Better Regulation in Lithuania

Better regulation is a set of systematically applied measures aimed at ensuring the effectiveness of government policy; continuously improving the drafting, adoption, and implementation of legislative acts; upgrading the quality of legal regulation; and improving its efficiency and consistency. 

In Lithuania, the successful implementation of better regulation initiatives started with the adoption of the Better Regulation Programme by Resolution No. 185 of the Government of the Republic of Lithuania of 13 February 2008, which tasked the Ministry of the Economy and Innovation with coordinating the implementation of the Programme.

The national system for monitoring and reducing regulatory burden covers:

• Monitoring changes in regulatory burden
• Regulatory burden reduction plans

Administrative burden and compliance cost evaluation reports summarize the evaluation of the administrative burden and compliance costs for business. The draft legal act is submitted with its evaluation report to the Ministry of the Economy and Innovation, which is responsible for methodological consulting and for supervising the change in the overall level of administrative burden and compliance costs placed on business (process shown in picture No. 1).

Government Resolution No. 333 of the Government of the Republic of Lithuania of 6 April 2022, which approves the Methodology for Assessing the Administrative Burden and Compliance Costs for Business, also establishes a compliance cost reduction goal, which applies to every governmental institution – i.e., these institutions must constantly seek out measures to ensure that the overall level of compliance costs caused by the institution’s regulations for each calendar year diminish or remain unchanged relative to the beginning of the year (the One-In, One-Out Rule). Meanwhile, for municipalities and institutions independent of the Government, the Resolution includes a recommendation to assess not only the administrative burden for business, but also the compliance costs.