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Allan Peachey … a man who put kids first

Posted by on November 7th, 2011

It was both very sad and a surprise to hear about Allan Peachey’s death today. I worked on the Education and Science Select Committee with him, some of my family taught at Rangitoto College under his reign.

He impressed me with his deep understanding of education and real commitment to getting the best for kids. Ultimately for him that was the test. He was no friend of National Standards. For his passion and understanding alone, he should’ve been the Minister.

He chaired the Select Committee in a true spirit of bipartisanship and was unfailingly polite to those who came before us. We differed in our politcal views – sometimes quite a bit – but that’s politics. We are poorer for his parting.

Our condolences go out to his family.


English defends community education

Posted by on November 1st, 2011

The government cut funding to Adult Community Education in 2009. The number of schools being funded fell from 212 to just 23. More than 150,000 New Zealanders who once attended night school now don’t have the opportunity. Great swathes of NZ no longer have schools offering courses as they once did.

The enormous value of community education was acknowledged by Bill English in 2005, while Education Spokesperson. He warned of the bureaucrats who wanted to take it away.

Here’s the first few lines and last paragraph of a speech he gave :

Community education has a long and honourable history. I recall my mother going off to night time classes in furniture restoration, a quiet space in the busy life of a household of 12 children. In a painting class I visited a few years ago a man told about how the tutor had changed his life by challenging him, teaching him and making him finish the picture. He described how he had become part of a warm community. There are thousands of stories about how human needs are met by the collective and aspirational activity of learning.

A great and warm story, experiences that many of us have also discovered … until a year or two ago that is. Now those sorts of tales are thin on the ground. All for saving $13.5 million.

Here’s how he finishes:

I support community based less formal learning opportunities. I want to work with you to retain the funding arrangement that allowed community learning to be so successful for so long, and develop new mechanisms with the same qualities if your needs can be better met. In the end community learning should be driven by the community. It is not enough just to engage your organisations in consultation. You need the authority to make the decisions that make a difference to the community and the people you know. I want to make sure you have it.

He didn’t stop Tolley putting in the boot, despite being Finance Minister. Pity he didn’t reflect on those warm memories then.


A note to those who supported VSM

Posted by on October 13th, 2011

Massey Unniversity has responded to the Voluntary Student Membership Act by increasing its fees next year by an amount about equivalent to that paid by students to their Student Associations.

Just to note:
- it seems like the fees are compulsory
- the government will have a big say on what the increase can be used for – not even the university
- it looks like students through their association may be able to negotiate with the university about what services are kept – but no guarantees
- it’s likely to be the model that will spread across NZ – I was in Waikato University yesterday and they are looking at something similar

So all those who backed VSM will still pay the same, but you won’t have any real say about how your money is spent – even less if you decide not to belong to the student association. Taxation without representation it’s called.

And now you don’t even get the choice of a referendum.
What was wrong with an opt-out clause and accountability around association spending as we suggested?

Well done. Everyone loses.


Labour’s Tertiary policy announced

Posted by on October 10th, 2011

We have just put out Labour’s tertiary policy. It follows on the big effort that we’ve made to lift skills in our workforce. No need to remind people that times are tough and it’s tough getting any new money. But I think we’ve got a pretty solid mix here that will make a difference.

The key aim is produce the best graduates we can – and keep them in NZ – to help us grow a smart, high-value economy.

The policy has some specifics targetting some of our smartest. It puts back the post-doctoral scholarships for scientists who finished their PhDs that was canned last year. This is critical for not only keeping our best here and giving them time to consolidate their studies, but bringing some of our best back. After all, we’ve already invested massively in these people.

We’ve also put additional funding aside for funding our very best where they are world beating. The ‘brilliant scientist’ concept is simple – give sufficient funding to our best scientists and academics to employ the staff they want, buy equipment they need and then let them get on with it. Smart people attract others – from around the world. Backing our best with resources will grow expertise in core areas where our talent is top shelf. And we DO have some fantastic talent. Those researchers will receive funds personally and are free to choose the NZ institution – or business – where they want to set up.

