WYSIWYG NEWS, 4 June, 2007

[news at wysiwygnews.com]

Subject: 4 June, 2007
----- WYSIWYG NEWS ------------------------------
Copyright, Brian Harmer. 

Late again. As you will see, I have been busy, and can get a note from my Mum to prove it. 

Last time I wrote (on 13 May) I said "It has been an eventful period in a number of ways." I should have waited to see if the eventful period had run its course. On Tuesday night, around 10 pm, I was phoned by the Critical Care Unit at Wanganui Hospital to tell me that my mother was in their care and was not responding to treatment. Mary and I hastily packed bags, cancelled appointments for the next few days and jumped into the car. It's a different journey in the dark. And of course, when you are in a hurry, the amount of roadworks taking place under floodlights seems to increase. A nice lady who made us coffee at the BP station in Foxton helped the journey and we were at the hospital by 1:30 am. Critical care units are not my favourite places at any time, and most of us experience them when someone near and dear is in trouble. My mother was definitely in some trouble, but in typical mother fashion, was more concerned that we were being inconvenienced. After checking that she was not in imminent danger, we settled down for the evening at her house just across the road. Back again the next day we renewed our acquaintance with the Wanganui hospital and checked on the patient. Not good at all to begin with, but as time passed most of her problems were able to be resolved. After two days she was well enough to be transferred to a general ward, so we could return to Wellington to sort things out at home and work. On Saturday we were back again to check progress and I am happy to report that my mother is slowly recovering and is now on the road to something like normalcy. Mary stayed on longer to battle with the various forces that allocate resources to the ongoing care of the elderly, and it's as well that she did. It just amazes me how often you have to repeat essential facts, even in successive meetings with the same person. I swear some of them throw their notes away the minute they leave you. This is not to say that there aren't some really good staff, especially among the nurses at the hospital. 

Anyway, another week has passed and Mum has been discharged. Mary and I went up to Wanganui this weekend (which is a long weekend for the official observation of the Queen's Birthday), and have brought her and her visiting sister-in-law back with us to Wellington. Except, as usual, nothing is that simple. The water pump on my car failed, and the resultant overheating has caused a failure in the head gaskets and the need for the cylinder heads to be planed. The combination of long weekend and provincial engineering services mean that my car is off the road for two weeks. We had to rent a car to get home.  

After my last post, I was rightfully corrected by my darling elder daughter who reminded me that she and Mark have been engaged for a full five months (not three as I reported). Sorry. My fault.  
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Any text above this point, and all subsequent material in parentheses, and concluded with the initials "BH" is the personal opinion of Brian Harmer as editor of this newsletter, or occasionally "GS" will indicate an opinion from our editorial assistant. In all cases they are honest expressions of personal opinion, and are not presented as fact. 

All news items (except where noted otherwise) are reproduced by kind permission of copyright owner, Newstalk ZB News. All copyright in the news items reproduced remains the property of The Radio Network Limited. 

Formatting this week is sponsored by Amanda Peet in Canada. Many thanks again Amanda. 
---- 
On with the News. 

Monday, 14 May 2007
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DOC DEFENDS 1080
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The Department of Conservation has put up a defence for 1080 poison at the opening of hearings into whether it should continue to be used. Director general Al Morrison says without the poison more than half the country's present conservation land will be left to the ravages of possums, rats, stoats and other pests. He says the aerial application of 1080 today is precise, using GPS navigation. Mr Morrison says the long-term health of New Zealand's native flora and fauna is at stake.

SEALEGS POSITIVE ABOUT NEW FACTORY
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Listed amphibious boat manufacturer Sealegs, says its expanded factory on Auckland's North Shore will enable it to increase annual production by 400 percent. CEO David McKee Wright says Sealegs is now set to enter new overseas markets with confidence it can better meet the delivery expectations of its customers. He says the company has already taken orders for around 50 boats this year but was not able to keep up with worldwide demand using its previous premises. Mr McKee Wright says the new plant will enable the company to build as many as 200 boats a year, four times the capability the old factory.

(I always associate that brand with an anti-travel sickness pill. - BH)

DEMAND FOR ANTIBIOTICS DROPPING
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More New Zealanders are saying they are avoiding using antibiotics for a cold or flu. In a Colmar Brunton poll of 500, 53 percent said they expect to receive antibiotics for a cold or flu, but that is down from 59 percent last year and 79 percent in 2005. The findings coincide with a drop in actual antibiotic prescriptions and have been released at PHARMAC's launch of its 2007 Wise Use of Antibiotics campaign. PHARMAC Medical Director Dr Peter Moodie says the best way to treat a cold or flu is to rest and drink plenty of fluids. He says misusing antibiotics can lead to resistance to the drugs. Dr Moodie, says there is still room for improvement with a quarter of respondents saying they are disappointed if they are not given antibiotics for a cold or flu.

U-TURN FROM NATS ON CLIMATE CHANGE SAYS GOVT
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Labour is welcoming what it interprets as a change of heart on climate change from the National Party. National has released its climate change policy which includes a commitment to reduce the country's carbon emissions by 50 percent by 2050. Finance Minister Michael Cullen says National's leader John Key is saying nothing new and is merely echoing what Labour has been saying for some time. He claims Mr Key has gone from being an armchair sceptic on climate change to realising the public sees it as a major issue. Dr Cullen says National needs to front up about its proposed changes to the Resource Management Act and whether its cap and trade system would mean a rise in petrol and diesel prices. He is also questioning National's policy on agricultural emissions. Dr Cullen says the 2050 target is an easy one to promise, but harder to deliver.

(I wish people would get over the idea that a change of heart by the other party is a negative thing from which to score points. Evidence of non-rigidity is always welcome to me. - BH)

DISPUTE WATER RATE RISES SAYS GROUP
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The Auckland Water Pressure Group is angry about plans by Metrowater to increase water charges. Water bills will rise by 9.1 percent from July as Auckland city residents are told they will have to pay more to ensure future water supply. Group spokeswoman Penny Bright claims it is legalised extortion as the public has had no say in the decision. She is calling on Aucklanders to dispute the charges. The increase will add about $2 a week to the average household bill. It comes on top of a 33 percent rise in household rates.

GOVT CROWING ABOUT EMPLOYMENT RECORD
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The Government claims it has nipped unemployment in the bud. Associate Employment Minister Ruth Dyson says New Zealand is nearing a point of having a generation who will not know about unemployment. She says since Labour has been in office, the number of people on the unemployment benefit has dropped from 161,000 to just over 26,000. She says the cycle of unemployment has finally been broken with those fresh out of school, heading into proper training, apprenticeships and jobs, instead of onto the dole. Ms Dyson says despite an aging population, the total number of beneficiaries has dropped 35 percent in the last seven years.

CASH IN OLD BOMBS
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That wreck up on blocks on the front lawn could be worth $400 to you. The government is launching a pilot programme in an effort to get people out of their old cars and onto public transport. People will get $400 worth of bus and rail passes, in return for their old bombs. The vehicles will be scrapped and recycled. Auckland Issues Minister Judith Tizard will launch the scheme this afternoon.

(An old bomb, in kiwi parlance is a car that is either derelict, or barely roadworthy. - BH)

MATERNITY CARE CHOICES LACKING IN CAPITAL
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Concerns are being raised about the lack of maternity care choices available for Wellington women. There will be no GPs delivering babies in the Ngaio area with the retirement of Dr Denis Delaney. Local pregnant women now have to call an 0800 number to get a list of independent midwives who can oversee their care. But National MP Katrina Shanks says there is no guarantee they will get one. She says there simply are not enough midwives to go around and if one is not booked early in a pregnancy, the expectant mother could miss out. Ms Shanks says the next option is to go to the hospital where patients see any midwife who happens to be on that day or to see a specialist which costs around $2,500. She says Wellington mothers are missing out on the choices of maternity care they deserve to have. The situation is being blamed on over-work and the fact that few GPs are coming in to the system wanting to deliver babies.

