Posts Tagged ‘National’
I do not understand what the fuss is all about when it comes to John Key and the revelations in the so-called “Panama Papers.” So what if he and other Kiwi high rollers shield their incomes and assets from the IRD in assorted trusts, funds, investments and even shell companies? Isn’t it an axiom of capitalism that, as Donald Trump has openly stated, you try to avoid as much tax payment as possible? Forget all this nonsense about “paying one’s fair share of taxes.” Only rubes and idealists do that. Everyone else tries to minimise their tax exposure and the rich pricks just do so on a grander and more elaborate scale.
I say this because the entire NZ economy is riddled with tax avoidance. One of the things that struck me after I moved to NZ is the amount of cash transactions that are done with the explicit intention of avoiding tax. Almost every single tradesperson I have dealt with in the course of my time here has proposed a cash transaction that avoids GST, but more importantly, avoids traceable electronic or paper (cheque) financial transfers. And the offers of non-GST cash transactions are done without shame or concern; it is just part of doing business for many people and everyone knows it and acts accordingly based on their own circumstances.
If what I have seen in the small business trade and service sector is any indication, then it is reasonable to expect that such attitudes percolate upwards into larger corporate structures and repositories of wealth. Since these are too big to hide in a cash-only parallel market, the next best thing is to engage in tax evasion and income-hiding schemes whose complexity is based upon the ability of the tax authorities to uncover them. The move to off-shore trusts and the like is simply a matter of keeping one or two steps ahead of the law and three steps ahead of enforcement mechanisms. If those in government choose to structure the financial regulatory regime in such a way that it keeps the holders of wealth five to ten steps ahead of the tax authorities then, well, you get what you vote for.
The difference between the approach of NZ high and low rollers when it comes to tax evasion is in scale, not kind.
This is one reason why I believe that the Transparency International rankings that have NZ listed among the top three least corrupt nations on earth are rubbish. Add to that the nepotism, cronyism, shoulder-tapping, sinecure swapping and insider trading of everything from personal and professional favours to board directorships to stock shares, and the picture of NZ is far less rosy and far more, let us say, “pragmatic.” I am particularly critical of the TI indexes because not only are they mostly based on reputational analysis (mostly offered by those who stand to gain from gaming the system), but because I participated in a TI survey of NZ’s intelligence and defense forces and saw my scores (and those of some others) pretty much discarded in favour of higher scores offered by insiders that led to an overall TI assessment that NZ has the highest standard of professional integrity amongst the defense and intelligence services in the Asia-Pacific.
Even so, I am one of those who are a bit idealistic when it comes to taxes. I understand the concept of public goods and therefore comprehend the rationale behind taxation. In NZ I pay tax more readily at a higher rate than I did in the US because, among other things, I am not paying to support a huge war machine that in turn serves the interests of a taxpayer subsidised military-industrial complex. As a small business owner I feel the burden of taxation more heavily and immediately than the corporate moguls that run the nation’s largest firms and whose bottom lines rest on minimising two things: their tax liabilities and their labour force wage bills. Yet I try to believe that I am contributing my small bit towards maintaining a high standard of public education, health and welfare that will lead to future generations of productive and happy citizens (although my experience with NZ academia suggests seriously diminishing returns in that sector, and I have serious doubts that overall heath, education and welfare outcomes are on the rise rather than in decline as a result of nearly a decade of National government public policies).
In spite of these misgivings, I remain a residual idealist and want to believe that my contributions, when taken collectively with those of others, matter for the present and future well-being of NZ. But I do not expect others to share the same hopelessly naive view of how the systems works, and I therefore do not begrudge them trying to dodge the taxman as much as possible. Because in a country where market-reifying ideologies reign supreme in virtually every facet of life, only a fool like me would think that paying taxes is anything but state-imposed theft levied on the productive in order to buy the acquiescence of the parasitical. I know this to be true because National, ACT and certain elements in Labour tell me so, and who am I to argue with those who dominate our economic, political and social narrative?
The TPPA signing came and went, as did the nation-wide protests against it. I did not think that the government was going to be swayed from publicly commemorating what it considers to be the crown jewel of its trade-dominated foreign policy, but I had hoped that the numbers turning out to protest would add up to more than 100,000. At least that way the government could be put on notice that a sizeable portion of the electorate were unhappy about the surrender of sovereignty to corporate interests enshrined in the 6000 page text. Alas, the numbers assembled came nowhere close.
One interesting sidebar was the decision to stage a parallel protest at the Sky City complex rather than join with the larger protest march down Queen Street. The specific objective of the Sky City protest was ostensibly to use so-called non-violent direct action (NVDA) and other acts of civil disobedience to block the streets surrounding the gambling complex. In the build up to signing (and protest) day the leaders of the two rival demonstrations publicly debated and largely disagreed on the merits of each. The Queen Street march organisers were concerned that any pushing and shoving at Sky City would feed into the government’s narrative that the matter was a law and order issue (following reports that the police had conducted riot control refresher training and door knocked activists warning them about the consequences of unruly acts). The leaders of the Sky City blockade argued that peaceful marches were simply ineffectual and were ignored by policy-makers. As it turns out, both were right.
The Sky City protesters, some of whom showed up in helmets and assorted face coverings, were forcibly prevented by the Police from effectively shutting down access to and from the venue and surrounding areas. The activists responded by engaging in a series of rolling blockades of major intersections, including the Cook Street on-ramp leading to the Harbour Bridge and Northern Motorway. This continued well after the signing ceremony was over and while the Queen Street march was still in progress. That had the effect of causing gridlock in the Auckland CBD.
Coincidentally or not, there was a bus strike that day. Although Auckland Council allowed its employees to work from home, many other entities did not. That meant that people who normally used buses to get to work had to use alternative transportation, including cars. That added to the number of cars on Auckland inner city roads at the time of the rolling blockades. Needless to say, motorists were not happy with the seemingly random temporary road closures in and around the CBD.