Other parts of the policy: we must maintain and raise the levels of our universities. Recent results show we are slipping in the world rankings and there’s little doubt that funding is a key part. We run universities that are some of the most efficient in the world, where an extra dollar can really make a difference. Our policy maintains our level by inflation proofing our universities and sets our commitment to increase it.

We need to maintain the affordability of our tertiary institutions so all NZers that reach the standard can access a high quality tertiary education, no matter what background they come from. There’s aspects in the policy here for that too, fixing tuition increases at 4% and restoring $2 million to the Training Incentive Allowance to give a lift to those who want to get a tertiary education – solo mums for example – to get some support. Remember this is the one that helped Paula Bennett before this government axed it.

And we’ve put back the money for adult and community education. Cutting $13.5 million and collapsing it was a travesty. More than 150,000 people no longer access night schools who once did. This is a no-brainer for people wanting to get back into learning.


Students will lose, but still pay

Posted by on September 26th, 2011

ACT and National will push voluntary student association bill through parliament this week on the last Members Day. We can expect a good deal of student opposition around the country. Good for them.

Next year, students won’t pay any fees to student associations. That’s inevitable, would you pay your council rates if they were voluntary? Wherever student associations have become voluntary they effectively collapsed.

What happens next?

Well, the university, polytech or institution will step in, charge students a levy, and continue some of the services through subcontracting companies or students to do it for them. It’s already been gazetted (NZ Gazette No. 138). Institutions can charge students for: advocacy and legal advice, careers advice and guidance, counselling services, employment information, financial support and advice, health servieces, childcare facilities, sports and recreation facilities.

In other words, all the stuff that supports students and makes these institutions of learning vital, interesting places.

So, voluntary student association membership will result in … money taken off students compulsorily, leaving them with no power to determine what services are kept. Taxation without representation is one way it can be represented.

The National-Act spin that student associations are the last bastions of compulsory unionism is bollocks … it’s idealogy pure and simple.

We could’ve had a good, enduring Bill with an opt out clause and some rules around accountability of student association spending. I’d spoken a number of times with Heather Roy about some possibilities. She was willing to compromise when she her Bill looked in doubt but held the hard line when she thought she’d get it through.

Too bad, fortunately it won’t last long.


Getting behind Palestine

Posted by on September 22nd, 2011

I was pleasantly surprised by the NZ Herald’s editorial today backing the Palestinian bid for statehood. That’s in line with popular support across the world. A recent poll conducted in conjunction with the BBC showed the a majority of people surveyed across a range of countries, including the US, support the Palestinians bid. I would imagine the same would be the case here.

The Palestinians have been trying to secure a state for years based on the internationally recognised 1967 borders with Israel. The longer the talks go on, the more that Jewish settlers build their homes inside a future Palestinian state – around half a million at last count with numbers growing by more than 5% a year.

The issues are not that complicated. Palestinians want to determine their own future. They want freedom, just like other Arab states who we back wanting the same thing. They already conduct democratic elections. What makes it complicated is the Palestinians are occupied by Israel. And Israel’s tail wags the US dog. Already Obama is coming under pressure from the Republicans for not being staunch enough backing Israel.

Obama doesn’t want to give Palestinians the chance of a vote, because the US will need to veto it. And that will look bad in the eyes of not only Arab states, but most of the rest of the world’s states which will support the Palestians.

That’s a US problem. New Zealand should support the Palestinians simply because it’s right. It won’t solve the problem, it won’t stop more settlers building on land that’s not theirs, but it’s an important principle.

Meanwhile, there’s powerful paddling to avert a showdown.


