Streamline administration and institute decentralization play an important leading role in and has a driving effect on overall reform promotion, market vitality stimulation, development power strengthening and social creativity and transition of governmental functions. At present, this reform is being further deepened. For example, social insurance registration certificate and statistics registration certificate are integrated to realize “5 certificates into 1 and one license one code” (five certificates refer to business license, organizational code, tax registration certificate, social insurance registration certificate and statistics registration certificate), based on the implementation of “3 certificates into 1” (three certificates refer to refer to business license, organizational code and tax registration certificate) on a whole scale. 

On May 18, a new deployment on promoting the reform of commercial systems was made in the State Council Executing Meeting, in which it was decided to implement “5 certificates into 1” based on the full implementation of “3 certificates into 1”, so as to reduce the institutional cost of entrepreneurial access. On May 24, the State Council again published Circular on Printing and Distributing the Key Work Points to Promote Streamline Administration and Institute Decentralization, Decentralization and Management Combination and Service and Reform Optimization in 2016 to redeploy “5 certificates into 1”. 

Relieve the burdens of enterprises actually

The state has started to push forward reform of commercial systems and lower the threshold on market access since 2014. Particularly, the industrial and commercial system took the lead in implementing the reform of “3 certificates into 1 and one license one code” policy countrywide since last October 1, simplifying the registration in 3 departments and 3 times of material submittal to processing at 1 window and 1 time of material submittal, and shortening license processing time to 2 or 3 days generally. In some regions, it only takes 15 minutes to issue certificate, which means processing can be done while enterprises are waiting. 

This reform greatly facilitates enterprise setup and accelerates the vitality of market entity. Now, the State Council puts forward to integrate social insurance and statistics registration certificate to realize “5 certificates into 1 and one license one code”, on the basis of the implementation of “3 certificates into 1”. 

According to reports, different regions have different understandings on 5 certificates and 4 certificates, and their implementation of the reform is also in different stages. At present, only Zhejiang has realized “5 certificates into 1” reform required by the State Council Executive Meeting; Jilin and Shenzhen have realized integration of the certificate of organizational code, tax registration certificate, social insurance registration certificate and official seal engraving permit out of the “5 certificates”, and statistics registration certificate has not been integrated yet. The “5 certificates into 1” policy implemented by Fujian Pingtan FTZ for foreign-funded enterprises is actually “4 certificates and 1 seal”, i.e. business license, tax registration certificate, certificate of organizational code, foreign-funded enterprise approval certificate and official seal engraving record, the policy it implements for domestic enterprises is still “3 certificates and 1 seal”. “4 certificates into 1” policy implemented by Heilongjiang since last July includes business license, certificate of organizational code, tax registration certificate and social insurance registration certificate but excludes statistics registration certificate. 

Since “3 certificates into 1” has been implemented, the one window processing, one submital of forms and linked approval mode is kept using generally in multiple certificates into 1 promotion process in different regions, in order to bother data much but publics less. Although statistics registration certificate is not integrated into the “5 certificates into 1” policy implemented by Jilin and the “4 certificates into 1” policy implemented by Pingtan, enterprises are no longer needed to apply for a seal engraving certificate in public security department, and can thus save a lot of energy. The journalist saw in the office hall of Pingtan Market Supervision and Administration Bureau that there was a seal engraving point authorized by public security department in one of its corners, where enterprises could have their seals engraved on site and take them away after finishing registration procedures. 

Coordination problems between departments are to be solved 

“5 certificates into 1” policy facilitates publics, but it is a test for relevant governmental departments. Firstly, there is problem in the coordination between departments. 

One industrial and commercial system insider told the journalist that “5 certificates into 1” policy got other departments involved in addition to industrial and commercial department, which was not able to coordinate with other departments by itself. The “3 certificates into 1” policy was pushed forward under the guidance of local offices of public sectors reform when it was implemented. The journalist also found in the interview that most provincial governments enacted special documents and set up a working team led by a leader at deputy provincial governor level to deploy and push forward local “multiple certificates into 1 and one license one code” work. For example, Jiangsu printed and distributed Opinions on Implementing “3 Certificates into 1” Registration System (Trial) in the name of Jiangsu Provincial People’s Government and Heilongjiang enacted Opinions of the General Office of Heilongjiang People’s Government on Implementing “4 Certificates into 1” Registration System. 

