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PHILIPPINES - REGULATORY IMPACT ASSESSMENT (RIA) GUIDELINES DRAFT – FOR DISCUSSION AND FINALISATION International Agreement impacts Possible impacts could include on Philippines meeting its commitments and objectives under international agreements such as with the Association of South East Asian Nations and World Trade Organisation. Examples of significant impacts: • Prevents commitments being met under the agreement • Impacts objectives and outcomes being delivered as required under the agreement Social impacts Possible impacts could include on public health and safety, access to social services, quality of life and housing affordability. Examples of significant impacts: • Displaces the community or part of a community • Effects on skills development and levels Environmental impacts Possible impacts could include on pollution levels, biodiversity, soil erosion, habitat or species loss, and climate change. Examples of significant impacts: • Substantial environmental damage The PIA must include an estimate of compliance/administrative costs on each stakeholder group (business, community and government) unless they are considered to be negligible or trivial. For example, Compliance costs for business include additional resources required to comply with the regulation (eg., time, staff, training expenses, travel, expert advice, license fees, technical equipment). Version 4.0 23 July 2012 DRAFT Page 18/24
PHILIPPINES - REGULATORY IMPACT ASSESSMENT (RIA) GUIDELINES DRAFT – FOR DISCUSSION AND FINALISATION Administrative costs for government include additional resources required to administer and enforce the regulation (eg., time, staff, training expenses, administrative costs, new equipment and new technologies). Compliance/administrative costs are usually associated with activities such as notification, education, permission, purchasing, record keeping, enforcement, publication and documentation, procedural and other activities required by the regulation. If the potential impacts are not significant, assessment of the regulatory proposal ends with the PIA. If the potential impacts are considered to be significant, then a Regulatory Impact Statement (RIS) is prepared. 4.5 Step 5: Preparing a Regulatory Impact Statement (RIS) A RIS is the second stage of impact assessment in the regulatory development and review process. Under the initial scope of the RIA system, a RIS only needs to be prepared where the PIA finds that the regulatory proposal is likely to impose a significant impact on business. A RIS is conducted in 2 parts: (i) The consultation RIS is used to engage with the public and seek the feedback of stakeholders on the analysis of impacts and options. It should be written so that it is easily understood by people who have no prior knowledge of the topic; and (ii) The final RIS is prepared after the stakeholder feedback is compiled and should include a summary of the results of the public consultation and consideration of the feedback received. The RIS is based on information in the PIA, but generally is more comprehensive with detailed analysis including a full cost-benefit analysis of the impacts of each policy option and the results of public consultation. See attachment C for the Regulatory Impact Statement (RIS) Template. The initial RIS is prepared and submitted to the Secretary or delegate for approval to release the RIS for public consultation. The initial RIS must be sufficiently detailed for informed consideration by and consultation with all relevant stakeholders. The final RIS, together with the RAS are submitted to the Secretary for approval of the regulatory proposal before sending to the President’s Office/other nominated office (to be confirmed) for review, comment and final approval, if required. Version 4.0 23 July 2012 DRAFT Page 19/24
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