Fyfe on clean, green … and joining the ETS

Posted by on September 17th, 2011

Rob Fyfe, Air NZ’s CEO, gave a fascinating interview with Katheryn Ryan yesterday. He’s a member of Pure Advantage – the group that was set up a few months ago with people like Stephen Tindall, Phillip Mills and others to enhance our clean, green image and make money out of it. He is considering Air NZ voluntarily entering the ETS at 2013 despite a recent report recommending we delay until 2015.

What does he say?
He was affected by a British journalist saying to him she’d love to come to NZ but couldn’t bring herself to go as it was like going “to a Greenpeace rally in a hummer”.
“We need to show leadership [on clean, green issues] rather than align ourselves with every other country.”
“We as a country … have to make a decision”.
“Air NZ has reduced its fuel burn by 13%. “70% of international visitors coming to NZ do care and would prefer to fly on airline that is making an impact.”
“People come to NZ because we are clean and green, not for the shopping. So brand and perception has enormous value.
“We take our environment for granted … as a nation we think in short term-ism. People see the cost and not the long term value.
“Political cycles make for short term thinking, therefore business needs to take a lead.

In other words, clean and green is very good for business. Pity other businesses and farmers don’t feel the same as Fyfe does and that he has so little faith in government.


McCully takes charge … again

Posted by on September 13th, 2011

McCully doesn’t need to apologise, yes he micro-managed the RWC, but everyone it seems screwed up except him. So in his mind it’s perfectly logical he takes charge. A question: did McCully inform Key before he invoked the emergency legislation that cut the Auckland Council off at the knees – or did he just go it alone?

McCully didn’t see the need to let Len Brown know before telling the world he was taking over, not even a courtesy call – and if Key did know, neither did he. Is that a touch arrogant?

Probably, I imagine that he decided the Council deserved it for spoiling his world cup. But rather than pushing the blame on to the Council, it’s more an admission of wider failure. And for the world’s media, McCully has given the story new legs.

And maybe I missed it, but unlike the PM and Mayor, I didn’t hear the Minister for the Rugby World Cup say sorry. But I guess he’s been too busy being more in charge.


First world event, third world rail

Posted by on September 12th, 2011

I just hope that Saturday night’s transport debacle stimulates some real thinking about Auckland’s transport. The fingerpointing is out: bigger crowds than expected, alcohol, idiots pushing the emergency stop button, though that happened at the U2 concernt and should have been factored in.

But a world class event being held with a third world train system lies at the heart of the problem. When can Aucklanders finally see a world class transport system like other cities of our size? Not with the rear-visionary Steven Joyce in charge.

Other than adding a few more electric trains to the current order, there have been no new rail initiatives announced by this government – except for pouring a bucket of cold water on the Coucil’s inner city link. Without it we can’t expand the system including running trains to the airport – something that Aucklanders see as a top priority and a symbol of us joining other smart cities – because the network will not run frequently enough without a link.

So hopefully Saturday’s failings – in the midst of a great, great opening – will get Joyce out of his yesterday’s thinking and support the Council rather than white-anting its plans.


Libyan excitement

Posted by on August 25th, 2011

Last night a friend called who had just left Tripoli. She talked about the excitement on the streets and impending change – most people in Libya have never known any other leader other than Gaddafi. She spoke of real apprehension about the future and what might happen.

The next few weeks are especially critical. Few countries that have been under a dictator for so long escape reprisals. Those who benefited from the regime and their families are sought out, members of Gaddafi’s tribe – which is a largely downplayed aspect of Libya are likely to be targets.

But the big factor that I hope has been learned from Iraq is that there is no need to dismantle the army, the bureaucracy, even remove the heads of corporations. Selective removal of Gaddafi officials will be insisted on, but hopefully the key health and education services and importantly the finance and oil infrastructure will continue.

It’s delicate. Outside help should be that – helpful – not intrusive or dominating as big Western states can easily be. But Libya is not poor and if the next few months can be handled carefully, Libya may be better poised to move on more quickly than those other Arab states experiencing spring.


