IN THE free market world in which we live, independent and transparent regulation is vital. Without oversight indisputably in the public interest, things can go badly wrong.
The cosy relationship between regulators and the nuclear industry in Japan helped a destructive tsunami become a nuclear disaster at Fukushima in 2011. Light-touch regulation in India contributed to the toxic gas leak that killed 25,000 people in Bhopal in 1984.
It is hard to envisage catastrophes on such a scale in Scotland, but we need to be continually wary of corporations keen to boost profits. There’s always a temptation to cut corners and compromise public safety.
That’s why it’s disturbing to learn that the Scottish Environment Protection Agency (Sepa) is letting industry bodies help choose its senior staff responsible for controlling pollution. As we report today, Sepa invited a representative of the national whisky industry onto an interview panel for a key job.
Of course Scottish Government regulators like Sepa need to have a good understanding of the industries they regulate.
Companies, too, need to appreciate how regulators function.
This means that there have to be plenty of discussions between regulators and industry, so they know each other’s needs and operations. But, for regulation to remain independent, a line has to be drawn.
Sepa has crossed this line.
This is not to suggest that whisky distilleries are suddenly going to be allowed to start polluting - though their track record has been less than perfect.
It’s more subtle than that. When potential polluters help choose the people who are going to be regulating their pollution, something fundamental has shifted. The culture has changed. Companies can expect to win more favours, and their businesses to become easier.
When this is done without open consultation with other stakeholders, such as communities and environmental groups, suspicions proliferate and public confidence is undermined. This is not how it should be.
Sepa has opened the farmyard gate so that the fox can get into the henhouse.
It should immediately review its recruitment policy, and ask for views on how it should readjust its relationship with industry.
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