Faculty of Law

The Legislator’s PerspectiveLimited Authorizations and GrantsInternational Legal Expert Meeting, Leiden 19-20 January 2012Prof. Frank van Ommeren

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Authorizations and Grants

• Limited -> interested parties should have opportunity to compete?

• Unlimited -> granting by “direct agreement” allowed?

=> How to distinguish limited and unlimited?

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A general regulatory framework What?• General Act on Limited Authorizations and

Grants• General Administrative Law Act (chapter)

How?• Principles-based regulation• Rules-based regulation

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Principles-based regulation

• Principle of Equal Treatment– goal-based regulation – differentiation criteria

• Principle of Transparency – enable the market to open up to competition– review impartiality

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General prescriptive rules

Potential candidates and applicants should know in advance:

• Availability of authorization or grant• Allocation procedure + objectives• Selection and award criteria

Power to set a ceiling

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Allocation procedures• in the order of receipt of the applications

(first come first served)• by means of a proportional division• by means of a lottery• by means of a comparative test (beauty

contest, tender)• by means of an auction

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Other topics?• duration• incomplete applications• advisors, referees, experts etc.• tradability of licences• legal protection• etc. etc.

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Regulation of scarcity

• Abstract level -> general legal rules, legislation, policy plans etc.

• Concrete level -> limited scheme of authorizations and grants

Also a legislator’s choice!

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Several general questions…• Is it possible – and workable – to distinguish between so-

called limited and unlimited authorizations and grants?• Is it useful to include the principle of equal treatment and

the principle of transparency in a general regulatory framework on limited authorizations and grants?

• Is it useful to include general prescriptive rules on limited authorizations and grants in a general regulatory framework? Which rules are most urgent?

See also Questionnaire Part II. General questions: 1, 2, 3!