CONTENTS - Central Public Works Department

SECTION 48
SECTION 48
SAVINGS, EXCESSES AND SUPPLEMENTARY DEMANDS
48.1 Surrenders of savings
(1) During the course of the financial year, it may be found that the expenditure under some of the
sub-heads is likely to be less than the provisions in the budget owing to one or more of the following
reasons:
(i) Actual postponement of expenditure.
(ii) Normal savings due to economy.
(iii) Normal savings due either to original overestimating or to the usual administrative causes, e.g.
casualties, non-receipt of A/A and E/S, non-availability of site, slow progress, non-availability
of architectural drawings, non-receipt of sanction from client department, objection from Ministry
of Defence etc.
(2) All anticipated savings noticed in a grant or allotment have to be surrendered by the Executive
Engineer concerned to his Superintending Engineer/Chief Engineer sufficiently in advance before
the close of the financial year. The surrenders should be made immediately the savings are foreseen
without waiting till the end of the year, unless these are required to meet increased expenditure
under some other unit or units which can definitely be foreseen at that time.
(3) No savings are to be held in reserve for meeting possible excesses in future.
48.2 Supplementary demands
Expenditure for which no provision has been made in the original Budget Estimates for the current
year cannot normally be incurred. If either owing to (i) an unforeseen emergency, or (ii) under-estimating
or insufficient allowance for factors leading to the increase in expenditure, excess expenditure on a
particular item of the budget estimate is inevitable, action may be taken for submission of an application
for allotment of additional funds by re-appropriation or supplementary grant, where it is not possible to get
funds by re-appropriation.
48.3 Appropriation Account
(1) All the grants are made in accordance with the sanctions accorded by the Parliament in the budget/
other sessions. As required by provisions of Article 114-116 of the Constitution, Appropriation
Account relating to the expenditure brought into account during a financial year is required to be
submitted to the Parliament. The Appropriation Account, thus, compares the total grants (original,
supplementary,etc.) made by the Parliament for any particular purpose with the actual expenditure
incurred by Government on that purpose. While making such comparison, explanations should be
given in the Appropriation Account for the variations between the final grant and the actual
expenditure under each sub-head, whether excesses or savings.
(2) The sub-heads in respect of which reason for variations both savings and excesses are required
to be included are as follows:
(a) If the variation in a sub-head exceeds Rs. 50 lakhs
All variations, both savings and excesses, irrespective of the percentage which the variation
bears to the sanctioned provision (original, or supplementary, or both taken together).
(b) If the variation in a sub-head does not exceed Rs. 50 lakhs
(i) Where the variation is an excess
All cases in which the excess exceeds 10% of the total sanctioned provision or Rs. 5 lakhs,
whichever is higher. The total sanctioned provision in this clause means the original provision
(if there is no supplementary provision), supplementary provision (if there is no original provision),
and original and supplementary provision taken together if they exist.
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