Abstract:

The aim of this research is to make an economic assessment of the administrative burden, which is created by the construction regulation, on enterprises of Jelgava municipality in Latvia and to find solutions of how to reduce the administrative burden on enterprises by having no negative impact on the construction process. The research was carried out in the period 2009-2011. To evaluate the administrative burden, the Standard Cost Model with some modifications and adaptations was used. It was concluded that 9 legislative acts related to construction are creating a notable bureaucratic burden (EUR 2.94 million annually) on enterprises in Jelgava municipality. The authors have developed 37 recommendations to reduce the administrative burden and by implementing these recommendations, the administrative burden on enterprises could be reduced by 45% or EUR 1.33 million annually

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