Thiruvananthapuram: Despite initial assurances that public sector institutions would not be shut down but rather optimized for profitability, the government has announced the closure of 18 Public Sector Undertakings (PSUs) citing financial challenges. The revelation came through a report released by the Centre for Management Development (CMD), revealing that a significant portion of the 149 PSUs are operating at substantial losses.
Leading the list of losses is the Kerala State Road Transport Corporation (KSRTC) with a loss of Rs 1521 crores, followed closely by the Water Authority with Rs 1312 crores, and the Pension Fund Limited with Rs 1043 crores. Other entities such as KSEB and Supplyco are also grappling with considerable daily losses. The closure of numerous PSUs, juxtaposed with the substantial aid provided to KSTRC, sends a clear message regarding the government’s priorities.
The Finance Department maintains that PSUs must sustain themselves through their own revenue streams. However, concerns linger among many, especially as the government’s budget openly welcomes private capital investment while seemingly neglecting the fate of the public sector.
Among the PSUs slated for closure are Kerala Premo Pipe Factory Limited, Kanjikode Electronics and Electricals Ltd, Keltron Counters Ltd, Keltron Power Devices Ltd, Keltron Rectifiers Ltd, Kerala Garments Ltd, Kerala Wood Industries Ltd, Kunnathara Textiles Ltd, Kerala Asbestos Cement Pipe Factory Ltd, Kerala State Housing Development Finance Corporation Ltd, Kerala High-Speed Rail Corporation Ltd, Pratheeksha Bus Shelters Kerala Ltd, Sidco Mohan Kerala Ltd, Sidkel Televisions Ltd, Vanjinad Leathers Ltd, Ashwas Public Amenities Kerala Ltd, Kerala School Teachers and Non-Teaching Staff Welfare Corporation Ltd, and Kerala Special Refractories Ltd.