Indian Government aims to bring all central ministries and departments under the paperless and faceless e-Bill system by March 2024 to curb corruption and ensure timely clearance of bills submitted by vendors and contractors. As of now, only 350 departments are on this system, which was launched by the Central Government during the 46th Civil Accounts Day in 2022.
E-Bill Processing System to Boost ‘Ease of Doing Business’
The e-Bill processing system is part of the Indian Government’s efforts to promote ‘Ease of Doing Business’ and the digital ecosystem in the country. It was announced during the Union Budget 2022-23 and is expected to streamline bill processing and reduce delays in payments. The move will also eliminate the need for physical copies of bills and reduce the carbon footprint.
The e-Bill system is designed to ensure transparency and accountability in the bill clearance process. The system integrates with the Public Financial Management System (PFMS) and the Goods and Services Tax Network (GSTN) to verify and process the bills submitted by vendors and contractors. The integration with PFMS and GSTN will also ensure that payments are processed within the stipulated timeframe, reducing the delays in bill clearance.
Benefits of the e-Bill System
The e-Bill system will bring a host of benefits to the Indian Government and vendors and contractors. The system will enable vendors and contractors to submit bills electronically, eliminating the need for physical copies of bills. This will reduce the cost and time associated with printing, handling, and storing physical bills.
Challenges and the Way Forward
The Indian Government’s move to bring all central ministries and departments under the e-Bill system is a significant step towards promoting the digital ecosystem in the country. However, the implementation of the e-Bill system is not without its challenges.
One of the main challenges is to ensure that all central ministries and departments adopt the e-Bill system and follow the paperless and faceless process. The Indian Government will need to invest in the necessary infrastructure and provide training to the departments to ensure that they are ready to adopt the e-Bill system.
