Select Committee on European Scrutiny Minutes of Evidence


Examination of Witnesses (Questions 20-26)

RT HON JANE KENNEDY MP, MR STEVE COLDRICK AND MR MALCOLM DARVILL

3 NOVEMBER 2004

  Q20 Mr Bacon: The phrase "encourage co-operation" would not cover "advisory"?

  Jane Kennedy: That is why we felt that Article 137 was appropriate.

  Q21 Mr Connarty: Can I possibly take time out to allow you to reflect on the seriousness of what has just been discussed and move on to health and safety at work and risks to the wider society? What is the government's general policy on controlling through EU legislation the risks from the workplace to the   wider society? How does it play off the competitiveness of industry against the broader safety issues?

  Mr Coldrick: Seveso 1 and Seveso 2 directives—

  Jane Kennedy: Do you want here a general discussion?

  Q22 Mr Connarty: I want you to answer the general question first. Basically, how does the government play off the competitiveness of industry against the broader safety issues? I am sure the Minister, and hopefully advisers, will have been following the work of this committee very closely because it is of interest to you, and will have noticed that the Confederation of British Industry criticised Parliament recently for being asleep on the job when it came to looking at the regulations that were made in Europe that affected British industry adversely. We had the Director of the CBI here to discuss that topic only a few weeks ago, so the question I am asking is obviously very relevant at the moment. How does the government balance out the competitiveness of British industry and the implementation of EU safety regulations?

  Jane Kennedy: In formulating a response to European legislation the government would not only consult across government but also outside of government on the impact of any legislation coming out of Europe. In particular, obviously, we are interested in the impact on business competitiveness.

  Mr Darvill: Under the new arrangements on worker protection, before any proposal becomes a directive the European Commission will use the new social partners co-decision route whereby they put the matter to the social partners, which are the European representatives of the CBI and the TUC, to discuss if they come to an agreement for a non-legislative proposal, and it is only after that happens that legislation is proposed, so in a way the CBI and the TUC get the first bite of the cherry. They get an opportunity to examine any proposals way before officials and the government do. If there are questions of competitiveness they should therefore have been flagged up very early and the CBI should be aware of them and the CBI are never slow in bringing their concerns to us.

  Q23 Mr Connarty: Turning specifically to the government's assessment after doing all that, particularly the impact assessment on the implementation of Seveso 1 and Seveso 2 directives in respect of enterprises covered by Control of Major Accident Hazards, what impact assessment has the government done on those two particular pieces of suggested regulation from the EU?

  Jane Kennedy: I thought that the army and Northern Ireland had the most acronyms but I have learned differently. The two acronyms are the SEMA regulations and the COMAH regulations of 1999. The Health and Safety Executive did prepare an impact assessment of them. Consultation on the proposed regulatory package included an impact assessment for the new COMAH amendments and that has recently been completed. I do not know if Steve wants to add more to that. The relevant legislation for the planning and hazardous substances pre-dated the COMAH regulations of 1999, so I understand that an impact assessment was  carried out for those changes that COMAH introduced but it was some time ago.

  Q24 Mr Connarty: Yes, in fact there was what was called a partial impact assessment, which I have here, and the conclusion in section 57 says, "There are no substantive competition concerns that arise from the amendments to the Seveso 2 directive in the three markets considered". It does in fact point out that there will be a substantial rise in the number of sites coming into the highest level of COMAH regulations. As the Minister knows, on the ground there are many things that are not taken into account, like the impact on developments that may fall within the new consultation distances that are thrown around the sites and the outstanding question, which I believe the government has yet to pronounce on, the fact that with these consultation distances basic planning blight will be increased by societal risk being taken into account rather than the risk to the individual. I think the Minister would agree that there has been no death ever recorded of someone outside a chemical, a petrochemical or even an explosives factory in the UK from a major accident since the COMAH regulations came into being and yet we are talking about putting a substantial ring around chemical industries and other facilities that will impact adversely on the ability of outside organisations to develop for quite a considerable distance round about these chemical and other factories.

  Jane Kennedy: In the context that we are talking about now, which is calculating the impact on land use planning decisions and others, we are consulting on the implications of this and not expecting to receive the conclusions of the work that officials are doing across government on that until the spring of 2005. We are quite some way off before I will have a clear idea of what the advice to me is going to be.

  Q25 Mr Connarty: Could this committee have an assurance that that impact assessment, when it takes place, will genuinely talk to the stakeholders, not just to a very short list of people that were listed earlier but the people whose economic future will be impacted by these decisions? I understand in Germany, for example, that the regulation says that the consultation distances end at the factory gate and the regulation is about storage of materials on site and not about the blighting of surrounding areas.

  Jane Kennedy: I have certainly heard your comments in the committee today, Mr Connarty, and representatives of the Health and Safety Executive have also heard them, and I can give you an assurance that it is our intention that the consultation should be exactly that, a meaningful and very direct and open consultation focusing on the interests of those who are concerned about it.

  Chairman: Minister, I think we had better end the session by saying that I am sure we have both heard each other's comments on what we have been discussing today. The committee is very keen on looking at what we call the abuses of Article 308 anyway and I think the words you used were that you found it a chastening experience. It may have been a chastening experience but our gripe today is not just about your department but this issue in particular. We will be watching other departments as well and what they are up to and how they resist any further abuses of 308. I am sure we have got our  point across to you, albeit pleasantly and diplomatically as we are renowned for. Thank you very much.

  Q26 Mr Heathcoat-Amory: Just on a point of clarification, Chairman, the Minister said she would kindly get back to us on the issue about taking legal action.

  Jane Kennedy: I thought you had already asked me that one, but yes, I will, and I will write back to you.

  Chairman: I am closing the session now. Thank you, Minister.





 
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