Curbs on furniture, computers, ACs, cars etc
PANAJI: In a sweeping move to introduce austerity measures, the finance secretary in an office memorandum has banned the purchase of a whole list of items including furniture, furnishings, electrical appliances, computer peripherals as well as vehicles until March 31 this year.
The order, sent to heads of all departments which came into effect on January 15, has been issued to prevent the tendency of “indulging in bulk purchases at the fag end of the financial year, in order to incur expenditure of unspent budgetary provisions allocated for the given financial year.”
“Most of the time these provisions exceed the requirement which leads to wasteful expenditure by the Departments,” Finance Secretary Sharat Chauhan said in the memo.
The banned list includes, furniture, cupboards and office furnishings, electrical, electronic appliances like that of computers, printers, photocopier machines, air conditioners, etc and office vehicles and staff cars.
Departments in which e-services have commenced have been exempted and are allowed to buy computers and related equipment only.
The circular also directs that for the last three months of the financial year not more than 12.5% of the total budgetary estimates shall be spent and non-plan expenditure may be reduced by 40%.
The departments will only be allowed to spend on goods and services actually procured in the previous months and the reimbursement of the expenses already incurred. They will also be allowed to spend on advance payment to contractors for work orders already issued, loans and advances, and for other exceptional cases with the prior approval of the finance department.
The Finance Secretary has directed the Directorate of Accounts not to entertain any bills of purchases made from January 15. “Even if the departments resort to such purchases during this period and thereafter submit the bills in the following financial year, they will not be entertained,” the memorandum reads.
Besides the current directions, the earlier standing instructions of austerity measures like that of a ban on all visits abroad for study tours, seminars, conferences, workshops, etc including that of promotion of industry, trade tourism, etc involving funds of the State government shall continue.
The ban on contractual appointments or extensions and reappointments without the prior approval of the finance department and the personnel department shall also continue. “The above measures for rationalization of expenditure are intended to curb unnecessary revenue expenditure and provide funds for development activities under the capital account,” the circular reads making a point to add that the finance department “encourages departments to surrender savings under revenue account by making judicious assessment of their requirements.”
