Prime Minister John Key today confirmed New Zealand was on track to doubling its two-way trade with China to $20 billion by 2015 at the launch of the NZ Inc China Strategy at the Cloud in Auckland.

"We have a strong relationship with China and have seen good growth in trade over the past few years. The launch of the strategy today will help further strengthen that relationship," Mr Key says.

"The goal of doubling two-way trade from $10 billion to $20 billion by 2015 was agreed when I visited Chinese Premier Wen Jiabao in 2010.

"We are on track to meet that goal. Bilateral trade in the year to last September was up 22 per cent on the year before, largely helped by the Free Trade Agreement that came into force in late 2008," Mr Key says.

New Zealand was the first, and is still the only Western economy, that has a free trade agreement in place with China.

Mr Key says the NZ Inc China Strategy launched today sets out ambitious medium term goals and provides a clear direction for the whole of government effort over a five year period.

"It is the second centralised strategy to be launched following India last October. In addition to India and China, other strategies under development are the US, Australia, South East Asia, Middle East, and the European Union," Mr Key says.

"Trade with China is one of the success stories of the New Zealand export sector over the past decade or so. China is also New Zealand’s largest source of foreign students, and our fourth biggest tourist market and we plan to develop these areas further."

The strength of the relationship with China is underpinned by the Chinese community in New Zealand, which numbers more than 147,000 and is growing.

Mr Key says it is fitting the China Strategy is being launched at the beginning of the auspicious Year of the Dragon, and also the year marking the 40th anniversary of New Zealand’s diplomatic relations with China.

"There are good reasons for a strategy. China is the world's second largest economy and is still growing relatively fast. It is also a major influencer in the Asia Pacific region."

The strategy brings government agencies together to work collectively. It has a strong trade and economic focus but also looks at building political and diplomatic ties. The Strategy outlines why New Zealand businesses should be looking at China and gives them some of the information they need to do business there.

The strategy includes a set of five goals that specify action such as increasing trade and developing more high-quality science and technology collaborations.

Further information on the strategy can be found online at: www.nzincstrategy.mfat.govt.nz

In this edition of Key Notes, I outline the main features of the Government's priorities over the next few years.
Continue reading "Key Notes: Outlining the Government’s priorities"

Prime Minister John Key today met with the 100 participants in this year's Prime Minister's Youth Programme – young people who have overcome adversity and made a real effort to turn their lives around.

The group of 14- to 17-year-olds from South and West Auckland were chosen to take part in the week-long programme in recognition of making positive, life-changing choices.

Youth Affairs Minister Paula Bennett also attended the celebration dinner at the Ellerslie Events Centre with the Prime Minister, along with business leaders, celebrities and leaders from the community.

"Every year I am really impressed by the young people I've met and the inspirational stories I've heard through this programme," says Mr Key.

"These young people have overcome numerous challenges and made a concerted effort to change their behaviour and lifestyles. They've decided to take responsibility for their futures."

The participants were nominated by community leaders, including school teachers and youth aid officers, after improving academic performance, or by moving away from anti-social behaviour such as truancy or low-level offending.

This is the third year of the programme, which sees the participants engaging in a number of activities, including the opportunity to learn from high achieving New Zealanders such as the Warriors and designer Trelise Cooper.

Participants in this year's programme will benefit from follow-up mentoring for up to three months after it finishes this week.

John talks about the ground he covered in today's speech on the economy, setting out the Government's main economic priorities over the next several years. To read the speech, go here.

Prime Minister John Key today outlined the four key priorities the National-led Government will focus on during its second term in office, and also provided an update on the path towards a surplus in 2014/15.

In a speech in Auckland, Mr Key said the Government’s four key priorities for the term are to:

• responsibly manage the Government's finances
• build a more competitive and productive economy
• deliver better public services
• rebuild Christchurch.

"Over the past three years, we have proven that we can deliver strong and stable Government in very difficult times – including through a global economic crisis and the series of destructive earthquakes in Canterbury," Mr Key said.

"The next three years will be about rebuilding and strengthening the country. We are in a good position to do that compared to a lot of other nations."

Mr Key said that the Government’s focus on responsibly managing its finances includes a commitment to return to surplus in 2014/15 – which National campaigned on at the election.  The Budget Policy Statement, which will be released on February 16, will update the track toward that surplus.

"Today I can confirm that we are still on track to post a surplus in 2014/15, and the upcoming Budget Policy Statement will show a forecast surplus in the range of $300 to $500 million in that year," Mr Key said.

"Given the events in Europe, this surplus is understandably smaller than was previously forecast. But we remain on our tight fiscal track."

Mr Key said New Zealand is in a relatively good position to deal with any fall-out from the European crisis in the near term.

"In both 2012 and 2013, the New Zealand economy is forecast to grow more strongly than the Eurozone, the UK, Japan, the United States and Canada – so we are in relatively good shape. However, it is important that we get back to surplus and make our economy more competitive."

The Government will be implementing the 120-point economic action plan released during the election campaign, while also focusing on delivering better public services and rebuilding Christchurch.

"We have a busy agenda. Within our public services work we will be implementing major welfare reforms, focusing on raising achievement across the education sector, improving health services and introducing legislation to strengthen sentencing, parole and bail laws.

"On top of these initiatives we are taking a hard look at the way public services are organised across the board. The state sector could do much better at achieving results and at delivering value for money. I will have more to say about this when we release the Better Public Services Advisory Group report and outline our direction for state sector reform in the next month or two.

"Finally, this year we will be getting on with rebuilding Christchurch, which is a top priority for this Government. We are totally committed to the reconstruction of Canterbury and I’m determined to see that momentum is maintained.

"It will be another busy and challenging year but I am very confident about New Zealand’s prospects.

"We need to get out and seize our brighter future because it won’t come delivered on a plate. My Government is committed to that task," Mr Key said.

Ladies and Gentlemen

Can I start by saying that it’s a tremendous privilege to have won the trust and goodwill of New Zealanders for a second term in Government.

I don’t take that for granted and I never will.

I learned quickly when I came into Parliament that a government has to earn the trust and goodwill of voters again and again, every day.

And that’s what we’ll be doing.

We proved in the past three years that we can deliver strong and stable government in difficult times.

We worked constructively with a number of other parties in Parliament to get things done for the benefit of New Zealand, and we’ll continue to do that.

I don’t know exactly what the next three years will throw up.

The past three years have shown us that adversity gives little warning.

New Zealanders have had to deal with catastrophic events outside anyone’s control; from a global financial crisis to a devastating series of earthquakes in Canterbury.

New Zealand has changed over the past three years and, in fact, the whole world has changed.

The next three years will about rebuilding and strengthening the country.

And compared to a lot of other nations we are in a good position to do that.

Today I want to talk about the Government’s priorities over these next three years – in other words, how we are going to continue with our plan to secure a brighter future for New Zealand.

A brighter future is where New Zealanders from all backgrounds and all walks of life have the opportunity to better themselves and go forward in their lives; where people have the jobs, higher incomes and better living standards they aspire to and deserve; and where as a country we have the resources to provide better frontline services in health and education, stay strong on crime, protect the most vulnerable in society, and look after the environment.

How do we achieve that?

The Government has four priorities this term.

Our first priority is to responsibly manage the Government’s finances. In the world as it is today, the state of the country’s finances is all-important.

Our second priority is to build a more competitive and productive economy. That means an export-focused economy, which is selling more of what the world wants, at a competitive price, and is built on a solid base of innovation.

Our third priority is to deliver better public services to New Zealanders, within the tight budget the Government is operating under.

And our final priority is to rebuild Christchurch, our second-biggest city.

I want to talk some more about these priorities and give you an indication of where the Government is going.

But before I do that I want to talk briefly about the international backdrop.

The global economic outlook has deteriorated since the end of last year, and the European crisis, in particular, is the biggest potential threat to the world economy and therefore to the New Zealand economy.

Leading forecasters like the IMF, World Bank and Consensus Economics are expecting world growth to be weaker over the next couple of years than previously predicted.

For the most part, that is because of the ongoing turmoil in the Euro area.

The most likely outcome is that European countries manage through the crisis with the Euro intact, because it is in their collective interest to do so.

But that is by no means guaranteed.

As recently as yesterday, the IMF warned that if the required actions are not taken, the European crisis could spill over into a global recession.

Even under the more likely scenario, where Europe avoids a full-blown crisis, the Euro countries are expected to go into recession in 2012 and will be in for a protracted period of sluggish growth thereafter.

This poorer growth outlook for Europe has, in turn, contributed to lower growth forecasts for Asia, including China.

Overall, growth in China is expected to remain strong, but an easing in that growth will still have a flow-on effect for Australia, because of a lower demand for minerals.

The outlook in the United States is actually looking better than it did late last year, but growth is still likely to be subdued.

What does that mean for New Zealand?

Weaker global growth, particularly in our key export markets in Asia and Australia, will put downward pressure on the demand for our exports.

That will have a real and noticeable effect on the New Zealand economy, which is expected to grow somewhat slower than was predicted at the end of 2011.

But it won’t knock the New Zealand economy for six and it certainly won’t stop the Government pushing ahead with its priorities.

We are a small economy doing the right things, our banks are in good shape and the Government has managed effectively through the difficulties of the past three years.

The really difficult challenges will start to come if world growth continues to be revised further and further downwards, or if the European crisis triggers a global credit freeze.

Those are not the most likely scenarios for the world economy but they are certainly possible and the Government will continue to monitor global events very carefully.

So given that international backdrop, I want to talk some more about each of the Government’s priorities:

• responsibly managing the Government’s finances
• building a more competitive and productive economy
• delivering better public services
• and rebuilding Christchurch.