That is why things got too clever. As a tactical response to the police thwarting of the initial action, the move to rolling blockades was ingenious. But that bit of tactical ingenuity superseded the strategic objective, which was to draw attention to the extent of TPPA opposition. In fact, it appeared that the Sky City activists were trying to outdo each other in their attempts to make a point, but in doing so lost sight of the original point they were trying to make. After all, blocking people from leaving the city after the signing ceremony was over was not going to win over hearts and minds when it comes to opposing the TPPA. Plus, it displayed a callous disregard for the motorists affected. What if someone was rushing to a hospital to be with their badly injured child or terminally ill parent? What about those who needed to get to work on time so as to not be docked pay? What about cabbies and delivery people who earn their livings from their vehicles? None of this seems to have factored into the blockader’s minds. Instead, they seemed intent on proving to each other how committed they were to causing disruption regardless of consequence to others.
I have seen this before in other places, most recently in Greece, where anarchists and Trotskyites (in particular but not exclusively) infiltrate peaceful protests and engage in acts of violence in order to provoke what are known as “police riots” (a situation where isolated assaults on individual police officers eventually causes them to collectively lash out indiscriminately at protesters). Fortunately, NZ does not have the type of violent activist whose interest is in causing a police riot. Unfortunately, it has activists who seemingly are more interested in establishing and maintaining their street credentials as “radicals” or “militants” than using protest and civil disobedience as an effective counter-hegemonic tool. So what ended up happening was that the Sky City protestors were portrayed by the corporate media and authorities as anti-social misfits with no regard for others while the Queen Street march was briefly acknowledged, then forgotten.
On a more positive note, Jane Kelsey has to be congratulated for almost single-handedly re-defnining the terms of the debate about TPPA and keeping it in the public eye. As someone who walks the walk as well as talk the talk, she was one of the leaders of the Queen Street march and has comported herself with grace and dignity in the face of vicious smears by government officials and right wing pundits lacking half the integrity she has. I disagree about the concerns she and others have raised about secrecy during the negotiations, in part because I know from my reading and practical experience while working for the US government that all diplomatic negotiations, especially those that are complex and multi-state in nature, are conducted privately and only revealed (if at all) to the public upon completion of negotiations (if and when they are).
For example, the NZ public did not get to see the terms of the Wellington and Washington Agreements restoring NZ as a first-tier security partner of the US until after they were signed, and even today most of their content has been ignored by the press and no protests have occurred over the fact that such sensitive binding security arrangements were decided without public consultation. More specifically with regards to the TPPA, no public consultations were held in any of the 12 signatory states, and in the non-democratic regimes governing some of those states the full details have still not been released. Even so, I do think that it was a good opposition ploy to harp about “secrecy” as it simply does not smell right to those not versed in inter-state negotiations. In any event, what Ms. Kelsey did was exactly what public intellectuals should be doing more often–informing and influencing public opinion for the common good rather than in pursuit of financial or political favour.
I would suggest that opponents of the TPPA focus their attention on the Maori Party and its MPs. The Green Party’s opposition to TPPA is principled, NZ First’s opposition is in line with its economic nationalism and the Labour Party’s opposition is clearly tactical and opportunistic (at least among some of its leaders). So the question is how to wrestle votes away from the government side of the aisle when it comes to ratification. Peter Dunne and David Seymour are not going to be swayed to change sides, but the Maori Party are in a bit of an electoral predicament if they chose to once again side with the economic neo-colonialists in the National government.
For all the sitting down in the middle of public roadways, it may turn out that old fashioned hardball politicking may be the key to successfully stymying ratification of the TPPA in its present form.
Now THAT would be clever.
I was a replacement panelist invited by the New Zealand Institute of International Affairs to join a discussion in Wellington on the Iranian nuclear agreement. It was a a pleasant event that addressed the pros and cons of the deal. I was impressed with some of the speakers, particularly Dr. Parsi from Lund University (speaking via Skype). I was less impressed with the Israeli discussant and the statements (not question) by an official from the Iranian embassy who was in the audience. All in all, it was an engaging affair and I encourage the Institute to continue with such public outreach efforts.
I spoke a bit about how the deal can be viewed on two analytic levels: as a First Image (interstate) issue and as a Second Image (domestic sources of foreign policy) matter. I mentioned that a way to conceptualise the agreement is as part of a “nested game” (to use a game theoretic term): the deal is part of a series of interlocked interactions (or “games’) that can be seen much as those iconic Russian dolls are (one inside the other) or as building blocks towards a larger whole. I noted that the core of the agreement was to exchange trade for recognition and security–in other words, Iran gets more trade and recognition of its legitimate interests and stature as a regional power by putting the brakes on its nuclear weapons development program with an eye to cancelling the weapons program altogether should the agreement prove beneficial for all sides. They main lever is another trade-off: dropping of international sanctions against Iran in exchange for a rigorous international (IAEA-managed) inspections regime.
For those who are not familiar with the agreement, it is not a bilateral US-Iran affair although they are the major players in it. Instead, the treaty was negotiated by the P5+ 1 parties and Iran, the P5+1 being the permanent UN Security Council members (the US, UK, France, China and Russia) plus Germany. For those interested in the details of the deal, the official US government position is outlined here (which includes the text of the full Agreement itself). A US translation of the Iranian interpretation can be found here. The fact that the P5 agreed to the deal is remarkable given their history of disagreement and subterfuge on matters of international security.
There was an interesting sidebar about “breakout time” introduced by the Israeli, who waxed hysterical about the apocalyptic implications of the deal. Dr Parsi noted that “breakout” refers to the time needed to enrich uranium to weapons grade, in response to the Israeli claim that the deal gave the Iranians a breakout potential of one year. Prior to the deal, that enrichment breakout threshold was two weeks. The point is that “breakout” time refers to the time needed to begin enriching uranium to weapons grade rather than the time needed to build a bomb.
Dr. Parsi noted that “breaking out” on enrichment is not the same as putting nukes on missiles. I said nothing at the time but here I actually know a bit without being a nuclear scientist ( I studied nuclear strategy under one of the original strategists behind the nuclear bombing of Japan and so-called MAD theory. He grappled with the moral dilemmas involved in front of me and my student cohort at the University of Chicago (home of the Manhattan Project) and later changed his mind with regard to MAD). The notion that Iran can start enriching uranium or reprocessing plutonium to weapons grade in a short period of time and then quickly build a missile launched nuclear warhead is simply mistaken.
