Cabinet paves way for PSE board

The Cabinet also met on Wednesday. It cleared the expenditure of Rs 351.87 crore for the reconstruction and completion of Salma Dam Project (Stage I) in Afghanistan by Water & Power Consultancy Services (India) Ltd.

Other items cleared by the Cabinet are ratification of mutual legal assistance treaty in criminal matters with the US and agreement between India and Norway for the establishment of a joint commission of co-operation.

The BRPSE will ‘‘advise the government on ways and means for strengthening PSEs in general and making them more autonomous and professional.

It will also consider restructuring — financial, organisational and business —Central PSEs and suggest ways and means for funding such schemes’’.

The BRPSE will examine the proposals of the administrative ministries for revival or restructuring of sick and loss-making PSEs. It will also advise the government on disinvestment in and closure or sale of loss-making and sick PSEs which cannot be revived.

‘‘In respect of such unviable companies, the Board would also advise the government about sources of funds, including sale of surplus assets of the enterprise for the payment of all legitimate dues and compensation to workers and other costs of closure,’’ says the release.

The BRPSE will also ‘‘monitor incipient sickness of CPSEs’’.