Regulatory Impact Assessment: How political and organizational forces influence its diffusion in a developing country

Regulatory Impact Assessments (RIAs) are being diffused progressively throughout the world following the recommendations of international organizations. Research has shown that the diffusion of RIA has not produced convergence in actual practices, particularly in developing countries, due to political forces at work in domestic contexts or the available organizational capacities. The Organisation for Economic Co‐operation and Development (OECD) has recently recommended that the Brazilian federal government adopt RIA. This article evaluates how contextual variables, specifically political and organizational ones, influence RIA adoption in Brazil. It is based on field research consisting of semi‐structured interviews with the main stakeholders of the Brazilian regulatory framework. The research explored RIA concept familiarity among stakeholders, the bureaucratic context, the policy process, pivotal stakeholders' standpoints in adopting RIA, and available organizational capacities. Contrary to previous studies in developing countries, the research reveals that strong organizational capacities are not a sufficient factor for successful diffusion of RIA, because political variables can influence divergence among agencies in future RIA practices.     

The effectiveness of NGO self‐regulation: theory and evidence from Africa

Non‐governmental organizations (NGOs) play an increasingly important role in public service provision and policy making in sub‐Saharan Africa, stimulating demand for new forms of regulatory oversight. In response, a number of initiatives in NGO self‐regulation have emerged. Using cross‐national data on 20 African countries, the article shows that self‐regulation in Africa falls into three types: national‐level guilds, NGO‐led clubs and voluntary codes of conduct. Each displays significant weaknesses from a regulatory policy perspective. National guilds have a broad scope, but require high administrative oversight capacity on the part of NGOs. Voluntary clubs have stronger standards but typically have much weaker coverage. Voluntary codes are the most common form of self‐regulation, but have the weakest regulatory strength. This article argues that the weakness of current attempts to improve the accountability and regulatory environment of NGOs stems in part from a mismatch between the goals of regulation and the institutional incentives embedded in the structure of most self‐regulatory regimes. The article uses the logic of collective action to illustrate the nature of this mismatch and the tradeoffs between the potential breadth and strength of various forms of NGO self‐regulation using three detailed case studies. Copyright © 2008 John Wiley & Sons, Ltd.     

Risk Analysis of Nanomaterials: Exposing Nanotechnology's Naked Emperor

Risk analysis (encompassing risk assessment, management, and communication) is touted internationally as the most appropriate approach for governing nanomaterials. In this article, we survey existing criticisms of risk assessment as a basis for regulatory decision making on emerging technologies, particularly highlighting its exclusion of key societal dimensions, its epistemological underdetermination, and its lack of democratic accountability. We then review the specific case of nanomaterials and identify six major barriers to the effective operation of both risk assessment and risk management. These include a lack of: nano‐specific regulatory requirements, shared definitions, validated and accessible methods for safety testing, available scientific knowledge, reliable information on commercial use, and capacity for exposure mitigation. Finding the knowledge, standards, methods, tools, definitions, capacity, and political commitment all insufficient, we argue that risk analysis is a “naked emperor” for nanomaterial governance. We therefore suggest that additional concepts and approaches are essential for nanomaterials policy and regulation.     

Deregulation and Participation: An International Survey of Participation in Electricity Regulation

Amidst the wave of privatization and "deregulation" across the globe, a new set of regulatory structures is being created. The fact that deregulation actually involves "re-regulation" has been acknowledged in the recent literature, but the tension between regulation and public participation has been understudied in these new structures. While some private markets need effective regulation to reduce transactions costs and ensure stable market rules, consumers need regulation that is responsive to, and protective of, their interests. Consumer participation, therefore, is an important component of effective regulation. Effective regulation must also consider collective national or public interests, including the well-being of corporations. Therefore, regulatory agencies need to be both independent from, and responsive to corporate, consumer, and public interests. This article will briefly examine the tension among the competing goals of regulatory independence and responsiveness, and then conduct a broad survey of the status quo of public participation in national regulatory structures for electricity in the Americas. Our case studies demonstrate a wide variety of institutional mechanisms for participation, yet we find that no existing system seems to embrace direct participation by a wide set of consumers. The problems are even more acute in developing countries. We conclude by looking at recent experiments and proposals to improve the levels of participation in regulatory decision making.     

Technocracy,Politicization, and Noninvolvement: Politics of Expertise in the European Regulation of Chemicals

This article addresses the relationship between scientific expertise and policy in European chemicals regulation. We argue that the role of scientific expertise in the European regulation of chemicals varies across decision‐making levels, countries, and stages of the policy process. Our case study of the role of scientific expertise in the regulation of brominated flame retardants illustrates considerably different manifestations of this interconnected process across regulatory arenas, even though this case concerns a single group of substances. On the European Union level, we find a mix of technocracy and politicization; in Sweden, a clear‐cut politicization; and in Poland, noninvolvement. Such differences can be explained by a combination of factors, in particular frame dominance, and mobilization of advocacy coalitions.     

