The government’s austerity policy is under scrutiny

20-30 billion rupees are spent annually on government vehicles despite 50% austerity cuts

LAHORE:

Despite the Punjab government’s repeated announcements of austerity, including a 50% reduction in fuel expenditure and parking of unnecessary official vehicles, public doubts persist.

Citizens are wondering why large numbers of vehicles with green license plates are still visible on highways, outside offices and in cities if spending is really being cut.

Estimates from official and financial sources suggest that thousands of government vehicles are still on the road across Punjab. These are used by district administrations, police, health, education, provincial secretariat, development authorities and autonomous institutions. Maintaining this fleet costs billions per year, including fuel, maintenance, drivers, tires and general upkeep.

Official estimates put annual spending on fuel and maintenance at 20 to 30 billion rupees, although some reports suggest 50 million rupees, showing inconsistencies in the data. As part of the austerity drive, the government announced a 50% reduction in fuel allowances, limits on the use of non-essential vehicles and a halt to new purchases, claiming potential savings of 5-10 billion rupees per year, although the results are not yet visible on the ground.

Public opinion reflects a gap between policy and practice. A retired senior civil servant, speaking anonymously, said the system reflects a long-standing culture of privilege, with some civil servants using multiple vehicles.

“Real reform requires GPS tracking, digital logbooks, fuel audits and strict accountability, as political notifications alone are not enough without oversight. In many countries, top officials have limited transportation, unlike in Pakistan, where multiple vehicles are often assigned to a single post,” the citizen shared.

Financial expert Dr Qais Aslam estimated that significant savings could be made through centralized use of vehicles, shared transport pools, fewer official visits and increased use of virtual meetings. “Such measures could save billions per year rather than millions,” Dr Aslam stressed.

Learn more: Police ordered to cut fuel consumption by 33% as part of austerity drive

Public circles demand transparency, including disclosure of the total number of official vehicles, number of parked vehicles, fuel savings of departments and institutions that continue to spend high sums. Currently, no document provides consolidated figures, because vehicles are registered separately according to departments.

The government ordered that 50% of vehicles be pooled and suspended the purchase of around 300 to 400 new vehicles. However, implementation details have not been made public. Although some reductions took place in secretariat offices and during work from home periods, vehicles of operational departments such as police, health, engineering and district administration largely remained active.

The Punjab cabinet also approved only 10 new vehicles instead of the proposed 108, presenting this as an austerity measure. However, the continued visibility of official vehicles has raised doubts about the true scale of the cuts.

Under the Motor Transport Policy 2026, vehicle and fuel rights for senior civil servants have been defined. The Chief Secretary and Inspector General of Police are entitled to three vehicles, while officers of grades 21 and 22 can use two vehicles with fuel allowance for their personal and official use. 19th and 20th grade officers are entitled to 1,600 cc vehicles with 250 liters of fuel, and 17th grade officers to 1,500 cc vehicles with 175 liters of fuel per month.

Because ministries manage separate budgets, a unified spending figure is rarely published. However, with thousands of vehicles on the road, the cumulative cost of fuel, maintenance, personnel, insurance and replacement remains substantial.

Observers say there is a clear gap between official guidelines and the reality on the ground. If austerity measures are not applied equally, particularly to senior civil servants and ministers, public confidence will continue to decline. Effective reform will require strict monitoring, transparency and accountability.

Meanwhile, the Punjab Assembly has reported savings of more than 770 million rupees from its austerity measures, although the results at the provincial level remain unclear.

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