Understanding Regulation: Theory, Strategy, and Practice

By Robert Baldwin; Martin Cave | Go to book overview

12
Regulation in the European Context

Few domestic regulatory regimes in the European Union are unaffected by governmental actions taken at the European level. In many sectors the domestic regime is strongly influenced by European rules and in some areas it has been acknowledged that the main source of regulatory law has moved from the Member State to Europe.1 At the level of European Union government, a 'regulatory state' has been said to have arisen as the European institutions have become regulators themselves.2

This chapter considers the challenges both of regulating at the European level and of regulating within Europe. It starts by reviewing the general problems of European level regulation, proceeds to examine the strategies for regulating that have been developed by European institutions, and then examines the relationship between European and Member State levels of regulation.


1. The Problems of European Regulation

If reference is made to the regulatory benchmarks discussed in Chapter 6, it can be seen that European-level regulation presents difficulties at least as severe as those faced by Member State regulators.

____________________
1
By 1990 the head of the UK Health and Safety Commission had conceded that the European Community had to be regarded as the 'principal engine' of health and safety law. See Health and Safety Commission, Plan of Work for 199011 and Beyond (HMSO, London, 1989), p. viii. On the development of Community Law in the health and safety sector see R. Baldwin and T. Daintith, Harmonisation and Hazard ( London, 1992) and R. Nielsen and E. Szyszczak, The Social Dimension of the European Community ( 2nd edn., Copenhagen, 1993); D. Rowland, "'Enforcement of Health and Safety at Work, with Special Reference to the UK'", in C. Harding and B. Swart (eds.), Enforcing European Community Rules (Aldershot, 1996). On developments in the utilities see S. Sayer, "'The Impact of the European Union on UK Utility Regulation'", in M. E. Beesley (ed.), Regulating Utilities: A Time for Change? ( London, 1996); L. Hancher, "'Utilities Policy and the European Union'", in P. Vass (ed.), CRI Regulatory Review 1996 ( London, 1996); J. Pelkmans, "'Utilities Policy and the European Union'", in P. Vass (ed.), CRI Regulatory Review 1997 ( London, 1997). On the decline in national regulatory competence in the environment policy, social policy, product safety, and fundamental rights fields see S. Weatherill, "'Implementation as a Constitutional Issue'", in T. Daintith (ed.), Implementing EC Law in the United Kingdom ( Chichester, 1995).
2
See G. Majone, "'The Rise of the Regulatory State in Europe'" ( 1993) 17 West European Politics77; id., Regulating Europe ( London, 1996).

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Understanding Regulation: Theory, Strategy, and Practice
Table of contents

Table of contents

  • Title Page iii
  • Acknowledgements v
  • Contents vii
  • Figures ix
  • Tables x
  • Abbreviations xi
  • I- Introduction 1
  • 1- FUNDAMENTALS 7
  • 2: Why Regulate? 9
  • 3: Explaining Regulation 18
  • 4: Regulatory Strategies 34
  • 5: Who Regulates? Institutions and Structures 63
  • 6- What is 'Good' Regulation? 76
  • 7- The Cost-Benefit Testing Of Regulation 86
  • 8: Enforcing Regulation 96
  • 9: Setting Standards 118
  • 10: Self-Regulation 125
  • 11: Regulating Risks 138
  • 12: Regulation in the European Context 150
  • 13: Regulatory Competition and Coordination 180
  • 14: British Utilities Regulation 190
  • II- PARTICULAR CONCERNS 201
  • 15: Price Setting in Natural Monopolies 203
  • 16- Regulation Versus Competition 210
  • 17- Price-Capping Mechanisms 224
  • 18- Measuring Efficiency: Benchmarking, Yardsticking, and Performance 239
  • 19: Regulating Quality 248
  • 20: Franchising and its Limitations 257
  • 21: Accountability 286
  • 22: Procedures and Fairness 314
  • 23- Conclusions 334
  • Bibliography 337
  • Index 359
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