From a technical viewpoint beyond the specifics of Iran’s enrichment and reprocessing programs, the problem of weaponising nuclear material is simple. Unlike the multi-ton “dumb” bombs that were dropped on Hiroshima or Nagasaki using concentrated high explosives as triggers focused on the nuclear material, the bulk of testing then and now consists of reducing the nuclear payload to a size that can be carried in the nose cone of an (increasingly small and light) intermediate range or intercontinental missile (IRBM or ICBM). The smaller the size of the delivery vehicle, the better its chances of avoiding surface to air or air to air interception. Given that requirement and the need for accuracy, nuclear payloads share very tight space with guidance systems. All of which is to say that given the weight constraints on a high velocity long range projectile, the “bomb” has to be miniaturised for maximum bang for the buck. Doing so requires downsizing the trigger mechanism from focused high explosives to something else. Laser triggers are one option. There are others. All of them are off limits to the Iranians irrespective of the deal. So not only is the fear of “breakthrough” unfounded and exaggerated for political purposes, but the real concern regarding mounting nukes on missiles is subject to both contractual and non-contractual enforcement.
My general view is that the agreement is worth doing. Other speakers and I commented on the downside, which mostly involves the reaction of Israel and the Sunni Arab oligarchies as well as domestic opponents in Iran and the US. I noted that there are disloyal hardliners in both the US and Iran that have potential veto power over the deal in the future should governments change, and that it was imperative for the soft liners or pragmatists to accrue tangible benefits from the deal in order to resist the sabotage efforts of hardliners who have vested interests in keeping tensions alive between the two countries. I made the point that Iran is more akin to Cuba than North Korea, and can be brought into the community of nations so long as it was recognised as a regional power with legitimate interests.
Speaker’s times were very limited (7 minutes each), so I was unable to fully address what I had intended to say. So let me do so here.
The lifting of sanctions on Iran as part of the quid pro quo at the heart of the deal opens a window of trade opportunity for New Zealand exporters and importers (more so the former than the latter). Coincidentally, Foreign Minster Murray McCully has announced that in a few weeks he will be leading a trade mission over to Iran to discuss those opportunities. This is in advance of the implementation of the accord (which goes into effect at the start of next year) and is, as far as I can tell, the first official Western government led trade mission to Iran in the wake of the signing of the agreement.
But let us be clear on what that mission needs to entail. Although Iran’s human rights record needs to be mentioned, however pro forma by McCully, to his Iranian counterparts, the point that must be emphasised is that New Zealand’s opening of trade relations with Iran is absolutely, explicitly contingent upon Iran adhering to its part of the bargain. Should Iran in any way shape or form renege on the letter or the spirit of the agreement and the inspections regime that it authorises, then McCully needs to make clear that New Zealand will terminate or at least suspend until Iran complies all imports and exports to the Persian giant.
I say this because under McCully and Tim Groser MFAT has turned into the Ministry for Trade with Anyone for Trade’s sake. Human rights and non-proliferation are not part of the Groser/McCully negotiating agenda. But in this instance both need to be and the latter has to be. The profit margins of New Zealand exporters and importers and the tax revenues derived thereof must not and cannot supersede New Zealand’s commitment to upholding the terms of this non-proliferation agreement in the event of violations. Those involve re-imposing sanctions, and the bottom line of private interests must not come before the commitment to non-proliferation, especially given New Zealand’s long held diplomatic stance on the matter.
McCully also needs to explain to New Zealand importers and exporters that any contracts they let in Iran are contingent and externally enforceable. That is, they are contingent on Iranian compliance with the inspections regime and the overall thrust of the Agreement (which is to reduce the prospect of weaponising its nuclear program); and they are subject to outright cancellation or suspension by the New Zealand government under penalty of law in the event Iran reneges or violates its side of the bargain. There are opportunity costs and risks involved, and these need to be outlined to interested parties in advance of the mission.
From announcements so far, it does not appear that the National government is interested in making such demands of the Iranians or its market partners. Instead, it appears that it is opportunistically jumping to the head of the cue of potential trade partners and will let the private sector lead the charge into trading with Iran. That is curious because McCully speaks of “not getting offside” with the P5+1, but the very fact that he mentions the possibility of “getting offside” indicates that he and his MFAT minions are considering the costs and benefits of doing so.
The Iran deal hinges on two things: verification and enforcement. There are instruments in place to verify that Iran is upholding its part of the deal. The sanctions will begin to be lifted on January 1, 2016. But it is enforcement of the terms that is the most uncertain aspect of the Agreement. If New Zealand does not explicitly tie its renewed trade with Iran to the latter’s compliance with the terms and be prepared to halt trade with Iran in the event that it does not comply, then it will begin the slippery slope of undermining the deal. For a Security Council member that depends more on reputation than power for its influence, and which has a past record of leadership on non-proliferation, that is a hypocritical and ultimately vulnerable position to be in.
I must be getting soft, but the image of the drowned Syrian child haunts me. Perhaps it is because I have a two year old or perhaps I am just getting sentimental and weepy in my advancing age, but it is doing my head in. I am not going to be the same for having seen it.
I say this because I have watched and read the coverage of the crisis for a while now and like so many others have not only wondered why the EU cannot craft a viable humanitarian response, but have also been struck by the nasty attitude of so many commentators here in NZ as well as in Europe, most of them on the Right, when considering the plight of these godforsaken people. So let me outline my thoughts on the matter.
The Syrian civil war is a man-made humanitarian disaster. Had it been a natural disaster with the same human impact, I doubt that the response would be the same as it is today. It no longer matters who started it, who is involved, who is to blame and when it might end. The people who are fleeing the war are non-combatants whose hand has been forced by events beyond their control. Those who say they have a choice to stay or go are either fools or cynics. That is like saying that a person subject to domestic abuse has a choice to stay or go. Or that a person has a choice to stay or go in a fire. Sure, they could stay but is that really an option? Did that Syrian child and his family really have a choice? Did they deserve their fate for having “chosen” to seek refuge in a supposedly safe part of the world? (the mother and two boys, ages 3 and 5 died; the father survived and has returned back to Kobani to bury them).
