'No proposal to relax norms to grant Navratna tag to CPSEs'

NEW DELHI: The government has said there is no proposal to relax guidelines for granting Navratna status to central public sector undertakings.

"There is no proposal to relax the norms for granting the Navratna status to Central Public Sector Enterprises (CPSEs)," Minister of Heavy Industries and Public Enterprises Praful Patel said yesterday in a written reply in the Lok Sabha.

To qualify for the Navratna status, a CPSE having a Miniratna Category-1 status should have a composite score of 60 or above out of 100 marks based on its performance during the last three years on the six identified parameters.

These parameters include net profit to net worth (25 marks), earnings per share (10 marks), manpower cost to cost of production or services (15 marks) and gross profit out of turnover (15 marks).

On getting the Navratna status, the concerned CPSE board would not be required to take the government's permission for investments up to Rs 1,000 crore in a joint venture project or wholly-owned subsidiary.