Regulation 46 — Audit Regulations 2020
Original Rule Text
# 46. Responsibility for development of measurable objectives, performance indicators, and systems of measurement
The responsibility for the development of measurable objectives and performance indicators as also the systems of measurement rests with the Government departments or Heads of entities. They are also required to define intermediate and final outputs and outcomes in measurable and monitorable
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terms, standardise the unit cost of delivery and benchmark quality of outputs and outcomes.
What This Means
Government departments and heads of entities are responsible for developing measurable objectives and performance indicators for their programs and operations — not the CAG. They must also define intermediate and final outputs and outcomes in measurable and monitorable terms, standardize the unit cost of service delivery, and benchmark the quality of outputs and outcomes. This framework enables the CAG to effectively evaluate performance during audit.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Key Points
- 1Responsibility for developing measurable objectives and performance indicators lies with government departments, not CAG
- 2Outputs and outcomes must be defined in measurable and monitorable terms
- 3Unit cost of delivery must be standardized by the entity
- 4Quality of outputs and outcomes must be benchmarked
- 5This creates the framework against which performance audit assesses results
Practical Example
The Ministry of Skill Development launches a scheme to train 10 lakh youth annually. Under Regulation 46, the Ministry must define: measurable objectives (e.g., 80% placement rate), performance indicators (trained, certified, placed), unit cost benchmarks (Rs 15,000 per trainee), and quality standards (certification pass rate > 70%). When the CAG conducts a performance audit, these become the criteria against which the scheme is evaluated.
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.
Frequently Asked Questions
What if a department has not developed measurable indicators — can the CAG still conduct a performance audit?▼
Who decides the benchmark for quality of outputs?▼
This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.