OrganizingOrganizinga Government wide a Government wide programmeprogramme

of Regulatory Reformof Regulatory Reform

LUIGI CARBONEDeputy Director, Regulatory Simplification Unit

Prime Minister Office – Italy

Singapore, 21 February 2001

l.carbone@palazzochigi.it

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Not a single modelNot a single model(nor a single Italian recipe), but …(nor a single Italian recipe), but …

Some common problems …

… some common phenomena …

… some common “basic ingredients” …

… some specific tools of Regulatory Quality

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some common problemsSome common problems

Key role of Regulatory systems to boost economic growth and consumers’ benefits

Weaknesses of the traditional “command and control” regulatory style in the last decades

Deregulation (and <) High Quality Regulation

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some common phenomenaSome common phenomenaRegulatory Reform is part of a more general

Government Reform

Regulatory Quality is becoming an “autonomous public interest”, beside sectoral ones …

Concrete consequences:- in the Governments (ad hoc Units, specific PM delegations)- in the Parliaments (ad hoc, “bipartisan” Committees)

Some interesting characteristics:- lack of relevance of the peculiarities of constitutional systems - the sunset of the “lawyers’ monopoly”

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some common Some common ““basic ingredientsbasic ingredients”” A specific policy and a sustained political support

A multidisciplinary approach

Clear objectives and measurement of results

Involving citizens and business: a more “recipient-oriented” Regulation

Creation of a regulatory management

Similar tools also for Regional, Local and “Independent” sectoral Regulation

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some specific tools:Some specific tools:for new Regulation - 1for new Regulation - 1

Regulatory Impact Analysis (from 10 to 18 in OECD):- not a mere arithmetical analysis, but a tool to give the rule-makers the

“awareness” …- applicable to all kind of “relevant” Regulation (also “technical”, Regional

and “Independent”)- not an ex post justification, but to be set up at the beginning of the

regulatory process, considering both alternative Regulatory options and…

Alternatives options to Regulation

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some specific tools:Some specific tools:for new Regulation - 2for new Regulation - 2

Consultation:- instrument of transparency and democracy- the best way to know the true critical points of Regulation- part of RIA- the example of business test panels- the Italian “Osservatorio per la semplificazione” both to

prepare and to monitor Reforms

Compliance analysis

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some specific tools:Some specific tools:on existing Regulationon existing Regulation

Codification or consolidation

Simplification:- common models (silent is consent, one stop shops …)- not a “one shot” policy, but a process (need of a multiannual plan)- importance of: consultation, measurement, ex post monitoring (same tools of the new Regulation`s ones!)…

Trying to merge Codification and Simplification

The Italian case of delegislation ( deregulation)

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some specific tools:Some specific tools:the use of ITthe use of IT

On line updated version of existing Regulation(> Official Gazette on line!)

On line Parliament bills and works

On line consultation(“notice and comments” model)

Central Electronic Register of bureaucratic formalities(for business, but not only …)

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Some specific tools:Some specific tools:the structuresthe structures

Sectoral Ministries are the first responsible for Regulatory Quality, but …

… often a Central Unit (from 4 to 20 in OECD) can be very useful

The importance of involving the Parliaments

Luigi Carbone - Organizing a Government wide programme of Regulatory Reform - Singapore, 21 February 2001

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Good Luck!Good Luck!

A Government wide programme of Regulatory Reform:

will constantly risk failure, but …

will take quite a long time (2/4 years), but …

will need a large consensus, but …

…but can be successfully conducted …

… and can be effectively encouraged by OECD and APEC