(a) Whether the Government has any proposal to sell some steel plants in near future;
(b) if so, the details thereof;
(c) if not, the reasons therefor; and
(d) whether some steel plants have been sold during the last five years and if so, the details thereof?
MINISTER OF STATE IN THE MINISTRY OF FINANCE
(DR. BHAGWAT KISHANRAO KARAD)
(a) to (c): The disinvestment of the Central Public Sector Enterprises including the Steel Plants, at present, is guided by New Public Sector Enterprise (PSE) Policy for Atmanirbhar Bharat notified by the Government on 4th February, 2021 after approval by the Cabinet on 27.01.2021.
As per this policy, existing Public Sector Enterprises have been broadly classified under Strategic and Non-strategic Sectors. It has also been laid down that in strategic sectors, bare minimum presence of the existing public sector enterprises at Holding Company level will be retained under Government control. The remaining enterprises in strategic sector will be considered for privatisation or merger or subsidiarization with another CPSE or for closure. Further, the Public Sector Enterprises in non-strategic sectors shall be considered for privatisation, where feasible, otherwise such enterprises shall be considered for closure. Steel Plants fall in non-strategic sector. The Government has so far taken decision for strategic disinvestment of the following Steel Plants and the ongoing disinvestment transactions are in different stages:
S.No. Name of the CPSE/Unit/ Subsidiary/Joint Venture- Status - Date of CCEA Decision
1. Rastriya Ispat Nigam Limited (RINL) - CPSE - 27.01.2021.
2. Neelachal Ispat Nigam Limited (NINL) - Joint Venture of Central/State PSEs - 08.01.2020.
3. NMDC Integrated Steel Plant (NISP), Nagarnar - Unit of NMDC - 27.10.2016 modified on 14.10.2020.
4. Alloy Steel Plant, Durgapur; Visvesvaraya Iron and Steel Plant, Bhadravathi; Salem Steel Plant, Salem - Units of Steel Authority of India Limited (SAIL) - 27.10.2016.
The timing for decision for disinvestment of a specific Public Sector Enterprise is contingent, inter-alia, on the considerations of appropriate sequencing, sectoral trends, administrative feasibility, investor’s interest, etc.
(d): No steel plant has been sold (strategically divested) during the last five years.