negative summation was overdrawn, but he was still right in one thing - that the Government had little appetite for substantive economic reform. It was a point underscored two weeks ago, when the expert prescription for income parity with Australia by 2025 was quickly rejected as a cure worse than the relative impoverishment that the Kiwi 'mainstream' seems determined to embrace.
A prurient leavening was provided to all this by any number of media-driven scandals, which were seized upon as likely to sell the most ad space with the least effort. There were the personal peccadilloes and subsequent departure from Parliament of man-of-a-certain-age, Richard Worth. There was the feverish attempt on the part of the media to work up some fairly innocuous parliamentary spending into something resembling the UK expense scandal. And then there was Deputy Prime Minister Bill English, whose accident-prone year was easy fodder for those many hacks reluctant to stir from their bar-stools.
Local government was no less the stuff of media exposé. Auckland governance got the lion's share of attention, delivering up plenty to which attention could be paid. The manoeuvring of vested interest was much in evidence and moved one senior player - no stranger to politics - to comment that the local body politics was "a cesspool" deeper than anything he'd ever encountered.
Elsewhere in the country mayors and officials also began to ponder what implications Auckland held for them, whilst regional councils confronted the grim reality that, intentionally or not, Government's tinkering on the RMA front and the advent of the Environmental Protection Agency may well remove much of their raison d'être. The closing of ranks and feverish prayer that the National-ACT-Māori Party ménage would not survive the next election was heard in many a hamlet far and wide.
Will those prayers be answered? Not if the performance of Labour nice-guy Phil Goff is any indication. With a preferred Prime Minister ranking not far off the margin of error, Goff's recent political gambling was as desperate as it was foolish. Alienating Labour's Māori support base, as well as the Māori Party, Goff seemed to be playing to Winston Peter's staple constituency. The ensuing 'please explain' from Labour's hierarchy was unsurprising and with the numbers against him in caucus, Goff seems destined to carry on as a lame duck until one of the likely pretenders feels that the leadership is not the poisoned chalice that it is at present.
And poison is what Māori Party co-leaders Sharples and Turia would probably like to feed rogue MP Hone Harawira. In an exchange, apparently won 6-4 by Harawira, the co-leaders have placed themselves in the hands of the elders of Te Tai Tokerau, putting an unfortunate cast on what was actually, in substance, a good year.
So it is that we, great and small alike, look to 2010 in the hope that it will be a better one. Hopefully too we can leave it until this time next year before we have to start worrying about whether the Mayans were right about 2012.
It was one of those closed-lipped asides. The doors had just closed on one of the pre-Copenhagen climate change photo ops where leaders assured us that great deeds would be done. The flash of cameras was shut off and Obama's smile faded. "Well?" asked Key. "It ain't gonna happen" said Obama. And it didn't.
Forestalling the inevitable
The pundits tried to talk it up, but Phil Goff’s gain in the latest political poll was hardly the fillip he needs.
Also troubling for him was the lack of certainty about whether this blip in Labour’s showing is attributable to his ‘hard-hitting attack on dirty deals’, or to the many extraneous factors that impact on the Government from time to time - and National has had plenty of those.
Whatever you put Labour’s gain down to, it should be enough to assuage those members of caucus wanting change at the top - at least for the time being. Unfortunately, it will also tempt Labour strategists to continue playing on anti-Māori sentiment. The political consequences of that are just too hard to guess.
For now, Goff seems to have weathered the storm. However, when a political party announces that it is united behind its leader, it’s usually because they don’t want to look them in the face as they drive the knife home. The only thing missing from the formula is a probable challenger humbly asserting that he or she "harbours no ambitions, but, if asked ...."
It is the absence of a popular replacement, rather than the race card, that provides Goff with the greatest hope of limping through to the next election. David Cunliffe is an obvious leader in waiting and centrist to boot. However he is not well-liked within his caucus and is too astute to take the early plunge. Shane Jones is another possibility, but is seen as lacking the hunger to win, and Clayton Cosgrove, whilst good at exploiting political opportunities, probably lacks the judgement or the discipline to carry the long game. Other possible pretenders, including King and Hodgson, seem to be lying doggo and waiting for what the New Year will bring.
Of course, even the merest whiff of electoral success in 2011 will be sure to stiffen any challenger's resolve, while the prospect of an early return to the Treasury benches will trump any ill-will that might be felt by caucus towards an incoming leader. Given that alignment, it's odds on that it's curtains for Mr Goff. As matters stand right now though, that's a major precondition.
2010 is shaping up to be a busy year as the National-led Government begins to take on bigger issues. The major policy and legislative projects will include the following:
- Changes in phase two of the Resource Management Act reforms will be announced.
- The Land and Water Forum will report back to the Government with recommendations for how fresh water should be allocated and managed (July).
- The Law Commission will report its recommendations for the law governing the sale and supply of liquor (March).
- The comprehensive review of the Securities Act will gain speed with consultation documents to be released in the New Year. This review will benefit from the Capital Market Development Taskforce report, released last week, making recommendations in this area.
- Changes will be made to the Holidays Act, including allowing the fourth week of annual leave to be cashed in.
- The financial advisers regime will be brought into force in late 2010. A final amendment Bill should be passed in the first half of the year (the Financial Service Providers (Pre-Implementation Adjustments) Bill) and all of the secondary legislation in the regime will be promulgated, including the Code of Conduct for authorised financial advisers and regulations outlining disclosure obligations.
