Outline of Document
This document provides guidance on assessing options in policy development. It is relevant to all kinds of policy development - social, economic, environmental, and so on.
It introduces the generic cost benefit analysis framework (identify the options, identify the impacts, assess the magnitude of the impacts, choose the best option), and explains how this should be used in policy development, regardless of the subject matter. The important message is that the level of analysis (i.e. whether the analysis is mainly textual/qualitative or mainly quantitative) needs to be commensurate with the significance of the proposal (which is determined by how large the impacts of the proposal are and how controversial the proposal is).
The regulatory impact analysis (RIA) requirements for assessing options are set out, as these provide standards that departments need to meet when developing regulatory proposals (i.e. proposals that alter legislation or regulations).
The appendices contain guidance on information gathering and brainstorming for assessing options, principles to follow when assessing options, and guidance on converting values to their "present value".
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