15 January 2009

Greenpeace uses property rights to protest

Luddites they may be, and driven by an irrational desire to strangle British airports (which will simply transfer business to continental European ones), but Greenpeace is at least taking a rational approach to protesting the plans to build a third runway at London's Heathrow airport - buying up some of the land needed.

Emma Thompson, Alistair McGowan and Tory nitwit brat Zac Goldsmith have all put up money to buy a field north of Heathrow, which BAA wants as part of its proposed third runway, according to the Daily Telegraph. The intent, of course, is to stop BAA being able to buy all the relevant land, and frankly - from a libertarian point of view - they should be perfectly entitled to do so.

You see ultimately they can make a rational choice. BAA can offer a price which is as much as it is willing to do so to buy the land, and if Greenpeace can take the money (which could fund countless other campaigns) or sit on the land and let BAA try something different.

Of course BAA can ultimately undertake compulsory purchase because it is legally allowed to, and like most businesses today, will use the law to the extent it can to make money. Greenpeace of course doesn't give a damn about property rights, it happily supports those breaking and entering private property to engage in protests - like a recent bunch of fools at Stansted Airport.

So all in all, it's not something significant - an organisation that has scant regard for private property rights is using it to delay a rational commercial project by a private company. I've always said that if BAA can finance a third runway at Heathrow commercially, and buy the land to build it, it shouldn't be prevented from doing so. There may be issues around noise, but unless flights comprise a nuisance over and above that accepted by property owners on flightpaths, it shouldn't be an issue. Yes, I have lived under the flightpath myself.

Of course, if someone can put forward a private business case for a new airport for London at Thames, like Boris Johnson supports, let them do so. However, I wont be holding my breath, sadly.

One big council - one big bureaucracy

Governance in Auckland has been seen as a problem by many, mostly councils and central government, for some time. Mainly by those who think councils should be doing certain things, rather than considering whether such things should be done at all, and if so, by whom. I've not seen a major problem. Transport is often cited as an issue, but in the last few years umpteen major motorway improvements have progressed in Auckland (I can think of eight) and the major hold up has been the ridiculously expensive boondoggle called rail. Just because neither users nor ratepayers are willing to pay for this, doesn't mean there is a problem in governance - it is a problem with the idea.

So the report in the NZ Herald today of what the Royal Commission on Auckland Governance will recommend should send shivers up the spines of Auckland ratepayers - and by that I mean ratepayers of any one of the seven Auckland territorial local authorities. One big council, without restricting what it should do, will be a behemoth of a bureaucracy looking for a job. On top of that a Mayor, with powers to dictate, should also scare Aucklanders - as such Mayors will look for totem poles to build, at the expense of everyone else.

A libertarian view of local government would be that it is hardly needed at all. After all, as long as private property rights are well defined (which at present they are not), then planning becomes simply the delineation between those rights (which could include airspace, sight lines and factors for air and noise). Most of what else local government does is to meddle in utilities or supply facilities that could be provided privately, assuming that local government didn't pilfer money from everyone to pay for them.

So what is really needed in Auckland is not the creation of a mega council, but a serious debate about what the role of local government should be.

Labour, with the Alliance (before it divorced Jim Anderton) and the Greens changed this radically with the Local Government Act 2002, by repealing rather unwieldy legislation that defined what local government was allowed to do, and granting a "power of general competence" (yes the joke from that phrase is too obvious). This effectively gave councils the power to build, buy, sell or engage in any activity that a natural person could do. Councils could set up schools, restaurants, trucking firms, radio stations, dry cleaners, banks or service stations, as long as they went through due processes of consultation. This was a view that local government could effectively be a mini-version of central government, although Labour resisted granting local authorities new taxation or regulatory powers.

National and ACT voted against this legislation, quite rightly so. It is time to take a different approach.

Look at what councils do that could simply be privatised, whether by sale or by transferring to trusts run by interested people. All commercial activities could clearly be sold, or shares transferred to ratepayers. Non commercial activities, like recreational centres, pools, libraries and parks could be transferred to interested parties to run, accept sponsorship, donations or charge for usage. The regulatory activities of councils could then be reviewed on a case by case basis, to consider how private property rights could be used to address the relevant issues.

