Pondy admn imposes 10 pc cut in non-plan expenditure

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Puducherry, June 25 (UNI) Faced with financial constraints, the Puducherry administration has decided to cut all wasteful expenditure by imposing a ten per cent cut on non-plan expenditure in the sanctioned budget for the Union Territory for 2008-09.

In a circular issued by K Sathyanarayana, the Budget officer here last week all heads of departments were adviced to impose a ten per cent restriction on overtime allowances (except in case of industrial establishments where OTA is granted due to statuatory obligation), domestic and foreign travel expenses, publications, professional service, advertising and publicity, office expenses, petroleum and lubricants and other administrative expenses.

Further a five per cent cut has been imposed on the remaining items of non plan expenditure, excluding salaries, interest payment, debt repayment, pensionary charges and power purchase.

A ban has also been imposed on purchase of new vehicles, conducting seminars and meetings in star hotels, curtailing of air travel, participation in conferences and meetings abroad at government expenses and ten per cent cut on telephones installed in the residences of officers, among other things.

The circular also advised that departments should ensure that no files for fresh financial commitments be sent to finance department for which funds were not provided for in the budget approved by the legislature.

It also informed that no increase in budgetary allocations under the heads of non-plan expenditure shall continue to be alowed at revised estimate stage, except under extra ordinary and compelling circumstances.

All the heads of the departments were asked to ensure that the non-plan expenditure was curtailed by a minimum of ten per cent out of the total budget allocation for the year 2008-09, the circular added.


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