When people up stakes, leave most of their material possessions behind and bring their children on perilous journeys to foreign lands to which they have no prior ties and which are culturally alien to them, they are not “migrants.” They are refugees fleeing catastrophe. It does not matter if the catastrophe is human or environmental in nature (and in Syria it has been both). The bottom line is that they have undertaken great risk–in fact, they are risking it all–to flee the country of origin because of a calamity that is no fault of their own. They are refugees seeking safe haven wherever they can find it (which means a place that is stable and economically viable), and any attempt to define them otherwise is not only wrong but viciously inhumane.
Many of those leaving are secular Muslims and Christians who have been targeted by either Assad’s forces, Daesh or both. Many are the bulk of the shopkeeping and white collar service classes whose livelihoods have been destroyed by four years of war. The majority are moderate in their beliefs and political orientation, which is why they (or at least the men) have chosen not to fight. Their children have no educational opportunity at home, much less future careers. They do not seek passage to Europe to establish a caliphate or even Islamise it. To the contrary, they are fleeing exactly that possibility.
For those who say that they should have “chosen” to seek refuge in Gulf or North African Muslim states, be aware of two things: 1) they are refused at the borders; and 2) they are considered undesirables in any event given their relative secularisation and the fact that they are considered second-class Arabs (as are Palestinians) by many Gulf oligarchies (they very same that are funding and arming Daesh). So that possibility simply does not exist.
Refugees do not choose to leave or where to stay. They may have their preferences but they live at the mercy of others. But that is the operative term: mercy. Along with compassion and empathy, that is what distinguishes open societies from closed ones. And yet Europe has shown itself closed-minded on the issue in spite of the ongoing tragedy unfolding on their beaches and doorsteps.
Unfortunately, in today’s polarised ideological climate those virtues are disappearing in the West. That includes New Zealand, where Islamophobia and the “greed is good” mantras of the so-called neo-liberal elite have combined to encourage xenophobic, “me first” “f*** them” attitudes in the population. In spite of the fact that as far as I can tell no Syrian has ever done harm to New Zealand (and NZ has a small Syrian expat community), the National Party and its supporters do not want to increase the country’s refugee quota in the face of this humanitarian crisis. It apparently does not matter that NZ’s international reputation as a humane and open society rests in part on its attitude towards refugee issues. Nor does it apparently matter that as part of the UN Security Council, New Zealand has a diplomatic obligation to lead by example. Or that a broad reading of the Responsibility to Protect doctrine suggests that protection be awarded to those fleeing conflict as well as those immediately subject to it.
Say what you will, the Syrian exodus is a true humanitarian crisis. The people fleeing are refugees, not migrants. The world, or at least that part of it that is open and funded on notions of compassion, empathy and mercy, has a duty of care to them. It is therefore imperative, and a matter of pure humanity, for Europe and other open societies to step up and help the refugees as much as possible. We may ask ourselves why China, Russia and other nations do not heed the call of the desperate. But the fact is that it does not matter whether they do or not. The moral imperative is to ourselves as well as to those in need.
That is why it is despicable for the Key-led government to shirk its responsibilities on this matter. We have the room, the facilities and the community to support an increased refugee quota targeted at the displaced Syrians. The people we accept will be vetted and are highly unlikely to be interested in jihad or Islamisizing the country. If we can spend $28 million on a flag referendum and $42 million on a boat race challenge, then surely we can find some (considerably less) money to cover the costs of their assimilation. And who knows, we as well as they might be the better for it.
To not do something is a sorry indictment of what we have become as a society, and for those in the government that refused to act, their collective shame will last long after they have departed. The bottom line is clear: regardless of partisan orientation the time to act is NOW.
John Key clearly loves his sports and hates funerals. In 2012 he opted to attend his son’s high school baseball tournament in the US (and spend a week in New York) rather than attend the funerals of the soldiers killed in combat in Afghanistan that year. In the following year he did attend Nelson Mandela’s funeral (in spite of his sketchy recollection of where he stood on the Springbok tour and the general issue of apartheid while it still was in force) but skipped that of Hugo Chavez (I cannot say I am surprised). Last year he declined to attend the funeral of Saudi King Abdullah (departed regent of a country that is a major trade partner and which sends a sizeable compliment of students to NZ each year). This week he declared that rather than attend the funeral of Lee Kuan Yew, considered to be the greatest Asian statesman of his time and a leader who forged close diplomatic and security ties with NZ, he is off to the see the Cricket World Cup final in Melbourne so that he can “support he boys.”
In his place will go Governor-General Sir Jerry Mateparae, who has done the drill before.
Mr. Key’s priorities seem a bit out of kilter. First he disrespects the fallen warriors in order to watch an inconsequential sporting event and visit his well heeled pals in NYC. Now he skips a major opportunity to cement ties in SE Asia and reaffirm NZ’s respect for a seminal world figure in order to watch a game of interest only to the Antipodean neighbours and die-hard followers of that particular sport. In fact, Mr Key appears to prefer combining sport and holidays with affairs of state, as his Hawaiian golfing foray with Barak Obama attests. But funerals over sport? Nah.
There is a difference between being a politician, a political leader, and a statesperson. A politician serves as a representative and legislator and acts most immediately according to personal ambition framed by partisan logics. A political leader provides direction and vision to his party and the nation at large, sometimes sacrificing immediate personal or partisan gain in pursuit of the national interest. A statesperson subordinates personal and partisan interest to that of the nation and the larger global community. S/he looks at the big picture first and foremost and orders his/her priorities accordingly. At his or her best and as much as practicable, a statesperson sacrifices personal and political self-interest in pursuit of the common good, both national and global.
John Key may be an avid sports fan (after all, he has appeared on the sports radio show of that paragon of domestic virtue, Tony Veitch). But one thing is even more certain: he is no statesman.
