New Zealand leader assures Maoris of continued protection

Feb 5, 2012, 22:47 GMT

Wellington - New Zealand Prime Minister John Key assured Maori tribal leaders Monday that his government would continue guarantees of protection under a 172-year-old treaty when it sells parts of four state energy companies to private businesses.

But the government favours a law change limiting protection to the majority 51 per cent the state will retain in the companies, he said, speaking at Waitangi, in the Bay of Islands, were the treaty was signed on February 6 1840.

Key said it was not practical to make private sector shareholders responsible for guarantees under the treaty which representatives of Britain signed with Maori chiefs establishing the country as a British colony.

His speech, at an invitation-only breakfast in a Waitangi hotel, was heard in silence, a day after demonstrators staged a noisy storm of protest when he tried to speak at a Maori meeting house on Sunday. Key was drowned out and hustled away by security guards without being able to make his speech.

Key's comments will not appease Maoris, with Sonny Tau, head of the country's largest tribe, Ngapuhi, telling Radio New Zealand that everyone who buys shares in state assets should abide by the treaty.

The three legislators of the Maori Party, who support the minority government led by Key's conservative National Party, threatened last week to withdraw their backing, which would leave him with a fragile one-seat majority in the 121-member Parliament.

Key has said his government, which is determined to sell off parts of state assets to reduce the national debt, will continue to consult Maori leaders on the issue.