Cabinet approves autonomy package for CPSEs

New Delhi, Apr 26 (UNI) The Union Cabinet today approved a package for Central Public Sector Enterprises (CPSEs) with a view to devolving greater managerial and commercial autonomy for profit making Government companies.

The proposal empowers holding companies to transfer assets, float fresh equity and divest share holdings in subsidiaries.

The delegation of such powers pertains to subsidiaries set up by the holding companies under the powers delegated to Navaratna and Mini-Ratna CPSEs.

The package also entails budgetary support to implement government sponsored projects of national interest and government sponsored R and D projects.

Briefing newspersons on the outcome of the Cabinet decisions, Information and Broadcasting Minister Priya Ranjan Dasmunsi said the Chief Executives of CPSEs would be made members of the Search Committees for selecting Independent Directors for the CPSEs.

Mr Dasmunsi said ''the package is based on the recommendations of the Ad-hoc group of experts and had become necessary in view of the competitive enviroment in which the CPSEs operate.'' UNI