Tamil Nadu Chief Minister C. Joseph Vijay on Thursday (June 25, 2026) wrote to Prime Minister Narendra Modi requesting to reconsider the Government of India’s decision of proposed disinvestment of its equity in Neyveli Lignite Corporation (NLC) India Limited.

“The Government of Tamil Nadu strongly opposes, in principle, any further dilution of the Government of India’s equity in NLC India Limited. This issue is of special significance to Tamil Nadu, as NLC India is intrinsically linked to the State through its origin, growth and continuing operations,” Mr. Vijay said in his letter, a copy of which was circulated to the media.

The NLC India is not merely a listed company but a strategic national asset engaged in energy security, mineral development, and critical infrastructure. “Any further dilution of the Government of India’s equity, however limited, sets an undesirable precedent in respect of public ownership of such strategically significant enterprises. It also raises concerns that extend beyond financial considerations and touch upon the long-term interests of the State, its people and the nation’s energy security,” he said.

Tamil Nadu has consistently maintained that the Government of India’s shareholding in NLC India should not be reduced further, Mr. Vijay pointed out. “Public sector enterprises of this nature, particularly those established and expanded with the sustained support of a host State over decades, should continue to remain firmly under effective government ownership and control.”

Mr. Vijay requested the Centre to reconsider its decision relating to the proposed disinvestment and hoped it will give due consideration to the concerns and principled objections of the Tamil Nadu government.

Mr. Vijay further underlined that the enterprise has been built over several decades on land acquired through the State machinery, supported by extensive administrative facilitation, infrastructure development, rehabilitation measures, and the cooperation of the people of Tamil Nadu. “The State, therefore, has a legitimate and enduring stake in the future of this strategically important public sector undertaking,” he said.