Panel to submit fresh MoU norms for CPSEs by August end

A Working Group on MoU guidelines for Central Public Sector Enterprises (CPSEs) had met on Thursday to finalise its recommendations, an official statement said.

The group was set up by the Department of Public Enterprises (DPE), Ministry of Heavy Industries & Public Enterprises in May to review and suggest measures to improve the MoU system.

Its mandate is to examine the desirability/possibility of different MoU formats for different sizes and categories of CPSEs including Maharatna and Navratna, examine the issue of the need for all CPSEs to be covered by the MoU, especially in its current format.

The group will also examine the current system of setting targets on five-point scale, examine the issues arising out of the Results Framework Document System of the Ministry/Departments and look into aspects of giving more operational flexibility to CPSEs/Administrative Ministry and the Task Force on MoU in the matter of target setting and performance evaluation.

Additionally, it will “look into organisational and other measures to strengthen the Task Force, and look into any other matter of relevance that the Working Group and DPE may consider appropriate for the empowerment and enhancement of performance of CPSEs”.

A final report is expected to be submitted to the Department of Public Enterprises by end-August. The Heavy Industry Ministry will then seek the approval of the Union Cabinet on the issue.

The Working Group is chaired by Mr P.G. Mankad, and has members such as Mr Anil Razdan, Mr Ajay Dua, Mr S.D. Kapoor, Mr Brijesh Mishra, Mr Amarjit Chopra, Director-General of SCOPE. The Convenor of the Group is Mr A.K. Sinha, Joint Secretary (DPE).

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