CAPITAL UNDER PRESSURE FROM TOURISM DEMANDS
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Business leaders say the capital's infrastructure needs a total overhaul to cope with skyrocketing tourist numbers. New figures show more tourists are visiting Wellington than ever before and questions are being raised about whether the city's aging infrastructure can handle the demand. Wellington Chamber of Commerce Chief Executive Charles Finny says getting around the city can be a nightmare. He says east-west connections are poor, the rail network needs to be double-tracked and electrified and the stretch of road between the airport and the city is the most congested in the region. He says despite that, the city needs to push for more long haul flights which will further boost visitor numbers. Mr Finny says there has not been decent investment in Wellington's infrastructure since the late 1970s. He believes it is not just a Wellington issue, but that central government needs to chip in as well.

INTEREST RATES SET TO DAMPEN HOUSING MARKET
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House values are still rising, recording their third straight increase in April, but higher interest rates are expected to slow the market over coming weeks. Quotable Value's residential house price index is up 10.6 percent compared with the same time last year. The average national sale price for April rose slightly on March, to reach $366,000. QV says the market continued unabated in April, on the back of stronger-than-expected migration, and continuing high employment. However spokesman Blue Hancock says higher interest rates and the arrival of winter means the market will start to slow. House prices in Wellington rose 13.4 percent on a year ago, Christchurch rose 11.8 percent and Auckland was 6.6 percent higher.

CLARK GETS SLAP IN POLLS FROM ANTI-SMACKING BILL
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Helen Clark's support of the anti-smacking bill may have cost her the position as preferred prime minister. The latest TV3 political opinion poll shows 32 percent of respondents want to see National leader John Key as prime minister, two percent more support than for Miss Clark. It is the first time a National Party leader has been the preferred prime minister in a poll since Jenny Shipley was in power eight years ago. Newstalk ZB's political editor Barry Soper says the majority of the population was against changing section 59 of the Crimes Act and he believes the fact Miss Clark backed the bill, has worked against her. He says it was due to Mr Key's efforts that a compromise was reached. National also overtook Labour in the party vote, up from 42 percent support in March to 48 percent. Labour lost eight points to 36 percent. The Greens are on eight percent support, a gain of two points while the Maori Party rose one point to 3.7 percent. New Zealand First gained 1.2 percent to 2.4 percent.

(And it keeps getting worse from there on for Labour. There seems a certain inevitability to the next election - BH)

Tuesday, 15 May 2007
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BAIN FREED FROM JAIL
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David Bain is free after 12 years behind bars. He was granted bail by Justice John Fogarty at the High Court in Christchurch this afternoon. David Bain had served the bulk of a 16-year sentence for the murders of his parents and three siblings in Dunedin in 1994. His conviction for the murders was quashed by the Privy Council on Friday. About 70 of his supporters crammed into the courtroom today to watch from the public gallery. Their delight at the decision was obvious. David Bain was dressed in the clothes taken to him in prison by long-time supporter Joe Karam, whose Te Kauwhata house he is set to move into now he has been freed. The Solicitor General is to decide whether David Bain will face a retrial.

(Pretty much the first 20 minutes of all news broadcasts, and the front page of every newspaper was devoted to this, with sustained interest throughout the week. - BH)

BUMPER CRUISE SEASON EXPECTED
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New Zealand's image as a safe destination is one of the factors behind what is expected to be the biggest-ever cruise season. The International Cruise Council has released its first ever study on the New Zealand cruise industry. It shows more than 25,510 New Zealanders took a cruise holiday last year. Sixty-five percent cruised New Zealand, Australia and the Pacific, 13 percent took cruises in Europe and the rest in Asia and Alaska. Cruise Council spokeswoman Linda Halliday says Americans in particular, like cruising to New Zealand because they see it as a safe destination. Its clean, green image also appeals. Ms Halliday says New Zealand port companies have been very responsive to improving their facilities to take the variety of cruise ships which now sail. She says there is an injection of millions of dollars into the local economy when cruise ships visit and that acts as an incentive to ports. New Zealand is expecting its best ever cruise season this year.

ORGANIC HERBICIDE SCORES ANOTHER DEAL
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Listed sharemarket minnow Certified Organics has secured another $500,000 deal with the South Australian Government to provide organic herbicide. The pine extract-based BioSeed Eradicator is used to kill seeds from the aggressive branched broomrape, which are buried under the water. CER says Broomrape is considered to be one of the world's most devastating weeds as it has no ability to generate its own food and survives by sucking nutrients out of a host plant, leading to high levels of crop loss. The company says its herbicide does not harm earthworms or soil and breaks down into a naturally occurring oxide within days of application. The contract is a continuation of the deal struck in 2006 which saw total sales eventually top $1 million. CER says its sister business New Zealand Nature is also recording growth. The company has recently declared its first annual operating profit and aims to raise up to $3.5 million through a share purchase plan for current shareholders.

RED UMBRELLA VIGIL
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Opponents of the Therapeutic Medicines Bill will take their concerns to Parliament today. The legislation aims to establish a trans-Tasman regulatory system on supplementary medicines. Natural health advocates oppose the bill claiming it will outlaw, or at least substantially increase costs, for vitamin products. A group calling themselves the Red Umbrella Vigil will rally outside Parliament buildings from midday.

UNIVERSITY WANTS STRONGER RELIGIOUS VOICE
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Otago University's Religious Studies department wants a stronger voice in the debate of public issues. The University has set up a chair in theology and public issues, designed to offer theological advice in areas where it may not have been previously considered. Professor Paul Trebilco says a number of modern topics can be appropriately dealt with from a religious perspective and the department will be looking to enrich the debate around the environment, globalisation and race relations. Prof. Trebilco says the Christian tradition was part of New Zealand's foundation and still has much to offer. He hopes the position will be filled within the next year.

Wednesday, 16 May 2007
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ANTI-SMACKING BILL PASSED INTO LAW
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Green MP Sue Bradford is celebrating tonight, following the passing of her anti-smacking bill. MP's voted 113 to seven in favour of the law change. Sue Bradford says she is thrilled at the result, and never dreamt it would pass with so much support. Gordon Copeland says the anti-smacking bill is the catalyst for his departure from United Future. The MP says he wants to be in a party which listens to the people and has a clear commitment to repealing the bill. Mr Copeland says his new party, a reformed Future New Zealand, will contest the 2008 election. He says it will be a centre party which will develop robust policies across all portfolios with an emphasis on both social justice and building strong families based on Christian values. Mr Copeland says he will co-lead the new party with former United Future MP Larry Baldock. United Future leader Peter Dunne says he heard speculation such a move might happen last week and raised the matter with Mr Copeland, who told him he was staying with the party. He found out about Gordon Copeland's decision by phone at midday today and it came as a complete surprise. Mr Dunne says people can judge Mr Copeland by his actions. Mr Copeland's resignation is not sitting well with one of Mr Copeland's other former United Future colleague in Parliament. MP Judy Turner appeared visibly upset at the decision. "I am a bit devastated. It is really sad. Twenty-four hours from now you are going to see the impact that three people can have on the outcomes of a Government and he is prepared to walk away from that." Mrs Turner and Mr Dunne are now only two remaining United Future MPs in Parliament. National Party front-bencher Gerry Brownlee is predicting United Future will now disintegrate and MP Judy Turner will also walk. He says Mr Dunne's only way of holding onto his seat will be to now distance himself from the Government.

HOUSE PRICES FLY HIGHER
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No end in sight for home buyers, as house prices head ever skyward. The latest figures released by the Real Estate Institute show nationwide prices jumped by just over $5,000 on average last month. This was driven largely by the Auckland market, where prices jumped by $9,000 in April. The figures also show a large drop in the number of sales, down almost a thousand from March.

ANOTHER CANTERBURY MANUFACTURE MOVING OFFSHORE
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There has been another major blow for Canterbury's manufacturing industry. Dynamic Controls is being relocated offshore. That means a further 200 jobs will go over the next 18 months. Dynamic Control's move to China follows a growing list of firms moving offshore, including Fisher and Paykel, Click Clack and possibly Sleepyhead. Jobs have also recently been lost at long-standing Christchurch firms G L Bowron, Feltex and Tip Top. Canterbury Manufacturers Association CEO John Walley says it is no longer cost effective for the companies to retain large production facilities and employment bases in the country. He says long-term the retrenchment of manufacturing will only make the export deficit worse and cause the loss of skills.

