Productivity Commission inquiry

Regulatory institutions and practices - Productivity Commission inquiry material 2013 - 2014

The Productivity Commission completed its inquiry into regulatory institutions and practices and presented its final report to the Government in 2014.

The Commission considered 104 submissions, met with 113 interested parties and surveyed 1,526 businesses.

The inquiry#

New Zealand has a large and complex regulatory system, with as many as 200 different regimes, a large number of regulatory agencies, and more than 10,000 people employed in administering regulation. It is a major piece of government infrastructure, and is as significant as the tax and spending systems in terms of its impact on the lives of New Zealanders.

Done well, regulation improves wellbeing – allowing us to better reach our social, environmental and economic goals. The big challenge is to design regulation and regulators for the future that are clear in their purpose, are designed to maximise the chances of achieving what was intended, and are adaptable to risks and changing circumstances.

What did the inquiry find?#

The Commission found that New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development.

Key recommendations#

The final report, the Commission made a number of recommendations for a better-performing regulatory system that is more coherent, more responsive to market developments, and enjoys greater confidence from business.

The Commission recommend that the policy and Parliamentary processes for testing proposals for new regulation needs to be tightened. Public service departments should concentrate their review and evaluation efforts on the regulations where there are the largest likely benefits. New Zealand needs a more professionalised regulatory workforce, with better training and career pathways. And Ministers need to provide clearer strategies and stronger leadership for the regulatory system as a whole.

Government response#

In July 2015, the Treasury released the Government response to the Commission's report and there was the following media release: Government drive to lift regulatory quality.

Evaluation#

An independent evaluation of the Commission's performance was undertaken.

Timeline#

  • Terms of reference - 10 July 2013
    • Consultation and engagement starts
  • Issues paper - 28 August 2013
    • Submissions closed 25 October 2013
  • Draft report - 13 March 2014
    • Submissions closed 8 May 2014
  • Final report - 16 July 2014
  • Evaluation - October 2014
  • Government response - 28 July 2015

Key documents#

Final report and Government response#

Final Report: Regulatory Institutions Practices Inquiry
Doc. Date Sort ascending Creator Title
Government of New Zealand
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission

Terms of reference and issues paper#

Issues Paper: Regulatory Institutions Practices Inquiry
Doc. Date Sort ascending Creator Title
New Zealand Productivity Commission
Minister of Finance

Research#

Draft report#

Draft Report: Regulatory Institutions Practices Inquiry
Doc. Date Sort ascending Creator Title
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission
New Zealand Productivity Commission

Submissions#

Public submissions on issues paper - Regulatory institutions and practices

Public submissions on draft report - Regulatory institutions and practices

Evaluation#

Evaluation: Regulatory Institutions Practices Inquiry
Doc. Date Sort ascending Creator Title
Laking, Rob
Spencer, Kathy
New Zealand Productivity Commission