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  • Now ministers can approve non-plan proposals of up to Rs 500 crore

    Published on May 31, 2016



    New Delhi ; The Ministers can now approve non-plan expenditure proposals of up to Rs. 500 crore as against the earlier limit of Rs. 150 crore.


    In a official release, the Finance Ministry said, as per the new directives, competent authority to approve scheme or project between 75 crore and 500 crore rupees will be the minister-in-charge of the ministry or department.


    Earlier, the minister had powers to approve proposals up to Rs. 150 crore. Proposals up to Rs. 75 crore can be approved by the secretary of the administrative ministry or department.


    In case of non-plan schemes entailing expenditure between 500 crore and 1,000 crore rupees, the competent authority is the minister-in charge and minister of finance. Expenditure beyond Rs. 1,000 crore require clearance of the Cabinet or Cabinet Committee on Economic Affairs.


    Making changes in the delegation of financial power rules, 1978, the Finance Ministry’s office memorandum said that a three member Committee of Non-Plan Expenditure (CNE) has been constituted with Expenditure Secretary as chairman.


    The other members are CEO of NITI Aayog and Secretary of the Department concerned.


    Also, all non-plan expenditure proposals involving expenditure of over Rs. 300 crore recurring or non-recurring, on a new service or for expansion of existing services will be required to be submitted to the CNE for appraisal.



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