SOURCE: AFI

In a significant shift in policy, Bharat Heavy Electricals Ltd (BHEL), a state-run enterprise known for its extensive range from rail coaches to power generation equipment, is potentially being removed from the list of companies targeted for divestment. This development stems from discussions about categorizing BHEL as a “strategic” public sector unit (PSU), according to sources familiar with the matter.
A source, speaking under the condition of anonymity, revealed that this decision aligns with recommendations from a parliamentary committee which has advocated for BHEL to be recognized as a strategic PSU. “Now that a parliamentary committee has also recommended the tag of strategic PSU for the company, there would be further thought on this,” the source explained, indicating a reevaluation of BHEL’s role within the national framework.
This potential reclassification reflects the government’s acknowledgment of BHEL’s pivotal role in several critical sectors of the Indian economy. BHEL has been instrumental in bolstering local manufacturing capabilities, particularly in areas like renewable energy and defense. The company’s contributions extend beyond traditional power generation, encompassing railway equipment, electric mobility, and even ventures into nuclear and renewable energy technologies.
The government’s contemplation to categorize BHEL as a strategic PSU comes at a time when India is pushing for self-reliance in key sectors under the ‘Aatmanirbhar Bharat’ initiative. This reevaluation suggests a nuanced approach to disinvestment, where strategic assets are preserved to fuel India’s ambitions in technology, manufacturing, and defense.