Our first priority is to responsibly manage the Government’s finances.

As every household and business around the country knows, that involves living within our means – budgeting carefully and deciding which things are priorities and which are not.

The Government is committed to returning to surplus in 2014/15.

Sticking to this commitment is an important part of our plan to limit debt and take pressure off interest rates and the exchange rate.

And sticking to this commitment is also important for New Zealand’s credibility with international financial markets. As we have seen overseas, a loss of credibility is very difficult to reverse and can have widespread effects across the whole country.

As you’d expect, the forecast slowdown in world growth makes our surplus target harder to achieve.

But today I can confirm that we are still on track to post a surplus in 2014/15.

The upcoming Budget Policy Statement will show a forecast surplus in the range of $300 to $500 million in that year.

Given the events in Europe, this surplus is understandably smaller than was forecast in the PREFU.

But we still remain on our tight fiscal track.

You’ll see a fuller picture of that in the BPS, which will be released on February 16.

The next update after that will be in the Budget itself.

The Budget will set out the Government’s revenue and spending, and show exactly what we are doing to meet our fiscal targets, get back to surplus and start reducing debt.

If the international outlook worsens between now and the Budget we may have to do more than we are currently anticipating to reach our surplus target, bearing in mind that the target is still three years and many forecast revisions away.

If the absolute worst happened, and there was a major shock to the global economy, the Government would look at whether retaining that surplus target would actually harm the economy by forcing a sharp reduction in demand.

But outside that scenario, we remain firmly committed to our target for surplus in 2014/15.

I want to talk now about our second priority, which is to build a more competitive and productive economy.

The reality, all around the developed world, is that the pre-GFC period of relatively strong growth, fed by a massive increase in borrowing, is unlikely to return in the foreseeable future.

Households and businesses are having to reduce the debt they built up over that time, and they are saving rather than spending.

So anyone who complains that New Zealand isn’t growing at four, or five, or six per cent a year right now is on the wrong planet.

In fact, we are doing better than most developed countries.

In both 2012 and 2013, the New Zealand economy is forecast to grow more strongly than the Eurozone, the UK, Japan, the United States and Canada.

So we are in relatively good shape.

However, it is important to understand the Government’s main role.

For the most part, New Zealand’s growth over the next year has already been set in train, and any stabilisation is the job of the Reserve Bank.

The Government’s main role is to keep looking out over the next five years or so and put in place policies that will help the economy become more competitive and productive, through good times and through bad.

Again, the European crisis offers some important lessons.

European countries are in difficulty for two main reasons.

The first is that they have high levels of government debt, and I’ve already talked about the importance of sticking to our tight fiscal track.

And the second reason is that many of the economies in Europe have lost competitiveness.

That doesn’t happen overnight – it happens slowly over a number of years.

Here in New Zealand we have also lost competitiveness over time, particularly as a result of poor policy decisions in the 2000s.

In other words, it has got harder than it would otherwise have been for our exporters to compete in overseas markets. And it has got harder than it would otherwise have been for New Zealand manufacturers to compete with imported goods that are made off shore.

As a result, the industries and sectors that compete internationally actually went into recession in late 2004 and shrank in size by almost 10 per cent in five years.

That decline in competitiveness has started to turn around over the past three years.

A good example of how government policies can help competitiveness is in ACC. As a result of the decisions we made in ACC over the past three years, levies on employers and the self-employed will fall by 22 per cent this year, reducing total costs to business each year by around $250 million.

That’s just one example among many, but there is still much more to be done.

The Government’s view has always been that there is no magic bullet – no one ‘big bang’ reform that would turn the economy on its head.

What is actually required is a series of good policy decisions and reforms over an extended period of time, in 100 different areas, to enhance the competitiveness of New Zealand firms.

And I literally do mean 100.

During the election campaign we released an economic action plan of 120 key things we had done, or were doing, to build a stronger, more competitive economy.

Most of those action points are still ongoing.

So we have a very busy economic reform agenda, following through on things we started last term and on new things we announced during the election.

For example:

We’re restructuring IRL to become an advanced technology institute to work alongside the high-tech manufacturing and services sector.

We’re rolling out ultra-fast broadband and the Rural Broadband Initiative, to lift New Zealand’s connectivity.

We’re comprehensively overhauling New Zealand’s securities law, to restore investor confidence in our financial markets.

We’re introducing a six-month time limit for consenting medium-sized projects under the RMA, to reduce costs, uncertainties and delays.

We’re allowing for choice in the ACC Work Account, to help ensure efficiency and keep a lid on costs for levy payers.

We’re encouraging oil and gas exploration with a competitive new system for processing permits.

We’re negotiating free trade agreements with nine countries in the Trans-Pacific Partnership, including the United States, and separately with a number of other countries including India, Russia and Korea.

We’re extending the mixed ownership model to four State-owned energy companies, to make better use of the Government’s balance sheet and to provide new investment opportunities for New Zealand savers.

And we’re investing heavily in roads of national significance and in the rail network, to promote economic growth and productivity.

These are a few of the initiatives in the 120-point plan, which sets out what the Government will be doing over the next three years.

I have tasked Bill English and Steven Joyce – the two most senior economic ministers – with driving this economic action plan.

I have told them I want to see this action plan regularly updated, showing progress on the existing initiatives and adding further initiatives as they are developed.

The first update will be in the middle of this year and will be publicly released.

Our third priority is to deliver better public services for families and businesses, within tight budgets.

Delivering better public services will help improve the lives and wellbeing of New Zealanders.

New Zealanders rightly expect a world-class health service, an education system that delivers for every child, a strong and effective justice system and social services that protect our most vulnerable and provide children from all walks of life with the opportunities they need to succeed.

Again, the Government has a very busy agenda over the next three years.

In education, our focus is squarely on raising achievement, in particular for those groups of students who have historically under-performed.

We’re strengthening performance measurement and accountability in schools, and we’ll be investing $1 billion of the proceeds from mixed ownership in modernising New Zealand schools.

It’s vitally important for New Zealand that students achieve because they are our future workforce.

But it’s also vitally important for the young people themselves, because a good education is the most important investment they can make in their own lives.

Welfare reform is also a very high priority for the Government.

At the moment around one in eight people aged 18 to 64 is on some sort of benefit, and about half of those have spent at least five out of the past 10 years on a benefit.

That is not only a poor position for beneficiaries themselves to be in: it's also not good for their children, for society or for taxpayers.

So we'll be moving quickly this year to get our welfare reform programme underway.

Early in the year the first Bill will be introduced to Parliament to enact the youth reforms I announced last year, targeting young people who are very much at risk of long-term welfare dependency.

That will be closely followed by another Bill in the second half of this year, to bring in the changes we campaigned on at the election.

New benefit categories will be created, and a greater proportion of beneficiaries will be required to make themselves available for work.

At the same time we will do more to help beneficiaries into work through services like childcare, training, workplace support, and access to health and disability support.

We also have a busy agenda in health, where we are working with local primary care networks throughout the country to provide free after-hours GP visits to children under six.

More people will get elective surgery, and we’re reducing waiting times for cancer treatment, first specialist appointments, diagnostic tests, elective surgery, and for people waiting in emergency departments.

In terms of public safety, we will be introducing legislation to strengthen sentencing, parole and bail laws.

We’ll be making it harder for those accused of the most serious offences to get bail and we’re increasing the penalties for child pornography.

These are all examples of individual initiatives we have underway in different areas.

But it has also become increasingly clear to us as a Government that the way public services are organised across the board needs to be addressed.

The state sector as a whole could do much better at delivering value-for-money, and it could do much better at achieving results, particularly in areas that cut across multiple departments, and which have proved difficult to get traction on over many years.

Last year the Government established the Better Public Services Advisory Group, and we have since received its final report, which we are currently considering.

We will release this report in the next month or two, when I give a speech on where the Government intends to go with state sector reform.

As I said, we are still working through the issues, but I have been quite clear with my Ministers that there needs to be significant change in the way the state sector is run.

Greater efficiency across government is an important part of this, but it is by no means the only part.

We are also focused on the quality and responsiveness of services, on strong and effective leadership, and on orienting the state sector around achieving results that really matter to New Zealanders.

Our final priority is to get on with rebuilding Christchurch.

2011 was about dealing with the damage caused by the destructive earthquakes that hit the region.

2012 is about starting to rebuild a vibrant, strong city.

The Government is totally committed to the reconstruction of Canterbury. That’s why we put aside $5.5 billion in last year’s Budget and created a whole new government department to lead the recovery effort.

We are committed to removing the barriers to reconstruction, and I can assure you that we won’t hesitate to use the powers we have to clear blockages in the system.

It’s easy to underestimate the scale of this undertaking.

Rebuilding Christchurch and its surrounding areas is an unprecedented project – without doubt the biggest economic undertaking in New Zealand’s history.

It is also at risk of delays from more seismic activity.

I want to say again to the people of Canterbury that we really do understand the frustration and anxiety you have felt as a result of the ongoing aftershocks, particularly the latest major ones that occurred around Christmas.

We continue to stand with you and I’m determined to see that momentum is maintained.

A National Bank report last year showed that economic activity in Canterbury was growing faster than anywhere else in the country.

The Re:START shopping area in Cashel Mall is up and running, and is drawing people back to the heart of the city.

And we have seen large companies show their faith in the city by announcing new investment in Christchurch.

Nearly 70 per cent of the 1,357 buildings approved for partial or full demolition in greater Christchurch have been demolished.

And early next week, the first suburban demolition by CERA begins in the residential red zone in Bexley.

