This media release and key points were issued with the annual report series, Regulation and its Review 2003-04, on 16 November 2004.

Regulators achieved their highest level of compliance with the Australian Government’s best practice requirements since these became mandatory in 1997, according to a Productivity Commission report Regulation and its Review 2003-04.

The report provides detailed compliance information for individual departments and agencies. About 1700 regulations were introduced by the Australian Government in 2003-04, of which 114 required a Regulation Impact Statement because of their impacts on business. Adequate Regulation Impact Statements were prepared for decision makers for 92 per cent of these proposals (compared to 81 per cent in 2002-03). This is higher than in all previous years.

Productivity Commission Chairman, Gary Banks, said ‘The high compliance rate for this year is a welcome sign that regulators are beginning to integrate the Regulation Impact Statement requirements more fully into their policy development processes. Looking forward, the challenge is to increase the quality of Regulation Impact Statements, particularly in canvassing lighter handed regulatory options and assessing compliance costs.’

The report also discusses the value of effective consultation with those potentially affected by regulation. And it contains information on compliance with the Council of Australian Government’s (COAG‘s) RIS requirements.

The report meets the Productivity Commission’s obligation to report annually on compliance with the Australian Government’s requirements for the review and reform of regulations. Regulation Impact Statements are intended to help inform decision makers about the consequences of proposed regulatory actions, so that resulting regulation can achieve intended goals without placing undue burdens on business and the community.

The Commission’s Office of Regulation Review is responsible for advising departments and agencies about the Government’s regulatory best practice requirements.