Annexure I — DFPR

DFPR

Annexure-I (See Rule 8)
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) (A) Revenue Expenditure Object Class 1- Compensation to Employees 1. 01 Salaries It will include pay of the Government employees as defined under FR 9(21), honorarium to Government servant and stipend to interns. It will also include expenditure on emoluments and allowances of Heads of States and other high dignitaries including Sumptuary Allowance, salary payable to the staff of Departmental canteens and leave encashment on LTC. 2. 02 Wages It will include wages of labourers and of staff at present paid out of contingencies. 3. 05 Rewards It will include rewards under a scheme given to the Government employees in addition to their pay and allowances. It will also include payment of bonus and cash awards for Hindi Pratiyogita, etc. 4. 06 Medical Treatment It will include amount paid towards medical reimbursements /treatment of the Government employees/ pensioners. 5. 07 Allowances It will include as applicable the Dearness Allowance, House Rent Allowance, Transport Allowance, Foreign Allowance, Non Practicing Allowance, Deputation (Duty) Allowance, Personal Pay, Family Planning Allowance, Special Compensatory (Hill Areas) Allowance, Tribal Area Allowance, Hard Area Allowance, Headquarter Allowance, Overtime Allowance, Children Education Allowance, Reimbursement of Tuition Fee, Ration Allowance, Cost of Ration given in cash, Constituency Allowance, Uniform and Clothing Allowance, Entertainment Allowance, Project Allowance, Special Compensatory (Remote Locality) Allowance, Bad Climate Allowance, Washing Allowance, Special (Duty) Allowance, Night Duty Allowance, Risk Allowance, Sunderban Allowance, Cash Handling Allowance, Caretaking Allowance, Split Duty Allowance and any other allowance in addition to above which is payable to the Government employees in addition to their pay. 6. 08 Leave Travel Concession It will include air/rail/bus fare/fare of any other mode of transport entitled under LTC Rule. 7. 09 Training Expenses It will include expenditure on cost of training such as fees paid, contingencies, materials, etc., for participating in the training, workshops but exclude expenditure on domestic or foreign travel expenses. Object Class II-Social Security of Employees 8. 04 Pensionary Charges It will include all pensionary benefits including payment of pensions and gratuity in all forms to the Government employees, members of Parliament, freedom fighters, etc. It will also include contributions to service funds and contributory provident funds and payment of leave encashment at the time of retirement or death, termination of service, etc. It will also include Government’s contribution payable under National Pension System(NPS) for Government employees. This will, however, not include social security expenditure such as old age pension.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) Object Class III - Goods and Services 9. 11 Domestic Travel Expenses It will include travel expenses on official tours and transfers of the Government employees within India. This will also include expenditure on TA/ DA to non- official members on account of travel in India. It will also include transfer TA payable to pensioners at the time of retirement. 10. 12 Foreign Travel Expenses It will include expenses on official tours and transfers of the Government employees outside India. This will also include expenditure on TA/ DA to non- official members going on official tour abroad. 11. 13 Office Expenses It will include all recurring and non-recurring contingent expenses incurred for the maintenance of office establishment such as, stationery, postage charges, courier charges, telephone charges, internet charges, cable connection charges, electricity charges, water charges, service agreements, security, expenditure relating to hiring of retired Government servants on short term contract basis, outsourced office attendants, office assistants/ Data Entry Operators(DEO), house-keeping, liveries/uniforms, hot and cold weather charges, pest control, refreshment, books and periodicals, hospitality expenses including entertainment of foreign delegates, gifts and souvenirs and conferences/ seminars/workshops/meetings convened by office including all related expenses on study material/ kits, refreshments, study tours, etc. It will also include purchase of office equipment, furniture and fixtures not exceeding the threshold limit of one lakh rupees or three years of useful life, either of the two, as decided by the Government from time to time. The office equipment and furniture and fixtures exceeding the threshold limit as decided by the Government from time to time should be classified as ‘capital’ expenditure under the relevant Object Head ‘Machinery and Equipment’ and ‘Furniture and Fixtures’. Purchase of vehicles, however, irrespective of its usage (office or otherwise) should be classified as ‘capital’ expenditure under the relevant capital Object Head ‘Motor Vehicles’. 12. 14 Rent, Rates and Taxes for Land and Buildings It will include expenditure on rent for buildings (non-residential or residential or structures other than buildings), municipal rates and taxes and lease charges for rented land and buildings, the ownership of which is not transferable to Government. However, lease charges for land and buildings, the ownership of which is transferable to Government, will be classified as ‘capital’ expenditure under the relevant Object Heads ‘Land’ and ‘Buildings and Structures’. 13. 15 Royalty It will include expenses on royalties on patents, designs, trademarks, print, publishing, music, etc. 14. 16 Printing and Publication It will include expenses on printing of valuables, printing of audit and accounts reports, forms, stationery, office codes, manuals and other documents, newspaper and magazines including e-books, e-magazines, digital printing, pen drive, CD, etc., but exclude expenses on printing of publicity material which shall be classified under Advertising and Publicity.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 15. 18 Rent for others It will include expenses on rent for equipment and other various items like office equipment, transport, computer and ancillary equipment, communication equipment, air-conditioning, heating and refrigerating equipment, security equipment, broadcasting and recording equipment, construction equipment, agricultural equipment, horticultural equipment, medical equipment, furniture and fixtures. It will also include lease charges for equipment and other items, the ownership of which is not transferable to Government. However, lease charges for equipment and other items, the ownership of which is transferable to Government will be classified as ‘capital’ expenditure under the relevant Object Heads. 16. 19 Digital Equipment It will include expenses to be classified as revenue expenditure on procurement or development of hardware and software where the cost of individual item does not exceed the threshold limit of one lakh rupees or three years of useful life, either of the two as decided by the Government from time to time. The threshold limit will, however, not apply to the consumables like toner and cartridge for printer shall be classified under revenue expenditure. 