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World desk5 min

AI Governance: Why Rules Alone Miss the Real Problem

AI governance can address real risks, but rules and policies alone do not establish that harm is being prevented. The key test is whether accountability, monitoring and evaluation change real-world outcomes.
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AI governance is not necessarily solving the wrong problem. It addresses real risks, including harmful decisions from skewed data, weak accountability when systems are opaque, and errors that spread when people overrely on AI. The deeper failure is treating governance as a paperwork or rulemaking exercise instead of asking whether it changes decisions and outcomes in practice. For governments, the test is not simply whether rules exist; it is whether AI delivers public benefits while risks are identified, managed and monitored.

What problem should AI governance solve?

Governance should help people make responsible choices about where AI is used, who is accountable for it, and how harm is prevented or addressed across a system’s lifecycle. In public services, that means weighing potential gains—such as productivity, responsiveness and accountability—against risks to the people affected by government decisions.

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The OECD’s 2024 paper poses the question “Are governments ready?” Its 2025 report examines dozens of governance approaches and 200 AI use cases. That scope is useful for understanding the range of approaches and applications under consideration, but it does not show that any particular framework has improved outcomes.

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So the more useful challenge to the title’s thesis is this: governance is aimed at a legitimate problem, but it can miss the mark when success is measured by the existence of policies, laws or review processes rather than by how AI works in real decisions.

What risks do governance measures need to address?

The OECD identifies several concrete risks in government AI. They are not abstract concerns about technology; they can affect whether people receive fair treatment, whether officials can explain decisions and whether the public can trust a service.

  • Skewed data: Data that poorly represents the people affected can contribute to harmful decisions.
  • Weak transparency: When a system’s role or operation is not sufficiently clear, it can erode accountability.
  • Overreliance: People may accept incorrect outputs, allowing errors to spread. Unequal access or dependence on automated processes can also worsen digital divides and reduce trust.

These risks make a case for governance, but they also point to the need for more than a written policy. Someone must be able to identify a problem, act within their authority, and check whether the response worked.

Why do rules on paper fall short?

A rule can set expectations or prohibit certain uses; it cannot, by itself, ensure that an organisation follows those expectations in daily decisions. Effective governance also depends on implementation, ongoing monitoring, evaluation and integration into routine work, as the OECD emphasizes.

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That gap is where the “wrong problem” critique has force. If an organisation counts policies, approvals or documented risk assessments but does not examine decisions and consequences, it may be measuring administrative activity rather than whether governance is protecting people. This is a way to assess the critique, not evidence that all governance programmes fail.

A practical assessment should ask:

  • Does the organisation know where and how AI is used, including where a system influences a consequential decision?
  • Can affected people and staff identify how to raise concerns or challenge an outcome?
  • Are there named actors with the authority and capacity to respond when the system causes or contributes to harm?
  • Is the system monitored after deployment, and can it be changed or stopped when evidence warrants?
  • Does evaluation examine real-world effects, not just whether a process was completed?

Who is accountable across an AI system’s lifecycle?

Accountability cannot be reduced to assigning blame to a single developer or public agency. The OECD’s accountability guidance says each actor should be accountable for proper functioning in line with that actor’s role, context and ability to act. Responsibilities can therefore vary across the lifecycle and among the people or organisations involved.

Risk management and due diligence can make that principle operational: identify risks, decide who can address them, and continue checking as the system is used. The key is to match responsibility to practical ability. An actor should not be treated as able to prevent or remedy a problem without the role, information or authority needed to do so.

How do the EU AI Act and NIST’s ARIA work differ?

These examples illustrate different functions, not interchangeable proof that governance is effective. The European Union’s AI Act is a binding, risk-based regulatory approach. NIST’s ARIA work is an evaluation initiative intended to advance sociotechnical testing and evaluation.

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Dimension EU AI Act NIST ARIA
Function Binding regulation using a risk-based approach, as described by the OECD. Evaluation initiative; NIST published a pilot evaluation report in 2025.
Approach to risk Distinguishes prohibited uses presenting unacceptable risk from high-risk uses that are permitted subject to requirements. The cited material describes sociotechnical testing and evaluation, not a regulatory risk classification.
Milestone or status Entered into force in August 2024. A pilot report was published in 2025; the available evidence does not establish that ARIA has resolved AI risks.
What this establishes The Act sets a legal framework; its existence alone does not demonstrate real-world effectiveness. Evaluation is being pursued as a complement to governance; the pilot report’s publication alone does not establish improved outcomes.

The European Commission has stated that third-party AI model evaluation capacity in the EU is expected to become operational by 2027. That is a stated expectation, not a capability already in operation or a guarantee that regulation will be effective.

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How can an organisation tell whether governance is working?

Evaluate governance by looking for a credible chain from responsibility to action and observable consequences. A policy or framework can be part of that chain, but it is not the result itself.

  1. Map uses and decisions. Record where AI is used, what decisions or services it influences, and who may be affected. Pay attention to settings where errors could cause meaningful harm.
  2. Assign lifecycle responsibilities. Identify who can make decisions, monitor performance, investigate concerns and intervene at each stage. Match each responsibility to the actor’s actual role and capacity.
  3. Set routes for scrutiny and correction. Specify how staff and affected people can raise concerns, how those concerns will be reviewed, and who can change or halt use when necessary.
  4. Monitor and evaluate in operation. Check whether risks identified before deployment emerge in practice, whether errors or other harms occur, and whether the system continues to serve its intended purpose.
  5. Judge outcomes, not paperwork. Look for evidence that controls changed decisions or reduced harm, and be explicit when evidence is not yet available. A completed assessment demonstrates a process took place; it does not, by itself, prove the system is safe or fair.

So, is AI governance solving the wrong problem?

The evidence supports a narrower conclusion than the title’s thesis. Governance addresses real risks and can establish duties, but neither a framework nor a law proves that those risks are controlled in practice. The stronger critique is that governance becomes misdirected when organisations prioritize compliance signals over implementation, accountability and evidence about real-world effects. The right question is not whether to govern AI, but whether governance is changing what happens to the people who encounter it.

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