Ministry of Heavy Industries and Public Enterprises

About Ministry

• The Ministry of Heavy Industries and Public Enterprises is an executive agency of the Government of India that administers 48 central public sector enterprises (PSEs) and assists them in their effort to improve capacity utilisation and increase profitability, generate resources and re-orient strategies to become more competitive. The ministry serves as an interface between PSEs and other agencies for long-term policy formulation. The ministry also encourages the restructuring of PSEs to make their operations competitive and viable on a long-term and sustainable basis.
• The Ministry of Heavy Industries and Public Enterprises has two departments namely –

• • Department of Heavy Industry
    1. The vision of the Department is to have Modern, Healthy and Robust Auto, Heavy Engineering, Heavy Electrical & Capital Goods Sectors And Self-reliant & Growth Oriented Public Sector Undertakings Under the Department.
    2. The allocation of work of the Department of Heavy Industry entails promoting engineering industry viz. machine tools, heavy electrical, industrial machinery and auto industry and administration of 32 operating CPSEs and 4 autonomous organizations. The CPSEs manufacture a wide range of products Boilers, Gas/Steam/ hydro turbines, industrial machinery, turbo generators, three wheelers, tractors and consumer products such as paper, salt, tyres and watches. The Ministry also looks after the machine building industry and caters to the requirements of equipment for basic industries such as steel, non-ferrous metals, power, fertilizers, refineries, petrochemicals, shipping, paper, cement, sugar, etc. The Department supports the development of a range of intermediate engineering products like castings, forgings, diesel engines, industrial gears and gear boxes.

• • Department of Public Enterprises (DPE)
    1. The Department of Public Enterprises is the nodal department for all the Central Public Sector Enterprises (CPSEs) and formulates policy pertaining to CPSEs. It assists in policy formulation pertaining to the role of PSEs in the economy by laying down policy guidelines on performance improvement and evaluation, financial accounting, personnel management and in related areas. It furthermore collects and maintains information in the form of a Public Enterprises Survey on several areas in respect of CPSEs.
    2. The Department has five constituent Divisions, viz; the Financial Policy Division, the Management Policy Division, the MOU Division, the Administration & Coordination Division and Permanent Machinery of Arbitration.

 

FASTER ADOPTION AND MANUFACTURING OF (HYBRID &) ELECTRIC VEHICLES-II (FAME)

Objectives

• • To encourage faster adoption of electric & hybrid vehicle by the way of market creation and indigenization.
  • To provide fiscal and monetary incentives for adoption and market creation of both hybrid and electric technologies vehicles in the country.
  • to achieve the target of more than 30% electric vehicles by 2030 (earlier target 100%).

Salient Features

• • FAME Phase II builds over the Phase 1 of the scheme (which began in 2015 & has been extended till March, 2019) with greater focus on demand-creation by pushing adoption of EVs in public transport/commercial segment (in comparison to consumer segment).
  • It will be implemented over the period of 3 years from 2019-20 to 2021-22.
  • Electrification of the public & shared transport – it is planned to support 10 Lakhs e-2W (electric – 2 Wheeler), 5 Lakhs e-3W, 55000 4Ws and 7000 Buses.
    • • Demand incentives on operational expenditure mode for electric buses will be delivered through State/city transport corporation (STUs).
      • Incentives will be given to 3-wheeler/4 wheeler vehicles used for public transport or registered for commercial purposes.
      • In e-2Ws segment, the focus will be on the private vehicles.
  • Local manufacturing: Special incentives will be given for local manufacturing of critical components for electric vehicles, especially the lithium ion batteries.
  • Establishment of charging infrastructure: About 2700 charging stations will be established in metros, million plus cities, smart cities and cities of hilly states across the country.
    • • The guidelines propose setting up at least one charging station in a grid of 3km x 3km in the cities; and on both sides of highways connecting major city clusters at every 25km.
      • Existing retail outlets of oil marketing companies (OMCs) will be given higher preference for setting up public charging stations.
  • It is under the National Electric Mobility Mission Plan 2020.

