Petroleum Ministry for 5% Disinvestment of ONGC: Sitharaman
Petroleum Ministry has accorded in-principle approval for 5 per cent stake-sale in ONGC which may fetch the government about Rs 18,000 crore to meet disinvestment target for the current fiscal.
"Ministry of Petroleum and Natural Gas has agreed in-principle to the proposal of disinvestment of 5 per cent government stake in ONGC," Minister of State for Finance Nirmala Sitharaman said in a written reply to the Rajya Sabha.
"ONGC, while supporting disinvestment of this equity held by government of India, has suggested resolution of a few issues, including fuel subsidy mechanism and gas pricing policy, to enable better price realisation from such disinvestment," she said.
As per the Budget 2014-15, the disinvestment target is Rs 58,425 crore including receipts from disinvestment of government stake in the non-government companies.
Meanwhile, the Department of Disinvestment (DoD) has kickstarted the process of stake sale in ONGC and invited bids for appointing merchant bankers to manage the share sale.
The merchant bankers would advise the government on the timing and the modalities of the offer for sale (OFS) and ensure best return to the government.
The DoD will appoint up to five merchant bankers to manage the OFS.
Sitharaman said disinvestment of Coal India and ONGC will be subject to approval of CCEA.
The actual realisation from government equity sales in these companies would depend on market conditions and investors interest prevailing at the time of actual disinvestment, she added.
The government is looking to sell 5 per cent stake in SAIL and 10 per cent each in RINL and HAL in the current fiscal.
The disinvestment public offer (IPO) in Rashtriya Ispat Nigam Ltd (RINL) is "tentatively scheduled for completion in the current financial year", she said.
Sitharaman further said that the Cabinet has already approved 10.82 per cent stake sale in SAIL and an IPO of 10 per cent of stake in each of RINL and Hindustan Aeronautics Ltd (HAL).
Further, the Cabinet has also approved sale of residual government equity in Hindustan Zinc and Balco.
In the Budget, the government has estimated to collect Rs 43,425 crore from selling stake in PSUs and another Rs 15,000 crore from sale of residual stake in the erstwhile government companies.
- Telangana CM Offers Gold Moustache To Temple
- Modi To Face Love Challenge In 2019
- Kim Jong-Nam Was Killed By Lethal VX Nerve Agent
- 5 Crore Indians Suffer From Depression
- Wonderful, Precise And Very Cool: How Do Our Money Up-Chucking Machines Work?
- "I'm Only Passing Through" 10 Leonard Cohen Songs That You Must Listen To
- Blackout For NDTV Stirs The Media
- Daily Curator: The Dominion Of Misunderstood Men Over Headlines
- Daily Curator: Of Holes Being Poked Into The Bhopal Encounter And The Origins Of Chyawanprash
- Watch: Viral Video Has Man Lighting Up A Line Of Crackers Attached To His Mouth
- Man Sitting On Indefinite Hunger Strike Gets Married At The Protest Site
- Over 400 Academicians From International Varsities Write Open Letter To JNU Vice Chancellor Over Recent Events
- Female Intruder From Pakistan Shot Dead, Another Arrested By The BSF
- After Ornaments, Telangana CM Now Offers Gold Moustache At Another Temple
- Business Models Of E-Tailers Running Out Of Steam, Haven't Worked, Says Mohandas Pai
- Demonetisation Sucked in Cash Like Vacuum Cleaner, Adversely Affected Consumption: IMF Official
- MOST VIEWED
- MOST COMMENTED
- Boys In MP Forced To Dip Hands In Boiling Oil As 'Innocence Test', To Prove They Hadn't Stolen Mobile
- Hafiz Saeed Can Pose A Serious Threat To Nation, Says Pakistan's Defence Minister
- 5 Killed As Aircraft Smashes Into Melbourne Shopping Complex
- Nestle Sales Was Hit By Rs 100 Crore Post Demonetisation, Says Company Chairman