Restructuring PSUs only way out for their revival says Finance Minister Drabu

Minister for Finance, Labour & Employment Dr Haseeb Drabu today pitched for immediate restructuring the Public-Sector Undertakings (PSUs) operating in the state to make them better organized as per the present requirements.

The Minister said this while reviewing the functioning of various PSUs at a marathon meeting convened, here today.
Minister of State for Transport, Sunil Sharma was also present in the meeting.

The meeting was attended by heads/representatives of JK Women Development Corporation, JK Medical Supplies Corporation, Jammu Kashmir Entrepreneurship Development Institute, JK Sports Council, JK Schedule Cast/Schedule Tribe/Backward Class Development Corporation, JK Wool Development Board, JK Cable Car Corporation, JK State Road Transport Corporation and other concerned officers.

During the meeting, the Minister was informed about the operational activities, source of funding, financial position, human resource involved and other issues confronting these PSUs.

Addressing the representatives of the Corporations, Dr Drabu said that to get out of the present state of affairs, both financially and organizationally, restructuring of the PSUs would help them to improve their performance and registering desired growth.

Dr Drabu asked the concerned officers to prepare an effective business model and to bring financial discipline in the Corporations. He suggested involving marketing professionals for a perfect business model for revenue generation and making the way ahead for a better future of these PSUs.

He also stressed on conducting audit for assessing actual financial position of the corporation besides effective human resource management for positive output.
While reviewing the functioning of JKSRTC, the Minister was apprised about the activities of the Corporation under its mandate and other measures taken to revive the PSU.

The representative of JKSRTC briefed the Minister about the revenue generation through operational and non-operational activities, expenditure, present financial position and the proposed plan to revive the Corporation.

For improving the transport operations in the state, JKSRTC demanded one-time capital infusion in addition to the budgetary support from the government for the procurement new vehicles including buses and trucks into the existing fleet so that the old vehicles can be replaced with new ones for effective transport operations.

Dr Drabu asked the Corporation for exploring the possibilities of having strategic partner and to act as the exclusive transporter for the government.

The Minister asked the concerned to prepare a revival and human resource plan identifying all the present and future requirements so that necessary action can be taken to bring in modernized transport system in the state with the help of technological interventions.

To assess the actual financial position of the Corporation, the Minister asked for conducting audit besides fresh revaluation of the assets to improve the net worth of the Corporation.

The representatives of all these Corporations requested for budgetary support as per their requirement besides other issues confronting them.

Dr Drabu said that the government will provide all necessary support including financial assistance to revive the Corporations but there is a need to take extra efforts in achieving the positive output that can lead the PSUs in a right direction.

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