We have made changes to the Regional Policy Statement for the greater Christchurch area, which The Press has reported could pave the way for more than 45,000 new houses.

The challenge now is for local authorities to use these powers to free up new land.

The residential red zone settlement process is progressing well. There are around 6500 properties in the residential red zone in Canterbury, and around 90 per cent of those homeowners have now returned their consent forms to CERA so they can receive an offer from the Government.

Around 46 per cent have also now formally accepted either of the Government's offers to purchase their property.

The commercial redevelopment of Christchurch is well underway.

And from February, residential housing reconstruction should move up a gear, subject again to seismic activity.

Plans by employers to hire more permanent staff in Canterbury are at an eight-year high.

And as the rebuilding grows the demand for workers and materials in Christchurch will be huge.

The Government’s strong focus will be on removing roadblocks so that demand can be met.

Finally, for Canterbury’s passionate sporting fans – of which there are many – the good news is that big-match rugby returns to Christchurch on March 24 when the Crusaders play the Cheetahs at the new 17,000 seat stadium in Addington.

Can I conclude by saying that 2012 will no doubt be another challenging year.

As a country we’ve had some tough things thrown at us.

But New Zealanders have shown great resilience.

Together we’ve come through a difficult period.

Looking ahead, I am very confident about New Zealand's prospects.

We're actually in good shape to meet the challenges that will continue to come our way.

There are huge opportunities out there for New Zealand.

We are a food-producing country in a world that is demanding more high-quality food.

A growing middle class in China, India and across Asia is tuning in to the goods and services New Zealand can supply.

And we’re a country that offers great opportunities for our young people.

So I’m unashamedly positive for New Zealand. I think we’ve got a great future ahead of us.

But we need to get out and seize that brighter future – it won’t come delivered on a plate.

That is the task my Government has embarked on.

Prime Minister and Tourism Minister John Key has congratulated Air New Zealand on again being named Airline of the Year by ‘Air Transport World’ magazine.

“Air New Zealand was named Airline of the Year in January 2010, and to gain this honour twice in three years is an outstanding achievement,” says Mr Key.

“The award is for Air New Zealand’s industry-leading innovation and motivation of its staff, which has resulted in exceptional performance in many areas, such as customer service, operational safety, and financial performance.

“The award is an acknowledgement of the hard work the airline’s staff and management have put into the company.

“Air New Zealand is a vital part of our tourism infrastructure. Often, the first experience incoming visitors have of New Zealand is with the national carrier, and those first impressions count.

“Like all New Zealanders, I am very proud of Air New Zealand, and I congratulate the airline and its staff on this achievement.

“I am sure all staff and management at Air New Zealand will be proud of this well-deserved honour,” says Mr Key.

In this issue of Key Notes, I talk about the establishment of the new Government, thank you all for your support - and wish you a merry Christmas.

Continue reading "Key Notes - Merry Christmas"

Prime Minister John Key has confirmed that the NZSAS deployment to Afghanistan will end as scheduled in March next year – a decision which has been foreshadowed for some time.

“The SAS has achieved the job they were sent to do with Kabul’s Crisis Response Unit (CRU), and they have done that job to the very highest of standards,” says Mr Key.

“Tragically, they have also paid the highest price, with two of the SAS’s fine soldiers losing their lives in the course of this work and I would, once again, like to pay tribute to Corporal Doug Grant and Lance Corporal Leon Smith who were killed in action.

“I deeply regret the loss of our soldiers but I do not regret our commitment to operations in Afghanistan.

“Thanks to the SAS’s efforts, the CRU is widely considered to be one of the best trained and most professional units operating in Afghanistan today.”

New Zealand remains committed to Bamyan province and completing the job begun in 2003. The Provincial Reconstruction Team continues its important work in building the security, governance and development capacity in Bamyan province.

“On behalf of the whole country I want to thank the SAS for their courage and professionalism over the two-and-half years they were in Afghanistan on this deployment.

“You made a difference. It’s time to come home.”

In his final video journal for 2011, Prime Minister John Key talks about today's Speech from the Throne, his plans for the holidays, and his hope that all New Zealanders enjoy the break.

Delivered by His Excellency Lieutenant General The Right Honourable Sir Jerry Mateparae, GNZM, QSO, Governor-General of New Zealand, on the occasion of the State Opening of Parliament, Wednesday 21 December 2011


Honourable Members of the House of Representatives. It is my privilege to exercise the prerogative of Her Majesty the Queen and open the 50th Parliament.

E nga Mema o te Whare Paremata o Aotearoa, tenei aku mihi mahana ki a koutou, tena koutou katoa.

Following the General Election in November, negotiations between political parties have resulted in the formation of a National-led Government with a majority in the House on confidence and supply.

Confidence and supply agreements have been signed between the National Party and, respectively, the ACT Party, the Maori Party, and the United Future Party.

These agreements will enable the Government to operate in an effective, stable and inclusive manner.

Beyond these agreements, my Government anticipates co-operating with other parties in Parliament on issues of mutual interest.

Honourable Members. The driving goal of my Government is to build a more competitive and internationally-focused economy with less debt, more jobs and higher incomes.

A strong economy in turn provides the resources necessary to protect the vulnerable in society, maintain the rule of law, provide high-quality public services, look after the environment, and provide opportunities for young people.

Good progress has been made already, despite some very testing times. New Zealand has experienced three challenging years, including a major recession, the worst global financial crisis since the Great Depression, and a devastating series of earthquakes that destroyed whole parts of Christchurch.

But in the worst of times we have seen the best of New Zealanders, as they have risen to these challenges.

The economy is recovering, having grown in eight of the past nine quarters, and 63,000 more people are employed now compared to two years ago. This recovery is forecast to continue.

Looking forward, the biggest risk to the New Zealand economy is from the European debt crisis. The outcome of this crisis is uncertain and, as a result, the economic outlook for the whole world has deteriorated.

However, New Zealand is in a relatively good position to deal with any fall-out in the near term, and my Government is firmly focused on improving New Zealand’s longer-term productivity and competitiveness.

Honourable Members. My Government has a comprehensive policy agenda, and a substantial legislative programme that it intends to put before the House in the forthcoming session.

My Government intends to return to an operating surplus in the 2014/15 financial year and start to reduce net core Crown debt as a proportion of GDP. This will be achieved through tight fiscal discipline, including new operating allowances of only $800 million in each of the next two Budgets.

As agreed with the ACT Party, legislation will be introduced to limit the growth in core Crown operating spending, with some adjustments, to a rate no faster than the combination of population growth and inflation.

Once in surplus, a KiwiSaver auto-enrolment exercise will be initiated.

My Government will maintain a new, lower cap on the number of staff in core government administration. It will be focused on achieving results, seeking new and better ways to deliver public services, and continuing to contain and reduce costs. Particular attention will be paid to the recommendations of the Better Public Services Advisory Group.

My Government will extend the mixed ownership model, under which Air New Zealand currently operates, to four State-owned enterprises – Meridian Energy, Mighty River Power, Genesis Power and Solid Energy – and will reduce its stake in Air New Zealand.

In each case, the Crown will retain at least 51 per cent of the company, and New Zealanders will be at the front of the queue for shares.

Proceeds from extending the mixed ownership model will go into a new fund – the Future Investment Fund – to pay for capital projects that help grow the economy and improve public services.

As agreed with the United Future Party, legislation will be introduced to limit any sale of public assets – that is, of State-owned enterprises and Air New Zealand – to no more than 49 per cent of the shares in the company, together with a limit on ownership by a single entity.

Honourable Members. My Government believes in a more active welfare system which supports people who can work, back into work, and does not trap them in a life of limited income and limited choices.

Legislation will be introduced to reform the current system of benefits. New benefit categories will be created, and a greater proportion of beneficiaries will be required to make themselves available for work. Changes will also be made to clamp down on beneficiaries whose recreational use of drugs affects their ability to work, and those who commit benefit fraud.

As agreed with the Maori Party, a separate appropriation and governance structure will be established for Whanau Ora.

The Government will introduce changes to support disengaged young people back into education or training. It will also have a more hands-on approach with 16- and 17-year-old beneficiaries, and with 18-year-old teen parents, including wrap-around support from third parties, and an expectation that they will be in some form of education or training.

As agreed with the Maori Party, a Ministerial committee on poverty will be established to improve the co-ordination of government activity in alleviating the effects of poverty.

Honourable Members. My Government believes that high-quality education is vitally important. It provides the opportunity for children from all backgrounds to make the most of their lives, and is an essential requirement for a skilled and productive workforce.

The Government’s focus will be squarely on raising achievement, in particular for those groups of students who have historically underperformed.

The Government will work to lift participation rates in early childhood education, with a target of 98 per cent of new entrants in school having previously attended an early childhood centre.

Performance measurement and accountability in schools will be strengthened. In addition, the Government will work to improve the quality of initial teacher education, introduce more effective appraisals of teachers and principals, and reform and strengthen the Teachers Council.

$1 billion from the Future Investment Fund will be invested over the next five years to build new schools and modernise existing buildings, including with new, 21st Century teaching spaces. It will be easier for schools to employ trades specialists to deliver courses, and to set up trades or service academies.

As agreed with the ACT Party, the Government will allow for the formation of charter schools in areas where educational underachievement is most entrenched.

Tertiary education providers will be funded in a way that takes into account their performance against indicators of achievement. It will continue to drive better value for taxpayers from the interest-free student loan scheme, including an expanded campaign to recover overdue debt from borrowers living overseas.

Honourable Members. My Government believes that a competitive economy, trading successfully with the world, is the best way to build sustainable economic growth that creates jobs and grows incomes.

