Lok Sabha Question No. 318 (STARRED), answered on 2022-08-08
Subject: Disinvestment of PSUs
Ministry: FINANCE
Asked by: V. Kalanidhi

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF PUBLIC ENTERPRISES

## LOK SABHA

## STARRED QUESTION No. 318*

## ANSWERED ON 08.08.2022

## Disinvestment of PSUs

## *318. DR. KALANIDHI VEERASWAMY:

Will the Minister of FINANCE be pleased to state:

- (a) the details of Maharatna, Navaratna and Miniratna public sector enterprises in the country at present;
- (b) the details of Maharatna, Navaratna and Miniratna public sector enterprises proposed for disinvestment during the current year;
- (c) the details of the profitable Maharatna, Navaratna and Miniratna public sector enterprises at present;
- (d) whether the Government has planned for sale of entire remaining stake in these enterprises even though they are profitable; and
- (e) if so, the details thereof and the reasons therefor?

## ANSWER MINISTER OF FINANCE (SMT. NIRMALA SITHARAMAN)

(a) to (e): A statement is laid on the Table of the House.

***

## STATEMENT REFERRED TO IN REPLY TO THE LOK SABHA STARRED QUESTION NO. 318 ON 'DISINVESTMENT OF PSUs' RAISED BY DR. KALANIDHI VEERASWAMY DUE FOR ANSWER ON 08.08.2022

(a): There are 11Maharatna ,13 Navratna and 74 Miniratna Central Public Sector Enterprises (CPSEs) at present in the country.

(b): The Government, since 2016, has given 'in-principle' approval for strategic disinvestment of 35 cases of CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs. Details along with 'Ratna' status are given in Annexure. Besides,  in  certain  CPSEs,  where the Government continues to retain control, disinvestment through minority stake sale is carried out through various  SEBI-approved  methods  such  as  Initial  Public  Offer  (IPO),  Offer  for  Sale  (OFS), Buyback of shares etc. from time to time based on prevailing market conditions and investor interest.

(c): As per the Public Enterprises Survey for the year 2020-21, 10 Maharatna, 11 Navratna and 62 Miniratna CPSEs have reported profit in FY 20-21.

(d)  &  (e):  In February  2021,  Government  notified New  Public  Sector  Enterprise  ('PSE') Policy for Atmanirbhar Bharat. The policy intends to minimize the presence of Government in the PSEs across all sectors of economy. Under New Public Sector Enterprise ('PSE') Policy public  sector  commercial  enterprises  are  being  classified  as  Strategic  and  Non-Strategic sectors. Four broad Strategic Sectors have been delineated based on the criteria of national security, energy security, critical infrastructure, provision of financial services and availability of important minerals. These include (i) Atomic Energy, Space and Defense; (ii) Transport and Telecommunication;  (iii)  Power,  Petroleum,  Coal  and  other  minerals;  and  (iv)  Banking, Insurance and Financial Services.

In  Strategic  sectors,  bare  minimum  presence  of  the  existing  public  sector  commercial enterprises  at  Holding  Company  level  is  to  be  retained  under  Government  control.  The remaining enterprises  in  a  strategic  sector  are  to  be  considered  for  privatization  or  merger /subsidiarization  with  another  PSE  or  for  closure.    PSEs  in  non-strategic  sectors  are  to  be considered for privatization, where feasible, otherwise such enterprises are to be considered for closure.

***

## Annexure referred to in part (b) of reply to Lok Sabha Starred Question No.318 due for answer on 08.08.2022

List of CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs and Banks for which Government has given 'in-principle' approval for strategic disinvestment since 2016.

