PM Modi's Spring Cleaning to Sweep Dud Departments

Citing irrelevance and overlapping of functions, Centre puts together a list of 146 institutions considered for closure.
Indian Prime Minister Narendra Modi |AFP
Indian Prime Minister Narendra Modi |AFP

NEW DELHI: Close on the heels of Prime Minister Narendra Modi’s recent directive to target non-performing autonomous organisations for efficient governance, the Centre has prepared a list of 146 institutions which could be considered for either closure or merger. The confidential list, bearing the approval of the Prime Minister’s Office (PMO), has been sent to the administrative ministries and central departments concerned. The PMO wants the exercise to be completed by June.

The government had in February announced its intention to close and restructure as many as 685 autonomous bodies or institutions after a panel of secretaries recommended massive revamp, citing irrelevance and overlapping of function.

According to sources, various institutions like Cotton Corporation of India Ltd (CCI), Central Cottage Industries Corporation of India Ltd and Handicrafts and Handlooms Export Corporation (HHEC) are likely to be restructured by the government. The government is also examining the role and performance of 18 autonomous bodies that fall under the ambit of the Ministry of Micro, Small & Medium Enterprises, including Central Tool Room & Training Centre, Central Tool Room, Central Institute of Tool Design, and Tool Room and Training Centre.

Sources said discussions are also underway to examine and restructure the Central Board for Workers Education (CBWE), Directorate General of Employment & Training (DGE&T), Directorate General Factory Advice Service and Labour Institutes (DGFASLI), India Labour Archives (ILA), Labour Bureau and National Academy for Training and Research in Social Security (NATRASS).

The government has decided to merge organisations with similar mandate to create a main body. It is also reviewing the function of National Institute for Empowerment of Persons with Multiple Disabilities and National Handicapped Finance and Development Corporation to see whether the two organisations can be merged.

“Autonomous bodies have mushroomed over the years. A detailed road map has been prepared indicating step-wise measures to be taken with timelines to be followed. It is targeted to be completed by April 30, 2016,” the government note on restructuring autonomous bodies stated.

According to the note, each ministry and each department will undertake a comprehensive review of autonomous bodies under their control as per timeline and based on the results of the review, government may consider corporatisation, merger, disengagement or closure of the autonomous bodies.

However, in respect of some institutions like Education, Health and Research, the review will lead to policy options on user charges and enhanced internal resource mobilisation.

In February, the government had proposed reduction of the number of tribunals from 36 to 17. The report has been circulated to all the ministries concerned for their response.

The Axe Effect

The following entities figure in the list of 146 institutions up for restructuring

Cotton Corporation of India Ltd

Central Cottage Industries

Corporation of India Ltd

Handicrafts and Handlooms

Export Corporation

Central Tool Room & Training Centre

Central Tool Room

Central Institute of Tool Design

Tool Room and Training Centre

Central Board for Workers Education

Directorate General of Employment & Training

Directorate General Factory Advice Service and Labour Institutes

India Labour Archives

Labour Bureau

National Academy for Training and Research in Social Security

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