A Union Government’s panel, Inter-Ministerial Group (IMG), has come out with fresh recommendations for monetising over ₹1,100 crore worth of surplus land and buildings owned by Central Public Sector Enterprises (CPSEs). It was disclosed by the Union Finance Ministry on Thursday.
The proposals will now go to the Alternative Mechanism, a group authorised to decide on such sales, as further sales can take place only after being approved by it.
IMG is headed by the Secretary of the Department of Public Enterprises (DPE), along with the Secretary of the Department of Telecommunications (DoT).
The latest recommendations are based on the understanding that many public sector enterprises hold land and buildings that are no longer required for their core operations but can potentially be put to productive use through monetisation.
The proposed move is expected to bolster the Centre’s efforts to achieve an ₹80,000 crore target for FY27 from stake sales in state-run firms and asset monetisation.
According to the Department of Investment and Public Asset Management’s (Dipam), the Centre has already raised about ₹55,750 crore from stake sales and around ₹6,367 crore from other asset sales.
Besides, the National Land Monetisation Corporation (NLMC)’s chief executive Rohan Chand Thakur is quoted as saying that the agency expects to bring in another ₹4,000-5,000 crore from surplus land sales by the end of this fiscal year. That is on top of the roughly ₹9,000 crore of land it has already sold.
According to media reports, ₹1,100 crore is part of the expected ₹4,000-5,000 crore monetisation plan by the end of this fiscal year.
NLMC recently concluded the second phase of the e-auction of surplus land parcels belonging to Rashtriya Ispat Nigam Ltd (RINL), generating successful bids worth ₹218 crore from the sale of 114 plots on 3 November.
As per Finance Ministry’s sources, the corporation has auctioned 264 land parcels across two phases, generating total successful bids of ₹584.33 crore, against a combined reserve price of ₹497.29 crore.
The expected proceeds come as the government pursues an ₹80,000 crore target from disinvestment and public-sector asset monetization in fiscal year 2027 (FY27). It has so far realized ₹55,757.29 crore from stake sales in public-sector entities and ₹6,366.93 crore through other asset monetization initiatives, according to data on the Dipam website.
NLMC, functioning under the administrative control of the DPE, is the Centre’s specialised agency for monetising surplus land and other non-core assets. It facilitates the process by working closely with different ministries, departments and asset-owning public sector enterprises.
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