Phil Twyford, in Committee, to move the following amendment:
New clause 16A
Before clause 17 (before line 11 on page 12), insert:
16A Use of funds
(1) Any proceeds generated for the Crown as a result of the sale or disposal of shares or securities in a mixed ownership model company must be paid to the New Zealand Superannuation Fund established under the New Zealand Superannuation and Retirement Income Act 2001.
(2) Any sale or disposal by or on behalf of the Crown of shares or securities in a mixed ownership model company is invalid and of no legal effect if the proceeds of sale or disposal are not dealt with in accordance with subsection (1).
The Government has announced its intention to direct funds raised by the sale of State assets into a “Future Investment Fund” which has no formal existence.
This amendment seeks to ensure that any funds raised by the sale of State assets, as proposed by this Bill, are actually used to invest in the future rather than for regular spending because the Government has been unable to balance the books. As such, this new clause would direct proceeds of sale towards the “Cullen Fund”.