VIC UNI SETS UP PROJECT FOR JUSTICE
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An Innocence Project is being set up at Victoria University, attempting to ensure serious miscarriages of justice do not happen again. The first such project was established in New York in 1992 and went onto exonerate more than 200 people who were convicted of crimes they did not commit. Project director Dr Maryanne Garry says the Privy Council's quashing of David Bain's convictions shows the need for such an organisation to be set up. She says it is particularly important since no New Zealanders will be able to turn to the Privy Council for future decisions.

MP TO QUIT UNITED FUTURE OVER SMACKING BILL
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MP Gordon Copeland is set to quit United Future over the anti-smacking bill. Newstalk ZB political editor Barry Soper says Mr Copeland will stay on as an independent. He says the MP is planning to start a new political party with a former one-term United Future MP Larry Baldock. The catalyst is the anti-smacking bill, which will get its final reading today. Both men vehemently oppose the amendment watering down the bill. Barry Soper says it leaves the Government in a precarious situation, essentially being governed itself by the Greens and the Maori Party. He says with the recent defection of Taito Philip Field and now Mr Copeland the Government is in a true minority.

(I have known Mr Copeland pretty much since we moved to Wellington in 1980 - he was a near neighbour at the time. Though I don't share his politics, I have always been able to respect his integrity. As persons, I have admired him and his wife. I fear he has got it seriously wrong in this instance. Any list MP who quits their party absolutely should resign immediately as an MP. They are in parliament only because the electorate indicated a desire for that number of members from that party. The decision to remain as an independent subverts the will of the voters. - BH)

TOURISM INDUSTRY TO TACKLE CLIMATE CHANGE
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The New Zealand tourism sector is being urged to "walk the talk" on climate change. The Tourism Industry Association has released its draft strategy through to 2015 and it identifies global warming as one of the key issues needing to be addressed. Chief Executive Fiona Luhrs says more and more travellers are expressing concerns about global warming and taking the environment into consideration when making their plans. She says New Zealand is in a great position to tackle the issue, with a third of its land in conservation management, renewable energy supplies and a strong commitment by many operators. She says the industry has to make sure it is walking the talk. Ms Luhrs says it is not acceptable to drive inefficient vehicles and manage waste as poorly as the industry does in many areas, and she is calling for it to clean up its act.

RESIDENTS MAY APPEAL WIND FARM DECISION
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Makara residents may appeal the Environment Court's decision to give the green light to a massive wind farm on Wellington's west coast. Meridian Energy has been granted permission to erect 66 turbines, although the company says it needs 70 for the project to be economically viable and to supply most of the capital's domestic power needs. Jenny Jorgenson from the Makara Guardians says the group is disappointed about the decision and will now consider whether they have grounds for an appeal. She says around half of the turbines will be close enough to 135 houses to have noise and visual impacts, which sets a very dangerous precedent for similar projects around the country. Ms Jorgenson says if the wind farm goes ahead, it will have a huge impact on Makara residents' quality of life. She says overseas experience of similar projects show that even if locals want to move away, they will have trouble selling their homes.

(It's a cliché, I know, but I regard this as NIMBYism of the worst kind. New Zealand needs those turbines, doesn't want coal or nuclear power, and objects to more hydro dams. Time for action - BH)

NATS CRITICISES EMPLOYMENT LAWS
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The latest strike action to afflict the health sector is being denounced by the National Party. The Service and Food Workers Union has issued more than 4,000 strike notices covering almost 3,000 hospital staff seeking pay parity and a national collective agreement. National's health spokesman Tony Ryall says it is just the latest in a never-ending stream of industrial action that is stopping hospitals from providing the service New Zealanders want and need. He claims the Government is in a trap of its own making as its employment laws encourage such industrial action.

(Critics of strike action never seem to question the appropriateness of the management position that provoked it. - BH)

LACK OF COMMUNITY LEADING TO YOUTH VIOLENCE
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A psychologist believes more and more young people are committing crimes because they do not have a sense of community. A Levin police officer is fed up with out of control youths after the arrest of three teenagers for assaulting police and smashing the window of a patrol car, while a group of around 50 stood alongside jeering and spitting at police. Victoria University psychologist James Liu says an increasing number of young males are pushing the boundaries of authority in a destructive way. He says police are no doubt feeling the impact of those challenges.

FARMERS HOPE FOR BUDGET SPEND UP
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Farmers have high hopes the budget will help them tick off some big boxes on a long-standing wish list. The Government has signalled it intends to focus on a business tax package worth more than $1 billion a year in tomorrow's announcement. Federated Farmers is confident the government will also announce more funding for agricultural research, science and technology. Vice-president Don Nicholson says such spending is the only way to grow the agriculture business into the future. He hopes the initiatives will provide good value for money. Prime Minister Helen Clark has indicated there will be no personal tax cuts in the budget.

Thursday, 17 May 2007
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ARC HAD BIG PLANS FOR PETROL TAX GAINS
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The Auckland Regional Council has unveiled an ambitious plan to upgrade the region's public transport in the wake of today's budget announcement. The Government has paved the way for a fuel tax of up to 10c a litre to be imposed to pay for the upgrade. The ARC is calling this the biggest change to transport in the city since the Auckland Harbour Bridge was built. It says 11 train stations will either be upgraded or built in the next two years, to increase rail services mainly from west Auckland. From north to south, bus services will be revamped to bring more people into the city from the North Shore and take them to Manukau. It is hoped more Aucklanders will also cross the harbour using increased ferry services from the North Shore and Half Moon Bay.

BUDGET DELIVERED
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The Finance Minister Michael Cullen is delivering his eighth budget, which includes tax breaks for the KiwiSaver scheme, a regional fuel tax, a tax reduction for businesses, an increase in health funding and more teachers and new schools. KiwiSaver: Employee contributions to KiwiSaver will be eligible for up to $20 a week in tax credits. From next April employers will be forced to contribute one percent of a person's gross salary to their KiwiSaver account. The rate will increase by one percent each year until it reaches four percent. Employers can get back some of that as a tax credit, but only to a maximum of $20 a week. Dr Cullen is confident the move will improve the country's poor savings record. The Government claims KiwiSaver will provide employers with an extra wage bargaining tool and improve the competitiveness of New Zealand employers in the global labour market. Business Tax Reform Package: There will be a reduction in the headline rate of corporate tax from 33 percent to 30 percent from April 2008. Dr Cullen says businesses have long argued that such a reduction will help to boost productivity and competitiveness, attracting more foreign direct investment increasing labour productivity and wage rates. The cost of the reduction is expected to be $675 million in the first full year, 2008/09. $87.8 million of new funding over the next four years will be provided for a market development assistance scheme, to encourage firms to take new products to market in an effort to boost exports and productivity. $53 million will be invested over four years into industry training. The total cost of the business tax reform package is estimated to be $1.06 billion in 2008/09 rising to $1.13 billion in 2010/11. Transport: The Government says a 10 cent a litre regional fuel tax on petrol and diesel for Auckland motorists will raise $120 million a year and support debt of around $1.5 billion over 30 years. The tax will be put toward the electrification of the rail network and improving the quality of services including buses and ferries. Up to five cents per litre will be spent on roading projects. Dr Cullen says all regions will be able to consider their own regional fuel taxes, which could be an option in Wellington to build the Transmission Gully bypass. The tax will be paid by oil companies to Land Transport NZ. It will be implemented as soon as practicable. The Government is budgeting $600 million over six years as its contribution to the urban rail programme in Auckland and Wellington. An additional $50 million will be spent on general track improvements to the national rail network over 2008 to 2010. Health: In total, the budget includes a $750 million annual increase to health funding. The disability and aged-care sectors will receive $441.7 million over four years, with recognition pay rates in both the sectors need to be increased if quality staff are to be recruited and trained. The residential care sector will be allocated $150 million. A further $81.2 million will be given to home-based support. Health Minister Pete Hodgson says the Government wants to ensure older people with disabilities who want to remain in their homes, can do so. Mr Hodgson says the pharmaceutical spend will be given a $80 million boost over four years, to enable the cost of most community prescriptions to be kept below $3. He says it will also go towards developments in hospital-based drug therapy.

KEY: IT IS A MONEY-GO ROUND BUDGET
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The Finance Minister is defending his decision to introduce compulsory employer contributions to the KiwiSaver scheme. Under the budget Michael Cullen has unveiled this afternoon, employees will get a tax credit of up to $20 a week. There will also be compulsory matching employer contributions from April next year. Dr Cullen says the rate of employer contributions will increase by one percent each year until they reach four percent. He denies employers will feel resentful, saying the costs to them are quite small and many were moving to thinking about providing employer contributions anyway. National leader John Key is labelling it the "money go round budget", pointing out that while business is getting a billion dollars in tax cuts it is losing another two billion elsewhere. He says instead of a tax cut, Aucklanders are getting a tax increase in the form of a petrol tax to pay for rail electrification. He says it is also clear workers will not get a pay increase for years, because of the compulsory employer contributions to KiwiSaver. Mr Key says he has received advice that 50 percent of workers will not take the KiwiSaver scheme up, because they cannot afford to. Big business is also unimpressed. Business Roundtable executive director Roger Kerr says while a reduction in corporate tax from 33 to 30 percent is welcomed, it is not going to stop Kiwis heading across the Tasman for better wages. He says the tax reduction is a baby step. Mr Kerr says there is nothing in the budget to contribute to productivity. With a growth rate of 2.5 percent predicted over the next four years compared with Australia's four percent, Mr Kerr says the income gap between the two countries is set to widen. The National leader says Dr Cullen has failed as Finance Minister. Mr Key shouted across Parliament that he now no longer cares who presents next year's budget for the Government. "I do not know whether it will be Michael Cullen show reads Budget 2008 and I do not care. Because I know who will read Budget 2009 and it is going to be Bill English. And is going to be a lot better budget than that." His criticism has been dismissed by Prime Minister Helen Clark, who labelled Mr Key a lightweight and said his budget response speech "makes a bird bath look deep".

FARMERS KEEN ON SHEEP INDUSTRY SOLUTIONS
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Sheep farmers are keen to work with meat companies to find solutions to problems in the sheep meat industry. Keith Kelly from Federated Farmers Meat and Fibre industry group says farmers are producing high quality lamb but the returns are poor and many will make no profit at all this year. He says many sheep farmers are fed up with the low prices paid by meat companies and are questioning their commitment to the lamb trade. Mr Kelly says farmers are willing to work with meat companies to boost prices and improve transparency, procurement and marketing. Federated Farmers has invited representatives of the three companies to meet with the council's at its annual meeting in mid-July.

HOSPITAL LOCK-OUT THREAT SLAMMED BY UNION
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A threatened lock-out of hospital workers is being described as bully boy tactics. The Service and Food Workers Union is unhappy at the threat by companies who employ hospital cleaners, orderlies and kitchen staff. About 700 people employed in public hospitals would be affected. Multi-national firm ISS has issued seven days of lock-out notices from the end of the month. Two other contractors have issued lockout notices for one day; May 31. The notices demand staff withdraw a claim for a national multi-employer collective. Alastair Duncan from the Service and Food Workers Union says the lock-out targets the lowest paid workers in the public sector. He says no-one threatens doctors and nurses with a lock-out, but low-paid workers appear to be fair game.

HIGHER MORTGAGES NOT DETERRING BUYERS
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Rising mortgage interest rates do not appear to be deterring people from buying houses according to the Real Estate Institute. The institute's figures show the national median price rose from $343,500 in March, to 349,000 in April. In Auckland, the median rose another $9,000 from 443,000 in March to $452,000. Institute president Murray Cleland says a number of factors are driving prices up including a relatively stable economy and good immigration figures pushing demand. He says there is no shortage of buyers with agents reporting they are in desperate need of more listings. Mr Cleland says the fact people are shrugging off mortgage interest rate rises suggests that the issue is one of too many people trying to buy too few houses with the result that house prices rise. He says today's budget presents an important opportunity to deal with the looming crisis for first time buyers, by providing firm assistance. Mr Cleland says the market is cyclical and in time prices will start dropping again. He says efforts to try to control the market should stop and it should be left alone to play out. Wellington's prices rose from $375,000 in March to $377,900; homes in the Nelson/Marlborough region went up from $326,500 to $330,300; Canterbury/Westland rose from $300,000 to $310,000 while Otago eased from $230,000 to $227,000. Southland continued its charge with an increase from $157,000 to $164,500 taking the lead in the annual price growth table with 28.76 percent from the April 2006 median of $127,750.

(Considering that Mary and I bought or house for the grand sum of $38,000, I always struggle to comprehend the magnitude of the mortgages being taken by our youngsters. I guess time and inflation will make their burden easier, just as it did for us. - BH)

MORE HELP FOR HOMELESS WANTED
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Welfare workers are calling for an end to the rough lot meted out to the homeless living on the streets of Auckland. A 53-year old homeless man is in a serious condition in Auckland Hospital after being attacked in Myers Park in the inner-city. The bashing took place near a spot where he regularly slept. Diane Robertson from the Auckland City Mission says anyone sleeping on the street is at serious risk of being attacked or becoming ill. She says the latest case highlights the need for rapid completion of long-term housing for the homeless. She says 80 studio apartments planned for Hobson St will provide both the homeless and the city with increased safety.

Friday, 18 May 2007
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OUTRIGHT BILLBOARD BAN APPEARS OFF THE CARDS
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The proposal to ban billboards in Auckland appears to be running out of puff. The commissioners who listened to more than 500 submissions on the issue have recommended the Auckland City Council should not forge ahead with an outright ban. They have instead recommended an alternative bylaw that allows all existing billboards to stay and puts tighter controls on setting up new ones.

LONGER SUMMER ON THE ANTARCTIC ICE
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Antarctica New Zealand is extending its summer season. Yesterday's budget included an announcement by Foreign Minister Winston Peters that Antarctica New Zealand would receive a total of $5.9 million over the next four years to boost its contribution to the joint New Zealand/United States Antarctic logistics pool. It will receive $1.1 million of this funding in 2007/08. As a result, flights to the ice will run from October through to April next year. Normally the season finishes in February. Antarctica New Zealand CEO Lou Sanson says the longer season will let researchers gain valuable information on how Antarctic ecosystems shut down for the long winter period. Royal New Zealand Air Force C-130 aircraft will be used to make the first ever late-season flights.

BAIL CONDITIONS "A MOCKERY"
---------------------------

Many of the occupants of a controversial house in suburban Auckland are on bail, on condition they live at the address. Many residents living in Range View Rd in Mt Albert are too scared to come out of their homes, claiming they are being intimidated by the gang living in a state house on the street. The property has been under police surveillance for some time. Eden-Albert ward councillor Cathy Casey says the residents are so scared, that even the presence of TV cameras in the street recently could not coax them out. She is shocked the police have not been talking with Housing New Zealand about the issue. She says the agency has told her it never gave permission for its property to be used as a bail house. Ms Casey says it makes a mockery of bail regulations when people are bailed to an address police are monitoring because of criminal activity. Dr Casey thinks the residents of Range View Rd have been severely let down.

EMPLOYERS MAY STRUGGLE WITH KIWISAVER
-------------------------------------

National Party leader John Key says Michael Cullen's KiwiSaver scheme announced in yesterday's budget amounts to a compulsory savings scheme. Employees opting into the scheme will get a tax credit of up to $20 a week. Employers will have to match workers' contributions by up to four percent of gross pay from April. Mr Key says it is a bold budget in that it ignores personal tax cuts and penalises companies with the compulsion to contribute to KiwiSaver. "I would have thought something that balanced some savings but also with some growth and some increase in after-tax wages for New Zealand workers would have been more appropriate." But Finance Minister Michael Cullen says tax cuts are not off the agenda. "What we're looking at is how any dividend by way of tax reduction would be paid back in the fairest way possible." Dr Cullen warns he will not be dishing out a lolly scramble. Employers are being warned the KiwiSaver scheme they are being forced to contribute to will present challenges they will have to adjust to. Thomas Pippos, head of tax at accounting firm Deloitte, says many employers will struggle to start with. "There is a degree of complexity that will be associated with the implementation and that is something that people have to get their minds around. KiwiSaver is still relatively new and businesses are still working through how it will apply in their circumstances." Mr Pippos says a good education programme will make all the difference. Independent research group BERL says Kiwisaver is as close to a compulsory employer subsidised superannuation scheme as you can get. It describes the revamped scheme as the budget's unexpected rabbit out of the hat. It says for most workers the decision on whether to sign up is almost a "no brainer." It says employers are rightly concerned about the cost of their mandatory contributions but if both sides play the game there is a real possibility of not only lifting savings rates but embedding a savings behaviour that would underpin future investment opportunities.

