Govt grants `Maharatna’ status to BHEL and GAIL
05 Feb 2013
Government has approved the grant of Maharatna status to Bharat Heavy Electricals Limited (BHEL) and Gas Authority of India Ltd (GAIL), delegating enhanced powers to the boards of the two Navratna CPSEs so as to facilitate expansion of their operations, both in the domestic as well as global markets.
To be eligible to be considered for grant of Maharatna status, a Navratna CPSU should be listed on Indian stock exchange, with minimum prescribed public shareholding under SEBI regulations.
The company should also have an average annual turnover of more than Rs25,000 crore, average annual net worth of more than Rs15,000 crore and average annual net profit after tax of more than Rs5,000 crore during the past 3 years.
The CPSU should have significant global presence or international operations.
The concerned administrative ministries of the two CPSEs have been asked to take immediate steps to appoint requisite number of non-official directors on the boards of BHEL and GAIL so that the boards could exercise delegated Maharatna powers.
The boards of Maharatna CPSEs will have powers to decide on incurring capital expenditure on purchase of new items or for replacement, without any monetary ceiling.