Latest news with #EricCrampton
Scoop
28-05-2025
- Business
- Scoop
A Fast-Track To Stronger Grocery Competition
Wellington (Thursday, 29 May 2025) – The government has viewed stronger retail grocery competition as a national priority. But zoning, consenting, and overseas investment approval processes make new entry far too difficult. The New Zealand Initiative today showed how to open New Zealand's markets to more competition. It released drafting instructions for a Fast-track Supermarket Entry and Expansion Omnibus Bill, which would rapidly approve retail grocery developments at scale and cut through complex barriers that are preventing new supermarket chains from entering the New Zealand market. The proposed Fast-Track pathway would: Streamline rezoning, consenting and investment clearance processes for a set of new stores and associated warehouses as a package, providing decisions within months; Override obstructive planning regulations; Open New Zealand's grocery sector to the real possibility of a new competitor; Disappear when resource management reform has made the pathway irrelevant. Proposal author Dr Benno Blaschke said, 'New Zealand has a lot of fast-track regimes, but none of them can give a single, timely decision for complex projects across multiple councils. Our process achieves this and has been crafted for policy officials and legislative drafters to pick up and run with.' Dr Blaschke explains, "Fixing the rules of the game allows the competitive process to unfold. If there are super-profits in grocery retail, opening the market lets new entrants compete for them while providing better service to consumers.' The Initiative's Chief Economist Dr Eric Crampton added, 'The underlying problem has always been regulatory structures that make new entry practically impossible. Fixing that real problem makes far more sense than break-ups that risk increasing prices for consumers.' The New Zealand Initiative is supported by businesses in its membership, including two supermarket chains. Our proposal would explicitly prevent existing major supermarket chains from using this fast-track process for at least five years, reserving the pathway for new entrants and smaller competitors before enabling existing chains to engage in more strenuous head-to-head competition. Dr Benno Blaschke and Dr Eric Crampton explore this research note in the latest New Zealand Initiative podcast. Listen here.
Kiwiblog
17-05-2025
- Business
- Kiwiblog
A good win for solidarity
The Herald reports: Treasury has changed its tune at the last minute and given a handful of organisations the green light to attend next week's Budget lock-up. The move follows a legal threat and public pressure over why organisations that had previously been allowed to see embargoed Budget documents, were suddenly barred. While the groups are welcoming the revision, some are scratching their heads over why Treasury gave business-affiliated groups accreditation before it did the same for the Council of Trade Unions. Business New Zealand, the New Zealand Initiative and the Taxpayers' Union were emailed by Treasury last night, saying they could attend the May 22 Budget lock-up at the Beehive. However, the Council of Trade Unions was only given the okay this morning, after it challenged Treasury, and the 'right wing' organisations came in to bat for their 'left wing' friend out of principle. The New Zealand Initiative's Eric Crampton told Treasury he would only accept the invitation on the condition the Council of Trade Unions' Craig Renney was accredited too. A lawyer for the Taxpayers' Union yesterday sent Treasury a letter saying it would file an application for judicial review if Treasury didn't 'urgently' reconsider the group's application to attend the lock-up, and respond by Friday. The lawyer claimed declining the organisation's application was a breach of its legal rights. I'm very pleased to see Treasury come to their senses and do the right thing. Also pleased to see the principled stand by the NZ Initiative to decline to attend if the CTU wasn't allowed their economist to attend. I understand the Taxpayers' Union even considered sending Renney in one of their three spots – something which would have been both hilarious and awkward! The TU, the NZ Initiative and the CTU don't agree on much. But it is a good thing that they stand together on this.
NZ Herald
14-05-2025
- Business
- NZ Herald
Budget 2025: Lock-out of civil society groups hinders transparency
Only journalists and financial analysts are allowed under the new lock-up rules. Photo / Mark Mitchell Opinion by Dr Eric Crampton Dr Eric Crampton is Chief Economist with the New Zealand Initiative. THREE KEY FACTS Lock-ups before Budgets are valuable. They result in more-informed post-Budget commentary and sharper questions for ministers. The rules changed for this year's Budget, locking out civil society organisations like the Council of Trade Unions (CTU) and Business New Zealand. It makes the current Government less transparent and
Kiwiblog
14-05-2025
- Business
- Kiwiblog
An appalling decision by Treasury
Treasury has banned from the Budget lockup numerous organisations that have been attending for many years. These include the Taxpayers' Union, the CTU, Business NZ and the NZ Initiative. This is the exact opposite of transparent and accountable government. It means that all these organisations will not be able to read, analyse and respond to the Budget until several hours after it has been released. In a fast moving media cycle, this makes a difference. Being able to access the Budget lockup, means that organisations can do the following: Have time to read, analyse and prepare their responses Ask questions of Treasury officials, to explain details Be interviewed by media in the lockup Ask questions of the Minister Spot possible errors in the documents (as Eric Crampton has done) There is no principled reason for this decision. It is not an issue of space. The Beehive banquet hall is huge, and there has been room for the last several decades. The suspicion is that this is a result of the Government being angry at the CTU for misrepresenting the Minister after the last Budget. The full details are here. But if the issue is one person, it is idiotic to ban every advocacy organisation in New Zealand as a response. Almost all the organisations banned have trained economists on their staff – something few media organisations have. In fact many media find it useful to be able to ask questions of the economists in the room. Accountancy firms (who often do advocacy work also for clients) are still allowed in the room. But not organisations that have 200,000 supporters, or represents thousands of businesses. Treasury should remove their unprincipled and undemocratic ban on Budget lockup attendance this week. And if they don't, then the Minister of Finance and Opposition Spokesperson on Finance should write to them asking them to do so.
