Key's 'loyalty' bribe

I just don't get it. How can Key be this far down the road of selling our energy assets, yet not know how his 'loyalty scheme' might work? It's shoddy. It's shonky. It's very poor business practice. I don't get either, where the money will come from, to provide 'sweetners' for the 'loyal'. Is it from the profits we, through the state would have been getting? Doesn't this make the 'deal' look even worse than it was?
This is so flimsily built that I don't see why there isn't an outcry just around the lack of substance to the process, let alone the miserable overall outcome of the sales. Clearly, I'm no financial whiz, but I'm guessing, neither is Key.