Schedule of Powers Indian Railways 2025
Schedule of Powers Indian Railways 2025
Contents
SOP updated including Amendment no. 51 dated 03.02.2025
SCHEDULE OF POWERS OF RAIL VIKAS NIGAM LIMITED
(Updated version of SOP issued vide No. C/Policy/Tender Cell dated 1.10.2009 duly embodying all amendments up to Amendment No. 51 dated 03.02.2025)
POWERS OF THE CHAIRMAN AND MANAGING DIRECTOR (CMD)
The Chairman and Managing Director is authorized to exercise in full all or any of the powers vested in the Board of Directors of the Company (as incorporated in the Articles of Association) for the management and administration of the Company except on matters as listed in Annexure-A which requires the approval of the Board of Directors and/or the Central Government. He will report to the Board of Directors salient features of all offers made/contracts signed by him.
1. The exercise of the powers delegated to the Chairman and Managing Director will be subject to:
- The provisions of the Companies Act, 1956;
- The Memorandum and Articles of Association of the Company;
- The relevant directives and instructions of the Central Government;
- The policies, rules, regulations and budgets as approved by the Board of Directors from time to time;
- The principles of financial propriety;
- Financial concurrence /consultation wherever required. In cases where there is a difference of opinion between the Director (Finance) and the Chairman and Managing Director, the latter will take appropriate decisions and implement them. If in any such case, considered to be of considerable importance and therefore the Director (Finance) require that it should be referred to the Board of Directors, the views of the finance branch shall be fully presented to the Board while referring the disputed case to them;
- The availability of funds in the sanctioned budget. The Chairman and Managing Director has full powers of re-appropriation of funds and he can also exceed the total provision of budget upto 10%, if required, subject to availability of funds, and its approval by the Board subsequently; and
- The General supervision and ultimate control by the Board of Directors.
2. The Chairman and Managing Director is authorized to sub-delegate any or all the powers he is vested with to Director (Finance)/Directors, Executive Directors, General Manager and other officers under him to facilitate speedy and efficient discharge of responsibilities entrusted to them.
3. If circumstance so warrant, to meet an emergency or within the ambit of operational necessity and efficiency, the Chairman and Managing Director may assume full powers of the Board or take a decision even in respect of any matter requiring the approval of the Board, but in such cases a report should be made to the Board and its post facto approval obtained at the earliest opportunity.
4. The Chairman and Managing Director is delegated full powers on behalf of RVNL to institute, conduct, intervene, defend, abandon or compound any suit, appeal, review, revision, writ petition or other proceedings by or against the Company or its employees or otherwise concerning the affairs of the Company in any court and/or quasi-judicial authorities, to refer any claims or demands by or against the Company to arbitration and observe and perform the awards, to sign and verify plaints, written statements, execution and other petitions, applications, affidavits, objections, memorandum of appeal or other pleadings to be filed before any judicial or quasi-judicial authorities or arbitrators to enforce judgment, execute any decree or orders of any judicial/quasi-judicial authorities or to satisfy the same and/or to realize or withdraw money from any court, persons or other authorities in execution of such decree or order and to sign vakalatnamas.
5. The Chairman and Managing Director is delegated full powers on behalf of RVNL to execute contracts, collaboration agreement(s), general/special instruments, including joint undertakings, service agreements/Bond(s), indemnity/guarantee Bond(s) and deeds in respect of or connected with sale/lease/license, mortgage, hypothecation, pledge or other deed(s) of a legal character of whatever description, Power(s) of Attorney, to enforce guarantee(s) or any other legal rights to incur legal expenses and to act as agent of the Company for any purpose whatsoever relating to the Company’s business.
6. The Chairman and Managing Director is authorized to form Selection Board/Committee and to make appointments to the posts created by the Board of Directors and to take such disciplinary actions as may be required under the policy of the Company.
