ANSSR Mexico Compromises and Results

Transcription

1 2013/SOM1/EC/WKSP/017 Session 1 ANSSR Mexico Compromises and Results Submitted by: Mexico Macro APEC New Strategy for Structural Reform Workshop: Mid-Term Progress in Implementing ANSSR Jakarta, Indonesia January 2013

2 ANSSR - Mexico Compromises and Results January 2013 APEC progress in implementing individual ANSSR plans More opening, wellfunctioning, transparent, and competitive markets Mexico: priorities in the ANSSR Mexico is aligned to the priorities of APEC New Strategy for Structural Reform (ANSSR) and it has established six priorities (see figure). Mexico is committed to ensuring better public governance, facilitating and simplifying the lives of citizens, increasing productivity, detonating competitiveness, promoting growth, creating jobs and spurring economic development, through the elimination of excessive regulation and reducing the compliance costs for citizens. Since 2000 Transparency (public consultation) in the regulatory improvement process. Regulatory Impact Assessment (RIA) implementation. Amendments to the Federal Law of Economic Competition. Priorities COFEMER COFEMER COFECO Since 2010 Implementation of Biannual Regulatory Improvement Programs, based on the Standard Cost Model (SCM) to assess administrative and opportunity costs. Foreign Trade Single Window. Guillotine of Administrative Regulations. COFEMER SE SFP 1

3 Progress in the implementation of priorities Priorities Transparency (public consultation) in the regulatory improvement process. Progress Since 2000, all federal regulation to be issued, needs to be subject to public consultation. Regulatory Impact Assessment (RIA) implementation. Since April 1997, we have implemented the RIA for technical standards and since 2000 for all federal regulation. In 2012 we added the competition analysis and social risk. Implementation of Biannual Regulatory Improvement Programs, based on the Standard Cost Model (SCM) to assess administrative and opportunity costs. Mexico generated savings of 1.2% of GDP, because of decreased administrative burden and opportunity cost. Foreign Trade Single Window. The single window has been successfully implemented. Nowadays it has approximately 77,000 members and annually processes more than 10 million procedures. Public Consultation Progress assessed based on: Transparency (public consultation) in the regulatory improvement process: in order to guarantee active stakeholders involvement in the regulation emission process. Improvements to high-impact regulation drafts coming from public consultation as a percentage of the total number of improvements (quantitative). Degree of improvement to high-impact regulation drafts coming from public consultation, according to stakeholders (qualitative). The regulatory reform process made in COFEMER is enriched by public consultation. Public consultation is important for the Mexican economy, because it allows us, for most regulation, to analyze things from different approaches, which improves the regulation that is finally issued. As a general rule, and by law since 2000, COFEMER must make available to the general public all regulatory projects and RIAs projects and the resolutions issued in each respect. Similarly, COFEMER should consider comments from stakeholders. Considering comments allows for the socializing effects of regulation, knowing more alternatives and promoting inclusive regulations. Web site to consult regulations. 2

4 Public Consultation From 2000 to 2012, COFEMER has had over 4,600 regulations for public consultation with high - impact on the economic and social affairs of the country. Example 1. Interconnection Framework Agreement Example 2. Suspension of a second transient NOM- 012-SCT of federal transport Public consultation in COFEMER could last for 4 weeks Regulations under Public Consultation (2000 to 2012) Impact of Public Consultation The interconnection framework agreement received 48 comments from private individuals. The Suspension of a second transient NOM-012-SCT of federal transport received 69 comments from private individuals. Source: COFEMER, Regulatory Impact Assessment Progress assessment based on: Regulatory Impact Assessment (RIA) implementation: in order to guarantee that regulation benefits outweigh their complying costs and maximize social welfare. Regulation improved by RIA as a percentage of the total subject to the regulatory improvement process (quantitative). Quality of improvement to regulation subject to RIA, according to regulators (qualitative). The Regulatory Impact Assessment (RIA) is a tool of public policy to ensure that the benefits of regulation outweigh their costs. The RIA can systematically analyze the potential impact of regulatory instruments and prevent poor quality regulation that generates unnecessary costs. It was firstly implemented in 1997 for technical standards, through amendments to the Federal Law on Metrology and Standardization. History of RIA in Mexico In 2000, its use was established for all federal regulation through Federal Law of Administrative Procedure Act. In 2012, the RIA was modified to include economic competition analysis and social risks analysis (to be implemented). Similarly, in 2012, the RIA ex post analysis was released; it will close the cycle of regulatory governance. 3

5 Regulatory Impact Assessment: the reform of 2010 Until 2010, Mexico used a single format for all RIA with compliance costs. However, in order to streamline the regulatory analysis, Mexico, based on the best international account practices, considered it necessary to design a RIA based on the economic impact of regulation. For this, an alert system was created to distinguish high-impact regulations of from moderate impact ones in order to do a more thorough analysis of the high-impact ones. From 2010 to the present, Mexico has two types of RIA, the high-impact and moderate impact. They differ because of the depth of information to be provided by regulators and the type of analysis to be submitted. For example, the RIA high-impact risk analysis requires quantification and monetization of costs and benefits. This differential treatment has allowed us to streamline the regulatory reform process and to focus analysis efforts on high - impact regulations. Regulations by impact type Alto Highimpact impacto Impacto Moderate Moderado impact Source: COFEMER, Biannual Regulatory Improvement Programs Progress assessed based on: Implementation of Biannual Regulatory Improvement Programs, based on the Standard Cost Model (SCM) to assess administrative and opportunity costs (new): administrative and opportunity cost reduction on formalities based on three characteristics: focus, ease of implementation and high economic impact. Expected savings as a percentage of the total economic cost of federal formalities (quantitative). - Goal: 25% of the total economic cost of federal formalities by COFEMER has prioritized the implementation of short-term measures with high economic impact; they are also relatively easy to implement. In 2011, Mexico crafted the strategy of reducing by 25% the administrative burden of all federal procedures (steps 4,649), which was equivalent to 4.8% of GDP in This led to COFEMER out through the biennial regulatory improvement, instrument through which the Federal Government agencies planned the actions of deregulation and administrative simplification that would take place from September 15 th, 2011 to September 25 th, Pilot program conducted by the Ministry of Communications and Transport: Just the savings generated by the that Secretariat through the "Agreement establishing shorter periods, are exempted from the production of documents, and is set in constructive approval procedures carried out at the Ministry of Communications and Transport", published in the DOF on October 22, 2010, were of the order of million pesos. All 87 derivative regulatory reform actions as constructive approval, reduced response times, and eliminating requirements for 62 federal procedures governing the airline industry, federal motor carrier and shipping, rail and multimodal. 4

6 Biannual Regulatory Improvement Programs Impact above all procedures in the Federal Registration of Procedures and Services (RFTyS). Impact agregate economic analysis (millions of pesos) $566, $424, % of the GDP 4.8% of GDP 3.6% of the GDP TOTAL Procedures TOTAL Procedures Costo Total Económico economictotal cost Costo Total Económico economictotal costcon withpropuestas proposals Savings of Billion pesos. By implementing improvements in 11% of the Registration of Procedures and Services (511 procedures) would save resources in the order of 1.2% of GDP. Impact above 11% of procedures with the highest economic cost of RTyS (66% of the total cost) Análisis del impacto económico agregado (millions of pesos) $371,846.8 $230, % of GDP 1.9% of GDP Costo Total Económico economictotal cost Costo Total Económico economictotal cost con withpropuestas proposals Reduction of 38% of the total economic cost. Foreign Trade Single Window Foreign Trade Single Window (new): to establish an electronic system to submit all documents and requirements for import, export and transit related operations in a single entry point, connecting all related actors (customs, government agencies, business, transportation and banks), to simplify foreign trade activities by reducing costs and time. Progress Number of beneficiaries (quantitative). assessment based Time and cost reduction in documents preparation (quantitative). on: The Foreign Trade Single Window Mexicana (VUCEM), has been designed and implemented to facilitate and expedite foreign trade with our country, involving all agencies that have some involvement in the regulation of external trade. Step I Finished (Ministry of Finance and Customs) There are over 77,000 registered users. The single window processes annually more than 10 million motions or customs declarations. June 1, 2012: Proof Mandatory use of electronic value (COVE) Digitization of documents attached [motions] Over 10 million [motions] processed annually More than 60,000 procedures have been processed Step II Almost complete (Agriculture, Health, Defense) November-December procedures in use 25 different modalities Step III Gradual implementation (, Energy, AMECAFE, Tequila Regulatory Council ) Additional steps: interoperability with other One Stop Shops 5