The following existing Bills should also be passed next year:
- Electricity Industry Bill;
- Securities Trustees and Statutory Supervisors Bill;
- Insurance (Prudential Supervision) Bill;
- Infrastructure Bill; and
- Search and Surveillance Bill - this Bill has been heavily criticised, resulting in the Justice and Electoral Select Committee being given an extension to report back on the Bill.
The Government will also continue its programme of reform to Government procurement, and its review of Schedule 4 of the Crown Minerals Act. The newly established Crown company, Crown Fibre Holdings Ltd, will begin work on the roll out of fibre optic broadband.
There will also be a lot of activity in the public law area:
- A review of New Zealand's constitution will be launched.
- National will need to make progress on replacing the Foreshore and Seabed Act, following the completion of work by a Ministerial review panel in July this year.
- A new Electoral Finance Bill will be introduced and passed, following the policy consultation this year.
- The Government will make a decision on the fate of the Regulatory Responsibility Bill, as modified by the Regulatory Responsibility Taskforce (established as part of ACT's confidence and supply agreement with National). If passed in the form recommended by the Taskforce this could be the biggest change to the law making process since the introduction of MMP.
We can also look forward to local government elections, where all eyes will be on the election of the first "super city" Auckland Council and new Mayor of Auckland. Before this occurs Parliament will pass the third and final Bill to implement changes to Auckland governance - the Local Government (Auckland Law Reform) Bill.
Parliamentary Sitting Dates 2010
The House has risen for the year earlier than originally planned. It sits again on 9 February 2010.
The House is scheduled to sit on the following dates in 2010:
February: 9, 10 and 11; 16, 17 and 18; and 23, 24 and 25.
March: 16, 17 and 18; 23, 24 and 25; and 30 and 31.
April: 1; 20, 21 and 22; and 27, 28 and 29.
May: 4, 5 and 6; 18, 19 and 20; and 25, 26 and 27.
June: 1, 2 and 3; 15, 16 and 17; 22, 23 and 24; and 29 and 30.
July: 1; 20, 21 and 22; and 27, 28 and 29.
August: 3, 4 and 5; 17, 18 and 19; and 24, 25 and 26.
September: 7, 8 and 9; 14, 15 and 16; and 21, 22 and 23.
October: 12, 13 and 14; 19, 20 and 21; and 26, 27 and 28.
November: 9, 10 and 11; 16, 17 and 18; and 23, 24 and 25.
December: 7, 8 and 9; and 14, 15 and 16.
Appropriation (2008/09 Financial Review) Bill
Type of Bill: Government Bill
Member in charge: Hon Bill English
This Bill is the last piece of legislation relating to the Government's financial year to 30 June 2009. It confirms and authorises spending that was beyond the original 2008 Budget. This Bill has passed its first reading but does not get referred to a Select Committee.
Christ's College (Canterbury) Amendment Bill
Type of Bill: Private Bill
Member in charge: Nicky Wagner
Christ's College in Christchurch operates in part under the Christ's College (Canterbury) Act 1910, which outlines its ability to deal with some of its property. This Bill amends that Act to allows the College greater flexibility to deal with this property.
Courts (Remote Participation) Bill
Type of Bill: Government Bill
Member in charge: Hon Simon Power
This Bill enhances the ability of courts to hear from lawyers and witnesses using audio and video links, rather than requiring them to be physically present before a judge. The Bill creates different rules for using audio and video links in criminal trials and in civil trials. In civil trials, audio and video links could be used wherever the parties consented to this, as well as in some other circumstances.
Electricity Industry Bill
Type of Bill: Government Bill
Member in charge: Hon Gerry Brownlee
This Bill implements significant reforms to the electricity industry. See Big Changes for Electricity Industry below for more detail.
Financial Service Providers (Pre-Implementation Adjustments) Bill
Type of Bill: Government Bill
Member in charge: Hon Simon Power
This Bill makes amendments to both the Financial Advisers Act 2008 and the Financial Service Providers (Registration and Dispute Resolution) Act. Many of the amendments enhance the benefits of the QFE regime. The Bill also introduces a transitional period where the Securities Commission can issue provisional licences in order to fast track applications.
The Ministry of Economic Development is still developing changes to the regulation of investment transactions under the financial advisers scheme, which will probably be added to the Bill after Select Committee consultation. Even with these changes being made to the Acts, the Government still plans for the regime to come into force in late 2010.
Local Government (Auckland Law Reform) Bill
Type of Bill: Government Bill
Member in charge: Hon Rodney Hide
This is the third and final Bill to implement the new "super city" Auckland Council. See Final Auckland Governance Bill below for more detail.
Mental Health (Compulsory Assessment and Treatment) Amendment Bill
Type of Bill: Member's Bill
Member in charge: Luamanuvao Winnie Laban
This Bill makes an amendment to the Mental Health (Compulsory Assessment and Treatment) Act 1992 to increase the rights of the family or whānau of a patient or proposed patient to receive information and be consulted about the patient's diagnosis and treatment.
Resource Management (Requiring Authorities) Amendment Bill
Type of Bill: Member's Bill
Member in charge: Hon Ruth Dyson
This Bill seeks to amend the Resource Management Act to strengthen the test for approval of a requiring authority which has the power to compulsorily acquire private land for a project. The Government intends to deal with the issue of requiring authorities in its next phase of RMA reforms and the Bill is likely to be voted down at first reading. But it is still one to watch in February 2010.
