Part XRules and Guidance

Chapter IRule-making Powers

Procedural provisions

155Consultation

1

If the Authority proposes to make any rules, it must publish a draft of the proposed rules in the way appearing to it to be best calculated to bring them to the attention of the public.

2

The draft must be accompanied by—

a

a cost benefit analysis;

b

an explanation of the purpose of the proposed rules;

c

an explanation of the Authority’s reasons for believing that making the proposed rules is compatible with its general duties under section 2; and

d

notice that representations about the proposals may be made to the Authority within a specified time.

3

In the case of a proposal to make rules under a provision mentioned in subsection (9), the draft must also be accompanied by details of the expected expenditure by reference to which the proposal is made.

4

Before making the proposed rules, the Authority must have regard to any representations made to it in accordance with subsection (2)(d).

5

If the Authority makes the proposed rules, it must publish an account, in general terms, of—

a

the representations made to it in accordance with subsection (2)(d); and

b

its response to them.

6

If the rules differ from the draft published under subsection (1) in a way which is, in the opinion of the Authority, significant—

a

the Authority must (in addition to complying with subsection (5)) publish details of the difference; and

b

those details must be accompanied by a cost benefit analysis.

7

Subsections (1) to (6) do not apply if the Authority considers that the delay involved in complying with them would be prejudicial to the interests of consumers.

8

Neither subsection (2)(a) nor subsection (6)(b) applies if the Authority considers—

a

that, making the appropriate comparison, there will be no increase in costs; or

b

that, making that comparison, there will be an increase in costs but the increase will be of minimal significance.

9

Neither subsection (2)(a) nor subsection (6)(b) requires a cost benefit analysis to be carried out in relation to rules made under—

a

section 136(2);

b

subsection (1) of section 213 as a result of subsection (4) of that section;

c

section 234;

d

paragraph 17 of Schedule 1.

10

“Cost benefit analysis” means an estimate of the costs together with an analysis of the benefits that will arise—

a

if the proposed rules are made; or

b

if subsection (6) applies, from the rules that have been made.

11

“The appropriate comparison” means—

a

in relation to subsection (2)(a), a comparison between the overall position if the rules are made and the overall position if they are not made;

b

in relation to subsection (6)(b), a comparison between the overall position after the making of the rules and the overall position before they were made.

12

The Authority may charge a reasonable fee for providing a person with a copy of a draft published under subsection (1).