It turns out that nearly 5 months after getting re-elected, the government has decided on the composition of the Intelligence and Security Committee (ISC). Besides himself as Chair of the ISC, the Prime Minister gets to select two members from the government parties and the Opposition Leader gets to select one member from opposition parties. In both cases the respective Leaders are expected under Section 7 (1) (c,d) of the 1996 Intelligence and Security Committee Act to consult with the other parties on their side of the aisle before selecting the remaining members of the committee. The language of the Act is quite specific: “c) 2 members of the House of Representatives nominated for the purpose by the Prime Minister following consultation with the leader of each party in Government: (d) 1 member of the House of Representatives nominated for the purpose by the Leader of the Opposition, with the agreement of the Prime Minister, following consultation with the leader of each party that is not in Government or in coalition with a Government party.” (1996 ISCA, pp. 6-7).
Not surprisingly the government has nominated two National MPs, Attorney General Chris Finlayson and Justice Minister Amy Adams, for membership on the ISC. It is not clear if ACT, the Maori Party and United Future were consulted before their selection. What is more surprising is that Andrew Little nominated David Shearer and did not consult with opposition parties before making his selection. While Shearer is a person with considerable international experience and has been a consumer of intelligence (as opposed to a practitioner) during his career, Mr. Little has been neither. In fact, it can be argued that Mr. Little has the least experience of all the proposed members when it comes to issues of intelligence and security, which means that he will have to lean very heavily on Mr. Shearer if he is not not be overmatched within the ISC.
Moreover, in past years Russell Norman, Peter Dunne and Winston Peters have been on the ISC, so the move to re-centralise parliamentary oversight in the two major parties represents a regression away from the democratisation of representation in that oversight role. Since these two parties have been in government during some of the more egregious acts of recent intelligence agency misbehaviour (for example, the Zaoui case, where intelligence was manipulated by the SIS to build a case against him at the behest of or in collusion with the 5th Labour government, and the case of the illegal surveillance of Kim Dotcom and his associates by the GCSB in collusion or at the behest of the US government under National, to say nothing of the ongoing data mining obtained via mass electronic trawling under both governments), this does not portend well for the upcoming review of the New Zealand intelligence community that this ISC is charged with undertaking.
The Greens have expressed their disgust at being excluded and have, righty in my opinion, pointed out that they are the only past members of the ISC that have taken a critical look at the way intelligence is obtained, analysed and used in New Zealand. But that appears to be exactly why they were excluded. According to John Key, Labour’s decision was “the right call” and he “totally supports it.” More tellingly, Mr. Key said the following: “A range of opposition voices from the minor parties could railroad the process. I don’t think the committee was terribly constructive over the last few years, I think it was used less as a way of constructing the right outcomes for legislation, and more as a sort of political battleground” (my emphasis added).
In other words, Russell Norman took his membership on the ISC seriously and did not just follow along and play ball when it came to expanding state powers of search and surveillance under the Search and Surveillance Act of 2012 and GCSB Act of 2014.
That is a very big concern. Mr. Key believes that the “right” outcomes (which have had the effect of expanding state espionage powers while limiting its accountability or the institutional checks imposed on it) need to be produced by the ISC when it comes to the legal framework governing the intelligence community. Those who would oppose such outcomes are not suitable for membership, a view with which Andrew Little seems to agree.
This is so profoundly an undemocratic view on how intelligence oversight should work that I am at a loss for words to explain how it could come from the mouth of a Prime Minister in a liberal democracy and be tacitly seconded by the Leader of the Opposition–unless they have genuine contempt for democracy. That is a trait that W. Bush, Tony Blair and John Howard shared as well, but what does that say about the state of New Zealand democracy?
Mr. Little has given his reason to exclude Metiria Turei of the Greens from ISC membership as being due to the fact the Mr. Norman is stepping down in May and Mr. Little wanted “skills, understanding and experience” in that ISC position. Besides insulting Ms. Turei (who has been in parliament for a fair while and co-Leader of the Greens for 5 years), he also gave the flick to Mr. Peters, presumably because that old dog does not heel too well. As for Mr. Dunne, well, loose lips have sunk his ship when it comes to such matters.
The bottom line is that Mr. Little supports Mr. Key’s undemocratic approach to intelligence oversight. Worse yet, it is these two men who will lead the review of the NZ intelligence community and propose reform to it, presumably in light of the debacles of the last few years and the eventual revelations about NZ espionage derived from the Snowden files.
As I said last year in the built-up to the vote on the GCSB Amendment Act, I doubted very much that for all its rhetorical calls for an honest and thorough review process that led to significant reform, Labour would in fact do very little to change the system as given because when it is in government it pretty much acts very similar to National when it comes to intelligence and security. If anything, the differences between the two parties in this field are more stylistic than substantive.
What I could not have foreseen was that Labour would drop all pretence of bringing a critical mindset to the review and instead join National in a move to limit the amount of internal debate allowable within the ISC at a time when it finally had an important task to undertake (in the form of the intelligence community review).
As a result, no matter how many public submissions are made, or how many experts, interest groups and laypeople appear before the ISC hearings, and how much media coverage is given to them, I fear that the end result will be more of the same: some cosmetic changes along the margins, some organisational shuffles and regroupings in the name of streamlining information flows, reducing waste and eliminating duplication of functions in order to promote bureaucratic efficiency, and very little in the way of real change in the NZ intelligence community, especially in the areas of oversight and accountability.
From now on it is all about going through the motions and giving the appearance of undertaking a serious review within the ISC. For lack of a better word, let’s call this the PRISM approach to intelligence community reform.
We already know that John Key dissembles and misleads, especially on matters of security and intelligence. NZ is soon to put troops into Iraq as part of the effort to roll the Islamic Sate (Isis is an Arabic girl’s name) out of that country. For whatever reason Mr. Key will not admit to this even after the British Foreign Secretary mentioned that the NZ contribution will be a company sized (“100 odd” in his words) detachment.
The evidence of military preparation is very clear, with an especially selected infantry company training for desert warfare at Waiouru over the past few months and a detachment of SAS soldiers rumored to be already in theatre. The US and other anti-IS coalition partners have announced preparations for a Northern spring offensive against IS, centred around taking back Mosul from the jihadists. The decision to launch the offensive and the division of labor involving participating ground forces was made at the working meeting of coalition military chiefs in Washington DC last October (the chief of the NZDF attended the meeting although at the time Mr. Key said no decision had been made to send troops). Since the NZDF cannot contribute combat aircraft, armour or even heavy lift assets, it is left for the infantry to join the fray, most likely with a fair share of combat medics and engineers.
