Dáil Éireann Debate, Tuesday - 17 July 2012
6Deputy Micheál Martin asked the Taoiseach the success his Department is having in relation to the requirement outlined in the strategy statement regarding publishing Regulatory Impact Assessments before Government decisions are taken; and if he will make a statement on the matter. [30314/12]
View answer7Deputy Micheál Martin asked the Taoiseach the way his Department is rationalising regulators to promote consumer interest; and if he will make a statement on the matter. [30315/12]
View answerI propose to take Questions Nos. 6 and 7 together.
My Department will shortly be consulting Departments generally about the question of publication of regulatory impact analyses carried out before Government decisions are taken. I draw the Deputy's attention to the fact that the Government has, in a number of instances, been publishing the general schemes of Bills and referring them to Oireachtas committees for consideration in advance of publishing the related Bill.
As regards the rationalisation of regulators, given the radical changes in the Irish economic environment in recent years, there is a need to reassess and reframe the role of regulators as a central part of Ireland's recovery. In particular, the creation of an investment-friendly environment that encourages job creation, at lowest cost to business and consumers, should be an important factor in the overall work of all regulatory bodies in Ireland. This is captured in the programme for Government commitment on economic regulation. In that context and under a commitment in the action plan for jobs, Forfás is undertaking a study to identify changes in the operation of sectoral regulators that would enhance cost competitiveness. The Forfás study which is expected to be completed later this year and the recommendations arising will provide an important evidence base and input into work on the effectiveness of economic regulation more generally as envisaged in the programme for Government which is being co-ordinated by my Department.
Given the multifaceted nature of the overall regulation agenda and the need for clarity and certainty for businesses and consumers, the Government recently confirmed the assignment of lead responsibility in respect of the various functions in this area across a number of relevant Departments. As with other major policy areas of government, overall strategic co-ordination and work on economic regulation in general will be overseen and progressed at Cabinet committee level.
It is difficult to make much of the Taoiseach's reply which has been scripted in such a way as to avoid specifics. In the context of regulatory impact assessments being made before Government decisions are taken, do I understand from the initial part of the reply that this is not quite happening as normal in respect of legislation being brought forward? Is there a requirement to produce regulatory impact assessments in respect of all items of legislation before they are published and prior to the taking of all Government decisions?
The consumer and competition Bill has been delayed on three occasions. Is the Taoiseach in a position to outline the progress made in promoting the interests of consumers in the context of rationalising the position on regulators generally? The rationalisation of regulators has its origins in the many statements made by the Taoiseach and the Minister for the Environment, Community and Local Government, Deputy Phil Hogan, when they were in opposition. The Minister, in particular, wanted to rationalise the position to such an extent that there would be a single regulator who would have responsibility for all areas. I do not get the sense that we are moving in that direction. If anything, we are moving towards creating even further regulators. I refer to the Government's proposals to appoint a regulator with responsibility for water services. I would like the Taoiseach to clarify the position on the points I have made.
The programme for Government states, "We will require Departments to carry out and publish Regulatory Impact Assessments (RIAs) before Government decisions are taken". As the Deputy is aware, regulatory impact assessments involve an examination of the likely impact of proposed new regulations or regulatory changes. They help to identify side-effects or hidden costs associated with regulation and clarify the likely outcome of proposed changes. During the assessment process everyone affected is entitled to ensure his or her views and interests are understood.
All Bills have not been referred to the Cabinet or Oireachtas committees prior to publication. My Department is taking the lead in this matter and will consult all other Departments on it. I expect that the process in this regard will be completed in the autumn. The Government will then consider how to implement what is proposed. The heads of Bills are being published more frequently. This is not happening as often as I would like, but they are being published more frequently and referred to the relevant Oireachtas committees, which is good. Where committees have considered the heads of Bills, they have made some very pertinent points. The quality of the consultation in this regard has assisted the process relating to taking a Bill on Second and Committee Stages, when matters go that far.