Securities Trustees and Statutory Supervisors Bill
Type of Bill: Government Bill
Member in charge: Hon Simon Power
This is another legislative development that has its origins in the Review of Financial Products and Providers. The Bill creates a licensing regime for statutory supervisors and trustees required by the Securities Act, and also trustees of unit trusts (such as PIEs). The Bill would empower the Securities Commission to regulate theses trustees and supervisors, to help ensure they perform effectively. This Bill should go some way to address the issues being investigated in the Commerce Select Committee's inquiry into failed finance companies, as do the recently promulgated Securities (Moratorium) Regulations 2009.
Television New Zealand Amendment Bill
Type of Bill: Government Bill
Member in charge: Hon Dr Jonathan Coleman
This Bill abolishes the Charter that TVNZ must currently comply with. Instead, TVNZ will have more autonomy to operate within a list of specified functions. For example, TVNZ will be required to provide content that reflects Māori perspectives. The Bill also makes it easier for archived material to be re-screened, such as through the NZ on Screen internet site, by resolving complicated issues with rights holders.
Bills To Select Committee
Electricity Industry Bill
Fair Trading (Soliciting on Behalf of Charities) Amendment Bill
Human Assisted Reproductive Technology (Storage) Amendment Bill
Insurance (Prudential Supervision) Bill
Local Government (Auckland Law Reform) Bill
Statutes Amendment Bill
Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Bill
Open for submissions
Bill |
Select Committee |
Submissions close (2010) |
Report due (2010) |
Education (Freedom of Association) Amendment Bill |
Education and Science |
31 March |
28 May |
Electricity Industry Bill |
Finance and Expenditure |
26 February |
15 June |
Fair Trading (Soliciting on Behalf of Charities) Amendment Bill |
Commerce |
19 March |
9 June |
Human Assisted Reproductive Technology (Storage) Amendment Bill |
Health |
19 February |
8 June |
Insurance (Prudential Supervision) Bill |
Finance and Expenditure |
10 February |
8 June |
Local Government (Auckland Law Reform) Bill |
Auckland Governance Legislation |
12 February |
4 May |
Ngāti Apa (North Island) Claims Settlement Bill |
Māori Affairs |
15 January |
17 March |
Statutes Amendment Bill |
Government Administration |
11 February |
1 April |
Taxation (Annual Rates, Trans-Tasman Savings Portability, KiwiSaver, and Remedial Matters) Bill |
Finance and Expenditure |
10 February |
8 June |
Whanganui Iwi (Wanganui (Kaitoke) Prison and Northern Part of Wanganui Forest) On-account Settlement Bill |
Māori Affairs |
15 January |
19 March |
Submissions not yet called
Land Transport (Driver Licensing) Amendment Bill
Marine Reserves (Consultation with Stakeholders) Amendment Bill
Submissions closed
Bill |
Select Committee |
Report due (2010) |
Arms Amendment Bill (No 3) |
Law and Order |
26 February |
Dairy Industry Restructuring (Raw Milk Pricing Methods) Amendment Bill |
Primary Production |
2 March |
Electoral (Administration) Amendment Bill |
Justice and Electoral |
27 April |
Franklin District Council (Contribution to Funding of Museums) Amendment Bill |
Local Government and Environment |
30 April |
Injury Prevention, Rehabilitation, and Compensation Amendment Bill |
Transport and Industrial Relations |
12 February |
Limitation Bill |
Justice and Electoral |
4 February |
Marine Reserves Bill |
Local Government and Environment |
30 December |
Patents Bill |
Commerce |
30 March |
Private Security Personnel and Private Investigators Bill |
Justice and Electoral |
30 March |
Public Works (Offer Back of and Compensation for Acquired Land) Amendment Bill |
Local Government and Environment |
17 June |
Sale and Supply of Liquor and Liquor Enforcement Bill |
Justice and Electoral |
30 June |
Sale of Liquor (Objections to Applications) Amendment Bill |
Social Services |
30 June |
Search and Surveillance Bill |
Justice and Electoral |
1 May |
Sentencing and Parole Reform Bill |
Law and Order |
30 March |
Sustainable Biofuel Bill |
Local Government and Environment |
29 July |
Waikato-Tainui Raupatu Claims (Waikato River) Settlement Bill |
Māori Affairs |
30 June |
Shop Trading Hours Act 1990 Repeal (Easter Sunday Local Choice) Amendment Bill
Serious Fraud Office (Abolition and Transitional Provisions) Bill
Bills Awaiting Second Reading
Bills that have recently been reported back to the House from a Select Committee are in bold and the Select Committee reports on these Bills are linked.
