Department of Posts Issues Addendum III: Major Enhancement of Financial Powers for Postal Officers
Based on Addendum III dated 09 June 2026 on Delegation of Financial Powers in the Department of Posts, here is a concise article suitable for circulation among Postal employees and officers.
Addendum III Enhances Financial Powers Across Department of Posts
The Department of Posts has issued Addendum III to the Delegation of Financial Powers framework, further strengthening administrative and financial autonomy at Circle, Regional, Divisional and Office levels. The order, issued by the Integrated Finance Wing on 09 June 2026, revises several expenditure items and introduces new financial powers aimed at improving operational efficiency and expediting decision-making.
The revised delegation significantly enhances powers available to Heads of Circles (HoCs), Heads of Departments (HoDs), Chief Postmasters, Superintendents and Senior Postmasters. Key additions include powers for settlement of old arrears of pay and allowances, reimbursement of medical expenses, contingent expenditure, procurement of office equipment, furniture, laptops, and execution of civil works.
Among the notable changes, HoCs can now sanction ad-hoc payment of arrears of pay and allowances up to ₹5 lakh where records are unavailable due to destruction or other circumstances. New provisions have also been introduced for rewards to postal employees, Gramin Dak Sevaks (GDS), and informers for exceptional service, courage, fraud detection and assistance in criminal cases.
The addendum also expands powers relating to office expenses, printing and publication, advertising and publicity, professional services, conveyance of mails, and negotiated procurement. Heads of Circles have been authorized to sanction substantial expenditure for construction and maintenance of postal buildings, addition and alteration works, and procurement of operational vehicles and ICT equipment, subject to prescribed conditions and financial limits.
At the divisional level, new powers have been delegated for medical reimbursement, non-recurring contingent expenditure, purchase of furniture and office equipment, emergency procurement of stationery, hiring of accommodation, minor civil and electrical works, and repair and maintenance of office assets. These measures are expected to reduce procedural delays and improve responsiveness to local operational requirements.
The revised delegation reflects the Department's commitment to decentralization, faster service delivery, improved infrastructure management, and greater administrative flexibility. By empowering field formations with enhanced financial authority, the Department aims to strengthen governance while ensuring adherence to financial rules, transparency, and accountability.
Key Highlights
- Medical reimbursement powers introduced for HoCs, HoDs and Divisional Heads.
- Higher limits for contingent expenditure and office administration.
- Enhanced powers for building construction, repairs and maintenance.
- Delegation for procurement of laptops and other ICT equipment.
- Expanded authority for mail conveyance contracts and emergency arrangements.
- New powers for rewards, write-off of losses, and negotiated procurement.
- Greater autonomy to Divisional Heads for local operational requirements.
The Addendum has been issued with the approval of the Secretary (Posts) under the provisions of the Delegation of Financial Powers Rules, 2024, and is expected to facilitate faster and more efficient functioning across the postal network.