Ministry First position by achieving 415 per cent in procurement through GeM
New Delhi, 09 March: Coal sector public sector undertakings (PSUs) have surpassed the capital expenditure target for the current financial year 2023-24 by achieving 106.74 percent of the annual target. The Coal Ministry has stood first in procurement through Government e-Market Place (GeM) by achieving 415 percent of the target set for the current financial year.
In a statement issued on Saturday, the Coal Ministry said that the Ministry has achieved 106.74 percent of the target set for the financial year 2023-24 in terms of procurement. Coal sector public sector undertakings achieved 104.86 per cent of their target in the financial year 2021-22. Their performance was also better in the financial year 2022-23, when the coal PSU achieved 109.24 per cent of the set target. The capital expenditure of coal PSUs has been increasing year on year during the last 3 years. With this, the Ministry has achieved notable achievements in Government e-Marketplace (GeM) procurement.
The capital expenditure target of the Coal Ministry for the financial year 2023-24 is Rs 21,030 crore. According to the ministry, the coal PSU has already surpassed the target for the current financial year 2023-24 by achieving a record capital expenditure of Rs 22,448.24 crore by February 2024 itself, i.e. 106.74 per cent of the annual target. The major portion of capital expenditure is incurred in the last two months of a financial year. Therefore, it is expected that CIL and NLCIL will further enhance their achievements during the current financial year and provide further impetus to India’s economic growth.
Public sector coal companies under the administrative control of the Ministry of Coal have been at the forefront of capital expenditure to help and contribute to the transformation of the Indian economy. During the last few years, Central Government Coal Public Sector Undertakings (CPSEs) have been exceeding the capital expenditure targets.
It is noteworthy that Capital Expenditure i.e. CapEx is one of the important components of dynamism of any economy, which has manifold and downstream effects on the entire economy. This leads to increased consumption, demand and industrial growth, employment generation and long-term infrastructure, which benefits the country in the long run.