When do governments trade domestic reforms for external rewards? Explaining policy responses to the Millennium Challenge Corporation's eligibility standards

Journalistic reports and case study evidence suggest that governments have made policy and institutional reforms to achieve or maintain eligibility for assistance from the Millennium Challenge Corporation (MCC). However, the empirical scope of the “MCC Effect”—across countries, policy domains, and time—remains a subject of speculation and debate. There is also little rigorous evidence about the conditions under which the MCC eligibility standards have influenced the reform efforts of developing country governments. To address this challenge, we construct an original data set that measures whether, when, and how governments in low‐income and lower‐middle‐income countries responded to the eligibility requirements for MCC assistance between 2004 and 2010. Our econometric analysis of the data set calls attention to an underappreciated factor that shapes the adoption and implementation of externally influenced reforms: the presence of a technocratic reform team with executive authority to introduce disruptive changes to the status quo.     

The many uses of regulatory impact assessment: A meta‐analysis of EU and UK cases

Research on regulation has crossed paths with the literature on policy instruments, showing that regulatory policy instruments contain cognitive and normative beliefs about policy. Thus, their usage stacks the deck in favor of one type of actor or one type of regulatory solution. In this article, we challenge the assumption that there is a predetermined relationship between ideas, regulatory policy instruments, and outcomes. We argue that different combinations of conditions lead to different outcomes, depending on how actors use the instrument. Empirically, we analyze 31 EU and UK case studies of regulatory impact assessment (RIA) – a regulatory policy instrument that has been pivotal in the so‐called better regulation movement. We distinguish four main usages of RIA, that is, political, instrumental, communicative, and perfunctory. We find that in our sample instrumental usage is not so rare and that the contrast between communicative and political usages is less stark than is commonly thought. In terms of policy recommendations, our analysis suggests that there may be different paths to desirable outcomes. Policymakers should therefore explore different combinations of conditions leading to the usages they deem desirable rather than arguing for a fixed menu of variables.     

Regulation or revenues? An analysis of local business licences,with a case study of the single business permit reform in Kenya

Licensing of businesses by local governments is a common practice in many countries. While business licensing has its origins in regulation, it is often seen as little more than a revenue source for local government. This article reviews the potentially conflicting objectives of regulation and revenue generation, and outlines the various forms which local taxation of business has taken in a number of countries. In practice, the regulatory aspects of local business licensing in many developing countries are ineffective at best and counterproductive at worst, and there are pressures to sweep away most local business licences as part of deregulatory reform. Yet local governments in many countries are in dire need of revenue sources in order to finance local service provision. The article analyses the reforms that have been introduced to business licensing in Kenya. There, traditional business licences have been replaced with a Single Business Permit, with the twin objectives of increasing local revenues and reducing regulatory compliance costs on businesses. Initial results suggest that, while there have been some initial start‐up problems, both these objectives are being achieved. Copyright © 2001 John Wiley & Sons, Ltd.     

EU Legislation to Reduce Carbon Emissions from Cars: Intergovernmental or Supranational Policy Making?

This article examines the making and implementation of the 2009 European Union (EU) regulation on cars and CO₂ emissions (Regulation [EC] No 443/2009). As the first legally binding measure to target the CO₂ emissions of passenger cars, this regulation represents a milestone in EU efforts to reduce the climate impacts of road transport. The analysis draws on two central theoretical perspectives on EU policy making: liberal intergovernmentalism and supranationalism. Both offer important insights, but their explanatory power varies with the policy‐making phase in focus. The analysis shows that the Commission and the car industry were instrumental in shaping what eventually became an industry‐friendly regulation applicable in all EU countries. However, far from being a case of closed negotiations between the industry and the Commission, Germany and other EU countries defending the interest of manufacturers of high‐emission vehicles made use of their powers during the decision‐making phase and succeeded in watering down the Commission's proposal.     

