(a) whether the Government has asked the Public Sector Undertakings (PSUs) to
enhance their annual dividend to the Government so as to mitigate rising fiscal
deficit;
(b) if so, the details thereof;
(c) whether the PSUs have also been asked to increase their investment in
infrastructure; and
(d) if so, the likely impact of such directives on the financial performance of the
PSUs?
THE MINISTER OF HEAVY INDUSTRIES & PUBLiC ENTERPRISES (SHRI PRAFUL PATEL)
(a) & (b): As per extant guidelines, profit making Central Public Sector Enterprises
(CPSEs) are required to declare a minimum dividend on equity of 20% or a minimum
dividend pay-out of 20% of post tax profits, whichever is higher. The minimum
dividend pay-out in respect of Oil, Petroleum, Chemical and Infrastructure Sector
should be 30% of the post tax profits. Dividend received by the Government from
CPSEs forms part of non-tax revenue receipts of the Government and thus contributes
towards reducing the fiscal deficit.
(c) & (d): 17 CPSEs have projected an investment of Rs. 176398 crore during 2012-13
in domestic sector and in overseas assets. These investments are likely to have a
positive impact on the financial performance of the CPSEs in the long run.