Revised Estimates - GM Powers

 

Revised Estimates - GM Powers 

Source 1: Railway Board Letter 2023/F(X)-II/WP/2 dated 14.09.2023 - click here  

Source 2: Chapter 7 of Engineering Code 

When & How - RE - Revised Estimate is prepared - Para 708 E

• As soon as it becomes apparent,

• that the expenditure on a work is likely to exceed the amount (in Detailed Estimate) 

• A RE - Revised Estimate is prepared & 

• Submitted for sanction of the Competent Authority 

• In the Same form & the same degree of detail (as the Original Estimate) 

• Accompanied by a Comparative statement showing the excess or saving under each head of account.  

GM Powers - Sanction of Excess amount

Item	Price escalation	Other than  Price escalation	Remarks
RE - Revised Estimate	Full powers	Up to 20% of Original cost	MM - Material Modification - Up to Rs. 2.5 Crores in each case
M&P Estimates	Up to 100% of Original Estimate or Rs.2 Crores whichever is less	Up to 20% of Original cost or Rs.50 Lakhs whichever is less	MM - Material Modification - Above Rs.10 Lakhs each - Personal approval of GM and Personal approval of PFA
Lump sum Works	Full powers	Up to 20% of Original cost	Beyond permissible limits - Can sanction as long as the Revised cost is within the limit of powers of New Works under Lump sum category  Throw forward works - subject to re-appropriation within the sanctioned allotment
Survey Estimates	Up to 20% (if Original Estimate is sanctioned by Railway Board)		Subject to  Surveys are included in the Budget Followed approved yardsticks

Beyond GM Powers - Proposals sent to Railway Board - Check list as follows: 

• Personal approval of GM 

• Personal concurrence of PFA or PFA/C or FA&CAO/C

• Complete details of Revision  

• Variation Statement/MOD - Memorandum Of Differences 

• Explanation 

• Justification for increase/decrease in the scope of work and quantities 

Key points for MCQ : 

1. Beyond GM powers - Required of Personal approval of GM & Personal concurrence of PFA or FA&CAO/C  

2. MOD stands for Memorandum Of Differences 

3. RE stands for Revised Estimate 

4. DE stands for Detailed Estimates 

5. MM stands for Material Modification

6. Estimates - Chapter 7 of Engineering Code 

7. GM Powers: 

1. Revised Estimates - Price escalation - Full powers  

2. Revised Estimates - Other than Price escalation - Up to 20% of Original Cost. 

3. MM - Material Modification - Up to Rs. 2.5 Crores in each case  

4. M&P estimates - Price escalation -  Up to 100% of Original Estimate or Rs.2 Crores whichever is less 

5. M&P estimates - Otherthan Price escalation - Up to 20% of Original cost or Rs.50 Lakhs whichever is less 

6. Lump sum works - Price escalation - Full powers 

7. Lump sum works - Otherthan Price escalation - Up to 20% of Original Cost 

8. Survey estimates - Up to 20% (if Original Estimate is sanctioned by Railway Board)