Non-compliance with COAG’s best practice regulation requirements – Australian Registrars' National Electronic Conveyancing Council
In September 2020, the Australian Registrars' National Electronic Conveyancing Council (ARNECC) announced a decision to develop legislation to require interoperability between Electronic Lodgement Network Operators (ELNOs).
The Council of Australian Governments (COAG) best practice regulation requirements apply to decisions by ministerial councils or other bodies where there is a reasonable expectation of widespread compliance. Under the COAG requirements a Regulation Impact Statement (RIS) needs to be prepared for the consultation stage, and for the decision stage.
As RISs were not prepared for the consultation stage or prior to the announcement of a final decision to regulate, the OBPR has assessed the proposal as being non-compliant with current COAG best practice regulation requirements.
While RISs were not prepared to inform consultation or a decision, the OBPR acknowledges that extensive consultation processes were followed in order to inform the decision of state and territory ministers. This included establishing a National Interoperability Industry Panel, comprising all relevant national industry and government stakeholders, to directly inform the reform process. A cost-benefit analysis was also prepared, modelled on the RIS template. In addition, a RIS, incorporating industry consultation, is being developed by ARNECC to support the legislative changes scheduled to be implemented in mid-2021. Copies of the cost-benefit analysis and a recent ARNECC progress update on the interoperability reform are attached for transparency purposes.