General Financial Rules 2017 (GFR-2017) :  Amendment issued vide O.M. dated 10.07.2024

General Financial Rules 2017 (GFR-2017) :  Amendment issued vide O.M. dated 10.07.2024

General Financial Rules 2017 (GFR-2017) :  Amendment issued vide O.M. dated 10.07.2024

No.F.1/3/2024-PPD
Government of India
Ministry of Finance
Department of Expenditure
Procurement Policy Division

502, Lok Nayak Bhavan,
Khan Market, New Delhi,
10.07.2024

OFFICE MEMORANDUM

Subject: – Amendment in General Financial Rules, 2017.

It has been decided with the approval of Finance Minister to make following amendments in the General Financial Rules, 2017:

S. No. Existing Rule Amended Rule
1. Rule 133(1)
A Ministry or Department at its discretion may directly execute repair works estimated to cost up to Rupees Thirty Lakhs after following due procedure indicated in Rule 139, 159 & 160.
Rule 133(1)
A Ministry or Department at its discretion may directly execute repair works estimated to cost up to Rupees Sixty Lakhs after following due procedure indicated in Rule 139, 159 & 160.
2. Rule 133 (2)
A Ministry or Department may, at its discretion, assign repair works estimated to cost above Rupees thirty Lakhs and original/ minor works of any value to any Public Works Organisation (PWO) such as Central Public Works Department (CPWD), State Public Works Department, others Central Government organisations authorised to carry out civil or electrical works such as Military Engineering Service (MES), Border Roads Organisation (BRO), etc. or Ministry/ Department’s construction wings of Ministries of Railways, Defence, Environment & Forests, Information & Broadcasting and Departments of Posts, and Space etc.
Rule 133 (2)
A Ministry or Department may, at its discretion, assign repair works estimated to cost above Rupees Sixty Lakhs and original/ minor works of any value to any Public Works Organisation (PWO) such as Central Public Works Department (CPWD), State Public Works Department, others Central Government organisations authorised to carry out civil or electrical works such as Military Engineering Service (MES), Border Roads Organisation (BRQ), etc. or Ministry’ Department’s construction wings of Ministries of Railways, Defence, Environment & Forests, Information & Broadcasting and Departments of Posts, and Space etc.
3.

Rule 133 (3)
As an alternative to 133(2), a Ministry or Department may award repair works estimated to cost above Rupees thirty Lakhs and original works of any value to:

  • any Public Sector Undertaking set up by the Central or State Government to carry out civil or electrical works or
  • to any other Central/ State Government organisation/ PSU which may be notified by the Ministry of Housing and Urban Affairs (MoHUA) for  such purpose after evaluating their financial strength and technical

For the award of work under this sub­ rule, the Ministry/ Department shall ensure competition among such PSUs/           Organisations. This competition shall be essentially on the lump sum service charges to be claimed for execution of work.

In exceptional cases, for award of work under (i) and (ii) above, on nomination basis, the conditions contained in Rule 194 would apply. The work under these circumstances shall also be awarded only  on the basis of lump sum service charge.

Rule 133 (3)
As an alternative to 133(2), a Ministry or Department may award repair works estimated to cost above Rupees Sixty Lakhs and original works of any value to:

  • any Public Sector Undertaking set up by the Central or State Government to carry out civil or electrical works or
  • to any other Central/ State Government organisation/ PSU which may be notified by the Ministry of Housing and Urban Affairs (MoHUA) for  such purpose after evaluating their financial strength and technical competence.

For the award of work under this sub­ rule, the Ministry/ Department shall ensure competition among such PSUs/ Organisations. This competition shall be essentially on the lump sum service charges to be claimed for execution of work.

In exceptional cases, for award of work under (i) and (ii) above, on nomination basis, the conditions contained in Rule 194 would apply. The work under these circumstances shall also be awarded only on the basis of lump sum service charge

4. Rule 139:
Procedure for Execution of Works. The broad procedure to be followed by a Ministry or Department for execution of works under its own arrangements shall be as under: –

(iv) Open tenders will be called for works costing Five lakh to Rs.Thirty lakh;

(v) limited tenders will be called for works costing less than Rupees five  lakhs

Rule 139:
Procedure for Execution of Works. The broad procedure to be followed by a Ministry or Department for execution of works under its own arrangements shall be as under: –

(iv) Open tenders will be called for works costing Ten lakh to Rs. Sixty lakh;

(v) Limited tenders will be called for works costing less than Rupees Ten  lakhs

5.

Rule 149:
Government e-Marketplace  (GeM). Government of India has established the Government e-Marketplace (GeM) for common use Goods and Services. GeM SPV will ensure adequate publicity including periodic advertisement of  the  items to  be procured through GeM for the prospective suppliers. The Procurement of Goods and Services by Ministries or Departments will be mandatory for Goods  or Services available on GeM. The credentials of suppliers on GeM shall be certified by GeM SPV. The procuring authorities will certify the reasonability of rates. The GeM portal shall be utilized by the Government buyers for direct on­ line purchases as under:

(i) Up to 25,000/- through any of the available suppliers on the GeM, meeting the requisite quality, specification and delivery period.

Note: In case of automobiles, procurement under this sub-rule is permitted without any ceiling limit.

(ii) Above Rs.25,000/- and up to Rs.5,00,000/- through the GeM Seller having lowest price amongst the available sellers, of at least three different manufacturers, on GeM, meeting the requisite quality, specification and delivery period. The tools for online bidding and online reverse auction available on GeM can be used by the Buyer even for procurements less than Rs. 5,00,000.

(iii) Above Rs.5,00,000/- through the supplier having lowest price meeting the requisite quality, specification and delivery period after mandatorily obtaining bids, using online bidding or reverse auction tool provided on GeM.

Rule 149:
Government e-Marketplace (GeM). Government of India has established the Government e-Marketplace (GeM) for common use Goods and Services. GeM SPV will ensure adequate publicity including periodic advertisement of the items to be procured through GeM for the prospective suppliers. The Procurement of Goods and Services by Ministries or Departments will be mandatory for Goods or Services available on GeM. The credentials of suppliers on GeM shall be certified by GeM SPV. The procuring authorities will certify the reasonability of rates. The GeM portal shall be utilized by the Government buyers for direct on-line purchases as under:

(i) Up to Rs.50,000/- through any of the available suppliers on the GeM, meeting the requisite quality, specification and delivery period.

Note: In case of automobiles, procurement under this sub­ rule is permitted without any ceiling limit.

(ii) Above Rs.50,000/- and up to Rs.10,00,000/-  through    the GeM Seller having lowest price amongst the available sellers, of at least three different manufacturers, on GeM, meeting the requisite quality, specification and delivery period. The tools for online bidding and online reverse auction available on GeM can be used by the Buyer even for procurements less than Rs. 10,00,000/-.

(iii) Above Rs. 10,00,000/- through the supplier having lowest price meeting the requisite quality, specification and delivery period after mandatorily obtaining bids, using online bidding or reverse auction tool provided on GeM.

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