In the context of the announcement, in Union Budget 2016-17, regarding the elimination of the Plan and Non-Plan classification of expenditure after the current financial year, the Union Finance Ministry has issued comprehensive guidelines for appraisal and approval of schemes and projects.

The new guidelines empower the Union Ministries by allowing the Ministers to approve expenditure proposals of up to Rs 500 crore, as against the earlier limit of Rs 150 crore. This will help the Departments restructure their schemes in a framework that is independent of the Plan Non-Plan distinction.