Regulations are developed and implemented by Government. These are normally based on an Act of Parliament and implemented by the Ministry or the government agency that has been authorized in the Act. While regulations are essential for the proper functioning of society and the economy, the challenge for the Government is to deliver effective and efficient regulations; effective in addressing and identified problem; and efficient in terms of maximizing the benefits to the community, taking into account the costs.
Determining whether regulations meet the dual goals of effectiveness and efficiency requires a structured approach to policy development that systematically evaluates cost and benefits by ensuring:
- Government intervention is justified and regulation is the best alternative addressing defined problems with clearly established objectives;
- Stakeholders are effectively consulted and they have an opportunity to participate in the regulatory development process;
- An impact analysis is conducted to demonstrate that the benefits outweigh the costs to citizens, government and businesses; and
- Adverse impacts on the capacity of the economy to generate wealth and employment are minimized and no unnecessary regulatory burden is imposed on any party.
Seven Elements of RIA:
Last Updated 2015-05-27 11:56:13 by Administrator