NEW DELHI: The Union Ministry of Home Affairs (MHA) has launched budget exercise with respect to the demand for grant for year 2026-27, as the Controller of Accounts (Home) issued directives to all the departments functioning under it to prepare a detailed proposal for the Revised Estimate (RE) for the year 2025-26 and the Budget Estimate (BE) for the year 2026-27.
The directives have been given in anticipation of a soon-to-be-issued budget circular by the Ministry of Finance for forwarding demand with respect to actual expenditure to be incurred by the MHA for the financial year 2025-26 and the projected budgetary estimate for the year 2026-27, officials said.
It is to be noted that the last supplementary demand for grant is presented in Parliament by the Finance Minister during the Winter Session and the budget for the entire year is presented on February 1 every year.
In the communication to the each of the departments of the MHA, a copy of which is with this newspaper, the Controller of Accounts (Home) said, “To adhere to strict timelines, it is strongly advised that the budget allocations under Budget Estimates 2025-26 be carefully reviewed in light of expenditure trends, progress of works and related factors, so that realistic estimates may be prepared for inclusion in the proposals for Revised Estimate 2025-26 and the Budget Estimates 2026-27.”
The officials said that the directives have been issued in view of the general practice of presenting unrealistic demands in revised estimates and budget estimates every year, as concerns have been raised in the successive audit reports of the Public Accounts Committee (PAC).
“This has led to re-appropriation of funds arbitrarily, leading to avoidable infructuous expenditure,” another official said.
In the directives, the Controller of Accounts (Home) has asked the departments to keep in mind “certain points” while reviewing and finalising proposals for RE 2025-26 and BE 2026-27. He asked the departments to ‘prioritise activities and schemes and identify those which may be eliminated, downsized or merged with other schemes/activities”.
In the communication, it is further advised that they should take into account “past performance in achieving both physical and financial targets, as well as any bottleneck encountered” and undertake a thorough ground-level assessment to ensure accurate projections” under all heads of the expenses.
The departments, including those relating to the Central Armed Police Forces (CAPFs), Central Police Organisations (CPOs) and other subordinate officers, have been asked to submit their proposals along with detailed justification at the earliest, the officials said.