1. Ministry of Economic Affairs | 11 April 2013 Stefan Koreneef and Dimitri Verhoeven Ministry of Economic Affairs Directorate-General for Enterprise and Innovation Regulatory Reform and ICT Policy Department Seminar Advancing Smart Regulation Regulatory burden reduction initiatives in the Netherlands

2. Ministry of Economic Affairs | 11 April 2013 2 What is the definition of regulatory burden? Negative (side)effects of regulation which leads to Time, Costs Irritation Negative image of the government Approach (for businesses) especially from a economic point of view: Less costs for businesses More economic growth and competitiveness Netherlands Bureau for Economic Policy Analysis (CPB)-calculation: 25% less administrative burdens = economic growth of 1,3%.

3. Ministry of Economic Affairs | 11 April 2013 3 History regulatory burden policy (1) In 2002 we started with a 25% reduction of administrative burdens Method: Zero-base measurement with the Standard Cost Model (SCM), target, central coördination and external watchdog (Actal) Approach copied by other EU-memberstates, the OECD and the European Commission

4. Ministry of Economic Affairs | 11 April 2013 4 Top of the iceberg

5. Ministry of Economic Affairs | 11 April 2013 5 History regulatory burden policy (2) Approach broadened through the years:  Less administrative burdens  Less compliance costs  Less inspection costs  Improved and digital public services

6. Ministry of Economic Affairs | 11 April 2013 6 Targets on regulatory costs 2002 – 2012 On administrative burdens in % Possible by using zero base measurement On compliance costs in € No zero base measurement available (too extensive, too complex, no support) 2012 and coming years: On administrative burdens and compliance costs (combined) in € Because of: - No zero base measurement on compliance costs available - No current zero base measurement on administrative burdens available

7. Ministry of Economic Affairs | 11 April 2013 7 Program regulatory burden for businesses 2012- 2017 Structural netto reduction of regulatory burden € 2,5 billion for businesses, citizens and professionals Together with stakeholders in at least 15 heavily regulated sectors we will examine perceived problems and find specific solutions to lower company costs and improve competitiveness More use of ICT solutions (Company file) Reform on inspections – joint effort with municipalities – reduction of inspection costs

8. Ministry of Economic Affairs | 11 April 2013 8 1.Reduction of regulatory burden by € 2,5 billion For businesses € 2,1 billion (Ministry of Economic Affairs) - € 1,2 billion on progress report businesses - € 0,5 billion by making use of ICT - € 0,4 billion? Measures of 0.4 billion include the customized approach, the abolition of the timesheets declaration, the review of environmental law and simplifying the building regulations. For citizens and professionals € 0,4 billion (Ministry of the Interior) - € 0,1 billion on progress report citizens - € 0,3 billion on new measures for citizens and professionals

9. Ministry of Economic Affairs | 11 April 2013 9 Prevent new regulatory burden The reduction of regulatory costs by € 2,5 billion is a netto target. The Ministry of Economic Affairs checks the regulatory effects before discussion in the council of ministers. Risk-files will be put on the agenda of the council of ministers. Inevitable increase of regulatory burden have to be compensated by the ministry concerned. The implementation of new measures in practice can be a risk for achieving the targets of the coalition agreement (for example financial sector)

10. Ministry of Economic Affairs | 11 April 2013 10 2. Customized approach on domains wich are important for the economy (1) Government, businesses and stakeholders will cooperate to find solutions concerning the reduction of regulatory burden. The customized approach implies the use of all available instruments to reduce regulatory burden, to simplify inspections and public services and to remove impediments to growth and innovation. Start 1st fase in spring 2013 with domains mentioned in the coalition agreement (CA : banks, chemistry sector, logistics, agriculture & food, life sciences, construction and health sector ). 1st result in pilot chemistry sector: 15% of all production costs are regulatory costs

11. Customized approach on domains wich are important for the economy (2) Selection 2nd fase (start spring 2014) in cooperation with the Confederation of Netherlands Industry and Employers, the Dutch SME-Association and Actal. The responsable ministry has to take the initiative to draw up and excute the action plan. The Ministry of Economic Affairs coordinates domains for businesses. The Ministry of the Interior coordinates domains for citizens and professionals. Ministry of Economic Affairs | 11 April 2013 11

12. Ministry of Economic Affairs | 11 April 2013 12 3. Improving (digital) public services Poor public services cause irritation and costs for businesses. Examples: long waiting lists, deliver data and information several times. Approach necessary for noticeable reduction of regulatory burden. Digitising is a powerful instrument. Legislation for the right of doing business with the government electronically for citizens and businesses The municipal public services will be stimulated by a customized programme for municipalities (‘Beter & Concreter’), the covenant smarter cities, the Mark of Good Public Services and by participation in the local regulatory burden-test. In case of the digital company file, businesses can deliver their information only once. A one-stop-shop for doing business with the government. http://www.youtube.nl/watch?v=NIVjuS8fqM4&feature=plcp http://www.youtube.nl/watch?v=NIVjuS8fqM4&feature=plcp

13. Ministry of Economic Affairs | 11 April 2013 13 4. Smarter inspections: close cooperation of inspectorates Inspectorates (national and local government) will cooperate intensively and closely to reduce inspection costs. Improving the information-exchange between inspectorates and between inspectorates and businesses (company file). Customized approach to reduce inspection costs.

14. Ministry of Economic Affairs | 11 April 2013 14 State of play: regulatory burden Local and regional governments Covenant Smarter Cities - Smarter use of ICT Customized programme for municipalities (‘Beter & Concreter’): - Improving implementation of legislation - Reducing inspection costs - Improving Public Services - Regulatory burden-ambassadors Europe Regulatory Fitness and Performance Programme (REFIT) - Start: 2014. The High level Group of Independent Stakeholders on Administrative Burdens (‘Stoiber-group’) representing the businesses - Reducing regulatory burden by independent “watchdogs” (Actal)

15. Ministry of Economic Affairs | 11 April 2013 15 Burning questions