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Expenditure Reforms Commission submits sixth report

The Expenditure Reforms Commission on Tuesday submitted its sixth report suggesting reducing government spending in petroleum, chemicals and petrochemicals, steel and fertiliser ministries, through various means including downsizing of staff.

The ERC would cover a total 40 ministries and department by August this year from which a 'roadmap' would emerge for the government to control its overall expenditure, the commission's chairman K P Geethakrishnan told reporters after submitting his report to Finance Minister Yashwant Sinha.

"Our mandate is clear. We have looked at the activities and functioning of the departments. The end result would be downsizing, it is not the starting point," he said.

The government has implemented some of the recommendations of the commission including abolishing certain posts in department for economic affairs under finance ministry, and the budget announcements give a 'strong signal' of the government's intention to reduce expenditure, he said.

The ERC has so far submitted five reports covering areas like food and fertiliser subsidy, ministries of information and broadcasting, coal, economic affairs under finance ministry, SSI and heavy industry, department of post and civil supplies.

"We would hopefully cover 12 more ministries in the next report scheduled to be submitted next month while coming out with another report in August covering 12 more departments, the chairman said.

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