This move is aimed at ensuring more efficient use of government resources and cutting unnecessary spending. As per the Ministry of Finance, even if an officer is given additional charge of another ministry, department, public sector undertaking (PSU), or autonomous body, they will not be allotted a second official vehicle. In other words, each entitled officer will be assigned only one official government car.
The government has directed all central ministries and departments to strictly implement the new policy. It has also instructed that unused government vehicles be parked in designated locations and not be used unnecessarily.
What's new in the order?
The order also makes it clear that central government officers will not be allowed to use vehicles belonging to PSUs, autonomous bodies, or quasi-government organizations. However, an exception has been made for official visits, allowing officers to use such vehicles when they are at the concerned organization for government work.
The Department of Expenditure stated that the order has been issued to strengthen the implementation of the guidelines released in September 2022. The new Office Memorandum has been circulated to all central ministries and departments to ensure uniform implementation across the Central Government's administrative framework.
Why has the government introduced this policy?
According to the government, the objective is to ensure the prudent use of public resources, prevent the allocation of multiple official vehicles to a single officer, and make the administrative system more transparent and efficient. The policy is expected to eliminate unnecessary duplication of government vehicles, reduce fuel and maintenance costs, and ensure better utilization of public funds.
The Central Government believes that the "One Entitled Officer, One Official Car" policy is a significant step toward better management of government resources. It is expected to curb the misuse of official vehicles while strengthening administrative accountability and financial discipline.
The recent directive issued by the Ministry of Finance (Department of Expenditure) enforces the "One Entitled Officer, One Official Car" policy.
Key Details of the New Directive
No Second Car for Additional Charge: Senior officers and bureaucrats who already have an allotted official staff car cannot be allotted a second government vehicle, even if they are given additional charge of another ministry, department, Public Sector Undertaking (PSU), or autonomous body.
Bar on PSU & Autonomous Body Vehicles: Central government officers are strictly prohibited from using vehicles belonging to PSUs, autonomous bodies, or quasi-government entities unless they are actively attending official duties or on an authorized tour at those specific organizations.
Custody of Unused Vehicles: Ministries and departments have been instructed to place surplus or unused vehicles in safe custody to prevent their unofficial deployment or misuse.
Strict Fuel and Usage Limits: The directive reinforces standard monthly caps on fuel usage (typically 250 liters/month per staff car) and mandates clear accountability for any extra usage.
Objectives Behind the Decision
Eliminate Duplication: Prevents senior officials from holding multi-vehicle fleets across different portfolios.
Curb Misuse & Public Spending: Aims to significantly reduce government expenditure on fuel, maintenance, and vehicle procurement.
Enforce Fiscal Discipline: Strengthens administrative efficiency and accountability across all central Union ministries.
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