WITHDRAWAL
OF NAVRATNA STATUS FROM PSUs
LOK SABHA
There is no proposal under consideration to withdraw
the Navratna status of any particular PSE. However, the Government
has created an institutional mechanism for the review of the performance
of Navratna enterprises, grant of status of navratna to new CPSEs
and divestment of their Navratna status, as the case may be. An
Apex Committee has been constituted for this purpose for which
instructions have been issued on 15.3.2002. The format for reviewing
the performance of Navratnas PSUs has since been drawn up. All
the administrative Ministries/Departments have been asked to advise
the Navratna PSUs under their administrative control to complete
the format and forward it to the department of Public Enterprises
through the administrative Ministry/Department.
The Navratna status was given with a view to
delegate enhanced financial and operational powers to some select
PSUs that have comparative advantages with a view to support them
in their drive to become global giants. Periodically reviewing
performance of PSUs is an ongoing process. As a part of this process,
‘Maha Navratna’ status for large profit making PSEs has only been
discussed.
This information was given in the Lok Sabha today
by Shri Balasaheb Vikhe Patil, Minister of Heavy Industries and
Public Enterprises in a written reply to a question by Shri N.Janardhana
Reddy.