FUEL TAX SET TO HELP RUGBY WORLD CUP
------------------------------------

The budget's transport initiative for Auckland should pay dividends for the Rugby World Cup in 2011 by pushing forward rail electrification plans. David George from Ontrack says extra funding for transport and a regional fuel tax of up to 10 cents a litre for petrol and diesel means most of Auckland's planned rail upgrade should be done in time for the event. He says key locations such as Newmarket and Manukau are at the front of the queue for major facelifts. The budget also pointed to the capital's motorists paying a fuel tax to meet the transport needs of their region. It would raise $35 million a year and allow a loan to be raised which would cover a large proportion of the costs involved with building the inland by-pass, Transmission Gully. Ian Buchanan from the Greater Wellington District Council says the council will have to thoroughly discuss the option before it makes any decisions. He says a fuel tax is a useful tool for the council and it could be applicable to both public transport and roading projects.

OTAGO THE STAR OF ECONOMIC ACTIVITY
-----------------------------------

Economic activity in 11 out of 14 regions has risen in the first three months of the year according to the National Bank's latest survey. Otago posted the largest quarterly increase, expanding 2.7 percent from the end of last year. It is the strongest gain the region has seen in 13 years. The South Island recorded a 1.7 percent rise, more than twice the 0.8 percent increase recorded in the North Island. Waikato retained the honour of being the fastest growing region, with year-on-year economic growth lifting to a three year high of 4.3 percent. Business confidence is returning to Auckland, with the region showing 0.7 per cent growth Hawke's Bay slipped to bottom place on the regional growth table with economic growth in the region easing to its lowest rate of increase in seven years. Taranaki and Northland showed a drop in economic activity.

WAS KIWISAVER PROPERLY THOUGHT THROUGH?
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An economist is questioning whether the Government's KiwiSaver scheme has been fully thought through. Under the scheme, the Government will give workers weekly tax credits equalling four percent of their wages, capped at $20. Employers will be forced to contribute by matching the employee contribution to a maximum of four percent. Employers will also receive a tax credit of up to $20. It will be introduced at one percent a year over four years. Dr Susan St John from Auckland University's School of Economics says the changes are too much, too soon and do not have the buy-in of the electorate, which raises the chances of instability down the track. Ms St John says cross party talks have in the past yielded good policy on superannuation, but unilateral decisions rarely produce the same result. National leader John Key says the budget ignores personal tax cuts and penalises companies with the compulsory contribution aspect to KiwiSaver. He believes the benefits for employees are not as good as they seem as workers will find themselves trading off future wage bargaining and wage increases for the now compulsory employer contributions to the scheme.

