The government today formally conferred the coveted 'Maharatna' status on state-owned Oil and Natural Gas Corporation (ONGC) and Indian Oil Corporation (IOC).
Minister for Heavy Industry and Public Enterprises Vilasrao Deshmukh gave away certificate conferring Maharatna status to heads of ONGC and IOC at a function here today, the two firms said in separate statements here.
The Maharatna status to select PSEs ensures more empowerment in decision making and encourages becoming globally competitive.
ONGC Chairman and Managing Director R S Sharma and IOC Chairman B M Bansal received the certificates.
In his address, Deshmukh stressed the importance of a strong public sector and lauded the contribution of the Central Public Sector Enterprises (CPSEs) towards India's growth.
The Maharatna status provides for enhanced autonomy and operational flexibility. The Maharatna PSUs can investment up to Rs 5,000 crore in one project on their own, while the limit for Navratna companies is Rs 1,000 crore.
According to the criteria laid down by the government, the Maharatna status is granted to listed Navaratna central public sector companies with an average annual turnover of more than Rs 25,000 crore, net profit after tax of Rs 5,000 crore and a net worth of Rs 15,000 crore during the past three years.