The Government will restructure and expand Industrial Research Ltd into an advanced technology institute to work alongside the high-tech manufacturing and services sector. It will also invest in a series of national science challenges, in areas where science can address some of the most important longer-term challenges to New Zealand’s development.

The Government will continue its programme of investment in modern infrastructure. On current forecasts, $12 billion will be invested over the next 10 years in new State highways. The most immediate priorities will be the construction of the Waterview Connection and the completion of Auckland’s Western Ring Route.

KiwiRail’s Turnaround Plan will continue to be supported and there will be an investigation into the use of Clifford Bay as a new sea freight terminal.

Ultra-fast broadband and the Rural Broadband Initiative will continue to be rolled out. A Crown-owned company will be established to invest in irrigation and water storage, drawing on the Future Investment Fund.

The Government has set aside $5.5 billion in the Canterbury Earthquake Recovery Fund to pay for its share of rebuilding essential local infrastructure in Christchurch and its surrounds.

It will provide certainty to affected homeowners in Canterbury by finishing the red zone classification process. It will continue to release land for residential subdivision and ensure there is an adequate supply of land to rebuild on.

My Government will allow for choice in accident insurance covered through the Work Account, including an expansion of the Accredited Employer Scheme. It will consider the feasibility of introducing choice into accident insurance covered through the Motor Vehicle Account and the Earners’ Account.

Legislation will be introduced to implement a new “starting-out wage”, set at 80 per cent of the adult minimum wage, to ensure young people are not priced out of the job market. Legislation will also be introduced to extend flexible working arrangements and to improve collective bargaining.

The Government will progress legislation to overhaul securities law and to criminalise anti-competitive behaviour. It will introduce tougher consumer credit legislation to target loan sharks and protect consumers.

Honourable Members. My Government believes that balanced and sensible management of our resources will protect the environment while promoting stronger economic growth.

The Government will continue to advance the Fresh Start for Fresh Water programme, and will introduce new environmental reporting systems. Legislation will be introduced to set a six-month time limit for the consenting of medium-sized projects, and to improve the Resource Management Act as part of the second phase of reforms.

As agreed with the ACT Party, legislation will be introduced to ensure there is only one resource management plan in each district.

The Government will also introduce legislation to amend the Emissions Trading Scheme. This will include moving to full obligation in three equal steps for the energy, transport and industrial sectors. It will also introduce offsetting for pre-1990 forest land owners to enable greater flexibility of land use.

My Government will encourage oil and gas exploration with a competitive new system for processing permits. It will also progress legislation to better manage the environmental effects of activities in New Zealand’s Exclusive Economic Zone, and will introduce legislation to reflect the updated Liability for Maritime Claims Protocol.

As agreed with the United Future Party, legislation will be introduced to stop helicopter hunting on the conservation estate involving the shooting of game animals from helicopters and the herding and hazing of game animals as part of the hunt. The Game Animal Council Bill will be progressed.

Honourable Members. My Government will continue to maintain an independent and bipartisan foreign policy. It will further focus New Zealand’s aid efforts on the Pacific, and will campaign to win New Zealand a seat on the United Nations Security Council for a two-year term starting in 2015.

The Defence White Paper and Capability Plan initiatives will be implemented, and legislation will be introduced to ensure the three services of the Defence Force are able to work together more effectively.

The Government will continue to pursue high-quality trade agreements, ensuring as it does that New Zealand’s best interests are always served. There will be a comprehensive programme of Government-led trade delegations to China, India, and the Association of Southeast Asian Nations.

Honourable Members. My Government will continue to deliver high-quality public services.

It will work with local primary care networks throughout the country to provide free after-hours general practitioner visits to children under six. A comprehensive after-hours telephone health advice service will be developed.

The Government’s target is that 95 per cent of all eight-month-old children will be fully immunised with three scheduled vaccinations. It will also roll out a nation-wide rheumatic fever programme targeting vulnerable communities. Alcohol and drug treatment services for young people will be expanded, as will specialist mental health services for young offenders. The Voluntary Bonding Scheme will be extended.

More people will get elective surgery, and waiting times will be reduced for cancer treatment, first specialist appointments, diagnostic tests, elective surgery, and for people waiting in emergency departments.

As agreed with the Maori Party, further work will be done on plain packaging and other anti-smoking initiatives.

My Government will continue to ensure that State houses are located in the areas of greatest need, and are going to families who need them most, for the duration of their need. It will work to increase the supply of social housing, including progressing options for iwi housing providers.

The current home insulation and clean heating programme will continue, with a specific focus on low-income households, as agreed with the Maori Party. Every State house built before 1978 that can be insulated, will be insulated.

My Government will introduce legislation to strengthen sentencing, parole and bail laws. It will be harder for those accused of the most serious offences to get bail, the penalties for child pornography will be increased, and Civil Detention Orders will be introduced.

The Search and Surveillance Bill will be progressed, as will the Victims of Crime Reform Bill. The penalties for breaching a protection order will be doubled, and funding will be available for security improvements in the homes of family violence victims.

My Government will continue to progress the review of constitutional arrangements.

It will also continue to make the full and final settlement of historical Treaty of Waitangi claims a priority.

Over the course of the forthcoming Parliamentary session, other measures will be laid before you.

Honourable Members. The fact that this is the 50th Parliament gives us cause to celebrate. New Zealand can boast of an unbroken parliamentary democracy stretching back to the 1850s, and universal suffrage from 1893.

My Government is privileged to have won the trust and good will of New Zealanders for a second Parliamentary term.

It will seek to earn anew that trust and good will every day over the next three years.

Prime Minister John Key will visit Australia from 27 to 29 January 2012 for the annual Australia-New Zealand Leaders’ Meeting and a joint meeting of senior Cabinet Ministers.

This will be the second time the Australian and New Zealand Prime Ministers have convened a joint meeting of senior Cabinet Ministers – the first was in 2009.

Mr Key will be accompanied by Deputy Prime Minister Bill English and six other Ministers - Steven Joyce, Judith Collins, Tony Ryall, Hekia Parata, Jonathan Coleman and Craig Foss.

The travelling Ministers, several of whom have new portfolios with significant trans-Tasman responsibilities, will also have the opportunity to engage individually with their Australian counterparts.

In addition, the Ministers of Health and Commerce, Tony Ryall and Craig Foss, will take part in the first meeting on 28 January of the Ministerial Council to oversee work on establishing a joint therapeutics agency.

“The annual Leaders’ Meeting provides an opportunity for both countries to start the New Year with a focus on issues of mutual interest in domestic policies, the bilateral relationship and regional and international affairs,” says Mr Key.

“That Ministers on both sides of the Tasman have found time to participate in these meetings in January demonstrates the closeness of the trans-Tasman relationship.”

Prime Minister Julia Gillard has invited Mr Key and the New Zealand Ministers as guests of the Australian Government.

Prime Minister John Key has appointed Parliamentary Private Secretaries to assist the Minister of Foreign Affairs and the Minister of Ethnic Affairs.

John Hayes will be Parliamentary Private Secretary to Murray McCully for Foreign Affairs and Melissa Lee will be Parliamentary Private Secretary to Judith Collins on Ethnic Affairs.

Parliamentary Private Secretaries (PPS) are MPs appointed to assist Ministers but, unlike Under-Secretaries, are not part of the Executive. They receive no extra remuneration.

“This is an important position that ensures a strong link between the Minister and the caucus and gives back-bench MPs valuable experience,” says Mr Key.

“The main role of the PPS is to use their expertise, and act as a sounding board and advisor to the Minister. They would be heavily involved in the caucus policy process in the area they are working – for instance, chairing the caucus committee in the relevant area.

“The Minister can not delegate any statutory roles or function to a PPS, however it is expected that the PPS represent their Minister at public events and deliver speeches on occasions when the Minister is not available.

“I congratulate both Mr Hayes and Ms Lee on their appointments,” says Mr Key.

The appointments are effective immediately.

Related document:

What_are_Parliamentary_Private_Secretaries.pdf (pdf 12.88 KB)

Prime Minister John Key has announced the election of National’s new senior whip and junior whip following the National Party Caucus this morning.

Mr Key says the new senior whip will be List MP Michael Woodhouse, who is from Dunedin.

He will replace Chris Tremain, who is now a Minister outside Cabinet.

The junior whip will be MP for Taupo, Louise Upston.

She replaces Jo Goodhew, who is also now a Minister outside Cabinet.

“Both Michael Woodhouse and Louise Upston are hard-working MPs, and I am confident they will do a good job in their new roles,” says Mr Key. “I congratulate both of them.”

The fourth Indicators and Progress report for the Government’s Tackling Methamphetamine Action Plan shows government agencies’ work is continuing to contain the growth of methamphetamine (‘P’) supply networks, Prime Minister John Key announced today.

“This initiative has been in place for two-and-a-half years, and we can see that efforts to crack down on those who are importing, manufacturing and selling P and its precursors are working,” says Mr Key.

“Six months ago, there were signs that supply chains were being disrupted, due to the efforts both at the border and domestically. We’re now able to see that the dedicated resources on the frontline are continuing to squeeze the P trade.”

The report shows the price of P has been steadily moving upwards since 2006, and remains high. The latest survey data shows the mean price of a gram of P is $768, up from $723 at the same time in 2010.

“However, this is not the time for sitting on our laurels. While the price of P has risen dramatically in Christchurch, we are seeing fluctuations around the country. While we are seeing progress, it’s more important than ever for authorities to continue to be vigilant.”

