Prime Minister of India - Dr. Manmohan Singh

PMO reviews CAPEX / Investment Plans of Central PSEs for 2013-14

The Prime Minister’s Office has been monitoring the CAPEX and investment plans of selected Central Public Sector Enterprises (CPSEs) since FY 12-13. The purpose of this exercise was to enhance investment in the economy, utilizing the substantial cash surpluses that are available with some of the CPSEs to drive economic growth.

2. In FY 12-13, the CAPEX plans of 17 CPSEs were identified for close monitoring. These CPSEs has substantial cash surpluses. The CAPEX investment target for these 17 CPSEs was an ambitious Rs. 141,389 crores. The CPSEs achieved an investment of Rs. 111,913 crores which is almost 80% of the target. This performance has to be seen in the context of the significant enhancement in CAPEX plans compared to earlier years and the problems many faced on clearances.

3. The outstanding performers were Neyveli Lignite Corporation (108%), Power Grid (100%), Indian Oil (97%), NTPC (94%), ONGC (89%), Oil India Limited (83%), Coal India (76%) and NHPC (81%). These CPSEs accounted for over Rs. 90,000 crores of the final CAPEX achieved. 

4. In the meeting held in PMO today (13.5.2013), the CAPEX plans for important CPSEs were finalized. 7 CPSEs were added to the list of CPSEs being monitored and for FY 13-14, 23 the CAPEX plans of 23 CPSEs will be monitored. These are ONGC, Oil India, GAIL, Indian Oil, MRPL, SAIL, NMDC, Powergrid, NHPC, NTPC, Coal India, Neyveli Lignite Corp., CONCOR, NALCO, BHEL, BEL, MOIL, Rashtriya Ispat Nigam, Satluj Jal Vikas Nigam, Bharat Dynamics, HAL, Mazagaon Docks and Nuclear Power Corporation. The new CPSEs added are Manganese Ore India, RINL, SJVN, Bharat Dynamics, HAL, Mazagaon Docks and Nuclear Power Corporation. 

5. The CAPEX target set for FY – 2013-14 is Rs. 141,912 crores. This has been broken up into quarterly targets.

6. In the meeting, all the Secretaries of the concerned departments and the CPSE CMDs were urged to work towards fulfilling and exceeding these targets as this was extremely important for the economy.

7. The progress in achieving these targets would be monitored on a quarterly basis by the PMO to ensure that there are no slippages. In case of any issue relating to clearances, CPSE CMDs were asked to bring these to the notice of the Cabinet Committee on Investment. All the Secretaries and CMDs reaffirmed their commitment on meeting the targets.