Taoiseach vows to tackle "Red Tape"

The Taoiseach, Mr Bertie Ahern, T.D., accompanied by the Tánaiste, Ms. Mary Harney, T.D., Minister for Enterprise,Trade and Employment today launched a Government White Paper on Better Regulation, entitled Regulating Better. The document sets out the Governments policies and an action plan for improving the quality of regulation and the regulatory process incoming years.

Addressing Cabinet members, representatives from the business community, trade unions, the professions and Social Partners, the Taoiseach said:

We need to tackle the volume of regulation. We must scrutinise every proposal for a new law or statutory instrument.Equally we must systematically examine what is already in place to see if it is still relevant and still achieving the objective that gave rise to it. This is our core commitment. 

The background is a growing recognition that redtape is hindering economic competitiveness and social progress. Unnecessary regulations make it difficult for people to establish new businesses and get a foothold in particular markets. Greater competition is needed in key areas of the economy in order to tackle price inflation.

Poor quality regulation is also a barrier to citizens and communities when they are trying to find out their entitlements and rights under particular schemes and rules. Mr Ahern said that the process of making regulations would be more systematic and inclusive from now on. Outlining new measures by which regulations would be examined through a new system of Regulatory Impact Analysis, Mr Ahern said that

Such an examination should involve open consultation beyond the usual suspects! It should be wide, so as to avoid giving inappropriate weight to the well resourced and to highly articulate and visible interest groups.


Six new principles

The six principles of Better Regulation that the Government has signed up to for the improvement of regulations and regulatory processes are:

  • Necessity

    is the regulation necessary? Can we reduce red tape in this area? Are the rules and the structures that govern this area still valid?

  • Effectiveness

    - is the regulation properly targeted? Is it going to be properly complied with and enforced?

  • Proportionality

    are we satisfied that the advantages outweigh the disadvantages of the regulation? Is there a smarter way of achieving the same goal?

  • Transparency

    have we consulted with stakeholders prior to regulating? Is the regulation in this area clear and accessible to all? Is there good back-up explanatory material?

  • Accountability

    - is it clear under the regulation precisely who is responsible to whom and for what? Is there an effective appeals process?

  • Consistency

    will the regulation give rise to anomalies and inconsistencies given the other regulations that are already in place in this area? Are we applying best practice developed in one area when regulating other areas?


Action Plan

Stressing that this drive for less red tape and greater competitiveness is consistent with the Governments priorities for Europe during Ireland's Presidency of the EU, Mr Ahern went on to outline a number of specific actions that will follow the White Paper: 

  • Introduction of Regulatory Impact Analysis(RIA): Departments/Offices will assess and quantify the likely impacts of major new regulations. 

  • New systematic reviews of existing regulations in key areas which will assess the adequacy of existing regulations and the regulatory arrangements and agencies in place in particular key areas of the economy and society. 
  • Improvements to sectoral regulation (e.g.telecommunications, transport etc.) including establishing new independent regulators only if the requirement for an existing regulator can be clearly demonstrated and if responsibility for the sector in question cannot be assigned to an existing regulator. There will also be a review of the existing arrangements for appeals of decisions made by sectoral regulators to try and speed up implementation of important infrastructural projects.

  • There will be a renewed drive to tackle redtape. Government Departments and Offices will be asked to simplify and streamline their administrative processes and to specifically report on targets and progress in their strategy statements and annual reports. 

  • Greater clarity and accessibility of regulation including publishing new Explanatory Guides to Acts which have major implications for consumers / citizens.  A major programme of Statute Law Revision will be undertaken to bring the statute book up to date and make it easier to find the law relating to particular issues.
  • Regarding fines and penalties, new legislation will be introduced that will ensure that fines imposed by regulations are kept up-to-date through indexation.    There will also be a review of the extent to which the criminal justice system is suitable for dealing with issues arising from the complexities of the modern regulatory environment in a commercial / economic context.


The Taoiseachs full speech and the Governments White Paper are available on www.betterregulation.ie