Amongst other things the Members were informed that in the wake of large public investments in Central Public Sector Enterprises(CPSEs), there was a need to focus the Government’s attention on the steps required for the improvement of performance of the CPSEs. A number of measures have already been taken including enhancement of Delegation of Powers to the profit making PSEs, setting up of the Board for Reconstruction of Public Sector Enterprises(BRPSEs) to advise the Government on restructuring and revival of sick and loss making PSEs, revamping of the system of signing of MOUs with the CPSEs. The members were also informed that as on 28 February 2011the Government has approved the revival of 40 CPSEs and closure of 2. The total assistance given was Rs. 23,612 crore which benefitted a total of 1,71,000 employees. 20 revived CPSEs posted profit in 2008-09 and 11 CPSEs posted profit consecutively for the three period 2006-09.

The Members were also informed about the three important industry sectors under the Department of Heavy Industry – Capital Goods & Engineering Industries, Heavy Electrical Industry and Auto Industry as well as the 32 operating PSEs. While the capital goods sector contribute about 12% to the growth of the manufacturing activity in the country and contributes more than Rs. 20,000 crore to the Government exchequer annually in taxes and levies. The annual production of capital goods industry is estimated to be over Rs. 100,000 crores.

One of the major players in the Heavy Electrical Industry, the Bharat Heavy Electricals Limited(BHEL) is enhancing its installed manufacturing capacity of power generating equipments to 20,000 MW per annum by 2012.

The production of the automotive sector in 2009-10 has recorded a growth of 25.7%. There is also an ambitious 10 year automotive mission plan of the Ministry to aid in the further growth of the sector.

The 32 PSEs under DHI have recorded an aggregate production of Rs. 33308.15 crore in 2010-11 (upto January, 2011) registering an approximate growth of 20% over last year. They have shown an overall profit (before tax) of Rs. 3454.40 crore in this period.

The Members raised the issue of revision of wages, retirement age, wage payment of the public sector employees, restructuring, disinvestment and corporate social responsibility of PSEs were also discussed. The role of BRPSEs which has assisted in the revival of 11 CPSEs in the period 2006-09 was also appreciated.

The meeting was attended by Dr. Mahendrasinh P. Chauhan, Shri Pakauri Lal, Shri Narendra Kumar Kashyap, Shri Natuji H. Thakore, Shri R.C. Singh and Shri Suresh K. Taware.