Assam govt aims 20% cut in fuel cost, 10% down in revenue expense

Assam govt aims 20% cut in fuel cost, 10% down in revenue expense

The Assam government has announced a sweeping set of austerity measures aimed at tightening public expenditure, improving fiscal discipline and enhancing revenue generation, with targets to reduce fuel expenditure by 20 per cent and cut revenue and establishment expenses by 10 per cent during the current financial year.

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Assam govt aims 20% cut in fuel cost, 10% down in revenue expense

The Assam government has announced a sweeping set of austerity measures aimed at tightening public expenditure, improving fiscal discipline and enhancing revenue generation, with targets to reduce fuel expenditure by 20 per cent and cut revenue and establishment expenses by 10 per cent during the current financial year.

The directives, issued through an executive order by Finance Commissioner and Secretary Jayant Narlikar, come against the backdrop of the prevailing crisis in West Asia and a call for greater fiscal prudence and administrative preparedness.

The order stated that the government intends to contain non-developmental expenditure while mobilising additional resources for priority schemes without affecting operational efficiency.

As part of the measures, the convoy size of the Chief Minister, ministers and senior officials will be reduced while maintaining security protocols. Inter-district movement of Central Armed Police Forces (CAPF) and Assam Police personnel will also be restricted, except in urgent law-and-order situations requiring prior government approval.

The government has also announced a six-month freeze on the purchase of new official vehicles and directed immediate scrapping of obsolete government vehicles. Departments have been instructed to minimise vehicle movement, promote carpooling and encourage the use of electric vehicles (EVs) and public transport.

In a major green mobility push, government departments will prioritise EVs while hiring vehicles. Incentives for public EV adoption and expansion of charging infrastructure are also in the pipeline. The Guwahati Municipal Corporation has been directed to transition towards a fully green public transport system, while municipal authorities across the state have been advised to adopt non-fossil fuel alternatives.

Official and private foreign visits by ministers and government officials have been deferred for six months unless required for national interest, medical or educational reasons, or immediate family matters abroad, subject to the Chief Minister’s approval.

Departments have also been instructed to avoid large physical meetings and shift to virtual platforms where possible. Official dinners, hospitality expenses, cultural programmes funded by the public exchequer and non-essential travel or training programmes have been discouraged.

The government further directed departments to conduct energy audits to reduce electricity wastage and called on municipal bodies to optimise power consumption, including reducing unnecessary streetlight usage.

To boost revenues, departments have been asked to revise user charges, licence fees, lease rents and service charges where feasible. Government infrastructure such as buildings and community halls constructed under various schemes may also be commercially utilised to generate additional income for the state.

The measures will remain in force until further orders, signalling a broader push by the Assam government towards fiscal discipline and expenditure rationalisation.

Edited By: Atiqul Habib
Published On: May 20, 2026
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