Centre Plans Longer Licence Validity Of Up To 15 Years To Cut Business Compliance Burden
The Centre is preparing a major overhaul of business licensing rules in FY27, with several permits likely to receive validity periods of 10 to 15 years. The move is aimed at reducing repeated paperwork and easing the compliance burden faced by companies, Moneycontrol reported. The reform exercise covers regulations across sectors including environment, pharmaceuticals, explosives and Bureau of…
The Indian government is planning to extend the validity of business licenses up to 15 years in an effort to simplify compliance requirements and reduce administrative burdens facing companies. Several licenses are expected to receive longer periods of up to 15 years, according to Moneycontrol. The reform, part of a larger effort to modernize regulatory rules, would apply to sectors like environment, pharmaceuticals, explosives and Bureau of Indian Standards (BIS) certifications.
Committee Chairman Rajiv Gauba heads the NITI Aayog's high-level committee on non-financial regulatory reforms looking into the changes. The panel was set up in August 2025 to evaluate existing regulations, licenses, certifications and permissions. Hospitality businesses, which often require dozens of approvals, could see a reduction from 30 to 60 necessary permits.
Current requirements include environmental clearances, pollution consents, food safety licenses, drug manufacturing permissions, PESO safety clearances and mandatory BIS certifications.
While the government is not proposing a single unified license, licenses would remain but their validity would be substantially prolonged. The aim is to build trust in the regulatory system and boost India's ease of doing business by cutting down on repetitive compliance procedures.
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