The Centre for Resource Management Studies has anointed ACT leader Rodney Hide as the Minster for Ending the Depression (MED), as the John Key government is sworn in for the next three years.
The Centre, whose driving force is Owen McShane, says Rodney Hide has been named Minister of Local Government, Minister of Regulatory Reform, and Associate Minister of Commerce in the new government,
However, McShane believes Hide should also take on the mantle of ‘Minister for Ending the Depression’ because the LGA, the RMA, and the Commerce Act are the key to enabling this country to build its way out of the depression.
“In many ways the LGA is now more of a threat to economic growth than the RMA. Both need to be reformed at the same time – and Rodney Hide has the authority to deal with both under his new brief,” the CRMS says.
“He is Minister of Local Government, and all RMA regional and district plans are regulations – and Rodney is in charge of regulatory reform.”
Owen McShane writes in a newsletter published by the CRMS that the coalition agreement between the National Party and Act says in part:
"National and ACT agree to promote investment, jobs, wages, employment and prosperity, as well as environmental improvement, through amendments to the RMA.
The National-led government will establish a high quality advisory group to recommend short-term amendments to the RMA, including but not confined to those which National has put forward, as a basis for select committee consideration early in 2009. The membership of the group and its terms of reference will be agreed between National and ACT.
“Beyond the short term, consideration will be given to further improvements, including better mechanisms for water allocation and compensation for regulatory takings of property rights. High quality advisory groups will be established for such tasks.”
McShane says this means that Rodney Hide has quite a free rein to respond to the economic crisis by promoting reforms to the RMA which are over and above those listed as National Party policy prior to the election, and which were obviously developed before the full impact of the collapses of the housing and financial bubbles made itself felt in New Zealand.
He believes the Building Act is as big an obstacle to economic recovery as the RMA, and since Maurice Williamson is Minister of Building and Construction and Minister of Small Business, he is perfectly placed to be Joint Minister for Ending the Depression in partnership with Rodney Hide.
“The two of them hold the future of the private sector of the economy in their hands.
“With Rodney dealing with the big issues in the LGA and RMA, and with Maurice dealing with the mountain of regulations burying the building and construction sector and small business as well, we might have a chance of getting the country moving again.”
He says the legislation surrounding building permits in New Zealand is a disaster and it keeps getting worse because it is founded on the indefinite liability of councils for their permitted procedures.
“This is unlike any other OECD jurisdiction that I am aware of. We can never build our way out of recession while the Building Act remains as it it – with councils trying to cover themselves against litigation – for ever and a day.”