CPWD receives budget from 2 different
Demands for Grants of the Ministry of UD&PA.
Demand No.82 UD Part of this Demand contains the
budget heads of 4216-UD (Plan) and 2216-Maintenance.
The budget available under this grant is for the construction and maintenance
of Government residential accommodation.
Demand No. 83 Public Works This demand includes the budget
heads for the construction and maintenance of all Government non-residential buildings,
budget for purchase of materials for ‘Stock’ and budget for Miscellaneous Public
Works Advances. The heads of account which are included in this demand for grants of Ministry of UD&PA is included are given at
Deposit and CSS Account Works
Besides the works for which budget
is provided for by the Central Government, CPWD also undertakes execution of works
on Deposit basis and on CSS account basis. In the former are the works pertaining
to autonomous bodies, educational institutions like IITs,
Universities etc. where the client department deposits whole or part of the sanctioned
amount with CPWD which is taken in our books and then expenditure is booked on the
project of the client from the money deposited. It may, however, be clarified that
the money deposited by the client is deposited by CPWD in the consolidated fund
of India and LOC for the actual funds demanded
is asked for from the CCA. No separate account is opened for this deposit however
the actual transactions are duly noted in the deposit register and the clients are
intimated of the deposits and expenditures every month.
In respect of CSS account this system
is now followed only for the works pertaining to the Cabinet Secretariat and the
Ministry of Defence. In this the expenditure on the
project is booked by CPWD first in suspense account and then the bill is raised
on the client in prescribed format against which payments are made by the client
and the suspense account is cleared. LOC for this is also given by CCA against assurances
given by the clients as to how much expenditure can be booked by the divisions against
From the trends that the department
has been observing it is seen that more and more clients of CPWD are those who are
not bound to get their works executed from the department but prefer to get it done
because of the expertise, reliability and transparent nature of our working.
The detailed procedure for preparation
of budget, allocation, re-appropriation etc. is given in detail in Chapter 50-56
of CPWD Manual Vol.-II.
Utilization of Funds
budget includes the budgets
of various other Ministries and the success of utilizing fully the available funds
depends upon the close interaction that takes place between the various Ministries,
Ministry of UD and CPWD. The detailed
procedure for inclusion of New Works of other Ministries in CPWD budget is given
in page 483 of CPWD Manual Vol.-II.
The budget allocation
for various heads of accounts are received by DG (W) and it is distributed
to various ADGs in the regions.
ADG’s in turn distribute the allocation to Chief
Engineers in their region. Chief Engineer
then distributes it to the Superintending Engineers and Superintending Engineer
(E) in the Zone.
Superintending Engineers and SE
(E) in turn distribute them to the Executive Engineers in their Circles.
Letter of Credit
In the PWD system of accounting,
Division is the basic accounting unit and the Executive Engineer is the only Engineering
Officer in CPWD to whom the cheque drawing power has
been given. The authority to issue
cheques is derived by him by the Letter of Credit (LOC)
issued in favour of his Division by the Chief Controller
of Accounts attached to the Ministry of UD&PA.
A Division derives its funds in
the following channels:
Budget allotment under different
heads of account incorporated in the Demands for Grants of Ministry of UD&PA
from which relevant portion has been allotted to it by the Superintending Engineer.
Deposits for various Deposit works
received by the Division.
Authorization to PAO, Ministry of
UD&PA by various other Ministries for charging the expenditure to the Heads
of Account operated by the respective Ministries.
Cash Settlement Suspense Account
operated by some of the Ministries.
The issue of LOC is centralized
in the office of the Chief Controller of Accounts in
wherein requests for LOC from the
Divisions of CPWD spread all over the country are processed.