Lithuania reduces administrative burden on business

The administrative burden on business is decreasing every year. This is due to the success of the changes we are making to improve the business environment and the efforts of other institutions to reduce the burden on business through legislation. The proportionate reduction of administrative burdens will be a priority for the business environment, said Au rin Armonait Minister of Economy and Innovation.

According to the Administrative Burden Monitoring Report for the first half of 2022, 9 of the 13 institutions reporting data have reduced their administrative burden and 4 have increased their administrative burden.

The State Tax Inspectorate has reduced the administrative burden by EUR 5.835 million, the Ministry of Social Security and Labour EUR 212.6 million and the Lithuanian Geological Survey EUR 194.25 thousand. The main reason for the reduction of administrative burden was the abolition of the obligation for operators of fuel facilities to carry out an inventory of petroleum products, which resulted in savings of EUR 5.57 million for business. The information system is updated on quarterly basis instead of monthly basis, which has reduced the administrative burden by EUR 1.85 million, as manufacturers and importers of oil, vehicles, electrical and electronic equipment, batteries, and accumulators will now keep a product register in the information system. The administrative burden was reduced by almost 740,000 due to the abolition of the requirement to no longer provide a general building examination and act in certain cases when completing a building.

The Ministry of Agriculture, the Ministry of Health, the Ministry of Energy and the Ministry of Transport and Communications increased the administrative burden in the first half of 2022.

According to the two-date rule, the Ministry of Economy and Innovation examined the compliance of the authorities, which means a legal action must enter into force on 1 May or 1 November. The rule was respected in 43% of the cases analysed, according to the report.

In order to reduce administrative burdens on business, the Ministry of the Economy and Innovation has introduced changes to the methodology for administrative burdens and provides practical training for drafters on how to assess and reduce the costs of adapting to regulation. The Government's Centre for Strategic Analysis STRATA The Administrative Burden Monitoring Report is available on the Ministry of Economy and Innovation's website, in cooperation with the Government's Centre for Strategic Analysis, an analysis of the effectiveness of existing better regulation measures in regulating business conditions and the institutional framework for their implementation.