Financial Powers Delegation in the Department of Posts (2025)
1. Overview of Financial Powers Delegation
The Government of India, Ministry of Communications, Department of Posts, has issued an Office Memorandum (OM) dated 28th March 2025, revising the Schedule of Financial Powers for officers across various levels. This revision aligns with the Delegation of Financial Power Rules (DFPR) 2024, replacing the earlier DFPR 1978. The updated guidelines ensure efficient financial management, transparency, and compliance with General Financial Rules (GFR), Procurement Manuals, and other regulatory frameworks.
Key stakeholders include:
- Heads of Circles (HOC)
- Heads of Department (HOD)
- Independent Directors
- Divisional Heads
The financial powers cover revenue and capital expenditures, subject to budget availability, procurement rules, and administrative approvals.
2. Key Financial Powers Delegated
A. Heads of Circles (HOC) & Heads of Department (HOD) – Schedule II-A
Financial Powers Include:
- Salaries & Wages: Full powers, subject to FR/SR rules.
- Pensionary Charges: Full powers.
Training Expenses:
- Domestic training: Up to Rs. 2 Lakh per case.
- Foreign training: Requires prior approval from higher authorities.
Office Expenses:
- Recurring contingent expenditure: Up to Rs. 2 Lakh (HOC) & Rs. 1 Lakh (HOD).
- Non-recurring expenses: Up to Rs. 5 Lakh (HOC) & Rs. 2 Lakh (HOD).
Outsourcing Services:
- Postal/RMS/MMS operations: Up to Rs. 20 Crore (for major circles) & Rs. 10 Crore (others).
Building & Infrastructure:
- Construction projects: Up to Rs. 10 Crore.
- Minor civil works: Up to Rs. 10 Lakh (Govt. buildings) & Rs. 5 Lakh (rented buildings).
Vehicle Procurement:
- Replacement of condemned vehicles: Full powers.
Conditions:
- IFA (Integrated Financial Advisor) consultation required for expenditures beyond specified limits.
No splitting of projects to bypass approval limits.
B. Independent Directors – Schedule II-B
Financial Powers Include:
- Salaries & Wages: Full powers.
- Training Expenses: Up to Rs. 2 Lakh (domestic).
Contingent Expenditure:
- Recurring: Up to Rs. 50,000 per month.
- Non-recurring: Up to Rs. 50,000 per case.
Renting of Accommodation:
- Office space: Up to Rs. 75,000/month (X-class cities).
- Residential: Up to Rs. 20,000/month (X-class cities).
- Minor Works: Up to Rs. 2 Lakh per case.
Conditions:
- Prior approval needed for foreign travel & high-value expenditures.
C. Senior DDG (PAF), GM (Finance), & Directors of Accounts – Schedule II-C
Financial Powers Include:
- Training Expenses: Up to Rs. 1 Lakh (Sr. DDG), Rs. 75,000 (GM Finance), Rs. 50,000 (DAP).
Outsourcing Services:
- Housekeeping & Security: Up to Rs. 75 Lakh (Sr. DDG).
- Data Entry Operators: Up to Rs. 50 Lakh (GM Finance).
ICT Equipment Procurement:
- Desktops/Laptops: Up to Rs. 20 Lakh (replacement).
Conditions:
- Mandatory IFA consultation for expenditures beyond Rs. 2 Lakh.
3. Important Conditions & Compliance Requirements
No Splitting of Projects: Prohibited to avoid higher approvals.
Contract Valuation: Total project cost considered, not individual components.
Procurement Rules: Must follow GFR 2017 & Departmental Guidelines.
Budgetary Control: Expenditure only within allocated funds.
Reporting: Quarterly statements for write-offs & loss compensations.
Keywords for Reference
- Financial Powers Delegation 2025
- Department of Posts DFPR 2024
- HOC & HOD Financial Limits
- Government Procurement Rules
- Postal Services Financial Authority
- Training & Outsourcing Expenditure
- Building & Infrastructure Sanctions
- IFA Consultation Requirements
This structured delegation ensures accountability, operational efficiency, and fiscal discipline across the Department of Posts. For full details, refer to the OM No. 6-2/2025-FA(P)
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