The Organisation for Economic Co-Operation and Development (OECD) was reportedly delighted by the reception it received in Ireland yesterday. Its analysis of regulatory reform was the 10th country report of its kind published by the organisation and the launch was the first attended by a prime minister. The level of commitment to the process - if action lives up to rhetoric - will be very satisfactory, according to Ms Sally Shelton-Colby, deputy secretary-general at the OECD.
If the OECD's analysis makes a dent in the producer-orientated culture here, it will have been extremely worthwhile. One of the most keen observations from the OECD is the almost complete lack of a consumer culture here. The other key message is that qualitative restrictions are good but quantitative ones are bad. In other words, all pharmacists should be properly trained but if they are, they should be allowed to set up operations here. The other is a warning that without change any economic downturn is likely to be far rockier.
The OECD made a large number of recommendations and many look set to be at least considered by the Government. The OECD has produced a very detailed and wide-ranging report which took its team almost a year to complete. There have been complaints from vested interests that they were not consulted but the public service was closely involved in the groundwork.
There are also two areas where the Government disagrees with the OECD. The Tanaiste again defended the Groceries Order which bans below net invoice selling although she said it would be kept under review after the OECD recommended its abolition.
The Taoiseach also said he was still against allowing solicitors to advertise as this had contributed to ambulance chasing and the "compo culture".
The responses on the deregulation of the gas and electricity markets were less forthcoming. Although officials said both markets would be fully liberalised by 2005, the report had called for the ESB to divest or sell one of its power plants in some circumstances. It is unclear if that will happen.
