On behalf of the Board of Directors, I have great pleasure in
presenting to you, the 40th Annual Report of Coal India Limited (CIL)
and Audited Accounts for the year ended 31st March, 2014, together with
the reports of Statutory Auditors and Comptroller and Auditor General
of India thereon.
Coal India Limited (CIL) is a 'Maharatna' company under the Ministry of
Coal, Government of India with headquarters at Kolkata, West Bengal.
CIL is the single largest coal producing company in the world and one
of the largest corporate employers with a manpower of 3,46,638 (as on
1st April, 2014). CIL operates through 82 mining areas spread over
eight provincial states of India. Coal India Limited has 429 mines of
which 237 are underground, 166 opencast and 26 mixed mines. CIL further
operates 17 coal washeries, (13 coking coal and 4 non-coking coal) and
also manages other establishments like workshops, hospitals, and so on.
CIL has 27 training Institutes. Indian Institute of Coal Management
(IICM) is an excellent training centre operates under CIL and imparts
multi disciplinary management development programmes to the executives.
Coal India's major consumers are Power and Steel sectors. Others
include cement, fertilizer, brick kilns, and a host of other
CIL has eight fully owned Indian subsidiary companies (direct):
Eastern Coalfields Limited (ECL),
Bharat Coking Coal Limited (BCCL),
Central Coalfields Limited (CCL),
Western Coalfields Limited (WCL),
South Eastern Coalfields Limited (SECL),
Northern Coalfields Limited (NCL),
Mahanadi Coalfields Limited (MCL) and
Central Mine Planning & Design Institute Limited (CMPDIL).
In addition, CIL has a foreign subsidiary in Mozambique namely Coal
India Africana Limitada (CIAL).
The mines in Assam i.e. North Eastern Coalfields continue to be managed
directly by CIL. Similarly, Dankuni Coal Complex also continues to be
on lease with South Eastern Coalfields Limited.
MCL has three subsidiaries, namely MNH Shakti Ltd., MJSJ Coal Ltd. and
Mahanadi Basin Power Ltd.
a. MNH Shakti Limited
MNH Shakti Limited has been formed with MCL having 70% stake along with
Neyveli Lignite Corporation and Hindalco holding the rest. The coal
production is targeted from Talabira OCP with an annual capacity of 20
b. MJSJ Coal Limited
MJSJ Coal Limited has been formed with MCL having 60% stake along with
JSW Steel, Jindal Thermal Power Limited, Jindal Stainless Steel and
Shyam Metallics & Energy Limited holding the rest. The coal production
is targeted from Gopalprasad OCP with an annual capacity of 15 MT.
c. Mahanadi Basin Power Limited
Mahanadi Basin Power Limited has been formed on 2nd December'2011 as a
SPV with 100% shares held by MCL with power generation capacity of
2X800 MW through Pit Head power plant at Basundhara Coalfields.
Joint Venture with OPTCL
MCL has also formed a joint venture Company viz., Neelanchal Power
Transmission Company Pvt. Limited (NPTCPL) on 8th January, 2013 with an
objective of carrying out power transmission business jointly with M/s
OPTCL having an equity share holding of 50:50.
Subsidiaries of SECL
SECL has formed two subsidiary companies viz. M/s Chhattisgarh East
Railway Ltd on 12th March'2013 and M/s Chhattisgarh East- West Railway
Ltd on 25th March'2013 with 64% holding in each of the subsidiaries for
construction of railway lines for evacuation of coal.
1. NOTABLE ACHIEVEMENTS
- For the year 2013-14, the Company has achieved a production of 462.42
MT, removed OB of 806.544 MM3 and achieved an off-take of 471.58 MT.,
with a growth of 2.26%, 8.01% and 1.38% respectively compared to last
- ECL and BCCL not only achieved their AAP targets of coal production,
OB removal and off-take but also recorded a
significant growth in coal production and OB removal. SECL has also
achieved the AAP target of coal production with 5.11% growth.
- OB removal during this year is noteworthy as it has registered an
overall growth of 8.01% over last year. The composite excavation (Coal
+ OB) in CIL has registered a growth of 6.7% over last year.
- Coal supply to power utilities during the year is 353.83 MT., which
is 94.1% of the target and has registered a
growth of about 2.4% compared to last year. This dispatch achievement
is 86% against the quantity committed under FSA/MoU to power utilities.
- CIL has paid an interim dividend @ of 290% i.e. Rs. 29/- per share of
face value of Rs. 10/-. This is the highest ever dividend paid by the
Company till date.
2. FINANCIAL PERFORMANCE
2.1 Financial Results (CIL consolidated)
CIL is one of the largest profit making and tax and dividend paying
enterprises. CIL and its subsidiaries have achieved an aggregate
pre-tax profit of Rs. 22,879.54 crores for the year 2013-14 against a
pre-tax profit of Rs. 24,979.04 crores in the year 2012-13.
