Self-regulation functions best when the threat of government regulation is strong, thus incentivizing the industry to exert more pressure on bad actors to ensure consistent best practices. It is also more successful when the risky actions of one actor have a massively detrimental effect on the rest of the industry. An example of successful self-regulation is the nuclear power industry’s Institute of Nuclear Power Operation. The INPO sets “performance objectives, criteria, and guidelines for the nuclear power industry,” regularly inspects nuclear power plants, and assists plants in improving operation performance. In many ways, the INPO serves as an internal watchdog handling many of the normal regulatory roles. Discuss how a hydraulic fracturing self-regulatory organization could be designed and how it would oversee the industry.
Responses
Because I currently know people working for private Nuclear Plant operators, its not always as perfect. They are super careful.
Nothing had more effect on the industry than Fukushima.
A serious problem across the US is that most reactors are among the oldest on the planet, introducing their own unforeseen problems.
Its perhaps more important that efforts that provide a net public good, try something.
In America, when it dosnt works we can more often try something else.