 

NATIONAL ELECTRIC MOBILITY MISSION PLAN (NEMMP)

Objectives

• • It aims to achieve full national fuel security by promoting hybrid and electric vehicles in the country.

Salient Features

• • It targets 6-7 million sales of hybrid and electric vehicles year on year from 2020 onward.
  • Government aims to provide fiscal and monetary incentives to kick start this nascent technology which would be administered through an efficient and effective electronic mechanism/portal.

 

SAMARTH Udyog Bharat 4.0

Launched by Department of Heavy Industries, Ministry of Heavy Industries and Public Enterprises.

Objective

• • To facilitate and create eco system for propagation of Industry 4.0 set of technologies in every Indian manufacturing by 2025, be it MNC, large, medium or small scale Indian company.

Salient Features

• The Initiative is based on following piers-
  • 1. Pier I – Awareness and Demystification – Developing programmes, programme contents, institutions, cadre of experts and cooperation to create awareness
    2. Pier II – Experience and Demo Centres – Creation of network in every manufacturing cluster to provide demonstration, experience and adoption of technology
    3. Pier III – Training and Skills – Creation of training programmes, training content, methodology, trainers, institutions and support mechanisms to train Indian manufacturing personnel in new trades required by induction of Industry 4.0.
    4. Pier IV – Industry and Academia – Developing network and cooperation between industry and academia with the objective of graduate students having knowledge and skills required in the industry for Industry 4.0. This includes setting up start-ups, incubators, bridge courses, recognition of prior learning and continued learning.
    5. Pier V – Engineering Research and Applicable of Industrial 4.0 Technologies – Creation of institutional capacities, projects, programmes and IPR for new applications of Industry 4.0 required by the country, which are different than the one adopted by the West.
    6. Pier VI – International Cooperation – Creation of cooperation and programmes for by directional flow of knowledge and skills between India and the rest of the world related to Industry 4.0.
• All stake holders whether in line function or in support function of manufacturing and software based in India are proposed to be brought together in grand alliance on Industry 4.0.

 

CAPITAL GOODS SCHEME

Launched by Department of Heavy Industries, Ministry of Heavy Industries and Public Enterprises.

Objective

to support the industry to modernize technologies from current status to global level and beyond. 

Salient Features

• The scheme has five components to achieve the desired result in pilot mode –
  1. Creation of “Advanced Centres of Excellence” for R & D and Technology Development with National Centres of Excellence in Education and Technology
  2. Establishment of “Integrated Industrial Infrastructure Facilities” popularly known as Machine Tool Parks with a basic objective of making the machine tool sector more competitive by providing an ecosystem for production.
  3. Common Engineering Facility Centre” for Textile Machinery is to be set up with active participation of the local industry and the industry association, which in turn would improve facilitation to the users along with visibility.
  4. Testing and Certification Centre” for earth moving machineries in view of the fact that it is soon going to be made a mandatory requirement and at present there is no test facility to test earth-moving machinery like that in the automobile industry.
  5. The creation of a “Technology Acquisition Fund” under the Technology `Acquisition Fund Programme (TAFP) in order to help the Capital Goods Industry to acquire and assimilate specific technologies, for achieving global standards and competitiveness within a short period of time.
• Two windows are provided in the scheme –
  1. For those technologies, which are commercially not available for transfer, indigenous development at IITs and like institutions by a consortium of technology seekers grants support given upto 80% of the cost of development subject to maximum of Rs. 100 core per case within a budget of Rs.250 crore.
  2. Those technologies, which are commercially available and can be acquired by a company or a group of companies the scheme provides grant support upto 25% of the technology acquisition costs or Rs.10 crore whichever is less; within an overall budget of Rs. 50 crore.
• The scheme also supports establishment of Common Engineering Facilities by a group of user industries. Upto 80% of the project cost could be given as grants.
• The Scheme also supports setting up one each of Test Centre for Earth moving & Construction Equipment and Industrial Park. ( 100% upto Rs.100 crore and upto 80% subject to maximum of Rs.125 crore).

 

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