The selective decision to transfer Nine  PSUs from Defence ministry  to M/Heavy Industries&PE,seems bizarre.Why single out MOD, especially when status of about 250 other central utilities remain unchanged. Is  there any  trust deficit with Raksha mantri ? Is new RM, like his illustrious predecessors, not  competent enough to manage PSUs under his charge? Was there prior consultation with him , one wonders?

There is surely something more to it than meets the eye.

Recall the “ alleged leakage “ of MOD’s file notings  related to Rafael deal. PM must surely be upset with it .Was any internal or external inquiry carried out? If,so,with what results? How did the leaked information reach the Congress President  to embarrass the ruling government ? Was there any Corporate rivalry? Whatever may be the reasons, a repeat of leakage has to be prevented as it has a bearing on the  national  security?

No doubt, it is PM's prerogative to change  orders on Allocation/Transaction  of Business rules ,re-structuring of ministries etc or even fix the inter se seniority among ministers. But, arguments should be buttressed  by logic .

Justification given by the “ think-tank committee” for recommending transfer of  nine defence PSUs from MOD ( Nodal ministry)  to M/Heavy Industry and Public Enterprises,does not stand to reason.

The Department of Heavy Industry seeks to achieve its vision by providing necessary support to the Auto, Heavy Engineering, Heavy Electricals and Capital Goods Sectors.Every ministry is responsible for bolstering profit making Public Sector Enterprises as well as restructure and revive sick and loss making Public Sector Enterprises under its administrative control .

M/Heavy industry has about 25 PSUs under its controle.A majority of these are loss-making. Against this  background, what is the logic behind transferring additional  Nine defence PSUs which are   engaged in manufacturing  sensitive defence-related equipment. All  profit making.

There has to be some connect between the functions of a nodal ministry and the core competence of PSUs under its charge.

Going by government logic, why not shift the administrative  control of all Oil and Power utilities from the Petroleum and Power ministries respectively to Heavy Industries ?


Add comment

  Country flag

  • Comment
  • Preview

About A.K.Saxena

A K SAXENA, an Indian national, is a retired civil servant from Government of India He is also a freelance journalist with several published investigative articles and columns in various fields to his credit. His writings are a reflection of his interest in writing on divergent themes and making the topics relevant to a wider audience. A post graduate in Chemistry from University of Delhi,he could not sustain his interest in pursuing research and instead chose to enter the government service through the IAS etc exam held by the UPSC. “KALASAVYA” that brought out several publications besides organizing cultural shows.

You can contact me at

Month List