DIPP asks Secretaries, states to simplify regulatory environment

NEW DELHI: The DIPP has asked all secretaries of central ministries and chief secretaries of the states and Union Territories to simplify regulatory environment and to introduce online filing of forms so as to improve the ease of doing business on "priority basis".
Listing out the steps, it said that all return forms should be filed online through a unified form; a check-list of required compliances should be placed on the department's web portal and they should maintain a single electronic register.

Besides, it also said that no inspection should be undertaken without the approval of the Head of the Department; and a system of self-certification should be introduced for all non-risk, non-hazardous businesses.

Improving ease of doing business is part of government's 'Make in India' drive to attract investments and make the country a global manufacturing hub.

The Department of Industrial Policy and Promotion (DIPP) is taking steps to bring India into the top-50 ranking in terms of 'ease of doing business'. India ranks 142 among the 189 countries in the World bank report in this area.

DIPP said the registration process of VAT and professional tax has been merged into a single process with single ID on January 1 by Maharashtra.

The time required for giving a new electric connection in Mumbai has been reduced to 21 days from 67 days and the number of procedures involved has been cut down to three from seven.

"Municipal Corporation of Delhi has launched online application process for grant of construction permits for residential and industrial buildings on 16th March, 2015 and commercial buildings in May, 2015," it added.

It said that process of applying for Industrial License and Industrial Entrepreneur Memorandum has been made online and this service is now available to entrepreneurs on 24x7 bases at the eBiz website.

"This had led to ease of filing applications and online payment of service charges," it said, adding that 14 services are integrated with eBiz portal which will function as a single window portal for obtaining clearances from various governments and their agencies.

DIPP said that a comparative study of practices followed by the states for grant of clearance and ensuring compliances was conducted through Accenture Services (P) Ltd and six best practices were identified.

These were circulated among all the states for peer evaluation and adoption. The study has also identified main bottlenecks faced by industries and important steps required to improve the business environment in States.

The Home Affairs Ministry, it said, has stipulated that it will grant security clearance on Industrial Licence Applications within 12 weeks.

"In matters other than Explosives and FIPB cases, security clearances are valid for three years unless there is a change in composition of management or shareholding," the DIPP added.

Further, it added that process of applying for environment and forests clearances has been made online through.

"Requirement for Environment Assessment Report is required for industrial shed, school, college, hostel for education institution above 20,000 square meters of build-up area up to 150,000 square meters of build-up area," it added.

The DIPP is in the process of ranking states on the basis of ease of doing business parameters.