Licensing and Permitting

Principle 4: Make L&P processes user-friendly

 

Principle definition
Licensing authorities should adopt a user-centric approach, providing easy access to information and support for individuals and businesses, while actively engaging stakeholders in the process.
Sub-principles	Criteria
4.1 Ensure easy access to information and data	Publish authoritative, comprehensive, fit-for-purpose and easy to navigate information Provide different types of information proactively
4.2 Digitalise procedures to improve efficiency and access	Use digitalisation as a driver for efficiency Do not digitalise without simplifying first Apply an end-to-end approach to digitalisation Establish a long-term digital strategy for L&P
4.3 Make L&P processes clear and accessible for users	Use simple, clear, concise and understandable language in L&P regulatory frameworks Leverage the most suitable channels and formats for communicating and providing access to L&P processes Engage with stakeholders in the definition of L&P tools, processes, criteria and conditions

L&P processes should prioritise users by offering easy access to information and data. Comprehensive, easily available information helps individuals and businesses comply without unnecessary complexity or burdens.

Authorities must also provide multiple, user-friendly channels for accessing information and support, including digitalising procedures to enhance accessibility. Whether through online portals or in-person assistance, these channels should be easy to navigate and widely accessible.

Engaging stakeholders in the design and improvement of L&P processes is crucial. By involving businesses and individuals, licensing authorities can create more responsive systems that adapt to changing needs and promote innovation.

4.1. Ensure easy access to information and data

Publish authoritative, comprehensive, fit-for-purpose and easy to navigate information. Citizens should be able to easily find what they are looking for and identify the solutions that address their needs (OECD, 2023[17]). Whether mandated by law or implemented through policy, L&P authorities should publish key information and data on L&P processes that is authoritative (i.e. it is not contradicted by public officials “on the ground”), comprehensive (at least on the topics covered), fit-for-purpose and easy to navigate.

Provide different types of information proactively. Providing information and data is a means to foster trust in L&P processes, as transparency about the evidence that underlies government decision making can build trust (OECD, 2024[4]). Transparency around L&P processes can be provided through the publication of annual activity reports, internal audit reports, and information about the different mandates and responsibilities of the various L&P authorities (OECD, 2022[18]). The creation of registries, in the form of online, searchable databases, is another way for licensing authorities to make information easily available for scrutiny and monitoring. For example, in some countries there are registries of those businesses operating in sensitive areas such as those involving pollution or the consumption of natural resources. (The publication of registries will need to be balanced with data protection regulations). The type of L&P information provided may vary according to sector. For example, in environmental L&P, licensing authorities should proactively publish environmental impact assessment processes, information about other environmental management instruments, as well as the environmental licences or permits granted. This will allow stakeholders to monitor the whole L&P cycle in what is recognised as a sensitive environmental context. In some countries, the publication of information may be required by law via access to information and/or other environmental laws (ECLAC, 2018[19]). Access to information laws typically provide the opportunity to request information about L&P process that is not publicly available (OECD, 2022[18]). For instance, stakeholders may request hydrological information to monitor the pollution compliance levels of a mining permit.

4.2. Digitalise procedures to improve efficiency and access

Use digitalisation as a driver for efficiency. Digitalisation of L&P processes is an important step to improving geographical accessibility and the ease with which L&P documentation and information can be submitted by regulated subjects. It can dramatically reduce the administrative burden for individuals and businesses, including the time otherwise spent commuting to, and waiting in, public authority offices. Digitalisation also improves the flow of information across government bodies. Decision-making and risk assessment can be enhanced by faster data sharing, a shared approach to data management among licensing authorities, and digital formats that facilitate the treatment and processing of large datasets. Information sharing among licensing authorities also helps reduce overlapping processes and duplications in information obligations. Data can also be collected for statistical or inferential reasons, which can then be used to better inform decision makers.

