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The government has to constrict its omnipresent power by cutting red tape and simplifying administrative procedures for business, which will unavoidably affect the vested interests of some, Kuang said.

In the past two years, 798 administrative approval items have been canceled or delegated to local governments.

National lawmaker Tian Yunfei from eastern Zhejiang Province did not expect that his public listing application for his company would be approved "very soon." Tian remembered years ago that his application for approval of building a 2,000-square meter warehouse on his property took six months.

"We benefited from approval cuts, the reform's dividend," he said.

Last week, the State Council listed 10 ways to speed up the administrative approval process, such as setting time limits for the process and improving transparency. Online application has been promoted for efficiency.

It also called for better supervision of approval authorities and more severe punishment for negligence and abuse of power.

However, delays, redundant procedures and opacity still remain in some areas. Some departments and local governments will delegate powers to intermediaries and appraisal agencies instead of lower levels, which does not help but adds additional burden to enterprises seeking administrative approvals.

On Monday, Premier Li urged the government to clean intermediary service sectors, breaking monopolies and strengthening regulation so as to eradicate the "grey zone" of administrative approvals.