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Department of Expenditure
OM No:1(2) – dated 7th May, 2003

Generic structure of the DPR

(i) Context/ background: This sec on should provide a brief descrip on of the sector/ sub-sector, the na onal
priority, strategy and policy framework as well as a brief descrip on of the exis ng situa on.
(ii) Problems to be addressed: This sec on should elaborate the problems to be addressed through the
project/ scheme at the local/ regional/ na onal level, as the case may be. Evidence regarding the nature and
magnitude of the problems should be presented, supported by the baseline data/ surveys/ reports. Clear
evidence should be available regarding the nature and magnitude of the problems to be addressed.

(iii) Project Objec ves: This sec on should indicate the Development Objec ves proposed to be achieved,
ranked in order of importance. The deliverables/ outputs for each Development Objec ve should be spelt
out clearly. This sec on should also provide a general descrip on of the project.
(iv) Target beneficiaries: There should be clear iden fica on of the target beneficiaries. Stakeholder analysis
should be undertaken, including consulta on with stakeholders at the me of project formula on. Op ons
regarding cost sharing and beneficiary par cipa on should be explored and incorporated in the project.
Impact of the project on weaker sec ons of the society, posi ve or nega ve, should be assessed and
remedial steps suggested in case of adverse impact.

(v) Project strategy: This sec on should present an analysis of alterna ve strategies available to achieve the
Development Objec ves. Reasons for selec ng the proposed strategy should be brought out. Involvement
of NGOs should be considered. Basis for priori za on of loca ons should be indicated (where relevant).
Op ons and opportunity for leveraging government funds through public-private partnership must be
given priority and explored in depth.

(vi) Legal Framework: This sector should present the legal framework within which the project will be
implemented and strengths and weakness of the legal framework in so far as it impacts on achievement of
project objec ves.
(vii) Environmental impact assessment: Environmental impact assessment should be undertaken, wherever
required and measures iden fied to mi gate adverse impact, if any. Issues rela ng to land acquisi on,
diversion of forest land, rehabilita on and rese lement should be addressed in this sec on.
(viii) On-going ini a ves: This sec on should provide a descrip on of ongoing ini a ves and the manner in
which duplica on will be avoided and synergy created through the proposed project.
(ix) Technology issues: This sec on should elaborate on technology choices, if any, evalua on of op ons, as
well as the basis for choice of technology for the proposed project.
(x) Management arrangements: Responsibili es of different agencies for project management and
implementa on should be elaborated. The organiza on structure at various levels as well as monitoring
and coordina on arrangements should be spelt out.
(xi) Means of Finance and Project Budget: This sec on should focus on means of finance, evalua on of
op ons. project budget, cost es mated and phasing of expenditure. Op ons for cost sharing and cost
recover (user charges) should be considered and built into the total project cost. Infrastructure projects
may be assessed on the based on the cost of debt finance and tenor of debt. Op ons for raising funds
through private sector par cipa on should be considered and built into project cost.

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