Yet another reason not to put money into the Holiday Highway

Posted by on July 18th, 2011

Here is yet another reason not to put money into the Holiday Highway – the land won’t support it. The NZ Transport Agency calls it “geological challenges”. That’s bureaucracy speak for very expensive. I get the feeling that Joyce is getting cold feet on his white elephant.

For around one-tenth the cost we could upgrade the current State Highway 1 meet the efficiency needs and improve the safety. Check out Auckland Transport Blog for a better solution. They do some excellent, thoughtful stuff.

How can Joyce explain this highway to the people of Christchurch? Building this new highway is simply wrong when we look at what this country needs.


Time for Joyce to drop the Holiday Highway

Posted by on July 14th, 2011

It’s not just a stupid project, it’s now confirmed.

The Herald’s polling on people’s preference for a Holiday Highway or an Inner City Rail Link confirmed that by well over 2 to 1 they wanted rail. Even those outside of Auckland preferred rail.

Time for Joyce to drop his Holiday Highway and save the country some money. There are plenty of areas where it could be better spent.


There’s money in being green

Posted by on July 8th, 2011

I was at the very cool and slick launch of Pure Advantage last night. There’s been a bit of media around it, but the message is simple – NZ is clean and green and it’s not only a great thing but we can leverage it to make money out of it. Check out their facebook and website.

A line from last night:
China has committed a trillion dollars to alternative energy. And it’s not because they care about trees.

There’s money to be made in being green.


Immigration for innovation, lessons from NY

Posted by on July 5th, 2011

Here’s some smart thinking by the Mayor Bloomberg of New York City. Something I think we should copy.

…”The Mayor proposed green cards for graduates with advanced degrees in essential fields; a new visa for entrepreneurs with investors ready to invest capital in their job-creating idea; more temporary and permanent visas for highly skilled workers…The Mayor also announced the results of a study conducted by the Partnership for a New American Economy – a bipartisan group of business leaders and mayors from across the country – that found more than 40 percent of Fortune 500 companies were founded by immigrants or the children of immigrants and those companies employ more than 10 million people worldwide and have combined revenues of $4.2 trillion.”

A resident permit for every foreign graduate with qualifications that we value and need, especially those who complete studies here. Not only smart, educated immigrants with skills we want who have also gotten to know NZ while here, but those with valuable links back to their home countries. A no brainer?


Opportunity or cost

Posted by on July 4th, 2011

I met the German Foreign Minister,  Guido Westerwelle, a few weeks ago with Phil Goff. I asked him about the extraordinarily bold move the German government had made to phase out nuclear power over the next 10 years after the events at Fukushima. His reply was interesting. He said that it wasn’t such a surprising move to anyone who understood the feeling towards nuclear power in Germany. But then he said he thought the move would be an opportunity for innovation particularly for German manufacturing. Looking forward, he felt it would stimulate Germany to become a world leader in clean technology and power generation. 

 It made me think whether NZ could contemplate the opportunities that might come with joining the ETS, rather than the usual focus on cost.


R&D is worth banging on about

Posted by on June 30th, 2011

I keep banging on about the importance of R&D in our economy. But here’s an interesting graph on R&D.

R and D graph

 http://www.psfk.com/wp-content/uploads/HLIC/b0a29805980d0c046a5a16c60fe2731e.jpg

 It shows the number of patents filed per dollar spent on R&D. We come out about fourth best, in other words, we’re really efficient at converting our R&D money to patents.

 Before we start congratulating ourselves, imagine spending more. We spend less on business R&D than almost all those other countries. Yet if we use this graph as a guide, each $1 million we spend in addition would likely provide us more patents than just about any other country (up to a limit of course).

 Then look at Korea. Where will it be in 20 years – exceed our GDP – it currently comes in just behind NZ?  You bet.

 Patents are not everything. We are NOT good at commercialising our ideas, often in the form of patents. There are other reasons for that. But it’s the starting point for commericalisation.

 R&D is worth banging on about.


