Himachal PSU losses mount

With Congress failing to carry out the reforms it promised when it came to power in Himachal Pradesh, the losses of the state run companies have increased.

According to the latest figures released here 18 of the 23 public sector companies have suffered losses. Cumulative losses had mounted to Rs 917 crore till March 2006. Rising by Rs 22 crore since March 2005.

The total investment of the government in such companies has risen from Rs 722 crore to Rs 744 crore. "Employing 49,711 persons, these state-run companies continue to bleed the state exchequer," said an analyst on the condition of anonymity.

The Himachal Road Transport Corporation (HRTC) leads the pack with a loss of Rs 405 crore, the Himachal Pradesh State Electricity Board (HPSEB) follows with a loss of Rs 239 crore, the Financial Corporation with a loss of Rs 87 crore and the Agro India Packaging with a loss of Rs 57 crore.

This year again the only notable profit making PSU is the State Civil Supplies Corporation with a profit of Rs 12.81 crore, while the State Ex-Serviceman Corporation posted a profit of Rs 2.72 crore.

Ever since coming to power the Chief Minister Virbhadra Singh has talked about the need for economic reforms, including disinvestment and closing or merging non-performing state-run companies.

But this has proved mere talk as virtually nothing has been done in the past four years to sort out these loss making companies. Most observers say nothing is expected to be done in the remaining next year or so before the state goes for Assembly elections.

The record of the opposition Bharatiya Janata Party(BJP) has been equally dismal in the past.