Transcript Reforma inspekcija međunarodna iskustva i

The Significance of Inspection
Reforms for the Improvement of
the Business Environment in Serbia
Slavica Penev
Andreja Marušić
27.09.2011.
The nature of inspections
• Inspections are a key enforcement
mechanism within regulatory reform
• Purpose of inspections is to ensure
compliance with regulations and
governmental requirements
• They are important for enforcing regulations
to protect public health, safety, and the
environment and to carry out economic
functions
Inspections and competitiveness
• In a broader perspective effective inspections
are important for an overall improvement of
competitiveness
• Many inspections are creating heavy burden
• Increase of the competitiveness of the private
sector can be achieved by decreasing the
administrative burdens businesses face
Minimum criteria of a well designed
inspection system
• Clear compliance rules and a clear mandate for the
inspections;
• Reduction of regulatory risks for businesses;
• Instruments for fighting corruption;
• The system does not create unnecessary burdens
and costs to businesses
• Transparency – businesses can access all relevant
information about inspections easily
• Cost-effectiveness - limited enforcement budget is
maximized through risk based controls
Promoting compliance – spectrum of measures
Models of inspections reforms
Institutional
Framework
Legislative Framework
IT solutions
Reforming individual Ad hoc reforms of Ad hoc IT solutions
inspections – ad hoc laws and regulations for
particular
approach
related to specific inspections
inspections
creating
a
coordinating body
Creating a centralized
inspectorate
Common legal
framework
Common
legal
framework + strategic
approach
in
reforming particular
laws
IT
communication
between inspections
Joint software for all
inspections
Examples of comprehensive inspections reforms
implemented
Start
date
Single Inst’l
law
reform
Policy area
Main approach
New inst.
ICT
Bosnia &
Herzeg.
(Rep.Srp)
20062007
Yes
Yes
All
inspections
except tax
Centralized/
unified
inspectorate
General
Inspectorate
Yes
Croatia
19992008
Yes
Yes
Most of
inspections
Centralized/
unified
inspectorate
General
Inspectorate
Yes
Latvia
1999
Yes
Yes
Most of
inspections
Coordination
Inspectorate
Coordination
Council
Yes
Poland
20002009
Yes
Yes
Selected
inspections
Coordination
General Trade
Inspectorate
Yes
Slovenia
2002
Yes
Yes
Most
inspections
Coordination
Inspection
Council
-
Inspection Reforms - where is Serbia so far?
• Regulatory Reform in Serbia was one of the
transition priorities during the previous decade
• The only area in regulatory reform which was
neglected was the area of inspections
• The last comprehensive diagnostic study related
to inspections in Serbia was in 2003 – World
Bank Admin. Barriers Study
Inspection Reforms - where is Serbia so far?
• Inspections in Serbia are numerous and
decentralized - 31 different inspections within the
competence of 10 different ministries
• Inspections reforms are ad hoc implemented as
individual reforms of specific inspections
• There is no framework inspections law
• There is no coordination body guiding inspection
reforms
• There is no formal communication and coordination
between inspections
Institutional Framework - where is Serbia so far?
Reforming individual
inspections – ad hoc
approach
In progress
Comprehensive reform underway in the area
of Environmental Protection, driven by the
EU agenda
Creating a
coordinating body
In progress
The
Government
adopted
the
recommendation for the establishment of an
inter-ministerial coordination body for the
reform of inspections
Creating a centralized
Under consideration/discussion
inspectorate
Coordinating body should analyze the
possibility of merger or centralization of
inspections
Legislative Framework - where is Serbia so far?
Ad hoc reforms of laws
In progress
and regulations related to -Package of “green laws” adopted in 2009
specific inspections
-Draft Market Surveillance Law
Common legal framework
In progress
The Ministry of Public Administration and Local Self
Government established a working group for drafting a
framework inspections law
Common legal framework
+ strategic approach in
reforming particular laws
None
- app. 1000 laws and regulations identified in legal databases which contain
the word inspector or inspection in the title or content
- app. 90 laws and regulations identified by regulatory authorities in the
guillotine process as regulations which contain inspection procedures
IT solutions- where is Serbia so far?
Ad hoc IT solutions
for particular
inspections
Limited
adequate software solutions for inspections
is precondition for transparency and
accountability
IT communication
between inspections
Need is recognized but not yet established
Joint software for all
inspections
None
However, a joint software or interphases
connecting inspections software would
enable the cooperation of inspections and
the elimination of overlapping of inspections
Example of EU Driven Reform of Inspection Environmental Inspection
• Reform initiated in parallel with the EU accession
process of Serbia (early 2000’s)
• Cover one of the priority EU harmonization areas
• Significant and intensive cooperation with the
international community (EU, OEBS, EAR, SIDA,
BERCEN, IMPEL)
• Intensive legislative activities – adoption of “green
package” of laws (17) and related by-laws (207)
• Procedures governed by check lists based on the EU
regulations
• Continuous training and building capacities activities
supported by international community
Improvement of Accountability in the work of
Market Inspection - Internally driven reform
• Software for the improvement of the statistics of
work of market inspectors enables the heads of
departments to monitor inspectors
• Internal procedures for specific inspection
controls have been defined
• Professional exam for market inspectors in
addition to the State Exam
• Call center for complaints against inspectors
Public availability of information on
inspections
• Annual reports of environmental, urban planning,
construction
and
market
inspection are
comprehensive and available on-line;
• Legislation related to the inspection area are
available on-line;
• Procedures and check lists are used internally and
are not available on-line
• the on-line availability of clear and comprehensive
procedures and check lists would facilitate
compliance of inspected subjects
Jointly recognized areas for improvement
in the work of inspections
• Framework inspections law
• Need for data sharing and coordination
among inspection
• Coordination body for inspections to initiate
and implement joint reform efforts
• More intensive external support in capacity
building and EU harmonization process
Areas of opposition to the reform of
inspections
• Reluctance to consider the idea of merging
inspections and reducing their number (31
inspections within 10 ministries)
• Opposition among inspectors to introducing
new procedures which ensure accountability
• Resistance to reforms limiting certain
authorities and powers of inspectors
• Unwillingness to operate transparently and
share information with businesses
How businesses perceive inspections
• Frequent legislative changes: “not even experienced accountants can
manage the forest of regulations “
• Regulations are unclear and require interpretations. Interpretations
issued by ministries are not mandatory, they are often inconsistent
and conflicting.
• In performing inspection controls, inspectors often invoke
regulations or internal rules which have not been published
• As a rule, inspection controls are unannounced
• Inspections are uncoordinated and lenghty and often differnet
inspections request from businesses the same data and documents
• The informal economy is practically not controlled, while only the
legal businesses which have the capacity to pay penalties are
controlled – i.e. Potentially the most vital part of the conomy suffers
• The focus of inspections is on penalizing businesses and not
supervision and prevention
Conclusions?
That’s our job today!
we are looking forward to your discussion