New Delhi, July 26
State-owned BPCL has introduced a voluntary retirement scheme for its workers forward of the federal government privatising the nation’s third largest oil refiner and second-largest gasoline retailer.
“The Corporation has decided to offer a Voluntary Retirement Scheme (VRS), with a view to enable employees, who are not in a position to continue in service of the Corporation due to various personal reasons, to request for grant of voluntary retirement from the services of the Corporation,” Bharat Petroleum Corp Ltd (BPCL) stated in an inside discover to its workers.
The ‘Bharat Petroleum Voluntary Retirement Scheme – 2020 (BPVRS-2020)’ opened on July 23 and can shut on August 13.
A senior firm official stated the VRS has been introduced to supply an exit possibility for any worker or officer who doesn’t need to work below a personal administration.
“Some employees feel their role, position or place of posting may change once BPCL is privatised. So this scheme offers them an exit option,” he stated.
BPCL, the place the federal government is promoting its complete 52.98 per cent stake, has about 20,000 workers.
The official stated 5 to 10 per cent of workers are anticipated to go for VRS.
Expressions of Interest (EoI) for purchasing BPCL are due on July 31.
All workers who’ve accomplished 45 years of age can be eligible for the scheme, in line with the VRS discover accessed by PTI.
It, nonetheless, excludes energetic sportspersons (workers recruited as sportsperson who’re but to be deployed in mainstream) and board degree executives.
“Employees opting for VRS would be eligible to receive a compensation payment equivalent to two months’ salary for each completed year of service or the monthly salary at the time of voluntary retirement multiplied by the balance months of service left before normal data of retirement on superannuation, whichever is less,” it stated.
Repatriation bills, as payable in case of retirement, may even be paid. Employees who go for voluntary retirement can be eligible for medical advantages below Post Retirement Medical Benefit Scheme.
Also, they’d be eligible for encashment of leaves together with informal, earned and privilege leaves.
While these choosing VRS will neither be eligible for employment in firm’s joint ventures nor be engaged as retainers/consultants/advisors, any individuals dealing with disciplinary motion won’t be eligible for the scheme, the discover stated.
BPCL will give consumers prepared entry to 15.three per cent of India’s oil refining capability and 22 per cent of the gasoline market share on the earth’s fastest-growing vitality market.
BPCL has a market capitalisation of about Rs 97,247 crore and the federal government stake at present costs is price over Rs 51,500 crore. The profitable bidder may even need to make an open provide to different shareholders for buying one other 26 per cent on the acquisition worth.
Privatisation of BPCL is crucial for assembly the document Rs 2.1 lakh crore goal the finance minister has set from disinvestment proceeds within the price range for 2020-21.
BPCL operates 4 refineries in Mumbai (Maharashtra), Kochi (Kerala), Bina (Madhya Pradesh), and Numaligarh (Assam) with a mixed capability of 38.three million tonnes every year, which is 15.three per cent of India’s complete refining capability of 249.eight million tonnes.
While the Numaligarh refinery can be carved out of BPCL and bought to a PSU, the brand new purchaser of the corporate will get 35.three million tonnes of refining capability. BPCL additionally owns about 16,309 petrol pumps and 6,113 LPG (liquefied petroleum fuel) distributor businesses within the nation. Besides, it has 51 LPG bottling vegetation.
The firm distributes 22 per cent of petroleum merchandise consumed within the nation by quantity as of March this 12 months and has greater than a fifth of the 256 aviation gasoline stations in India. The authorities has appointed Deloitte Touche Tohmatsu India LLP as its transaction advisor for the strategic disinvestment course of.
The authorities of India is proposing strategic disinvestment of its complete shareholding in BPCL comprising of 114.91 crore fairness shares, which constitutes 52.98 per cent of BPCL’s fairness share capital, together with switch of administration management to a strategic purchaser (besides BPCL’s fairness shareholding of 61.65 per cent in Numaligarh Refinery Ltd), the discover inviting provide stated.
The bidding can be a two-stage affair, with certified bidders within the first EoI part being requested to make a monetary bid within the second spherical.
Public sector undertakings (PSUs) “are not eligible to participate” within the privatisation, the provide doc stated.
Any non-public firm having a web price of USD 10 billion is eligible for bidding and a consortium of no more than 4 corporations can be allowed to bid, it stated.
According to the bidding standards, the lead member of the consortium should maintain 40 per cent stake and others should have a minimal web price of USD 1 billion. Changes within the consortium are allowed inside 45 days, however the lead member can’t be modified, it added. PTI