Don't divest profit-making NLC, urges CPM

CHENNAI: CPM on Friday strongly opposed the Union government's decision to divest up to a 3% stake in NLC India Ltd, alleging that the move was part of a sustained attempt to weaken profit-making public sector undertakings through privatisation.

In a statement, CPM state secretary P Shanmugam said NLC India, a Navratna public sector enterprise headquartered in Neyveli, has been operating for several decades with the cooperation of the Tamil Nadu government and the support of the people of the State. He said the company has played a vital role in meeting Tamil Nadu's power requirements, generating employment and contributing to the state's economic development.

Welcoming Chief Minister C Joseph Vijay's letter to the Union government opposing the proposed stake sale, Shanmugam said the intervention was a positive development.

Shanmugam said the company also supplies power to Kerala, Andhra Pradesh, Karnataka and Puducherry, besides operating units in other parts of the country. Employing more than 15,000 people, NLC India remains a profitable enterprise and has earned a profit of Rs 3,670 crore during the current financial year, he said.

The CPM leader alleged that the proposed sale of a 3% stake in such a profitable enterprise was another step towards dismantling the public sector.

Demanding that the Centre immediately withdraw its decision to sell the 3% stake in NLC India, the CPM appealed to the public and employees to voice their strong opposition to what it termed an anti-people move by the Union government.