Out-Law News 2 min. read
11 Feb 2013, 10:00 am
Simon Colvin of Pinsent Masons, the law firm behind Out-Law.com, said that plans for "more effective, less burdensome enforcement" were welcome. However, at first sight the changes appeared to be "just tinkering around the edges", he said.
"The difficulty that the sector now faces is that the majority of controls are driven by Europe," he said. "While the UK regulatory authorities can examine and refine their approach to implementation and enforcement, the actual controls and obligations will ultimately remain. In addition, the controls flowing down from Europe look set to increase with the Commission's attention shifting from REACH to endocrine disruptors and nanomaterials."
REACH is the Regulation on Registration, Evaluation, Authorisation and Restriction of Chemicals, the EU-wide law governing the production and use of chemical substances. REACH entered into force on 1 June 2007, although some of its provisions will be phased in over the next decade. In its five-year review of the legislation, published last week, the European Commission said that the law had made the use of chemicals "considerably safer" since it came into force.
The UK review followed a consultation exercise on the industry's day-to-day experience of regulation, with a particular focus on how the Control of Major Accident Hazards (COMAH) regulations are enforced. It came as part of the Government's 'Red Tape Challenge' regulatory review programme. Changes include plans to integrate inspection regimes, provide greater support to companies who are considering growing their businesses and set out more transparent appeals mechanisms.
According to the Government, although businesses that responded to its consultation "clearly understood and accepted" the need for regulations and regular inspections, the sector's two regulators did not always work well together. The Health and Safety Executive (HSE) and Environment Agency (EA) jointly form the 'competent authority' for the sector, as specified under European law. Respondents said that a lack of joined-up working between the two regulators created additional inspection burdens and led to inconsistent advice and enforcement.
Among the changes to be implemented by the regulators as a result of the review will be the inclusion of performance data when planning inspections, resulting in better-performing companies needing less frequent and detailed inspections. They also intend to integrate some of their inspection regimes to reduce the number of visits and scope for duplication or contradiction, and to review appeals mechanisms and publish quarterly, anonymised data on success rates to improve transparency.
Environmental law expert Simon Colvin commented on the timing of the review. He pointed out that the European laws underpinning the COMAH regime changed last year, and would have to be implemented in the UK shortly.
"It is interesting to see that in part the review deals with COMAH," he said. "The timing of the review is perhaps slightly odd as the Seveso III Directive, which is one of the main driving forces behind COMAH, is due to be implemented in the UK by 1 June 2015. The transposition of this new directive will no doubt necessitate additional changes to the COMAH regime so this area may be under the spotlight for some time to come."
The COMAH regulations cover industrial facilities which pose a major potential hazard to their workers, neighbouring communities or the environment due to the quantity and nature of the substances that they handle. They are designed to ensure that risks are properly managed and controlled in a way that it safe, sustainable and provides reassurance to the public. It applies to sectors including oil and gas refining and storage, water treatment works and the production and storage of explosives and fireworks, as well as potentially hazardous chemicals.
"The chemicals industry is a driver of growth, jobs and innovation, and we can't afford to weigh firms down with bureaucracy," said Enterprise Minister Michael Fallon. "We must regulate firms in a way that helps them prosper, weeding out unnecessary hindrance or uncertainty while promoting the highest standards. The reforms announced today will provide clarity and consistency for hard-pressed businesses, and help regulators focus on maintaining vital safety safeguards for the public."