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Saturday, June 20, 2009

Govt Considers Divesting 10% In BHEL

Vilasrao Deshmukh, Minister for Heavy Industries, today presented the 100-day agenda for his ministry. Besides other things, he hinted at disinvestment in various public sector undertakings. He also expressed that the ministry was considering disinvesting up to 10% in BHEL

Expressed that the ministry was considering disinvesting upto 10% in BHEL. He also said that the ministry was considering a privatization of Tide Water as well as Tyre Corporation. On BHEL, he also said that BHEL was in the process of signing a memorandum of understanding (MoU) with the Madhya Pradesh government for a 1,600 mw power unit.

The ministry has recommended setting up of automotive funds with a corpus of Rs 1,000 crore, which would be used for giving intra-subsidy for the units which buy new plants or machinery related to the automotive sector. They have also asked for more time to buy commercial vehicles and buses under the JNNURM scheme, the deadline was which was expiring on June 30. They are also seeking an extension on that, so that the government can continue buying commercial vehicles from private players beyond June 30.

source: MC

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