iMP, it’s because of two things really. Selling off 49% of assets from the Government is a transfer from all taxpayers to the upper classes. Also privitisation will mean higher power prices. Look at Contact Energy, always raising the power prices to fund more power projects.
Great to see the bitterness of class warfare raise its ugly head in our most egalitarian free country. Great to see a place for forelock-tugging, cloth-cap wearers who know their place which is clearly not to raise their standard of living through personal risk taking and investment in their own future.
Ross Calverley, if that is truly your attitude and rationale for opposing partial minority floats of a few revenue generating state enterprises then may I politely suggest that you are living in both the wrong century and the wrong country.
Personally I can’t wait for the opportunity to invest some of my savings somewhere other than in the bank but then I suppose people like Mr Calverley don’t have savings and will rely on my thrift and energy to keep them in a style to which they should not become accustomed
“Look at Contact Energy, always raising the power prices to fund more power projects.” It is called supply and demand Ross. Are you suggesting that new peojects should be funded from the mythical Government money (AKA taxpayer’s funding or the black hole of state borrowing)
@ rosscalverley… what exactly are the “upper classes”?…. do you mean new zealanders who have sensibly saved a few dollars and would like to invest it in quality assets that require further development, like powerstations. To me, your comment smacks of envy. There are plenty of sensible kiwis with money to invest and I think it is a bit “rich” of you to put a class label on them….. it’s funny you mention Contact when it has been one of the privatisation stars for sensible kiwi savers. If you brought the mimimum parcel of about 400 Contact shares when it listed it would have cost you $1200. Those shares are now worth $2,272 and you would have received $1,200 in dividends (i.e. your initial investment back). For those who reinvested dividends the return is about $1,000 more…… about 80,000 sensible New Zealanders have kept their initial investment in Contact… I think that makes them classy investors – is that what you mean by “upper class”?