NEW DELHI: Central Public Sector Enterprises (CPSEs) have spent as much as Rs 5.06 lakh crore in capital expenditure as of January, against their full financial year target of Rs 6.62 lakh crore. According to data released by the Department of Public Enterprises, the CPSEs have achieved 76.5% of their full-year target.
Of the Rs 5.06 lakh crore capex, Rs 88,411 crore was spent by oil PSUs. According to a report by the Petroleum Planning and Analysis Cell, oil PSUs have a capex target of Rs 1.11 lakh crore for 2022-23. Capex by CPSEs forms a significant chunk of the overall government capex. In the current financial year, the central government through its budget allocation and CPSE resources, is likely to spend Rs 11.3 lakh crore in capital expenditures, which are necessarily money spent in creating new assets and infrastructure.
For 2023-24, the Centre along with CPSEs has a total capex target of Rs 14.9 lakh crore, of which Rs 7.3 lakh crore is likely to come from PSUs. Apart from a significant contribution towards the government’s capex plan, CPSEs also contribute a significant proportion of the government’s non-tax revenues in the form of disinvestment proceeds and dividend paid to the government.
According to the Department of Investment and Public Asset Management, the CPSEs have so far contributed Rs 50,300 crore in dividends towards the government coffer. Another Rs 31,000 crore has come from disinvestment of public sector units.
Meanwhile, the Department of Public Enterprises documents show that CPSEs’ procurement from MSME units has risen to 35.6% in April-January against the mandated 25%. In 2021-22, the CPSEs procured 32% of their supplies of goods from MSMEs.
The CPSEs have also increased their procurement through government e-marketplace (GeM). “Continuous engagement by the department with stakeholders has ensured manifold increase in procurement by CPSEs from GeM from Rs 7,035 crore in 2020-21 to Rs 45,970 crore in 2021-22. During 2022-23 (till December 2022), procurement by the CPSEs through GeM has further increased to Rs 55,618 crore,” a document from the department showed.
