What is a Public Sector Undertaking company?
Public Sector Undertaking companies are of national importance. The Government of India is the major stakeholder for these companies and is directly responsible for the operations of this companies. PSUs are classified into two categories — Central Public Sector Enterprises and State Public Sector Enterprises.
The Department of Public Enterprises under the Ministry of Heavy Industries and Public Enterprises is responsible for the operation of these Public Sector companies. Central public sector companies are broadly classified into three categories — Maharatna, Navratna and Miniratna, based on their net profit as per the guidelines put forth by SEBI (Securities Exchange Board of India), which is responsible for regulating the financial markets of India.
The annual profit for three consecutive years of these companies should be more than 25,000 crore rupees to classify them as Maharatna companies.
Maharatna companies in India
National Thermal Power Corporation Limited
Founded — 7 November 1975
Headquarters — New Delhi
Revenue — $ 13 billion
Indian public sector undertaking responsible for the generation of electricity and associated activities. This company is incorporated under the Companies Act, 1956 and is supported by the Government of India. NTPC generates electricity and sell it to the state board of electricity.
Oil and Natural Gas Corporation
Founded — 14 August 1956
Headquarters — New Delhi
Revenue — $ 17 billion
Indian multinational oil and gas company under the administration of the Ministry of Petroleum and Natural Gas. It is responsible for the production of 70% crude oil and 62% of natural gas in India.
Steel Authority of India
Founded — 19 January 1954
Headquarters — New Delhi
Revenue — $ 9.8 billion
SAIL is the 20th largest producer of steel in the world and 3rd largest in India. The hot metal production is expected to reach 50 million tonnes per annum by 2025.
Bharat Heavy Electricals Limited
Founded — 1964
Headquarters — New Delhi
Revenue — $ 4.3 billion
India’s largest power generation equipment manufacturer. It produces electrical, electronic and mechanical equipment for all sectors in India. This company is the largest supplier of electric locomotives to “Indian Railways” and defense equipment to “Indian Armed Forces”.
Indian Oil Corporation Limited
Founded — 30 June 1959
Headquarters — New Delhi
Revenue — $ 88 billion
Indian oil and gas company which is present in the Fortune Global 500 list. It’s business interests include value hydrocarbon chains and the refining of crude oil, natural gas, and petrochemicals.
Coal India Limited
Founded — 1975
Headquarters — Kolkata
Revenue — $ 20 billion
The largest coal-producing company in the world and contributes to 82% production of coal in India. It is owned by the Union Government of India. It has 81 mining areas in eight states in India.
Gas Authority of India Limited
Founded — August 1984
Headquarters — New Delhi
Revenue — $ 11 billion
Production and distribution of natural gas, LPG and petrochemicals. GAILTEL generates electricity and distributes it to major cities in India. It has a trunk pipeline network of 11,000 km. It contributes to sectors like fertilizers and power.
Bharat Petroleum Corporation Limited
Headquarters — Mumbai
Revenue — $ 50 billion
The second-largest oil corporation and has two large oil refineries in India located at Kochi and Mumbai. Named as one of the companies on the Fortune list.
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Originally published at https://prasanthmsvs.blogspot.com on September 15, 2019.
