Combining Deloitte's legal expertise and GenAI to examine the Dutch implementation of EU directives
The increasingly complex web of EU and national-level legislation is making the regulatory landscape more challenging, leading to higher costs for businesses and a significant lack of oversight. Legislators on the other hand, face the difficulty of minimising regulatory burden while implementing legislation. In this regard, we supported the Dutch Ministry of Economic Affairs to uncover insights into the implementation of EU directives affecting the Dutch business landscape.
Navigating regulatory complexities
The Dutch Ministry of Economic Affairs aimed to gain a clear overview of EU directive transposition and its potential impact on both the national business landscape and international competitiveness of Dutch companies. Unclarity posed a significant challenge in effectively managing and adapting to regulatory changes.
To address this, the Ministry sought to enhance oversight and have a better understanding of Dutch transposition choices and the potential consequences of these implementations. This effort is particularly challenging due to the large volume of related documentation and the complexity of interrelated legislation.
The challenges ahead
- Identify which implementation choices led to regulations exceeding EU directive requirements from 2019 to 2023, and to what extent these stricter implementations were made explicit.
- Assess whether expected structural regulatory burden for businesses was anticipated and taken into consideration, as well as which aspects of the business climate were affected by these choices.
- Determine if the expected impacts on international competitiveness and the business climate were properly clarified in the explanatory memorandum.
"Public administrations, which often suffer from limited staffing and strained resources, face the challenge of ensuring successful policy implementation with minimal regulatory burden. As failing to do so might result in negative consequences such as a worsening in the national business climate, it is critical that this matter be taken seriously."
Dominique Poot - Director Deloitte Legal
POWERED BY GENAI
Our innovative solution
To tackle the issues, a proprietary Deloitte tool called Legal Rover was used to conduct a transposition analysis of the Dutch transposition choices. Legal Rover accelerates analysis of EU legislation by leveraging state-of-the-art Generative AI (large language models) running in a secure Deloitte environment, combined with an extensive database of legislation and directives and transposition laws throughout the European Union.
The process involved selecting specific EU directives and the Dutch national transpositions for analysis, linking EU directive articles to the national transposition articles, and conducting detailed analysis of the implementation choices made by the Dutch government. Following this, a customised report was prepared, specifically tailored to meet the needs of the Dutch Ministry, outlining the implementation choices and their impact on the business climate.
Achieving legal clarity
Through AI-driven analysis, Legal Rover assessed the impact of these implementation choices on various aspects of the current business landscape and international competitiveness. Deloitte's legal experts consistently reviewed the machine-generated output to enhance and ensure accuracy.
The input was subsequently incorporated back into the system to refine future analyses, leading to insights that were vital to answering the necessary questions. This collaboration between Deloitte’s legal experts and AI ensured that the final analyses are well-rounded as well as trustworthy.
"With 500+ EU directives & regulations adopted each year, the volume and complexity of EU laws continue to increase despite efforts to reduce the burden. We are therefore very pleased we can help our clients to effectively tackle this challenge."
Hans van Dam - Manager Deloitte Legal
Key results
memoranda processed
pages of text analysed
words analysed
time saved on analyses