Annexure-A
The following matters will require the sanction/approval of the Board of Directors and/or the Government:
I. Budget & Plans:
1. Five year and annual plans and capital budget of the Company;
2. Annual revenue budget of the Company, if any deficit is proposed to be met by obtaining funds from the Government; and
II. Any other long terms plans and programs of the Company.
III. Acquisition of Shares of Companies Acquisitions of shares, stocks or securities in or any Company or undertaking.
IV. Capital Estimates: Capital Estimates of projects for the Company (as distinct from projects of clients).
V. Personnel:
a) Important matters relating to formulation of policies in respect of creation of posts, recruitment, promotion, placement, deputation and other conditions of services and disciplinary action, leave, traveling allowances and other allowances, bonus, house rent, dearness and other allowances, other benefits, retirement benefits, etc. in respect of the personnel of the Company; and
b) All appointment of personnel who have attained the age of 60 years to posts at salary of more than Rs. 5,700/- p.m. in HPPC scale or at corresponding salary in IDA scales when formulated or above such salary as fixed by DPE guidelines from time to time except that appointments beyond the grade of Rs. 4500-5700 (IV Pay Commission Pay Scale) should be placed before the Board of Directors soon after such appointment.
VI. Write-off: The write-off of any item of stores, equipment, tools and plants and materials above the value of Rs. 20 Lakh in each case, and to write off of loss of cash above Rs. 1 Lakh in each case.
1. Any grant or donation or ex-gratia payment not covered under the recognized rules, over Rs.25000/- in each case;
2. The sale, lease or disposal otherwise of the whole of the undertaking of the Company;
3. The formation of a subsidiary Company;
4. Allotment of land to outside parties, unless it is in connection with operations of the Company and/or execution of a Project; and Any expenditure on an object which has not been previously recognized as a fit object of expenditure by the Company
More Information :
Click Here to Download SOP updated including Amendment in pdf
Here’s an up-to-date overview of the Indian Railways “Schedule of Powers” (SOP) as of March–June 2025—the official framework outlining how administrative and financial authority is delegated across various levels of the organization:
⚙️ 1. What Is the Schedule of Powers (SOP)?
- It’s a structured delegation matrix issued by the Railway Board, titled Model SOP 2025, with all correction slips up to March 24, 2025 incorporated. It empowers Zonal Railway General Managers, DRMs, department heads, and field officers with authority limits tied to works, medical, commercial, stores, establishment, and miscellaneous categories.
- The SOP consists of six core parts:
- Works
- Medical
- Stores
- Commercial (claims, fares, freight waivers)
- Establishment (staffing, posts, pay scale)
- Miscellaneous matters (instructions, IT systems, etc.)
📑 2. Key Points & Scope (2025 Revision Highlights)
- The latest consolidated SOP document includes updates and correction slips published up to March 24, 2025.
- Part E (Commercial Matters) allows DRMs to approve passenger fare refunds, demurrage waivers, and settlement of claims—within financial limits defined in this SOP.
- Railway Zones can adopt additional localized delegations respecting overall Railway Board ceilings, as long as financial adjudications follow the Railway Finance Code.
🔍 3. Examples of Delegated Powers
- General Managers (GM) can sanction major expenditures in station redevelopment, doubling work, or electrification—subject to revised ceilings (recently updated in February/March 2024) for Plan Head‑16 works.
- Chief Medical Officers (CMOs) and DRMs can approve medical expenditure, health facility upgrades, and staffing needs per consolidated SOP thresholds.
- DRMs are authorized to process small-claim refunds, prisoner travel cases, and minor fare waivers without having to pass approvals up the chain.
📊 Summary Table
| Authority Level | Key Powers |
|---|---|
| General Manager | Major works, policy-level approvals |
| PHOD / CHOD | Departmental permissions in works/stores/commercial |
| Divisional DRM / CWM | Day-to-day administrative & commercial decisions |
| Station Directors / Medical Heads | Routine approvals within Delegation limits |
| HR/Admin Officers | Staffing, establishment matters within module F & D |
✅ Why It Matters in 2025
- Ensures uniform governance across zones, with all updates included till March 24, 2025.
- Promotes decentralized decision-making—key for faster execution on projects and claims.
- Critical for compliance with the Railway Financial Code (Vol I)—especially regarding financial propriety in expenditure sanction.
Would you like a specific SOP excerpt—like fare refund powers for DRMs or work-contract approvals for GMs—or details on how individual zones (e.g. Eastern Railway, South Central Railway) have applied these delegated powers? I’m happy to retrieve or clarify particular sections!