(Rs. in crores)
Company (CIL subsidiaries/ 2013-14 2012-13
CIL standalone) Profit Profit
ECL (+) 1299.28 (+) 1897.18
BCCL (+) 2089.01 (+) 1709.06
CCL (+) 2525.87 (+) 2683.56
NCL (+) 3355.71 (+) 4420.58
WCL (+) 325.86 (+) 428.87
SECL (consolidated) (+) 7202.40 (+) 6290.37
MCL (consolidated) (+) 5429.08 (+) 6202.48
CMPDIL (+) 34.60 (+) 29.77
CIL (standalone) (+) 15420.47 (+) 10338.03
Sub-Total (+) 37682.28 (+) 33999.90
Less: Dividend from
Subsidiaries (-) 14406.82 (-) 9038.08
Total (+) 23275.46 (+) 24961.82
Adjustment for deferred
revenue income (+) - (+) 18.34
Adjustment for exchange
rate variation on Current
Account of overseas subsidiary (+) 0.72 (+) (1.12)
Adjustment for waiver of
accrued interest of BCCL (396.64)
Overall Profit as per
Consolidated Accounts (+) 22879.54 (+) 24979.04
CIL as a group has achieved post tax profit of Rs. 15,111.67 crores in
2013-14 (excluding share of minority loss of Rs. 0.04 crore; previous
year: Nil) as compared to Rs. 17,356.36 crores in 2012-13.
Highlights of performance
The highlights of performance of Coal India Limited including its
subsidiaries for the year 2013-14 compared to the previous year are
shown in the table below:
Production of Coal (in million tonnes) 462.42 452.21
Off-take of Coal (in million tonnes) 471.58 465.18
Sales (Gross) (Rs./Crores) 89374.51 88281.32
Capital Employed (Rs./Crores) Note- 1 74891.87 78984.09
Capital Employed (Rs./Crores)-
excluding capital work in
progress and intangible assets
under development. 70386.60 75488.14
Net Worth (Rs./Crores) (as per Accounts) 42391.86 48460.81
Profit Before Tax (Rs./Crores) 22879.54 24979.04
Profit After Tax (Rs./Crores) 15111.67 17356.36
PAT / Capital Employed (in %) 20.18 21.97
Profit before Tax / Net Worth (in %) 53.97 51.54
Profit after Tax / Net Worth (in %) 35.65 35.82
Earning Per Share (Rs.)
(Considering face value
of Rs. 10 per share) 23.92 27.63
Dividend per Share (Rs.)
(Considering face value
of Rs. 10 per share) 29.00 14.00
Coal Stock (net) (in terms of no.
of months net sales) 0.72 0.76
Trade Receivables (net) (in terms
of no. of months gross sales) 1.11 1.42
Capital employed = Gross Block of Fixed assets (including capital work
in progress and intangible assets under development) less accumulated
depreciation plus current assets minus current liabilities.
Transfer to reserves
During the year 2013-14, transfer to various reserves out of CIL
(standalone) profits are as under:- Transfer to General Reserves - Rs.
1500.85 crores Transfer to CSR Reserves - Rs. 25.34 crores Transfer to
Sustainable Development Reserves - Rs. 10.19 crores
2.2 Dividend Income and Pay Outs (CIL- standalone)
While the financial statements of both CIL standalone and CIL
consolidated are presented separately, it is only the CIL (standalone)
which is listed and is relevant for dividend payment to its
shareholders. The dividend to its shareholders are paid out of CIL's
standalone income, the major part of which constitutes the dividend
income received by it (CIL - standalone) from its five profit making
subsidiaries i.e. CCL, NCL, WCL, SECL and MCL.
The breakup of such dividend (interim + final) received and accounted
for during the year from different subsidiaries are given below:- (Rs. in
crores) Company (paying subsidiaries) Dividend Income of CIL
CCL 1009.37 1486.74
NCL 2746.12 1662.05
WCL 194.60 184.04
SECL 3444.63 2984.73
MCL 7012.10 2720.52
Total 14406.82 9038.08
During the year, Coal India Limited (standalone) has paid a total
dividend (by way of interim dividend) of Rs. 18317.46 crores @ Rs. 29/- per
share on 6316364400 number of Equity Shares of Rs. 10/- each fully paid
up. Out of the above total dividend, the share of Govt of India was Rs.
16485.71 crores and for other shareholders, Rs. 1831.75 crores. (Earlier
year - Govt of India - Rs. 7958.62 crores and other shareholders - Rs.
2.3 Observation of the Statutory Auditors
The Statutory Auditors have given their observations on the standalone
accounts of the Company for the year ended 31st March'2014. The
Auditors' observations in terms of Section 217(3) of the Companies
Act'1956 and Management Explanation are enclosed as Annexure IV.
3. COAL MARKETING
3.1 (a) Off-take of Raw Coal
Off-take of raw coal continued to maintain its upward trend and reached
471.58 million tonnes for fiscal ended March 2014, surpassing previous
highest figure of 465.18 million tonnes achieved during the last year,
i.e., an increase of 1.4 % over the last year. The overall raw coal
off-take achieved was 95.8 % of the Annual Action Plan Target.
