Impact assessments of new EU legislation
In June 2005, the Commission updated its guidelines for impact assessments of proposals for new EU legislation. Henceforth, all new proposals must be accompanied by an assessment of the expected consequences for central aspects such as the environment, social as well and economic affairs. At the same time, the administrative burdens on businesses constitute a key part of the assessments.
Impact assessments are to make to sure that legislation is only pursued when benefits outweigh costs, and that legislation is drafted in the most appropriate way. In other words, the basis for the impact assessment guidelines is only to legislate when necessary and to do it in the leanest and most user-friendly way.
The new guidelines should draw further attention to the consequences for businesses and consumers from legislating. Through the impact assessments, politicians gain a better basis for decision making.
Simplification of existing EU legislation
The Commission has launched a rolling programme for simplification, aimed at simplifying existing EU rules and regulations. The latest version of the simplification programme from October 2005 includes over 100 simplification initiatives in a broad range of areas.
To contribute to this programme, Denmark sent a list of 50 Danish proposals to the Commission in June 2005. The Danish proposals were collected through a thorough consultation of key stakeholders, including civil servant and private organisations. Several of the Danish proposals are now included in the Commission’s rolling programme.
In the future, the Commission will update the simplification programme annually, and Denmark will continue to press for delivery of actual results that make legislation simpler and more understandable.
Removing red tape from EU legislation
Following years of preparations, the Commission has decided to measure the administrative burdens that businesses encounter due to EU legislation. The measurement will be based on methodology greatly inspired by the Standard Cost Model (or AMVAB in Danish).
For several years, Denmark has encouraged the Commission to learn from the experiences gained in the Netherlands and Denmark, measuring and reducing the burdens on businesses. So far, the Commission has announced that from 2006 the methodology will be used to measure burdens from all new legislative proposals expected to contain burdens for businesses. As such, the measurements will be a key instrument to avoiding unnecessary burdens in new EU legislation.
Furthermore, the Commission has announced that it will start using the method to measure existing rules with a view to removing the red tape that already exists. The next step will be to set targets for reductions of the burdens in selected areas of EU legislation and start creating a better and more businesses friendly environment.