17. 21 Materials and Supplies It will include expenses on various kinds of supplies, materials and stores etc., such as., medical supplies, educational supplies, agricultural supplies, livestock supplies, cleaning materials, hospital drugs and medicines, veterinary drugs, chemicals and fertilizers, lab supplies, spare parts, clothing and tentage.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 18. 22 Arms and Ammunition It will include revenue expenditure on arms and ammunitions on police and other paraestablishments. 19. 23 Cost of Ration It will include expenditure on procurement of ration provided to police and central armed police forces. 20. 24 Fuels and Lubricants It will include expenditure on petrol, oil, lubricants and other fuels like CNG, diesel, etc. 21. 26 Advertising and Publicity It will include expenses including commission to agents for sale and printing of publicity material on advertising and publicity through various media such as print media, TV media or outdoor media or Internet or mobile network or other audio-visual publicity or fairs and exhibition. 22. 27 Minor civil and electric Works It will include expenditure on repairs and maintenance of minor civil and electrical works of office buildings, residential buildings, other buildings and, expenditure on running operation and maintenance (ROM) of diesel genset, etc. maintained by the CPWD. 23. 28 Professional Services It will include expenses on engagement of professionals, consultants, artists, banks, etc., for providing services to the Government which include legal services, consultancy fees, audit fees, teaching and training Fees, payments to artists, remunerations to question setters or invigilators or guest speakers, payments to other departments for services rendered, payment or expenses to agencies for conducting departmental examination.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 24. 29 Repair and Maintenance It will include expenses on repair and maintenance (including all maintenance contract) of equipment such as machinery and equipment, office equipment, equipment for other functional use, digital equipment for office use, digital equipment for functional use, furniture and fixtures for office, furniture and fixtures for other functional use, vehicles (including motor vehicles and non-motor vehicles like bicycle, rickshaw, carts, trolleys and boat, etc., for office or functional use),infrastructural assets (It will include expenses on preventive, operating maintenance of Infrastructural assets other than minor civil and electrical works like lines, bridges, rolling stocks of railways, roads, highways, ports, ships, aircrafts, helicopters, radars, hovercrafts, airports or other infrastructures), tools and plants, arms and ammunitions, etc., but exclude expenditure on upgradation, midlife rehabilitation, retrofitting andor reconditioning. 25. 39 Bank and Agency charges It will include bank service charges, agency charges, MDR charges, direct benefit transfer charges to banks and any other charges for convenience fee performing monetary transactions. 26. 40 Awards and Prizes It will include expenses on awards and prizes given by the Government to the eminent persons and organisations. Object Class IV- Aid and Assistance 27. 31 Grants-in-aid - General It will include Grants-in-aid released for payments other than salaries and creation of capital assets. It will also include expenditure on welfare activities.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 28. 32 Contribution It will include the contributions made to international or national organisations related to membership. This will not include transfers made to autonomous bodies or PSUs or PSBs for corpus funds. 29. 33 Subsidies It will include subsidies released under various schemes of the Government. 30 34 Scholarships It will include the amount of scholarship released to various institutions or organisations or beneficiaries or individuals. 31. 35 Grants for creation of Capital Assets It will include Grants-in-aid released for payment for creation of capital assets. It will also include Viability Gap Funding (Expenditure on the projects run under Viability Gap Funding Scheme). 32. 36 Grants-in-aid - Salaries It will include grants-in-aid released for payment of salaries. 33. 37 Aid Material and Equipment It will include value of aid material and equipment transferred to Ministries or Departments or other Governments or organisations. It will also include grants given in kind to grantee bodies. Object Class V-Misc. Revenue Expenditure 34. 41 Secret Service Expenditure It will include expenses on secret services. 35. 44 Loss in Exchange It will include the loss due to difference in the rate of exchange of foreign currency in Indian rupees. The loss due to difference in the rate of exchange at the time of receipts loans from foreign resources and repayment thereof shall also be debited under this Object Head. 36. 45 Interest Payments It will include payment of interest on capital and discount on loans.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 37. 49 Other Revenue expenditure It will include payment out of discretionary grant, other discounts, fees and fines, custom duty compensation, commitment charges, notional value of gifts, re-imbursement of newspapers purchased or supplied to officer’s residence and purchase or re-imbursement of briefcase or ladies purse to Government servants’, etc. Any other expenditure which cannot be classified under any of these specified object heads will be debited to this head. It will also include expenditure in respect of schemes, sub-schemes or organisations not elsewhere classified. (B) Capital Expenditure (Assets) Object Class-VI-Non-Financial Assets (Fixed and Intangible Assets) 38. 51 Motor Vehicles It will include procurement of motor vehicles on road like buses, cars, trucks, motorcycles, irrespective of their usage. 39. 52 Machinery and Equipment It will include procurement of machinery and equipment (other than motor vehicles and ICT equipment), electrical and electronic equipment, medical appliances, precision and optical instruments, watches and clocks, musical instruments and sports goods etc., cost of which exceeds one lakh rupees or three years of useful life, either of the two, need to be booked under this head. 40. 71 Information, Computer, Telecommunications (ICT) equipment It will include procurement of information, computer, telecommunications (ICT) equipment such as computer hardware and telecommunications devices (computer/laptops, projectors, etc,) and computer software exceeding the threshold limit of one lakh rupees or 3 years of useful life, either of the two, electromagnetic spectrum which is used in the transmission of sound, data and television.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 41. 