Company-wise coal off-take:-
The Company-wise target vis-…-vis actual off-take for 2013-14 and
2012-13 are shown below:
Figs. in million tonnes
2013-14 2012-13 Growth over
Company AAP Target Achieved % Achieved Achieved Abs. %
ECL 35.20 36.26 103.0 35.84 0.42 1.2
BCCL 33.20 34.20 103.0 33.04 1.16 3.5
CCL 57.20 52.12 91.1 52.89 -0.77 -1.5
NCL 73.50 72.11 98.1 67.29 4.82 7.2
WCL 44.10 39.94 90.6 41.55 -1.61 -3.9
SECL 124.50 122.03 98.0 121.99 0.04 0.03
MCL 123.30 114.34 92.7 111.96 2.38 2.1
NEC 1.00 0.58 58.0 0.62 -0.04 -6.5
CIL 492.00 471.58 95.8 465.18 6.40 1.4
From the above, it may be seen that ECL and BCCL had not only exceeded
their targets but also achieved positive growth over last year's
off-take. Barring CCL, WCL and NEC all other coal companies registered
a positive growth in off-take. Off-take from CCL was affected due to i)
strike by contractor's workers, dismantling of Purnadih bridge as per
the order of High Court ii) stringent restrictions imposed by State
Government to ensure implementation of permissible carrying capacity
causing resentment among the contractors and their reluctance to
execute the contract iii) Naxalite/Extremists restricted loading from
Tori siding for a considerable period of time and iv) frequent Bandhs /
local agitation. At WCL, unprecedented heavy rain during monsoon had a
devastating effect. Damaged roads and bridges, inundation of open-cast
mines, badly affected coal transportation and off-take. Less lifting by
MAHAGENCO-Power stations, MPEB-Sarni, HPGCL-Panipat, GEB-Ukai etc. also
led to the shortfall.
(b) Sectorwise dispatch of coal & coal products:-
Sector-wise break-up of dispatch of coal and coal products during
2013-14 against target and last year's actuals are given below:-
Figs. in million tonnes
Year 2013-14 2012-13 Growth over Last Year
Sector AAP Target Dispatch % Satn. Actual Abs. %
(Util) 376.18 353.83 94.1 345.43 8.40 2.4
Steel * 4.72 3.66 77.5 4.74 -1.08 -22.8
Cement** 7.08 5.45 77.0 6.47 -1.02 -15.8
Fertilizer 2.84 2.29 80.6 2.50 -0.21 -8.4
Others 99.72 106.25 106.5 107.07 -0.82 -0.8
Despatch 490.54 471.48 96.1 466.21 5.27 1.1
* despatch of washed coking coal and raw coking coal for direct feed,
blendable coal to steel plants and to external washeries.
** despatch to cement plants excluding cement cpp.
3.2 Dispatch of coal and coal products by various modes:-
Dispatch of coal and coal products during 2013-14 went upto 471.48
million tonnes from 466.21 million tonnes registering a growth of 1.1
%. Overall despatch by non-rail mode had been almost 104% of the
target. Growth in despatches via rail mode was 3.3 % whereas overall
non-rail mode it went down by 1.4 % compared to previous year. Movement
by MGR was at par with last year. The performance could have been even
better, but for less movement through MGR at ECL, NCL, MCL and WCL.
Road dispatch of CIL was more than the target set.
Dispatch of coal and coal products by various modes for the years
2013-14 and 2012-13 are given below:
(Figs. in million tonnes)
Year 2013-14 2012-13 Growth over Last Year
Mode AAP Target Despatch % Satn. Actual Abs. %
Rail 285.76 259.41 90.8 251.11 8.30 3.3
Road 99.12 112.81 113.8 115.68 -2.87 -2.5
MGR 93.24 88.75 95.2 88.77 -0.02 0.0
Modes 12.42 10.51 84.6 10.65 -0.14 -1.3
Overall 490.54 471.48 96.1 466.21 5.27 1.1
3. 3 Wagon Loading
Overall wagon loading materialization was 90.3 % of target. This was
achieved due to sustained efforts and regular coordination with
railways at different levels. The increase in loading over last year
was of 6.12 rakes per day. Company wise performance showed that ECL,
NCL and SECL had exceeded last year's level of loading and almost
achieved their target. Also, Rake loading performance was more than
last year at BCCL, WCL and MCL.
(Figs. in Rake/day)
2013-14 2012-13 Growth over last
Company AAP Target Achieved % Achieved Achieved Abs. %
ECL 18.22 18.02 98.9 17.78 0.24 1.3
BCCL 24.97 22.16 88.7 20.84 1.32 6.3
CCL 34.95 25.21 72.1 27.26 -2.05 -7.5
NCL 20.98 20.88 99.5 18.67 2.21 11.8
WCL 16.99 15.70 92.4 15.16 0.54 3.6
SECL 35.02 34.25 97.8 32.90 1.35 4.1
MCL 58.69 53.51 91.2 50.83 2.68 5.3
NEC 0.87 0.43 49.4 0.60 -0.17 -28.3
CIL * 210.69 190.16 90.3 184.04 6.12 3.3
Note: Due to revision of wagon loading figures submitted by Railway
Board, Kolkata and WCL, Nagpur for the year 2012-13 - the loading is
shown as 184.04 rakes/day, instead of 186.4 rakes/day. The difference
was caused due to inclusion of non-CIL loading by Railways in the
loading figures of WCL which was subsequently corrected by Railways and
The loading would have been more but for the following reasons:
- Cyclone 'Phailin' followed by devastating rainfall in October' 2013.
