1. The Dutch Advisory Board on Administrative Burden (Actal) The Hague March 5, 2008

2. Topics Businesses Four criteria for success The proof of the pudding Broadening the scope Citizens Public administrations Compliance costs Europe

3. Businessess Good governance Reducing administrative burdens for businesses is good for economy 25 % reduction policy results in: Labour productivity + 1.7 % GDP growth + 1.5 %

4. Businesses: four criteria for success Review of World Bank (2007) and OECD (2007): Dutch programme on reducing administrative burdens for businesses is world leading. Four criteria for success: measurement, reduction targets for each ministry, strong coordinating minister, incorporation in the regulatory process

5. First criterion: measurement Zero-base measurement Standard Cost Model Ex ante measurement (new regulation)

7. Second criterion: targets Reduction targets for each ministry Nimby 25 percent target works well as an incentive

8. Third criterion: strong minister Ministry of Finance Budget cycle (carrot and sticks) Situation since 2007 (new cabinet): two state secretaries, still linked to the budget cycle

9. Fourth criterion: incorporation Contain the flow of new regulation Independent watchdog: Actal NET target

10. The Actal Organisation Independent watchdog, assessor and facilitator Established in 2000: focus on AB for businesses From 2005: AB for citizens too Final date: 1st of June 2011 Small organisation: 3 Board members, 13 staff

11. Assignment Bring about a cultural shift among legislators and policy officers Policy officers should consider the effects for AB on their own initiative

12. Method of working The two main instruments are: - advise ministries on proposed legislation - advise ministries on existing legislation Also: Parliament (only at request) - assess amendments Supervisory bodies Local government European Union

13. Are the administrative burdens quantified? Is the quantification correct? Are alternative options considered that may lead to lower administrative burdens? Is the least burdensome option chosen? Are arguments provided as to why a certain option was preferred and possible alternatives were rejected? Is the least burdensome option chosen in implementation (enforcement) of laws and regulations? Proposed legislation: Test criteria

14. Proof of the pudding - I Dutch Programme AB Businesses Since 2002Before 2000 MeasurementSCM, Zero-baseNo zero-base TargetsNet target, each ministry Gross overall target Coordinating minister Ministry of FinanceEconomic Affairs IncorporationActal; Ex-ante measurement No check on new regulations

15. Proof of the pudding - II Delivery of results: Reduction plans from ministries Ex ante measurement of new regulation Effect on AB matters for decisionmaking Actual reduction of AB businesses

16. Broadening the scope: citizens AB Citizens (since 2005) (Partial) zero-base measurement; SCM Reduction targets for each ministry Coordination by Ministry of the Interior Ex ante measurement and Actal Cumulative burdens for target groups, e.g.: Disabled persons; Elderly

17. Broadening the scope: public administrations The example is the education sector: Zero-base measurement; SCM Net reduction target Initiative of Ministry of Education Ex ante measurement; checked by Actal Presently our cabinet aims to broaden the scope to public administrations in general (this is still under construction).

18. Broadening: compliance costs Why? Good governance Economy Bridging the gap between what government does and what business perceives

19. Broadening: compliance costs This is presently under construction It can be measured: probably a partial zero- base measurement Probably gross reduction targets for some specific domains Coordination by state-secretaries Finance plus Economic Affairs Ex ante measurement; checked by coordinating ministries or Actal

20. Broadening the scope: Europe About 50% of Dutch AB originate from Europe Thirteen priority areas are presently measured Gross reduction target on priority areas [Fast track proposals] (future ambition for net target?) Coordination by commissioner Verheugen (DG Enterprise) Flow: ex ante measurement for all new proposals (Impact Assessment Board)

22. About Europe Joint position papers of NKR, BRC, Actal on European efforts First position paper: 1 March 2007 Second paper: 19 Oktober 2007

23. Europe: some of our wishes Measurement of the full Acquis Net reduction targets for each DG Better ex ante measurement of AB for new proposals Independent watchdog (High Level Group: Stoiber) Truly independent Good mandate

24. Conclusions - I Four criteria for success of the Dutch approach on administrative burdens for businesses: Measurement; Targets; Strong minister; Incorporation in regulatory process.

25. Conclusions - II Several opportunities to duplicate (broaden) the success: Citizens; Public administrations; Compliance costs; European union.

26. Useful websites www.compliancecosts.com www.administrative-burdens.com www.actal.nl

27. Contact information Actal P.O. Box 16228 2500 BE The Hague The Netherlands tel: +31-(0)70-3108666 e-mail: info@actal.nl Internet: www.actal.nl