The Taoiseach, Mr Ahern, yesterday distanced himself from the idea of a "super regulator" to police business, although he conceded such an idea might result in significant cost savings.
Speaking to a Dublin conference on regulation and competitiveness, he said demands for a "super regulator" should be listened to. However, he said the benefits might not be very significant.
Speaking to an audience about the idea of merging various regulators into one body, he said: "Given the disparate nature of the functions that independent regulators deal with - from licensing of travel agents to the building of new power stations - the extent of the potential synergies may be overstated."
The conference was organised by Public Affairs Ireland.
"Frankly, I think the debate about the number of regulators misses the point somewhat. The real issue is the quality of decision-making by regulators. Are we getting better outcomes in key regulated areas? And, if not, why not ?" he asked.
He said the debate was far more complex than the number of regulators. "After all, I do not want to be invited back here in a couple of years to address the problem of an overly powerful super regulator," he said.
However, he said strengthened ties between the regulators would be very beneficial. "Undoubtedly, there could be some cost savings arising from the super-regulator approach, for example, by availing of shared services and expertise. Regulation should not become an industry and regulators should seek to minimise their operating costs."
Speaking at the same conference, the chairman of the Competition Authority, Mr John Fingleton, said that despite increased regulation, many areas of the economy were still not open to sufficient competition.
He specifically called on the Government to implement a number of outstanding recommendations from the authority relating to key sectors in the economy. These include breaking up ESB into generation and distribution sections, allowing competition on inter-city bus routes, and allowing greater entry into the pharmacy, pubs and retail sectors. He said below-cost selling provisions should also be examined.
"Most people agree in principle that more competition and light regulation will benefit Irish consumers and boost Ireland's international competitiveness," he said.
"According to a recent National Competitiveness Council report, Ireland ranked 14th of 16 countries for intensity of local competition," Mr Fingleton said.
"This view is echoed by the Enterprise Strategy Group, the OECD and the Central Bank. Ireland, while strong on international competition, is weak on domestic competition," he said.
"However, in practice, very few sectors of the economy welcome competition and almost every area that becomes a target for reform will claim that their particular market is special and needs protection. When it comes to economic policy, strong vested interests are frequently successfully in promoting their own agenda dressed up as 'protecting' consumers," he added.
