Not all regulation is bad, and some of it is wildly effective at not just achieving the letter of the law but actually solving the problem it was defined for. Good regulation IMO looks bad because you never hear of anyone being punished for breaking it because it is complied with.
The EU banned roaming charges in 2017. Most networks by then had already abolished them, but only because this change was coming. The UK then decided it was going to leave the EU, and pretty much overnight the major mobile providers reintroduced the roaming charges.
EU flight compensation rules are another great example - they don’t pay out often because what’s happened is the airlines don’t get delayed to that point as often as they used to.
Scotland has a “right to roam”, which can be summarised as “don’t be a dick and you can go anywhere you want outdoors”. So you can walk, camp etc pretty much anywhere (it’s a bit more complex). In theory this means I can just open a gate to a farm, and walk across their fields. In practice, this means that most popular walking paths have access routes maintained by landowners that people use.
On the flip side, the cookie banners are a perfect example of bad regulation. They’re super easy to (allegedly) comply with and the result is just an annoyance for some 300 million people and absolutely no change to company behaviour whatsoever.
They also claim that by not letting they do their things, regulation caused the emission of plenty of CO2, NO, etc... Yeah, right, we can say the same for drug testing too, drug testing may have killed millions by delaying the adoption of life saving drugs, so should we stop testing drugs? It is debatable really, but I am sure that experts studied to question seriously and that the answer is no.
Regulation is costly and inefficient, obviously, that's the point, if it wasn't you wouldn't need regulation because that's what companies would do naturally. It is also not perfect and you can always find bad regulation. But overall, they are important.
Now let's look at the specific problems here with a much narrower scope than 'regulations'. The first problem is the type of regulations. Some regulations are too arcane and don't reflect the current state of technology. Others affect the unprivileged people disproportionately. The solution for that is to amend these regulations fast enough - not deregulation. It's also important to assess the negative impacts of loosening these regulations - something I don't see discussed in this article.
The other important requirement is to increase the staffing of the regulatory agencies so that their individual workload doesn't become a bottleneck in the entire process. There is a scientific method to assess the staffing requirements of public service institutions. According to that, a significant number of government departments all over the world are understaffed. Regulatory agencies and police departments top that list. Increased workload on their officials lead to poor experience for the citizens availing their services (this is very evident in policing). Yet those same experiences are misconstrued and misrepresented to call for deregulation and defunding of these institutions - the opposite of what's actually needed. (PDs need more staff and more training in empathy. Not defunding, nor militarization.) This is exactly what I see in this article. An attempt to target regulations as a whole using a sob anecdote.
There seems to be a whole series of issues in considering system boundaries and where they can and should be drawn when considering the best course of action.
EVs are a classic case, you draw the system boundary around the vehicle and get a MPG figure, and externalize the remaining costs. Might as well claim infinite MPG. Bill Gates proves himself as a process oriented guy here.
Carbon capture is another funny one. You report that you sequester this amount of carbon, but on the other hand deplete the soil. The amount of carbon in healthy soil is staggering, activities leading to soil erosion and depletion of soil nutrients have to be very carefully considered. How do you draw a system boundary around a volume of soil with biological activity extending down 500 feet and predict the carbon balance over the next 500 years? It's introducing predators into Australia all over again, people thinking they are smart and going for the course of action that is politically favorable in the very short term but ultimately ill considered.
For regulation, this is pretty much why can't we just have regulations that benefit me right now? For people with deep pockets, they ignore the regulations and pay the fines. Problem with these guys is their entire business model revolves around making money off of externalizing costs onto the rest of the economy, via environmental regulatory burden. What is unsaid in the article is the sentiment that regulators should more heavily support the EV business, the carbon capture business, etc, in general which makes sense to those invested, but not to everyone else.
When they then claim, against all obvious facts, that there is a clear political consensus on fixing climate change in the USA, that becomes active distrust of their message.
