Better Regulation Statements

A Better Regulation Statement is required for significant new and amending regulatory proposals and must be certified by the Minister for Regulatory Reform before a proposal is considered by Cabinet or the Executive Council. A Better Regulation Statement should be a succinct document which justifies a regulatory proposal. It must demonstrate that the better regulation principles have been applied when developing the regulatory proposal.

The purpose of a Better Regulation Statement is to provide Portfolio Ministers, the Premier and Cabinet, with sufficient information to enable them to make an informed decision about whether to approve the proposal. It also provides information to business and the community about decision making, ensuring transparency and accountability in the regulatory development process.

Portfolio Ministers are responsible for determining whether a regulatory proposal is significant. This decision is subject to the views of the Premier and Cabinet, informed by the Minister for Regulatory Reform.

The Minister for Regulatory Reform must certify Better Regulation Statements before a regulatory proposal is considered. If a Better Regulation Statement does not demonstrate compliance with the better regulation principles the Minister for Regulatory Reform may refuse certification until compliance is demonstrated.

To enable public scrutiny of regulatory decisions, agencies must publish Better Regulation Statements on agency websites after a Bill is introduced into Parliament or a Regulation is published in the Gazette.

Section 2 of the Guide to Better Regulation describes how to prepare and submit a Better Regulation Statement.

The Ready Reckoner at Appendix D of the Guide provides a useful checklist for determining whether the principles have been addressed.

Regulatory Impact Statements under the Subordinate Legislation Act 1989

The Subordinate Legislation Act 1989 continues to require the preparation of a Regulatory Impact Statement for all new statutory rules in NSW.

If a regulation is significant and also requires a Regulatory Impact Statement under the Subordinate Legislation Act 1989, the Regulatory Impact Statement can be submitted in lieu of a Better Regulation Statement.

To satisfy the better regulation requirements, the Regulatory Impact Statement must address the better regulation principles and the outcomes of consultation. This can be done by revising the Regulatory Impact Statement or reporting on the outcomes of consultation in a separate document.

As with a Better Regulation Statement, the Regulatory Impact Statement and any supporting documents must be publicly released when the Regulation is published in the Gazette.