Ten years after New Zealand's so called "economic miracle", the varnish is wearing thin. And the new Labour government in New Zealand is proving that there's life after privatization. It has introduced legislation to end an ill-fated attempt to run public hospitals as commercial enterprises. Said Health Minister Annette King, "[It was] a commitment that we were going to restore a New Zealand public health service that was based on co-operation and collaboration, that we were going to replace the current commercial and competitive model, that we were going to ensure that local communities once again had a say in the running of health services, and that we were going to focus on improving people's health as the fundamental role of a health service."

Called the New Zealand Public Health and Disability Bill, the new act will create 21 elected district health boards. The boards will be established as Crown entities with a minimum requirement of 2 Maori members. The transition back to public hands will be completed by July 2002.

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