Smart regulation begins with a holistic approach, but goes further. Ours is a complex business and regulating part of it can have unintended consequences in another area.
Consumer protection legislation, for example, could very well lead to situations in which the passenger is disadvantaged. A blacklist of potentially hazardous chemicals which are nevertheless essential in aircraft maintenance may prohibit their use in Europe but it will simply transfer maintenance business (and jobs) from European to non-European locations.
And additional security measures, for example, should be based on impact assessments, ensuring that these measures bring a real added value to security and could be integrated in a future revision of the passenger security checkpoint. A checkpoint which would contribute to a better passenger throughput and approach security from a risk based perspective.
There have, of course been smart regulations enhancing our ability to compete globally. Market liberalisation itself was visionary. Harmonisation of Flight and Duty Time rules across Europe has been a triumph in the face of entrenched opposition.