This appears to be another subset of the so-called "Abundance" movement where people avoid the elephant in the room (political power of fossil fuels) and get all screechy about those damn environmentalists and regulators who are the real villains holding us back from solving climate change with the free market.
Meanwhile solar and wind farms are being illegally shut down by the government.
But sure, it's abstract regulation at fault, not the politicians paid off by oil who regularly state that the problem his company is solving isn't even a problem.
I don't think all building regulations should be put aside but we have a crisis something needs to give.
Every regulation loving person who is exposed to a tiny fragment of how actually terrible most regulatory frameworks are immediately have this thought.
Instead we're so afraid that the other guys will be in power in the future that we make them hard for people in the future to alter.
I guess someone who wants to put them on our roads should answer some questions on that. Especially as they are clearly given to absurd claims like, 'it goes from 7 to 120 mpg', as if that happened without any other input.
Even here, I wouldn't want injecting CO2 into old oil wells to get a free pass. I think we'd agree that injecting CO2 into deep lakes would be a bad idea -- or rather, it would be a great idea, up until the lake turns over and suffocates thousands of people and most of the life in the area. Do I know that that can't happen if the injection is underground? I do not. What's actually needed here is research, and regulation is the blunt instrument that you have to use when the research is not yet available or suspiciously funded by those who will benefit and/or there's no mechanism for paying for it (who should be paying, anyway?) [Note that this is speculative; perhaps this research does exist and is of good quality. But this dynamic will still come up when anyone tries doing anything new and potentially dangerous.]
I agree that over-regulation is a major impediment. I just don't think the argument "over-regulation bad, let's throw away all of our seat belts" is productive.
Wild - whoever did this should lose their job.
I'm convinced that every SV founder or neolib politician who writes these hit/think-pieces is getting their enemy entirely mixed up. China is massively bureaucratic and regulation heavy, and just by the scale of these projects, it's simply impossible to think that if you just loosen some rules and fly by your seat pants, you can build a 11 platform train station in 3 years. Again, this station is mind bogglingly massive.
The real answer is that China's regulatory loop is extremely short and small, where the government works very closely and reacts very quickly. You can talk to your regulator, even if you're a small startup working on a small hardware problem. Because every single community district has a CPC office, with representatives that can escalate things all the way up to the top. There's a clear chain of command, and throw in some guanxi to keep the gears greased up, things (problems, questions, hurdles) get to where they need to go. In the US, politicians don't work for their constituents, and even in the rare cases where they do (or have good intentions), they are up against other politicians who have ulterior agendas and their own goals. The machine thrashes against itself, not in a single direction. This is exactly the image of "democracy" in the the minds of the Chinese general public.
The problems described in OPs post are exactly the kind of thing China is good at tackling because their democratic system is actually built for this.
This is my big takeway from this article and others like it that I've read.
I’m open to being convinced that there are better ways of doing things, but despite what half a century of propaganda has been saying, regulations generally aren’t enacted for funsies. They’re there for a reason, specially the reason that in the absence of those regulations, commercial actors were privatizing profit at the expense of society as a whole, and democratic society made a decision to make rules to stop that from happening.
I wanted to address the most common theme in the comments: safety.
The regulatory burdens I've encountered and described were not related to safety requirements. They are procedural questions with no bearing on safety.
Whether an injection well is Class I disposal, Class II oilfield disposal or Class V experimental has no bearing on the (strong and reasonable) safety requirements to protect underground sources of drinking water... the problem is the delay that comes from deciding which class is most appropriate (turns out, Class V experimental).
And ditto, whether a Revoy is a tractor, a trailer, or a converter dolly for the purposes of DMV registration paperwork has no bearing or relation to the (again strong and reasonable) NHTSA FMVSS safety requirements... the problem is the delay on the procedural paperwork.
I think we can all agree that these procedural issues are not "written in blood", but are in fact regulatory bikeshedding that we'd all be better off without.
