New Tender Policy Gives Gujarat Departments More Autonomy

The update, detailed in an order issued by Deputy Secretary P.M. Bhardva, marks a notable shift in how much autonomy senior department officials now have. The financial approval limit for departmental Secretaries, as well as Additional and Principal Secretaries, has been increased from ₹5 crore to ₹10 crore. This means they can now greenlight tenders up to ₹10 crore without additional clearance.

Previously, tenders falling between ₹5 crore and ₹10 crore required a two-step approval—first by the concerned department head, and then by the Finance Department’s Principal Secretary (Expenditure). With the revised threshold raised to ₹15 crore, such tenders no longer require clearance from the Finance Department, thus streamlining the approval process.

Before this change, any tender worth ₹10 crore or more had to be cleared by the Finance Department’s ACS or PS only. Now, that only applies to proposals that go beyond ₹15 crore. This indicates a significant decentralisation of financial powers. As a result, department heads can now approve tenders below ₹15 crore without referring the proposals to the Finance Department head.

This policy shift is expected to enhance administrative efficiency and expedite the procurement and tendering processes within government departments. It is noteworthy that if any department or government office needs to make a purchase or undertake development works, a proposal must be prepared and submitted to the Finance Department for approval.