The nature of seizures at New Zealand’s borders is continuing to change. Seizure levels of precursor chemicals, like ephedrine and pseudoephedrine, are down 44 per cent compared to the same time last year. In contrast, seizures of methamphetamine are rising. In the first nine of months of 2011, 23 kilograms of methamphetamine were seized at the border – nearly 95 per cent of the total seized during 2010.

“While the increase in methamphetamine seizures at the border may indicate that the coordinated law enforcement effort is pushing manufacturing offshore, it also shows New Zealand is increasingly being targeted by a wider range of criminal groups looking to traffick P into the country,” says Mr Key.

“Border agencies are rolling out enhanced surveillance equipment to help identify participants in drug trafficking syndicates.”

The changing nature of seizures at the border is echoed in the changing nature of P manufacturing domestically, says Mr Key.

“There is evidence that manufacturers have changed their operating methods in an effort to avoid law enforcement detection. Manufacturers appear to be increasingly storing equipment and chemicals at several locations rather than in a central place.

“This shows Police’s targeting of P manufacturing is having an impact, with criminal groups having to change the way they operate. However, it’s too early to say whether or not the supply of P is reducing.”

The report also shows:

• Police have identified around $92 million worth of assets believed to have been obtained through criminal means since the Criminal Proceeds (Recovery) Act came into force at the end of 2009. Nearly half of this – $45 million – relates to methamphetamine offending. Of the $92 million identified, restraining orders have been applied to around $41 million.
• The proportion of offenders with methamphetamine convictions receiving Alcohol or Drug assessments is rising – up to 20.2 per cent in 2010 from 16.8 per cent in 2008.
• The number of convictions for supplying or dealing methamphetamine in 2010 was just over two-and-a-half times greater than in 2009. The Police’s Methamphetamine Control Strategy has led to more offenders going through the justice system and being charged with multiple offences.

“The coordinated action against P by a number of government agencies is producing results,” says Mr Key. “This report shows that, over time, the work to contain the methamphetamine trade is achieving the right results. All indicators suggest ‘containment’ and this should be seen as success.

“Any softening in our hard-line stance against P could undo several years of good work. Those who profit from the misery caused by P should realise we are committed to stamping out the harm this drug is causing New Zealand communities.”

Visit the report at:
http://www.dpmc.govt.nz/dpmc/publications/methamphetamine

Prime Minister John Key has welcomed the Norwegian Government’s decision to work with the New Zealand Antarctic Heritage Trust on the Cape Adare preservation project.

Following a bilateral meeting with Mr Key today, Norwegian Prime Minister Jens Stoltenberg has announced his Government will provide NZD$900,000 to preserve the two huts of Norwegian explorer Carsten Borchgrevink on Cape Adare in the Ross Dependency.

“Norway and New Zealand have a history of strong cooperation on Antarctic issues,” says Mr Key. “This four-year project is a chance to preserve an important piece of heritage, and Norway’s generous support for this project is greatly appreciated.”

Carsten Borchgrevink led an expedition to Antarctica in 1898. The two huts were the first buildings constructed on the continent and contain more than 1000 artefacts. In addition to the four-year preservation phase, the project will also cover future maintenance of the site.

Prime Minister John Key today announced the incoming National-led Government’s new Ministry.

“National’s line-up is a very strong one, with a mixture of fresh talent and experience,” says Mr Key. “There has been a revamp of some portfolios, and some first-term Ministers have been rewarded for their performance.

“The new National-led Government is ready to hit the ground running. There is a lot of work to do as we look to continue implementing our plans to build a stronger economy, reduce debt, and create more jobs.

“The front bench is being strengthened with the elevation of Steven Joyce, who will have a mix of economically-focused portfolios reflecting the priority the incoming National Government places on economic growth. He will get a new portfolio called Tertiary Education, Skills and Employment, as well as Economic Development, Science and Innovation, and Associate Finance.

“Hekia Parata and Paula Bennett are also promoted to the front bench. Hekia Parata gains the Education portfolio. Paula Bennett retains the Social Development and Youth Affairs portfolios.

“Hekia Parata will build on the good work of Anne Tolley in the Education portfolio, particularly around the implementation of National Standards, one of National’s key policies to boost student achievement. Anne Tolley becomes Minister of Corrections and Police, and Deputy Leader of the House.

“Judith Collins is elevated and gains the Justice Portfolio vacated by Simon Power, along with ACC and Ethnic Affairs,” says Mr Key.

Other changes include:

• Gerry Brownlee will resume the role of Leader of the House, and is given the Transport portfolio. He retains the all-important role of Minister for Canterbury Earthquake Recovery.
• David Carter receives the Primary Industries portfolio, which combines the Agriculture, Biosecurity, Fisheries and Aquaculture, and Forestry portfolios.
• Jonathan Coleman picks up Defence, State Services and Associate Finance, while Phil Heatley picks up Energy and Resources while retaining Housing.
• The Infrastructure portfolio is incorporated into Bill English’s Finance portfolio, and the Disarmament and Arms Control portfolio is incorporated into Murray McCully’s Foreign Affairs portfolio.

“New Minister inside Cabinet Amy Adams is given the Associate role for Canterbury Earthquake Recovery, and also becomes Minister for Communications and Information Technology, and Internal Affairs,” says Mr Key.

Other new Ministers inside Cabinet are Nathan Guy and Craig Foss, who were both Ministers outside Cabinet in the previous term. Mr Guy picks up Immigration and Mr Foss Broadcasting and Commerce.

There are three new National Ministers outside Cabinet – Chris Tremain, Jo Goodhew and Chester Borrows, all of whom pick up a mixture of portfolios. Maurice Williamson is the fourth National Minister outside Cabinet.

“The support party Ministerial roles have already been announced, but I want to acknowledge again their contribution to the formation of a strong, stable, National-led Government.”

The Ministerial line-up also includes a number of changes to reduce the number of portfolios and separate Ministerial responsibilities. Ten portfolios or Ministerial responsibilities have either been disestablished or incorporated into other portfolios.

“This is a strong line-up for our second term. The new Government will be totally focused on delivering for New Zealand,” says Mr Key.

The new Ministry will be sworn in at Government House in Wellington on Wednesday morning.

Prime Minister John Key has welcomed the news of a planned visit to New Zealand by the Prince of Wales and the Duchess of Cornwall next year.

“I am pleased New Zealand will be able host the Prince of Wales and the Duchess of Cornwall as part of the Queen’s Diamond Jubilee celebrations,” says Mr Key.

“Prince Charles, heir to the throne, will be visiting New Zealand on the Queen’s behalf.”

The Palace has announced that family representatives will make offiacial visits in 2012 to all 15 countries outside the United Kingdom of which Queen Elizabeth is Sovereign. The Prince of Wales will also visit Australia, Papua New Guinea and Canada.

The Prince of Wales last visited New Zealand in 2005. This will be the Duchess of Cornwall’s first visit here.

Further details regarding next year’s visit will be made available in due course.

12 December 2011. Prime Minister John Key talks about his new Ministry and provides insight into what he hopes to achieve with the new Cabinet listings.

National Party Leader John Key today announced the Relationship Accord and Confidence and Supply Agreement negotiated with the Maori Party, which focuses on lifting Maori achievement. 

“I am pleased with this agreement with the Maori Party, which helps ensure a strong, stable National-led Government over the next three years,” says Mr Key.

The agreement differs from those signed with the United Future and ACT parties in that while the Maori Party will support the National-led Government on confidence and supply, it is not required to vote for legislation required to give effect to the policies in National’s Post-Election Action Plan.

“This is a policy-based agreement and features a number of areas where both parties agree to work together,” says Mr Key.

“On everything else besides confidence and supply, the Maori Party will decide support or not on a case-by-case basis.”

Maori Party Co-Leader Dr Pita Sharples will be appointed to the positions of Minister of Maori Affairs, Associate Minister of Education and Associate Minister of Corrections.  These Ministerial positions will be outside Cabinet.

Maori Party Co-Leader Tariana Turia will be appointed to the positions of Minister responsible for Whānau Ora, Minister for Disability Issues, Associate Minister of Health, and Associate Minister of Housing.  She will also continue to have Associate Ministerial responsibilities in the areas of Social Development and Employment.  These Ministerial positions will be outside Cabinet.

“Both the National Party and Maori Party would acknowledge the tremendous success of many Maori individuals and families, but there remains the problem of long-term issues affecting Maori families.   It is vitally important that these are addressed,” says Mr Key.

“Lifting Maori achievement is the major aim of this agreement, which is focused on results and outcomes.

“The agreement builds on the success of the relationship between the National Party and the Maori Party in the previous three years in government.

“I look forward to continuing that constructive relationship with the Maori Party over the next three years,” says Mr Key. 

Visit the National-Maori Party Relationship Accord and Confidence and Supply Agreement at:

http://national.org.nz/PDF_Government/Maori_Party_agreement-11_Dec.pdf

Visit Appendix 1 at:

http://national.org.nz/PDF_Government/Appendix_1.pdf

 

Visit National’s Post-Election Action Plan at:
http://national.org.nz/PDF_General/Post-Election_Action_Plan_.pdf

Prime Minister John Key today expressed his disappointment at the British Government’s announcement overnight of an increase in passenger duty for air travellers to New Zealand.

The British Government has announced that the UK Air Passenger Duty (APD) will increase next April from 85 pounds sterling to 92 pounds sterling per passenger coming to New Zealand.

“The APD places a significant burden on New Zealand businesses, on families who travel, and on our tourism industry,” said Mr Key.

“The British Government has been reviewing the structure of the APD this year and the New Zealand Government has been talking closely with them about this issue. We made our views on APD clear on several occasions, including during Foreign Minister William Hague’s visit here in January, and my own visit to London in April.”

