10 reasons DEUN opposes Asset Sales
Electricity is an essential industry.
Domestic Energy Users Network (DEUN) opposes any sale of electricity assets.
- Electricity is an essential service. Everyone in New Zealand must be able to meet their electricity needs.
- The electricity industry is part of our national infrastructure.
- Electricity companies own infrastructure that is amongst the most important to the national economy.
- Selling electricity industry assets means losing a guaranteed source of public revenue and future wealth generation.
- Past asset sales have seen the assets end up wholly or mainly in foreign ownership. Essential industry asset sales undermine both sovereignty and public accountability.
- Recent legislation has further weakened the protection of domestic consumers from the market power that pervades the electricity industry.
- There is no evidence that asset sales will bring better service or lower prices for domestic consumers. Past sales have resulted in asset stripping, run-down infrastructure, higher costs for domestic consumers, and/or worse service.
- Any further loss of public ownership would:
- make the electricity industry even more difficult to control in the interests of domestic consumers and the nation as a whole, and
- undermine the potential of the electricity industry to be run differently, to serve the interests of the country as a whole instead of to maximise profits.
- confirm the pre-eminence of shareholder interests over and above domestic consumer interests.
- prevent actions to assure affordable sustainable electricity supply to domestic consumers.
- Private owners have proved that they do not place a high value on affordability and sustainability, or on New Zealand's long-term national interests.
- Electricity industry assets are irreplaceable – there are no more Manapouris or Waikato Rivers. These asset sales are irreversible.