AP govt asks depts to trim expenses & adopt fiscal discipline

Faced with a resource crunch following the state's bifurcation, the Andhra Pradesh government has come out with a slew of measures to ensure fiscal discipline and financial prudence for the current financial year.
The N Chandrababu Naidu government issued instructions to ensure that adequate funds are available for taking up priority developmental programmes of the government.
The Government Order issued by the Finance Department yesterday is applicable to all departments of the secretariat, heads of departments, district collectors, district treasury officers, all universities, panchayat raj institutions, all local bodies, including municipalities, municipal corporations and PSUs universities and others.
The GO said posts would be created based only on absolute necessity and all the departments are advised to critically review the necessity of continuing permitted number of Outsourcing of Staff and see if the purpose can be served by reducing the number.

"In any case, no further sanction of outsourcing of support staff shall be proposed by the departments except when absolutely necessary," it said.
No proposal for abolition of existing revenue stream shall be entertained and a proposal which involves additional burden on exchequer shall not be permitted except when absolutely necessary.

The order stipulated that entertaining at government expenditure should be reduced to the "barest minimum" and all the departments are advised to observe economy in expenditure in holding conferences and meetings.
"Holding of meetings and conferences at 'Five Star Hotels' at State cost should be avoided except when absolutely necessary. All ministers, other dignitaries of Cabinet Rank and officials drawing salary of Rs 80,000 (fixed) only are permitted to travel by air in business class as per eligibility," said the GO, which added that no foreign visits at the cost of state exchequer will be allowed.

The ban on purchase of new vehicles ordered in 2005 would continue.