About: Maharatna Scheme
About: Maharatna Scheme
- Maharatna scheme was introduced by the Government of India for Central Public Sector Enterprises (CPSEs) in May, 2010.
- Objective: To empower mega CPSEs to expand their operations and emerge as global giants.
- Under the scheme, a CPSE is accorded the status of “Maharatna” company when it meets certain eligibility criteria.
- Concerned Department: Department of Public Enterprises, Ministry of Finance
Eligibility Criteria:
- The CPSE meeting the following criteria can be proposed to be considered for Maharatna status:
Procedure for grant of Maharatna status:
- The proposal(s) for grant of Maharatna status should be initiated by the concerned Administrative Ministries/Departments tothe Department of Public Enterprises.
- The Department of Public Enterprises (DPE) would process the proposal(s) for consideration of the Inter-Ministerial Committee which is headed by the Secretary of DPE.
- After consideration of the Committee, the proposal would be processed for consideration of the Apex Committee headed by the Cabinet Secretary.
- The recommendations of the Apex Committee for grant of Maharatna status would be placed before the Union Minister of Heavy Industries for a decision.
Delegation of power to Maharatna CPSEs:
- The Board of a ‘Maharatna’ CPSE can make equity investments to:
- Undertake financial joint ventures and wholly-owned subsidiaries,
- Undertake mergers and acquisitions in India and abroad.
- This is subject to a ceiling of 15% of the Net Worth of the concerned CPSE, limited to Rs.5,000 crore in one project.
- Undertake financial joint ventures and wholly-owned subsidiaries,
- The Board can also structure and implement schemes relating to personnel and Human Resource Management and Training.
- They can also enter into technology Joint Ventures or other strategic alliances among others.
List of Maharatna CPSEs:
- With the addition of Power Finance Corporation Ltd (PFC), there are currently 11 Maharatna companies in India. These are:
- Bharat Heavy Electricals Ltd.,
- Bharat Petroleum Corporation Ltd.,
- Coal India Ltd.,
- GAIL (India) Ltd.,
- Hindustan Petroleum Corporation Ltd.,
- Indian Oil Corporation Ltd.,
- NTPC Ltd.,
- Oil & Natural Gas Corporation Ltd.,
- Power Grid Corporation of India Ltd.,
- Steel Authority of India Ltd.
- Power Finance Corporation Ltd (PFC)
- Bharat Heavy Electricals Ltd.,
Economics
You must log in to post a comment.