Antarctica (Environmental Protection: Liability Annex) Amendment Bill
Appropriation (2008/09 Financial Review) Bill
Aquaculture Legislation Amendment Bill (No 2)
Carter Observatory Act Repeal Bill
Children, Young Persons, and Their Families Amendment Bill (No 6)
Children, Young Persons, and Their Families (Youth Courts Jurisdiction and Orders) Amendment Bill
Cluster Munitions (Prohibition) Bill (Report of the Foreign Affairs, Defence and Trade Committee) - note that this Bill has now been enacted
Dog Control Amendment Bill (No 2)
Education Amendment Bill
Electricity (Continuance of Supply) Amendment Bill
Infrastructure Bill
Inquiries Bill
Judicial Matters Bill
Māori Trustee and Māori Development Amendment Bill
Motor Vehicle Sales Amendment Bill (Report of the Commerce Committee)
Oaths Modernisation Bill
Privacy (Cross-border Information) Amendment Bill
Public Health Bill
Radio New Zealand Amendment Bill (Report of the Commerce Committee)
Rail Network Bill
Regulatory Improvement Bill
Regulatory Responsibility Bill
Reserves and Other Lands Disposal Bill
Residential Tenancies Amendment Bill
Student Loan Scheme (Exemptions and Miscellaneous Provisions) Amendment Bill
Subordinate Legislation (Confirmation and Validation) Bill (Report of the Regulations Review Committee) - note that this Bill has now been enacted
Therapeutic Products and Medicines Bill
Trade Marks (International Treaties and Enforcement) Amendment Bill
Trade (Safeguard Measures) Bill
Trustee Amendment Bill
Unit Titles Bill
Waka Umanga (Māori Corporations) Bill
Bills Awaiting Third Reading
Cultural Property (Protection in Armed Conflict) Bill
Gambling Amendment Bill (No 2)
Māori Commercial Aquaculture Claims Settlement (Regional Agreements) Amendment Bill
SOP 106 - Education (Polytechnics) Amendment Bill
Biosecurity Amendment Act 2009
This Act strengthens the penalties under the Biosecurity Act by increasing fines for offences, allowing fines to be increased by regulation (up to $1,000), and allowing regulations to make offences infringement offences (so that instant fines can be issued).
Climate Change Response (Moderated Emissions Trading) Amendment Act 2009
This Act contains the changes to the Emissions Trading Scheme, such as the new dates for bringing sectors into the Scheme and the relief during the initial period.
Cluster Munitions Prohibition Act 2009
This Act implements New Zealand's obligations under the Convention on Cluster Munitions into New Zealand law by creating a variety of offences. Cluster munitions are munitions that are designed to disperse or release sub-munitions that then explode.
Corrections (Contract Management of Prisons) Amendment Act 2009
This Act changes the law to allow for the private management of prisons, which under the Act only be done with the approval of the Minister of Corrections. The Act also outlines minimum terms of any contracts for the private management of prisons, which include reporting obligations and that a private contractor must comply with the New Zealand Bill of Rights Act 1990 and the Public Records Act 2005.
Corrections (Use of Court Cells) Amendment Act 2009
This Act makes just two amendments that remove impediments under the Resource Management Act 1991 to detaining prisoners in cell blocks at courts. This will allow prisoners to be held in court cells when there is no prisoner capacity elsewhere.
Crimes (Provocation Repeal) Amendment Act 2009
With the assent of this Act the partial defence of provocation has now been abolished from New Zealand criminal law, but may still be used in future trials that relate to alleged murders that occurred before this Act was enacted. The partial defence reduces a murder conviction to a manslaughter conviction.
Customs and Excise Amendment Act 2009
This Act results from the Border (Customs, Excise, and Tariff) Processing Bill.
Education (Polytechnics) Amendment Act 2009
This Act amends the governance arrangements for polytechnics, reconstituting their councils.
Legal Services Amendment Act 2009
This Act changes the rules governing legal aid so that victims of crime can access legal aid for coronial inquests and Parole Board hearings without facing a financial means test or having to later make repayments. There is also a new regulation-making power that allows particular classes of persons or proceedings to be exempted from financial eligibility testing and repayment conditions. These changes are minor and the thorough review of the legal aid system, following the report by Dame Margaret Bazley, is ongoing.
Methodist Church of New Zealand Trusts Act 2009
This Act provides for the Methodist Church of New Zealand to vary its trusts in a particular way and not using the process under the Charitable Trusts Act 1957. The Act itself also varies those trusts.
Policing (Constable's Oaths Validation) Amendment Act 2009
This Act has been passed to ensure the validity of constables' oaths administered since the new Policing Act came into force in October last year.
Remuneration Authority Amendment Act 2009
The Remuneration Authority (formerly known as the Higher Salaries Commission) determines the remuneration of MPs, judges and others. This Act amends the Remuneration Authority to require the Authority to take into account any prevailing adverse economic conditions before confirming remuneration. The intention is that this law change results in MPs not being given a pay rise by the Remuneration Authority, but without Parliament forcing the Authority's hand.
Subordinate Legislation (Confirmation and Validation) Act 2009
Some subordinate legislation is made under Acts which state that the subordinate legislation will lapse unless confirmed or validated by Parliament. This Act confirms or validates a variety of such subordinate legislation, made under the Animal Products Act 1999, the Commodity Levies Act 1990, the Customs and Excise Act 1996, the New Zealand Superannuation and Retirement Income Act 2001, the Social Security Act 1964, the Road User Charges Act 1977, the Tariff Act 1988, the War Pensions Act 1954, and the Wine Act 2003.
Tariff Amendment Act 2009
This Act results from the Border (Customs, Excise, and Tariff) Processing Bill.
