Some terms explained
Regulation is used most often as a general term to describe the diverse set of instruments by which all Governments, and all branches of Government, regulate the economic and social activities of citizens and organisations. Regulation in this context includes general principles and specific rights laid down by the Constitution, Acts of the Oireachtas and Statutory Instruments. It also includes specific regulations made by Local Authorities and other regional authorities and rules issued by non-Governmental or self-regulatory bodies to whom regulatory powers have been delegated.
Regulatory reform is the term that has been generally used to describe, "changes that improve regulatory quality i.e. enhance the performance, cost-effectiveness or legal quality of regulations and related government formalities"1. These can be changes in specific regulations governing markets and sectors - such as telecommunications, energy or transport - and/or changes to the way regulations are formulated, enacted and enforced. Examples of changes to the process of regulation include: impact analysis/ assessment techniques; the use of alternatives to traditional regulation such as market mechanisms and economic incentives and "sunsetting" arrangements whereby regulations are formally reviewed at a future date to establish whether or not they are still valid or if they could be improved, reduced or even revoked.
Regulatory management, Better Regulation and Smarter Regulation are the terms which are increasingly being used to convey the concept of an ongoing commitment to improving the processes of policy formulation, legislative drafting and enhancing the overall effectiveness and coherence of regulation
The idea of "Better Regulation" also helps to draw an important distinction between the wide reform agenda and deregulation. It is accepted that in some cases consumer, investor and the broader public interest may be better served by introducing new regulation and that in other cases it may be better served by removing regulation. No initial assumption is being made about either the existing quality or quantity of regulation or the need to deregulate. Instead, it is suggested that the goal of Better Regulation will not be achieved by simply seeking to minimise the volume of regulation but rather by using as simple and straightforward measures as possible to achieve policy objectives.
The terms consumer and citizenare frequently used and it is important to note that these are not interchangeable terms. The term consumer is meant to refer to individuals when they are participating in the marketplace and consuming particular goods and services. It can also refer to businesses, often the initial customers in particular sectors. The concept of a citizen is broader and refers to the relationship between individuals and the State (without being used in any strict legal sense to denote nationality). There are circumstances where the State is a producer or supplier of a particular good or service to citizens. In this context citizens can be viewed as consumers of the State.
Governance has been defined as "rules, processes and behaviour that affect the way in which powers are exercised, particularly as regards openness, participation, accountability, effectiveness and coherence"2. The term is used in this document to refer to governance at all levels of government: national, local and, at times, at the level of specific economic sectors
- OECD 2001, Regulatory Reform in Ireland, OECD, Paris, p.17.
- Commission of the European Communities, 2001a, European Governance
A White Paper Luxembourg p. 8 ff. 1.
Available online: http://eur-lex.europa.eu/LexUriServ/site/en/com/2001/com2001_0428en01.pdf