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Government in New Zealand

Trading Services

page 168

Trading Services

Monopoly Trading

  • Post Office
  • Railways
  • Public Works (hydro-electric branch)
  • Commercial Broadcasting

Under governments of the left, the railways are regarded primarily as a developmental service and are placed under ministerial control; under governments of the right, they are regarded primarily as a trading concern, to be run on commercial principles with a minimum of 'political' interference. With the development of motor transport, the railway monopoly was seriously weakened; it is now being strengthened by regulation of road transport and by the acquisition of competitive road services by the Department. The hydro-electric branch of the Public Works Department sells power in bulk to power boards and other local supply authorities.

Competitive Trading

  • State Advances
  • Public Trust
  • Government Insurance
  • State Fire Insurance

Most of these services were introduced in the early period of New Zealand's economic development as a means of regulating indirectly the cost to the public of certain services provided by private enterprise.