There have been significant reforms in New Zealand of government management in general and of the science and transport sectors in particular. The impact of the reforms on the provision of meteorological services is discussed as an example of the application of the general reform thrust to a specialist technical area. The eventual outcome was the establishment of Meteorological Service of New Zealand Ltd (MetService) as a commercial company, trading in the weather forecasting market but remaining under Crown ownership. At the same time the National Institute of Water and Atmosphere (NIWA) was established. It includes the climatic responsibilities and much of the scientific research component of the former NZMS. It too operates commercially and is Crown owned. Unlike MetService, NIWA is not required to return a dividend to its owners. The procedures leading to the establishment of these new organisations, their mode of operation and their initial successful performance are described.