Cong to oppose oil PSUs' selloff

NEW DELHI: The Congress will oppose the sale of public sector oil companies in the winter session of the Parliament in mid-November. Senior Congress leader Pranab Mukherjee told Times News Network, ‘‘Of course, we will oppose it in Parliament.’’
Though earlier the Congress government at the Centre had sold off oilfields to private players, last week, the party took a stand that oil is a strategic sector.
Now, with the sale of the Hindustan Petroleum Corporation Ltd (HPCL) and the Bharat Petroleum Corporation Ltd (BPCL) rocking the Union cabinet with its members divided on the issue, the Congress has taken a stand that it will oppose disinvestment of profit-making companies, particularly the oil PSUs.
Mukherjee said if the government disinvests through an executive order, then the issue would be subsequently raised in Parliament. But if these companies had been created by an Act of Parliament, then the government would require the approval of Parliament to sell the government equity. In that case, the Opposition would have enough opportunities to attack the government.
In the case of the HPCL and the BPCL, both these companies were created after Caltex and Burmah Shell were nationalised by the Indira Gandhi government. Since the companies were created by an Act brought in for the nationalisation of private companies, the government might need Parliament’s approval, experts say.
But the fact remains that there are differences within the Congress with its leaders openly taking opposite views. For instance, the party spokesman had to defend Congress economic cell secretary Jairam Ramesh’s stand favouring disinvestment, by saying it was Ramesh’s personal views.