In a significant move aimed at streamlining administrative processes and accelerating development initiatives, Uttar Pradesh Chief Minister Yogi Adityanath has proposed raising the financial approval limit for projects at the ministry level to Rs 50 crore. This announcement was made during a review of the finance department's work, as per an official statement released on Friday.
New Three-Tier Approval Structure for Enhanced Efficiency
The chief minister emphasized that departmental ministers should now be empowered to grant financial approvals for projects costing up to Rs 50 crore, a substantial increase from the previous cap of Rs 10 crore. This revision is designed to reduce bureaucratic delays and fast-track the implementation of high-value projects across the state.
Hierarchical Clearance Mechanism for Larger Projects
For projects with higher financial outlays, a structured approval framework has been outlined:
- Projects valued between Rs 50 crore and Rs 150 crore will require clearance at the finance minister's level.
- Projects exceeding Rs 150 crore will need the direct approval of the chief minister.
This tiered system aims to ensure proper oversight while maintaining efficiency in decision-making processes.
Strict Timelines and Compliance Measures
Adityanath has directed all government departments to get their annual action plans approved by April 15. Departments failing to meet this deadline will be reported to the Chief Minister's Office, underscoring the administration's commitment to timely execution of development plans.
Additionally, the chief minister mandated that any project experiencing a cost escalation of more than 15 percent must undergo re-approval through the appropriate channels. This measure is intended to maintain fiscal discipline and prevent budget overruns.
Comprehensive Financial Reforms and Welfare Initiatives
During the review meeting, Adityanath discussed various aspects of fiscal management, including capital expenditure optimization, budget control mechanisms, digital financial reforms, treasury processes, and pension administration.
Key highlights from the discussion include:
- Timely payments to frontline workers: The chief minister stressed the importance of ensuring prompt honorarium payments to low-paid workers such as ASHA and anganwadi staff.
- Digital treasury transformation: The statement revealed plans to make all fund transfers completely paperless through a cyber treasury system by April 2026.
- Infrastructure maintenance provisions: Adityanath called for mandatory five-year maintenance clauses in contracts for new government buildings and proposed creating a corpus fund for the upkeep of older structures.
These comprehensive reforms demonstrate the Uttar Pradesh government's commitment to modernizing financial administration while prioritizing both development acceleration and social welfare.