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Plan for white paper on PSUs

Our Bureau

NEW DELHI, Feb. 25

THE Government plans to come out with a white paper on the public sector, the Minister for Heavy Industries and Public Enterprises, Mr. Manohar Joshi, said here on Friday.

Addressing the first meeting of the parliamentary consultative committee attached to his Ministry, Mr. Joshi said that the Government would attempt to revive the ailing PSUs through a combination of measures including revival through the Board for Indust rial and Financial Reconstruction (BIFR), financial restructuring, formation of joint venture and manpower rationalisation.

Mr. Joshi expressed concern over the overall financial performance of the enterprises under the Department of Heavy Industries. He pointed out that 32 out of 48 enterprises reported losses in 1998-99, while 48 enterprises together ended 1998-99 with an a ggregate loss of Rs. 411 crores.

Out of the 48 units, 26 have been referred to the BIFR, out of which the sanctioned revival plans for 12 are under implementation, Mr. Joshi said.

He pointed out that the Government has agreed to provide fresh infusion of funds of Rs. 619 crores and financial restructuring of Rs. 2,228 crores for these PSUs. Moreover, a Voluntary Separation Scheme (VSS) has also been introduced to trim the manpower .

Among others, the meeting was attended by the Minister of State for Heavy Industries and Public Enterprises, Dr. Vallabhbhai Kathiria. Other Members of Parliament at the meeting were Mr. Basudev Acharia, Dr. S. Jagathrashakan, Mr. Rizwan Khan, Mr. Atma R am Patel and Mr. Dinsha Patel.