I was unimpressed by the situation described. It seems that existing injection wells often have all sorts of negative consequences that are avoided by bankruptcy. I suspect more “no”/“waits” in the past might have been reasonable
And if you, somehow, through some miracle, after decades, get said permit and build something (to absurdly high costs), you're under constant threat of being shut down for arbitrary reasons. Again, the nuts and bolts storage is a literal nuts and bolts storage. Just some maybe 200 metal crates with metal nuts and bolts in there, with a roof on top. It was shut down after we built it. "Fire hazard". And we're not talking hot stuff just off the production line or something, no. Just ambient-temperature nuts and bolts in metal crates with a metal roof on top.
The stories that I've heard or sometimes even was somehow involved in would take many hours to write down and have the reader shake their head in disbelief. And, again, I'm not even anywhere near any new innovation. Just regular boring stuff.
How much carbon do forestry residues (dead branches, leaves and wood chips ?) take to release their carbon back to the atmosphere through rotting ? How much of that carbon woudl have stayed in the ground (unless there's wildfire) ?
Since Europe is hopelessly behind by its own decision to pursue protectionism instead of competition, the choice remains between keeping overregulation which will continue the managed decline, or deregulation, in which companies would find their services are not competitive on cost, experience and would be wiped out in a freely competitive landscape.
Of course the reality is not that black and white, it's clear that deregulation would hurt powerful and wealthy interests, so it will not happen at once - it'll happen to those most behind and least able to garner favorable political treatment.
Overall I think the future of Europe still lies in managed decline, with its innovative capacities only able to be manifested in crafting new regulations and making the efforts to comply with them - it's future companies and startups will be funded and supported by governmental grants and/or powerful old money investors who also have vested interests in other companies.
1) It's not about bad regulation either: it may be impossible to design good regulation
"The curious task of economics is to demonstrate to men how little they really know about what they imagine they can design." - Friedrich Hayek
2) Everyone agrees that controlling bad externalities is good. The point is at what cost?
3) Regulation isn't the only answer to things. Perhaps the issue is private property isn't properly enforced? Perhaps things could be solved through insurance schemes? There are many complex systems that have been solved without the use of government mandated regulation
Also, under-regulation might triple the costs for society.
The history of the 20th century is full of people insisting that some industrial product is perfectly safe to dump into the environment in massive amounts, and then it turns out years later that it's not safe at all. I can't imagine the process for injecting some new synthetic into the ground taking less than four years in any situation. It's going to take more time than that just to do basic studies.
The specific kinds of regulations he's arguing about have been written in blood and tumors, and they exist for good reasons.
I don't know, I like having meds that are radioactive be clearly labeled, for example. It's hard to draw the line as to what is overregulation and what is really needed, but it'd reather have too much than not enough.
What I’ve come around to is the exact opposite of most de-regulation stans: bigger government. The tradeoff for regulations from the government is having said government shoulder the burden of helping new businesses successfully navigate said regulations quickly and efficiently. It shouldn’t be on the small business owner or startup founder to trawl through thousands of pages of texts and attempt to figure out where their business sits within them, the government should instead have an ombudsman or agent - paid with by tax dollars from successful businesses - work full-time with that business to figure things out.
Want to start a bar? Here’s the application for a liquor license, here’s the plain-language requirements for accessibility and hygiene, here’s a taxpayer-supported payroll system to ensure labor law compliance, and here’s the map of areas where you can setup shop without requiring a separate permit process.
Of course, the problem with said approach is that it requires funding, which requires more tax revenue, which means higher taxes. Under the current neoliberal, laissez-faire Capitalism system in the USA, that simply isn’t happening at present, if for no other reason than established players have captured regulatory agencies and government officials to deliberately hamstring new businesses.
Selling deregulation in business, especially “hardtech”, is exactly what those ghouls want. Don’t take the bait. Be better, even if it’s harder.
If you recharge from the standard energy mix you are still burning fossil fuel. But let's just gloss over that.
Now again with the weight, how easy is it to corner and stop? There is probably a minimum of 12,000 lbs of extra weight... And you need a charging network at the truck stops... There is so much just glossed over ... Nice sales job.
