Dáil debates

Wednesday, 27 May 2009

Ceisteanna - Questions

Regulatory Reform.

11:00 am

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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Question 2: To ask the Taoiseach if he will report on the implementation of the recommendation of the OECD report on regulatory reform in Ireland; and if he will make a statement on the matter. [15544/09]

Photo of Eamon GilmoreEamon Gilmore (Dún Laoghaire, Labour)
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Question 3: To ask the Taoiseach the progress made with regard to the recommendations contained in the OECD report on regulatory reform in Ireland; and if he will make a statement on the matter. [16606/09]

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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Question 4: To ask the Taoiseach if he will report on the implementation of the OECD report on regulatory reform; and if he will make a statement on the matter. [18630/09]

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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Question 5: To ask the Taoiseach the achievements to date of the better regulation project; if he will keep control of the project within his Department; and if he will make a statement on the matter. [18628/09]

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Question 6: To ask the Taoiseach if he will report on the progress of regulatory reform; and if he will make a statement on the matter. [20708/09]

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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I propose to take Questions Nos. 2 to 6, inclusive, together.

The OECD report, Regulatory Reform in Ireland, was published in 2001. In response, the Government published the White Paper, Regulating Better, in 2004 which provides the framework for advancing the better regulation agenda in Ireland. Some of the recommendations and actions outlined in the OECD report and the White Paper relate to individual sectors and relevant Ministers are responsible for reporting directly to the House on them.

The Better Regulation unit in my Department is tasked with the overall promotion of the better regulation agenda across the Government. There are no plans to alter these arrangements. I would like to briefly outline for the House progress made in the areas of regulatory impact analysis and modernisation of the Statute Book.

Since 2005, regulatory impact analysis must be applied to all proposals for primary legislation, significant statutory instruments, draft EU directives and significant regulations. The report of the independent review of the operation of regulatory impact analysis was published in July 2008 and is available on the Better Regulation website. The Government has agreed to implement the recommendations set out in the report. While many of these recommendations are for individual Departments to implement, the Better Regulation unit of my Department, in partnership with the network dealing with regulatory impact analysis across Departments, which it chairs, is steering work on a number of overarching recommendations.

Revised guidelines for regulatory impact analysis are expected to be presented to the Government shortly. These guidelines take account of the recommendations set out in the review and address, in particular, the need for improved methodological guidance and for further information on the use of regulatory impact analysis within the context of the EU decision-making process. An updated training course for officials involved in producing such analysis is now available. These training materials reflect the content of the revised guidelines and emphasise the importance of minimising regulatory burdens.

The statute law revision project, which is steered by my Department in partnership with the Office of the Attorney General, has already resulted in the repeal of thousands of redundant and obsolete Acts. The current phase focuses on pre-1922 legislation and a further Bill, dealing with local and personal Acts up to and including 1850 and private Acts up to and including 1750, will be published shortly. Private Acts are those which are concerned with the affairs of a single individual or body, and local and personal Acts are concerned with matters affecting a very limited section of the community such as a single local authority or company.

The Law Reform Commission is also undertaking a programme of statute law restatement involving up to 40 Acts which is expected to be completed by the end of the year. The process of restatement makes legislation more accessible by providing a single text that incorporates all amendments to date.

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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I understand an interdepartmental committee, chaired by the the Department of the Taoiseach, has been tasked with advancing work in respect of these regulators and regulatory authorities. I understand the report was due to be published in September and was then pushed out to the end of the year. Given the current economic position, this is urgently needed. What is delaying the publication of the report or were its recommendations not suitable, meaning we must go back to the drawing board? The consultancy cost of this report stood at over €300,000 at the end of 2008. What is the current cost?

This regulatory reform is obviously critical. In this and every other city, taxi drivers are complaining that the regulator does not have the staff to implement its duties in keeping people legal on the streets, not to mention the comments on the numbers of taxis. The energy regulator must deal with the issue where prices cannot drop below a floor price. There must be competition for the consumer. Regulatory reform is urgently needed in such areas. When will the report be published, what is delaying it and why can we not see it?

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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I understand the report, carried out by the Economist Intelligence Unit in partnership with Compecon Limited, commenced in May last year and has recently been completed. The report is currently under consideration by the Government in the context of the overall work programme of the Cabinet committee on economic renewal. The issue of publication will be considered in that context. The cost of the project is approximately €400,000.

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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I thank the Taoiseach. Does he expect it to be published before the end of the summer or has it appeared on the list for consideration by the Government?

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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It has not yet been considered by the Government. As I indicated, it has just been completed and referred to the committee. A number of Ministers will consider its contents and see what response the Government has to it. Once we make some decisions in that regard, we can consider publication at that stage.

