Majority of Wellington City councillors calling to ditch airport share sale

Monday, 12 August 2024

It has divided a council, caused rifts in political parties and now the sale of the Wellington City Council’s airport shares are back to the fore with a majority of elected councillors reportedly calling for it to be ditched.

Councillors Nīkau Wi Neera, Nureddin Abdurahman, Ben McNulty, Iona Pannett, Nicola Young, Diane Calvert, Ray Chung, and Tony Randle have all signed a notice of revocation calling for the deal to be ditched.

But it is Labour councillor Teri O’Neill who may have turned the tide, meaning that the controversial sale now reportedly has the majority of elected council members in opposition to it. O’Neill and Rebecca Matthews in June voted against the sale but for the long-term plan, which included the sale.

O’Neill confirmed on Sunday she had signed. In a joint statement, McNulty, Wi Neera and Abdurahman confirmed a majority were now in opposition.

“We are pursuing all options that will allow a simple vote on the sale of the airport to be tested by a democratic majority as this was not an option in June when it was considered as part of the long-term plan,” the statement said.

Stopping the sale now before the estimated $9 million in associated costs was fully spent was “the financially prudent thing to do”, the statement said. The notice of revocation was one of a number of options being considered.

“The sale is a bad idea financially, the process has not been transparent and the public are opposed three to one.”

The council was looking to sell its 34% stake in Wellington Airport, with the money used to set up an investment fund to help the city after a big disaster.

Labour and the Greens both opposed the sale but each had members who voted for the council’s long-term plan, including the sale. It is understood that Labour and Green councillors who voted for the sale have since been lobbied hard by their parties to change sides.

The sale was voted on in late June but the council was told it would get a second chance to vote at the end of the year. The notice of revocation aims to bring that vote forward by months and kill the idea.

The sale was opposed by Unions Wellington. Spokesperson Ashok Jacob said O’Neill’s apparent change of heart showed Matthews was now “on her own dissenting” among Labour councillors and was going against the will of party members.

“Labour activists who helped her get elected were also mobilised to support Geordie [Rodgers’] campaign,” Jacob said.

Rogers said he had not signed the notice because he did not have enough information on the impact of a no-sale.

Matthews’ vote could prove crucial for sale opponents. If the vote goes to a full council meeting, the nine in opposition would have a clear majority.

But if it goes back to the long-term plan committee, that has two appointed iwi representatives, who both voted for the sale previously. Their inclusion takes the committee to 18 members, handing Matthews the casting vote.

Councillor Tim Brown confirmed he would not sign as setting up a perpetual investment fund with the money was crucial for the city’s recovery after a major disaster.