At the ASIC Annual Forum 2024, ASIC chair Joe Longo (pictured above) underscored the need to address Australia's complex regulatory landscape, emphasising that reform is critical for both current and future generations.
In his keynote, Longo called for a "renewed national discussion" on simplifying regulatory frameworks to better serve Australians.
This effort aims to help businesses and consumers alike by creating a system that is easier to navigate and enforce, ultimately benefiting all Australians.
Longo highlighted that while regulation is necessary to protect citizens, especially vulnerable groups, its increasing complexity has become a burden.
“We’re navigating overly complex tools,” he said, describing a regulatory landscape where isolated laws struggle to function as a cohesive system.
ASIC data showed that this complexity affects businesses, consumers, and regulators by creating confusion around rights, obligations, and responsibilities. In Longo’s words, “simplicity means enforceability,” underscoring the idea that simpler laws allow for more effective oversight.
Despite attempts to simplify regulatory frameworks over the years, including reform programs in the 1980s and 1990s, regulatory complexity remains.
Longo said that each reform aims to solve specific issues but often adds layers to the existing structure, resulting in “legislative porridge.”
This intricate web impacts the public’s ability to understand rights and obligations, and burdens businesses and consumers alike.
In response, Longo announced a new initiative: the Simplification Consultative Group, composed of consumer advocates, business leaders, and industry groups. This group is tasked with identifying ways ASIC, which recently highlighted the importance of ensuring that governance frameworks evolve alongside AI usage, can simplify regulatory administration.
The group will focus on streamlining ASIC’s tools and guidance, providing fresh perspectives to make regulations more efficient and user-friendly.
Longo highlighted the importance of collective effort in addressing complexity, inviting feedback from various stakeholders.
He said that, while simplifying regulation is challenging, it’s essential to build a more effective regulatory system.
“This is about creating a simpler, more effective, and more enforceable regulatory system,” Longo said, emphasising that the effort aims to benefit Australians across generations.
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