Adapting regulation to promote innovation in Europe

Adapting regulation to promote innovation in Europe

By Ingemar Pongratz


The European Commission has recently release an interesting Staff Working Document “ Better Regulation for Innovation Driven Regulation at EU level ”.

This document includes a presentation of finding from several stakeholder consultations. Focus of these consultation was to assess the effect of the regulatory environment on innovation and economic growth.


The findings are indeed very interesting. The working documents shows for example that there must be a balance in the regulatory environment to support innovation. Too much regulation can hamper innovation and economic growth. At the same time, the will to invest in a de-regulated sector is negatively influenced if the regulations are weak or missing.

For example, stakeholder point out that sectors such as aviation may be hampered by excessive regulatory burden. In contrast, the European Commission finds that the will to invest and innovate in electric vehicles or in energy efficient buildings is weak due to weak implementation of innovation friendly regulations.


To rectify the problem the European Commission is planning to launch Innovation Deals. The aim of these deals is to establish a dialogue with stakeholders and innovators and to identify regulatory problems in Europe. The aim is to ultimately establish a coherent set of innovation friendly regulations that will promote economic recovery and growth in Europe. In addition, national governments will also participate in the process.

How the collaboration between the slow moving administrative sectors and fast moving innovators and entrepreneurs will be organized will be extremely important.


Currently a pilot project will be set up in the area of circular economy. The pilot will be evaluated and if it I successful, the system will be implemented in additional sectors as well.


Ingemar Pongratz is founder of Fenix Scientific AB / Pongratz Consulting. We support enterprises, universities and other organization who wish to apply for funding from European Sources such as Horizon 2020. If you wish to contact us please use the online contact form or send an email to discuss further.


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Stralsjon panorama av Ingemar Pongratz

Stralsjon panorama av Ingemar Pongratz

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