Policy Division deals with the issues related to management of CPSEs including the Organizational Structure, Composition of Boards and Categorization of CPSEs to appropriate Schedule including conferring ‘Ratna Status’ as per the Ratna scheme of Government of India and matters relating to non-official directors on the Board of CPSEs.

Memorandum of Understanding (MoU):--

1) Memorandum of Understanding (MoU) is a negotiated agreement between the Administrative Ministry/ Department and CPSEs.

2) The division works as a secretariat of Inter-Ministerial Committee (chaired by Secretary, DPE) for implementation of MoU framework whose purpose is to measure the performance of the management of the CPSEs on key selected parameters.

3) The division also monitors and compiles the information on CAPEX incurred by select CPSEs (having annual CAPEX target of more than Rs. 500 Crore).

4) This division also issues/revises Corporate Governance guidelines and compiles compliance reports of CPSEs on Corporate Governance