Monday, 21 May 2007
~~~~~~~~~~~~~~~~~~~

ISPS CREATE ANTI-SPAMMER CODE
-----------------------------

The country's internet providers have banded together to help fight the ongoing war against spam. They are proposing a code of conduct that would force them to self regulate. Keith Davidson from Internet NZ says the code is relatively toothless but clears up what ISP's responsibilities are. He says it sets out terms and conditions for people who want to use email as a marketing tool, as well as how to deal with people who break the rules. Mr Davidson says the code allows collaboration with international anti-spam enforcement and would make New Zealand an undesirable place for spammers to set up shop. He says what is been proposed is designed to work alongside the Government's anti-spam legislation.

(Just what we need ... more toothless legislation. I want something that involves keelhauling, or at least tar and feathers for spammers. - BH)

WEST COAST ELECTRICITY BILLS ZAP UPWARDS
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West Coast residents may be feeling the pinch from increases in electricity costs. The Ministry of Economic Development has released an analysis of how power prices have changed regionally between 1999 and 2006. Overwhelmingly it shows both lines charges and retail prices have risen significantly across the country over the six year period. The West Coast is the most heavily affected. Buller Electricity has increased lines charges by almost 60 percent and Trustpower has increased its power prices by 98 percent. Trustpower customers in the region have seen their power prices rise by more than $1,100 in six years. Auckland consumers have faced price rises of between 38 and 56 percent, meaning bills have risen between $400 and $600. In Wellington, power costs are up by up to 60 percent. In Christchurch the rises are not quite as high with Meridian's charges up 49 percent and Contact Energy's 37 percent higher.

SHAREMARKET MINNOW SIGNS DEAL WITH MICROSOFT
--------------------------------------------

Mobile technologies company Plus SMS subsidiary CRE8 Ltd, has signed an agreement with Microsoft to jointly develop mobile solutions. CRE8 aims to provide content, connectivity and network services for mobile operators, brands and media companies worldwide. Shares in Plus SMS have risen 2.5 cents to 13.5 cents following the announcement.

WEBSITE CONNECTING RURAL COMMUNITIES
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A new website has been set up to connect rural communities. www.ruralnetwork.co.nz is the initiative of Dow AgroSciences. Marketing manager Kirsty Sanders says the website provides a number of services including weather forecasts, a marketplace, tips and hints. She says farmers can log in and communicate with others in the rural sector who they may be geographically distanced from. "New Zealand is still very much an agricultural country and farming is the backbone. I think often in the media, farmers' opinions are getting lost. We hope this will provide us with an area for farmers to get online and start to discuss issues that are pertinent to them and stimulate some lively debate."

LAB SCIENTISTS SUSPENDED OVER STRIKE
------------------------------------

Seven striking medical lab workers have been suspended by the West Coast District Health Board. The lab scientists are among the first to enact forms of industrial action this week as their fight for better pay and conditions continues. Medical Laboratory Workers Union president Stewart Smith says the suspensions are risky, as the suspended workers can no longer be called on to provide life preserving services. The West Coast DHB says workers withdrew key services today and were suspended as a result. CEO Kevin Hague says the type of industrial action taken by union members is potentially dangerous and the DHB would be irresponsible if it didn't take appropriate steps to address that. Unionised Lab scientists nationwide will carry out various forms of strike action at staggered intervals over the next two weeks. Counties Manukau District Health Board has also threatened its workers with suspensions if they go ahead with their planned strike action due to start tomorrow.

MINISTER SAYS PRISON OVERFLOW NOT OUT OF HAND
---------------------------------------------

The Corrections Minister acknowledges prisons are at capacity, but says the overflow is being managed with the cooperation of police. Temporary sworn police officers are being assigned to police stations around the country, as more and more cells are being used to accommodate remand prisoners. Corrections Minister Damien O'Connor maintains the situation is not out of hand. He says levels are at an all-time high, but he says there are always peaks and troughs. Mr O'Connor says two new Corrections facilities are due to open soon. He says the Otago facility will have up to 350 beds when it opens in a month, while the Springhill Prison in North Waikato will have 600 beds.

(I think it is definitely out of hand when prisoners waiting court appearances are being kept in prison vans as holding cells.  - BH)

NO GUARANTEE BUT KIWISAVER CASH "SAFE"
--------------------------------------

Prime Minister Helen Clark is moving to reassure people their contributions to the KiwiSaver scheme will be safe, even without a government guarantee. Economist Gareth Morgan and others have raised the issue in the wake of the budget. They suggest that while it is assumed money will increase under the scheme, it is also possible a managed fund investment could go bust with investors losing all their contributions. But Miss Clark warns even a government guarantee could backfire. "The Government doesn't underwrite any such investments and you could actually mount quite a strong argument to say that if it was government underwritten that might make people even more careless. It's not expected that this is a huge issue. Michael Cullen is certainly allaying fears that people are going to be putting their money into schemes that will go down." Ms Clark claims a government guarantee is not a huge issue. KiwiSaver starts on July 1 and people opting into it can choose the fund manager they want to put their money into. The categories include low, medium and high risk investments.

(This is the nuclear position. Perhaps it's safe, and the day you can get an insurance company to delete their exclusions from the policy, I may lower my opposition. Likewise with this kind of financial assurance. I am happy to hear it, but I am not trusting them with my savings. - BH)

SURVEY INTO ANTI-DEPRESSANTS AND SUICIDE
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A new study suggests the use of a particular class of anti-depressant has resulted in fewer people dying as a result of suicide. The Ministry of Health undertook the research to explore the link between Selective Seratonin Re-uptake Inhibitors or SSRIs and suicide. More than six percent of the population are taking the drugs. The survey finds use of the drugs has almost doubled since 2000. One in 11 people in Canterbury take an SSRI drug, compared with one in 27 people in South Auckland. The survey finds the drugs appear to be linked with fewer suicide deaths, but slightly more patients being admitted to hospital for self harm. Common SSRIs are marketed under the brand names Aropax, Norpress and Prozac.

PROPERTY INVESTORS HOLDING BACK
-------------------------------

Skyrocketing house prices are leaving more than just first home buyers with the jitters. A housing affordability report carried out by interest.co.nz shows it is increasingly difficult to find the money to buy a home. It now takes two average incomes to service a mortgage, compared with 1.2 in April 2002. Leigh Whiley from the Auckland Property Investors Council says when he first got into property investment 20 years ago he expected a 10 percent return, but these days it is half that. He says that is a turn off as investors end up losing money and many are holding back from further investment. However, others must still believe there are profits to be made as Mr Whiley says higher house prices are attracting fresh attention from those new to the market.

TEENS FACE MANY CHALLENGES SAYS YOUTHLINE
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Experts in youth issues say being a teenager today is harder than it used to be. Today marks the start of Youth Week. Youthline CEO Stephen Bell says many of the issues facing young people are the same ones everyone deals with and include identity, relationship issues and figuring out future directions. However, he says youngsters are also facing problems created by today's adults, such as environmental sustainability and rising house prices. Mr Bell says it is lucky that today's youth are more sophisticated and better equipped than they have ever been. Mr Bell believes the baby boomer generation has been a selfish one. Prime Minister Helen Clark will formally open Youth Week at an event in South Auckland tonight.

LAB WORKERS BEGIN INDUSTRIAL ACTION
-----------------------------------

Medical laboratory scientists plan to defy threats of suspension today as they embark on their latest round of industrial action. Around 1200 union members will vent their frustrations in various ways over the coming two weeks, ranging from walkouts to overtime bans. Counties Manukau and West Coast District Health Boards are threatening to suspend any workers who take strike action Stewart Smith of the Laboratory Workers Union says that would be a foolish move by the DHBs as it would mean suspended workers could not provide life-preserving cover as striking workers are able to. He says that will not stop workers who are determined to get a better deal. He hopes to have some informal contact with DHBs and resume negotiations this week.

Tuesday, 22 May 2007
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REVAMP FOR CORRECTIONS
----------------------

The Department of Corrections is undergoing a major revamp. Staff have been told of changes which include the disestablishment of a number of head office groups and the creation of several new support groups. Corrections Chief Executive Barry Matthews says there will be significant changes at senior management level and he hopes the new structure will remove any duplication or cross-over between offices. Mr Matthews hopes all the current staff will be able to take on new jobs within the department, but at worst about 10 staff may need to consider employment elsewhere.

VICTIMS OF SCAM COMPENSATED
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The New Zealand victims of a global pyramid scheme will receive compensation today. SkyBiz offered people the opportunity to earn thousands of dollars a week by recruiting new "associates" but the United States Federal Trade Commission prosecuted the company and earlier this year reached a $US20 million settlement with the scheme's providers. Consumers whose compensation claims have been approved are today being sent credit cards with a balance to compensate for the money they lost. The Commerce Commission says the prosecution and settlement is a good example of enforcement agencies around the world dealing to a global problem.

TOO MANY IN TOP TAX BRACKET SAYS ENGLISH
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The Government is being taken to task over the number of people expected to soon be in the top tax bracket. As of next year, it is estimated almost 13 percent of taxpayers will be in the top 39 percent tax slot. National's Finance spokesman, Bill English has told Finance Minister Michael Cullen saying it goes against previous promises. He says in 2000 the Government stated that only five percent of wage earners would be affected by the top tax rate

INVESTORS BLAMED FOR JOB CUTS
-----------------------------

The union representing some Sky City workers is blaming greedy investors for impending job cuts. The casino and cinema operator is shedding 230 staff across New Zealand and Australia and selling less profitable parts of its business. The decision does not come as a huge surprise to Unite union secretary Matt McCarten. He says there has been enormous pressure on the company from investors used to big returns. Mr McCarten says those same investors will no doubt be happy the cost-cutting has caused a 14 cent surge in the share price to $5.06. He hopes they realise that many people will lose their jobs because of it. Sky City's rationalisation programme is likely to take about a year so Mr McCarten hopes that will minimise the impact on workers. He believes upper management should be the first to go.

