Good news! PM Narendra Modi led Cabinet clears use of PSU owned land for affordable housing
The Union Cabinet chaired by Prime Minister Narendra Modi today approved the revised guidelines of the Department of Public Enterprises (DPE) on time-bound closure of sick/loss making Central Public Sector Enterprises (CPSEs) and disposal of movable and immovable assets
The Union Cabinet chaired by Prime Minister Narendra Modi today approved the revised guidelines of the Department of Public Enterprises (DPE) on time-bound closure of sick/loss making Central Public Sector Enterprises (CPSEs) and disposal of movable and immovable assets. The revised guidelines would reduce delays in implementation of closure plans of sick/loss making CPSEs, a Cabinet statement said. These guidelines will replace the guidelines issued by DPE in September, 2016.
It would make available land parcels of sick/loss-making CPSEs under closure for the government flagship programme of Affordable Housing, the statement said. These guidelines provide a broad framework for expeditious completion of various processes and procedures for closure of CPSEs. The guidelines lays down milestones in the closure process along with timelines, outlining the responsibilities of the concerned Ministries/ Departments/ CPSE, etc.
The guidelines provide for advance preparatory action to be taken by administrative Ministry/Department and CPSEs, preparation of closure proposal, settlement of statutory and other liabilities of the CPSE under closure and modalities for disposal of movable and immovable assets of such CPSEs in a time-bound manner.
The guidelines give first priority for utilisation of land of CPSEs under closure for Affordable Housing as per the relevant guidelines of Ministry of Housing and Urban Affairs (MoHUA). "Since there are employees working in these CPSEs, the government decided that closure should not cause hardship to them and has now laid down a uniform policy to give workers VRS at 2007 notional pay scale irrespective of the pay scale in which they are working," the statement said.
These guidelines will apply to all sick/loss-making CPSEs, where approval for closure has been obtained by administrative Ministry/ Department from the CCEA/ Cabinet; or the process for obtaining the approval of the competent authority is underway after the administrative Ministry/ Department has decided for the closure of the CPSE.