Taxation (Consequential Rate Alignment and Remedial Matters) Act 2009
The main features of this Act include aligning resident withholding tax rates on interest with personal tax rates and the 30% company tax rate; and introducing 12.5% and 21% tax rates for investments in portfolio investment entities (PIEs), replacing the 19.5% option. Other features include provisions to clarify the GST treatment of facilitation services for tour packages for overseas visitors to New Zealand; changes to the non-resident withholding tax and foreign investor tax credit rules given the new double tax agreements New Zealand has signed with Australia, Singapore and the United States; and provisions relating to the taxation of superannuation and veterans' pensions for New Zealanders who have moved overseas.
Animal Welfare (Leg-hold Traps) Amendment Order 2009
Arms Amendment Regulations 2009
Building (Minor Variations) Regulations 2009
Building (National Multiple-use Approval) Regulations 2009
Building Amendment Act 2009 Commencement Order 2009
Building Practitioners (Licensing Fees and Levy) Regulations 2009
Climate Change (General Exemptions) Order 2009
Climate Change (Oceana Gold (New Zealand) Limited) Exemption Order 2009
Climate Change (The New Zealand Refining Company Limited) Exemption Order 2009
Corrections Amendment Regulations 2009
Court of Appeal (Access to Court Documents) Rules 2009
Court of Appeal Fees Amendment Regulations 2009
Deposit Takers (Moratorium) Exemption Notice 2009
Health Practitioners Competence Assurance (Restricted Activities) Amendment Order 2009
Judicial Salaries and Allowances Determination 2009
Land Transport (Breath Tests) Notice 2009
Land Transport (Certificates of Compliance for Evidential Breath-Testing Device (Seres)) Amendment Notice 2009
Land Transport (Certificates of Compliance for Evidential Breath-Testing Device (Intoxilyzer 5000)) Amendment Notice 2009
Land Transport (Certificates of Compliance for Evidential Breath-Testing Device (Alcosensor II)) Revocation Notice 2009
Land Transport (Certificates of Compliance for Evidential Breath-Testing Device (Dräger 9510NZ)) Notice 2009
Land Transport (Offences and Penalties) Amendment Regulations (No 2) 2009
Local Government (Infringement Fees for Offences: Queenstown Lakes District Council (Shotover River) Bylaw 2009) Regulations 2009
Local Government (Infringement Fees for Offences: Queenstown Lakes District Navigation Safety Bylaw 2009) Regulations 2009
Local Government (Infringement Fees for Offences: Southland Regional Council Navigation Safety Bylaws 2009) Regulations 2009
Local Government (Infringement Fees for Offences: Waikato Regional Council Navigation Safety Bylaw) Amendment Regulations 2009
Local Government (Infringement Fees for Offences: Wellington Regional Navigation and Safety Bylaws) Amendment Regulations 2009
Local Government (Prescribed Form for Seizure of Property Not on Private Land) Regulations 2009
Major Events Management (World Rowing Championships 2010) Order 2009
Ombudsmen Act (Schedule 1) Order (No 2) 2009
Public Finance (Crown Fibre Holdings Limited) Order 2009
Resource Management (National Environmental Standards for Electricity Transmission Activities) Regulations 2009
Road User Charges Amendment Regulations (No 2) 2009
Securities (Moratorium) Regulations 2009
Securities Act (Directors' Certificates—Collective Investment Schemes) Exemption Notice 2009
Securities Act (ING (NZ) Limited) Exemption Notice 2009
Securities Act (Macquarie Media Group) Exemption Notice 2009
Securities Act (Overseas Employee Share Purchase Schemes) Exemption Amendment Notice 2009
Securities Act (Renewals and Variations) Exemption Amendment Notice 2009
Securities Act (Short Form Prospectus) Exemption Amendment Notice 2009
Social Security (Income and Cash Assets Exemptions—EVSA (Neville Wallace Memorial) Children's & Grandchildren's Trust Payments) Regulations 2009
Social Security (Income and Cash Assets Exemptions—Payments to Victims of Crime) Regulations 2009
Social Security (Long-term Residential Care) Amendment Regulations (No 4) 2009
Social Security (Temporary Additional Support) Amendment Regulations (No 2) 2009
Takeovers Code (Biovittoria Limited) Exemption Notice 2009
Takeovers Code (Cynotech Holdings Limited) Exemption Notice (No 2) 2009
Takeovers Code (Fulton Hogan Limited) Exemption Notice 2009
Takeovers Code (Just Water International Limited) Exemption Notice (No 3) 2009
Takeovers Code (Just Water International Limited) Exemption Notice (No 2) 2009
Takeovers Code (L&M Petroleum Limited) Exemption Notice 2009
Takeovers Code (Te Kairanga Wines Limited) Exemption Notice 2009
Weights and Measures Amendment Regulations 2009
The three week period leading up to the House rising last Wednesday was a busy one for Select Committees. The analysis of substantive legislation was limited as the annual financial reviews of several Government departments and state-owned enterprises dominated Select Committee proceedings.
Commerce Committee
Representatives of the Electricity Commission, the Guardians of New Zealand Superannuation, Transpower New Zealand, Solid Energy, Meridian Energy, Genesis Energy, and Mighty River Power all appeared before the Committee to present their respective annual financial reviews.
In addition to this, the Committee also heard from representatives of the Code Committee created to develop regulations under the Financial Advisers Act. Chair of the Code Committee, Ross Butler, outlined that it was the goal of the Committee to have a draft Code of Conduct for authorised financial advisers in place by the end of February 2010.
The Committee also heard from Parliamentary Commissioner for the Environment, Jan Wright, who presented her final report on smart electricity meters.
