Central Trade Unions Oppose Government decision to privatize NTPC

The Central Trade Unions (CTUs) in its meeting held at New Delhi on 2nd August 2019 expressed deep concern at the decision of the Central Government to divest further 10% equity of NTPC through OFS (Offer for Sale) route. The present share holdingpattern of NTPC is 56.41% with the Company and 43.59% with market players.

Now with further 10% equity sale through OFS shall push NTPC to minority share holding of 46.41% and majority share holdingshall be passed on with private market players. In other words from a present‘Maharatna’ Central Public Sector Undertaking, NTPC will become a market players controlled private company.

NTPC has been continuously excelling its physical and financial performance. It has been contributing to Government exchequer higher dividend payment in every succeeding financial year. Out ofthe all total installed power generation capacity 3,54,000 MW in the country, NTPC alone is 55,786 MW and another around 15,000 MW is in the pipeline. As a singularly biggest power generation company, the ‘Techno-Economic’ efficiency of NTPC is the best in the country. NTPC has 53 power generation stations and 11 renewable energy projects. In 2017-18 NTPC earned profit of Rs.10,501.50 croreand the dividend paid to the Government was Rs.1,970.67 crore and in 2018-19 profit increased to Rs.12,633.45 crore and interim dividend already paid is 2,951.88 crore and more shall be paid as final installment.

The shocking decision by the Government is suicidal for the country.The only beneficiaries will be the private power sector players.The huge assets of the giant power sector CPSU are going to be grabbed by private power generators. Change in share holding pattern of the company is bound to seriously affect the employees in several ways including huge job losses.

The Central Trade Unions demand the reversal of the suicidal decision of the Government. Pushing NTPC to the control of market players shall amount to bestowing the dominant control of power sector to the private sector which ultimately shall push the price of power to prohibitive height and common consumers shall be hit hard. Agriculture and rural consumers shall be worst victims.

The Central Trade Unions appeal to all the employees of NTPC – Executives & Non-Executives, Permanent & Contract workers to forge total unity and launch united resistance struggles to stop privatisation of NTPC. And further appeals to the entire public sector power sector employees in particular and the public sector workers in general to extend solidarity support NTPC employees’ struggles.

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