Treasury has budgeted $6 million for the cost of consultants and scoping studies before the election into the partial sale of five state-owned enterprises.
The cost after the election will be significantly more, SOE minister Tony Ryall told the finance and expenditure select committee at parliament this morning.
Labour finance spokesman David Cunliffe suggested it could be more than $150 million.
The Government will seek a mandate for up to 49 per cent of the sale of four energy and Air New Zealand at the election.
Greens co-leader Russel Norman suggested that the Government could have difficulty maintaining a 51 per cent stake in the SOEs because the $6 billion to $7 billion estimated to get from the sales was earmaked for capital expenditure other than the SOEs own capital needs and they may have to issue more shares to get their own capital and dilute the Goverment' equity.
Mr Ryall agreed more equity could be issued but then quickly checked himself and said it would not be.
$6 million to investigate asset sales
SOE minister Tony Ryall. Photo / APN
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