Finance and Expenditure Committee
Reserve Bank Governor, Dr Allan Bollard, and Minister of Finance, Bill English, both appeared before the Committee to respectively present the Reserve Bank Monetary Policy Statement for December 2009, and the Financial Statements of the Government for the year ended 30 June 2009. Dr Bollard stressed that whilst New Zealand's current account situation was improving, business confidence was still fragile. Likewise, Mr English was cautiously optimistic about New Zealand's fiscal position.
Health Committee
The Committee heard from representatives of the New Zealand Guidelines Group, who presented an update on the inquiry into prostate cancer.
Chair of the Alcohol Liquor Advisory Council (ALAC), Peter Glensor, also appeared before the Committee to present ALAC's annual financial review.
Law and Order Committee
Police Commissioner, Howard Broad, appeared before the Committee to present the annual financial review for the New Zealand Police. In particular Mr Broad chose to focus on developments relating to drug use and supply, family violence, road safety, and homicide inquires.
Primary Production Committee
The Committee has been hearing submissions on the Dairy Industry Restructuring (Raw Milk Pricing Methods) Amendment Bill.
Director-General of the Ministry of Agriculture and Fisheries, Murray Sherwin, appeared before the Committee to present the annual financial review for MAF. Mr Sherwin focussed in particular on the likely impact of the ETS, developments in water allocation and management, animal welfare, and biosecurity. Representatives of the New Zealand Food Safety Authority also presented its annual financial review.
Social Services Committee
Representatives of the Families Commission, the Retirement Commission, the Office of Children's Commissioner, Ministry of Social Development, the Charities Commission, and Housing New Zealand all appeared before the Committee to present their respective annual financial reviews.
Transport and Industrial Relations Committee
The Committee heard further submissions on the Injury Prevention, Rehabilitation, and Compensation Amendment Bill. Submissions have continued to be divided in their support of the Bill, focussing on the escalating cost of ACC, levy changes, issues concerning vocational independence, and departures from the Woodhouse principles.
Representatives of the Civil Aviation Authority and the Accident Compensation Corporation also appeared before the Committee to present their respective annual financial reviews.
Capital Market Development Taskforce
The Capital Market Development Taskforce has issued its report, entitled "Capital Markets Matter". The Taskforce was created in July 2008 to recommend how New Zealand's capital markets can be improved, to contribute to the greater goal of growing the economy.
The Taskforce has made a wide range of far-reaching recommendations, including:
- a new model of product disclosure, with greater standardisation to allow comparability and a "warning labels" on risky products;
- creating a set of clearer, broader exemptions to the Securities Act based around the concept of "registered investors", and having the same exception for non-retail advice in the Financial Advisers Act;
- requiring financial advisers who hold themselves out as "independent" to owe fiduciary duties to clients (but the Taskforce stops short of recommending that commissions for all financial advisers be prohibited);
- improving transparency of managed funds and requiring fund managers and supervisors to owe fiduciary duties to investors;
- reducing tax biases between different investments, including a discussion of various forms of capital gains tax;
- raising financial literacy, such as by including it in the school curriculum;
- giving greater and more coordinated attention to capital market policy issues, possibly through a dedicated Minister for Capital Markets; and
- partially listing companies owned by central and local government.
The Taskforce also recommends changes to the Overseas Investment Act, changes to the Takeovers Act, loosening immigration laws to allow talented people to work here. The recommendations could play a dominant role in the upcoming Securities Act Review, where consultation documents are expected in the New Year.
The Report can be found here.
Big Changes for Electricity Industry
The major review of the electricity industry this year by the Electricity Technical Advisory Group and officials has culminated in the introduction of the Electricity Industry Bill. The Bill seeks to improve competition in New Zealand's energy market and ensure the security of electricity supply - similar to the objectives that lay behind the breakup of the Electricity Corporation of New Zealand over a decade ago, but achieving these through different mechanisms. Another key regulatory objective lying behind the Bill is addressing the governance structure of the electricity industry to remove regulatory duplication and encourage investment.
Key changes introduced by the Bill include:
- significant asset reallocations between northern and southern state-owned enterprises;
- removing restrictions on retailing by lines companies;
- the replacement of the Electricity Commission with a new independent Crown entity, the Electricity Authority (which must also establish a Security and Reliability Council);
- provisions for the creation of a liquid hedge market;
- provisions for the Electricity Industry Participation Code; and
- better management of electricity demand by consumers (such as through the use of smart meters).
Overall, the Bill replaces Subpart 2 of Part 14, and Part 15 of the Electricity Act 1992 and the Electricity Industry Reform Act 1998. It also makes amendments to Part 4 of the Commerce Act 1986, and reforms other Acts (including the Gas Act 1992) to bring legislative consistency to the regime. Submissions on the Bill to the Finance and Expenditure Committee close on 26 February 2010.
