Phil Twyford

Auckland Issues spokesperson

18 November 2010 Media Statement

National in denial over water privatisation


Labour says the National Government has misled the public over water privatisation provisions in the Local Government Act 2002 Amendment Bill passed this afternoon.

Labour MP Phil Twyford said the Government had tried to portray the water privatisation changes as merely giving cash-strapped rural councils private sector help to build water infrastructure.

“The Government is in a state of denial. They think that by saying it is not privatisation will make it so.

“In fact, this bill would allow Auckland’s billion-dollar water company to be contracted out to the water multi-national United Water for 35 years, without the community being consulted first.

“Not only does this law allow private companies to own new dams, pipelines or treatment stations built under one of these contracts. The Government has amended the Bill to explicitly allow pre-existing infrastructure to be sold to private interests during the contract.

“Unbelievably National continues to deny this law change opens the door to privatisation.

“This Bill also takes away the rights of citizens to be consulted on many important matters by their Councils. Mr Hide claims to promote transparency and accountability but in reality he is doing the opposite.”

ENDS

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