The order, which was introduced by Prime Minister Babu Ram Bhattarai earlier this month, clearly states that a committee formed under the chief of the Public Service Commission or someone appointed by him, can interview candidates for the chief´s post at any PE, and forward names of three best applicants to the government for final approval.[break]
But the government has been hesitating to use it, fearing that individuals companies´ constitutions would emerge powerful than the order, forcing it to backtrack on its decision even if appointments were made.
However, a latest study conducted by the Ministry of Finance (MoF) showed that the government had the biggest say in appointment of chiefs in more than 90 percent of the country´s PEs, meaning it wouldn´t land in controversy even if chiefs of PEs were selected by taking aid of the order.
“Now we know the order has some legal teeth, we may even start the process of selecting chief executives of PEs through free competition if need arises,” Khum Raj Punjali, joint secretary at the MoF, told Republica.
Punjali, however, said this would be a stopgap measure and the government will soon come up with an Act to overwrite individual constitutions of PEs and give complete authority to the PE Management Board to initiate the process of selecting the chief executives through free competition.
The MoF had recently found that except at Nepal Orient Magnesite, Agricultural Development Bank Limited and Nepal Housing Development Finance Company - where boards of directors hold the right to appoint chief executives - constitutions of other PEs had a loose clause which mentioned the government had the supreme authority in appointing chiefs. The government is now planning to exploit this clause to give clout to the order in selection process of chief executives.
In this regard, the government is first planning to form a committee under the chief of the Public Service Commission or someone appointed by him to appoint the chief executive of the PE Management Board.
Once the chief executive of the Board is selected, another committee also under the chief of the Public Service Commission or someone appointed by him - which also includes the board´s new chief - will be formed to appoint chief executives of the PEs.
“However, if there is delay in appointment of the board´s chief executive, it will not make a difference in selection of chiefs of PEs, as other members of the committee, who are government officials, will still form a majority even in his absence,” Punjali added.
Related story
Desperate search for missing girls as nearly 80 dead in Texas f...
