Not since the 80's with David Lange has NZ stood up against Americans with uranium on their breath and truly been able to say they are an individual country.

http://www.youtube.com/watch?v=OeHTziiFVx0

so yes, transparency.org might list NZ as high - but what does't get told much is the relationship between big business and MP's, and the fact that corporate law in NZ is the fastest changing in the world.

http://www.nbr.co.nz/article/warner-bros-sought-job-law-change-film-the-hobbit-nz-135087

"Warner Brothers used the threat of filming The Hobbit movies elsewhere to gain changes to New Zealand's employment laws, it was reported tonight. An email obtained under the Official Information Act showed the production company wanted "stability" to film the movies in New Zealand and was worried about "grey areas" of employment law, Radio New Zealand reported."

http://tvnz.co.nz/technology-news/us-lobbied-nz-over-copyright-laws-wikileaks-cables-4149178

"The cables also show that the US offered to spend more than $500,000 to fund a recording industry-backed IP enforcement initiative. According to the cables, the US actively lobbied several cabinet members while New Zealand was working through its copyright reform in 2008"

"A February 2008 cable notes that Consumer Affairs Minister Judith Tizard and Trade Minister Phil Goff were presented with a list of shortfalls to submit as the legislation was being drafted. "Post has presented the list of noted shortfalls in the draft legislation to Minister Tizard (Consumer Affairs), Minister Goff (Trade) and to officials within the Ministry of Economic Development, the agency primarily responsible for drafting legislation and monitoring IP enforcement. "Post remains engaged with Bronwyn Turley, Senior MED Policy Advisor for IP issues to maintain a dialogue to address the needed technical corrections," the cable noted. New copyright laws were passed in April 2008."

• Total costs: NZ $533,000 (US $386,158)
• Start-up costs: NZ $78,000 (US $56,510)
• Salaries: NZ $215,000 (US $155,768)
• Operating costs: NZ $240,000 (US $173,880)
• Start-up costs (NZ dollars):
• Furnishings $25,000
• IT costs (equipment) $45,000
• Sundries $8,000
• Salaries (NZ dollars):
• Unit head $90,000
• Intelligence and policy development $60,000
• Licensing and enforcement officer $40,000
• Administrative support $25,000
• Operating costs (NZ dollars):
• Accommodations (rental, utilities) $55,000
• IT support $15,000
• Legal costs (investigation, prosecution)$75,000
• Training (internet piracy, law) $50,000
• Travel costs $35,000
• Employer liabilities $10,000

What they fail to recognise, is that NZ is an isolated far away nation who are often a test bed for new things. Internet banking for instance, years and years ahead of the rest of the world because it was simple to do. Having weak politicians who can be used to purchase laws by foreign companies is another. As a by product of the fact that you DSL line has 'national' and 'international' traffic rates - NZ netizens are actually a bit more organised that many countries. For years and years, there have been NZ only direct connect hubs - long before torrenting - where friends and groups share very efficiently and easily, and more importantly on their own 'darker' yet very trusted networks. The government have bitten themselves rather hard with this one, as all this law will do is make it even more difficult than ever to police. this 'drop' in 'known torrent traffic' is hardly going to stop anything. All it proves, is that private communications can't be trusted to be handled by the government or any other commercial entity and that it is up to the individual to ensure their privacy themselves. But what about the 'think of the children' bandwagon i hear you ask? Well if the Queens own household can have their own image database being passed around and Her son is mates with a known dodgy flying with 'unnamed girls' documented as passengers landing on UK military bases - I really don't see how technology is going to stop it. Not until you do what used to be done when they are simply taken out to pasture, never to return to society.