In December last year, in September of this year, and most recently on November 6, John Key came out and said he would intervene and overrule the Commerce Commission methodology that has dramatically impacted on Chorus and the taxpayer funded fibre rollout.
Now, Amy Adams is perfectly capable of caving in to a crazy blowfish like Sue Chetwin thanks to a few press releases (and several of her colleagues expect no less), but it’s a completely different ballgame when its the Prime Minister’s reputation at stake.
You see, with Key making his comments on Chorus as he did, he made price sensitive statements that impacted on the investor environment regarding Chorus. When the PM said he’ll move to fix a bad decision impacting on New Zealand, he was believed. Overseas funds, as illustrated by the Australian fund in the media today, have indicated that they expect the PM and the Government to honour its word and intervene in order to prevent a brutal regulatory cut on the company that is tasked with rolling out the lions share of the government’s flagship policy. Read more »