1. What do you know about GAIL?

 Gail (India) Limited (GAIL) (formerly known as Gas Authority of India Limited) is
Government of India undertaking company. Gail is the largest state-owned natural gas
processing and distribution company in India. It is headquartered in New Delhi. It is a
state-owned enterprise of the Government of India, under the administrative control of
the Ministry of Petroleum and Natural Gas.

 It has the following business segments: natural gas, liquid hydrocarbon, liquefied
petroleum gas transmission, petrochemical, city gas distribution, exploration and
production, GAILTEL and electricity generation.

 GAIL was conferred with the Maharatna status on 1 Feb 2013, by the Government of
India.[3] Only eight other Public Sector Enterprises (PSEs) enjoy this coveted status
amongst all central CPSEs.

 The company was initially given the responsibility of construction, operation &
maintenance of the Hazira – Vijaypur -Jagdishpur (HVJ) pipeline Project. It was one of
the largest cross-country natural gas pipeline projects in the world. Originally this 1800
Km long pipeline was built at a cost of Rs 1700 Crores and it laid the foundation for
development of market for natural Gas in India.

 GAIL has formed subsidiaries and joint venture companies for city gas distribution and
petrochemicals. GAIL is one of the pioneers to introduce city gas projects in India for gas
supplies to households, commercial users and for the transport sector by forming
subsidiaries/ joint venture companies.

 The following are the competitors of GAIL:

ONGC
Cairn India
Petronet LNG
Oil India
Gujarat Gas.
Guj State Petro, etc.
 2. How much time did you spend on GAIL’s website?

Give a glance and read the initiatives. There are many things on their website.

GAIL Hriday

GAIL remains committed to the principles of Corporate Social Responsibility (CSR) which it strongly
believes play a defining role in the development of the country. The Company’s vision of “value
creation” for all stakeholders remains the guiding force behind the social interventions. A top-to-
bottom, robust governance structure with a dedicated team of CSR professionals, helps in evaluating
and selecting meaningful social programmes which are in alignment with the areas of intervention
specified under the Companies Act 2013.

3. What are the current projects of GAIL that you know about?
 GAIL accelerates work for Jagdishpur-Haldia & Bokaro-Dhamra Pipeline project Completes
awards worth Rs 10,500 crore for line pipe supply and laying. Stepping up the momentum for
construction of the Jagdishpur-Haldia & Bokaro-Dhamra Natural Gas Pipeline (JHBDPL) and
Barauni – Guwahati Pipeline (BGPL) pipeline, GAIL (India) Limited has completed awards for all
major contracts worth Rs. 10,500 crore for pipe supply and laying for the integrated 3,400 km.
long project.
 GAIL has placed an order worth Rs. 475 crore for steel line pipes of approx. 280 km. to provide
pipeline connectivity from Durgapur to Haldia including spur line to Kolkata in West Bengal. Till
date, the company has committed over Rs. 12,500 crore for the project.
 Lump Sum Term Key (LSTK) contract for Talcher Fertilizers Limited project awarded Project will
help revive closed fertilizer plants. Marking an important milestone for Talcher Fertilizers
Limited (TFL), the Lump Sum Term Key (LSTK) contract of the project has been awarded and a
‘Ceremony of Award’ was held here today in the presence of Hon’ble Minister for Chemicals and
Fertilisers, Shri D V Sadananda Gowda, Hon’ble Minster for Petroleum & Natural Gas and Steel,
Shri Dharmendra Pradhan other distinguished guests.

4. What is a PSU? How can a company become a PSU/CPSE?

The government-owned corporations are termed as Public Sector Undertakings (PSUs) in India. In a PSU
majority (51% or more) of the paid up share capital is held by central government or by any state
government or partly by the central governments and partly by one or more state governments.
PSU companies are divided into three categories:

 Maharatna
 Navratna
 Miniratna CPSEs
o Category
o Category II
The companies are classified as maharatna,navratna,miniratna on the basis of net worth and annual
turnover.
  Maharatna
o Three years with an average annual net profit of over Rs. 2500 crore (earlier was 5,000 Cr)
o Average annual Net worth of Rs. 10,000 crore for 3 years (earlier was 15,000 Cr)
o Average annual Turnover of Rs. 20,000 crore for 3 years (earlier was 25,000 Cr)
 Navratna
o A score of 60 (out of 100), based on six parameters which include net profit, net worth, total
manpower cost, total cost of production, cost of services, PBDIT (Profit Before Depreciation,
Interest and Taxes), capital employed, etc.
o A company must first be a Miniratna and have 4 independent directors on its board before it
can be made a Navratna.
 Miniratna Category-I
o Have made profits continuously for the last three years or earned a net profit of Rs. 30 crore
or more in one of the three years.
 Miniratna Category-II
o Have made profits for the last three years continuously and should have a positive net worth.

