Railway Board worried over ‘uncontrolled’ use of funds

Identifying specific areas of ‘extravagant’ and ‘lavish spending’, the Ministry of Railways has written to the CAO/Construction of all Zonal Railways

The Ministry of Railways has expressed serious concern over the “uncontrolled” excess in estimates and spending of funds much beyond the sanctioned limit in the new line, gauge conversion and gauge doubling works in the country.

Identifying specific areas of “extravagant” and “lavish spending”, the Ministry has written to the Chief Administrative Officers (Construction) of all zonal railways, pointing out that loans were being taken for executing projects for which interest had to be paid, and therefore any change in the detailed estimate for the proposed projects should be “summarily rejected”.

The Railways spends thousands of crores of rupees every year for executing projects of new lines, gauge conversion and broad gauge doubling. The finding of the Railway Board is that revised estimates are submitted after expenses beyond the sanctioned limit are incurred.

Though repeated instructions were given to the Chief Administrative Officers that revised estimates should be submitted in time for approval by the competent authority and no contractual liabilities should be entered into till then, there were violations, leading to the “uncontrolled excess in the estimates over the sanctioned qualities”.

Blatant deviations

Some of the deviations identified by the Railway Board were raising of the embankment while laying of track to accommodate limited height subway/road under bridge, causing large variation in the cost of land acquisition as well as earth work.

Track centre, the spacing between tracks in doubling projects, were being kept more than what was prescribed , resulting in more land acquisition and cost. During investigation, it was found that the track centre, as prescribed by the Railway Board, was already available at the site, and there was no need for the additional spacing.

In the new line, gauge conversion and double line projects, passenger amenities like high level platforms were provided in excess of what was mandated in the detailed estimate. The Railway Board later issued instructions that the length of the platforms should be restricted to the longest plying/proposed train in the section.

Extravagant expenses

During scrutiny, it was observed that in a 29-km gauge doubling work, loop lines were laid more than what was required without the train traffic in the section being taken into account.

“Station buildings and other passenger amenities are being charged in an extravagant manner without the sanction of the detailed estimate and in much more quantity than to be provided as per rules,” B. K. Gupta, Executive Director (Projects), Railway Board, said in a note dated May 11, 2020.

Noting that funds were limited, he pointed out that funds under Extra Budgetary Resources (Institutional Financing) have also been tied up with loans on which interest is to be paid by the Ministry.

“Therefore, the tendency to provide facilities in an extravagant and lavish manner has to be severely curbed. Any change in detailed estimate should be summarily rejected unless extenuating circumstances are established for inclusion of revised facilities/higher standards at a later stage,” Mr. Gupta said.

Any violation of the instructions could lead to action against the officer responsible, said Mr. Gupta.

Source: The Hindu