Bharat 22 Will Carry Out Infra Development In Power Sector: Piyush Goyal

In the wake of its asset sale programme, the Minister of State (Independent Charge) for Coal, Power, Renewable Energy and Mines, Piyush Goyal, welcomed the new exchange traded fund, Bharat 22 providing a boost to power and energy sector infrastructure.

"It is a wonderful move and will help the government garner resources, while keeping the character of the PSUs intact. The companies will remain PSUs with continued 51-53% government shareholding before the transfer", said the minister.

"Our disinvestment requirement will also be met with which we can carry out further infrastructure development", added Goyal, speaking on the sideline of session on the Goods and Services Tax organised by the FICCI Ladies Organisation (FLO) in New Delhi.

The government last week set up a new exchange traded fund Bharat 22 to sell government stakes in 22 firms. The new fund is expected to speed up the government's disinvestment program and raise around 72500 crore in the fiscal year to march 2018. Among all the blue chip companies, include energy and power sector utilities: Power Grid Corporation, Power Finance Corporation, Neyveli Lignite Corporation, Coal India, NHPC, NTPC, REC.

Speaking regarding the stressed assets in the power sector, the minster clarified that NTPC will not acquire stressed power generation assets, but will be working as an operator for the other companies as a service provider.

"NTPC is not taking over any stressed assets. If the banks take over any stressed assets and they run a due process then everybody will be free to participate in that, including the PSU companies."

He further adds that the Navratna can be approached by any company who will act as an operator for the stressed assets taken over by bank, "If anybody is willing to approach NTPC and pay, it would be like a service they provide, open for all. It's a revenue model for NTPC".