12 July 2013

New Productivity Commission Inquiry – Better Regulation

The Government has asked the Productivity Commission to review and make recommendations on how to improve the design and operation of regulatory regimes in New Zealand.

The inquiry recognises that the quality and effectiveness of regulations has an important influence on New Zealand’s productivity and broader economic, social and environmental wellbeing.

The Commission has been asked to make a broad assessment across existing regulatory regimes and practices, to identify where and how to make improvements. It is not an in-depth review of any specific regulation or regulator. But by looking across our regulatory landscape and institutions, the Commission will be able to compare, contrast and draw inferences from the different approaches and contexts.

We have a large number of different regulatory frameworks and institutional forms engaged in regulation in New Zealand. Individual regimes are periodically reviewed and amended and that is an essential part of any process of continuous improvement. This inquiry will look across the diversity in our regulatory system with the aim of drawing conclusions and recommendations that will assist the future design of regulation and regulatory frameworks.

“Cross-cutting issues the inquiry will consider include regulatory design processes; checks and balances on regulation, including accountability mechanisms and the nature of appeal rights; capability; and how key stakeholders are involved in design and operation of regulation. We will also be keen to understand what issues and challenges are faced by regulators, regulated parties and other important stakeholders”, said Commission Chair, Murray Sherwin.

“The demands on regulatory regimes are often more complex than in the past. There is a danger that adding unnecessary complexity into the regulators’ task is self-defeating. The Government is asking the Commission to provide insights that will assist it to design and implement regulation that is clear about its intended purpose and how that purpose is best achieved.”

The terms of reference are now available (www.productivity.govt.nz). The Commission will shortly release information on its intended process and timeline for the inquiry, including opportunities for interested parties to share their views and experience. The Commission’s final report to the Government is due on 30 June 2014.

About the New Zealand Productivity Commission

The Commission – an independent Crown entity – was established in April 2011 and completes in-depth inquiry reports on topics selected by the Government, carries out productivity-related research, and promotes understanding of productivity issues.

ENDS

Terms_of_Reference_Regulatory_Design_Inquiry_for_web.pdf

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