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Divestment in limbo, admits Shourie
BS Bureau in Kolkata |
November 17, 2003 08:30 IST
Divestment Minister Arun Shourie admitted on Sunday that the Union government's privatisation programme was in limbo and the Centre was unable to figure out the receipts from divestment for this fiscal.
"It is very difficult to say what would be the proceeds from divestment this year," Shourie said at the sidelines of a meeting in Kolkata.
The Divestment Development: Complete Coverage
Asked about the possibilities of sell-off of smaller PSUs like Balmer Lawrie and Shipping Corporation, the minister said a court case involving seven to eight PSUs made it difficult to put a timeframe on the privatisation of these companies. This almost put the possibility of any sell-off to rest for this fiscal.
He, however, chose not to comment on the proposed equity sale in two oil PSUs Indian Oil Corporation and Oil and Natural Gas Corporation.
Petroleum ministry has offered to sale 20 per cent equity of IOC and 5 per cent in ONGC to meet the shortfall in the divestment proceeds. Government has desired to raise Rs 13000 crore (Rs 130 billion) from this programme this fiscal.
The Centre's effort to sell Hindustan Petroleum Corporation and Bharat Petroleum Corporation had hit the roadblock when Supreme Court asked the government to get the consent of Parliament. That seemed to have spoiled the party for smaller PSUs as well.