“Similarly, the current ‘5 certificates into 1’ should be designed by the top level and promoted by the upper level, as the industrial and commercial system itself cannot make it.” This industrial and commercial system insider said that they were implementing it actively at present. The office of public sectors reform organized a meeting last week to discuss about how to promote “5 certificates into 1” policy; however, the final opinion had not been formed yet. 

At the mean time, corresponding supporting policies are needed for the implementation of new policies, and it will take a period of time to push forward and implement them roundly. 

Another difficulty to promote “5 certificates into 1” is information docking. The reason why the previous “3 certificates into 1” policy could be realized is that all departments set up corresponding data platform for data-orienting information processing and transmission. For example, Zhejiang set up the uniform information sharing and exchange platform of Zhejiang administrative service network and province-wide uniform credit underlying database, with which window staffs could realize electronic declaration material push, information exchange between departments, enterprise registration information sharing, approval process tracking, uniform code acquisition and file sharing within 10 min, after they input all relevant contents in application form. Besides, the interface to enterprise credit information publicity system was opened, on which enterprise registration result would be made public online in real time after they applied for registration of establishment.

However, different regions and departments have different information bases; some of them deal with certain procedures on paper, which cannot be docked with information platform; some departments have difficulties in data docking as they did not use a uniform information platform before, although they have mastered basic knowledge of information technology. It takes certain time and requires investment to upgrade and dock with information platform. 

The State Council has not determined the specific time for the promotion of “5 certificates into 1”, and the industrial and commercial systems and local governments have not developed detailed operation program. One insider of Fujian industrial and commercial system thought that as long as the departments of upper level could determine a program, it would not be difficult to promote “5 certificates into 1” policy and push it forward comprehensively within the current year.  

“Certificate and license separation” is broadly expected 

There are reform measures, including review and approval reduction and “certificate and license separation”, to support “5 certificates into 1” policy. 

According to the journalist, Fujian Pingtan FTZ only reserves 9 pre-approvals of 6 categories currently, becoming the place that reserves the least pre-approvals around the country. However, according to Decision on Matters concerning a Group of Administrative Approval Items to Be Canceled issued by the State Council last March, 34 industrial and commercial registration related pre-approval matters are reserved. On the basis of the above, State Administration for Industry and Commerce organized and prepared Catalogue of Industrial and Commercial Related Pre-approval Matters in May 2015 to emphasize again that different regions should adjust and specify the catalogue of industrial and commercial related pre-approval matters released by their own. Fujian Pingtan reserves 34 pre-approvals according to national standards, and they are mainly industrial access that requires high operation qualifications, including business permit of hazardous chemicals, business permit of general aviation enterprises, approval for the setup of futures trading arena, insurance company and setup of insurance companies and their branches.

The State Council is actually more determined than expected. As specified in the Circular on Printing and Distributing the Key Work Points to Promote Streamline Administration and Institute Decentralization, Decentralization and Management Combination and Service and Reform Optimization in 2016 proposed by the State Council, it is required to cancel 1/3 of the industrial and commercial pre-approval matters this year, adding up to more than 90% of the original total number of pre-approvals, and cancel more than 50 post-approval matters synchronously. That means at least 11 pre-approval matters would be reduced. As for what the matters to be reduced were, experts expressed that it related to many departments and only the State Council had the right to reduce them. 

Similarly, “certificate and license separation” is only tried out in Shanghai currently. At the end of this January, Shanghai Municipality enacted the overall plan for “certificate and license separation” reform piloting. According to the plan approved by the State Council, 116 administrative approval matters that were dealt with most frequently and would show obvious effect after reform were selected for preliminary reform testing. For operation activities that enterprises can decide by themselves, such as the approval of the establishment of recordable CD manufacturers, administrative approval is canceled directly; filing system is adopted for 6 administrative approval matters, such as the approval of processing trade contracts; informed consent system can be implemented for the activities that cannot be canceled for the temporary but can be supervised during and after trading process, such as the permit for motor vehicle maintenance operation. For administrative approval matters that can not be canceled or are not suitable for informed consent system, such as approval of the setup of accounting firms and their branches, workflow should be simplified and handling procedures should be made public. 

The director of an administrative approval office of the industrial and commercial department of a municipality told the journalist that the advantages of “certificate and license separation” reform were obvious; although all of us held a positive attitude towards pilots, but we must submit ourselves to the command. (by She Ying)