Final Auckland Governance Bill
The third and final Bill to re-organise Auckland's governance has passed its first reading. The Local Government (Auckland Law Reform) Bill, among other things:
- provides for the transfer of staff, assets and liabilities of Auckland's existing councils to the new Auckland Council;
- provides that any disputes between the Mayor and Councillors and a Local Board will be managed through a process of binding resolution by the Local Government Commission;
- provides, from 1 July 2012, for one long-term plan for all of Auckland and a single rating system across Auckland (interim planning, reporting and rating requirements will be undertaken by the ATA, prior to its dissolution);
- provides that rates will be levied on the basis of capital valuation, but the introduction of the new rating system will be managed so as to protect ratepayers from any sudden and significant increases;
- creates three Council Controlled Organisations (CCOs) to deliver Auckland's infrastructure services - Watercare Services Limited, Auckland Transport Agency and Waterfront Development Agency;
- disqualifies Auckland Councillors from appointment to the Boards of CCOs wholly owned by Auckland Council, except for the Auckland Transport Agency which may have up to two Auckland Councillors appointed as Board members; and
- finalises arrangements for the delivery of water and wastewater services in Auckland through Watercare Services Limited.
The Bill is due to be passed in May. The dedicated Auckland Governance Legislation Committee has been revived to consider this Bill. Submissions are due by 12 February 2010.
The New Zealand Transport Agency (NZTA) has announced key decisions for the construction of the planned Wellington Northern Corridor, a strategic upgrade of State Highway 1 from Levin to Wellington Airport, which includes the green light being given to the Transmission Gully project. The construction of the four-lane route is estimated to cost between $2.1 and $2.4 billion and the projected completion time is 10 years. Over the next three years detailed investigations will take place in order to assess how best to implement three construction phases to ensure the route is upgraded by the projected completion time.
The proposed 27 kilometre Transmission Gully highway will run from MacKay's Crossing, just north of Paekakariki, crossing State Highway 58 and will rejoin State Highway 1 near Linden. The NZTA Board is still considering tolling to pay for some of the project, and it is likely that will occur. Public consultation has been completed with overwhelming support for the Transmission Gully project. The next phase of the project, which involves the preparation of future applications for resource consent, will be completed in 2010. Later phases include creating new tunnels under the Terrace and Mount Victoria, both in central Wellington.
Commerce Commission - Telecommunications Market Monitoring Report
The Commerce Commission has released its report on telecommunications markets in New Zealand covering the first six months of 2009. The report also provides some more recent information about mobile prices in New Zealand following the launch of the 2degrees network in August.
The report shows there has been continued investment in telecommunications infrastructure in the first half of 2009. The entry of 2degrees into the mobile market in August means, for the first time in the Commission’s analysis, New Zealand consumers are able to access prepaid services at prices lower than the OECD average. Building of technologically compatible mobile networks has made it easier to switch between networks without changing phones. The unbundling of exchanges and Chorus’s cabinetisation programme continue to be the main areas of investment in the fixed line market. However growth in the number of unbundled copper local loop lines was subdued.
Other findings include:
- take up of broadband services has continued to grow at an annual rate of around 14%, which is above the OECD average;
- the pricing of broadband services in New Zealand is broadly in line with that of similarly developed countries; and
- there continues to be strong growth in the number of wholesale services sold that allow other providers to compete against Telecom in the retail market.
All of this means that the case for further regulation in the telecommunications market is weaker than it previously was.
Environment Bay of Plenty Water Sustainability Strategy
Environment Bay of Plenty is attempting to head off future water problems by developing a Water Sustainability Strategy in association with the Taranga City Council, the Western Bay of Plenty District Council and other stakeholders, including Māori.
Noting that demand for water in the western Bay of Plenty is expected to more than double during the next 50 years, the Council says it wants to avoid the problems currently being experienced in Canterbury.
When developing the Strategy, the Council will consider the effects on water quality from land intensification and water allocation and the impacts of any future policy changes such as the Resource Management Act, national environmental standards, Treaty settlements and individual business decisions. The Council will also look at improving relationships between statutory agencies, water users and local communities for water management by "promoting a shared responsibility and taking an integrated and holistic approach to water management."
Fair Trading (Soliciting on Behalf of Charities) Amendment Bill
National MP Amy Adams' Member's Bill, which would require greater disclosure by those collecting donations on behalf of charities, has passed its first reading. Where between 20% and 50% of a donation would be retained by a third party or collector, the collector must disclose the fact that a portion of the donation is retained. Where over 50% of a donation would be retained by a third party or collector, the collector must disclose the proportion of the donation retained to the nearest percent. The proposed requirement applies to donations (other than cash donations of less than $20). Amy Adams stated that "Reports have said it isn't uncommon for professional telemarketing and street collecting firms to retain 75 percent of what they collect, and even up to 90 percent."
Official Information Act Review
The Law Commission is currently reviewing the Official Information Act 1982 and the counterpart provisions in the Local Government Official Information and Meetings Act 1987. The purpose of the review is to recommend potential amendments to the Acts to recognise changes ingovernment procedure and new information technology. The Commission is seeking responses to a survey, from people who use or are interested in the operation of these Acts, about the accessibility and ease of understanding of the Acts as well as several key procedural aspects. In particular, whether the overall framework of the Acts is efficient and practicable, whether the current reasons for withholding information are appropriate, and the proper scope of the Acts.
The Commission is seeking an indication of where the problems lie and potential areas of reform, rather than detailed submissions on these issues. Following submissions from the public, which close on 15 February 2010, the Commission will release an Issues Paper before July 2010. After that, detailed submissions on the issues and proposed solutions will be sought before the Commission makes its final recommendations to the Government.
Judgment recalled, judge under investigation
In what is believed to be a New Zealand legal first, the Supreme Court has ruled that when one of its own judges, Justice Wilson, was in the Court of Appeal he should not have sat on a case because it gave the appearance of bias. The Supreme Court has now recalled the 2007 Court of Appeal judgment and Justice Wilson is being investigated by the Judicial Conduct Commissioner, Sir David Gascoigne.
