The Property Council welcomes the Government’s announcement to pursue red tape reduction and ensure new regulations are not burdensome, costly or restrictive.
“We encourage and fully support any Government initiative that removes barriers for business and fosters the creation of borderless markets”, Property Council Chief Executive Peter Verwer said.
In particular, the Government’s recognition of the need for properly costed regulation impact statements (RISs) is welcome.
However, it should not be overlooked that we are starting from a very low base.
A recent report prepared by prominent economic consultant Henry Ergas, on behalf of the Property Council found that:
more than three-quarters of all Commonwealth regulations failed to quantify the costs of regulation. In particular, compliance costs were rarely quantified
There was frequent use of vague language in RISs when discussing costs and benefits.
Around a third of RISs in the sample did not analyse policy alternatives. This is despite the fact that according to the Office of Regulatory Reviews’ own reporting, the adequacy standard for RISs has been progressively increased each year since the new requirements were introduced in 1997- 98.
“Over the last two days however announcements from the Parliamentary Secretary and the Treasurer provide comfort that the Government is listening to industry.
“Simplifying and where appropriate harmonising regulation benefits the whole economy.”
“Government and industry both stand to gain from regulation reform. It frees up investment capital and reduces government costs,” he said
“The Property Council will continue to work with Government and will monitor the implementation of the reform measures to ensure the benefits for the sector are achieved,” Mr Verwer said.
Peter Verwer, CEO, Property Council of Australia, 0407 463 842