The regulatory style of environmental governance in China: the case of EIA regulation in Shanghai*

The body of literature that examines how institutional contexts affect environmental governance in advanced industrial countries finds that style of environmental regulation is country‐specific. In the pluralist form of democracy like the United States, environmental policy formulation involves bargaining and compromises among interest groups and regulation enforcement through relatively formal and legalistic means. In the corporatist form of democracy like Sweden and Great Britain, in contrast, environmental policies are more accommodating to divergent societal interests and tend to be less formal in their enforcement. These variations in regulatory style have been attributed to differences in basic constitutional structures, regime types and cultures. How do institutional contexts affect the style of environmental regulation in China, which is both a non‐democratic and developing country? This article examines China's regulatory style by focusing on environmental impact assessment (EIA) regulation in Shanghai. The Shanghai EIA system is analyzed in terms of policy ideology, policy content, regulatory process, public participation and policy consequences. It is shown that China's being a single‐party regime with a ‘rule of persons’ tradition has heavily shaped its environmental governance. Based on Shanghai experience, China's style can be characterized as formal in requirement, agency‐dominated in the regulatory process, legalistic in enforcement, and informal politics as the substance of regulation. Copyright © 2000 John Wiley & Sons, Ltd.     

Socio‐economic Considerations in Biosafety and Biotechnology Decision Making: The Cartagena Protocol and National Biosafety Frameworks

Article 26.1 of the Cartagena Protocol on Biosafety left open the possibility for member countries to include in their biosafety regulatory processes the assessment of socio‐economic considerations. Countries may also decide to include such assessments as part of their national legislation or regulations for the approval and deliberate release into the environment of genetically engineered technologies. Countries are debating if and how to implement assessment of socio‐economic considerations. This paper contributes to the ongoing policy dialogue by discussing issues related to socio‐economic assessment including scope, timing, inclusion modalities, methods, decision‐making rules and standards, and the integration of socio‐economic assessments in biosafety and/or biotechnology approval processes. This paper also discusses the implications of such inclusion for technology flows and public and private sector R&D. If inclusion is not done properly, it may negatively impact technology flows especially from the public sector and render an unworkable biosafety system.     

Rationality,Power, Management and Symbols: Four Images of Regulatory Impact Assessment

Impact assessment is the pivotal instrument in the recent wave of regulatory reforms labeled ‘better regulation’. Although the economics of impact assessment has been the subject of a vast literature, less is known about its political properties. Within a comparative framework, this article provides conjectures on four images of impact assessment – that is, rational policy making, political control of the bureaucracy, public management reform, and symbolic action. Looking at six countries with a long experience of impact assessment and the European Union, the article first builds expectations about the diffusion of the images across countries, and then proceeds to measurement by using both objective and interpretative/subjective indicators. The findings seem to support the public management reform image – a conclusion that suggests further specifications about administrative traditions and change. Sweden and Denmark are not using impact assessment to foster instrumental rationality or increase the political control of bureaucracies and, together with the Netherlands, rank high on the symbolic action scale. The United States – and to a lesser extent Canada and the United Kingdom – have a multi‐purpose approach to impact assessment. The case of the European Union defies prior expectations, showing much more usage than anticipated.     

Who protests? An exploration of the class dimensions of anticorruption mobilization

This article examines the role of economic class in mobilizing against corruption. Across several countries, recent anticorruption movements have been attributed to the growing urban middle class. Yet, existing studies have not examined how citizens view their own agency and how their views may be affected by their class position. We use Transparency International's Global Corruption Barometer survey and a case study of India to critically examine the class dimensions of anticorruption mobilization. We find that citizens in middle‐income countries are most concerned with corruption. At the same time, those who identify as middle class are only slightly more likely than low‐income individuals to indicate a willingness to mobilize. In contrast, people who identify as high income are much less willing to engage with the issue. Our findings suggest that successful and sustained mobilization against corruption might require a coalition of middle‐and lower‐income groups.     

The Evolution of a Global Labor Governance Regime

During the last decade, the approach by businesses and governments toward labor and social issues at the global level has fundamentally changed. Industrial relations are rapidly internationalizing by developing new actors and forms of governance to deal with the regulation of labor. This article looks at the evolution of self‐regulatory standards in the global labor governance debate. Key is that notwithstanding problems with the lacking legal framework of global regulation and enforceability, patterns of local self‐regulation, norm‐setting, and international codes lead not only to higher expectations of the behavior of transnationally operating firms but also to an indirect pattern of regulation. The article argues that particularly the adoption of the core labor standards by the International Labour Organization (ILO) and the setup of the Global Compact by the UN serve as points of convergence. A plethora of voluntarist initiatives that converge over time toward a shared understanding of labor standards is part of the transformation of global labor governance institutions.     

Regulating Rule‐Making via Impact Assessment

In their attempt to promote “better regulation,” governments have ended up with increasing regulation of rule‐making. Regulatory impact assessment (RIA) is a manifestation of this trend. This article draws on the positive political economy hypothesis that RIA is an administrative control device. Rational politicians—positive political economy argues—design administrative requirements to solve problems of political uncertainty. This is a rather abstract hypothesis but with clearly observable implications. Empirical analysis on Canada, Denmark, the Netherlands, Sweden, the United Kingdom, the United States, and the EU shows that the modes and level of control vary, with almost no evidence supporting the positive political economy hypothesis in Denmark and Sweden and more robust evidence in the other cases, especially the United States and the United Kingdom. The EU scores high, but control has both a political component and an infra‐organizational dimension. In between the extremes I find modest levels of political control in Canada and the Netherlands.     