Maharatna CPSEs
1. Bharat Heavy Electricals Limited
2. Coal India Limited
3. GAIL (India) Limited
4. Indian Oil Corporation Limited
5. NTPC Limited
6. Oil & Natural Gas Corporation Limited
7. Steel Authority of India Limited
Navratna CPSEs
1. Bharat Electronics Limited
2. Bharat Petroleum Corporation Limited
3. Container Corporation of India Limited
4. Engineers India Limited
5. Hindustan Aeronautics Limited
6. Hindustan Petroleum Corporation Limited
7. Mahanagar Telephone Nigam Limited
8. National Aluminium Company Limited
9. National Buildings Construction Corporation Limited
10. NMDC Limited
11. Neyveli Lignite Corporation Limited
12. Oil India Limited
13. Power Finance Corporation Limited
14. Power Grid Corporation of India Limited
15. Rashtriya Ispat Nigam Limited
16. Rural Electrification Corporation Limited
17. Shipping Corporation of India Limited
Miniratna Category - I CPSEs
1. Airports Authority of India
2. Antrix Corporation Limited
3. Balmer Lawrie & Co. Limited
4. Bharat Dynamics Limited
5. BEML Limited
6. Bharat Sanchar Nigam Limited
7. Bridge & Roof Company (India) Limited
8. Central Warehousing Corporation
9. Central Coalfields Limited
10. Chennai Petroleum Corporation Limited
11. Cochin Shipyard Limited
12. Container Corporation of India Limited
13. Dredging Corporation of India Limited
14. Ennore Port Limited
15. Garden Reach Shipbuilders & Engineers Limited
16. Goa Shipyard Limited
17. Hindustan Copper Limited
18. HLL Lifecare Limited
19. Hindustan Newsprint Limited
20. Hindustan Paper Corporation Limited
21. Housing & Urban Development Corporation Limited
22. India Tourism Development Corporation Limited
23. Indian Railway Catering & Tourism Corporation Limited
24. IRCON International Limited
25. KIOCL Limited
26. Mazagaon Dock Limited
27. Mahanadi Coalfields Limited
28. Manganese Ore (India) Limited
29. Mangalore Refinery & Petrochemical Limited
30. Mishra Dhatu Nigam Limited
31. MMTC Limited
32. MSTC Limited
33. National Fertilizers Limited
34. National Seeds Corporation Limited
35. NHPC Limited
36. Northern Coalfields Limited
37. North Eastern Electric Power Corporation Limited
38. Numaligarh Refinery Limited
39. ONGC Videsh Limited
40. Pawan Hans Helicopters Limited
41. Projects & Development India Limited
42. Railtel Corporation of India Limited
43. Rail Vikas Nigam Limited
44. Rashtriya Chemicals & Fertilizers Limited
45. RITES Limited
46. SJVN Limited
47. Security Printing and Minting Corporation of India Limited
48. South Eastern Coalfields Limited
49. State Trading Corporation of India Limited
50. Telecommunications Consultants India Limited
51. THDC India Limited
 52. Western Coalfields Limited
53. WAPCOS Limited
Miniratna Category-II CPSEs
1. Bharat Pumps & Compressors Limited
2. Broadcast Engineering Consultants (I) Limited
3. Central Mine Planning & Design Institute Limited
4. Central Railside Warehouse Company Limited
5. Ed.CIL (India) Limited
6. Engineering Projects (India) Limited
7. FCI Aravali Gypsum & Minerals India Limited
8. Ferro Scrap Nigam Limited
9. HMT (International) Limited
10. HSCC (India) Limited
11. India Trade Promotion Organisation
12. Indian Medicines & Pharmaceuticals Corporation Limited
13. M E C O N Limited
14. Mineral Exploration Corporation Limited
15. National Film Development Corporation Limited
16. National Small Industries Corporation Limited
17. P E C Limited
18. Rajasthan Electronics & Instruments Limited

5. What are the conditions for a company to become a Maharatna company?

The CPSEs fulfilling the following criteria are eligible to be considered for grant of Maharatna
status.

(1). The CPSE should already be a Navratna company.

(2). The CPSE should have average annual turnover of more than Rs. 25,000 crore, during the
last 3 years.

(3). The CPSE's average annual net profit after tax should be more than Rs. 5,000 crore, during
the last 3 years.

(4). The CPSE should be listed on Indian Stock exchange with minimum prescribed public
shareholding under SEBI regulations.

(5). The CPSE should have average annual net worth of more than Rs. 15,000 crore, during the
last 3 years.
The CPSE should have significant presence globally.

Criteria to become Navratna company:-

(1). A CPSE which falls under the Miniratna (Category – I and Schedule ‘A’ CPSEs), has obtained
rating of ‘very good’ or ‘excellent’ in 3 of the last 5 years.
(2). A CPSE which has composite score of 60 or above in the 6 selected performance parameters,
namely;

(I). Net profit to net worth

(II). Earnings per share

(III).Profit before interest and taxes to turnover

(IV).Profit before depreciation, interest and taxes to capital employed

(V) Manpower cost to total cost of production/services

(VI) Inter-Sectoral performance

Criteria for grant of Miniratna status:-

1. The CPSEs which have made profits in the last 3 years continuously

2. The CPSEs which have positive net worth