Finance Dept conveys Capex ceilings for FY 2026–27

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• 03 Apr 2026

*April 21 deadline for BEAMS portal uploads *Early fund authorisation for CAPEX projects *DCs to finalise District Plans with MLAs

Jammu, Apr 02: The Jammu and Kashmir government has issued detailed guidelines and conveyed Capital Expenditure (Capex) ceilings to all departments, including District Capex, for the Budget Estimates 2026–27, aimed at ensuring timely authorisation, efficient utilisation, and outcome-driven implementation of development works across the Union Territory.

An office memorandum issued by the Finance Department has directed all Administrative Departments and District Development Commissioners (DDCs) to upload approved works and activities on the BEAMS portal as per the prescribed B12 statement, enabling the Finance Department to authorise 50 per cent of the allocated funds immediately for execution of development works. Departments and districts have been asked to complete the uploading by April 21, 2026.

The Finance Department has mandated that at least 70 per cent of the Capex allocation be utilised for completion of ongoing projects, while 30 per cent may be earmarked for new works. This measure aims to prevent resources from being spread thinly over multiple years, ensure the timely completion of projects, and avoid starting a large number of underfunded works. The timeline for completion of new works has been fixed between one and two years, extendable up to three years only in exceptional cases involving mega projects.

Departments have also been instructed to prioritise pending JPKCC projects and address funding gaps in languishing projects within the available ceilings. All spillover and ongoing works expected to be completed during 2026–27 or shortly thereafter shall be treated as the first charge on the Capex Budget.

Reinforcing outcome-based governance, departments have been directed to prepare Annual Plans clearly outlining measurable outcomes, including the number of works to be completed and the number of beneficiaries. The government said the focus must remain on public benefit rather than mere expenditure.

Strict financial discipline has been emphasised, with clear instructions that Capex funds shall not be diverted for revenue expenditure. Departments have also been advised against funding incomplete DPRs, such as projects lacking essential components like equipment, utilities, or infrastructure support. All Centrally Sponsored Schemes (CSS) and NABARD projects must reflect both Central and UT shares on the BEAMS portal to ensure complete financial transparency.

To streamline project execution, it has been made mandatory that land compensation, forest clearance costs, and utility shifting components be included in DPRs. Forest compensation, in particular, is to be requisitioned in one go to avoid delays. No deviation from the approved project scope or bill of quantities shall be permitted beyond prescribed limits, and executing agencies must upload pre-, during, and post-execution photographs on the PROOF application to ensure transparency and monitoring.

Administrative Departments and DDCs have been asked to review and rationalise previously uploaded works on BEAMS by eliminating non-priority or non-starter projects. Departments have been cautioned against the creation of any liability arising from unapproved or unauthorised works, with controlling officers held personally accountable for any such deviations.

The Finance Department has assured that funds under Centrally Sponsored Schemes will be released within one day of receiving mother sanctions and visibility on the PFMS portal, and that bills processed through Cyber Treasury will be pushed to PFMS within one day. Pending Capex bills that could not be uploaded due to time constraints at the close of the previous financial year will be given first charge in the 2026–27 budget.

For key infrastructure departments such as Public Works (R&B), Jal Shakti, Forest, and Power Development, the second instalment of funds will be released only upon full implementation of the Works Activity Monitoring System (WAMS), covering the entire project cycle from sanction to payment and monitoring.