Bhubaneswar: In a significant move aimed at curbing indiscriminate hiring of external consultants, the Finance Department of the Odisha Government on Thursday issued a directive mandating prior approval from a high-level committee for the engagement of any consultant, PMU (Project Management Unit), TSU (Technical Support Unit), or similar entities in state departments and their subordinate bodies starting April 1, 2026.
The directive, issued via an Office Memorandum dated July 31, 2025, and signed by Chief Secretary Manoj Ahuja, emphasizes the need for departments to thoroughly assess their consultant requirements and submit proposals to the Finance Department for review. The decision aims to strike a balance between leveraging external expertise and ensuring effective utilization of in-house government capacity.
“It has been observed that in many cases, departmental dependence on consultants has grown disproportionately, leading to the underutilization of government staff,” the memorandum notes. The move follows concerns flagged in an earlier instruction issued by the then Chief Secretary in September 2019.
A high-level committee, chaired by the Chief Secretary and comprising the Development Commissioner-cum-ACS, Secretaries of the Finance, General Administration & Public Grievance, and the concerned departments, will now be responsible for approving the optimum number of consultants that can be engaged.
Importantly, no consultant—regardless of their designation—will be eligible for remuneration beyond April 1, 2026, without this committee’s approval, the memorandum clarified.
The step is expected to promote greater accountability, fiscal discipline, and encourage departments to build internal expertise rather than become overly reliant on external support.