Narendra Modi’s maxim of minimum government is coming true, albeit in an undesirable form. Several major public sector entities, such as Coal India and Air India, as well as crucial commissions have been lying headless, affecting their functioning and stalling big projects.
Earlier this year, the government had garnered wide-eyed praise when it announced the idea that top positions at public sector entities, such as banks and oil companies, may be opened to lateral entry of people from the private sector. This would widen the talent pool, it said.
Three months on, little has happened, while some agencies are suffering under temporary bosses. What is worse is that many of the entities were rendered headless by this government because it pushed out the principals appointed by the previous administration.
These are some of the entities awaiting key managerial personnel to give them direction:
1. National Disaster Management Authority
Soon after coming to power, the Bharatiya Janata Party-led government nudged out the agency’s vice chairman and several of its members. There was nobody to run it when severe floods lashed Jammu & Kashmir floods and the Hudhud cyclone barrelled into Andhra Pradesh, wreaking havoc. No replacements have been found as yet.
2. Coal India Limited
Its post of chairman-cum-managing director fell vacant this May when S Narsing Rao resigned. To keep the company going, the government appointed AK Dubey, an additional secretary in the coal ministry, as the acting chief. And to fill the vacancy, it invited applications from the private sector. Just one reply was received. In the meantime, troubles have mounted as the apex court has cancelled several coal block allocations, which may come to Coal India for maintenance and operations.
3. NHPC Limited
The country’s largest hydropower company, formerly known as the National Hydroelectric Power Corporation, has been without a full-time chairman-cum-managing director for over three years. As a result of this, several crucial decisions have been pending and 4,000-megawatts power projects have got delayed. RST Sai, chairman-cum-managing director of Tehri Hydro Development Corporation, is heading NHPC until a full-time hire comes along.
4. Air India
The term of the national carrier’s Chairman-cum-Managing Director Rohit Nandan came to an end in August. It was extended by the government, so that a replacement could be found to head the loss-making airline that has a total debt of Rs 40,000 crore. The search has been fruitless.
5. Commission for Agricultural Costs and Prices
An independent body, the commission is responsible for suggesting minimum support prices for farmers. The last chairman, Ashok Gulati, stepped down in February after a three-year term. The body is being run by directors and executives until Gulati’s successor is found.
6. Public sector banks
Six public sector banks have been headless since the government tightened the selection process and split the roles of chairman and managing director. Top posts fell vacant at the Indian Overseas Bank, Canara Bank and Oriental Bank of Commerce when their respective chiefs retired. Syndicate Bank is without a chief because its Chairman and Managing Director SK Jain was arrested over alleged bribery charges.
Earlier this year, the government had garnered wide-eyed praise when it announced the idea that top positions at public sector entities, such as banks and oil companies, may be opened to lateral entry of people from the private sector. This would widen the talent pool, it said.
Three months on, little has happened, while some agencies are suffering under temporary bosses. What is worse is that many of the entities were rendered headless by this government because it pushed out the principals appointed by the previous administration.
These are some of the entities awaiting key managerial personnel to give them direction:
1. National Disaster Management Authority
Soon after coming to power, the Bharatiya Janata Party-led government nudged out the agency’s vice chairman and several of its members. There was nobody to run it when severe floods lashed Jammu & Kashmir floods and the Hudhud cyclone barrelled into Andhra Pradesh, wreaking havoc. No replacements have been found as yet.
2. Coal India Limited
Its post of chairman-cum-managing director fell vacant this May when S Narsing Rao resigned. To keep the company going, the government appointed AK Dubey, an additional secretary in the coal ministry, as the acting chief. And to fill the vacancy, it invited applications from the private sector. Just one reply was received. In the meantime, troubles have mounted as the apex court has cancelled several coal block allocations, which may come to Coal India for maintenance and operations.
3. NHPC Limited
The country’s largest hydropower company, formerly known as the National Hydroelectric Power Corporation, has been without a full-time chairman-cum-managing director for over three years. As a result of this, several crucial decisions have been pending and 4,000-megawatts power projects have got delayed. RST Sai, chairman-cum-managing director of Tehri Hydro Development Corporation, is heading NHPC until a full-time hire comes along.
4. Air India
The term of the national carrier’s Chairman-cum-Managing Director Rohit Nandan came to an end in August. It was extended by the government, so that a replacement could be found to head the loss-making airline that has a total debt of Rs 40,000 crore. The search has been fruitless.
5. Commission for Agricultural Costs and Prices
An independent body, the commission is responsible for suggesting minimum support prices for farmers. The last chairman, Ashok Gulati, stepped down in February after a three-year term. The body is being run by directors and executives until Gulati’s successor is found.
6. Public sector banks
Six public sector banks have been headless since the government tightened the selection process and split the roles of chairman and managing director. Top posts fell vacant at the Indian Overseas Bank, Canara Bank and Oriental Bank of Commerce when their respective chiefs retired. Syndicate Bank is without a chief because its Chairman and Managing Director SK Jain was arrested over alleged bribery charges.
Buy an annual Scroll Membership to support independent journalism and get special benefits.
Our journalism is for everyone. But you can get special privileges by buying an annual Scroll Membership. Sign up today!