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Annexure III - EFC/PIB Timelines | KartavyaDesk

DFPR 1978delegation

Original Rule Text

(i) Decision on “in principle” approval, if required 2 weeks (ii) Preparation of a Detailed Paper/Detailed Project Report by the Administrative Ministry/Department and circulating the same along with draft EFC/PIB Memo. The time limit will vary depending on the nature of scheme and project. This is an internal matter of the Administrative Ministry/ Department concerned (iii) Appraisal Note and Comments to be offered on the DP/DPR and draft EFC/ PIB memo by Department of Expenditure, NITI Aayog and concerned Ministries/Agencies. 4 weeks (iv) Preparation of final EFC/PIB Memo based on comments received, and circulating the same for Appraisal and Approval 2 weeks (v) Fixing the date of EFC/PIB meeting after receiving the final EFC/PIB Memo 1 weeks (vi) Issue of minutes of EFC/PIB after the meeting has been held 1 weeks (vii) On-file approval of Administrative Minister and Finance Minister 2 weeks (viii) Submission for approval of the Cabinet/Committee of the Cabinet (for proposals above Rs. 1,000 crore) 2 weeks

What This Means

Annexure III of the Delegation of Financial Powers Rules, 1978, outlines the timelines for processing financial proposals that require approval from the Expenditure Finance Committee (EFC) or the Public Investment Board (PIB). These committees review significant government projects and schemes before they are submitted for higher-level approvals, including those from the Cabinet. This annexure sets deadlines for each stage of the approval process, from the initial 'in principle' decision to the final submission to the Cabinet, ensuring a structured and timely review process.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

  • •Specifies time limits for each stage of EFC/PIB proposal processing.
  • •Covers activities from initial approval to Cabinet submission.
  • •Involves multiple departments like the Administrative Ministry, Department of Expenditure, and NITI Aayog.
  • •Aims to streamline and expedite the approval process for major financial projects.
  • •Proposals exceeding Rs. 1,000 crore require Cabinet/Committee of the Cabinet approval.

Practical Example

The Ministry of Rural Development proposes a new rural electrification scheme costing Rs. 500 crore. According to Annexure III, the ministry has 2 weeks to get an 'in principle' approval. They then prepare a Detailed Project Report (DPR) and circulate it with a draft EFC memo. The Department of Expenditure, NITI Aayog, and the Ministry of Power have 4 weeks to offer their appraisal notes and comments. After incorporating the feedback, the Ministry of Rural Development has 2 weeks to prepare the final EFC memo and circulate it for approval. The EFC meeting date is fixed within 1 week, and the minutes are issued within 1 week after the meeting. Finally, the Administrative Minister and Finance Minister have 2 weeks for on-file approval.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

What is the purpose of Annexure III?▼
It provides a timeline for processing financial proposals requiring EFC/PIB approval, ensuring a structured and timely review process.
What happens if the timeline is not met?▼
While these are guidelines, delays can impact project implementation. Departments are expected to adhere to the timelines as much as possible and provide justifications for any deviations.
Who is responsible for adhering to these timelines?▼
All involved ministries and departments, including the Administrative Ministry, Department of Expenditure, NITI Aayog, and other concerned agencies, are responsible for meeting the stipulated deadlines.
What is the significance of the Rs. 1,000 crore threshold?▼
Proposals exceeding Rs. 1,000 crore require approval from the Cabinet or a Committee of the Cabinet, indicating a higher level of scrutiny and approval authority.
Where can I find the complete Delegation of Financial Powers Rules, 1978?▼
The official document is available on the website of the Ministry of Finance, Department of Expenditure or through relevant government circulars and notifications.

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Test Your Knowledge

Question 1 of 3

According to Annexure III of the Delegation of Financial Powers Rules, 1978, what is the stipulated time limit for the Department of Expenditure, NITI Aayog, and concerned Ministries/Agencies to offer appraisal notes and comments on the Detailed Project Report (DPR) and draft EFC/PIB memo?

Related Rules

Annexure IIDFPR 2024 - Annexure IIAppendix IDFPR 2024 - Appendix IRule 20DFPR 2024 - Rule 20 - (Expenditure from or incidence of charges on contingency fund of India)Rule 10DFPR 2024 - Rule 10 - (Re-appropriation)Rule 14DFPR 2024 - Rule 14 - (Insurance of Government property)

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