What is the primary difference between a regulatory inspection and a compliance audit?

The primary difference between a regulatory inspection and a compliance audit is that a regulatory inspection evaluates adherence to laws. Regulatory inspections are typically conducted by government agencies to ensure that entities are following specific environmental regulations and legal requirements. During these inspections, inspectors assess compliance with laws that govern environmental practices, safety standards, and other regulatory criteria. The focus is often on identifying any violations of the law and ensuring that the entity takes corrective actions.

On the other hand, while compliance audits also assess adherence to regulations, they may cover a broader scope, including internal policies and procedures, operational practices, and sometimes financial aspects depending on the context. Compliance audits are generally conducted more systematically and can be performed by third-party organizations or internal teams to ensure that practices align not just with regulatory standards but also with industry best practices.

The other options do not accurately represent the primary characteristics distinguishing these two types of reviews.