What are regulations and where do they come from?
Regulations are a form of law, often referred to as delegated or subordinate
legislation. Like Acts, they have the same binding legal effect and usually
state rules that apply generally, rather than to specific persons or things.
However, regulations are not made by Parliament. Rather, they are made by
persons or bodies to whom Parliament has delegated the authority to make them,
such as the Governor in Council, a minister or an administrative agency.
Authority to make regulations must be expressly delegated by an Act. Acts that
authorize the making of regulations are called enabling Acts.
An Act may set out the framework of a regulatory scheme and delegate the
authority to develop the details and express them in regulations. Or, an Act may
do little more than delegate authority, leaving the substance of the scheme to
be dealt with in regulations.
Most regulations are made under provisions that authorize the making of
regulations. However, Acts sometimes authorize the making of documents that have
the same sort of legislative effect, but which are called by another name, for
example, "by-laws", "rules", "tariffs",
"ordinances" or "orders". Usually, these documents are made
in the same way as regulations and are subject to the same legal constraints.
Why does government regulate
Regulations are a form of government intervention in the economy. While there
are costs associated with regulation, there are also benefits accruing from
regulation. For example, setting safety standards for nuclear power stations may
impose costs on the operators, but it also helps to minimize the risk of
radioactive pollution of the environment. The job of regulators, then, is to
weigh the advantages and disadvantages of every viable response to a situation
that merits government intervention and to recommend regulation when it is the
best alternative. This involves balancing a number of priorities such as public
health and safety, environmental protection and sustainable development,
economic efficiency and performance, national cohesion and international
obligations.
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