31 jul 2018
Decalogue

CEOE MAKES TEN PROPOSALS TO IMPROVE REGULATION IN THE ECONOMIC FIELD AND FOSTER HIGHER GROWTH AND MORE JOBS

CEOE has prepared a decalogue that includes its proposals to improve regulation in the economic field.  In the report, CEOE’s Department of Economic and European Affairs explains that “in a globalized world where competition is increasingly stronger and the society and investors are increasingly more aware of the impact of any economic activity on health issues or the environment, and improvement of the regulatory framework and of the competitiveness of companies are key factors to generate the appropriate conditions to foster higher growth and more jobs in the medium and long term”.

CEOE makes ten proposals to improve regulation in the economic field
CEOE makes ten proposals to improve regulation in the economic field — ©Dreamstime

However, the business organization recalls that “moving towards a more sustainable society cannot be borne solely by the business sector, and, therefore, greater participation and knowledge on the part of consumers, as well as decision making by the public powers in policy and regulatory matters are key to achieve this goal”.

This is the list of the ten proposals suggested by CEOE to improve regulation in the economic field:

1. Eliminate and prevent regulatory duplicities and conflicting regulations. It is essential to have an efficient, updated and coherent regulation in order to have an appropriate legal framework for the needs of each business sector, one that guarantees the unity of the market and prevents disproportionate restrictions for any economic activity.

2. To reinforce the role of the State Council, the Government’s Delegate Commission for Economic Affairs (CDGAE) and the Economic and Social Council (CES). On the one hand, the State Council must prescribe regulatory projects in a mandatory manner, limiting the use of the Royal Decree Law that should be the exception and not the rule when drafting regulations. On the other hand, the CDGAE must guarantee the efficiency and effectiveness of any government initiative with economic impact. Finally, the ESC should be consulted but given sufficient and proportionate time to issue opinions on matters that are, sometimes, complex and controversial.

3. To strengthen the monitoring of compliance with current regulations to ensure fair competition among operators. According to CEOE, measures must be applied for an effective monitoring of the product markets, for which it is essential to implement a Spanish monitoring system.  The mutual collaboration among the different parts of the Administration becomes a key aspect.

4. To reinforce and review the effectiveness of the sectoral conferences. It is essential to develop a process of administrative simplification and streamlining and the convergence of the regional and local regulations, promoting the participation of business organizations and companies so that the Administration may be aware of the impact of the decisions that are adopted by these bodies.

5. To implement an effective system of streamlining, simplification and reduction of administrative burdens. CEOE believes that the Autonomous Regions and local authorities (more than 25,000 inhabitants) would also have to carry out an “Analysis Report on the Regulatory Impact", in order to analyse the cumulative impact of all regulations affecting operators and their competitiveness.

 6. To enable or strengthen electronic windows through which economic operators may report cases of non-compliance with regulation by any Public Administration. Likewise, CEOE believes that, in terms of innovation, the harmonization, simplification and transparency of administrative procedures is necessary so that they may all be done at a "Single Window".

7. To execute, on an annual basis, a Regulatory Streamlining Action Plan to analyse the correct application of the existing regulation and adequately assess the implementation of the regulatory measures (ex-post evaluation) before setting additional reviews or goals.

8. To move towards the streamlining of public companies promoting greater efficiency and competence in management and avoiding the public sector’s tendency to substitute the private sector

9. To create a unique regulatory database that includes all current regulation (national, regional and local) and a description of the administrative procedures applicable to each activity.

10. To reinforce the participation of the business sector in the information and consultation processes. According to CEOE, "it is absolutely necessary" to reinforce the transparency and participation of the business sector in consultations prior to drafting the regulation, as well as in its implementation process, articulating specific participation mechanisms. The result would be to advance and adapt the necessary regulations to support business decision-making regarding investments, especially those of great importance.