72 Buildings and Structures It will include office buildings, residential buildings, other buildings and structures like hospitals, laboratories, auditorium, light houses, shelters etc., public monuments like statues, fountains established at public places, and land improvement. 42. 73 Infrastructural Assets It will include procurement of infrastructural assets such as roads, bridges, tunnels, irrigation projects, power projects, sports infrastructure, water and sewage projects, railway assets, ships, ports, satellites, satellite launch vehicles, airports, aircrafts, motor boats, railway locomotives and rolling stock, other infrastructural projects (include cable lines, sewage systems, rain water harvesting, solar systems, telecom towers, transmission lines and electricity towers, etc). 43. 74 Furniture & Fixtures It will include expenditure on purchase of furniture and fixture exceeding threshold limit of one lakh rupees or three years of useful life, either of the two, for office use and functional use. 44. 75 Arms and Ammunitions (Capital) It will include procurement of arms and ammunitions of capital nature. 45. 76 Upgradation Procurement of Heritage Assets and n.e.c. It will include rehabilitation, overhaul, retrofitting of heritage asset recognised and recorded in the asset register at the nominal value of Rs. 1/- and upgradation ‘not elsewhere classified’. It will also include expenditure on procurement of items of fine art and of cultural and archaeological importance. 46. 77 Other Fixed Assets It will include procurement of other fixed assets like library books and publications, trees, crops and plants, whose natural growth and regeneration is under the direct control, responsibility and management of institutional units, non-motor vehicles like bicycle, rickshaw, cart, trolleys, boat, etc. 47. 78 Land It will include land consisting of the ground, land for office and residential building, including the soil covering and any associated surface waters (reservoirs, lakes, rivers and other inland waters over which ownership rights can be exercised). 48. 79 Nonproduced assets other than land It will include mineral and energy reserves located on or below the surface of earth including deposits under the sea like oil, natural gas, coal, metallic ores including ferrous, non-ferrous and precious metal ores), nonmetallic mineral reserves (including stone quarries, clay and sand pits, chemical and fertilizer mineral deposits, and deposits of salt, quarts, gypsum, natural gem stones, asphalts, bitumen, and peat), water resources, plants that yield both once-only and repeat products over which ownership rights are enforced but for which natural growth or regeneration is not under the direct control, responsibility, and management of any institutional units such as virgin forests and fisheries that are commercially exploitable. 49. 80 Intangible Assets It will include expenditure on copy right, patents, goodwill, intellectual property, etc. Object Class VII- Financial Assets 50. 54 Investment It will include investments made by the Government on purchase of shares and equity, investment in securities, investment in fixed and term deposits, and other investment.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 51. 55 Loans and Advances It will include loans and advances given by the Government. 52. 56 Repayment of borrowings It will include repayment of borrowings by the Government. 53. 57 Subscription It will include subscriptions made by the Government of capital nature. 54. 60 Other Capital expenditure It will include all other capital expenditure which cannot be classified any of the above capital object head. (C) Accounting Adjustments Object Class VIII-Accounting Adjustments 55. 43 Suspense It will include the amount kept under suspense heads for want of complete details for adjustment under final head of account. 56. 61 Depreciation It will include depreciation charged on the assets by commercial departments. 57. 62 Reserves It will include the provisions of reserves. 58. 63 Inter Account Transfers It will be used for transfer of amount from one head to another 59. 64 Writes Off of Losses It will include write off of irrecoverable loans, trading losses. 60. 69 Deduct Receipts It will include amounts paid from the receipt heads by adjusting as reduction in receipts. 61. 70 Deduct Recoveries It will be operated to adjust the overpayments in reduction of expenditure.
Note.-The expenditure on improvement/ up gradation of assets, which include rehabilitation, overhaul, retrofitting of assets and lease charges of land, buildings, equipment and other non-financial assets, the ownership of which is transferable to Government, will be booked under the object head class – Capital expenditure (Assets) against relevant assets.
Annexure – II (See Rule 12)
General Conditions for incurring expenditure (1) The powers delegated to the Departments of the Government of India are to be exercised by the issue of formal sanctions in the name of the President, such sanctions being authenticated by the officers authorised to do so under article 77 of the Constitution. (2) These powers are to be exercised subject to such rules, orders or restrictions issued by the Finance Ministry and other nodal Ministries / Departments from time to time and the financial limits being in accordance with provisions of General Financial Rules (GFR), Fundamental Rules & Supplementary Rules, economy instructions issued by Finance Ministry, Fiscal Codes and procedures and the limit being within the budgetary allocation for the year. (3) Expenditure, already incurred under an emergent situation by an authority in excess of its powers should be treated as irregular expenditure. Any irregular expenditure under emergent situations should be regularised by issue of an ex-post facto sanction with the concurrence of Financial Adviser and approval of Administrative Secretary. These powers should, however, not be exercised in respect of areas where powers vest with the Cabinet. (4) In so far as matters of expenditure are concerned, subordinate authorities can exercise the same financial powers in respect of capital expenditure as they can exercise in respect of revenue expenditure, except in case of those items where the powers may be specifically restricted to revenue expenditure by the Department of the Government of India concerned. (5) An officer appointed to perform the current duties of a post in addition to his own can exercise financial powers vested in the full-fledged incumbent of the post. (6) In exercising powers to sanction unusual expenditure, Departments of Government of India should exercise due care and restrict the growth of expenditure on new lines or new types of items. (7) Expenditure on legal charges shall ordinarily be incurred only with the previous consent of the Ministry of Law and Justice except for charges, the rates of which are notified by the Ministry of Law and Justice from time to time.
(8) The financial limits and guidelines for expenditure on conveyance hire would be in accordance with the extant instructions issued by Finance Ministry.