The previous UK government used environmental grounds to justify imposing a higher levy on long-distance flights.

“With the tax for New Zealand-bound passengers set at four or five times the costs of offsetting the carbon emissions produced, this logic is without basis,” Mr Key said.

“The British Government’s announcement overnight maintains this cost difference, and ignores the fact that environmental concerns about emissions are being addressed through the European Union’s extension of its Emissions Trading Scheme (ETS) to aviation emissions.

“That puts a levy on airlines – meaning there is no justification for an additional duty on air passengers which discriminates on the basis of distance.”

Mr Key said the New Zealand Government had been hopeful that the British Government had been persuaded not to proceed with an increased APD that discriminated unfairly against Australia, New Zealand, the Caribbean, Singapore, South Africa and a few others.

“However, with this latest announcement it is clear that the APD will remain an issue between New Zealand and the UK,” Mr Key said.

“We will continue to raise this with the UK at every opportunity.”

Norwegian Prime Minister Jens Stoltenberg will arrive on Sunday for a six-day visit to New Zealand and Antarctica, Prime Minister John Key announced today.

Prime Minister Stoltenberg is visiting Antarctica as a guest of the US Antarctic Programme for the centenary celebrations of the first expedition to reach the South Pole, which was led by Norwegian Roald Amundsen.

“I am pleased to welcome Jens Stoltenberg to New Zealand. Though geographically distant, Norway and New Zealand are similar-sized countries with much in common,” says Mr Key.

“Our two countries share a good record of cooperation, particularly at a multi-lateral level through organisations like the United Nations and the World Trade Organisation. Both New Zealand and Norway are also internationally-active on polar issues, especially the preservation of the Antarctic environment.”

Mr Stoltenberg will arrive in Christchurch on Sunday before travelling to Antarctica. He will return to Auckland next Friday, where he and Mr Key will hold a bilateral meeting. While in New Zealand, Mr Stoltenberg will also meet the Minister of Foreign Affairs.

Mr Stoltenberg will depart the country on 16 December.
 

National Party Leader John Key today announced the confidence and supply agreement negotiated with the ACT Party.

“I welcome this agreement with the ACT Party,” says Mr Key.  “I am pleased this agreement has helped form a strong, stable National-led Government.

“The agreement gives the National-led Government confidence and supply support throughout this term.  The agreement has a strong focus on the economy, including a concentration on fiscal discipline, and reducing the costs to business.

“As part of the agreement, the ACT Party will support the legislation required to give effect to the policies outlined in National’s Post-Election Action Plan.

“The agreement provides for ACT MP John Banks to be appointed to the positions of Minister for Regulatory Reform, Minister for Small Business, Associate Minister of Education, and Associate Minister of Commerce.  He will be a Minister outside Cabinet.

“Mr Banks will be a member of the following Cabinet committees: Expenditure Control, Economic Growth and Infrastructure, and Appointments and Honours.

“In addition, National has agreed to support a range of principles, policies and priorities put forward by the ACT Party.  These are outlined in the confidence and supply agreement.

“I look forward to a constructive relationship with Mr Banks and the ACT Party in this term of government,” says Mr Key.

Visit the National-ACT Confidence and Supply Agreement at:
http://national.org.nz/PDF_Government/National-ACT_Confidence_and_Supply_Agreement.pdf

Visit National’s Post-Election Action Plan at:
http://national.org.nz/PDF_General/Post-Election_Action_Plan_.pdf

National Party Leader John Key today announced the confidence and supply agreement negotiated with the United Future Party.

“I am pleased National has been able to negotiate constructively with United Future Leader Peter Dunne to help form the strong, stable government that New Zealand needs,” says Mr Key.

“The agreement gives the new National-led Government confidence and supply support throughout this term.

“United Future has agreed to support the legislation required to give effect to the policies contained in National’s Post-Election Action Plan.”

The agreement provides that Mr Dunne be appointed Minister of Revenue, Associate Minister of Health and Associate Minister of Conservation. He will be a Minister outside Cabinet.

“In addition, National has agreed to support a range of principles, policies and priorities that have been put forward by United Future. The details are outlined in the confidence and supply agreement.

”I look forward to continuing the constructive relationship we built with Mr Dunne in the previous term,” says Mr Key.

Visit the National-United Future Confidence and Supply Agreement at:
http://national.org.nz/PDF_Government/United_Future_Confidence_and_Supply_Agreement.pdf

Visit National’s Post-Election Action Plan at:
http://national.org.nz/PDF_General/Post-Election_Action_Plan_.pdf

 

29 November. The Prime Minister talks about the election campaign, what the "caretaker" phase of Government is, potential coalition partners and what's ahead in the coming weeks.

In this final issue of Key Notes for Campaign 2011 I talk about the National Party Bus Tour, our post-election action plan - and thank all of you for your support.

 

Continue reading "Key Notes - Vote National for a strong, stable Government "

The National Party celebration in Auckland on Election Eve - featuring John and Bronagh Key as well as a host of National Party stalwarts. Click the image to view the set on Flickr.

Good morning.

Today I am releasing National’s post-election Action Plan.

The plan outlines some immediate and critical steps we intend taking to secure a brighter future for New Zealand families in a turbulent world.

We will get straight back to work on making our economy stronger, by balancing the books, repaying debt, and creating more jobs.

The plan outlines the next critical actions a National-led Government will take in several important areas – debt and the economy, welfare, law and order, education, health, and rebuilding Canterbury.

Each of these areas is vitally important to the future of New Zealand, but none more so than getting back into surplus and reducing New Zealand’s debt.

But to carry out this plan, we need a strong, stable National-led Government.

We will be firmly focused on getting New Zealand back into surplus quickly, paying off debt, and keeping costs down for businesses so they can get on with creating more jobs.

Overseas, we are seeing how political instability can threaten economic recovery.

Politicians in the US are struggling to agree on how to rein in America’s ballooning debt, and in Europe instability continues.

What is happening overseas is further proof that without a strong and stable Government, you can’t reduce debt or have a stable economy.

We don’t want that to happen in New Zealand – and it doesn’t need to happen here.

What the news from overseas does is bring into sharp focus what this election is actually all about - which is, who has the best plans for a strong economy in a turbulent world environment.

A number of opinion polls are saying National is in a strong position going into polling day on Saturday.

However, the reality is that Saturday is the only poll that counts, and the result will be much closer than some people think.

Under MMP, you can stack up the parties in all sorts of combinations and the potential for a Labour Party-led stack of minor parties is very real.

And the more complex the stack of parties, the more expensive it will be.

Two things are certain. Firstly, that a Labour-led stack will lead to more debt – around $21 billion over four years collectively so far.

Secondly, it will stack up more costs and burdens on business - Labour has 10 big extra costs of their own - and that means fewer jobs for New Zealanders.

New Zealand can’t afford that recipe.

As you all know, after my visit to the South Island yesterday, I will be on our campaign bus tomorrow and Friday visiting towns and cities throughout the North Island.

I will be campaigning hard right up to Friday night, seeking every party vote I can for National.

So my message to New Zealanders is this - only a party vote for National can deliver the strong, stable, government that New Zealand needs in these uncertain economic times.

Only a party vote for National will mean less debt, more jobs and a brighter future for New Zealand.

I say to New Zealanders, your party vote is vital under MMP. Every vote is vital to ensure a strong and stable National-led Government.

Thank you.

Visit the post-election Action Plan at:
http://national.org.nz/PDF_General/Post-Election_Action_Plan_.pdf

18 November, Queenstown. Prime Minister John Key announces the National Party's tourism policy. For more on that, see: http://www.national.org.nz/Article.aspx?articleId=37613

National will continue to support early childhood education, lift achievement in schools, build a skilled workforce, and get better value for tertiary students and taxpayers, says Prime Minister and National Party Leader John Key.

“We have a clear plan to build a better education system and make sure New Zealanders learn the skills they need to succeed in the 21st Century,” said Mr Key, speaking at the launch of National’s education policy today.

“I’m a big believer in education. It is one of the fundamental tools for creating a society where all New Zealanders have an opportunity to succeed, no matter what their background.

“A high-performing education system is also vital for our success as a country, and National’s plan for education reflects that.”

If re-elected, National will set a target of 98 per cent of new entrants in school having participated in early childhood education, to be met by 2015.

“It all starts with getting the basics right. Early childhood education is an important part of a child’s development and National wants to see as many three- and four-year-olds regularly attending early childhood education as possible,” says Mr Key.

“That’s why we are spending more on early childhood education than ever before, and focusing on increasing participation, particularly for children in at-risk communities where attendance is lower.”

In schools, National’s focus will continue to be on lifting achievement.

“Our National Standards and the National Curriculum are helping teachers focus on the education outcomes children will need in the 21st Century. Our next steps include using performance information to drive improvements in student achievement, strengthening teaching and leadership, and strengthening the accountability of schools,” says Mr Key.

“We are also working hard to modernise schools. In our first term we’ve opened 18 new schools and built 400 new school buildings, and we’ve allocated $1 billion from our Future Investment Fund to build on that progress in the next five years.”

National is also committed to building a skilled workforce, so that all New Zealanders can learn the skills they need to make the most of their opportunities, earn higher incomes and contribute to New Zealand’s future.

“We will ensure better results for industry trainees and apprentices and reinvest more funding as demand grows. We’ll also keep more 16- and 17-year-olds engaged in vocational education, and help young people on benefits into skills training,” says Mr Key.

Mr Key says National’s tertiary education policy is about getting better value for students and taxpayers.

