Disinvestment policy draws flak at NDC meeting

NEW DELHI: The Centre''s disinvestment policy on Saturday came in for sharp criticism from some states with BJP ally Biju Janata Dal in Orissa going so far as to seek a separate NDA meeting on it, particularly in the context of proposed privatisation in Nalco.
“I have asked NDA convenor George Fernandes to convene a meeting to discuss disinvestment in general and Nalco in particular. We are opposed to the disinvestment of Nalco, which is a profit-making PSU,� Orissa Chief Minister Naveen Patnaik told reporters here.
Speaking on the sidelines of the National Development Council Meeting, he said “Nalco is making immense profits and it is of immense importance to the state of Orissa; it should not be privatised�.
Echoing Patnaik’s views, Punjab Chief Minister Amarinder Singh said, “we want the HPCL refinery in Bhatinda to be taken out of the disinvestment process. This is the only large industrial project in the state with envisaged investment of about Rs 16,000 crore�.
Highlighting the fact that most PSUs in Punjab were loss making, Singh said these had totted up debt of about Rs 19,000 crore, taking up the state’s overall liabilities to Rs 52,000 crore.
Patnaik said the disinvestment should be restricted only to loss making PSUs and pointed out that the state government was already in the process of divesting 10 loss making PSUs.
Taking a dig at NDA ally Shiv Sena’s public criticism of Centre’s disinvestment policy, particularly on the resale of Hotel Centaur (Mumbai), Maharashtra Chief Minsiter Vilasrao Deshmukh said the process lacked transparency.
“We want transparency in the disinvestment process. Look at how even NDA’s allies inlcuding the Shiv Sena have raised the issue in the Centaur resale case,� he said.
“If an individual can make profit of Rs 35 crore by reselling a property, why should the government not get a share of that? Obviously, there is need for better valuation of properties to be disinvested.