Oil India and ONGC Videsh Recently the Finance Ministry of India decided to update the status of Oil India and ONGC Videsh to Maharatna and Navratna granting them increased autonomy for investment, joint venture establishment, and other financial decisions. ONGC Videsh part of the Ministry of Petroleum and Natural Gas it had reported an annual turnover of Rs 11,676 crore and a net profit of Rs 1,700 crore for the fiscal year 2022-23. On the other hand, Oil India had an annual turnover of Rs 41,039 crores and a net profit of Rs 9,854 crores for the fiscal year 2022-23 had become the 13th Maharatna CPSE (Central Public Sector Enterprises)
Oil India and ONGC Videsh– Maharatna and Navratna
What is the Maharatna?
The government of India categorizes Central Public Sector Enterprises (CPSEs) under three different categories – Maharatna, Navratna, and Miniratna, under Section 8 of the Companies Act, 2013 (erstwhile Section 25 of Companies Act, 1956). In order for a company to qualify for the status of Maharatna Companies by the Finance Ministry, the below criteria, are needed to fill up
Criteria for grant of Maharatna status:-
(i) Having Navratna status.
(ii) Listed on the Indian stock exchange with minimum prescribed public shareholding under SEBI regulations.
(iii) Average annual turnover of more than Rs. 25,000 crore, during the last 3 years.
(iv) Average annual net worth of more than Rs. 15,000 crore, during the last 3 years.
(v) Average annual net profit after tax of more than Rs. 5,000 crore, during the last 3 years.
(vi) Should have significant global presence/international operations.
Maharatna Companies – List of 10 Central Public Sector Enterprises (CPSE)
|Sl.No||Central Public Sector Enterprises (CPSE)|
|1||National Thermal Power Corporation (NTPC)|
|2||Oil and Natural Gas Corporation (ONGC)|
|3||Steel Authority of India Limited (SAIL)|
|4||Bharat Heavy Electricals Limited (BHEL)|
|5||Indian Oil Corporation Limited (IOCL)|
|6||Hindustan Petroleum Corporation Limited (HPCL)|
|7||Coal India Limited (CIL)|
|8||Gas Authority of India Limited (GAIL)|
|9||Bharat Petroleum Corporation Limited (BPCL)|
|10||Power Grid Corporation of India (POWERGRID)|
Rs. 1,000 crore – Rs. 5,000 crore, or free to decide on investments up to 15% of their net worth in a project
Oil India and ONGC Videsh status
How many Maharatna Companies are there in India?
As per recent data, there are a total of 10 Maharatna Companies in India. These include NTPC, ONGC, SAIL, BHEL, IOCL, HPCL, CIL, GAIL, BPCL and Power Grid Corporation of India.
How are Maharatna Companies classified?
A PSU in India with a Navratna status; listed on the Indian Stock Exchange; with an average net profit of more than Rs. 5,000 crore in the past three years after paying tax; average annual turnover of Rs. 25,000 crore for 3 years and an average annual net worth of Rs. 15,000 crore for 3 years, is eligible to become a Maharatna Company.