Source: Radio New Zealand
New Zealand First leader Winston Peters. RNZ / Mark Papalii
Winston Peters says the “last thing we should do is go and panic” and make a classic mistake “based on blind ideology” in response to Air New Zealand’s financial loss.
The ACT party is questioning whether the government should retain its majority share in the company, as the Prime Minister signals the potential for a conversation about asset sales in this year’s election.
But the New Zealand First leader said “politicians should know what they’re talking about” before suggesting a sale.
On Thursday, David Seymour floated the idea after the company posted a bottom-line loss of $40 million in the six months to December.
“Get woke, go broke,” he said, “We hear about electric planes, glossy reports on climate change, paper cups in the Koru lounge. What they can’t seem to do is take off and land on time.”
ACT leader David Seymour. RNZ / Mark Papalii
The Prime Minister brushed off questions about it, saying there would be no asset sales this political term.
But New Zealand First has long opposed selling off state-owned assets.
Peters took to social media to acknowledge Air New Zealand needed to start being on-time and reducing regional costs, but said calls to sell shares when the airline market was in a downturn were “economic lunacy”.
He pointed out airlines were struggling worldwide, partly because there were not enough engines for the aircraft. He said no one had said anything about selling the airline when it had posted a profit.
“Sometimes there’s a downturn, but we can get on top of it.
“We should not go back to the foolishness of Labour and National selling off assets in the past.”
Peters said the added value of Air New Zealand being “owned by us” went to taxpayers and the New Zealand economy.
If it was owned internationally, that value would go to a foreign economy and New Zealand would be used as a place for “economic exploitation”.
“It’s clear as daylight.
“The former CEO warned us of this two years ago, so politicians should know what they’re talking about.”
He said it was a conversation for the upcoming election.
Labour’s finance spokesperson Barbara Edmonds also rejected the idea of selling the airline.
Labour’s finance spokesperson Barbara Edmonds. RNZ / Samuel Rillstone
She acknowledged performance mattered and the board must be accountable for that, “but a short term loss doesn’t actually justify selling a strategic asset and a really key part of New Zealand’s infrastructure”.
“The real taxpayer risk would be losing control of regional routes and international connectivity if ownership shifted offshore.”
She also challenged the Deputy Prime Minister to explain to regional communities how selling it would guarantee connections for their region.
The Greens co-leader Chlöe Swarbrick said asset sales were the very reason New Zealanders’ bills were so high, and that privatisation enriched shareholders at the expense of everyday people.
“That’s when profit comes first – passengers, workers, and regional accessibility comes last.”
She said the Greens had always believed assets built by New Zealanders should remain in public hands.
“The Co-Deputy Prime Minister is currently selling more of the poison as though it were the medicine.”
Greens co-leader Chlöe Swarbrick. RNZ / Reece Baker
What do New Zealanders think?
RNZ spoke to people in Wellington on Thursday evening in the after-work rush hour.
“I think it’s important that we have an airline that works well for our country. We need to be able to get around.”
“As a consumer, it’s disappointing that they have such high air prices. I think there’s some fundamental issues around that. It’s a tough business, but privatising isn’t something that I personally or politically would ever want to see happen with an asset like that.”
“It’s our national airline, so probably it makes sense to keep it because we really can’t afford for it to go under, can we?”
“I do love flying Air New Zealand. It’s a great airline!”
“We’ve got to hold on to it. We’ve sold a lot, and it’s not really been of benefit. It’s a short term solution.”
“It depends on who’s gonna own it, right? I don’t really want someone who doesn’t give a shit about the environment, and will just keep charging high prices for flights.”
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– Published by EveningReport.nz and AsiaPacificReport.nz, see: MIL OSI in partnership with Radio New Zealand