TOBACCO STING DISAPPOINTS HEALTH OFFICIAL
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A sting operation carried out by the Canterbury District Health Board has netted two Christchurch retailers selling tobacco to under age buyers. The two tobacco retailers are facing prosecution after a controlled purchase operation allegedly caught them selling to people under the age of 18. Medical Officer of Health Dr Alistair Humphrey says he is disappointed as he says the law is there for a reason. He says most people start smoking at a young age so preventing sales to minors saves lives. 

AIRPORT JUSTIFIES MOVE TO ONE DUTY FREE SHOP
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Auckland International Airport claims consumers will have greater choice when it operates just one duty free outlet. The airport is calling for tenders from its existing duty free operators, Regency Duty Free and DFS Galleria. Retail General Manager Nick Forbes says having a single operator will introduce a much wider and deeper range of duty free products. He says with two operators, there is head to head competition on the main product ranges meaning they do not have the efficiency of space to bring in a wider range. Mr Forbes denies prices will go up, as he says Auckland's duty free operator will still have to compete with international destinations.

REGULATE POWER INDUSTRY SAYS GREY POWER
---------------------------------------

Grey Power wants the Government to regulate the electricity industry, following a report revealing just how much power bills have increased. The Ministry of Economic Development says between 1999 and 2006, Auckland and Wellington consumers have seen their bills rise by up to 60 percent. Grey Power spokesman Terry King says the power companies use the excuse that price increases are needed to cover the cost of creating new generation, but in the past ten years, there has been little new generation produced. He believes the competitive market is out of control and the only way to rectify the situation is for the Government to force companies to justify their price hikes. Mr King says electricity retailers should be monitored.

BUSINESSES WILL COPE WITH FUEL TAXES
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The organisation representing Auckland businesses is labelling predictions that manufacturing plants will head off shore because of regional fuel taxes, as short-sighted. The Road Transport Forum which represents the trucking industry says the high New Zealand dollar and a proposed tax of up to 10 cents on a litre of fuel, will make it even harder for companies to remain in New Zealand if they want to be competitive. But Michael Barnett, CEO of the Auckland Chamber of Commerce, says manufacturers are coping. He says the regional fuel tax issue is just a single cost factor and he doubts it will be the straw that breaks the camel's back. Mr Barnett says manufacturers are doing a great job at managing their costs to remain internationally competitive He says encouraging people out of their cars and into public transport, will provide companies with opportunity to move around the region with greater ease and efficiency.

STRICTER CONTROLS FOR BOY RACERS CALLED FOR
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A driving instructor believes the only way to tackle the boy racer problem is to put stricter controls in place. There is pressure to introduce further legislation to clamp down on illegal street racing following the death of 20-year-old Scott Finn in Mt Maunganui over the weekend. Wayne Price, who runs a road and traffic education centre, says young drivers' access to powerful cars should be restricted. He says there are strict regulations on licensing for motorcycle riders and a similar policy should be enforced for cars. Mr Price says compulsory third party insurance would also make a difference.

Wednesday, 23 May 2007
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TASSIE A THREAT TO OUR TOURISM
------------------------------

The tourism industry's annual meeting has heard that Tasmania is emerging as a major tourism rival. The TRENZ conference in Rotorua has learned that aggressive marketing by Tasmanian tourism authorities is working in Canada, with the destination successfully competing against New Zealand. Goway Travel owner Bruce Hodge says New Zealand should be aware that Tasmania poses a threat. He says New Zealand's billing as 100 percent pure risks being undermined by Tasmania, which consumers perceive as a similar destination.

NO FUNDING FOR CERVICAL FUNDING DRUG
------------------------------------

Prime Minister Helen Clark is being urged to rethink the Government's decision not to fund a cervical cancer drug. Gardasil is designed to prevent cervical cancer caused by strains of the HPV or Human Papillomavirus but has been left off the 2008 National Immunisation Schedule, despite Medsafe approving it for use in females aged nine to 26. Dave Bowler, the General Manager of Gardasil's supplier, CSL Biotherapies NZ, wants to meet with Miss Clark to put forward a case for the drug's funding. He says tens of thousands of young women are left unnecessarily unprotected if the Government does not meet the cost of the drug.

GOOD NEWS FOR DAIRY FARMERS
---------------------------

Fonterra has announced a forecast pay out of $5.53 per kilogram of milk solids for 2007/08 season, $1.18 more than the current season pay out. Chairman Henry van der Hayden says the record pay out forecast is due to exceptionally high commodity prices and continued cost efficiencies. Fonterra has also increased its Fair Value Share price by 23 cents to $6.79, however that is 20 cents below the Independent valuer's mid-point of $6.99.

(Somewhere I still have a Dairy Board T-shirt with the slogan "I was there when we broke $3.50". The vagaries of currency fluctuations and the commodity markets are indeed mysterious. - BH)  

NATIONAL STILL CAGEY ABOUT KIWISAVER
------------------------------------

National will still not state what its plans are for KiwiSaver if it wins the next election, but leader John Key is highlighting what he believes are problems with the scheme. Mr Key says it is not necessarily a brilliantly designed idea and a survey shows that 50 percent of workers will not participate in it. "Not only will they not be part of the scheme, they are being asked to forego a wage increase and a tax cut to theoretically cross-subsidise who will be part of the scheme. So my view is that there is some inherent unfairness." Mr Key says the scheme requires a lot of scrutiny to work out and he claims even big business are tremendously confused.

SIR ED'S REUNION WITH OLD FRIEND
--------------------------------

Legendary mountaineer Sir Edmund Hillary will meet with the Dalai Lama when he visits New Zealand next month. The trust organising the visit says the pair have been close friends for several years. Sir Edmund will accompany the Dalai Lama to a mayoral welcome in Auckland and introduce him at a public address at Vector Arena in Auckland in June. Tibetan musician Tenzin Choegal will also be at the address.

STIGMA ATTACHED TO FREE SCHOOL BREAKFASTS
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A school offering free breakfasts says it is trying to get rid of the stigma attached to the programme. Research from the group Agencies for Nutrition Action, which supports healthy eating, supports the theory that eating breakfast improves a child's marks at school, particularly in maths. It also reveals 41 percent of Pacific children, 23 percent of Maori and eight percent of European children are not eating breakfast. Koru School in Mangere, South Auckland is already trying to address the problem by offering breakfasts to students two days a week, but principal Stan Whata says some who need breakfast worry what others will think and let pride stop them. He says on occasion more than ten percent of students take advantage of the offer.

CLAIMS ROLL IN MONTHS AFTER QUAKES
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Earthquake damage claims continue to be lodged with the Earthquake Commission, three months after a small series of quakes rocked the Auckland region and beyond. The Earthquake Commission has received 654 from an area spreading from Tauranga to Whangarei. Insurance Manager Keith Long says even although the three month deadline for lodging claims has passed, all is not lost if people have not yet filled in the paperwork. He says if people can prove they have been in touch with their personal insurer, they can still claim. Mr Long says the vast majority of the claims so far are for nothing more than cosmetic damage to homes.

TRUTH THE BEST POLICY WHEN JOB HUNTING
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Companies put little faith in CVs according to recruitment company Robert Half International. The study questioned 5,098 managers across 17 countries about whether CVs were trustworthy. In New Zealand 64 percent said they were not. The survey found job candidates are most likely to exaggerate the real content of their former jobs. Robert Half spokeswoman Kim Smith says it is logical that candidates will present themselves in the best possible light, so it is just as important to look at what they do not say as well as what they do. Unexpected chronological gaps could indicate the candidate is trying to hide something. Vaguely worded job descriptions could indicate the responsibilities did not match the job title. "Weasel" words such as "participated in", "familiar with' and "in association with" can also indicate a candidate does not actually have the experience they are claiming. Ms Smith says in general, the more detailed the information candidates give about their jobs, the more reliable the evidence is. She says the survey results show how important it is for managers to study CVs carefully and look for the warning signs that all is not as it seems. Ms Smith advises candidates to be truthful when preparing CVs. "If you claim to have skills or experience you do not actually have, you will be found out sooner or later and will then have to live down a reputation that you can't be trusted."

MORE KIDS WALKING TO SCHOOL
---------------------------

Kids may complain about walking to school, but many are doing it anyway. Under the Walking School Bus programme, parents and volunteers walk groups of children to school each day. In Auckland, at least 3,800 children have signed up to the programme. An annual study for the Auckland Regional Transport Authority has looked at 158 routes at 72 primary schools and found 63 percent of children walking would otherwise have been driven to school. The number taking up the scheme is in line with ARTA's goal to remove 12,600 car trips to school daily. Fergus Gammie, ARTA's CEO, says the programme fosters a sense of community and friendship. "Children build confidence and learn road skills that enable them to walk independently to school long after they 'graduate' from the programme."

Thursday, 24 May 2007
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GOVT LAUNCHES HEALTHY EATING PROGRAMME
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The Government has launched a new healthy eating programme to help make sure children get a balanced diet. Feeding our Futures has been launched by the Minister of Health Pete Hodgson at the Agencies for Nutrition Action conference in Rotorua. The new campaign aims to deliver a series of tips for parents on ways to achieve healthy diets for their children. The tips will be promoted thorough radio, TV and print advertising. Feeding our Futures is one of a number of initiatives under the Government's Healthy Eating Healthy Action strategy, designed to improve nutrition and prevent obesity.

MORE TRANS-TASMAN TRAFFIC FOR AIR NZ
------------------------------------

