European Commission Better Regulation Strategy Overview

European Commission DG Enterprise & Industry Conference on Better Regulation: Practical Steps Forward Reykjavík 6 June 2006 OVERVIEW OF THE BETTER REGULATION STRATEGY IN THE EUROPEAN COMMISSION Presentation by Silvia Viceconte European Commission DG Enterprise & Industry

Overview of the Better Regulation Strategy in the European Commission • A little historical context… With the Single Market largely in place emphasis partly shifted to institutional reforms to promote regulatory quality. • A few words on Better Regulation and why it is so high up on the agenda... • Better Regulation stimulates growth and innovation » more jobs & competitive advantage. • Better laws increase confidence between lawmakers and citizens • The re-launched Lisbon strategy kept up political momentum.

Overview of the Better Regulation Strategy in the European Commission • Better Regulation? • Introduce a new culture of regulatory management • Clear policies and political commitment • Improved institutional procedures • Introduction of new tools and practices on impact analysis, consultation and simplification

Overview of the Better Regulation Strategy in the European Commission • To translate into action, the Commission adopted a :Better Regulation Action Plan (2002) • Main elements: • Impact Assessment • Analysis of alternatives to regulation • Consultation and expertise • Simplification/Modernisation of existing legislation • Improved access to regulation

Overview of the Better Regulation Strategy in the European Commission Communication onBetter Regulation for Growth and Jobs in the EU(March 2005) Proposes 3 key action lines: • Reinforcing BR at EU level • Reinforcing BR at MS level • Increasing co-operation between MS and the Commission on BR

Overview of the Better Regulation Strategy in the European Commission • Reinforcing BR at EU level • Impact assessment • Consultation • Screening of pending legislative proposals • Simplification of existing EU legislation • Inter-institutional Agreement on Better Lawmaking

Overview of the Better Regulation Strategy in the European Commission • Reinforcing BR at EU level • Impact assessment • Revised guidelines for IA adopted in June 2005: economic, environmental and social impacts; • Update of guidelines in March 2006: measurement of administrative costs; • Independent review of the Commission’s IA system in 2006;

Impact Assessment in the European Commission Revised Guidelines on Impact assessment: Key analytical steps: • Identify the problem : who is affected, does the EU have the right to act (subsidiarity test)? • Define the objectives : general, more specific, operational/ consistency with other EU policies? • Develop main policy options : « no EU action » option, non-regulatory option, which options early discarded & why? • Analyse their impacts : likely economic, social, environmental impacts of shortlisted options? Affected groups, sectors, regions?

Impact Assessment in the European Commission Revised Guidelines on Impact assessment: Key analytical steps: 5. Compare the options : Positive & negative impacts of shortlisted options? Balancing administrative costs against other regulatory costs: if one option imposes lower administrative costs, this is NOT in itself a sufficient reason to prefer it. 6. Outline policy monitoring and evaluation • Stakeholder consultation & collection of expertise can/should run throughout the process : this ensures that the proposed policy is practically workable & legitimate from the point of view of the stakeholders.

Impact Assessment in the European Commission • Reinforcing BR at EU level • Impact assessment • Major exercise to measure administrative costs to be launched (results expected in 2007): • Goal: identify what share of costs < Community rules & < implementation by MS • Administrative costs to be measured in 6 sectors & for all levels of legislation (EU, national, regional) • Pilot Project: focus on 1 industrial sector affected by the Constructions Products Directive, to be studied in 10 MS (final report: expected by the end of 2006)

Overview of the Better Regulation Strategy in the European Commission • Reinforcing BR at EU level • Consultation • Commission has long consultation tradition • « General principles & minimum standards for consultation of interested parties » (11/12/2002) • Consultations accessible through « Your voice in Europe » website • Screening of pending legislative proposals • 183 proposals screened, 67 withdrawn (via publication in OJ of 17/03/2006)

Overview of the Better Regulation Strategy in the European Commission • Reinforcing BR at EU level d)Simplification of existing EU legislation • New simplification phase with a focus on competitiveness • Based on a broad consultation of both MS and stakeholders • 3-year rolling programme

Overview of the Better Regulation Strategy in the European Commission • Reinforcing BR at MS level • Responsibility of the MS • Commission will encourage BR/simplification 3. Increasing co-operation between MS and the Commission on BR • Consultative Group of High Level National Experts on BR

For more information: Useful links Better Regulation: http://ec.europa.eu/enterprise/regulation/better_regulation/index_en.htm Guidelines Impact Assessment: http://ec.europa.eu/enterprise/regulation/better_regulation/impact_assessment/index.htm Impact Assessments planned & carried out: http://ec.europa.eu/comm/secretariat_general/impact/practice_en.htm

European Commission Better Regulation Strategy Overview