All central institutions need to drastically reduce the accumulated stock of laws, rules, and paperwork formalities, and to improve the efficiency of those that are left. In particular, Italy should launch a broad attack on the numerous anti-competitive regulatory constraints on price, entry, and quality . Useful steps have been taken, such as the self-certification mechanism and private certifications, and initiatives to change telecommunications concessions to licenses. But over-use of concessions, licenses, and permits continues to be a particular Italian problem. In almost every sector, we found problems associated with poor licensing practices, including telecommunications, energy generation, and, in some regions, retailing.
Competition is weak in local services such as water and transport, and in the liberal professions.
These constraints cost consumers dearly. The Antitrust Authority, with its tradition of independence and strong leadership, has been a strong voice promoting competition principles in policy debates. However, economy-wide implementation of competition principles still faces many challenges, and the Antitrust Authority's role in this process should be strengthened . For example, the Authority's powers against abuses by trade associations and cartels should be strengthened. Regulatory transparency has greatly improved, but should be promoted throughout the public administration by adopting systematic public consultation procedures and by establishing a centralised registry of all government formalities affecting businesses.