With his misrepresentations John Key only obscures the real issue. New Zealand has no option but to join the anti-IS coalition (which he has said is the price for being in “the club”) given the international commitments it has already made.
There are three specific reasons why NZ has to join the fight, two practical and one principled.
The practical reasons are simple: First, NZ’s major security allies, the US, UK and Australia, are all involved as are France, Germany and others. After the signing of the Wellington and Washington security agreements, NZ became a first tier security partner of the US, and as is known, it is an integral member of the 5 Eyes signals intelligence network. It therefore cannot renege on its security alliance commitments without a serious loss of credibility and trust from the countries upon which it is most dependent for its own security.
Secondly, most of New Zealand’s primary diplomatic and trading partners, including those in the Middle East, are involved in the anti-IS coalition. Having just secured a UN Security Council temporary seat at a time when the UN has repeatedly issued condemnations of IS, and having campaigned in part on breaking the logjam in the UNSC caused by repeated use of the veto by the 5 permanent members on issues on which they disagree (such as the civil war in Syria), NZ must back up its rhetoric and reinforce its diplomatic and trade relations by committing to the multinational effort to defeat IS. Refusing to do so in the face of requests from these partners jeopardises the non-military relationships with them.
The third reason is a matter of principle and it is surprising that the government has not made more of it as a justification for involvement. After the Rwandan genocide an international doctrine known as the “Responsibility to Protect” (R2P) was agreed by UN convention to prevent future horrors of that sort. It basically states that if a defenceless population is being subject to the depredations of its own government, or if the home government cannot defend the population from the depredations of others, then the international community is compelled to use whatever means, including armed force, to prevent ongoing atrocities from occurring. There can be no doubt that is the situation in parts of Iraq and Syria at the moment. Neither the Assad regime or the Iraqi government can defend minority communities such as Kurds or Yazidis, or even non-compliant Sunnis, from the wrath of IS.
That, more than any other reason, is why NZ must join the fight. As an international good citizen that has signed up to the R2P, NZ is committed in principle to the defense of vulnerable others.
So why have the Greens, NZ First and Labour (or at least Andrew Little) opposed the move?
The Greens are true to form with their pacifist and non-interventionist stance, but they are ignoring the matter of international principle at stake. NZ First is its usual isolationist self, acting blissfully unaware of the interlocking web of international networks and commitments that allow NZ to maintain its standard of living and international reputation (in spite of having Ron Mark to speak to military issues).
Most of all, why has Andrew Little run his mouth about reneging on the NZDF contribution to the anti-IS coalition (which involves formal and time-constrained commitments)? Little has previous form in displaying ignorance of international affairs, but this level of hypocrisy takes the cake. Does he not remember that the 5th Labour government started the rapprochement with the US after 9/11, and that it was the 5th Labour government that initially deceived and misled about the real nature of the SAS role in Afghanistan as well as the true nature of the mission in Southern Iraq (which is widely believed to have involved more than a company of military engineers). Is he not aware that a responsible country does not walk away from the security alliance, diplomatic and trade commitments mentioned above? Did he not consult with Helen Clark, Phil Goff or David Shearer before this brain fart (or did they gave him the rope on which to hang himself)? Does he really believe, or expect the informed public to believe, that on defense, security and intelligence issues Labour in 2015 is really that different from National? If so, it is he, not us, who is deluded.
All this shows is that Labour is still unfit to govern, or at least Little is not. If he does not understand the core principles governing international relations and foreign affairs, or if he chooses to ignore them in favour of scoring cheap political points, then he simply is unsuited to lead NZ before the international community. There is a big difference between being a political party leader and being a statesman. It is clear that John Key is no statesman, but his glib and jocular nature gives him the benefit of international respect so long as he backs up his talk with the appropriate walk. By comparison, Andrew Little comes off as some provincial rube who cannot see further than the nearest bend in the road.
Whether we like it or not–and there are plenty of things not to like about getting involved in what could become another military morass in the Middle East–NZ has an obligation to get involved in the fight against IS. The obligation stems not just from the particular disposition of this National government but from years of carefully crafted international ties under successive governments that give practical as well as principled reasons for involvement. Andrew Little should know that, and the Greens and NZ First need to understand that this is not about belonging to some exclusive “club” but about being a responsible global citizen responding to the multinational call for help in the face of a clear and present danger to the international community. Because if IS is not a clearly identifiable evil, then there is no such thing.
In any event the fight against IS is dangerous but cannot be avoided.
The matters I discussed in the previous post to do with reality-adjacent campaigning are about targeting voters with messages they can grok about issues they care about. But empiricism is not much good for deciding a party’s ideological values or for developing policy. Parties made up of committed ideologues remain indispensable for that reason.
As is often pointed out to me, I am not such a person. I have never been a member of a party, nor involved in a campaign, and I have little desire to do either. For some people this means I obviously don’t know what I’m talking about; fair enough. As an analyst, I prefer the outsider’s perspective. I don’t feel any pressure to be loyal to bad ideas or habits, and I try to answer only to the evidence. Ironically, though, there isn’t much hard evidence for the arguments I’m about to make about the medium-term future of the NZ left. Nobody has any. It’s value-judgements all the way down. So my reckons are as good as anyone else’s, right?
For mine, the major shift from the 2014 election — apart from the unprecedented dominance of the National party — is away from Small Vehicle politics and towards Big Vehicle politics. Only National and NZ First gained modestly. All other parties all failed to meet the threshold or lost support. The destruction of Internet MANA and the failure of a much-improved Conservative party demonstrates that there is no tolerance for insurgency, and the cuts to Labour and the Greens indicates that any confusion or hinted shenanigans will be brutally punished. National can govern alone; it is including ACT, United Future and the Māori Party as a courtesy, and to provide cover. This is Key’s money term. It should be a period of grand political themes and broad gestures, and the left needs to attune itself to this reality: Labour needs to take the responsibility of being a mass movement with broad appeal and capability; a Big Vehicle. The Greens will hopefully get bigger, but I think they will remain a Small Vehicle, appealing to relatively narrow interests, however important they are.
