KEY POINTS:
A review of how red tape drives businesspeople crazy has led to a sea change in the way the Government goes about making new rules, says Commerce Minister Lianne Dalziel.
Announcing the results of the 15-month Quality Regulation Review yesterday, Dalziel said some of the annoying things that
made businesspeople wonder why they got out of bed in the morning had been easy to fix.
"But on other occasions I will admit to some frustration with how slow the wheels of government can turn."
A glaring example of what can happen when the Government's left hand does not know - or care - what the right is doing is the conflicting requirements at Easter weekend of the Shop Trading Hours legislation, the Holidays Act and the Sale of Liquor Act.
Dalziel said that a discussion document which would put all the options on the table and hopefully settle the issue was being prepared.
Like all future discussion documents it would include a draft regulatory impact statement designed to get officials to consider the impact of regulations early in the process and give business more of a say.
Another outcome of the review will be an omnibus Regulatory Improvement Bill to fast-track a number of changes to the Fisheries Act, the Conservation Act and the Hazardous Substances and New Organisms Act, among others.
Dalziel hopes that similar bills tidying up other legislation in a job lot will become a regular thing. "Some changes aren't made because departments know that they won't get such a small matter onto a business legislative agenda."
The review involved detailed interviews with over 130 firms in four sectors - retail, horticulture, hospitality and wine - about the cumulative impact of regulation on them and their ideas for solutions.
Dalziel said she was keen to repeat that process with one or two sectors a year.
A widespread gripe related to the duplication of information requests from various Government agencies.
The Ministry of Economic Development is looking at a Dutch programme which might allow businesses to submit financial data electronically to several Government agencies (such as ACC, Inland Revenue and Statistics NZ) in a single transaction.
Wellington Chamber of Commerce chief executive Charles Finny welcomed the measures but said much more needed to be done.
"The scope of regulations causing concern is wide, including the Employment Relations Act, OSH, the Resource Management Act, the Holidays Act and ACC. These costs are not restricted to red tape or compliance costs."
Business New Zealand chief executive Phil O'Reilly said overall there had been little progress on key regulatory issues for business and their associated compliance costs.
"For example, employers are consistently telling us that the compliance cost trends associated with the Holidays Act are the biggest concern, and next to nothing has been done there."
Dalziel said whenever a problem like the current woes of the finance company sector arose there was a clamour for the Government to do something. "But regulate first, ask questions later isn't the way to go. It's better to wait for the cool light of day, otherwise there are liable to be unintended consequences."
What's being considered
* A one-stop shop for filing the financial information various Government agencies demand.
* A job lot of small fixes to existing laws could become a regular feature of the legislative calendar.
* Detailed consultation with one or two sectors a year.
* Regulatory impact analyses will feature earlier in the policy-making process.