Imagine if the steam engine had not been allowed by regulators during the time of the Industrial Revolution.
If that happened and we were all still working on farms today, I bet half the people would be telling us how much safer the government was making us with all its regulations. In blissful ignorance.
Here's were he loses me. The problem statement is detailed, but proposed solutions need more work. There must be ways to improve the system without abandoning the original intent. There may be way to account for costs, simplify reviews, and so on. Often changing regulations to have specific goals and sunset provisions changes enforcement for the better. Sometimes basic changes like the amount of time allowed for any given step can make a huge difference.
Solving regulatory problems is as real as the engineering and marketing that make products in the first place.
Taking the trucking case as an example, it's certainly reasonable to require proof that the proposed technology solution doesn't actually make the problem worse in practice. While most people are honest, there are dishonest businesses that would claim environmental benefits for their product that simply don't exist (see the case of VW and their "clean diesel" fraud). So the regulation is a good one. The author's complaint is that it took too long and cost too much to provide the proof. Maybe he's right, but maybe he's not. Maybe he was satisfied by less evidence than the government, because he had a financial interest in believing in the technology. Just saying it was all unnecessary doesn't make it so.
sigh
> “It is suggested that the increased costs of sociopolitical evolution frequently reach a point of diminishing marginal returns. This is to say that the benefit/investment ratio of sociopolitical complexity follows the marginal product curve… After a certain point, increased investments in complexity fail to yield proportionately increasing returns. Marginal returns decline and marginal costs rise. Complexity as a strategy becomes increasingly costly, and yields decreasing marginal benefits.”
Government regulation and intervention are one such contributor to complexity, and as Michael Huemer demonstrates in his paper In Praise of Passivity we are akin to medieval doctors administering medical procedures on society that are more likely to cause harm than create benefits.
It's fairly clear to me that our civilization is in decline, and it pains me to no end to see people push for more regulation and government intervention. "The patient is getting sicker, we need to let more blood! Fetch me more leaches!"
The good news is that collapse, as Tainter puts it, isn't necessarily a bad thing. It's a return to less complexity, and it often brings great benefits to large swathes of people. For example, the collapse of the Roman Empire was beneficial to serfs who would actually welcome raiding parties into their villages.
Now sure, you may be the one "good corporation" out there, who will do things the right way and (edit: not) sell a cheap product or mislead anyone. But if the regulations aren't super stringent, others will undercut you by skimping on safety/emissions and selling a similar product for way less.
It becomes too tempting to cheat otherwise - see Dieselgate / VW, for example. Make it possible to easily profit by cheating (via relaxed regulations) and people will. Again, not you specifically (maybe), but people in general.
Since we can't tell what kind of person you are, REALLY - SBF also told people to trust him, for example - onerous regulations are required.
Plus, I love how on the main page advertising to companies, Revoy advertises 3x-to-5x better fuel efficiency - I'm guessing this one is the one they'll need to back up and officially achieve or companies will dump them / sue.
In the blog post, he claims 94% less fuel and 7 mpg to 120 mpg. I don't see how 7 mpg to 120 mpg is "only" 3x-5x better fuel efficiency - it seems like it's more 17x. Sounds to me like he's exaggerating the effect in the blog to try to get sympathy.
Things going a little slow or costing a little more is very often preferable to the alternative where you begin operations recklessly and negatively impact neighbors, sometimes irreparably.
This is such a shortsighted, self-serving, and hypocritical mindset.
"Move fast and break things" has been the motto of Big Tech for decades, even though they're slowly distancing themselves from the "break things" part. We know what this approach brings, and it's not something that inherently benefits the general population. It benefits corporations first and foremost, who when faced with little to no regulation as is the case with Big Tech, will take every opportunity they get to lie, cheat, and exploit their way into making themselves and their shareholders rich. The idea that removing the regulatory burden on companies will make "our world" better is a fantasy sold primarily by corporations themselves. It's no wonder the author is a CEO.