(9) Renting of buildings for office accommodation and residential purposes – Normally, Departments of Government of India are to take on rent, accommodation in consultation with Central Public Work Department/ Directorate of Estates/Ministry of Housing and Urban Affairs. Wherever general pool accommodations are provided by Ministry of Housing and Urban Affairs, renting may not be resorted to by the Departments. The reasonableness of rent, area of accommodation, period of hire is to be in accordance with the guidelines of Central Public Work Department / Directorate of Estates/Ministry of Housing and Urban Affairs. For renting of accommodation abroad for office and residential purposes, the ceilings of rent may be decided by Ministry of External Affairs in consultation with Financial Adviser of that Ministry.
(10) Land required for Government use shall be acquired in accordance with provisions mentioned in GFR and relevant rules and Act, as the case may be. However, the Departments of the Government of India may acquire land provided a separate budget is approved for this purpose. Such purchases would be subject to obtaining certificate from Central Public Work Department/Directorate of Estates/Ministry of Housing and Urban Affairs that there is no Central Government land available for this purpose. All purchases of land either with or without buildings from private party would be undertaken by the concerned Departments of Government only in consultation with Ministry of Housing and Urban Affairs / Central Public Work Department or the competent authorities of the concerned State Governments to determine the reasonableness of the price proposed to be paid for purchase of land.
(11) In order to derive the benefit of these delegations optimally, the Departments of the Government of India should not only make full use of the delegated powers but also further re-delegate powers to their subordinate organisations to match the latter’s requirements. A complete review of such re-delegations may be undertaken at least once in three years.
(ii) Problems to be addressed: This section should elaborate the problem to be addressed through the project/scheme at the local/regional/national level. Evidence regarding the nature and magnitude of the problems should be presented, supported by baseline data/survey/ reports etc.
(iii) Aims and Objectives: This section should indicate the development objectives proposed to be achieved, ranked in order of importance. The outputs/ deliverables expected for each development objective should be spelt out clearly.
(iv) Strategy: This section should present an analysis of alternative strategies available to achieve the development objectives. Reasons for selecting the proposed strategy should be brought out. Basis for prioritization of locations should be indicated (wherever relevant). Opportunities for leveraging government funds through public-private partnership or savings through outsourcing must be explored. This section should also provide a description of the ongoing initiatives, and the manner in which duplication can be avoided and synergy created with the proposed scheme/project.
(v) Target Beneficiaries: There should be clear identification of target beneficiaries. Stakeholder analysis should be undertaken, including consultation with stakeholders at the time of scheme/project formulation. Options regarding cost sharing and beneficiary participation should be explored and incorporated in the project. Impact of the project on weaker sections of society, positive or negative, should be assessed and remedial steps suggested in case of any adverse impact.
(vi) Legal Framework: This section should present the legal framework, if relevant, within which the scheme/project will be implemented, as well as the strengths and weaknesses of the legal framework in so far as it impacts on achievement of stated objectives.
Annexure-I to Appendix- III GENERIC STRUCTURE OF A DETAILED PAPER/DETAILED PROJECT REPORT
(i) Context/Background: This section should provide a brief description of the sector/subsector as well as the national strategy and policy framework. This section should also provide a general description of the scheme/project being posed for appraisal.
(vii) Environmental Impact: Environmental Impact Assessment should be undertaken, wherever required, and measures identified to mitigate the adverse impact, if any. Issues relating to land acquisition, diversion of forest land, wildlife clearances, rehabilitation and resettlement should be addressed in this section.
(viii) Technology: This section should elaborate on the technology choices, if any; evaluation of the technology options, as well as the basis for choice of technology for the proposed project.
(ix) Management: Responsibilities of different agencies for project management or scheme implementation should be elaborated. The organization structure at various levels, human resource requirements, as well as monitoring arrangements should be clearly spelt out.
(x) Finance: This section should focus on the cost estimates, budget for the scheme/project, means of financing and phasing of expenditure. Options for cost sharing and cost recovery (user charges) should be explored. Infrastructure projects may be assessed on the basis of the cost and tenor of the debt. Issues relating to project sustainability, includingstakeholder commitment, operation-maintenance of assets after project completion and other related issues should also be addressed in this section.
(xi) Time Frame: This section should indicate the proposed zero date for commencement and also provide a PERT/CPM chart, wherever relevant.
(xii) Cost Benefit Analysis: Financial and economic cost-benefit analysis of the project should be undertaken wherever such returns are quantifiable. Such an analysis should generally be possible for infrastructure projects, but may not always be feasible for public goods and social sector projects. Even in the case of latter, the project should be taken up for appraisal before the PIB and some measurable outcomes/deliverables suitably defined.
(xiii) Risk Analysis: This section should focus on identification and assessment of implementation risks and how these are proposed to be mitigated. Risk analysis could include legal/contractual risks, environmental risks, revenue risks, project management risks, regulatory risks, etc.
(xiv) Outcomes: Success criteria to assess whether the development objectives have been achieved should be spelt out in measurable terms. Base-line data should be available against which success of the project will be assessed at the end of the project (impact assessment). Similarly, it is essential that baseline surveys be undertaken in case of large, beneficiary-oriented schemes. Success criterion for scheme deliverables/outcomes should also be specified in measurable terms to assess achievement against proximate goals.
(xv) Evaluation: Evaluation arrangements for the scheme/project, whether concurrent, mid-term or post-project should be clearly spelt out. It may be noted that continuation of schemes from one period to another will not be permissible without a third-party evaluation.
Last but not the least, a self-contained Executive Summary should be placed at the beginning of the document. In cases where only a Concept Paper or Feasibility Report is attached to the EFC/PIB proposal, it should cover the main points mentioned in the generic structure above.