Assuming it doesn’t annihilate itself utterly in the coming weeks, Labour will be the core of any future left-wing government, but the strategies that served it poorly as a substantial party of opposition will be utterly untenable in its diminished state. Throughout most of the past six years, Labour has been the party opposed to National. They haven’t been a party that clearly stands for anything, that projects the sort of self-belief that National, the Greens, and even NZ First does.
Labour therefore needs to re-orient its conduct and messaging to its core values, and those are fundamentally about secure and prosperous jobs for the majority of working people, and those who rely on the state as the provider of last resort. But I am emphatically not calling for a retreat to doctrinaire materialism at the expense of superstructural considerations. The demographic groups that kept Labour alive this election were women (6.6 points higher than men), Māori, and Pasifika, and the party would be insane not to recognise the debt that they owe these voters. Of 11 MPs in whose electorates Labour won the party vote, only one — David Clark — is Pākehā, and in his electorate of Dunedin North Labour got 24 votes more than National. Five (Williams, Mahuta, Sepuloni, Wall, and Whaitiri) are women. The return of Te Tai Hauāuru, Tāmaki Makaurau and especially Te Tai Tokerau to Labour underscores the opportunity that exists to reconnect with Māori.
There will be enormous pressure to begin taking these voters for granted again, and it must be vigorously resisted. As for talk of reaching out to “the base” — a party’s “base” is who votes for it when it is at its lowest. Labour’s base as demonstrated by the 2014 election is comprised largely of working-class women, Māori, and Pasifika. So policy proposals that impact those groups more directly — parental leave, free healthcare, ECE, support for family violence services, social welfare — should not be neglected. By and large, though, these voters will also be motivated by many of the same concerns that speak to anyone else, particularly as the National government’s policies begin to bite. But the party’s appeal must expand well beyond this base into the centre ground. It need not be zero-sum. Labour cannot afford to be caricatured as a party that only cares about those groups, it must be a party that a broad range of people feels like it could vote for — like the party understands their needs, and would act in their interests. The key is framing messages and policies in ways that speaking to the base without alienating the broader public, and to the broader public without excluding the members of these base demographics groups, using separate channels and emphasis where necessary. The key term here is “emphasis”.
The party also has to be smarter and more pragmatic than it has been, especially in social policy. At a minimum, this means an end to opposing Whānau Ora on principle. The new MP for Hauāuru, Adrian Rurawhe, speaking to Radio New Zealand’s Te Ahi Kā on Sunday, has a strong line on this: to not attack the philosophy, to not attack the model, but to attack the implementation of individual schemes. There’s a distinction between cartelised privatisation of service delivery, and self-determination, and a party of Māori aspirations should work, even in opposition, to strengthen and entrench the latter so it can succeed. National has spent six years making policies targeted at Māori, run by Māori and under Māori delivery models politically and culturally acceptable, and has made enormous progress on Treaty claims. Labour must capitalise on these gains. They also provide an opportunity to reach out to the Māori Party, should they survive another term in government and remain viable.
The same imperative also means collaborating with the government on distasteful topics like RMA reform, regional and rural development, and charter schools. The battle over whether these will happen is comprehensively lost; the questions now are how badly are they going to be done, and how much political capital will be wasted in trying to unshit the bed later. Better for Labour to work collaboratively with the government to limit the damage and make the best possible use of the rare opportunity to reform entrenched systems. Let the Greens fight them. Don’t worry! There will be plenty else to oppose.
The Greens are here to stay, and Labour should not be reluctant to bleed some of its liberal-activist support to them, to make up bigger gains elsewhere. This will infuriate many in the activist community, and most everyone on Twitter, but my sense is nearly all of those folks vote Green anyway, and they will be in safe hands. Labour hasn’t been a radical or activist party in recent memory, except for 1984-1990, and we know how that turned out.
There is an opportunity to coordinate and make use of the temperamental differences between the parties, with the Greens taking a more vigorously liberal and activist role against Labour’s moderate incrementalism. The strategy that has been proposed intermittently for ages that Labour should attack the Greens directly is insane — the two parties, while allied, do not and should not substantially share a constituency. Labour, like National, is is a mass movement of the people, and should become more so; the Greens are a transitional insurgent movement seeking to influence the existing mass movements, and they seem intent on continuing in that role.
Of all the Small Vehicles, the Greens are best equipped to thrive in a Big Vehicle-dominant context. New Zealand First will struggle. While Labour should collaborate with the Greens, Labour should contend with NZ First, and aim either to gut it of its voter base or, more plausibly, to drive it towards National where the inevitable contradictions and ideological enmities will probably cause harm to both parties. ACT and United Future are wholly-owned by John Key and are effectively irrelevant.
The worst case for Labour, apart from continuing in the blissful ignorance that nothing is really wrong, would be a retreat into sullen populism, trying to out-Winston Winston or out-Key Key, or chucking the vulnerable passengers overboard so that the ship might float a little higher in the water for those who remain. The party has to have its own identity and its own motive force, and it has rebuild its own constituency. It can be done. I hope they can do it, because we haven’t had an effective Labour party for a long time now, and we really need one.
John Key and David Cunliffe both spent much of the election campaign talking about the dreaded “things that New Zealanders really care about”. But Key, under direct attack, was much more disciplined about sticking to those things. The metacampaign, Dirty Politics, and the Dotcom Bomb were worth nothing more than haughty dismissal. At the time this seemed arrogant and ill-advised — how could he just shrug off such scandal? But he did. The National party ran an orthodox, modern campaign. They stuck to their guns amid all the madness, and the result was triumphant.
The poster child for this campaign was candidate Chris Bishop, who ran an old-fashioned shoe-leather campaign in the Labour stronghold of Hutt South and pushed the party’s strategic genius Trevor Mallard to within a few hundred votes of losing the seat he has held for 20 years. No stunts, no social media hype, no concern for the wittering about his being a former tobacco lobbyist, he just talked to the people and listened to the answers that came back.
But how did they know?