“Tertiary education is a passport to higher skills, higher wages, higher productivity and higher growth for our economy,” says Mr Key.

“That’s why National has funded more student places at universities, polytechnics, and private training providers than ever before, and is continuing our drive to lift performance in the tertiary education sector.

“National’s comprehensive education policy will help build the skills and knowledge New Zealanders need for future-proofed jobs,” says Mr Key.


Visit the policies at:

http://national.org.nz/PDF_General/Early_Childhood_Education_policy.pdf

http://national.org.nz/PDF_General/Education_in_Schools_policy.pdf

http://national.org.nz/PDF_General/Tertiary_Education_policy.pdf

http://national.org.nz/PDF_General/Skills_Training_policy.pdf

In this issue of Key Notes I outline a number of important policy initiatives involving the economy, trade, health, welfare, public services, broadband and tourism. 

 

Continue reading "Key Notes - Building a stronger economy"

22 November. John Key talks about his visits to Ragiora and Dunedin as the campaign moves into its final stages.

National will tighten up on those New Zealanders who abuse the social welfare system at the expense of hard-working taxpayers, Prime Minister and National Party Leader John Key announced today.

“Our welfare system is one of the best in the world and, under National, that safety net will always be there to help New Zealanders in need. For most people, this is a temporary support while they get back on their feet,” says Mr Key.

“National has already committed to helping the majority of people within the welfare system to become work-ready. However, there is a small number who see welfare as a free ride on the taxpayer, and there are those who are facing a future of life-time welfare dependency.

“National will be more hands-on with the welfare system. We’ll put more resources and support into helping those at risk of long-term dependency find work and improve their lives.”

Under National, there will also be a stronger, more proactive stance against those who abuse and defraud the welfare system. Jobseekers whose recreational drug use affects their ability to apply for or secure a job will also be sanctioned, and through the investment approach those with drug addictions will be supported to overcome their illness. In addition, benefit recipients on the run from the Police will have their benefit cancelled.

“Welfare fraud of any kind is unacceptable,” says Mr Key. “National will make it easier to match information in benefit applications with information held by other agencies to catch fraudsters sooner, and we will make it possible for authorities to actively seek to recover money by selling such fraudsters’ assets.

“This year alone, Work and Income’s data matching found around six to 12 per cent of people were receiving benefit payments they weren’t entitled to. This shows we have to do better by the taxpayer to safeguard their money and protect the integrity of the welfare system.”

“We will beef up authorities’ investigative power, funding a new team of fraud specialists to hone in on reducing abuse across the welfare system.

“National will also review the Social Security Act, with a focus on making it easier for authorities to prosecute people who abuse the welfare system. In particular, we will review the rules around relationship fraud, and make clearer the rules around when benefit recipients need to let Work and Income know about any relationships they are in.”

Jobseekers who don’t apply for a job because they are asked to take a drug test, or who fail a pre-employment drug test, face having their benefit cancelled.

“Too many young people, especially, are not applying for a job if a potential employer asks them to take a drug test. If left alone, these young people are at risk of long-term welfare dependency,” says Mr Key. “We will ensure they get the right support to deal with their drug use or addiction.”

Those beneficiaries evading a Police warrant will also have their benefit cancelled.

“Taxpayers should not be paying criminals to evade the law,” says Mr Key. “We believe in a welfare system which is fair for to those who use it, but is also fair on taxpayers who fund it.

“The past three years have been tough on New Zealanders, with the global financial crisis and the Canterbury earthquakes forcing a number of people to turn to the State for help. People with these genuine needs must be helped – but those who are taking advantage of the taxpayer-funded welfare system must learn it’s not a free ride or a lifestyle choice.”

Visit the policy at:
http://www.national.org.nz/PDF_General/Welfare_Obligations_policy.pdf

Prime Minister and National Party Leader John Key says National is focused on getting better results from public services for New Zealand families.

“National will continue to modernise the way public services are delivered and find back-office savings to put into better frontline services,” says Mr Key.

“We are committed to getting back to surplus in 2014/15 and that significant challenge will require ongoing spending restraint across the public sector and a focus on innovation and results.”

In contrast, over Labour's last five years total public service numbers grew almost 30 per cent, and overall government spending grew 50 per cent.

National's State Services spokesman, Tony Ryall says, "As an incoming Government we put a cap on staff numbers in core government administration. The level we inherited was unsustainable and unaffordable.

"The cap has been effective in stopping the growth in staff numbers, and FTEs have in fact reduced by six per cent since 2008. Today we are announcing that National will maintain a cap on staff numbers, but will lower the cap to the current level of FTEs.

"We first set the cap at 38,859 FTEs and with the current number of people working in core government administration now 36,475 we are lowering the cap to this number.

"During our first term, a Fairfax Media-Research poll found that more people believe the quality of core government services has improved under the National government, and we will continue to build on that public confidence," Mr Ryall says.

As well as lowering the cap, National will:

• continue to find savings from the public sector, including $980 million of expected savings over three years,
• continue to merge departments and other government agencies, where the benefits of those changes exceed the costs,
• focus on modernising public services, exploring new approaches to service delivery, and ensuring that the system delivers results.

"On the other hand," Mr Ryall says, "Labour wants to grow the public service to the excessive level it was at in 2008, and that means more borrowing.”

Visit National's policy at:
http://www.national.org.nz/PDF_General/Modern_Public_Services_policy.pdf

National would step up the tempo of trade missions to other countries, especially in Asia, says Prime Minister and National Party Leader John Key.

Releasing the National Party’s trade policy today, Mr Key said enhancing and growing New Zealand’s international trade links was a key part of our plan to build a stronger economy and create more jobs with higher incomes.

“National has made substantial progress in improving New Zealand’s access to other countries’ markets, and we aim to build on that progress with this policy,” says Mr Key.

“On Sunday there was news of further progress, with the announcement at the Apec summit of the broad outlines for the Trans-Pacific Partnership (TPP) free trade agreement. This was an important step towards gaining greater access for New Zealand exporters.

“However, there is still a lot of work that can be done in improving the competitiveness of New Zealand exports in key markets, and encouraging companies to take advantage of the opportunities they have.

“To do this we need better coordination of New Zealand’s core strengths – which is the key idea behind the Government’s ‘NZ Inc’ country strategies,” says Mr Key.

The trade policy focuses on three areas:

• Pursuing further high-quality trade agreements by continuing to focus on completing successful free trade agreements out of our on-going negotiations, and concluding a quality TPP agreement while ensuring New Zealand’s best interests are served.
• Rolling out the NZ Inc Strategy programme, including the release of more NZ Inc strategies.
• Boosting trade missions by developing a comprehensive programme of Government-led trade delegations to China, India and Asean, and targeting at least 28 high-quality trade missions led by ministers over the next three years.

“Stepping up the tempo of trade missions has been driven in part by recent experience in Asia that has shown that Government-led missions are a vital part of opening doors in Asia for New Zealand businesses.

“While the Government can put in place the architecture to allow freer, trade, we must also take a role in ensuring New Zealand can make the most of those agreements. That is what these trade missions are about.”

Visit the policy at:
http://national.org.nz/files/2011/Trade_policy.pdf

National is committed to tourism playing a strong role in the growth of the New Zealand economy, Prime Minister and National Party Leader John Key says.

"Tourism is our second largest export earner and National will work hard to ensure it continues to add to the growth of the New Zealand economy," Mr Key says.

"Our focus will be on attracting more high-quality international visitors and encouraging them to spend more money while in our country. We will also continue to promote New Zealand as a film production destination.

"National will continue to work with key partners and stakeholders to develop new major facilities such as the Cruise Terminal and SkyCity International Convention Centre in Auckland to bring jobs and high-value business travellers to New Zealand.

"We will also rebuild Christchurch as a tourist destination and gateway to the South Island," Mr Key says.

"Over the past three years, National has increased the investment in marketing New Zealand as a destination offshore by injecting an extra $67.5 million. We've also given Tourism New Zealand its first baseline increase since 2005," Mr Key says.

"We've also launched the highly-successful SmartGate automated passenger processing facilities at Auckland, Wellington, and Christchurch International Airports.

"This system has been a phenomenal success. It has now processed nearly two million passengers, and more than halved the average processing time for passengers, making it a quicker and more convenient process.

"Despite the difficult conditions over the recent times with the Canterbury earthquakes, the volcanic ash cloud, and the global economic crisis, international tourism increased by 1.5 per cent and domestic tourism by 2.5 per cent in the year to March 2011.

"We will continue to grow our emerging markets in Asia and look for opportunities out of South America and open up more air routes to and from New Zealand. For example, this month China Southern started daily flights from Guangzhou to Auckland, which will be worth an estimated $150 million to our economy," Mr Key says.

Visit the policy at:
http://www.national.org.nz/files/2011/Tourism_policy.pdf

It's been another busy week on the campaign trail. In this edition of Key Notes I update you on some of the next steps in National's plan to build a stronger economy and a brighter future for Kiwi families.

Continue reading "Key Notes: National's Brighter Future Plan"

15 November, Auckland. Immediately following the launch event for the National Party campaign bus, John Key talks about today's policy announcements on welfare reform.

National has today set out its building blocks for a stronger New Zealand economy, by releasing a 120-point economic development action plan which complements its fiscal policy commitment to get New Zealand back into surplus within three years and to start paying down debt.

"This is about the other half of the economic story," says Prime Minister and National Party Leader John Key.  "The top-level plan for balancing the books, paying off debt and having a competitive tax system is critical for growth, but work at the industry level is also important."

"This paper outlines 120 key action points, some of which are new, some that are in progress, and some completed ones that are starting to show dividends. Together, they will help drive our industries forward so we can sell more to the rest of the world."