In short, there is a grand opportunity to rethink local government, so that it shrinks considerably in the next three years. The more difficult examples, like local streets and footpaths may be last on the list, but in the meantime rates should be capped - permanently at current nominal levels, to force councils to trim, and if need be, merge. In other words, the scope for local government to be perpetual busybodies would decline over time, freeing up ratepayers funds, land and the public to decide whether what is done "for the public good" is actually what they are prepared to pay for. Commercial property owners in areas for "regeneration" may foot the bill for upgrading the street scape, instead of expecting all ratepayers to chip in.

The grand council idea is a recipe for local government to do more, much much more. I believe Owen McShane once wrote that the ideal size of a council was one that served between 10,000 and 40,000 people - not so small that it couldn't have enough capacity to carry out its functions, but not so big that it could charge ratepayers enough surplus to dabble in new areas of activity.

The appropriate response of the new government to this forthcoming report is thanks, but no thanks - there needs to be a more fundamental review of the role of local government. Local government has resisted year in year out the drive for lower taxes, and rode on the back of property price increases to increase rates beyond inflation. It is time to say no to a big Auckland council, and consider instead something else as a first step. Why does Auckland need two layers of local government?

Oh and if you think I'm wrong, note this part of the report "the commission will almost certainly recommend the mayor and new council become more involved in the social needs of the region, such as affordable housing".

Get it? You vote out a leftwing central government and you can watch one get elected locally - and you know who will be forced to pay for it.

I can only hope the Minister for Local Government can see this for what it is - a report commissioned by the last government which should be destined as a door stop.

13 January 2009

10 wishes for the UK

1. The national obsession with climate change ends with robust debate that decimates the evangelism of the ecofascists.

2. Channel 4 is sold, and the BBC told the TV licence fee will be abolished from a certain date - after which it will need to ask viewers to pay by their own volition.

3. Chavs wake up one morning, take a look in the mirror and either find a conscience or find god or whatsoever, and change into civilised human beings, instead of obnoxious parasitical breeding entities who are oxygen thieves.

4. The general public starts realising that the answer to what they want is to do something themselves, not rely on the "guvmint". The Tories actively encourage pulling the state back from providing support to people who should be providing for themselves.

5. The Scots get totally fed up with the rather stupid Alex Salmond and realise that the UK is better for them than independence.

6. Heathrow's 3rd runway is approved, along with a 2nd runway at Stansted, and the great British knocking machine starts realising that with Terminal 5, Heathrow no longer has any really overcrowded terminals.

7. One of the two major parties talks about reducing tax for those on the 40% top income tax rate - which cuts in at only £34,800. (No kiwis, don't just convert that to NZ$, multiply your living expenses by around half the difference as well).

8. Someone in the media celebrates how the fall in property prices is making housing more affordable, and stops being sycophantic to the millions who invested in the "property ladder" insted of productive investment. Cheer what's cheap and a lot is in the UK.

9. The London Olympics are cancelled because of money, the savings given to taxpayers directly in a one off dividend. Let the profligate IOC find a replacement, if it dares.

10. May Brits stay at home, en masse this year, it will make travelling in Europe so much more pleasant.

10 wishes for New Zealand

1. The Families Commission is abolished, Transmission Gully isn't funded and Peter Dunne withdraws support from the government, and nobody really gives a shit. A by-election is held in Ohariu.

2. The ecological agenda is seriously challenged by the new government, with ACT demanding a review of the RMA that causes Nick Smith to be shifted to another portfolio (or ambassador to Pyongyang). The Greens wail and moan, but see support dwindle as the appetite to be taxed more for their pet projects is low.

3. Jim Anderton, Peter Dunne and Michael Cullen all resign, cleaning out Parliament of some 80s flotsam and jetsam.

4. The WTO round is rescued - it matters a fair bit.

5. The Nats fail to get a majority to reverse the burden of proof, set up a DNA database that include the innocent, and focus on sentencing of repeat offenders.

6. The Electoral Finance Act is repealed and not replaced.

7. Nicky Hager's name is no longer mentioned in the media without the suffix, "leftwing activist and Green Party supporter).

8. TVNZ is closed down and its assets sold off in a fire sale. Its pernicious braindead influence on the national culture and psyche is difficult to overestimate. It is like having an 11yo school prefect perpetually telling you what's good for you.

