Submission on the TPPA

[marsden_online]

Submissions to the Foreign Affairs, Defence and Trade Committee on the Trans-Pacific Partnership Agreement (TPPA) close tomorrow (March 11) barely two months after the treaty was signed and text made available. About 3am on Monday morning my brain decided it was time to write something, but Ithen got distracted by actually reading MFATs National Interest Analysis (NIA) (the better to make an informed submission. It of course paints a far rosier picture of the expected outcomes.

This post has three parts:
1. Useful links
2. The text of my submission (done through the online form)
3. Other rant triggered by reading the NIA (this was going to be rants but I have run out of time :( )

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Online submission form (very limited life expectancy) (you will need to complete the verification at the bottom of the page and then click the "Make an online submission" button below to actually get to the form)
The NIA (pdf)
MFAT TPPA subsite

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I felt it best to make a measured submission just highlighting a few points of concern.

As a member of the public who has been following the no TPPA actions but has also found the time to read the NIA (but not the earlier published fact sheets) I would still like to express some some concerns about the process and implementation of this treaty.

1. I understand that there is always an element of confidentiality required in trade negotiations but the secrecy surrounding this one - and indeed continuing for years after ratification seems to have be unprecedented. Combined with the very short amount of time allowed for public, expert, and opposition party representative examination of the text and consultation I find it difficult to have confidence in the benefit to New Zealand of any legislative changes which may be required.

2. Speaking of benefits it is not at all clear from the NIA /how/ the people of NZ generally benefit from the signing of this treaty. "Economic growth" and a forecast boost to GDP are presented as as self-explanatory benefits without justification; but this would only be the case if the wealth generated flows to those who are less-well off.

As it stands this treaty would appear to deliver the most benefit to
- those who are /already/ established enough to partake in international trade and
- a small minority of future SMEs producing exportable goods/services who manage to become established against the now-increased competition from our trading partners.

In short this treaty seems to offer no great benefit for the majority of NZ citizens and business while exposing them to economic attack by better-resourced established competitors from abroad.

3. Following on from that if the NIA is accurate the ISDS clauses have been well ring-fenced to protect "public-good" issues but it still seems to be a risk that if a local company were to come up with a disruptive technology or process which could challenge established players but would require tweaks to our - or our treaty partners - legislation to implement effectively (a recent examples from the news might be the taxi service Uber) the established players would be able to use the ISDS or the threat thereof to hinder implementation in an anti-competitive fashion.

I am hopeful that the government of the day would have the fortitude to support our business and accept the costs required to set an example which would prevent this happening a second time; if nothing else this would quantify "the actual costs of responding are unknown" (NIA p55)

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Nevertheless as it seems that the implementation of the legislative changes required is a foregone conclusion I

- would strongly support a clause which only brings the changes into /effect/ at the point the treaty comes into force in a form substantively like it's current form, rather than incurring the front-loaded costs and "giving away the farm" the having nothing to negotiate with should other parties decide /not/ to pass it through their respective legislatory procedures in it's current form.

- look forward to the strengthening of NZ's environmental protection, labour protection and transparency legislations to bring them in line with the treaty obligations as explained in the NIA.

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Rant time.

The NIA is very bullish about the amount of consultation carried out

9.2 Public consultation process
The consultation process for TPP has been among the most extensive a New Zealand Government has undertaken for any trade negotiation. Throughout the negotiation process the MFAT, together with other government agencies, has been active in engaging with a wide spectrum of stakeholders on TPP.
...
Throughout the negotiation there were two public calls for submissions. MFAT invited initial public
submissions in October 2008 on entering into negotiations with the US to expand the P4 agreement.
A second invitation for public comment was made in 2011 following the expressions of interest from other countries to join the TPP negotiations (Canada, Japan and Mexico) to better understand the views and interests of New Zealanders with regards to these three economies.
MFAT received 65 responses to the initial invitation for submissions, which expressed a diverse
range of views on the TPP
...
Following the second invitation for public comment in 2011, MFAT received fifteen responses. Thirteen were from business (including business councils) and industry organisations. Two were from other governments - Canada and Mexico.
...
Extensive public outreach and consultation took place throughout the negotiation of TPP, using printed, emailed and website information, supported by extensive briefings, discussions and correspondence with key stakeholders on New Zealand’s negotiating objectives and process.

A primary portal of information on the negotiations was the MFAT website, and dedicated internet column, “TPP Talk”. TPP Talk was regularly updated with the status of negotiations. Both the website and column
encouraged feedback on TPP from the public. In seeking views on TPP, the Government sought to encourage debate on the issues, including links to groups holding a range of views on the MFAT website.
...
Hundreds of meetings took place, including with business groups, iwi, local councils, health sector
representatives, unions, NGOs, Members of Parliament and individuals to seek input on the TPP and
to help ensure a high quality outcome that reflects stakeholders’ interests.
...
In a new initiative that reflected the level of public interest in TPP, MFAT also made provision for
stakeholder engagement with regard to the two TPP negotiating rounds held in New Zealand. With
regard to the round of negotiations held in Auckland in December 2012, the Ministry organised a
stakeholder programme attended by 72 New Zealand participants as well as other stakeholders from overseas.

... and so on.

Strangely I do not recall /any/ of the relevant ministers or officials saying in response to the noTPPA movement and media coverage "Hey, here is where you can go to get more information and to have your say." Apparently the broader public of New Zealand (or other parties) are not considered "stakeholders" in our international treaties.

We know who other treaty partners considered stakeholders from the mega-companies and lobbyists who got to peek at the proceedings and drafts. I wonder who in NZ our government actually considered important enough to be a stakeholder?

I'm going to be generous and assume whoever produced this analysis is so blinkered that they actually believe this number of submissions is a reasonable outcome rather than a failure to communicate.

Moreover I believe that an organisation believing in or proactive about public consultation would have opened another round more recently than five years ago, given the increased public profile of opposition to the matter under consideration.