- At ECL, regulated lifting by many power utilities like WBPDCL, NTPC,
DPL and RGTP-Hissar etc either, due to high stock at TPS end or
non-payment of advance coal values as per terms of FSA and frequent
railway restrictions due to movement of imported rakes/up-country
- At CCL, Naxalite/Extremists restricted loading from Tori siding for a
considerable period of time; frequent bandhs/ local agitation and
regulated lifting by HPGCL power stations.
- At NCL, regulated lifting by HPGCL, RRVUNL and Rajghat TPS and
non-payment of advance coal values as per terms of FSA by the Power
- At WCL, less lifting by MAHAGENCO-Power stations, MPEB-Sarni,
HPGCL-Panipat, GEB-Ukai etc.
- At SECL, regulated lifting by GEB & RRVUNL.
- At MCL, contractor's workers went on strike at S-3 and S-4 siding of
Talcher field during October'13-January'14 and restriction in
transportation and loading activity imposed by State Govt of Odisha
from 11.00 AM to 3.30 PM during summer due to excessive heat.
3.4 Consumer satisfaction
i) In order to ensure enhanced customer satisfaction, special emphasis
has been given to quality management. Steps were taken to monitor
quality right at the coalface apart from bringing further improvements
in crushing, handling, loading and transport system.
ii) CIL has built coal handling plants with capacity of about 296 MT
per annum so as to maximize despatches of crushed/sized coal to the
consumer. In addition, washeries at BCCL, CCL, WCL and NCL have
adequate crushing/sizing facilities of about 39.4 million tonnes.
iii) Measures like picking of shale/stone, selective mining by
conventional mode as well as by surface miners, adopting proper
blasting procedure/technique for reducing the possibility of admixture
of coal with over-burden materials, improved fragmentation of coal etc.
are being taken for improving coal quality.
iv) Surface Miners have been deployed for selective mining at some of
the mines to improve the quality of coal. Action is being taken for
deployment of more surface miners in other mines where geo-mining
condition permits. Already 56 Surface Miners have been deployed in
opencast mines and are working satisfactorily.
v) Joint sampling system is in vogue for major coal consuming sectors
e.g. power (utilities as well as captive), steel, cement, sponge iron
covering more than 95% of total production of CIL. On overall basis,
large consumers having annual contracted quantity of 0.4 MT or more and
having FSA have been covered under sampling.
vi) From 1st October, 2013, an independent 3rd party sampling and
analysis system was introduced for more transparency in the system and
for smooth operation in all the areas of subsidiary coal companies of
CIL. Subsidiaries have procured 121 Bomb-Calorimeters for more accurate
and transparent results of analysis of coal samples. The sampling and
analysis are being done in the presence of customers as per provision
of FSA at loading end and based on the results the customers are paying
the bills of coal as per analyzed grades.
The achievement of grade conformity in respect of sampling and analysis
had been to the tune of 95.63% (approx.) in respect of supplies to
power sector during the joint sampling period i.e. from April 2013 to
September 2013 and to the tune of 92.63% (approx.) during the third
party sampling period i.e. from October 2013 to March 2014.
vii) Electronic weighbridges with the facility of electronic printout
have been installed at rail loading points to ensure that coal
dispatches are made only after proper weighment. For this purpose,
subsidiaries have installed 169 weighbridges in the Railway Sidings and
536 weighbridges for weighment of trucks. Subsidiaries have also taken
actions for installation of standby weighbridges to ensure 100%
viii) 25 Auto Mechanical Samplers are also working in subsidiaries for
sampling of coal for the bulk consumers eliminating biasness in
sampling process. Procurement of further AMSs is under process.
3.5 Marketing of Coal:
(A) Status of implementation of different provisions under New Coal
Distribution Policy (NCDP) is as under:
(i) For power stations, commissioned on or before 31.03.2009, 306
million tonnes of coal had been considered to be supplied through
legally enforceable Fuel Supply Agreements (FSA) with a trigger level
of 90%. The total quantity covered under FSA against the allocation as
on March'14 was 306 million tonnes.
Apart from the above, 179 Letter of Assurances has been issued to power
plants by subsidiary companies of CIL, as per the recommendations of
various SLC (LT) Meetings, about 426.7 million tonnes of coal. Further,
as per Presidential Directives dated 16-4-2012, and a revised directive
dated 17-7-2013, the list of Power Plants and aggregate capacity were
revised. A total 172 Thermal Power Plants (TPPs) were listed with an
aggregate capacity of 78555 MW. Till 31.3.2014, 160 FSAs have been
signed with Power Plants for an aggregate capacity of 72575 MW.