Photo of Eamon GilmoreEamon Gilmore (Dún Laoghaire, Labour)
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These questions relate to the OECD report on regulatory reform, which was published in 2001. When that report was published eight years ago, the then Tánaiste and Minister responsible for enterprise and employment, Deputy Harney, said she would accept all the recommendations and that she would have them implemented. From what I can establish, the only recommendation implemented from the report was the abolition of the groceries order. I cannot find much trace of any of the other recommendations being implemented.

For example, there were recommendations on the regulation of the legal professions and very little progress appears to have been made on them. The Competition Authority published an interim report on changes to the professions about two years ago and a final report in December. Aside from reports, there were discussions between the Bar Council and the Competition Authority but there does not appear to have been a great deal of progress in that regard.

What progress is being made on the implementation of the OECD report on regulatory reform? Is the Government still committed to the recommendations in the report and will the Taoiseach update the House on what is happening specifically with regard to regulation of the legal professions, for example?

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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I do not have the details of the implementation of the report and the fact that it spans a number of Departments, as I indicated in my reply, means it is best to take up the issue with individual Departments. One could then obtain up to date and accurate information on any sectoral recommendations. I do not have that information within my Department.

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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I am an advocate for a single currency and tax harmonisation across the island of Ireland. Does the Taoiseach recognise that another of the barriers to all-Ireland development, particularly to the development of counties on both sides of the Border, is a differing regulation and employment law in both jurisdictions? Will the Taoiseach examine this issue with a view to harmonising employment law and business regulation on an all-Ireland basis?

Does the Taoiseach agree that the process regarding employment law could commence with the establishment of a working group including the participation of representatives of the Irish Congress of Trade Unions, the Labour Relations Commission and the Labour Relations Agency in the Six Counties? Does he accept that they, as a working group mandated to approach the project and challenges from an inclusive framework, could move towards bettering the position that currently maintains? Would the Taoiseach also consider a parallel process regarding business regulation?

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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In the context of our discussions on North-South issues with the Northern Ireland Executive, we continually seek ways and means by which we can improve the business environment both North and South. As a result of different policy issues and structures, we look to ensure that political discussion between relevant Ministers and at North-South Ministerial Council level might be enabled to improve the promotion of trade and the creation of greater business liaison and connection between North and South. InterTrade Ireland has been a good forum for this type of discourse to promote common approaches where it is of mutual benefit. I understand the Deputy's hope of seeing a greater degree of all-Ireland approaches which would be to our mutual benefit. This is an ongoing agenda with the North-South dimension of the agreements. It is important to explore the means by which we could help each other.

There are, however, two different arrangements in place, jurisdictionally, when it comes to labour law and labour-dispute resolution. Obviously, we should always show the benefits of our arrangements and they can show the benefits of theirs so we can devise common approaches to close any gaps in the system. It is an ongoing issue but I do not underestimate some of the difficulties, some structural, some policy, in trying to have greater institutional interaction.

Photo of Caoimhghín Ó CaoláinCaoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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I welcome the Taoiseach's positive response in recognising this problem in the Border counties. Will he accept it has always been more difficult to do business along the Border counties? Businesses there do not have a solid foundation on which to build themselves up given currency fluctuations. Budgetary measures, either from Westminster or the Houses of the Oireachtas, can also destabilise business conditions, resulting in an exodus from North to South or vice versa. Businesses involved in adjacent counties both North and South must grapple with two different sets of bureaucracy and red tape.

Will the Taoiseach accept it is worth exploring the establishment of a working group to examine business regulations and employment laws to make specific recommendations to overcome certain difficulties and work towards their harmonisation for the interest of both jurisdictions on the island of Ireland as a whole? Will he give some indication this morning of a willingness to do this?

Photo of John O'DonoghueJohn O'Donoghue (Kerry South, Ceann Comhairle)
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That is stretching it a small bit but I call An Taoiseach.

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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The issue of harmonising employment standards and laws, for example, could involve the reduction of standards on one side of the Border. The social partnership model we have devised over the past 22 years has seen advances in worker and employment legislation. It has been good for us but we must also keep an eye on competitiveness issues. It has not been part of the UK agenda for some time. One issue we have to address, apart from the fluctuation in exchange rates, is the discrepancy in entitlements, benefits, redundancy payments and so forth which we have built up. We are proud to have built them up while others have a different view because of different governmental policies.

I understand the Deputy's sentiment. We need to find a forum to deal with competitiveness issues and avoid distortions in trade. However, it is almost axiomatic that borders are economically disruptive because different rules and regulations apply in the different jurisdictions. I will reflect on what the Deputy said and ask the relevant Department and Minister to advance the issue.