Economic Report 1999 Index

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The Regulatory Challenge All sectors of business and industry seek to reduce the need for regulation because of the increased administrative burdens and costs it imposes. The Government's introduction of the Better Regulation Unit and the influence exerted by the Cabinet Office to ensure that regulation is necessary, fit for purpose and will not affect competitiveness has been widely welcomed. During 1998/99 gas producers in particular, have seen an increase in negotiations to implement new regulation under the Competition Act and the administrative changes required to introduce the New Gas Trading Arrangements. Together with the Government's stricter consents policy on new gas-fired power generation, these additional administrative challenges have had a cumulative adverse impact on expectations for gas developments.