Annexure I — DFPR

DFPR

Annexure-I (See Rule 8)
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) (A) Revenue Expenditure Object Class 1- Compensation to Employees 1. 01 Salaries It will include pay of the Government employees as defined under FR 9(21), honorarium to Government servant and stipend to interns. It will also include expenditure on emoluments and allowances of Heads of States and other high dignitaries including Sumptuary Allowance, salary payable to the staff of Departmental canteens and leave encashment on LTC. 2. 02 Wages It will include wages of labourers and of staff at present paid out of contingencies. 3. 05 Rewards It will include rewards under a scheme given to the Government employees in addition to their pay and allowances. It will also include payment of bonus and cash awards for Hindi Pratiyogita, etc. 4. 06 Medical Treatment It will include amount paid towards medical reimbursements /treatment of the Government employees/ pensioners. 5. 07 Allowances It will include as applicable the Dearness Allowance, House Rent Allowance, Transport Allowance, Foreign Allowance, Non Practicing Allowance, Deputation (Duty) Allowance, Personal Pay, Family Planning Allowance, Special Compensatory (Hill Areas) Allowance, Tribal Area Allowance, Hard Area Allowance, Headquarter Allowance, Overtime Allowance, Children Education Allowance, Reimbursement of Tuition Fee, Ration Allowance, Cost of Ration given in cash, Constituency Allowance, Uniform and Clothing Allowance, Entertainment Allowance, Project Allowance, Special Compensatory (Remote Locality) Allowance, Bad Climate Allowance, Washing Allowance, Special (Duty) Allowance, Night Duty Allowance, Risk Allowance, Sunderban Allowance, Cash Handling Allowance, Caretaking Allowance, Split Duty Allowance and any other allowance in addition to above which is payable to the Government employees in addition to their pay. 6. 08 Leave Travel Concession It will include air/rail/bus fare/fare of any other mode of transport entitled under LTC Rule. 7. 09 Training Expenses It will include expenditure on cost of training such as fees paid, contingencies, materials, etc., for participating in the training, workshops but exclude expenditure on domestic or foreign travel expenses. Object Class II-Social Security of Employees 8. 04 Pensionary Charges It will include all pensionary benefits including payment of pensions and gratuity in all forms to the Government employees, members of Parliament, freedom fighters, etc. It will also include contributions to service funds and contributory provident funds and payment of leave encashment at the time of retirement or death, termination of service, etc. It will also include Government’s contribution payable under National Pension System(NPS) for Government employees. This will, however, not include social security expenditure such as old age pension.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) Object Class III - Goods and Services 9. 11 Domestic Travel Expenses It will include travel expenses on official tours and transfers of the Government employees within India. This will also include expenditure on TA/ DA to non- official members on account of travel in India. It will also include transfer TA payable to pensioners at the time of retirement. 10. 12 Foreign Travel Expenses It will include expenses on official tours and transfers of the Government employees outside India. This will also include expenditure on TA/ DA to non- official members going on official tour abroad. 11. 13 Office Expenses It will include all recurring and non-recurring contingent expenses incurred for the maintenance of office establishment such as, stationery, postage charges, courier charges, telephone charges, internet charges, cable connection charges, electricity charges, water charges, service agreements, security, expenditure relating to hiring of retired Government servants on short term contract basis, outsourced office attendants, office assistants/ Data Entry Operators(DEO), house-keeping, liveries/uniforms, hot and cold weather charges, pest control, refreshment, books and periodicals, hospitality expenses including entertainment of foreign delegates, gifts and souvenirs and conferences/ seminars/workshops/meetings convened by office including all related expenses on study material/ kits, refreshments, study tours, etc. It will also include purchase of office equipment, furniture and fixtures not exceeding the threshold limit of one lakh rupees or three years of useful life, either of the two, as decided by the Government from time to time. The office equipment and furniture and fixtures exceeding the threshold limit as decided by the Government from time to time should be classified as ‘capital’ expenditure under the relevant Object Head ‘Machinery and Equipment’ and ‘Furniture and Fixtures’. Purchase of vehicles, however, irrespective of its usage (office or otherwise) should be classified as ‘capital’ expenditure under the relevant capital Object Head ‘Motor Vehicles’. 12. 14 Rent, Rates and Taxes for Land and Buildings It will include expenditure on rent for buildings (non-residential or residential or structures other than buildings), municipal rates and taxes and lease charges for rented land and buildings, the ownership of which is not transferable to Government. However, lease charges for land and buildings, the ownership of which is transferable to Government, will be classified as ‘capital’ expenditure under the relevant Object Heads ‘Land’ and ‘Buildings and Structures’. 13. 15 Royalty It will include expenses on royalties on patents, designs, trademarks, print, publishing, music, etc. 14. 16 Printing and Publication It will include expenses on printing of valuables, printing of audit and accounts reports, forms, stationery, office codes, manuals and other documents, newspaper and magazines including e-books, e-magazines, digital printing, pen drive, CD, etc., but exclude expenses on printing of publicity material which shall be classified under Advertising and Publicity.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 15. 18 Rent for others It will include expenses on rent for equipment and other various items like office equipment, transport, computer and ancillary equipment, communication equipment, air-conditioning, heating and refrigerating equipment, security equipment, broadcasting and recording equipment, construction equipment, agricultural equipment, horticultural equipment, medical equipment, furniture and fixtures. It will also include lease charges for equipment and other items, the ownership of which is not transferable to Government. However, lease charges for equipment and other items, the ownership of which is transferable to Government will be classified as ‘capital’ expenditure under the relevant Object Heads. 16. 19 Digital Equipment It will include expenses to be classified as revenue expenditure on procurement or development of hardware and software where the cost of individual item does not exceed the threshold limit of one lakh rupees or three years of useful life, either of the two as decided by the Government from time to time. The threshold limit will, however, not apply to the consumables like toner and cartridge for printer shall be classified under revenue expenditure. 