New Zealand’s first tertiary high school

Posted by on June 29th, 2011

Met with Stuart Middleton at the Manukau Institute of Technology today, the driver behind NZ’s first tertiary high school where students are simultaneously enrolled at school and MIT. The idea is that they transition from school, where most are about to leave anyway, and pick up a course at MIT. It’s a model that deserves copying.

Mainly because students can see some outcome of their learning – and therefore get really passionate about it – the Tertiary High boasts impressive success. Their latest results for NCEA Level 1 for Maori and Pasifika are below, and remember this is from a group that otherwise were on the path to dropping out of school.

Maori

Nationally – 60.8% at MIT – 80%

Pasifika

Nationally – 54% at MIT – 71%

Pretty good results. We have a 20% drop out rate in NZ - 20% of 16 year olds are no longer at school. The big factor, according to Stuart, seems to be that once kids drop out it’s really difficult to pick them up again. Instead if they move to some other learning, it doesn’t matter which so much, but one that gives a qualification, the chances are incredibly high that they go on to another qualification.

Not rocket science, perhaps, but a scheme that’s based on principles worth instituting into policy.


Top NZ companies back R&D tax credits

Posted by on May 24th, 2011

There’s an interesting contrast in today’s NZ Herald between its rather muddled editorial that appears to poo-poo the R&D tax credit and what our two largest and most innovative companies, F&P Healthcare and F&P Appliances, are saying in the business pages. Both companies speak of the research benefits they gained from labour’s previous tax credit scheme.

I’ve yet to come across a high-tech company - and I’ve visited a lot - that doesn’t believe tax credits are a great thing. The top 100 of these companies generate $6.5 billion and high value jobs. Inevitable perhaps they would say that because they benefit, but with those sorts of numbers, it’s not rocket science to work out that we all win.


More R&D to build a smart economy

Posted by on May 23rd, 2011

Bringing in tax credits for R&D is the first part of Labour’s package to put NZ back on the path of growing the economy. Its key aim is to incentivise our exporting companies to invest more in new research, lift skills and build the clean, green and clever society.

National’s decision to axe the R&D tax credits in 2008 to pay for personal tax cuts, when the scheme was already in operation, was incredibly shortsighted. It highlighted Bill English as a bookeeper not a leader of the economy. But it ignored what is seen as international best practice. Only a handful of OECD countries don’t offer their private sector tax credits on R&D.

Ironically, Australia has lifted our tax credit policy brought in by the Labour Government and is currently passing through their Senate now.

Tax credits incentivise business to do more R&D. They boost our private sector R&D spend – currently languishing at about one-third of the OECD average. And, at 12.5%  if the full budgeted amount exempted tax is reached, the R&D spend by our companies will lift to more than $2 billion.

All the literature shows that increased R&D translates into greater productivity and lifts economic performance.

The grants and vouchers announced by Mapp last year – after a wait of two years after axing the tax credits – are effectively handouts from government. They lift government R&D spend slightly, but encourage business to put out their hand for a hand out.

And who gets a grant is decided by a Wellington bureaucrat not an entrepreneur. Only 40%  of those applying for grants were successful. Those who missed out are the innovative entrepreneurs with smart ideas and need that lift.

 It’s a first step to increase our productivity, but don’t underestimate the importance of pushing R&D.


The Aussie skills budget

Posted by on May 11th, 2011

If we wanted to see just how Australia’s budget set it on a path to further outstrip NZ, take a look at the priorities they set in the area of skills. I’ve divided their figures by 5 – Australia’s population is about 22m against our 4.3 – to get a very rough approximation for what this kind of investment might look like in NZ.

- $500 m ($3b in Australia) over 6 years to upskill the workforce

- $110m ($558m) to a new National Workforce Development Fund for 130,000 industry training places

- $40m (100m) on apprenticeships.

Will National’s budget come anywhere near to putting the same investment into skills and training? Well, I’m not holding my breath. But if you wanted the evidence to see the gap grow wider, here it is.