Real Estate Management in the Department of Posts

Standing Committee Report Summary

• The Standing Committee on Communications and Information Technology (Chair: Dr. Nishikant Dubey) presented its report on “Real Estate Management in the Department of Posts” on August 19, 2025.  The Estate Management Scheme is a central sector scheme to develop postal infrastructure, improve work environment in post offices, and improve delivery of postal services in a cost-effective way.  It is administered by the Department of Posts under the Ministry of Communications.  Key observations and recommendation of the Committee include:   

• Dependence on rental properties:  The Committee observed that many post offices and other related offices are housed in rented buildings.  There are 25,096 post offices operated by the Department of Posts, and 83% of these offices are functioning in rented buildings.  It noted that the total expenditure on rent is more than double the total funds allocated to scheme for developing postal infrastructure.  The Committee recommended the Department of Posts to: (i) construct low-cost postal infrastructure, and (ii) work with state governments to acquire vacant lands free of cost.

• Uneven distribution of newly constructed post office buildings:  The Committee noted that there are significant inequalities in the number of new buildings built across regions under the scheme.  States such as Assam, Gujarat, and Karnataka had the highest number of constructions while Haryana had no constructions.  It recommended the Department to undertake detailed examination of post office requirements in all areas. 

• Underutilised land assets:  The Committee noted that the Department holds 1,460 vacant plots, of which 276 plots are encroached.   The Committee recommended: (i) strict checking to prevent illegal encroachments, (ii) mitigation through local administration and police, and (iii) collaboration with state governments for constructive use of vacant plots.

• Monetisation strategy for assets:  The total land owned by the Department stands at 121 lakh square meters.  The Committee noted that highest land assets are present in states such as Maharashtra, Karnataka, and Gujarat.  Further, it noted that the Department has not conducted any exercise to determine the potential for market capitalisation.  It recommended the Department to: (i) seek experts to develop monetisation strategy for postal assets, and (ii) consider feasibility of monetisation of heritage buildings through measures such as digital exhibitions and guided tours.

• Infrastructure for women:  The Department of Posts has large number of female employees.  The Committee observed that there is a need to provide gender sensitive facilities such as separate ladies’ toilets and feeding rooms for lactating mothers.  It further noted a complete lack of feeding rooms in post office buildings in Punjab, Haryana, and Karnataka.  It recommended the Department to: (i) maintain region-wise data on infrastructure facilities available for women across regions, (ii) estimate the budget needed for creating such facilities, and (iii) set a timeline for their provision.  

• State of staff quarters:  The Committee noted that 97% of postal colonies are in need of major renovations and reconstructions.  It also noted a lack of funds for such projects.  It recommended: (i) prioritising funds for renovation and construction of staff quarters, and (ii) setting up dedicated units to monitor project completion within time.