17. 21 Materials and Supplies It will include expenses on various kinds of supplies, materials and stores etc., such as., medical supplies, educational supplies, agricultural supplies, livestock supplies, cleaning materials, hospital drugs and medicines, veterinary drugs, chemicals and fertilizers, lab supplies, spare parts, clothing and tentage.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 18. 22 Arms and Ammunition It will include revenue expenditure on arms and ammunitions on police and other paraestablishments. 19. 23 Cost of Ration It will include expenditure on procurement of ration provided to police and central armed police forces. 20. 24 Fuels and Lubricants It will include expenditure on petrol, oil, lubricants and other fuels like CNG, diesel, etc. 21. 26 Advertising and Publicity It will include expenses including commission to agents for sale and printing of publicity material on advertising and publicity through various media such as print media, TV media or outdoor media or Internet or mobile network or other audio-visual publicity or fairs and exhibition. 22. 27 Minor civil and electric Works It will include expenditure on repairs and maintenance of minor civil and electrical works of office buildings, residential buildings, other buildings and, expenditure on running operation and maintenance (ROM) of diesel genset, etc. maintained by the CPWD. 23. 28 Professional Services It will include expenses on engagement of professionals, consultants, artists, banks, etc., for providing services to the Government which include legal services, consultancy fees, audit fees, teaching and training Fees, payments to artists, remunerations to question setters or invigilators or guest speakers, payments to other departments for services rendered, payment or expenses to agencies for conducting departmental examination.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 24. 29 Repair and Maintenance It will include expenses on repair and maintenance (including all maintenance contract) of equipment such as machinery and equipment, office equipment, equipment for other functional use, digital equipment for office use, digital equipment for functional use, furniture and fixtures for office, furniture and fixtures for other functional use, vehicles (including motor vehicles and non-motor vehicles like bicycle, rickshaw, carts, trolleys and boat, etc., for office or functional use),infrastructural assets (It will include expenses on preventive, operating maintenance of Infrastructural assets other than minor civil and electrical works like lines, bridges, rolling stocks of railways, roads, highways, ports, ships, aircrafts, helicopters, radars, hovercrafts, airports or other infrastructures), tools and plants, arms and ammunitions, etc., but exclude expenditure on upgradation, midlife rehabilitation, retrofitting andor reconditioning. 25. 39 Bank and Agency charges It will include bank service charges, agency charges, MDR charges, direct benefit transfer charges to banks and any other charges for convenience fee performing monetary transactions. 26. 40 Awards and Prizes It will include expenses on awards and prizes given by the Government to the eminent persons and organisations. Object Class IV- Aid and Assistance 27. 31 Grants-in-aid - General It will include Grants-in-aid released for payments other than salaries and creation of capital assets. It will also include expenditure on welfare activities.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 28. 32 Contribution It will include the contributions made to international or national organisations related to membership. This will not include transfers made to autonomous bodies or PSUs or PSBs for corpus funds. 29. 33 Subsidies It will include subsidies released under various schemes of the Government. 30 34 Scholarships It will include the amount of scholarship released to various institutions or organisations or beneficiaries or individuals. 31. 35 Grants for creation of Capital Assets It will include Grants-in-aid released for payment for creation of capital assets. It will also include Viability Gap Funding (Expenditure on the projects run under Viability Gap Funding Scheme). 32. 36 Grants-in-aid - Salaries It will include grants-in-aid released for payment of salaries. 33. 37 Aid Material and Equipment It will include value of aid material and equipment transferred to Ministries or Departments or other Governments or organisations. It will also include grants given in kind to grantee bodies. Object Class V-Misc. Revenue Expenditure 34. 41 Secret Service Expenditure It will include expenses on secret services. 35. 44 Loss in Exchange It will include the loss due to difference in the rate of exchange of foreign currency in Indian rupees. The loss due to difference in the rate of exchange at the time of receipts loans from foreign resources and repayment thereof shall also be debited under this Object Head. 36. 45 Interest Payments It will include payment of interest on capital and discount on loans.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 37. 49 Other Revenue expenditure It will include payment out of discretionary grant, other discounts, fees and fines, custom duty compensation, commitment charges, notional value of gifts, re-imbursement of newspapers purchased or supplied to officer’s residence and purchase or re-imbursement of briefcase or ladies purse to Government servants’, etc. Any other expenditure which cannot be classified under any of these specified object heads will be debited to this head. It will also include expenditure in respect of schemes, sub-schemes or organisations not elsewhere classified. (B) Capital Expenditure (Assets) Object Class-VI-Non-Financial Assets (Fixed and Intangible Assets) 38. 51 Motor Vehicles It will include procurement of motor vehicles on road like buses, cars, trucks, motorcycles, irrespective of their usage. 39. 52 Machinery and Equipment It will include procurement of machinery and equipment (other than motor vehicles and ICT equipment), electrical and electronic equipment, medical appliances, precision and optical instruments, watches and clocks, musical instruments and sports goods etc., cost of which exceeds one lakh rupees or three years of useful life, either of the two, need to be booked under this head. 40. 71 Information, Computer, Telecommunications (ICT) equipment It will include procurement of information, computer, telecommunications (ICT) equipment such as computer hardware and telecommunications devices (computer/laptops, projectors, etc,) and computer software exceeding the threshold limit of one lakh rupees or 3 years of useful life, either of the two, electromagnetic spectrum which is used in the transmission of sound, data and television.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 41. 