This Article is From Oct 12, 2021

Power Finance Corporation Gets Maharatna Company Status

Government has accorded "Maharatna" status to Power Finance Corporation, thus making it the 11th state-owned entity in the country to become one

Power Finance Corporation Gets Maharatna Company Status

Power Finance Corporation has been granted the Maharatna company status

Government has accorded “Maharatna” status to Power Finance Corporation (PFC), thus making it the 11th state-owned entity in the country to enter the coveted category and now joins the ranks of other such companies like ONGC, Indian Oil Corporation, Steel Authority of India Limited (SAIL) and BHEL among others.

The enhanced status will enable PFC, which is the largest infrastructure company in the country, to make equity investments, form financial joint ventures as well as wholly-owned subsidiaries and also oversee mergers and acquisitions within the country as well as abroad.

“Maharatna” status is granted to a company which has recorded more than Rs 5,000 crore of net profit for three consecutive years, an average annual turnover of Rs 25,000 crore for three years or should have an average annual net worth of Rs 15,000 crore for three years. It should also have global operations or footprints.

PFC was incorporated in 1986 and comes  under the jurisdiction of the Union Power Ministry.

Power Minister R K Singh while congratulating the company for attaining the “Maharatna” status, expressed hope that PFC will now be able to achieve the government's agenda of funding under the National Infrastructure Pipeline and also the aim of achieving 40 per cent green energy target by 2030.

PFC chairman R S Dhillon said that even during Coronavirus pandemic, the company had recorded good financials and witnessed the highest ever sanctions and disbursements to the power sector totaling Rs 1.66 lakh crore and Rs 88,300 crore respectively in 2020-21.

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