Joyce defends ‘more efficient' Super Ministry

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Property Investors have questioned why the Department of Building and Housing (DBH) will be merged with the ministries of Economic Development, Labour and Science and Innovation.

Saturday, March 17th 2012, 12:00AM 1 Comment

by The Landlord

After the announcement New Zealand Property Investors Federation (NZPIF) president Andrew King questioned what building and housing had in common with the Departments of Labour, Economic Develop and Science and Innovation.

"I am very shocked. It [the announcement of the merger] came out of left field. I have not got a clue what building and housing has to do with business and innovation or Labour," King said.

Steven Joyce, the Minister who will head the new super ministry, said one of the main functions of the Department of Building and Housing will be the regulation of one of the most significant industries in New Zealand - the building and construction industry.

The Ministry of Economic Development also has a strong focus on industry regulation across a range of industries including energy and resources and communications technology.

"By combining a number of industry regulation areas the new Ministry of Business and Innovation and Employment will further increase the quality of regulation across those industries," Joyce said.

However, there was a possibility that Tenancy Services and social housing might not move to the new ministry.

Cabinet has asked for a due diligence report in April. This report will provide detailed advice on implementation and transition. It will also include advice on the future location of some functions of the Department of Building and Housing, such as social housing policy and the Tenancy Service.

Prime Minister John Key announced on Thursday (March 15) that a new Ministry of Business, Innovation and Employment will be created.

Joyce said at the time of the announcement if New Zealanders wanted more and better jobs we needed to encourage more businesses to be based here.

"That means making it easier for businesses and companies to access innovative ideas, markets, capital, skilled workers, resources, and the supporting public infrastructure," he said.

"The new Ministry will reduce the complexity involved in working between agencies, and between agencies and business. At present when businesses engage with government they work with multiple government agencies, which takes away valuable time, as well as incurring unnecessary duplication of effort. This is time that could better be served in allowing companies to work on their businesses rather than on their government relations.

"A more efficient and effective Ministry focused on lifting overall productivity and supporting the growth of competitive businesses is a crucial element in creating more jobs and higher wages, and boosting our standard of living," Joyce said

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