In a reform push, U.P. CM Yogi approves fivefold increase in the financial powers of PWD officers

Uttar Pradesh Chief Minister Yogi Adityanath on Friday (October 25, 2025) approved a five-fold increase in financial powers of Public Works Department (PWD) officers the first such revision in 30 years. The decision is aimed at granting greater autonomy to officers, reducing dependence on higher-level approvals, and expediting processes like tendering, contracting, and project execution.

“At a PWD review meeting, it was noted that financial powers were last revised in 1995, while construction costs have risen over 5.5 times since then, as per the Cost Inflation Index. CM Yogi said the revision was essential to improve administrative efficiency, ensure timely project execution, and uphold financial discipline. After detailed discussions, it was decided that the financial limits for civil works will be increased up to five times and for electrical and mechanical works at least two times,” reads an official statement. Mr. Adityanath stressed that the reform will enhance both transparency and accountability in departmental functioning.

In the revised structure, the Chief Engineer can now approve works up to ₹10 crores, up from ₹2 crores; the Superintending Engineer up to ₹5 crores, up from ₹ 1 crore; and the Executive Engineer up to ₹2 crores, up from ₹40 lakh. Assistant Engineers will also receive limited authority to approve tenders and minor works. Mr. Adityanath hoped that the reform will expedite projects, reduce delays in approvals, and ensure greater administrative efficiency, transparency, and accountability.

In the PWD division financial powers were last revised in 1995, “While construction costs have risen over 5.5 times since then, as per the Cost Inflation Index. The revision was essential to improve administrative efficiency, ensure timely project execution, and uphold financial discipline,” added the CM. The meeting also approved key amendments to the Uttar Pradesh Engineer Service (PWD) (Higher) Rules, 1990, restructuring the electrical and mechanical cadres. A new post of Chief Engineer (Level-1) has been created, while the number of Chief Engineer (Level-2) and Superintending Engineer positions has been increased.