New Delhi: Union Minister for Finance Nirmala Sitharaman fixed the capex target for 23 PSUs for FY2020-21 at Rs 1,65,510 crore on Tuesday. At a review meeting held via video conference, the Finance Minister said that PSUs have a very important role in giving a push to the growth of the Indian economy. She encouraged PSUs to perform better to achieve targets and to ensure that the capital outlay provided to them for the year 2020-21 is spent properly and within time. The Finance Minister said that better performance of PSUs can help the economy in a big way to recover from the impact of COVID-19.
The meeting was attended by Secretaries of Ministries of Petroleum & Natural Gas, Power, Coal, Mines and Department of Atomic Energy and the CMDs of 23 PSUs belonging to these ministries. This meeting was held as part of the series of meetings that the Finance Minister is having with various stakeholders to accelerate the economic growth.
In FY'2019-20, against the capital expenditures (CapEx) target of Rs 1,64,822 crore for the 23 PSUs, the achievement was Rs 1,66,029 crore i.e. 101 percent. Q1 (FY'2019-20) achievement was Rs 26,320 crore (16 percent) and achievement of Q1 (FY'2020-21) is Rs 20,202 crore (12 percent).
The Finance Minister asked Secretaries to closely monitor the performance of PSUs in order to ensure capital expenditure to the tune of 50 percent of the capital outlay by Q2 2020-21 and make plans for it. She stated that unresolved issues should be flagged immediately to the DEA/DPE for an immediate solution.
The ministries/ PSUs discussed constraints being faced by them due to COVID-19 like problems of availability of manpower, delay in imports, delay in payments by DISCOMs on the dues of CPSEs like NPCIL and NLC. Sitharaman stated that extraordinary situation requires extraordinary efforts and with collective efforts, PSUs will not only perform better but will also help the Indian economy to achieve better results.
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