However, out of the said capacity, TPPs having capacity of 56,937 MW
have furnished a long term Power Purchase Agreement (PPA) and qualify
for coal supply subject to commissioning etc. After a successful
meeting with NTPC in July 2013 to resolve the pending FSA issues,
signing of FSA with NTPC power plants appeared in the Presidential
Directives have completed for an aggregate plant capacity of 13510 MW
which included both wholly owned and JV Plants of NTPC.
(ii) In addition, 6 power plants having Pre-NCDP Long Term Linkage
(commissioned and appearing in the MOC letter dated 17.02.2012 not
having LOA) are drawing coal under FSA/MOU.
(iii) Out of 1208 valid linked units other than power and steel plants
with eligible FSA quantity of 76.24
million tonnes, 875 units had executed FSAs for 58.64 million tonnes.
FSAs of existing consumers were signed in 2008 with tenure of 5 years;
many of the FSAs had expired and are under renewal process.
(iv) For supply of coal to SME sector, 8 million tonnes was earmarked
for allocation to agencies nominated by the State Govt's/ UT's. 17
states / UT's sent their nomination of 24 state agencies for the year
2013- 14 of which 19 state agencies have signed FSAs for 4.08 million
tonnes and drawing coal accordingly.
(v) After implementation of NCDP, 418 LOAs were also issued to
consumers of sponge iron, CPP and cement as per the recommendations of
various SLC (LT) meetings for a quantity of 65.09 million tonnes per
annum. Out of these, 312 FSAs have been concluded till date for 40.81
Million tonnes per annum.
(vi) Under Forward E-Auction scheme the quantity allocated was 4.094
million tonnes as against 4.961 million tonnes allocated during the
last year. During the period under review, 58.125 million tonnes of
coal was allocated under spot e- auction to the successful bidders as
against 44.256 million tonnes of coal allocated during the last year.
The notional gain through Spot E-auction over and above the notified
price was 37.6% as against 49.9% during last year.
(B) Initiative for overcoming logistic bottlenecks:
CIL came out with a scheme for supply of coal "As is - Where is" basis
to its power consumers under FSA, to be taken by the purchasers by
arranging their own logistics from stock points. The scheme aimed at
augmenting coal despatch capacity which is constrained due to various
logistics issues restricting transportation to dispatch points.
Similar provision is provided in the FSA for the Seller to offer coal
upto 5% of the contracted quantity by using purchaser's own
transportation arrangements, either by Road or Road cum Rail (R-C-R)
mode in three coal companies namely CCL, MCL and SECL where logistics
inadequacy has restrained coal supply potentials of these companies.
(C) Financial Impact of Presidential Directive dated 17th July, 2013:
Due to implementation of Presidential Directive dated 17th July, 2013,
no compensation has been paid for short supplies of coal to the new
power plants under the terms of FSA during the year. Copy of
Presidential Directive is enclosed as Annexure VI.
3.6 Coal Benef ciation
CIL operates 17 coal washeries with a total capacity of 39.40 Mty. Out
of these, 13 are coking coal washeries with a total capacity of 24.90
Mty and 4 are non coking coal washeries with a total capacity of 14.50
Mty. CIL had initiated action through global tender to establish 16
coal washeries with a total capacity of 100.60 Mty, out of which 6 are
coking coal washeries with a total capacity of 18.60 Mty and 10 are non
coking coal washeries with a total capacity of 82.00 Mty. Construction
jobs at three washeries are in progress. Letter of Acceptance/Letter of
Intimation of two washeries has been issued. Work in other washeries is
at different stages of evaluation.
3.7 Stock of Coal.
The stock of coal (net of provisions) at the close of the year 2013-14
was Rs. 4154.61 crores, which was equivalent to 0.72 month value of net
sales. The company-wise position of stocks held on 31.03.2014 and on
31.03.2013 is given below:-
(Rs. In Crores) (Rs. In Crores)
Net Value of Net Value of Stock in terms of no. of
months Net Sales
stock as on stock as on
Company 31.03.2014 31.03.2013 As on 31.03.14 As on 31.03.13
ECL 298.19 307.98 0.40 0.40
BCCL 618.75 757.05 0.90 1.07
CCL 1067.28 1103.23 1.50 1.55
NCL 484.64 629.32 0.63 0.86
WCL 663.47 584.54 1.20 1.05
SECL 565.61 445.55 0.40 0.33
MCL 418.53 460.38 0.50 0.55
NEC/CIL 38.14 13.11 1.46 0.45
Total 4154.61 4301.16 0.72 0.76
3.8 Trade Receivables
Trade Receivables i.e. net coal sales dues outstanding as on
31.03.2014, after providing Rs. 2589.01 crores (previous year Rs. 1855.65
crores) for bad and doubtful debts, was Rs. 8241.03 crores (previous year
Rs. 10480.21 crores) which is equivalent to 1.11 months gross sales of
CIL as a whole (previous year 1.42 months). Subsidiary-wise break-up of
trade receivables outstanding as on 31.03.2014 as against 31.03.2013
are shown below:- Figures in Rs. Crores
Company Trade Receivables Trade Receivables
As on 31.03.2014 As on 31.03.2013
Gross Net of provisions Gross Net of provisions
ECL 2143.71 1720.01 3981.52 3582.13
BCCL 2091.42 1570.15 1934.31 1372.05
CCL 2498.31 1875.72 2080.45 1533.87
NCL 1609.62 955.94 1741.28 1738.21
WCL 548.64 468.93 551.66 471.27
SECL 1579.35 1336.78 1582.46 1350.29
MCL 333.11 298.39 451.93 430.91
NEC/CIL 25.88 15.11 12.25 1.48
Total 10830.04 8241.03 12335.86 10480.21
3.9 Payment of Royalty, Cess, Sales Tax, Stowing Excise Duty, Central
Excise Duty, Clean Energy Cess, Entry Tax and Others
During the year 2013-14, CIL and its Subsidiaries paid/adjusted Rs.
