Odisha CM opposes Centre's decision to sell stakes in Nalco

The Centre's decision to sell 12.15 per cent stakes in National Aluminium Company Limited (NALCO) has caused strong resentment from various quarters. Opposing the decision, chief minister Naveen Patnaik said, "Nalco is doing well. The Navaratna company is making profits. There was no need to disinvest it."

Activists of different trade unions and employees also staged demonstrations in front of Nalco's Captive Power Plant and Smelter plant at Angul on Saturday. Satrughana Tarai, the working president of Nalco Aluminium Mazdoor Sangha said, "Nalco has provided Rs 3660 crore as dividend to the central government and it has an equity value of Rs13, 886 crore now. In this situation, the Union government's move to sell its stakes is not justified."

Nalco Employees' Central Union (NECU) has strongly opposed the decision and threatened that the decision may lead to violent agitation though out the state. In the past whenever any government has taken a move to sale the state, the people of Odisha have protested. The proposal of sale may be withdrawn to avoid discontentment and agitation, an official release said. A prestigious Navaratna company, NALCO has been making profit for the last three decades and by reducing the share of government to 75 per cent, the government will lose huge dividend, the release added.

Also on Saturday, the Nalco Employees Union (NEU) of the company's refinery unit situated at Damanjodi in Koraput district wrote a letter to Prime Minister Manmohan Singh to review the government's decision.

"The recent decision of divestment is a big blow, especially at a time when Nalco is bleeding and is down with low share price." the letter read.