John Key could afford to dismiss the metapolitics because he had plenty of good data telling him that people didn’t care about it, and to the extent that they did care about it, it favoured him. The single most evident difference between the campaigns is that When John Key said “the things New Zealanders really care about” he actually knew that these were the things that New Zealanders actually care about. The National party ran a reality-based campaign, not a hype-based, or a hope-based, or a faith-based campaign. In this they mirrored the most famous hope-based campaign of all time — Barack Obama’s — where the breezy, idealistic messaging was built on a rock-solid data foundation.
Key seems to have been the only party leader who was really secure in this knowledge. The Greens and Labour did seem to want to stick to their guns, but their data was evidently not as good, and they bought at least some of the hype that Dirty Politics and the Dotcom Bomb would bring Key low. So did I. But nothing much is riding on my out-of touch delusions. But opposition has a responsibility to be, if not reality-based, then at the very least reality-adjacent.
Play, or get off the field
But data is not a Ring of Power that puts its users in thrall to the Dark Lord. And, unlike the One Ring, it can’t be thrown into a volcano and the world saved from its pernicious influence. Evidence and strategy are here to stay. Use them, or you’re going to get used. The techniques available to David Farrar and the National party are not magic. They are available to anyone. Whether Labour has poor data or whether they use it poorly I do not know. It looks similar from the outside, and I have heard both from people who ought to know. But it doesn’t really matter. Data is only as good as what you do with it. Whatever they’re doing with it isn’t good enough.
The best example from this campaign isn’t Labour, however — it’s Kim Dotcom. He said on election night that it was only in the past two weeks that he realised how tainted his brand was. He threw $4.5 million at the Internet MANA campaign and it polled less than the Māori Party, who had the same number of incumbent candidates and a tiny fraction of the money and expertise. Had he thought to spend $30,000 on market research* asking questions like those asked by Curia about what New Zealanders think of Kim Dotcom, he could have saved himself the rest of the money, and saved Hone Harawira his seat, Laila Harré her political credibility, and the wider left a severe beating.
That is effective use of data: not asking questions to tell you what you want to hear, but to tell you what you need to know. This electoral bloodletting is an opportunity for the NZ political left to become reality-adjacent, and we can only hope they take it. Because if they don’t, reality is just going to keep winning.
* In response to this figure, UMR pollster Stephen Mills tweeted “$1000 would have been enough”.
During the 25 years I was in academia I wrote a fair bit on the subjects of democracy and democratisation, both in theory and in practice. I continued in that vein in some of my blogging on this site, including the 5 part series on deconstructing democracy in 2009. As part of my ruminations, I have delved from time to time into the subject of democratic accountability, specifically its vertical and horizontal dimensions, both of which are absolute requirements for the health of liberal democracy. Among other things and contrary to what some pundits might say, my understanding of the two dimensions of democratic accountability is what allows me to state categorically that dirty politics such as that practiced by the National Party’s vicious wing is not inherent to democracy
Vertical accountability refers to the accountability of the governors to the governed. The signal feature of this dimension are elections of those who govern, but also include the ability of the electorate to demand review, recall or sanction of non-elected officials such as those in the judiciary and civil service if and when their actions become to egregious or are ignored by the other branches of government. There a variety of methods with which to do so, but that requires a degree of horizontal accountability as well. In any event vertical accountability is aided by a robust, critical and independent media that draws public attention to what otherwise might be quiet indiscretions by those in office.
Here is where horizontal accountability comes in. Each branch of government is formally accountable to the others. In the event of malfeasance in one branch the other branches have a right and indeed duty to independently investigate any potential wrong doing. They must maintain a degree of institutional autonomy in order to do so, because otherwise they cannot exercise the degree of inquisitorial independence that is required for transparency and integrity to obtain.
It is this dimension where New Zealand appears deficient, and the proof of that is the inquiry that the Prime Minister has ordered into Judith Collins use of a public servant’s personal information. In this case the PM gets to frame the terms of reference of the inquiry, and has done so in way that assures that Collins will be exonerated. In political circles this might be called narrowing the focus to what is strictly illegal, but in common parlance it is known as acceptable corruption.
The inquiry conducted by the Inspector-General of the SIS into the hasty OIA release of sensitive SIS documents to a blogger linked to the government is more independent and therefore more transparent and honest, assuming that the IG does her job correctly.
But the problem remains that horizontal accountability in NZ is nowhere what it should be. Parliamentary committees are dominated by the government and often have limited inquisitorial powers. Crown Law has, time and time again, adjusted its prosecution priorities to accord more closely with government interests (recall the time and cost of the Zaoui and Urewera prosecutions, both of which ultimately reduced to far less than the government initially alleged). Some judges are said to lean politically one way or another when it comes to examining government behaviour.
Less we think that this overly friendly relationship between government and prosecutors be exclusive to National, let’s remember that the two prosecutions cited above began (and in Zaoui’s case ended) under the 5th Labour government.
Some say that the lack of a written constitution impedes the full exercise of horizontal accountability in NZ. Perhaps that is so but I also think that it is a product of habitual practice in a small country, where the political elites are for the most part a relatively small club that play by their own informal rules as much as they do by the law. Those in government are given fairly broad license when it comes to how they account for their actions to the other branches. Those in opposition wait for their turn in office to do the same. The judiciary and public bureaucracy publicly maintain their independence but at a senior level they play close attention to the interests of the government of the day.
Voters give a veneer of vertical accountability to the status quo by turning out for elections. Their susceptibility to spin and deflection makes them targets of the dirtier machinations of politicians, and in the absence of genuine horizontal accountability counter-weights that is all that is needed to govern. In such a context governance is all about bread and circus, or in the NZ case, pies and rugby. The fact that National has not suffered much in pre-election polling pretty much confirms this truth.
It can be argued that this is politics as usual, in the form of one hand washing the other in the interest of political stability. Indeed, all of this is perfectly acceptable, except that it is also perfectly, albeit not by legal definition, corrupt. But what is wrong with a little acceptable corruption amongst political friends so long as the public does not care and there are no real institutional checks on what they do so long as they do it quietly?
I could be wrong on this and John Key is just being a jerk when it comes to the terms of the Collins inquiry. But something tells me that the rot runs much deeper, and it will not stop should he and his nasty pack of party colleagues be voted out of office later this month.