19713.52 crores (previous year Rs. 19731.11 crores) towards Royalty Cess,
Sales Tax and other levies as detailed below:-
Figures in Rs. Crores
Royalty 7,559.11 7248.61
Cess & Others 2,202.65 2355.73
Sales Tax / VAT/CST 2,960.08 2908.49
Stowing Excise Duty 464.26 457.54
Central Excise Duty 3,920.25 4227.49
Clean Energy Cess 2,390.86 2319.35
Entry Tax 216.31 213.90
Total 19,713.52 19731.11
4. COAL PRODUCTION
4.1 Raw coal production
Production of raw coal during 2013-14 was 462.422 million tonnes
against 452.211 million tonnes produced in 2012-13. The company- wise
production is given below:
(Figure in million tonnes)
Coking Non-Coking Total
Company 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
ECL 0.048 0.043 36.006 33.868 36.054 33.911
BCCL 30.054 26.970 2.560 4.243 32.614 31.213
CCL 18.440 16.156 31.582 31.905 50.022 48.061
NCL 0.000 0.000 68.639 70.021 68.639 70.021
WCL 0.249 0.330 39.480 41.957 39.729 42.287
SECL 0.125 0.157 124.136 118.062 124.261 118.219
MCL 0.000 0.000 110.439 107.894 110.439 107.894
NEC 0.000 0.000 0.664 0.605 0.664 0.605
CIL 48.916 43.656 413.506 408.555 462.422 452.211
4.2 Production from underground and opencast mines.
Coal production from underground mines in 2013-14 was 36.113 million
tonnes compared to 37.776 million tonnes in 2012-13. Production from
Open cast mines during 2013-14 was 92.19% of total raw coal production.
The company-wise production is given as under:
(Figures in million tonnes)
Underground Production Opencast
Production Total Production
Company 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
ECL 6.871 6.849 29.183 27.062 36.054 33.911
BCCL 2.704 3.153 29.910 28.060 32.614 31.213
CCL 0.956 1.024 49.066 47.037 50.022 48.061
NCL 0.000 0.000 68.639 70.021 68.639 70.021
WCL 7.730 8.200 31.999 34.087 39.729 42.287
SECL 16.416 16.869 107.845 101.350 124.261 118.219
MCL 1.433 1.678 109.006 106.216 110.439 107.894
NEC 0.003 0.003 0.661 0.602 0.664 0.605
CIL 36.113 37.776 426.309 414.435 462.422 452.211
4.3 Hard Coke and Washed Coal (Coking) Production
Subsidiary-wise production of Hard Coke and Washed Coal (Coking) was as
(Figures in Lakh Tonnes)
Hard Coke Washed Coal (Coking)
Company 2013-14 2012-13 2013-14 2012-13
ECL - - - -
BCCL 0.00 0.00 9.53 13.29
CCL - - 13.58 12.39
NCL - - - -
WCL - - 1.20 1.44
SECL - - - -
MCL - - - -
NEC - - - -
CIL 0.00 0.00 24.31 27.12
4.4 Overburden Removal
Overburden Removal during 2013-14 was 806.544 million cubic metres
against 746.702 million cubic metres achieved in 2012-13 recording a
splendid growth of 8.01%. The Company-wise details of overburden
removal is shown below:
(Figures in million cubic metres)
Company 2013-14 2012-13
ECL 85.756 76.448
BCCL 85.419 84.259
CCL 59.022 63.308
NCL 208.787 195.706
WCL 120.076 113.685
SECL 144.875 118.202
MCL 96.028 90.361
NEC 6.581 4.733
CIL 806.544 746.702
4.5 Future Outlook
In the terminal year (2016-17), as per XII Plan document, growth rate
of demand for coal in India has been envisaged at 7.09% (980.50 Mt). In
2014-15, demand for coal in India has been estimated to the tune of
787.03 Mt against 769.69 Mt in 2013-14.
In the TY of XII Plan (2016-17), the envisaged indigenous coal
production is 795.00 Mt. Out of this, share of CIL is 615 Mt (77 %
share of total production)with an envisaged growth rate of 7.12 %. Out
of this, 30.20 % is to come from existing mines, 54.2 % from projects
under implementation and 15.6% from new projects to be taken up. On
date, 148 projects are under various stages of implementation.
