Shut down one PSU, sell four others: NITI Aayog -Governance Now

Shut down one PSU, sell four others: NITI Aayog

The Aayog had earlier submitted a list of 74 sick and loss-making CPSEs for closing down and strategic sales

GN Bureau | July 21, 2016

#PSUs #NITI Aayog #CPSEs

NITI Aayog may recommend the closing down of one sick central public sector enterprise (CPSE). Four enterprises could be up for strategic disinvestment in the first phase of the government plan of shutting down and restructuring of loss-making state-owned companies, according to a news report published in The New Indian Express.

NITI Aayog has been given the task to identify CPSEs where the government should exit from management control, to the extent they should exit and what should be the mode of divestment.

The Aayog had earlier submitted a list of 74 sick and loss-making CPSEs for closing down and strategic sales. According to various news reports, the prime minister office (PMO) has directed Niti Aayog to prepare a cabinet note for the shutting down of the state-owned company. The government will examine the response from various stakeholders including trade unions before taking any final move.

Earlier, a group of secretaries in a presentation to Prime Minister Narendra Modi had said that the government should prepare a plan for exit from sectors like hotels, air services and travel agency. There are at least 16 CPSEs which are incurring losses regularly for the last three years, including Hindustan Cables Limited, Hindustan Papers Limited, and Richardson & Cruddas Limited.

The cabinet committee on economic affairs, in its meeting on January 6, 2016 had approved the closure of HMT Watches Limited, HMT Chinar Watches Limited and HMT Bearings Limited by offering an attractive VRS to its employees and disposal of movable and immovable assets.

Comments

Other News

Report of India’s G20 Task Force on Digital Public Infrastructure released

The final ‘Report of India’s G20 Task Force on Digital Public Infrastructure’ by ‘India’s G20 Task Force on Digital Public Infrastructure for Economic Transformation, Financial Inclusion and Development’ was released in New Delhi on Monday. The Task Force was led by the

How the Great War of Mahabharata was actually a world war

Mahabharata: A World War By Gaurang Damani Sanganak Prakashan, 317 pages, Rs 300 Gaurang Damani, a Mumbai-based el

Budget expectations, from job creation to tax reforms…

With the return of the NDA to power in the recently concluded Lok Sabha elections, all eyes are now on finance minister Nirmala Sitharaman’s full budget for the FY 2024-25. The interim budget presented in February was a typical vote-on-accounts, allowing the outgoing government to manage expenses in

How to transform rural landscapes, design 5G intelligent villages

Futuristic technologies such as 5G are already here. While urban users are reaping their benefits, these technologies also have a potential to transform rural areas. How to unleash that potential is the question. That was the focus of a workshop – “Transforming Rural Landscape:

PM Modi visits Rosatom Pavilion at VDNKh in Moscow

Prime minister Narendra Modi, accompanied by president Vladimir Putin, visited the All Russian Exhibition Centre, VDNKh, in Moscow Tuesday. The two leaders toured the Rosatom Pavilion at VDNKh. The Rosatom pavilion, inaugurated in November 2023, is one of the largest exhibitions on the histo

Let us pledge to do what we can for environment: President

President Droupadi Murmu on Monday morning spent some time at the sea beach of the holy city of Puri, a day after participating in the annual Rath Yatra. Later she penned her thoughts about the experience of being in close commune with nature. In a message posted on X, she said: