July 11: A high-powered government committee will monitor the performance of nine top public sector undertakings (PSUs) which were given financial and functional autonomy under the `Navratna' package last week.

"There are enough checks on the Navratnas which have been uncaged to become global giants as part of government's effort for effective public sector reforms," the industry minister, Murasoli Maran, told PTI.

The high-powered committee, comprising cabinet secretary, finance secretary, expenditure secretary, member secretary of the Planning Commission and secretary of the administrative ministry, would have the secretary in the department of public enterprises as the convenor, he said.

Administrative ministries too would monitor them through a high-powered board comprising the secretary, the PSU chief, and few persons of eminence, Maran said while emphasising that autonomy has been given along with accountability.

"However, this does not mean that the CEO would be goaded into action everyday. We have also asked the navratna boards to constitute internal audit committees," Maran said.

Stressing that PSUs would continue to be an integral part of India's industrial development strategy, he said "we have not resorted to short-cuts of divesting shares to offload our responsibility. We mean reforms."

Stressing that government acted as a trustee to public investment in these psus and "this umbilical cord could not be severed", the minister said it was in fact the first concrete step towards reform in public sector.

"However, in this liberalisation drive parliamentary sensibilities would not be disturbed," he emphasised and said the role of the comptroller and auditor general, the committee on public undertakings and vigilance would continue.

He said the government had given these corporations total freedom in commercial decision-making and substantial managerial powers and they will have to perform now. "In fact, I wanted to give them more powers, but someof the PSU chiefs were reluctant to accept in the given scenario."

Recalling the entire sequence leading to the autonomy package, Maran said right from the beginning there was scepticism among the PSU functionaries, bureaucracy and the politicians.

"Talking of PSU reforms had become a fashion. Politicians were reluctant; bureaucrats were reluctant and the PSU chiefs were reluctant to receive powers. The joint secretaries were attending the psu board meetings. This system has to change," the minister said.

"In fact, it took us one full year to work out and announce the Navratna package," he quipped.