## a) Ongoing Transactions being processed by DIPAM

|   Sl.No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs                                                                              | Ratna Status   |
|-----------|----------------------------------------------------------------------------------------------------------------------------------------------------|----------------|
|         1 | BEML Limited                                                                                                                                       | Miniratna      |
|         2 | The Shipping Corporation of India Limited                                                                                                          | Navratna       |
|         3 | HLL Lifecare Limited                                                                                                                               | Miniratna      |
|         4 | Project &Development India Limited                                                                                                                 | Miniratna      |
|         5 | Ferro Scrap Nigam Limited (subsidiary)                                                                                                             | Miniratna      |
|         6 | Indian Medicines Pharmaceuticals Corporation Limited                                                                                               | Miniratna      |
|         7 | Container Corporation of India Limited                                                                                                             | Navratna       |
|         8 | Rashtriya Ispat Nigam Ltd.                                                                                                                         | Navratna       |
|         9 | Nagarnar Steel Plant of NMDC Limited                                                                                                               | Navratna       |
|        10 | a. Bharat Petroleum Corporation Ltd (except Numaligarh Refinery Limited)@ b. BPCL stake in Numaligarh Refinery Limited to a CPSE strategic buyer $ | Maharatna      |
|        11 | Pawan Hans Limited                                                                                                                                 | Miniratna      |
|        12 | Central Electronics Limited (CEL)                                                                                                                  | ---            |
|        13 | Engineering Project (India) Limited                                                                                                                | Miniratna      |
|        14 | Bridge and Roof Co. India Limited                                                                                                                  | Miniratna      |
|        15 | Alloy Steel Plant, Durgapur^; Salem Steel Plant; Bhadrawati Steel Plant - units of Steel Authority of India Limited                                | Maharatna      |

## b) Transactions being processed by respective Administrative Ministries

|   Sl. No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs   | Ratna Status   |
|------------|-------------------------------------------------------------------------|----------------|
|         16 | Various Units of India Tourism Development Corporation Limited          | Miniratna      |
|         17 | Hindustan Antibiotics Limited                                           | ---            |
|         18 | Bengal Chemicals &Pharmaceuticals Limited                               | ---            |

## c) Transactions held up due to litigation

|   Sl. No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs   | Ratna Status   |
|------------|-------------------------------------------------------------------------|----------------|
|         19 | Karnataka Antibiotics &Pharmaceuticals Limited                          | ---            |

## d) Transactions halted as the CPSEs recommended / approved for closure; or any other reason

|   Sl. No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs   | Ratna Status   |
|------------|-------------------------------------------------------------------------|----------------|
|         20 | Hindustan Fluorocarbons Limited (subsidiary)*                           | ---            |
|         21 | Scooters India Limited*                                                 | ---            |
|         22 | Bharat Pumps &Compressors Limited*                                      | Miniratna      |
|         23 | Hindustan Prefab Limited                                                | ---            |
|         24 | Units of Cement Corporation of India Limited (Nayagaon Unit) #          | ---            |

## e) Transactions Completed

|   Sl. No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs   | Ratna Status   |
|------------|-------------------------------------------------------------------------|----------------|
|         25 | Hindustan Petroleum Corporation Limited                                 | Maharatna      |
|         26 | Rural Electrification Corporation Limited                               | Navratna       |
|         27 | HSCC(India) Limited                                                     | Miniratna      |
|         28 | National Projects construction corporation Limited                      | Miniratna      |
|         29 | Dredging Corporation of India Limited                                   | Miniratna      |
|         30 | THDC India Limited                                                      | Miniratna      |
|         31 | North Eastern Electric Power Corporation Limited                        | Miniratna      |
|         32 | Kamrajar Port Limited                                                   | Miniratna      |
|         33 | Air India **                                                            | ---            |
|         34 | Neelachal Ispat Nigam Limited (JV of four CPSEs and two State PSEs)     | ---            |

## f) Under Corporate Insolvency Resolution Process (CIRP) in NCLT

|   Sl.No . | Name of the CPSEs and/or Subsidiaries/ Units/ Joint Ventures of CPSEs   | Ratna Status   |
|-----------|-------------------------------------------------------------------------|----------------|
|        35 | Hindustan Newsprint Limited (subsidiary)***                             | Miniratna      |

***