Department of
National Trade Measurement and Standards
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Module 3: International Standards Supports Public Policy

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Objective

Explain why international standards are important for policy and trade

Difference between Voluntary Standards vs mandatory standards

Advantages and benefits of using and referencing International Standard in public policy

Methods of using and referencing International standards to support public policy

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Public Policy

Is an intentional course of action followed by a government institution of official for resolving an issue of public concern.

Public policy typically includes agenda setting, policy formulation, decision-making, policy implementation and monitoring and evaluation.

The instrument of public policy examples are preparation of laws/regulation by government agencies, development of indirect measures by government agencies without binding force but associated benefits, if and when applied (eg tax). In addition, use of public procurement process to promote desired bahaviour/outcomes and contribution to and support of voluntary measures (self regulation`by an industry through codes of conduct, voluntary standards without legal enforcement).

Regulatory Policy

Is about achieving government’s objectives through the use of regulation, laws and other the use of regulations, laws and other instruments to deliver better economic and social outcomes and thus enhance the life of citizens and business. The objective of regulatory policy is to ensure that regulations are in the public interest. It addresses the permanent need to ensure that regulations and regulatory frameworks are justified, of good quality and “fit for purpose”

(Source: OECD (2015), OECD regulatory policy outlook 2015. Paris)

The Actors in the Public Policy Process

1. Executive branch of Government
2. Legislative Body (Parliament)
3. Regulatory Authority
4. Business and Civil Society

Regulation

is any rule endorsed by government where is an expectation of compliance.

The stakeholders request the development of a new international standard via their National Standards Bodies (NSBs); international standards are then drafted via a multi-stakeholder consensus-based process.

Regulatory Authorities

Are the body having statutory powers to administer legislation. Eg Food and Drugs Administration, Environmental Protection Agency.

Integration of Regulatory Impact Assessment (RIA) in early stages of the policy process

RIA systematically identifies and assesses expected effects of regulatory proposals based on determining the underlying regulatory objectives and identifying policy interventions that are capable of achieving them.

Decision Making Policy in regulatory policy should start from the following questions:

What exactly is the issue or problem we want to address?
Do we really need a regulation?
Would a regulation be the most adequate and (cost) effective measure to address the issue?
What are alternative options?
- No action
- Recommendations and info campaigns coupled with incentives (e.g. tax incentives)
- Self-regulation e.g. by an industry
- Initiation of and participation in standardization projects
- Different forms of regulation: “Co-regulation”, which integrates regulation with other instruments (e.g. standards) developed on the basis of multi-stakeholder cooperation.

(Source: OECD (2015), OECD regulatory policy outlook 2015. Paris)

International Standards

Specify requirements to achieve atleast the minimum objectives of safety, quality or performance of a good or service. Standards can be used to the least-cost solutions to technical requirements expressing characteristics, performance and design criteria compatible with the function of legislation.

The Six Principles International Standards use are:

Transparency
Openness
Impartiality and consensus
Effectiveness and relevance
Coherence
Development dimension

Standards and World Trade Organisation (WTO)/Technical Barrier to Trade (TBT) Agreement

Referencing ISO standards in regulation is consistent with obligations of the WTO TBT Agreement:

Where technical regulations are required and relevant international standards exist or their completion is imminent, Members shall use them, or the relevant parts of them, as a basis for their technical regulations except when such international standards or relevant parts would be an ineffective or inappropriate means for the fulfilment of the legitimate objectives pursued, for instance because of fundamental climatic or geographical factors or fundamental technological problems.

(Source: ISO Publication)

Important Link

https://www.iso.org/files/live/sites/isoorg/files/store/en/PUB100358.pdf