Govt to re-look at PSUs' miniratna tag

To assess whether miniratna PSUs continue to deserve the status, the Department of Public Enterprises of the Ministry of Heavy Industries & Public Enterprises has directed all administrative ministries and departments to re-examine this tag on these Central Public Sector Enterprises (CPSEs).

As per existing guidelines, ministries and departments are competent to grant Miniratna status to CPSEs under their administrative control that fulfill the criteria laid down for grant of miniratna status by DPE. The ministry also asked the departments to get the grant of miniratna status endorsed from it in future.

Currently, there are 67 companies that have been classified as mMiniratna by the DPE. According to the existing guidelines, companies that have been making profits continuously for three years, having positive net worth, non-dependent on budgetary support, not defaulting in repayments of loans and interest on loans etc are categorised as miniratna.

A few existing miniratna companies are Bharat Sanchar Nigam Limited (BSNL), Airport Authority of India, Indian Railway Catering & Tourism Corporation Limited (IRCTC), National Fertilisers Limited, Rashtriya Chemicals and Fertilisers Limited, etc.

The DPE has asked to examine if the record of the last three years is in line with the aforementioned criteria or not. In case any of these Miniratna CPSEs does not fulfill the laid down criteria, the departments can issue order for divestment of Miniratna status. The ministries/departments have been asked to furnish a comprehensive report in this regard to DPE by Sunday.