The novelty of permits system of Kazakhstan

December 29, 2014

In November 2014 came into force the Law “On permits and notifications” (hereinafter – the Law), which is addressed to the most effective way of consumer right protection by the reasonably required burden on entrepreneur.

The Law implements the regulatory approval and notification requirement orders of performance by entrepreneurs certain activities or actions. The permits are hereby categorized in order of level of danger of activity, as follows:

  • the permits of the first category – licenses, granted by a licensor to an individual person or legal entity to allow an activity or sub-activity of high level of danger. The list of activities, the performance of which need to obtain a license, is defined in Annex 1 to the Law.

  • the permits of the second category – all permits, which are not licenses, which were implemented by the new Law with relation to activities (sub-activities) or actions (operations) of middle level of danger. The list of activities, the performance of which need to obtain a permit is defined in Annex 2 to the Law.

Notifications (including in the form of the electronic document) were implemented in by the new Law regarding the activities or actions of low level of danger. The authorized bodies are to be informed on beginning or termination of such kinds of activities or actions. The list of the activities which are subject to notifications is defined in the Annex 3 to the Law (innovation).

Classification of the licenses and permits:

the Class 1 – “which are granted on activity”, the Class 2 – “which are granted on objects”, the Class 3 – “one time permits”, the Class 4 – “which are granted on activity with limited resources or with use of quotas”, the Class 5 – “which are granted on professional activity to individual persons”, the Class 6 – “which are granted on production”.

Licenses and permits are to be received, and notifications have to be provided to the state authorities prior to carrying out the activity, which fall under the regulatory approval and notification requirement orders. This rule extends also on the individual persons and legal entities, which were carrying out the activity falling under the  regulatory approval and notification requirement orders before the Law came into force.

The list of activities, which are subject to licensing under the new Law was not changed and corresponds the list of activities specified in the Law on licensing of 11 January 2007 (became invalid). Under innovations of the new Law can be pointed out the possibility of alienability of the some «licenses, granted on objects” in favor of the third parties, in cases, when it is directly provided by the Law (for example the license for storage and retail trade of alcoholic products).

The new Law extends the list of cases when the license reissue is necessary, namely: – alienation of the «licenses, granted on objects” by the licensee  in favor of the third parties; – change of the address of the location of object without its physical movement for the „license granted on objects” or for annexes to the license with the indication of objects; the requirement about license reissue defined in laws of the Republic of Kazakhstan.

Advantages for entrepreneur are

  • prohibition of conformity check of the licensee to qualification requirements during license reissue, except for some cases of reissue (by reorganization).
  • In case the authorized body delays in issuing of a permit and does not provide a reasonable refusal, the permit shall be considered to be issued and automatically included into the state electronic register of permits and notifications.

 Gaukhar Abdigaliyeva