Government to review standards of regulation

The future shape and extent of regulatory standards in Ireland is to be reviewed in a national consultation process initiated yesterday by the Taoiseach, Mr Ahern and the Tanaiste, Ms Harney.

The move follows criticism last year from the Organisation for Economic Co-Operation and Development about the lack of competition in a number of key sectors, such as taxis and pharmacies.

The process, which has been initiated by a report from a group of top civil servants, will be concluded with a set of principles that will guide future regulation in the country.

The change could lead to a major shake-up in the rules governing the operation of Government departments, semi-State companies and a host of professional bodies, sources indicated last night.

In particular, the Government is keen to find a greater role for consumer groups in the drafting of legislation following the OECD's criticism that the process is overly dominated presently by producers.

The lack of accountability of a number of the existing regulators, such as the Director of Telecommunication Regulation, is also likely to be examined during the process.

However, the Government is also keen to consider ways of getting rid of regulation, if services can be provided more efficiently by open tendering, or encouraged by tax changes.

In a speech, the Taoiseach emphasised that the Government was not trying to deregulate the economy. "This is about better regulation. It is about developing a set of principles by which we can judge how effectively or otherwise a proposed regulation will achieve a particular policy goal. It is also critical for national competitiveness."