Delhi Ease Of Doing Business Bill 2026: What The Proposed Law Seeks To Change

The Delhi government has proposed a new framework aimed at making it easier for businesses to obtain approvals, registrations, licences and other clearances in the capital. The Delhi Ease of Doing Business Bill, 2026 seeks to replace multiple, time-consuming processes with a more integrated and technology-driven system.

The Bill, cleared by the Delhi Cabinet on Wednesday, is part of the government’s broader effort to reduce regulatory and compliance burdens for businesses in the capital. Following the Cabinet approval, the proposed legislation will be sent to the Ministry of Home Affairs.

Single-Window System And Faster Approvals

A key proposal under the Bill is the creation of a single-window system through which businesses can apply for different approvals, registrations, licences, no-objection certificates and other requirements. These would include clearances related to building plans, fire safety, and water, sewerage and electricity connections.

The Delhi State Industrial and Infrastructure Development Corporation (DSIIDC) is proposed to be the single nodal agency for business approvals handled through the system. The aim is to reduce the need for businesses to approach different government offices and submit separate applications.

The Bill also proposes faster approvals for certain activities. For activities listed under Schedule-3, approvals, permissions, licences or NOCs would be granted when the application is submitted, subject to the provisions of the proposed law. Self-declaration would also be accepted for specified low-risk categories and cases within prescribed limits.

For activities outside Schedule-3, approvals would have to be provided within timelines prescribed under the Right to Timely and Easy Delivery of Services to Citizens Act, 2026. If the competent authority does not take a decision within the prescribed period, the Bill proposes that approval would be deemed to have been granted, subject to its provisions.

Fewer Registrations And Inspections

The proposed law also seeks to reduce duplicate registrations. Enterprises already registered under GST, FSSAI, the MSME Development Act or labour codes would not need separate registrations for trade, health-trade, eating houses, or shops and establishments, according to the Delhi government.

The Bill further proposes a trust-based inspection system. Businesses would not face routine inspections for three years after registration. However, an inspection could still be conducted if a serious complaint is received.

Another proposed change is a negative-list-based system. Under this approach, businesses would generally be allowed to undertake activities that are not prohibited under Schedule-2 of the Bill. The government says this would move away from a system where activities not expressly permitted are treated as prohibited.

The Bill also proposes that government departments should not repeatedly ask applicants for documents or information that are already available with another Delhi government authority. The broader objective, according to the government, is to reduce the time, cost and uncertainty involved in doing business while encouraging investment and employment in the capital.