Rule 179 of The General Financial Rules 2017 Engagement of Consultants
Original Rule Text
Visual Summary
Outlines fundamental rules for consultant engagement.
Applies to all Ministries and Departments.
Requires adherence to basic rules in this chapter.
Executive Summary
Rule 179 of The General Financial Rules, 2017, establishes the foundational principles for all Ministries and Departments concerning the engagement of consultants. While detailed instructions may be issued by individual departments, this rule mandates strict adherence to the core guidelines outlined within this chapter, ensuring consistency and proper governance in all consultancy procurements across the Central Government.
In-Depth Analysis of the Rule
Rule 179 serves as a critical introductory provision for the chapter on ‘Procurement of Services – Consulting Services’. It sets the overarching framework and emphasizes the importance of adhering to fundamental principles when engaging external consultants. This rule ensures that even with departmental autonomy in issuing detailed instructions, the core tenets of financial propriety and good governance are maintained.
Breakdown of the Rule:
- Fundamental Principles: The rule explicitly states that it contains the ‘fundamental principles’ for engaging consultants. This implies a set of core guidelines that are non-negotiable and form the basis for all subsequent detailed procedures.
- Applicability: These principles are applicable to ‘all Ministries or Departments’, highlighting the universal scope and the need for a standardized approach across the entire government.
- Departmental Instructions: It acknowledges that ‘Detailed instructions to this effect may be issued by the concerned Ministries or Departments’. This grants flexibility to individual entities to tailor procedures to their specific needs, provided they remain within the broader framework.
- Non-Contravention Clause: The crucial directive is that Ministries or Departments ‘shall ensure that they do not contravene the basic rules contained in this chapter’. This acts as a safeguard, preventing departmental instructions from undermining the foundational principles of consultant engagement.
Practical Example:
Imagine the Ministry of Health needs to hire a consultant for a public health campaign. While the Ministry has its own procurement manual, Rule 179 dictates that any specific procedures outlined in their manual for consultant selection (e.g., evaluation criteria, contract terms) must align with the fundamental principles laid out in the General Financial Rules, 2017. For instance, if the GFRs emphasize transparency and competitive bidding as fundamental principles for consultant engagement, the Ministry of Health’s detailed instructions cannot allow for arbitrary single-source selection without proper justification, even if their internal manual might otherwise permit it under certain conditions. Rule 179 ensures that the spirit of the GFRs is upheld.
Related Provisions
Rule 179 sets the stage for the detailed rules on consulting services. Other relevant provisions include:
- Rule 177 of The General Financial Rules, 2017 Consulting Service Definition: Defines what constitutes a consulting service.
- Rule 180 of The General Financial Rules, 2017 Identification of Services by Consultants: Details the process for identifying services requiring consultants.
- Rule 194 of The General Financial Rules, 2017 Single Source Selection Consultancy by Nomination: Outlines exceptional circumstances for single-source consultant selection.
Learning Aids
Mnemonics:
- Fundamental Principles Apply Departmentally, Not Contravene: Helps remember the core aspects of Rule 179 – Fundamental Principles, Apply Departmentally, Not Contravene.
Process Flowchart:
Multiple Choice Questions (MCQs)
1. What is the primary purpose of Rule 179 of The General Financial Rules, 2017?
- A) To provide detailed instructions for all types of procurement.
- B) To establish fundamental principles for engaging consultants.
- C) To define the financial limits for consulting services.
- D) To outline the process for single-source selection of consultants.
Show Answer
Correct Answer: B) To establish fundamental principles for engaging consultants.
2. To which entities do the principles of Rule 179 of The General Financial Rules, 2017 apply?
- A) Only to the Ministry of Finance.
- B) Only to departments with large procurement volumes.
- C) To all Ministries or Departments.
- D) To autonomous bodies only.
Show Answer
Correct Answer: C) To all Ministries or Departments.
3. What is permitted for Ministries or Departments under Rule 179 of The General Financial Rules, 2017, regarding consultant engagement?
- A) Issuing detailed instructions that can override basic rules.
- B) Deviating from fundamental principles if departmental needs require it.
- C) Issuing detailed instructions, provided they do not contravene basic rules.
- D) Engaging consultants without any specific guidelines.
Show Answer
Correct Answer: C) Issuing detailed instructions, provided they do not contravene basic rules.
4. What is the consequence if departmental instructions contravene the basic rules mentioned in Rule 179 of The General Financial Rules, 2017?
- A) The departmental instructions take precedence.
- B) The basic rules are considered superseded.
- C) The departmental instructions are invalid to the extent of contravention.
- D) The matter is referred to an external arbitration committee.
Show Answer
Correct Answer: C) The departmental instructions are invalid to the extent of contravention.
5. Rule 179 of The General Financial Rules, 2017, is part of which larger chapter?
- A) Procurement of Goods.
- B) Contract Management.
- C) Procurement of Services – Consulting Services.
- D) Inventory Management.
Show Answer
Correct Answer: C) Procurement of Services – Consulting Services.
Frequently Asked Questions
Q1: Does Rule 179 of The General Financial Rules, 2017, provide specific procedures for hiring consultants?
A1: No, Rule 179 lays down the fundamental principles. Detailed procedures are expected to be issued by individual Ministries or Departments, but these must not contradict the basic rules outlined in the chapter.
Q2: Can a Ministry create its own rules for consultant engagement that differ significantly from the General Financial Rules, 2017?
A2: While Ministries can issue detailed instructions, Rule 179 explicitly states that they “shall ensure that they do not contravene the basic rules contained in this chapter.” Any significant deviation from fundamental principles would be a violation.
Q3: What is the scope of Rule 179 of The General Financial Rules, 2017?
A3: Rule 179 applies to “all Ministries or Departments” of the Central Government, ensuring a consistent framework for consultant engagement across the board.
Key Takeaways
- Rule 179 establishes the fundamental principles for engaging consultants across all Central Government Ministries and Departments.
- It allows Ministries to issue detailed instructions but strictly prohibits contravention of the basic rules within the chapter.
- The rule ensures a standardized and compliant approach to consultant procurement, promoting good governance.
- It acts as a foundational safeguard, ensuring that departmental autonomy does not compromise core financial propriety.
Conclusion
Rule 179 of The General Financial Rules, 2017, is a concise yet powerful provision that underpins the entire framework for consulting services within the government. By mandating adherence to fundamental principles and preventing contradictory departmental instructions, it ensures that the engagement of consultants is conducted with integrity, transparency, and efficiency, safeguarding public funds and promoting accountability across all government operations.