In Japan, Novice Nationals (A & B divisions) only compete a free skate.
That is interesting. Thinking about it more from a competition viewpoint, it would definitely save a considerable bit in travel costs/entrance fees if Novice skaters only did an LP. I wasn't really thinking about that when I wrote my last comment; I was thinking more of training costs. If doing only an LP meant that you only had to have one evening's overnight stay at competition, vs. two evenings', for example, and if you're doing a number of competitions per season--well, that does add up. Plus, you would save costume expenses. Another thing I didn't think of before.
I do think there are quite a few benefits to having 2 programs in Novice, but I guess I wasn't taking the full cost ramifications into consideration.
I would still think you'd want to survey coaches, parents, skaters, before making changes to the current competition structure.