72 Buildings and Structures It will include office buildings, residential buildings, other buildings and structures like hospitals, laboratories, auditorium, light houses, shelters etc., public monuments like statues, fountains established at public places, and land improvement. 42. 73 Infrastructural Assets It will include procurement of infrastructural assets such as roads, bridges, tunnels, irrigation projects, power projects, sports infrastructure, water and sewage projects, railway assets, ships, ports, satellites, satellite launch vehicles, airports, aircrafts, motor boats, railway locomotives and rolling stock, other infrastructural projects (include cable lines, sewage systems, rain water harvesting, solar systems, telecom towers, transmission lines and electricity towers, etc). 43. 74 Furniture & Fixtures It will include expenditure on purchase of furniture and fixture exceeding threshold limit of one lakh rupees or three years of useful life, either of the two, for office use and functional use. 44. 75 Arms and Ammunitions (Capital) It will include procurement of arms and ammunitions of capital nature. 45. 76 Upgradation Procurement of Heritage Assets and n.e.c. It will include rehabilitation, overhaul, retrofitting of heritage asset recognised and recorded in the asset register at the nominal value of Rs. 1/- and upgradation ‘not elsewhere classified’. It will also include expenditure on procurement of items of fine art and of cultural and archaeological importance. 46. 77 Other Fixed Assets It will include procurement of other fixed assets like library books and publications, trees, crops and plants, whose natural growth and regeneration is under the direct control, responsibility and management of institutional units, non-motor vehicles like bicycle, rickshaw, cart, trolleys, boat, etc. 47. 78 Land It will include land consisting of the ground, land for office and residential building, including the soil covering and any associated surface waters (reservoirs, lakes, rivers and other inland waters over which ownership rights can be exercised). 48. 79 Nonproduced assets other than land It will include mineral and energy reserves located on or below the surface of earth including deposits under the sea like oil, natural gas, coal, metallic ores including ferrous, non-ferrous and precious metal ores), nonmetallic mineral reserves (including stone quarries, clay and sand pits, chemical and fertilizer mineral deposits, and deposits of salt, quarts, gypsum, natural gem stones, asphalts, bitumen, and peat), water resources, plants that yield both once-only and repeat products over which ownership rights are enforced but for which natural growth or regeneration is not under the direct control, responsibility, and management of any institutional units such as virgin forests and fisheries that are commercially exploitable. 49. 80 Intangible Assets It will include expenditure on copy right, patents, goodwill, intellectual property, etc. Object Class VII- Financial Assets 50. 54 Investment It will include investments made by the Government on purchase of shares and equity, investment in securities, investment in fixed and term deposits, and other investment.
Sl.No. Code Object Head Description / Definitions (1) (2) (3) (4) 51. 55 Loans and Advances It will include loans and advances given by the Government. 52. 56 Repayment of borrowings It will include repayment of borrowings by the Government. 53. 57 Subscription It will include subscriptions made by the Government of capital nature. 54. 60 Other Capital expenditure It will include all other capital expenditure which cannot be classified any of the above capital object head. (C) Accounting Adjustments Object Class VIII-Accounting Adjustments 55. 43 Suspense It will include the amount kept under suspense heads for want of complete details for adjustment under final head of account. 56. 61 Depreciation It will include depreciation charged on the assets by commercial departments. 57. 62 Reserves It will include the provisions of reserves. 58. 63 Inter Account Transfers It will be used for transfer of amount from one head to another 59. 64 Writes Off of Losses It will include write off of irrecoverable loans, trading losses. 60. 69 Deduct Receipts It will include amounts paid from the receipt heads by adjusting as reduction in receipts. 61. 70 Deduct Recoveries It will be operated to adjust the overpayments in reduction of expenditure.
Note.-The expenditure on improvement/ up gradation of assets, which include rehabilitation, overhaul, retrofitting of assets and lease charges of land, buildings, equipment and other non-financial assets, the ownership of which is transferable to Government, will be booked under the object head class – Capital expenditure (Assets) against relevant assets.
Annexure – II (See Rule 12)
General Conditions for incurring expenditure (1) The powers delegated to the Departments of the Government of India are to be exercised by the issue of formal sanctions in the name of the President, such sanctions being authenticated by the officers authorised to do so under article 77 of the Constitution. (2) These powers are to be exercised subject to such rules, orders or restrictions issued by the Finance Ministry and other nodal Ministries / Departments from time to time and the financial limits being in accordance with provisions of General Financial Rules (GFR), Fundamental Rules & Supplementary Rules, economy instructions issued by Finance Ministry, Fiscal Codes and procedures and the limit being within the budgetary allocation for the year. (3) Expenditure, already incurred under an emergent situation by an authority in excess of its powers should be treated as irregular expenditure. Any irregular expenditure under emergent situations should be regularised by issue of an ex-post facto sanction with the concurrence of Financial Adviser and approval of Administrative Secretary. These powers should, however, not be exercised in respect of areas where powers vest with the Cabinet. (4) In so far as matters of expenditure are concerned, subordinate authorities can exercise the same financial powers in respect of capital expenditure as they can exercise in respect of revenue expenditure, except in case of those items where the powers may be specifically restricted to revenue expenditure by the Department of the Government of India concerned. (5) An officer appointed to perform the current duties of a post in addition to his own can exercise financial powers vested in the full-fledged incumbent of the post. (6) In exercising powers to sanction unusual expenditure, Departments of Government of India should exercise due care and restrict the growth of expenditure on new lines or new types of items. (7) Expenditure on legal charges shall ordinarily be incurred only with the previous consent of the Ministry of Law and Justice except for charges, the rates of which are notified by the Ministry of Law and Justice from time to time.
(8) The financial limits and guidelines for expenditure on conveyance hire would be in accordance with the extant instructions issued by Finance Ministry.
