Agency Disclosure Statement
This Regulatory Impact Statement has been prepared by The Treasury.
This RIS provides an analysis of options to ensure that the Mixed Ownership Model Bill (MOM Bill) includes economic interests in the 51% floor and 10% cap, to ensure consistency with the Confidence and Supply Agreement dated 5 December 2011 between the New Zealand National Party and United Future New Zealand (UFNZ) (the Confidence and Supply Agreement), specifically around introducing "statutory limits on the sale of public assets to no more than 49% of shareholding to private interests including limits on the extent of single entity ownership."
This RIS has been informed by discussions between the Office of the Minister for State Owned Enterprises and the Office of the Leader of UFNZ. Those discussions have prescribed the nature of the regulatory response, particularly in the context of the MOM Bill.
The policy option available is unlikely to impose additional costs on businesses, impair private property rights, market competition or the incentives on businesses to innovate or invest. The option does not over-ride fundamental common law principles.
Chris White, Manager, Commercial Transactions Group
