In a major step to enhance service delivery and ensure the timely implementation of projects, schemes, and programs, the Odisha government has significantly increased the expenditure approval powers of the Chief Minister, Cabinet, ministers, and senior officials.
According to an Office Memorandum issued by the Finance Department, the Chief Minister and the State Cabinet can now approve expenditures up to Rs 100 crore for the purchase of materials, consultancy services, and outsourcing works.
The amendments have been made to the Delegation of Financial Powers Rules, 1978 (specifically Rules 10, 12, 13, 15, and 20), and will come into immediate effect. These changes will also raise spending limits for administrative departments and departmental heads, simplifying procedures and accelerating development work.
Under the new guidelines:
- Ministers can sanction up to Rs 50 crore for material procurement and Rs 10 crore for consultancy and outsourcing.
- Secretaries-level officers can approve Rs 20 crore for materials and Rs 5 crore for consultancy and outsourcing.
- Departmental heads can approve Rs 10 crore for materials and ₹1 crore for consultancy and outsourcing.
Administrative Department Secretaries have been granted full financial powers with no upper limit imposed.
For other senior officials, expenditure limits have been set as follows: Revenue Board members, PCCF, and DG/IG Police at Rs 80 lakh and Rs 4 crore respectively (as per category). RDCs and other departmental chiefs can approve between Rs 40 lakh and Rs 2 crore.
Additionally, departmental heads can now sanction:
• Up to Rs 15 crore for residential building construction
• Rs 24 crore for non-residential buildings
• Rs 10 crore for communication, irrigation, public health, and electricity services
• Rs 1.5 crore to ₹3 crore for sanitation works
• Rs 10 crore for drinking water supply
• Rs 1 crore for other miscellaneous expenditures
The revisions also include updates to loss write-off limits and other expenditure ceilings.
This administrative overhaul is expected to reduce delays in project execution and improve overall governance efficiency in the state.
