New Delhi. The Narendra Modi government on Friday (August 30) granted ‘Navratna’ status to Satluj Jal Vidyut Nigam (SJVN) Limited, NHPC Limited, Railtel Corporation of India Limited and Solar Energy Corporation of India Limited.
RailTel Corporation of India has become the 22nd ‘Navratna’, followed by Solar Energy Corporation of India 23rd, NHPC 24th and Satluj Jal Vidyut Nigam 25th ‘Navratna’.
Shimla-based SJVN is a listed company, 55% shares of which are held by the Government of India, 26.85% shares by the Government of Himachal Pradesh and the remaining 18.15% shares are held by the public.
NHPC, under the Ministry of Power, is the largest hydropower development organisation in India, having the capability to undertake a wide range of activities from conceptualisation to commissioning of hydropower projects. The Faridabad-based company has also diversified into solar and wind power development.
RailTel is a Central Public Sector Undertaking (CPSU) under the Ministry of Railways. Solar Energy Corporation of India Limited (SECI) is a nodal agency of the Central Government for auction of renewable energy projects.
What is Navratna status?
The Government of India grants Navaratna status to top-tier public sector undertakings (PSUs). This status allows organisations to make substantial investments of up to ₹1,000 crore without requiring approval from the Centre.
These companies have the freedom to invest up to 30% of their net worth within a year, as long as it remains below ₹1,000 crore. They can also enter into joint ventures, form alliances and set up subsidiaries abroad.
For a company to be granted Navratna status, it must already have Miniratna Category I status and be listed under Schedule A of CPSE.