Government has finalized plans to sell a part of its stake in Coal India, ONGC and NHPC under its disinvestment programme for 2014-15 targeted to mop up around ₹ 58,425 crores. As per the Action Plan of 2014-15 on Disinvestment, Coal India, ONGC and NHPC have been approved for disinvestment. 

The disinvestment target and the actual receipts during the last four years is shown in the table below. 

Table 1: Disinvestment Target and Actual Receipts in last four years (in Rs. crore) 

S. No.	Year	Target	Actual Receipts
1.	2010-11	40,000	22,144.21
2.	2011-12	40,000	13,894.05
3.	2012-13	30,000	23,956.81
4.	2013-14	40,000	15,819.46

As a general phenomenon, other things remaining the same, when the supply of any stock in the market increases, there is a run-down on the stock price. Disinvestment increases the quantity of CPSE stocks in the market. Therefore, the recent fall in share prices of Coal India, ONGC and NHPC is nothing unusual and does not show any diminished appetite for these stocks.   

This information was given by the Union Minister of Finance, Shri Arun Jaitley in written reply to a question in Rajya Sabha today.

Disinvestment policy increases public share supply, which can depress stock prices and doesn't imply reduced investor demand. The 2014-15 Action Plan approves partial sale of government stakes in Coal India, ONGC and NHPC as part of the disinvestment programme and sets an overall receipts target. The release juxtaposes this plan with prior years' disinvestment targets and actual receipts. It asserts that disinvestment increases CPSE share supply, which can depress market prices; thus recent share price falls for those companies reflect increased supply effects rather than reduced investor demand.