Transtasman Political Letter – 26 April Digest

26th April 2007
PM dismisses talk of early election, in wake of big-spending budget...
And rejects OECD criticism...
As dollar and interest rates keep climbing, NZ could face a hard landing...
A carbon tax ruled out, but will a cap-and-trade system do the climate change job?...
David Caygill could be next Electricity Commissioner...
And hopes power blackouts are in the past as new power plant is commissioned at Huntly.

No Early Election In PM’s Calculations

After protracted Cabinet meetings last Thursday to deal with budget issues, and again on Monday, Wellington insiders were speculating whether the Govt was clearing the decks for an early election in the wake of a big-spending budget.

OECD Gives NZ A Wake-Up Call

The latest OECD survey was a wake-up call to NZers, though the Finance Minister Michael Cullen was quick to pronounce it “reassuring.”

Big Challenges For Govt And Opposition

The OECD sees big challenges for NZ on its high current account deficit, persistent inflation and low productivity.

Carbon Tax Out, Cap-And-Trade In

Ruling out a carbon tax because both NZ First and United Future opposed it, the Govt has chosen a cap-and-trade emissions trading system as its primary climate change weapon.

CAPITAL TALK

The appointment of David Caygill as Chairman of the Electricity Commission is reported to be “imminent.”

Play Of The Week: Of Symbolism And The Dollar

No, No NO! Our dollar is already too Australian. It leaps up and down like a blasted hyperactive kangaroo which has spent too much time at the local ‘P’ Lab.

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