Study of Small and Medium Enterprises in Azerbaijan - IFC

2.4. Specifying in the law a uniform permit application procedure as well as list of
grounds on which the issue of a permit can be refused.
Expected impact
As a result, the clear issuance procedures would reduce costs in time and money
that entrepreneurs have to spend for obtaining permits. Additionally, the “silence is
consent” and “self-certification” principles, as well as legally substantiated grounds for
refusal would improve the overall process and reduce possibility of arbitrary decisionmaking
by officials. For example, in Italy the self-certification process alone led to the
reduction in administrative paperwork by 84.5 percent and with it, all related costs to
entrepreneur as well as the public administration 36 .
5.7.3 Set up clear grounds for introducing new permits
provided that these permits should:
• Require government control for protection of public health and safety, as well
as environmental protection;
• Relate to allocation of scarce resources;
• Not foresee additional or specific requirements.
Expected impact
By setting up clear basis for introducing new permits, the government will be able to
prevent introduction of permits that conflict with the principles of a market economy
and free trade. This could in turn reduce expenses of entrepreneurs and foster rapid
development of priority sectors for the country.
5.7.4 Reduce the burden of permit renewals.
This should be carried out by extending the validity period of permits in accordance
with a thorough assessment of the full inventory of permits. This step will reduce the
need for renewals.
Expected impact
Less frequent renewals would reduce the expenses of entrepreneurs and reduce workload
of government agencies and with it costs of their operations.
5.7.5 Introduce the “one-stop-shop” principle for issuance of
certain types of permits.
According to this principle, the applicant does not need to pass through all agencies,
but only to apply and receive documents in one department. It is advisable to
adopt a one-stop-shop procedure for sectors requiring multiple permits, for example
construction. The following steps should be made for introducing an effective onestop-shop:
36
Tajikistan Business Permit Reform Strategy. IFC Dushanbe, 2008.
Aze r b a i j a n Bu s i n e s s En a b l i n g En v i r o n m e n t Pr o j e c t 85