Finance minister to set up naming committee for state company supervisory boards
Finance Minister Sven Sester (IRL) is planning to set up a committee of experts at the beginning of next year that would help ministers appoint supervisory committees of state-owned companies.
“In the past few months the Ministry of Finance has made preparations for launching the naming committee, and I will soon present the necessary decisions to the government so that it would be possible to start work at the beginning of next year,” Sester told BNS on Monday.
Until the naming committee is created, the present regulation, according to which ministers appoint members of supervisory boards, will remain in force.
The naming committee model is used in bigger listed companies in order to choose members of supervisory boards based on professional skills and experience.
According to the proposal, the optimal size of such a committee would be five to seven people, and would include people from the private as well as the public sector. Two of the private sector’s representatives would be appointed by the Estonian Employers’ Confederation and the Chamber of Commerce and Industry, and the rest of the sector’s representatives appointed at the joint proposal of the Finance Minister and the Minister of Economic Affairs and Infrastructure. The state would have two representatives: the secretary general of the Ministry of Finance, and the secretary general of the ministry that manages ownership.
Members of the committee would be appointed for three years and would have to pass an anti-corruption background check as well as need an impeccable resume.