Air New Zealand is putting on more flights between Auckland and Adelaide and is trying to encourage more Australians to visit Queenstown. From the beginning of November the national carrier will fly the Adelaide route six times a week and from February 2008 it will offer daily flights. Short haul general manager Norm Thompson says there has been significant demand on the service since it was launched in March last year. Air New Zealand says the increased Adelaide service is expected to see Air New Zealand gain a larger share of the long-haul market to and from South Australia, as travellers choose to connect to North American flights through Auckland rather than Sydney or Melbourne. The airline will also offer a direct summer flight between Queenstown and Melbourne, in a bid to lure visitors to the resort town over summer, not just during the ski season. Earlier this month, Qantas announced that from late July, it was suspending its three-times-a-week direct services between Adelaide and Auckland due to slow demand.

FIELD BEING CHARGED WITH BRIBERY
--------------------------------

Bribery charges are being laid against independent MP Taito Phillip Field. Police have asked the Auckland Crown Solicitor to start the process which will see 14 charges of bribery by a Member of Parliament being served against him. Prosecutors must now apply to the High Court which should take place late next month. Detective Superintendent Malcolm Burgess says it will take several weeks for the relevant material to be assembled in support of the application. Mr Field's legal team is vowing to fight the charges. Investigations into Mr Field's activities have been ongoing for nearly a year and a half. The first report by Noel Ingram QC examined whether Mr Field had had a conflict of interest when he helped a Thai overstayer, who had worked on Mr Field's house in Samoa, to obtain a work permit. He was cleared of that allegation but Dr Ingram raised several questions and other allegations continued to arise. Mr Field resigned from the Labour Party in February and has been talking about setting up a Pacific party.

AMNESTY CRITICISES NZ'S HUMAN RIGHTS
------------------------------------

New Zealand has been criticised by Amnesty International in its the latest report on the state of the world's human rights. The group cites the Ahmed Zaoui case, violence against women and the police Taser trial as concerns. Amnesty is concerned Mr Zaoui's appeal against the security risk certificate filed in 2003 has still not been heard. It says Mr Zaoui claimed asylum on his arrival in New Zealand in December 2002 and was recognised as a refugee in August the following year. It says he was detained for 23 months, 10 of which were in solitary confinement under a security risk certificate on the basis of intelligence information to which neither he nor his council have access. His appeal against the security risk certificate has still not been dealt with. Amnesty also points to a joint conference on violence against women which noted that the victims of extreme family violence in New Zealand are predominantly women and children. The organisation criticises the year-long trial of Taser stun guns, which went ahead despite opposition from Amnesty, other human rights groups and the Mental Health Commission. It says the Government has also not announced steps to implement the Action Plan for Human Rights which it commissioned in 2002.

(Tasers are infinitely less harmful than a loaded handgun, and given the generally unarmed status of our police, I think Amnesty are quite unreasonable in this position - BH)

NEW MAYOR FOR HAMILTON
----------------------

Hamilton has a new mayor. The city council elected deputy mayor Bob Simcock to the position last night. He takes over from Michael Redman who resigned last week to become the city's chief executive. Mr Simcock has confirmed he will officially stand for the position in October's local body elections. Mr Simcock says it is a great honour to become mayor.

SHEEP FARMERS SUFFERING
-----------------------

Farmers have sent more than 500,000 extra ewes to the meatworks as they look to cut their losses in a struggling industry. Poor lamb prices are taking their toll and leading to fears sheep production next season will be considerably lower. Rural website Agridata says nearly 20 percent more ewes have been sent to abattoirs throughout New Zealand this year compared with the corresponding period the previous year. The national flock has declined from 70 million in 1982 to less than 40 million today and Agridata says if the trend continues, sheep production next season will be considerably lower. It says ironically, the lamb processing companies have invested in new, updated capacity but the move has not been followed with successful marketing and returns have been woeful at the farm gate. It is the first time in years, co-operative PPCS has not paid a bonus to early season producers. Agridata says the situation is hard to take when the dry weather complicates management and much higher returns are available from dairy and beef. Editor Tony Chaston says sheep farmers know what they are up against and understand they are in a cyclical business.

HOSPITAL UNDER PRESSURE
-----------------------

Waikato Hospital is under enormous pressure with large numbers of patients requiring treatment in its emergency department. The Waikato District Health Board says while the quality of care has not been compromised, the excessive demand is putting strain on staff. In what was a new record for May, 162 patients went through the emergency department on Tuesday and on Wednesday at 7am, 29 patients required treatment. DHB spokeswoman Mary Anne Gill says people have had to wait a long time for treatment while staff take care of trauma patients first. She says yesterday, 14 operations had to be cancelled as a result of an overload and a shortage of beds.

FONTERRA PAYOUT WILL HELP REPAY DEBT
------------------------------------

Dairy farmers are in clover with news of a bumper pay out ahead from Fonterra. The forecast payout for next season will be $5.53/kg of milk solids for the 2007/08 season, $1.18 higher than for this season and an increase of 27 percent. Chairman of Dairy Farmers of New Zealand Frank Brenmuhl says it is a higher than expected forecast, but farmers have been aware that commodity prices have been increasing substantially. He says the higher returns should give the dairy industry confidence it can outperform other sectors of the economy. Mr Brenmuhl says the payout will enable farmers to repay debt, carry out deferred maintenance and reinvest in their farming business. He says farmers are reasonably confident that high commodity prices will continue for the next few years due to increased international demand and tight supply. "The increase in the advance for next season to $3.50, in June/July, rising to $3.60, in August/September, will be welcomed by farmers.?

Friday, 25 May 2007
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SOLAR WATER HEATING GRANTS A REALITY
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The Government has launched an initiative which will see householders able to claim $500 towards installing solar water heating technology. Government energy efficiency spokeswoman Jeanette Fitzsimons says hot water can account for around $800 of an annual domestic energy bill and a solar heating system can cut this cost by up to 75 percent. She says it is good news for householders, their power bills and climate change.

HOW NOT TO CATCH A COLD
-----------------------

A number of Auckland primary students will today share a safe-sneezing message so their peers do not spread their colds. The annual safe-sneezing programme kicks off in schools this morning and includes information packs and lessons on how to sneeze safely. It also includes an online virtual sneeze so students can witness a 'risky' sneeze without catching it. Browns Bay School principal Roger Harnett says his Year 2 students have been busy practicing safe methods so they can teach fellow students today. Virologist Lance Jennings will also be on hand. He says the initiative will help safeguard the influenza high-risk groups as well as the wider population over time.

FONTERRA PAYOUT GOOD AND BAD FOR ECONOMY
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Fonterra's record projected milksolids payout for the coming dairy season has been highlighted in the BNZ's latest weekly overview. The survey comes after the release of New Zealand's annual trade deficit which widened more than expected in April as growth in imports outpaced exports. The BNZ says the terms of trade are the latest menace for inflation and suggests the Reserve Bank's interest rate rises designed to dampen consumer spending are not working. It predicts annual domestic product growth may be as much as three percentage points this year. The survey points to Fonterra's latest payout for the current season as being a great boost to the economy. It says the payout is worth more than financial boost provided by the Working for Families scheme. However the survey says the payout will also add to inflationary pressures and solidifies an outlook for a continued high exchange rate. That places even more pressure on the Reserve Bank to increase interest rates yet again.

WATER PRICE RISE SCRUTINISED
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Parliament will take a look at plans to hike water prices in Auckland. A select committee will investigate Auckland City Council's move to hike charges by more than nine percent. The council has backed Metrowater's price rises, saying it needs the money it gets from its wholly-owned subsidiary to pay for stormwater upgrades. The issue is attracting the attention of Parliament's local government and environment select committee. Acting chairman John Carter says the committee wants to know the reasoning behind the council's decision. It will investigate whether ratepayers were informed as to why their water rates are going up and whether Auckland City sees that money being used to offset rate increases." Mr Carter says the committee wants to make sure ratepayers have been properly informed.

WAREHOUSE DECISION DELAYED AGAIN
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The waiting game continues in the battle for control of New Zealand's largest listed retailer. The Commerce Commission has again delayed a decision on two applications to take over The Warehouse Group. The scheduled deadline was today, but the commission has put the date back again, to June 8. Woolworths and Foodstuffs have both lodged applications to take over The Warehouse. The grocery rivals each own ten percent of the company.

AIRLINE UNVEILS KIWISAVER INTENTIONS
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One of New Zealand's biggest employers has also become one of the first to announce its plans for the KiwiSaver scheme. Although employer contributions do not have to reach four percent until April 1, 2011, Air New Zealand has decided to begin that level of contribution immediately. Spokeswoman Vanessa Stoddart says the decision not to wait for the 2011 deadline set by the Government reflects the importance the airline places on helping staff with their retirement funds Detractors of the superannuation savings scheme claim the retirement contributions will compromise wage rises but Ms Stoddart dismisses that notion. "We still expect that our staff will get reasonable increases in addition to any contribution to KiwiSaver." However, Air New Zealand also welcomes the fact that some in the union movement have already recognised there will be a trade-off between wage claims and KiwiSaver in forthcoming industrial negotiations. Ms Stoddart says EPMU National Secretary Andrew Little has already stated that where an employer agrees to make contributions to KiwiSaver, the union will see that as part of the five percent claim. The KiwiSaver scheme kicks off in July, with employers' contributions starting from April next year. Contributions start at one per cent and rise by that amount each year to reach four percent by 2011.

ANOTHER MIGRAINE DRUG FUNDED
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Migraine sufferers will now have a greater choice of fully-funded treatments. The Government's drug-funding agency Pharmac has decided to list Arrow-Sumatriptan. GlaxoSmithKline's version of the drug, Imigran, will still be available. Peter Moodie, Pharmac's medical director, says the decision is good news for patients and the taxpayer. He says the deal saves $21 million over five years which can be spent on other drugs. Dr Moodie says migraines are common and are very disabling for some people.

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