DPIIT undertaking exercise to measure cost of regulations in states

The Department for Promotion of Industry and Internal Trade (DPIIT) is undertaking an exercise to assess the cost of regulations in states with a view to improving further the ease of doing business, an official said.

Through this, the official said, states will get an insight into reforms which they can bring to improve the business climate for industry.

For this, DPIIT officials held a meeting in June with all selected survey agencies for assessing the cost of regulation.

The session was scheduled to provide orientation/brief to the overall project coordinator/key persons from all regions.

Citing examples, the official said seeking a number of papers and delays in giving approvals or clearances cost to the industry.

"The exercise is aimed at reducing this cost," the official added.

The department is taking a series of measures to reduce the compliance burden of the industry and improve the ease of doing business. It has removed or simplified thousands of obsolete provisions and has rolled out a national single-window system for faster approvals and clearances.

The Centre has also decided to help states in simplification, rationalisation or decriminalisation of provisions.

Parliament has recently passed a bill which seeks to promote ease of business by decriminalising minor offences through amendments in 183 provisions of 42 Acts.

The bill converts several fines to penalties, meaning that court prosecution is not necessary to administer punishments.

It also removes imprisonment as a punishment for many offences.

A working group has been formed to take the initiative forward. The group comprises representatives from industry associations, business chambers, legal professionals, legal experts and officials of seven ministries.