Justice Wilson was one of three Court of Appeal judges who overturned a High Court judgment and instead found in favour of a party represented by Alan Galbraith QC, who was Justice Wilson's business partner. Galbraith and Wilson owned land in Waikato that was home to a horse breeding stud. Following an earlier Supreme Court hearing that cleared Justice Wilson of actual or potential bias, it emerged that he indirectly owed a debt of $74,000 to Mr Galbraith through their business partnership.
Two aspects that were not considered at the earlier hearing were:
- guidelines to judges which state that “a Judge should always disqualify himself or herself whenever a party, lawyer or witness of disputed facts is a close blood relative or domestic partner of the Judge or a close relative of the Judge or where such person is a close friend or business associate of the Judge”; and
- a change to the Judicature Act in 2004 that requires that judges not hold any other office, paid or unpaid, unless the Chief High Court judge is satisfied that it does not conflict with the role of the judge.
The Supreme Court result could mean that the closeness and nature of all relationships between not only judges and litigants, but judges and the lawyers representing litigants, will come under scrutiny, particularly financial relationships. It also means that the original appeal on which Justice Wilson sat before being appointed to the Supreme Court has to go back to the Court of Appeal to be heard by a new panel of judges.
Following the Judicial Conduct Commission investigation, the Commissioner will either dismiss the complaint, refer it to Chief Justice Sian Elias, or recommend the Attorney-General appoint an inquiry panel to look into Justice Wilson's conduct.
Who |
What |
By when… (2010) |
Ministry of Agriculture and Forestry |
The future of the pro-competition regulatory regime in the New Zealand dairy industry |
12 February |
Biosecurity New Zealand |
Review of Biosecurity Border Clearance Charges 2009 |
4 February |
Department of Building and Housing |
Updating standards in 11 different compliance documents |
15 February |
Commerce Commission |
Draft guidelines on treatment of divestment undertakings as part of a merger or acquisition application |
12 February |
Department of Conservation |
Heli-hunting in Aoraki/Mount Cook National Park |
5 February |
Ministry of Economic Development |
Emissions Trading Scheme - fees and charges |
1 February |
Electricity Commission |
Annual Security Assessment 2009 |
29 January |
2009 demand forecasts |
29 January |
Reducing the delay for publishing bids and offers |
5 February |
Approach to domestic retail contracting arrangements |
19 February |
Ministry for the Environment |
Industrial allocation under the Emissions Trading Scheme |
12 February |
Environmental Risk Management Authority |
Data requirements for evaluating the effects of pesticides on bees and other beneficial invertebrates |
26 February |
Ministry of Fisheries |
Sustainability measures for
Rock Lobster fisheries |
5 February |
Deemed value rates for selected fish stocks |
5 February |
Replacing the 2006 seabird scaring devices circular |
15 February |
New Zealand Food Safety Authority |
Implementation of a new Food Act |
12 February |
New Zealand (Maximum Residue Limits of Agricultural Compounds) Food Standards 2009 |
22 February |
Inland Revenue Department |
Depreciation rate for "test chambers" in the "Engineering and Electronic Engineering" industry category |
29 January |
Depreciation rate for asset class "Computer Controlled Tablet Dispensing Systems" in the "Medical and Medical Laboratory" and "Pharmaceuticals" industry categories |
29 January |
An income splitting tax credit for families with children |
5 February |
Ministry of Justice |
Criminal Procedure Simplification Bill Plan |
1 March |
A Focus on Victims of Crime: A Review of Victims' Rights |
31 March |
Law Commission |
Review of the Official Information Act - developing an Issue Paper |
15 February |
Reserve Bank (with Securities Commission) |
Draft policy: the designation and
oversight of designated settlement
systems |
22 January |
Standards New Zealand |
Effects of current on human beings and livestock |
11 January |
Plumbing and drainage |
17 January |
PVC-U pipes and fittings for stormwater and surface water applications |
20 January |
In-service safety inspection and testing of electrical equipment |
12 February |
Safety inspection and testing for repaired electrical equipment |
26 February |
Safety inspection and testing for second-hand electrical equipment |
26 February |
Electrical cables |
26 February |
Pool water quality |
26 February |
Fire detection and alarm systems in buildings |
11 March |
Tertiary Education Commission |
Industry training operational policy |
15 January |
Who |
What |
By when… (2010) |
Department of Conservation |
Kauri National Park proposal |
tbc |
Draft Guidelines for Aircraft Access for Canterbury Conservancy |
Ongoing |
Ministry of Economic Development |
Statutory framework for financial reporting; and accounting and assurance standards under this framework |
29 January |
Petroleum Action Plan |
29 January |
Electricity Commission |
Minor editorial changes to the Electricity Governance Rules |
29 January |
Environmental Risk Management Authority |
Amendments to Hazardous Substances assessment framework |
19 February |
Ministry of Fisheries |
Inclusion of Patagonian Toothfish in QMA |
15 January |
Māori commercial aquaculture settlement |
Not yet set |
Māori Affairs Select Committee |
Inquiry into the operation of the Māori Community Development Act 1962 |
12 February |
Standards New Zealand |
Fire-resistant doorsets and smoke-control doors |
22 January |
Land development and subdivision |
5 February |