Pma-12 06 2013

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No.

4(1)/2011-DPE (PMA)
Government of India
Ministry of Heavy Industries & Public Enterprises
Department of Public Enterprises

Public Enterprises Bhawan,


Block No. 14, CGO Complex,
Lodi Road, New Delhi
Dated: - 26.03.2014

To

The Chief Executives of all CPSEs.

Subject: - Arbitration cases between CPSEs and other organizations.

Sir/Madam,

Attention is invited to PMA guidelines contained in OPE O.M. No.


4(1)/2011-DPE(PMA)-GL dated 1ih June, 2013. As per the guidelines the
mechanism of PMA is primarily meant for disputes between Central Government
Departments and Central Public Sector Enterprises (CPSEs) and disputes relating
to Commercial contracts between CPSEs. It is not applicable to contracts signed
between a Government Departmentlorganisation/PSE and a private party.
2. Accordingly all CPSEs are required to ensure that the Arbitration clause as
per PMA guidelines of this Department should not be included in their contracts
with private parties.

3. This issues with the approval of Secretary, PE.


~\C
(Jyoti Mathur)
Under Secretary tothe Government of India

Copy to: Administrative Ministries/Departments concerned with CPSEs

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