NZ Politics: Ministers Scramble To Tidy Up – Opposition Exploits Flaws
March 24th, 2010
While last week we reported the Govt was finally shedding its “do nothing” image, its attempts to gain momentum have foundered somewhat. Ministers were scrambling this week to tidy up assorted backfiring initiatives: Steven Joyce his “review” of the Supergold card over-spending, Rodney Hide the “undemocratic” aspects of the “super-city” merger in Auckland, such as so called CCOs, even John Key on the plan to open up Schedule 4 land in the conservation estate to mining. On top of unease over the move to increase GST, it was looking a bit messy: the Govt’s opponents have been quick to detect cracks opening up in the hitherto glossy façade of the Key coalition.
Even the Govt’s marquee infrastructure proposal (its $1.5bn plan to roll out ultrafast broadband) looked to have a spectacular downside, wiping off another chunk of Telecom’s capitalisation (and thus off the value of KiwiSaver funds and the NZ Super Fund). Within the public service, departments are being held to their baseline expenditure Ministers have refused to entertain bids for new money. State Services Minister Tony Ryall says “rampant” growth in the public service, which under Labour averaged 5% or around 1800 fulltime jobs a year, has been halted.
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Over the 2009 year, core Govt administration shed 1480 jobs or 3.8%. Elements in the public sector, worried about talk of mergers, cuts and job losses, are restive. Could the sniping soon turn to full-scale warfare? Senior Ministers shrug this off. They are convinced they have full public support to get better performance, and value-for-money from Wellington’s bureaucracy. Only time will tell if they are right.
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Duncan Cotterill