8. Dr RUSSEL NORMAN (Co-Leader—Green) Link to this
to the Minister of Finance
Does he agree with Secretary to the Treasury John Whitehead’s comments that the Government should remove overseas investment screening for all but the “most sensitive” of items; if not, why not?
Hon BILL ENGLISH (Minister of Finance) Link to this
The Government has been looking at the Overseas Investment Act to see whether it contains the right balance between the protection of New Zealanders’ vital interests, both economic and landscape, and whether the processes are as cheap and effective as they should be. Screening needs to recognise that New Zealand needs some overseas capital. We have billions of dollars of it here now, so we can access skills and technology and investment for new jobs, but also we need to recognise public concerns about those situations, whether the benefits of overseas investment do not outweigh the costs.
Is he aware that the National Business Review has reported that Andrew Petersen of Bell Gully is working on behalf of overseas investors attempting to buy Crafar farms; if so, does he have any concerns that that is the same Andrew Petersen of Bell Gully who is advising the Government on rewriting overseas investment rules?
It is possible. I have not seen that publication or checked the facts. We did follow the common-sense course of asking those people who use the Act a lot what could be done to improve it. Ultimately it is Cabinet, though, that will make any decisions about any change in our overseas investment rules. In the meantime the screening process remains very thorough, and consistent with the Overseas Investment Act changes that were made under the previous Government.
Was Andrew Petersen of Bell Gully present when the Minister of Finance met the advisory group of corporate lawyers to discuss rewriting our overseas investment rules, on 18 February this year?
It is possible that he was. I have to say that lawyers all tend to look the same if one meets them in a room, and I could not guarantee whether it was him.
Mr SPEAKERI apologise to the member. If he could start the question again; I could not hear it, because of interjections.
Does the Minister stand by his answer to written question No. 7033 from 30 April this year, where he said he had not met with any lawyers acting for Natural Dairy (NZ) Holdings, such as, possibly, the same Andrew Petersen from Bell Gully, and why is he refusing to release any information under the Official Information Act about his meeting on 18 February with the corporate lawyers advising the Government on changing the rules on foreign investment?
We are getting into speculative territory here. I have absolutely no knowledge of whoever those who attended that meeting were acting for. It is unlikely they were acting for Natural Dairy (NZ) Holdings, which I understand has shown up only in the last couple of months in New Zealand. But I am quite happy to deal with any questions that the member has. In respect of the other issues, the Government is still considering its policy changes.
Te Ururoa Flavell Link to this
Tēnā koe, Mr Speaker. Talofa lava. Does he agree with the Landcorp chair, Jim Sutton, that the proposal from the China Jin Hui Mining Corporation, recently renamed Natural Dairy (NZ) Holdings, to buy the 16 dairy farms formerly owned by the Crafar family included “ ‘reputational risks’ to the New Zealand dairy industry and ‘New Zealand Inc’ ”; if so, what will be done to respond to these risks?
Any apparent risks around this particular purchase will be dealt with thoroughly by the existing processes of the Overseas Investment Office and the Overseas Investment Act 2005.
Te Ururoa Flavell Link to this
Is he aware that one of the Crafar farms is part of the Maraeroa A and B blocks, over which Ngāti Rereahu has a settlement interest, and what processes of due diligence are followed to ensure that iwi are fully informed and involved before any deals are approved by the Overseas Investment Office?
It is my understanding that the Overseas Investment Office goes through exactly a set of due diligence processes to ensure that all Treaty interests and claims are taken into account before any approval can be given.
I seek leave to table the Official Information Act answer from the Minister of Finance about the February meeting of the working-group on overseas investment.
Hon David ParkerDoes the Minister agree that infrastructure assets with monopoly or oligopoly characteristics ought not to be sold to overseas interests?
I understand that people may get concerned about overseas purchase of those assets, although I note that on his watch the previous Government approved—and it may even have been the member himself—the purchase of the Wellington electricity lines network by an overseas buyer.
Is the Minister aware that controls on the purchase of land by overseas interests have been tightened recently in Australia, and does his Government intend to follow suit?