Odisha CM against Nalco disinvestment plan

Odisha Chief Minister Naveen Patnaik today said there is no reason to go for disinvestment of Nalco, a Central Public Sector Enterprise under the Ministry of Mines.
"Nalco is a profit making CPSU. I think that disinvestment should not take place there," Patnaik told reporters on his return from the national capital.
The central government holds 80.93 per cent equity of Nalco which is a group 'A' CPSU having integrated and diversified operations in mining, metal and power with sales turnover of Rs 7,024 crore in 2013-14 fiscal.
Patnaik's comments came three days after the Centre shortlisted about a dozen PSUs including Nalco for stake sale to achieve the current fiscal's disinvestment target of Rs 41,000 crore.

Ruling BJD spokesman Amar Prasad Satpathy said, "We have been opposing divestment of NALCO and will continue to do so. We are unable to make out the motive behind divesting a profit-making company. Our party would oppose the decision and stage protest against it."
However, BJP state President KV Singhdeo said, "The Union Cabinet hasn't decided on anything like this. The BJD is misleading people. Let the Cabinet take a call on it, the state unit will make its stand clear then."

Left parties have also opposed Centre's plans with CPI leader Ramakrushna Panda saying that the party would unite all trade unions of NALCO and stage protests at various locations against the decision.

Meanwhile, the Indian National Trade Union Congress (INTUC), Odisha State Branch, today announced its plans of strongly opposing the proposal of disinvestment of Nalco.
"Our activists belonging to different trade unions will launch agitation in Nalco's factory and corporate office from tomorrow till the Centre withdraws its plan of disinvestment," INTUC leader Ramachandra Khuntia said.
Earlier, the Centre had disvested 12.5 per cent from Nalco equity. However, the NDA government's bid to disinvest Nalco in 2001 failed due to stiff opposition from different quarters. The UPA government in 2013, however, disinvested 6.57 per cent from Nalco leaving only 80.93 per cent equity with the government of India.

Khuntia claimed that as per an earlier decision, the Centre's stake in any of the PSUs should not be below 75 per cent. "If they disinvest 10 per cent from Nalco now, the equity share of Centre will come down to 70.83 which is against the earlier decision," he argued.