(9) Renting of buildings for office accommodation and residential purposes – Normally, Departments of Government of India are to take on rent, accommodation in consultation with Central Public Work Department/ Directorate of Estates/Ministry of Housing and Urban Affairs. Wherever general pool accommodations are provided by Ministry of Housing and Urban Affairs, renting may not be resorted to by the Departments. The reasonableness of rent, area of accommodation, period of hire is to be in accordance with the guidelines of Central Public Work Department / Directorate of Estates/Ministry of Housing and Urban Affairs. For renting of accommodation abroad for office and residential purposes, the ceilings of rent may be decided by Ministry of External Affairs in consultation with Financial Adviser of that Ministry.
(10) Land required for Government use shall be acquired in accordance with provisions mentioned in GFR and relevant rules and Act, as the case may be. However, the Departments of the Government of India may acquire land provided a separate budget is approved for this purpose. Such purchases would be subject to obtaining certificate from Central Public Work Department/Directorate of Estates/Ministry of Housing and Urban Affairs that there is no Central Government land available for this purpose. All purchases of land either with or without buildings from private party would be undertaken by the concerned Departments of Government only in consultation with Ministry of Housing and Urban Affairs / Central Public Work Department or the competent authorities of the concerned State Governments to determine the reasonableness of the price proposed to be paid for purchase of land.
(11) In order to derive the benefit of these delegations optimally, the Departments of the Government of India should not only make full use of the delegated powers but also further re-delegate powers to their subordinate organisations to match the latter’s requirements. A complete review of such re-delegations may be undertaken at least once in three years.
(ii) Problems to be addressed: This section should elaborate the problem to be addressed through the project/scheme at the local/regional/national level. Evidence regarding the nature and magnitude of the problems should be presented, supported by baseline data/survey/ reports etc.
(iii) Aims and Objectives: This section should indicate the development objectives proposed to be achieved, ranked in order of importance. The outputs/ deliverables expected for each development objective should be spelt out clearly.
(iv) Strategy: This section should present an analysis of alternative strategies available to achieve the development objectives. Reasons for selecting the proposed strategy should be brought out. Basis for prioritization of locations should be indicated (wherever relevant). Opportunities for leveraging government funds through public-private partnership or savings through outsourcing must be explored. This section should also provide a description of the ongoing initiatives, and the manner in which duplication can be avoided and synergy created with the proposed scheme/project.
(v) Target Beneficiaries: There should be clear identification of target beneficiaries. Stakeholder analysis should be undertaken, including consultation with stakeholders at the time of scheme/project formulation. Options regarding cost sharing and beneficiary participation should be explored and incorporated in the project. Impact of the project on weaker sections of society, positive or negative, should be assessed and remedial steps suggested in case of any adverse impact.
(vi) Legal Framework: This section should present the legal framework, if relevant, within which the scheme/project will be implemented, as well as the strengths and weaknesses of the legal framework in so far as it impacts on achievement of stated objectives.
Annexure-I to Appendix- III GENERIC STRUCTURE OF A DETAILED PAPER/DETAILED PROJECT REPORT
(i) Context/Background: This section should provide a brief description of the sector/subsector as well as the national strategy and policy framework. This section should also provide a general description of the scheme/project being posed for appraisal.
(vii) Environmental Impact: Environmental Impact Assessment should be undertaken, wherever required, and measures identified to mitigate the adverse impact, if any. Issues relating to land acquisition, diversion of forest land, wildlife clearances, rehabilitation and resettlement should be addressed in this section.
(viii) Technology: This section should elaborate on the technology choices, if any; evaluation of the technology options, as well as the basis for choice of technology for the proposed project.
(ix) Management: Responsibilities of different agencies for project management or scheme implementation should be elaborated. The organization structure at various levels, human resource requirements, as well as monitoring arrangements should be clearly spelt out.
(x) Finance: This section should focus on the cost estimates, budget for the scheme/project, means of financing and phasing of expenditure. Options for cost sharing and cost recovery (user charges) should be explored. Infrastructure projects may be assessed on the basis of the cost and tenor of the debt. Issues relating to project sustainability, includingstakeholder commitment, operation-maintenance of assets after project completion and other related issues should also be addressed in this section.
(xi) Time Frame: This section should indicate the proposed zero date for commencement and also provide a PERT/CPM chart, wherever relevant.
(xii) Cost Benefit Analysis: Financial and economic cost-benefit analysis of the project should be undertaken wherever such returns are quantifiable. Such an analysis should generally be possible for infrastructure projects, but may not always be feasible for public goods and social sector projects. Even in the case of latter, the project should be taken up for appraisal before the PIB and some measurable outcomes/deliverables suitably defined.
(xiii) Risk Analysis: This section should focus on identification and assessment of implementation risks and how these are proposed to be mitigated. Risk analysis could include legal/contractual risks, environmental risks, revenue risks, project management risks, regulatory risks, etc.
(xiv) Outcomes: Success criteria to assess whether the development objectives have been achieved should be spelt out in measurable terms. Base-line data should be available against which success of the project will be assessed at the end of the project (impact assessment). Similarly, it is essential that baseline surveys be undertaken in case of large, beneficiary-oriented schemes. Success criterion for scheme deliverables/outcomes should also be specified in measurable terms to assess achievement against proximate goals.
(xv) Evaluation: Evaluation arrangements for the scheme/project, whether concurrent, mid-term or post-project should be clearly spelt out. It may be noted that continuation of schemes from one period to another will not be permissible without a third-party evaluation.
Last but not the least, a self-contained Executive Summary should be placed at the beginning of the document. In cases where only a Concept Paper or Feasibility Report is attached to the EFC/PIB proposal, it should cover the main points mentioned in the generic structure above.

Annexure I — DFPR

Original Rule Text

Annexure I — DFPR

Original Rule Text