Delhi government officials have been banned to purchase new vehicles, unless the existing ones have to completed their lifecycle and cost under the Rs. 4.75 lakh mark.

Hindustan Ambassador Government Vehicle
Parameters for purchasing a new vehicle include fuel economy, eco-friendliness, etc.

Curbing unnecessary expenditures made by the officials and government staff, the Delhi government has announced a ban on purchase of new vehicles for all officials across all departments including the three municipal corporations of Delhi (MCDs) and the New Delhi Municipal Council. As per the new directive, the ban will be imposed until the existing vehicle purchased complete the required lifecycle and only then will the official be allowed to purchase a new vehicle that too which costs not more than Rs. 4.75 lakhs.

Officials can purchase a vehicle only through the DGS&D (Directorate General of Supplies and Disposals) rate contract mode and the entire purchase of the car will be considered on the parameters of fuel economy and eco-friendliness among others. The move by the Delhi government comes after the central government imposed a similar directive for all its ministries restricting the purchase of new vehicles.

The directive is part of the new expenditure ceiling policy that will see the government cut down costs on all fronts. Even the fuel expenditure on all government vehicles have been restricted to 200-litres per vehicle. With Rs. 4.75 lakhs at disposal, the Delhi government surely has a ton of choices on offer including hatchbacks, compact sedans and certain crossovers. While compact sedans seem to be the best bet for the officials, they might not fit in the price bracket easily.

Maruti DZire vs Hyundai Xcent vs Honda Amaze Shootout
Compact sedans will be viable option as new vehicles for government officials

Source – Economic Times