Maharatna Status Conferred on ONGC, IOC, NTPC
Maharatna Status was conferred on ONGC, IOC, NTPC by the Indian Government in November 2010.
The Indian Government formally conferred the coveted Maharatna status on Oil and Natural Gas Corporation (ONGC), Indian Oil Corporation (IOC) and National Thermal Power Corporation (NTPC) on 16 November 2010. The certificates conferring the Maharatna status was given by Minister for Heavy Industry and Public Enterprises Vilasrao Deshmukh to the heads of ONGC, IOC and NTPC. The grant of Maharatna status ensures more empowerment for the Public Sector Enterprises (PSEs) in matters of decision making and encourages them in becoming globally competitive. The Maharatna companies are empowered to take decisions on projects independently of Govt for values up to Rs 5000 crores.
Currently there are are four Maharatna PSEs- ONGC, IOC, NTPC and Steel Authority of India (SAIL). SAIL was given the Maharatna status on 19 May 2010. After the three Navaratna companies- ONGC, IOC and NTPC being conferred the Maharatna status, the number of Navaratna PSEs now stand at 15. The number of Miniratna PSEs is 63.
PSEs are required to fulfil certain criteria to be awarded the Maharatna status. For a PSE to be considered for grant of Maharatna status, it must already have a Navratna status and must be listed on Indian stock exchange with minimum prescribed public shareholding under SEBI regulations. Also, it must have an average annual turnover of more than Rs.25000 crore continuously for last three years besides having an average annual net worth of more than Rs.15000 crore during that period. The PSE vying for the Maharatna status must also have an average annual net profit after tax of more than Rs.5000 crore in the last 3 years.