The paper covers National’s commitments to building productive infrastructure, improving regulation, developing a skilled workforce, and investing in innovation and trade.

"It is crucial that we have all our export industries working positively if we are to turn New Zealand into a more competitive economy that provides better jobs and growth for New Zealanders," Mr Key says.

As well as the 120 action points, Mr Key released the party's full Economic Development, Transport, and Energy policies.

"In the Economic Development area, one of our most exciting commitments is in the science and innovation space. We have previously announced our plan for an advanced technology institute, and today I am announcing the creation of National Science Challenges, which will find solutions to some of the most fundamental issues New Zealand faces in its future development.

"It is worth underlining that science is almost the only policy area that is being earmarked for new investment by National, outside the traditional expenditure areas of Education and Health," says Mr Key.

"In Transport, we are confirming our massive investment in roads and rail, in particular the RONS programme, by announcing our evaluation of four new RONS projects over the next three years. Our Energy and Resources policy confirms we will continue to develop this important export sector in an environmentally responsible way.

"National is absolutely committed to growing the New Zealand economy so we can provide more jobs and higher wages to help raise the standard of living of New Zealanders.  We will do this by providing the right economic incentives, and regulating responsibly to maintain safety and protect the environment, but without strangling businesses in red tape," says Mr Key.

Visit the policies at:

http://national.org.nz/PDF_General/Economic_Development_Action_Plan.pdf

http://national.org.nz/PDF_General/Economic_Development_policy.pdf

http://national.org.nz/PDF_General/Energy_and_Resources_policy.pdf

http://national.org.nz/PDF_General/Transport_policy.pdf

National will focus squarely on the safety and protection of families and the most vulnerable in New Zealand’s communities, through tougher sentencing and parole measures, Prime Minister and National Party leader John Key announced today.

National will introduce civil detention orders, which will protect the community from a very small number of sexual and violent offenders who are at high risk of re-offending when they leave jail.

“Under National, these people – who would pose a danger to communities – will be held under a civil detention order in a secure facility. This will ensure a number of the country’s very worst offenders will be kept away from the communities they have harmed until the Parole Board is convinced they are safe for release,” says Mr Key.

“We will also introduce screening of parole applications, so only those people who are willing to rehabilitate will get their day in front of the Parole Board. National is not going to cause unnecessary stress and upset to victims and their families by granting parole hearings to offenders who are clearly not prepared to change their behaviour on release.

“We’ve passed 18 new laws to improve public safety and the rights of victims in the past three years,” says Mr Key. “The wellbeing of our communities remains front and centre for National, which is why we’re committed to protecting New Zealanders from the country’s most dangerous criminals.

“We will continue keeping on top of gangs, further strengthen sentencing, bail and parole laws, and we’ll continue to confront domestic violence, and violent and sexual abuse of children and the elderly, to build a safer New Zealand.

“The laws we have introduced in our first three years in government are helping us to get on top of crime,” says Mr Key. “The overall crime rate is at its lowest level since 1982, and the rate of violent crime has decreased two years in row.”

Mr Key says National inherited a vastly different situation when it came to office in 2008.

“Crime was increasing, violent repeat offenders were being freed on parole, there was no focus on the victims’ role in the justice system, the courts were congested with a backlog of cases, and the number of prison beds needed was predicted to keep rising for the foreseeable future.

“Crime is now falling, victims’ rights are at the forefront and the number of prison beds we need has stopped rising.

“National will continue its track record of staying tough on criminals, protecting communities, preventing crime and putting victims at the heart of the justice system,” says Mr Key.

Visit National’s Law and Order: Protecting Communities Policy at:

http://national.org.nz/PDF_General/Protecting_Communities_policy.pdf

Prime Minister John Key has welcomed today’s announcement of the broad outlines for the Trans-Pacific Partnership (TPP) free trade agreement, and hailed it as an important step towards gaining greater access for New Zealand exporters.

The agreement was announced at a meeting of the nine countries in the TPP hosted by US President Barack Obama on the fringes of the APEC summit on Honolulu.

“This is a significant step in the TPP negotiation process,” says Mr Key. “Having all nine countries, including New Zealand, agreeing on the broad outlines for an agreement is very important.

“We have always pushed for lower trade barriers. It is good for our exporters, good for economic growth, and good for New Zealand.

“Today’s announcement signals that there is a strong political commitment from each country to conclude this free trade agreement.

“I look forward to the detailed negotiations to come making substantial progress towards the final goal of a high-quality, comprehensive trade agreement.”

Prime Minister and National Party Leader John Key today met with the Chorus management and technicians who are about to start the roll-out of ultra-fast broadband (UFB) to Napier and Hastings.

Under National’s UFB initiative, Chorus will roll out fibre enabling speeds of up 100 mbps-plus to a population of almost 125,000 in Hawke’s Bay, as well as just under 2,500 business premises, around 70 schools and more than 700 medical and other healthcare services.

Mr Key says ultra-fast broadband will provide a real boost to the Hawke’s Bay economy.

“Ultra-fast broadband provides opportunities for businesses to work in new ways, schools to connect students to resources around the globe, and for specialist medical expertise to be available in more places through technologies like high-definition video conferencing.

“One of the most exciting aspects of UFB is that it has the power to transform our schools. National’s plans will make New Zealand’s education system one of the most wired in the world and 11 Hawke’s Bay schools will be among the first to receive a fibre connection.”

Those first 11 schools are: Henry Hill School, Marewa School, Napier Central School, Napier Girls’ High School, Napier Intermediate, Nelson Park School, Onekawa School, Port Ahuriri School, St Patrick’s School, Westshore School and William Colenso College.

Mr Key says the UFB and associated Rural Broadband Initiative will mean students at school will have access to the best teachers and learning resources from anywhere in the world in real time.

“Because we’re delivering fibre to the door, ultra-fast speeds will also be available at home, driving increased connectivity and access to new media and applications,” says Mr Key.

“The fibre-optic network will be open to retailers on equal terms, boosting market competition.

“Wholesale prices will be as low as half the price of current offerings for business services, and residential customers will enjoy a vastly-improved service for as much as they currently pay, or less,” says Mr Key.

The deployment of Chorus fibre in Hawke’s Bay will commence before the end of this calendar year and will be fully completed before December 2019. All health premises and schools will be covered by December 2015, with 90 per cent of businesses also complete.

Visit the policy at: http://www.national.org.nz/files/2011/Broadband_and_Communications_policy.pdf

National is determined to keep reducing the number of deaths and serious injuries on our roads and will invest around $620 million a year from the National Land Transport Fund on measures to improve road safety, Prime Minister and National Party Leader John Key announced today.

"Over the past three years, National has made tackling our road toll a key priority as we work to build a safer New Zealand. We are on track for a record low road toll this year but there are still far too many preventable deaths on New Zealand roads.

The road toll for 2010 was the second lowest on record.  The 2011 toll, to the end of September, stood at 208, compared with 278 at the end of September last year.

"National will continue to make changes that build on the solid progress we have made in the past three years," says Mr Key.

"We will make common-sense law changes that target the groups and behaviours that have the most impact on our road toll, as well as make engineering improvements to make well-travelled routes safer.

"We will introduce legislation to stop drivers staying on their learners and restricted licenses for long periods so they learn to drive properly. We will also introduce a tougher restricted licence test and strengthen motorcycle licence testing.

Mr Key says National's $620 million investment annually on road safety over the next three years includes $295 million a year on safety improvements to our roads and $300 million a year on road policing.

"A big focus in the road safety area is making major improvements to our high-use highways through the Roads of National Significance programme.  We will be investing $12.2 billion on improving the highway system across New Zealand over the next 10 years," says Mr Key.

Visit National's road safety policy at:

http://www.national.org.nz/PDF_General/Road_Safety_policy.pdf

National’s environment and climate change policy will enable New Zealand to have a strong economy and a clean environment, Prime Minister and National Party Leader John Key announced today.

“Our environment is a valuable resource that we must preserve and protect. It’s a big part of our quality of life and it’s central to our international reputation, primary sector, tourism sector and wider economy,” says Mr Key.

“National’s practical environmental plan will see cleaner rivers and lakes, more trees, more renewable electricity, cleaner air, better management of our oceans and more recycling.”

Mr Key says National will also continue to make sure New Zealand does its fair share to reduce greenhouse gas emissions.

“Our climate change policies carefully balance the costs to households and businesses with the need to reduce greenhouse gas emissions.

“That is why we intend to slow the phasing in of the emissions trading scheme from 2013 to 2015, at which point we will look to align our scheme with that adopted by Australia. Any change to our emissions trading scheme will be fiscally neutral,” says Mr Key.

Mr Key says a major focus for National in a second term will be protecting and managing activities in our oceans.

“We will pass new legislation on managing activities in the Exclusive Economic Zone and Extended Continental Shelf by 1 July 2012. We will also provide new legislation to update the Marine Reserves Act 1971 to extend the purpose of marine reserves, to allow them beyond the territorial sea and to improve the way they are created.”

National will also introduce a new Environmental Reporting Act in 2012 so there is greater transparency in how we match up to New Zealand’s clean, green brand.

“This will enable our lakes and rivers to be ranked from the cleanest to the dirtiest. It will help us prioritise our lake and river clean up programme and monitor progress.

“National has made solid progress in improving water management, delivering cleaner air and addressing climate change in our first three years. This policy builds on that and sets an ambitious work programme for the next three years,” says Mr Key.

Visit the policy at:
http://national.org.nz/PDF_General/Environment_and_climate_change_policy.pdf