Decree N. 10.411/2020 established the legal framework on Regulatory Impact Analysis (RIA/AIR), which is mandatory for editing or amending regulatory acts issued by the Federal Public Administration. This instrument was previously provided by the Law of Economic Freedom (Law N. 13.874/2019) and is therefore regulated
The implementation of the RIA (or AIR, in the Portuguese acronym) on policy making aims at improving the business environment and policy management as well as to meeting good practice guidelines from the Organization for Economic Cooperation and Development (OECD).
Decree N. 10.411/2020 defined criteria and procedures of analysis and pointed out regulatory impact and risk assessment methodologies to be employed by the Federal Public Administration. While the regulatory agencies, the Ministry of Economy and the Brazilian Institute of Metrology, Quality and Technology (Inmetro) need to comply with the Decree by April 2021, all other bodies have until October 2021.
The decree also mandates public participation through consultations, Ministry of Economy oversight and a regulatory outcome assessment (ARR, in the Portuguese acronym).
The AIR framework stipulates that modifications to regulatory acts considered either obsolete, of urgent character, low impact, or seeking to lower regulatory costs, preserve solvency or liquidity of financial institutions or comply with international norms require only a technical note as justification, instead of an AIR.
Internal budget- or financial-related acts, norms that have individual recipients, monetary and exchange-rate policies and national security acts are exempt from an AIR.
