April 29 2008

Amman, Jordan

DoHoon KIMSenior Research Fellow

Korea Institute for Industrial Economics and Trade

I Historical Review of Regulatory Reform Committee

Major Vocations of RRC

Reviews of Regulations

Composition of the RRC

II

III

IV

Major Achievements Made by RRCV

I. Historical Review of Regulatory Reform CommitteeI. Historical Review of Regulatory Reform Committee

Korea was suffering from Asian Financial Crisis

Korea was forced to undertake tough reform packages recommended by IMF and others such as financial sector reform, corporate restructuring, labor market reform and public sector reform

Regulatory reform was regarded as an important part of those reform packages

Enabled the RRC to continue to play its full-scale role under three different governments since its establishment

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Established in 1998 Established in 1998 Established in 1998 Established in 1998

Based upon the Basic Act on Administrative Based upon the Basic Act on Administrative RegulationsRegulations

Based upon the Basic Act on Administrative Based upon the Basic Act on Administrative RegulationsRegulations

As a result, from 1998 to 2002, the number of regulations was

reduced by more than 50% (out of 11,125, 5,998 were removed

and 2,981 were rationalized)

I. Historical Review of Regulatory Reform CommitteeI. Historical Review of Regulatory Reform Committee

At its start, the RRC put its full effort into reducing the At its start, the RRC put its full effort into reducing the existing existing

number of regulationsnumber of regulations

At its start, the RRC put its full effort into reducing the At its start, the RRC put its full effort into reducing the existing existing

number of regulationsnumber of regulations

Since 2002, the RRC re-oriented its policy focus towards Since 2002, the RRC re-oriented its policy focus towards

improving regulatory environmentsimproving regulatory environments Since 2002, the RRC re-oriented its policy focus towards Since 2002, the RRC re-oriented its policy focus towards

improving regulatory environmentsimproving regulatory environments

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Setting the basic direction of regulatory policy

Evaluating existing regulations, drafting and executing regulatory reform plan

Obtaining and responding to public opinions on regulatory improvement

Reviewing new and amended (strengthened) regulations

Monitoring and evaluating the regulatory improvement efforts of regulatory bodies

Promoting and advocating regulatory reform to government bodies as well as to the public

II. Major Vocations of RRCII. Major Vocations of RRC

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Regulatory bodies should provide following elements to the RRC

- necessity of introducing new regulations or of amending

existing ones

- examining alternatives to regulatory proposals

- consultation with other relevant administrative bodies

- publicizing regulatory impact analysis

Collecting opinions of affected interested parties

Collecting opinions of other relevant administrative bodies

III. How are Reviews of Regulations Undergone through RRC?III. How are Reviews of Regulations Undergone through RRC?

Phase 1 Phase 1 : Introduction of Regulations: Introduction of Regulations Phase 1 Phase 1 : Introduction of Regulations: Introduction of Regulations

Phase 2 Phase 2 : RRC's First Action: RRC's First Action Phase 2 Phase 2 : RRC's First Action: RRC's First Action

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appropriateness of regulatory objectives

regulatory impact on citizens and business

Regulatory bodies are forced to reflect the results of RRC's review

before submitting the final draft to the parliament

Regulatory bodies should register regulations to the RRC within 30

days after their proclamation

III. Reviews of Regulations: continuedIII. Reviews of Regulations: continued

Phase 3 Phase 3 : Review by RRC: Review by RRC Phase 3 Phase 3 : Review by RRC: Review by RRC

Phase 4 Phase 4 : Legislative Procedure: Legislative Procedure Phase 4 Phase 4 : Legislative Procedure: Legislative Procedure

Phase 5 Phase 5 : Registration of Regulations: Registration of Regulations Phase 5 Phase 5 : Registration of Regulations: Registration of Regulations

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6 ministers: Minister of Strategy and Finance, Minister of Public

Administrations and Security, Minister of Knowledge Economy,

Minister of the Office of Prime Minister, Chairman of Korea Fair

Trade Commission, Minister of Government Legislation

8 professors

4 business representatives

4 representatives of the press and NGOs

1 lawyer

IV. Composition of the RRCIV. Composition of the RRC

Co-chaired by the prime minister and a private-sector expertCo-chaired by the prime minister and a private-sector expert Co-chaired by the prime minister and a private-sector expertCo-chaired by the prime minister and a private-sector expert

MembersMembers : 23 persons : 23 persons MembersMembers : 23 persons : 23 persons

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Sub-committee on economy 1: to review regulatory proposals from

12 regulatory bodies including the ministry of strategy and finance

Sub-committee on economy 2: to review regulatory proposals from

8 regulatory bodies including the ministry for food, agriculture,

forest and fisheries

Sub-committee on administrative and social affairs: to review

regulatory proposals from 20 regulatory bodies including the

ministry of education, science and technology

IV. Composition of the RRC: continuedIV. Composition of the RRC: continued

3 Sub-committees for intensive review meetings3 Sub-committees for intensive review meetings 3 Sub-committees for intensive review meetings3 Sub-committees for intensive review meetings

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Conducted a Comprehensive Regulatory Reform through a

Quantitative Approach under Kim Dai Jung Government

Continues to Review New and Amended Regulations

Promotes and Advocates the Importance of Regulatory Reform

Introduced the Regulatory Impact Analysis

Participated in International Regulatory Meetings Actively

V. Major Achievements Made by RRCV. Major Achievements Made by RRC

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