Regulatory Burden of Impact Assessment
This bulletin set out how the AUC intends to define and measure the impact of the AUC’s regulatory activities in its future evaluations and reporting.
Defining regulatory burden
The AUC noted that, at its heart, the AUC’s work must be in the public interest. The public interest should include an assessment of the impacts, normally expressed in costs, imposed as a result of the AUC’s regulatory actions.
The industry impact assessment tool is an effort to quantify the effects and impacts of the AUC’s regulatory actions on the companies the AUC regulates.
The AUC indicated it intends to define regulatory burden by assessing what activities should be included in the industry impact assessment.
Assessing regulatory impact
The AUC stated that the impact of the activities included in the industry impact assessment would be evaluated based on the following factors:
(a) what are the impacts of the regulatory activity on the business? (E.g., additional investments required.)
(b) are the costs direct or indirect? (E.g., familiarization costs.)
(c) are there impacts that cannot be quantified?
Where costs of implementing or responding to a regulatory initiative can be identified, they may be presented as a range, to illustrate the plausible margin of error if activity-based costing has not been utilized.
Comments
The AUC asked for comments or questions on the proposal by February 7, 2020.
