Trade Secretary Ramon M. Lopez has called on businesses to do their part in cutting red tape by filing proper complaints to allow authorities to punish erring government officials.
Speaking to Cebu-based businessmen last week, Lopez said the private sector can contribute to the improvement of doing business in the Philippines by reporting cases of red tape. He said involved government officials must be punished under the Ease of Doing Business (EODB) law, as they work against efforts to make life easier for businesses here.
The EODB law has a “two-strike policy” for violations, as well as administrative and criminal liabilities for government officials found guilty of promoting red tape.
“The law is in effect already, which entitles everyone to file a complaint. Your support, through filing proper complaints, is very important in enforcing the law and to put those government employees and officials accountable and liable for wrong practices and making doing business in the country difficult,” Lopez said.
Under the law, violators will be suspended for six months on first offense, and will be dismissed from service, perpetually disqualified from holding public office, stripped of retirement benefits, imprisoned for at least 1 year and penalized up to P2 million on second count.
Lopez also reminded businesses that municipal licensing offices can no longer ask for the same documents required by the local government. State agencies and personnel are also prohibited to sell, offer or recommend specific brands of fire-safety equipment, such as fire extinguishers, to businesses.
The trade chief said the government is working on reforms that will allow business registration via smartphones.
In collaboration with New Zealand, the government last year produced an online portal for local government requirements for business registrations. It also launched a prototype of a smart-phone application that will make it possible to register an enterprise in less than one hour.
“When everything can be transacted through a smartphone 24/7, that is the ease of doing business,” Lopez said.
“There are a number of government initiatives we are currently implementing. If properly executed [and] with your support, the whole business process—from starting your business to trading across borders—should become faster, easier and less costly,” he added.
In line with its objective of cutting red tape, the EODB law standardized processing time for simple transactions at three working days; complex transactions at seven working days; and highly technical transactions at 20 working days.
However, the law is not yet operational, as President Duterte has yet to name the director general of the Anti-Red Tape Authority. The Arta chief has the sole authority to sign and promulgate the implementing rules and regulations of the EODB law.
Image credits: Nonie Reyes