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Public sector enterprise BHEL may soon be given ‘Maharatna' status, a move that will allow it greater financial and operational autonomy, said Mr Praful Patel, Heavy Industries Minister, on the sidelines of an AIMA conference.
“The decision to award the status to BHEL is being examined and will be done shortly as the PSU is likely to fulfil the criteria soon,” said Mr Patel.
Clearing investments
The ‘Maharatna' concept was introduced in 2009 to allow PSU company board to clear investments up to Rs 5,000 crore without referring it back to the Government. The ‘Maharatna' firms are free to decide on investments up to 15 per cent of their net worth in a project. At present, there are four PSEs with this tag: ONGC, SAIL, NTPC and IOC.
The criteria for being selected are a three-year track record of annual net profit of over Rs 5,000 crore, net worth of Rs 15,000 crore and turnover of Rs 25,000 crore, besides being listed entities on the bourses.
Independent directors
The Department of Public Enterprises (DPE) will ensure that vacant posts of independent directors on the boards of PSUs will be filled up soon, said Mr Patel.
“Many PSUs have independent director posts vacant. The positions have to be filled up at the earliest and DPE will ensure that they are filled up with eminent people,” he said.
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