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The Keralam government has significantly raised the expenditure ceiling for IT hardware procurement for its ministers and senior officials, a move that comes despite the state's stated emphasis on reducing overall government spending. The new limit allows for purchases up to ₹2 lakh per official, marking an increase from the previous cap of ₹1.5 lakh.
The Electronics and IT department issued the order announcing the revised ceiling on Thursday. This enhanced spending authority applies broadly to a range of high-ranking personnel, including Ministers, their private secretaries, officers holding various posts within the Secretariat, All India Service officers, and heads of departments and institutions across the state.
Special Secretary Seeram Sambasiva Rao of the Electronics and IT department signed the directive. He justified the hike by citing a "considerable increase" in the market rates for common IT hardware, which he noted has impacted procurement costs.
This rise, stems from a confluence of global economic factors. These include global price hikes, persistent inflationary pressures affecting various goods, and currency fluctuations that impact the cost of imported components.
Additionally, the directive pointed to escalating component costs, which are driven by the rapid evolution and increasing sophistication of emerging technologies. The combination of these elements made the previous ceiling impractical for current market conditions.
The earlier expenditure ceiling of ₹1.5 lakh had been fixed by a government order issued in 2023. This latest adjustment specifically addresses the procurement needs for high-level officials, allowing them more flexibility in acquiring necessary equipment.
For other government entities, including various departments, institutions, and public sector units, the state government had implemented a Centralised Procurement Rate Contract System (CPRCS) in 2018. This system was designed to streamline the purchase of items like computers, laptops, and printers for broader government use.
In 2019, the government further mandated that all such IT hardware procurement must occur exclusively through the CPRCS. This directive followed observations that some departments and institutions were continuing to bypass the centralised system and purchasing equipment directly, undermining cost-efficiency efforts.
", "gist": "The Keralam government has increased the expenditure ceiling for IT hardware procurement for ministers and senior officials from ₹1.5 lakh to ₹2 lakh. This move comes despite the state's emphasis on reducing spending, with officials citing rising market rates for technology components." }
