Miniratna Category-I Status Granted to MECON Limited

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The Ministry of Steel upgraded MECON Limited from its earlier Miniratna Category-II rank to Miniratna Category-I status.

MECON Limited was earlier named Metallurgical & Engineering Consultants Limited. It operates as India's leading engineering, consultancy, and contracting enterprise under the administrative authority of the Ministry of Steel.

The government established the firm in 1959 as the Central Engineering & Design Bureau (CEDB). It initially served as the internal design department for Hindustan Steel Limited (HSL).
Government authorities later converted it into an independent consultancy company. This step aimed to decrease reliance on foreign engineering knowledge for large national projects.

The company offers end-to-end consultancy services from feasibility reports to environmental design and project execution.
It manages complete EPC contracts for building brand new Greenfield sites and upgrading existing Brownfield industrial plants.
It supports India's steel and metallurgy sector while expanding into power, defense, oil, gas, and space infrastructure projects.

The Central Government created the Miniratna scheme in October 1997 for profit-making Central Public Sector Enterprises (CPSEs). It grants higher financial powers and administrative freedom to companies operating without direct budget support.

The status frees profitable public enterprises from daily government red tape so they can compete in international markets.
It allows enterprise management to make rapid decisions regarding investment, joint ventures, and technology partnerships.

The enterprise must generate continuous net profit for 3 consecutive years.
Its pre-tax profit must reach ₹30 crore or higher in at least one of those three years.
The company must maintain a strictly positive net worth buffer.
The company must not default on repaying any loan principal or interest owed to the Central Government.
The business cannot depend on direct government budgetary support or official financial guarantees.
The enterprise must appoint at least 3 independent directors to restructure its board before exercising elevated powers.

The board can sanction capital expenditure up to ₹500 crore or its net worth without seeking prior government clearance.
The company can form joint ventures or overseas subsidiaries and invest up to ₹500 crore, provided it informs the CCEA for foreign projects.
The board can sign strategic partnerships, establish technology JVs, and purchase patents or technical licenses within official guidelines.
The board gains authority to shape human resource policies, design voluntary retirement programs, and handle employee transfers.
The CEO can approve foreign official travel for directors for up to 5 days with simple post-visit notification to the ministry.