Do not digitalise without simplifying first. The first step of digitalisation should be simplification. The greatest barriers to efficiency in L&P are typically found in its legal or procedural complexities, the lack of institutional co-ordination, and a use of overly technical and complex language. These barriers will not disappear merely by digitalising processes. Indeed, digitalising inefficient processes can instead result in increased bureaucracy, wider inefficiency and even greater barriers to compliance. Emerging technology, such as artificial intelligence or blockchain, can support L&P, for example to identify unlicensed businesses or assess or predict risks. AI tools can analyse large datasets to detect patterns of non-compliance and improve regulatory oversight. However, before AI is fully integrated into L&P systems, it must undergo rigorous testing and assessment – for example in a pilot – to ensure reliability, accuracy, and compliance with ethical and legal standards.

Apply an end-to-end approach to digitalisation. Through end-to-end digitalisation, all activities and stages of a L&P process — from start to finish — are managed digitally. The adoption of this approach can improve the efficiency of the administrative process in two important ways: first, tasks that require significant human resources are eliminated, speeding up the procedure and removing bottlenecks. Second, it reduces manual intervention and execution errors (and therefore the resources needed to address them).

Establish a long-term digital strategy for L&P. While governments tend to have ambitious objectives and timelines, it is crucial to recognise that digitalisation is a long-term project best realised through step‑by-step efforts. For each stage of the digitalisation journey, it can be more effective to deploy well-defined, short-term and incremental digital projects (or functionalities), rather than wait long periods to release a big project. This reduces implementation risk and increases the probability of success and maturity in the adoption of digital tools. More broadly, the adoption of a shared digitalisation strategy between government bodies can facilitate the use of common technologies and formats and promote wider data sharing.

4.3. Make L&P processes clear and accessible for users

Use simple, clear, concise and understandable language in L&P regulatory frameworks. L&P regulatory frameworks are often drafted using technical jargon that is difficult to understand. Adopting a human or business-centric approach means being conscious of the potential barriers to access for regulated subjects and stakeholders that can be created through overly complex language or process. Applying this to L&P means using simple and clear language both for L&P processes and legal frameworks, but also for related mechanisms such as the complaints and appeals process. This facilitates better engagement with L&P, including greater compliance, an improved understanding of risks, and wider trust in the relevant authorities. It is also an important means of reaching those often marginalised stakeholders who can be directly impacted by L&P processes, e.g. microbusinesses and vulnerable communities.

Leverage the most suitable channels and formats for communicating and providing access to L&P processes. A human and business-centric approach also means considering the technological gaps and digital divides which may impact accessibility. Targeted actions by L&P authorities to address this include online one-stop-shops or central portals that are easy for stakeholders to navigate and use. However, it should be noted that digital tools may not be appropriate for foreign investors and individuals or communities with limited internet access, poor digital literacy, or physical disability. Therefore, in addition to digital channels, in-person alternatives that are context-specific to the L&P process, sector and population should also be available. In addition, L&P authorities can conduct stakeholder consultations to better understand the language and channels that should be used to publish and communicate L&P processes and requirements. This can help prioritise stakeholders’ information needs and further ensure the accessibility and usability of online tools and websites.

Engage with stakeholders in the definition of L&P tools, processes, criteria and conditions. When defining their approach to L&P, authorities should engage with stakeholders, regulated subjects and any other interested or affected parties (including citizens and businesses) throughout the whole process. Engagement processes should be proportionate to the characteristics of the project (e.g. its size, political sensitivity, environmental impact, the affected population) (Addison, 2024[20]). This is to understand and limit the negative consequences that may arise from any risks and uncertainty they experience. For example, greater efforts should be made to engage with stakeholders for major L&P processes, i.e. those in the infrastructure or extractive industries. It is crucial to engage stakeholders at an early-stage of L&P processes and in a way that is meaningful (Addison, 2024[20]). One approach taken by certain local authorities on policy issues is to use representative deliberative processes. Here, a broadly representative body of people weighs the evidence, deliberates to find common ground, and then develops detailed policy recommendations or responses (OECD, 2022[21]).