Further, 126 new projects are also identified to be taken up in future.
Coal production target of CIL in 2014-15 is 507 Mt with a growth of
9.61 % over last year's achievement.
CIL has proposed a capital outlay of Rs. 25, 400 crores in XII Plan plus
an ad-hoc provision of Rs. 35,000 crores for acquisition of assets abroad
and development of the acquired coal blocks in Mozambique. The capital
expenditure for the year 2014-15 has been envisaged at Rs. 5225.00 crores
plus additional ad-hoc provision of Rs. 4500 crores for acquisition of
coal assets abroad and development of coal blocks in Mozambique.
Railway infrastructure Projects: In order to achieve the planned growth
in production and evacuation in future, CIL has undertaken the
following major Railway Infrastructure Projects to be executed by
Indian Railways Authority:
1. Tori-Shivpur-Khatotia new BG Line with a length of about 93.45 Km
for North Karanpura Coalfields of Central Coalfields Limited, Ranchi,
Jharkhand. The work is under execution in Tori-Shivpur Section by East
Central Railway, Patna.
2. Jharsuguda -Barpalli Railway Infrastructure Project with a length
of about 52.4 Km for IB Coalfields of Mahanadi Coalfields Limited,
Sambalpur, Odisha. The work is under execution by South Eastern
3. To cater to evacuation of coal from Mand-Raigarh and Korba-Gevra
Coalfields of SECL, following 2 Railway Corridors have been identified
(a) East Corridor (Bhupdeopur-Gharghoda-Dharamjaiigarh upto Korba with
a spur from Gharghoda to Donga Mahua to connect mines of Gare-Pelma
Block) with a length of about 180 km.
(b) East-West Corridor (Gevra Road via Dipka, Kathghora, Sindurgarh,
Pasan) with a length of about 122 Km
An MoU has been signed among SECL, IRCON International Limited and the
Government of Chhattisgarh (GoCG) for Sl.No.3 with the equity share
holding of 64%, 26% and 10% respectively.
5. POPULATION OF EQUIPMENT
The population of Major Opencast Equipment (Heavy Earth Moving
Machinery) as on 1.4.2014 and on 1.4.2013 alongwith their performance
in terms of availability and utilisation expressed as percentage of
CMPDIL norm is tabulated below:
No. of Equipment Indicated as % of CMPDIL Norm
As on As on
Equipment 1.4.2014 1.4.2013 2013-14 2012-13 2013-14 2012-13
Dragline 36 39 97 90 80 77
Shovel 732 715 91 88 78 77
Dumper 2977 3109 102 101 70 70
Dozer 977 972 91 91 58 58
Drill 693 707 104 99 61 65
6. CAPACITY UTILISATION
SYSTEM CAPACITY UTILIZATION
The overall system capacity utilization of CIL as a whole for the year
2013-14 has worked out to be 84.75 %. It was 82.99 % during 2012- 13.
The subsidiary-wise details in terms of percentage vis-a-vis the
preceding year are as under:
Company 2013-14 2012-13
ECL 130.78 118.97
BCCL 93.61 79.29
CCL 84.66 84.89
NCL 75.54 76.69
WCL 92.47 93.41
SECL 88.49 80.52
MCL 68.60 75.61
NEC 82.38 66.34
Total CIL 84.75 82.99
7. PRODUCTIVITY: OUTPUT PER MANSHIFT (OMS)
Output per manshift (OMS) during 2013-14 improved to 5.62 tonnes from
5.32 tonnes per manshift of previous year. The company-wise position is
given in the following table:
(Figures in tonnes)
Underground OMS Opencast OMS Overall OMS
Company 2013-14 2012-13 2013-14 2012-13 2013-14 2012-13
ECL 0.48 0.46 10.96 10.17 2.13 1.94
BCCL 0.31 0.35 9.38 8.31 2.74 2.50
CCL 0.33 0.33 6.26 6.09 4.64 4.42
NCL 0.00 0.00 13.78 13.65 13.78 13.65
WCL 1.07 1.10 5.14 5.03 2.96 2.97
SECL 1.35 1.37 21.45 19.26 7.23 6.72
MCL 0.84 0.97 22.16 21.34 16.69 16.07
NEC 0.01 0.01 4.33 3.77 1.54 1.30
CIL 0.76 0.77 12.18 11.48 5.62 5.32
8 PROJECT FORMULATION
8.1 Preparation of Reports: As prioritized by subsidiary companies of
Coal India Limited, preparation of Project Reports (PR) for
new/expansion/re-organization mines was carried out during the year
2012-2013 for building additional coal production capacity to the tune
of 75 Mty. Revision of Project Reports/Cost Estimates for projects was
also taken up along with new PRs Thrust was laid on preparation of
reports of identified projects of XII Plan.
Other important jobs undertaken during the year:
- Master plan of coalfields
- Preparation and evaluation of RFQ (Request for Qualification) and RFP
(Request for Proposal) documents and customization of bid documents for
- Operational plans for large OC mines
- Environment Management Plan (EMP)
- Mining Plans and Mine Closure Plans of OC and UG mines
- Mine capacity assessment of underground and opencast mines of CIL.
