Cabinet reshuffle gives sector experience the nod
Former physician Ayesha Verrall and former principal Jan Tinetti pick up big portfolios while Auckland gets an advocate in an otherwise well-anticipated cabinet reshuffle
In today’s edition: petrol tax cut and half-price public transport set to be extended; new employment data out today; iconic hotel to close; but first, the not-so-surprising cabinet reshuffle and the latest on the weather (at time of send)
New faces and new portfolios (Image: Tina Tiller)
First, the weather
This is the first time I’ve woken up and tried to see “the news” by looking out the window into the dark. Here’s an update on the weather and then we’ll move onto analysis of yesterday’s cabinet reshuffle. It’s been bucketing down in Auckland this morning and there are reports of flooding of houses and motorways coming in. At the time of sending, a stretch of Auckland's Northern Motorway had been closed in both directions. The advice is to delay travel if possible. The red heavy rain warning for Northland has been lifted, while warnings have been upgraded to red for parts of the Bay of Plenty. The Herald has live updates running with the latest transport information, forecasts, warnings and impact so far.
An apple for teachers and health workers
Toby Manhire has details and analysis on yesterday’s cabinet reshuffle. Most predictions in the lead-up were accurate. It was perhaps a line call on Andrew Little losing health but that has gone to Ayesha Verrall, a former physician. Little picked up defence from Peeni Henare while former principal Jan Tinetti picked up the full education portfolio. Those appointments don’t reduce the list of issues in the health and education sectors but they do give both sectors ministers with ground-floor experience. Three new faces moved into cabinet - Kieran McAnulty, Ginny Andersen and Barbara Edmonds.
Willie Jackson’s fate untethered from fate of the merger
Willie Jackson’s list elevation and retention of the broadcasting portfolio stymies a few theories about his fate being tied to the fate of the TVNZ/RNZ merger. That doesn’t mean the merger isn’t going south but it does untether Jackson from its trajectory. 1News included a question about the merger in its recent poll. While 41% of people were against it and 28% were for it, 31% of people answered “don’t know”. That could suggest a couple or a combination of things: it's not quite the political boil it might have appeared to be and some people are indifferent, or people don’t really understand it and it hasn't been explained well.
Strongest indication on fate of Three Waters
The strongest signal of policy intent came via Hipkins’ comments about Three Waters. As BusinessDesk’s Pattrick Smellie writes (paywalled), with two pieces of legislation passed, it “appeared to be in a bedrock position”. Yesterday Hipkins said the government would “look closely to make sure we have got those reforms right”. Nanaia Mahuta lost the local government portfolio, retained foreign affairs and slipped down the list rankings. As Manhire notes, there is a fair case to be made for Mahuta’s global/local portfolio split simply not making sense now borders are open but Hipkins’ previous comments about co-governance also give credence to the idea that some heat needed to be taken out of the water reforms.
The Minister for Auckland
Michael Wood was appointed as minister for Auckland. There is no Ministry for Auckland so it's an advocacy and conduit role. Labour last had a minister for Auckland when Helen Clark was prime minister and Judith Tizard held the role. It has the potential to create an interesting dynamic with mayors as observed in then-mayor John Banks’ comments when Tizard’s portfolio was disestablished in 2007. So far Wood and Auckland mayor Wayne Brown have presented a collaborative front on Auckland issues, including transport but funding for light rail remains unresolved and the big job and cost of flood recovery looms. Stuff’s Todd Niall looks at how their priorities might line up. National recently appointed Simeon Brown as the party’s Auckland spokesperson, setting up a matched opposition in the House that has already started with a bit of a dig.
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Petrol tax cut and half-price public transport extension likely
Stuff’s Luke Malpass is reporting that prime minister Chris Hipkins will announce an extension to the 25-cent petrol tax cut and half-price public transport. Those were set to end by March 31, as announced by finance minister Grant Robertson in December. The announcement is likely to be made today when Hipkins visits Auckland again. Malpass writes that it “seems to be part of an emerging Labour strategy under Hipkins which moves away from sharply ideological politics and looks to fight back and his political opponents on cost of living and the economy.”
Labour market data due this morning
The data covers the last three months of 2022 and will include unemployment figures and the rate of wage inflation. The Herald’s Liam Dann has a preview. Some economists are expecting the unemployment rate to be back to a record low for the year to December 2022, and wage growth to have continued. While there are expectations that rising interest rates will slow economic growth and we’ve certainly had strong signals about hiring intentions and business sentiment recently, Westpac acting chief economist Michael Gordon says these stats “lag the broader economic cycle, and the resurgence of wage inflation in particular likely has further to run.”
Chateau Tongariro to close its doors
I’ve never been to the Chateau Tongariro but it always loomed large on that landscape and as a destination I thought I might get to. Now that chance is gone as the hotel, located in the Tongariro National Park, will close permanently from Sunday. The Chateau has been in consultation with the Department of Conservation about the renewal of its 30-year lease, which expired in April 2020. A recent seismic assessment found that underground shifts meant some of the hotel infrastructure no longer meets current safety standards. A spokesperson for the hotel’s owners said the voluntary administration of Ruapehu Alpine Lifts, last year’s poor snow season and the impact of the pandemic on tourism also contributed to making continued operations unviable.
Click and collect
Waitangi Day commemorations are still set to go ahead despite Northland’s state of emergency
James Shaw looks for cross-party support for new climate change rules
Auckland’s historic flooding explained in five charts
Ban on blood donation because of mad cow disease likely to be lifted
Dunedin city council has voted unanimously to fight changes to the city's new hospital
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Chris Schulz has a step-by-step guide to sorting out your flood-damaged home. Jules Older remembers Dr Bruce Gregory, Māori health advocate and the ultimate community doctor. Timothy Welch explains how "sponge cities" can help avoid future flooding disasters. Jamie Wall reviews a hefty tome inspired by the life of Gallipoli veteran / All Black Son White. And Duncan Greive has resigned as CEO of The Spinoff – he writes about the decision, and the person replacing him.
