I think by and large that those responsible for the licensing system are doing the best they can with the limited resources available to them. There's a lot more to issuing a firearms licence than a driver's licence or passport. Referee face to face interviews, security check, travel costs etc. If you change your address then someone is sent out to check your security at no charge to the licence holder. Someone has to be paid for doing that plus vehicle running costs and administration costs.
If the licence fee was to be doubled, as an example, then no doubt more people could be employed to help speed up the process. At present, $126.50 for a ten year standard A- cat licence is pretty damn cheap at $12.65 a year or under .25c per week.
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