I referred to the multifaceted nature of the overall regulation agenda and the need for certainty regarding the allocation of responsibilities. In that regard, the Department of Jobs, Enterprise and Innovation has responsibility for reducing red tape and administrative burdens, dealing with competition issues and representing Ireland at EU-OECD international fora dealing with regulation, the Department of Public Expenditure and Reform has responsibility for dealing with regulatory impact assessments, that is, training, support, monitoring and compliance, while the Department of the Taoiseach has responsibility for dealing with the effectiveness of economic regulators. In addition, the Department of the Taoiseach and the Office of the Attorney General have responsibility for dealing with the transparency and quality of regulation.
As I have already informed the Deputy, my Department is involved in consultations with all other Departments and we expect to conclude the process by early autumn. We will then make a Government decision on implementing the programme and see to it that all Departments publish regulatory impact assessments before Government decisions are taken.
Many business concerns state they are over-regulated. That was also said to be the case in the financial world for a long period. The Government's policy is to reduce regulation and the regulatory burden and also to simplify regulations in order to avoid duplication. The position of the European Union and the OECD is the same. However, every European directive brought forward will, in all likelihood, increase the regulatory burden on somebody somewhere in the context of their business. I do not get a sense that, either at official level across Departments or at Oireachtas level, penetration is being achieved on the regulatory issue. There is no indication that people are shouting, "Halt", that they are taking stock or that they are bringing forward alternative or simple mechanisms.
I do not intend what I am about to say in a partisan way, but the Taoiseach has referred to three or four Departments which are dealing with different bodies internationally. That sounds itsy bitsy and somewhat all over the place. In the context of the Government, the European Union and the various Oireachtas committees which deal with it, we need a far more simple approach to dealing with regulation that is coming down the tracks and a more honest approach to assessing what will be the impact of such regulation on businesses and sectoral interests and how it may relate to costs and jobs.
I do not disagree with this principle. The Department of Finance has produced a report which was brought before us just today which outlines the reductions achieved in the administrative and red-tape bureaucracy associated with the Revenue Commissioners. I understand Revenue measured up in all areas in this regard, except in the area of VAT. I have indicated that the Departments of Jobs, Enterprise and Innovation, Public Expenditure and Reform and the Taoiseach and the Office of the Attorney General have been allocated lead responsibility in a number of the areas to which I refer in the context of starting a process of co-ordination. I recall talking to the Mayor of Chicago, Mr. Rahm Emanuel, who informed me that in order to establish any kind of an enterprise in that city one required well over 100 licences. He then stated that because of the authority invested in him, he had been able to reduce the burden in this regard by up to two thirds. In so far as businesses and retail outlets in this country are concerned, the Minister of State at the Department of Jobs, Enterprise and Innovation, Deputy John Perry, is considering what is involved. Some of the licences which apply in Ireland have European connotations and reducing their number is not as simple as one might think. The Nice treaty stated we should reduce bureaucratic red tape by 25% and this has been an aspiration for a long time. While it is not where I would like it to be, it is taking shape. I hope that by mid-autumn we will be in a position to publish our decision in respect of having the process right for publishing all of these in order that Deputies and others involved will have that information before the Government decision is made.
I have one question about consumer regulators. The National Consumer Agency was established in 2007 to protect and promote consumers' rights. In 2008, it was announced that it would be amalgamated with the Competition Authority which, it appears to me, is a totally different body responsible for enforcing Irish and European competition law. The National Consumer Agency has a good record of defending consumer rights in a number of disputes, including the one involving Aer Lingus. It is now 2012, so can the Taoiseach give us some sense of where this merger stands? Will legislation be introduced and, if so, when? Can the Taoiseach give a commitment that this merger will not in any way reduce the service provided and the role played by the National Consumer Agency in defending and promoting consumers' rights?
We are straining this question a little now.
I do not know the up-to-date position on that merger, but I will check the details and respond to Deputy Adams on its status.
Okay. Go raibh maith agat.
