Labour leader Phil Goff said there had been price gouging and state dividends were too high. He said Labour’s version of the ETS – which would have involved price rises double National’s – would have come with compensation for the worst affected. But Mr Key and State-Owned Enterprises Minister Simon Power said the Government would not change its dividend policy.
Useful reminder that Labour’s policy was to double the cost of the ETS on power and fuel users. This adds to their record of power prices going up 64% in their last seven years of office.
But back to dividends from power SOEs. Labour took a staggering $3.1 billion in dividends during a period of record surpluses.
Now when the Crown’s books face massive deficits, and we are borrowing $230 million a week, Labour thinks these dividends should be reduced.