9. National confronts education choice, and finds a way to let parents opt out - completely - of the state school system (and get their taxes back). The measure of success of this will be the degree to which the teachers' unions get upset - the more they get upset, the better the measure is likely to be.

10. The welfare dependency of the underclass is tackled head on and hard. The measure of success of this will be how much the middle class left get upset, and how much is saved in the budget for tax cuts.

Happy New Year then

Yes, took a while I know. Finally starting to feel like the need to vent.

There is so much too.

The empty headed "end of capitalism" nonsense touted by oh too many, as you see how contemptuously braindead the media is, attributing state central bank profligacy and the irrational exuberance of lenders to this subsidy to lend backfiring.

The doom and gloom merchants who thrive at this time, who don't focus on how damned cheap so many things are, how bargains can be snapped up, how housing is affordable for the prudent.

The tragic war in Gaza, and the vile appeasers of Hamas, a group that needs obliterating, eviscerating or to capitulate if there is to be peace in the Middle East. Noticed the protests at Iranian Embassies about Hamas, its disgusting worship of martyrdom and most appallingly how it sells this to children daily as their life goal. Notice Hamas couldn't run Gaza as a haven of peace and prosperity of free people trading and making lives for themselves, preferring to keep it as a land to be under siege, shooting rockets at Israel proper (no occupied territories here) from the midst of residential locations.

The Obamania surrounding the chosen one's inauguration, how everything is going to be better, with the change patently obvious from the likes of Hilary Clinton, who has no qualifications in foreign policy whatsoever. However, don't expect the Democrat felching mainstream media to hold it to account any more than it held the Clinton Administration to account for abysmal failure in Somalia, the Balkans and Sudan.

The National led government in New Zealand which, from my visit recently, seems mainly to have made people feel better that "she" isn't in power anymore. However that's it. I have heard enough from friends to tell that it will fall incredibly short of expectations to dump politics at the altar and implement good policy, as it will be spending lots of your money on a new generation of Think Big projects. Some in telecoms, some in roads. Few will fight the telecoms ones, only the Greens will fight the roads, because they are roads - the Greens like roads only as long as they are made of ribbons of steel with concrete or wood holding them together.

So where will 2009 take me? I don't know, the way the UK economy is going there is a reasonable chance I might not be hanging around to earn New British Won by the end of the year, though I would rather stay. Meanwhile, I hope to visit a bunch of countries I haven't seen before.

What are my hopes? Well here is are ten hopes for the world:

1. Barack Obama astonishes the world by showing a stunning lack of belief in the ability of government to solve problems, and pushes to reopen the Doha Round so that the WTO can form the catalyst to a new era in global free trade. That means slashing primary sector subsidies, staring Europe in the eye and demanding it do the same, and ask the developing world to give enough in return.

2. Iraq does not see a suicide bombing.

3. The broad mass of the British people get fed up expecting government to solve their problems, and both Labour and the Liberal Democrats suffer.

4. Robert Mugabe is dead, I don't care by what means, and the Zanu-PF regime is overthrown, whether domestically or by internationally backed forces.

5. Russia grows up, gets over this adolescent post communist phase of "I wont sell you gas" and faces reality that it is a power in long term, nearly terminal decline. There is next to no hope of Russia's population growth coming close to replacement in the near future.

6. The enviro-evangelists get some serious scrutiny over the various forms of snakeoil they have successfully peddled to governments and the mindless media. Recycling anything and everything, will be proven to be hardly a good use of money, but more importantly the religious approach to global warming will be watered down with some sense, even if it is someone calculating the net loss to humanity of all the follies of the ecological movement.

7. China's government sets its people a bit more free, with the establishment of an independent judiciary, and separation of party and state. No it's not liberal democracy, but the most important steps for China will be rule of law and a state that enforces against its own.

8. The Czech Presidency of the EU will send a few fireworks around Brussels, and the EU bureaucratic project is hamstrung by the unwillingness of enough Europeans to endorse the growing power of the new "top tier" of government in Europe. This capped off by European elections that see sceptics defeat the Eurosocialists.

9. Mahmoud Ahmadinejad is defeated in Iran, and there are mass protest in Tehran calling for an end to the Islamic Republic, which results in major reforms and the end to theocratic Iran.

10. Peace in Israel takes a leap forward, with the crushing of Hamas and Syria engaging in serious negotiations over Lebanon/Hizbollah and the Golan Heights