I'm sure regulations are a major pain in the ass for companies. I experience similar frustrations as a citizen, and I can only imagine what large companies whose main product is innovative technology have to go through. I'm also sure that the regulatory system can be made more efficient, as most government systems can. But the answer isn't to allow companies to "move fast". Moving slow is precisely the correct approach for introducing new technology, regardless of how benevolent their CEO makes it sound to be. Governments need time to understand the impact of the technology, and plan accordingly. Companies need time to address any potential issues. Society needs time to adapt to it. All of these are good things. The only reason we would need to "move fast" is so that executives can get richer quicker. There are very few cases when moving faster is paramount, such as when there's a pandemic and people's lives are in immediate risk, but in all other situations it is the wrong approach.
The claimed political tech race where nations must ensure that innovation happens within their borders is also a red herring. Companies have been offloading manufacturing to China for decades so that they can sell us cheaply made garbage while they skim off the margins, and now when the politics are shifting, they're all about keeping innovation home? Give me a break.
Peter is brave because, descriptively, the regulatory state functions collectively as a cartel with a monopoly on the veto and can apply it essentially at will with no real accountability. If one of the thousands of officials Peter's companies work with takes a dim view of this post, they could quietly and anonymously kill the company by shadow banning progression of any of hundreds of strands of regulatory approvals needed to obtain permission to operate.
What are Peter's companies trying to do? Crush babies into gold? No, they're finding economic ways to fix air pollution. He's going to spend the better part of a decade of his life fighting some avatar of "the department of improving the environment" for the right to spend his own money improving the environment.
I too have heard, and experienced, insane horror stories.
The US is currently rapidly losing an energy production war with China. We have all the money and natural resources anyone could ever want, and China - a communist dictatorship - is deploying more electricity generation capacity in months than the US has deployed, ever, since the invention of electricity.
Why?
Solar photovoltaic power, which is approximately free and works best in uninhabitable deserts that are otherwise so economically useless that they remain federal land and are used for such things as atomic bomb testing, must go through the same environmental impact assessments, which take many years, as an oil refinery or explosives plant. Solar energy, which has a lower impact than practically any other land use and is by far the best per dollar spend for improving the environment. We should be granting 99 year solar leases on BLM land and inviting the top 10 deployers to an annual dinner at the White House!
This is not a market failure. This is a regulatory failure, and it is actively killing us. More Americans die every month than on 9/11 from the impacts of air pollution that would have been addressed a decade ago if builders were allowed to build. This is not some academic niche issue. Thousands of people are actively killed by our neglect of this problem.
Two years ago I wrote this: https://terraformindustries.wordpress.com/2023/11/10/permitt...
The situation, expressed in real world time-to-deployment, has not materially improved. The regulatory state is a bizarre hydra where, somehow, painstaking reforms to speed up review often end up taking longer. Such is the case for California's fire hazard reduction burn process, which takes so long that the forests often burn up in the mean time. (https://caseyhandmer.wordpress.com/2025/01/17/the-los-angele...) Earlier this year, the fires took 10,000 houses and nearly 100 people with them, and now, nearly a year later, almost none have been rebuilt, while the city council's response to housing scarcity is ... rent control. Elon, I'm ready to go to Mars!
My radical view is that if McMaster-Carr can fit 500,000 SKUs into its 4000 page catalog, the federal government should be able to fit all its laws and regulations into the same space. The constitution can be on page 1. In 1875, the federal code was less than 2000 pages. Today it is over 12 million. At the current rate we are generating new law faster than anyone could ever read it.
The law of the land should be portable."
I think the problem isn't regulation (which the current admin is aggressively destroying, e.g. with the EPA) so much as corruption - which manifests partly as critical government functions being deliberately starved of resources. Regulatory bodies should get more funding to study and approve new technologies, and there should be more subsidies available for smaller innovators to offset the R&D investments and application waiting periods. That wouldn't be in the interest of big polluters and their captive politicians though.