Torn in translation: An ethnographic study of regulatory decision‐making in Turkey

There is much literature on the diffusion and translation of regulatory agencies from the perspective of formal political models. Ethnographic research of regulation process is, however, much less common. This is even more evident with regards to the study of regulatory agencies established outside the “West.” This article analyzes the translation process of the Turkish tobacco regulatory agency, which was established in 2002, under commitments made to the International Monetary Fund and the World Bank. Based on an ethnographic analysis of two controversial cases, the study shows that tobacco regulation was being shaped and pursued in an environment of ambivalence and uncertainty. The study concludes that the decision‐making process of the agency is context‐specific and constructed within the perpetual struggles and interactions among the actors involved in this process.     

E‐Participation,Transparency, and Trust in Local Government

This article examines the relationship between electronic participation (e‐participation) and trust in local government by focusing on five dimensions of the e‐participationprocess: (1) satisfaction with e‐participation applications, (2) satisfaction with government responsiveness to e‐participants, (3) e‐participants’ development through the participation, (4) perceived influence on decision making, and (5) assessment of government transparency. Using data from the 2009 E‐Participation Survey in Seoul Metropolitan Government, this article finds that e‐participants’ satisfaction with e‐participation applications is directly associated with their development and their assessment of government transparency. The findings reveal that e‐participants’ satisfaction with government responsiveness is positively associated with their perceptions of influencing government decision making. Furthermore, there is a positive association between e‐participants’ perception of influencing government decision making and their assessment of government transparency. Finally, the article finds that there is a positive association between e‐participants’ assessment of government transparency and their trust in the local government providing the e‐participation program.     

Regulatory reform and governance: A survey of selected developing and transition economies

Regulation is now considered an integral instrument in developing policy toolkit to support market‐led, pro‐poor growth in developing and transition economies. Institutional environment in general and regulatory governance in particular have increasingly been viewed as a factor of competitiveness. In search for better governance, regulatory reform is critical. This article assesses regulatory reform in selected developing and transition economies by reporting the results of a survey on the application of regulatory governance policies, tools and institutions. It is found that in these countries regulatory reform has not shifted in approaches and objectives to taking a systematic view of regulatory governance and the means of promoting and enhancing it. It is suggested that, in order to improve regulatory governance, focus should be put on each of the three elements: regulatory policies, tools and institutions, and that centralised and concerted efforts are needed to integrate the elements. Copyright © 2009 John Wiley & Sons, Ltd.     

Stewardship of quality of care in health systems: Core functions,common pitfalls,and potential solutions

National Ministries of Health in low‐ and middle‐income countries (LMICs) have a key role to play as stewards of the quality agenda in their health systems. This paper uses a previously developed six‐point framework for stewardship (strategy formulation, intersectoral collaboration, governance and accountability, health system design, policy and regulation, and intelligence generation) and identifies specific examples of activities in LMICs in each of these domains, pitfalls to avoid, and possible solutions to these pitfalls. Many LMICs now have quality strategies with clear vision statements. There are good examples of quality agencies and donor collaboration councils to coordinate activities across different sectors. There are multiple options for accountability, including public reporting, community accountability structures, results‐based payment, accreditation, and inspection. To improve health system design, available tools include decision support tools, task‐shifting models, supply chain management, and programs to train quality improvement staff. Policy options include legislation on disclosure of adverse events, and regulations to ensure skills of health care providers. Lastly, health information tools include patient registries, facility surveys, hospital discharge abstracts, standardized population and patient surveys, and dedicated agencies for reporting on quality. Policy‐makers can use this article to identify options for driving the quality agenda and address anticipated implementation barriers.     

Averting Environmental Justice Claims? The Role of Environmental Management Systems

Today, more regulatory provisions are in place for protecting low‐income minority populations who shoulder a disproportionate amount of environmental risk. Recognized as communities of “environmental justice,” industrial facilities located within these areas bear greater legal liabilities for and societal scrutiny of their environmental impacts. The authors offer compelling evidence that, in an effort to avoid regulatory and societal claims that they are disproportionately harming minority and ethnic populations, businesses operating inside environmental justice communities tend to adopt an environmental management system (EMS). The article probes whether industries actually improve the environment as a consequence of EMS adoption or whether such systems are simply used to avoid greater governmental scrutiny without necessarily reducing overall environmental risks.