Indian Oil Chairman SM Vaidya gets rare tenure extension of 1 year

New Delhi: In a first-of-its-kind instance, the government has extended the tenure of Indian Oil Chairman & Managing Director (CMD) SM Vaidya by one year until a regular incumbent is appointed to the top post. A copy of the official order accessed by PSU Watch says, “The Appointments Committee of the Cabinet (ACC) has approved the proposal of the Ministry of Petroleum and Natural Gas for re-employment on contract basis of Shri Shrikant Madhav Vaidya, Chairman, Indian oil corporation Limited (IOCL) for a period of one year beyond the date of his superannuation, i.e. w.e.f. 01.09.2023 till 31.08.2024 or till the appointment of a regular incumbent to the post or until further orders, whichever is the earliest.”

Indian Oil Chairman appointment

The Public Enterprises Selection Board (PESB) held interviews for the position of Indian Oil Corporation’s (IOC) Chairman on May 16 this year but had rejected all 10 candidates. It had instead asked the Ministry of Petroleum and Natural Gas to constitute a search-cum-selection committee (SCSC) for the selection of a candidate for the top position. PSU Watch had then reported that Vaidya was likely to get an extension.

This is a rare case where a retired PSU executive has been given an extension post superannuation. However, a similar precedent where a PSU top boss was appointed to the Chairman’s post after retirement can be found in the case of Arun Kumar Singh, who retired as the Chairman of Bharat Petroleum Corporation Ltd (BPCL) and was later selected by a search panel formed by the government as the CMD of ONGC.

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