- Various technical studies relating to operation of opencast and
- Performance analysis of HEMM operating in OC mines of CIL.
- Preparation of Standard Bid Documents for procurement of Continuous
Miner in underground mines of CIL.
- Preparation of Model Bid Document and Conceptual Report for setting
up of FBC based thermal power plants using washery rejects.
- Detailed design and drawings, NIT, tender scrutiny, etc.
Expert Consultancy Services: During the year 2013-2014, expert
consultancy services were also provided to subsidiary companies of Coal
India Limited in the field of Environmental Management and Monitoring,
Remote Sensing, Energy Audit (Diesel and Electrical), Benchmarking of
Diesel and Electrical Consumption and Fixation of Diesel and Electrical
Consumption Norms of Opencast and Underground mines, Physico-mechanical
tests on Rock and Coal Samples, Subsidence Studies, Strata Control,
Non-Destructive Testing (NDT), Controlled Blasting and Vibration
Studies and Explosive Utilization, Ventilation/Gas Survey of UG mines,
Mining Electronics, Petrography and Cleat Study on coal samples, Coal
Core Processing and Analysis, Washability tests, OBR Survey, Man Riding
System, Soil Erosion Study, Slope Stability Study, Effl uent/Sewerage
Treatment Plants, Assessment of Normative Cost of sand stowing for
stowing mines, etc.
8.2 Project Implementation
a) The following 4 coal projects, each costing Rs. 20 crores and above,
with an ultimate capacity of 11.00 Mty and completion cost of Rs. 653.97
crores, have been completed during the year 2013-14:-
No Company Name of Projects Type Capacity (Mty) (Rs.crores)
1. NCL Bina Expn OC 1.50(Incr) 67.53
2. MCL Lajkura Expn OC 2.50 60.77
3. MCL Samaleswari OC 5.00 382.10
4. CCL Urimari EPR OC 2.00 143.57
TOTAL 11.00 653.97
b) 1 Coal project, costing Rs. 20 crores and above, with an ultimate
capacity of 1.30 MTY and sanctioned capital of Rs. 40.16 crores have
started contributing production during the year 2013-14 :-
No Company Name of Projects Type (Mty) (Rs. Crores)
1 CCL Kuju Schm. OC 1.30 40.16
Status of Ongoing Projects:
Presently, there are 118 mining (excluding 13 projects of WCL approved
subject to finalization of Coal Supply Agreement on cost plus basis.)
and 25 non-mining projects, costing Rs. 20 crores and above, under
Out of 118 mining projects, 31 projects are running on schedule and 87
are delayed. Out of 25 non-mining projects, 21 are on schedule and 4
Status of ongoing projects costing Rs. 20 crores. and above:-
Projects Total projects Projects on
schedule Projects delayed
Mining 118 31 87
Non Mining 25 21 4
Total 143 52 91
Reasons for the delay Mining Projects:
SL REASONS FOR THE DELAY NO OF PROJECTS
1 DELAY IN LAND ACQUISITION + FC + R&R 56
2 MISCELLANEOUS 31
Non - mining Projects:
Out of 4 delayed non-mining projects, all are delayed due to land and
rehabilitation problems including forest problem.
8.3 Projects Sanctioned (Costing Rs. 20 crores & above) :
(a) No Advance Action proposal has been sanctioned during 2013-14.
(b) CIL Board has sanctioned 3 mining projects during 2013-14.
Sanc. Capacity Sanc. Capital
Sl No Project Sub Date of
Approval (MTY) (Rs. crores)
Expn OCP SECL 03.08.2013 (35 Incr) (Incr 6912.33)
2. Chhal Expn
OCP SECL 16.12.2013 6.00 2127.59
3. North Tisra
OC BCCL 12.02.2014 6.00 555.52
Total 62.00 10295.44
(c) No Non-mining project has been approved during the year 2013-14 by
(d) The Subsidiary Company Boards have sanctioned 4 mining projects,
costing Rs. 20 crores and above, for a total capacity of 6 Mty and
sanctioned capital of Rs. 743.32 crores under their delegated powers
during the year 2013-14:
Sanc Capacity Sanc Capital
No Project Sub Date of
Approval (MTY) (Rs. crores)
1. Sayal 'D' OCP CCL 10.10.2013 1.00 48.53
2. Jeevandhara OC CCL 19.11.2013 1.00 282.20
3. Mugoli& Nirguda Ext OC WCL 06.02.2014 3.00 372.52
4. Hindustan Lalpeth WCL 06.02.2014 1.00 40.07
Total 6.00 743.32
(e) The Subsidiary Boards have sanctioned following 3 Non-mining
Projects, costing Rs. 20 crores and above, under their delegated powers
Sl Cos Non-Mining Projects approved Capital (Rs.Cr) Approval
1. MCL Lingraj Silo Loading
arrangement 227.00 16.05.14
2. MCL Expn of BOCM (BOCM 6 & 7) 27.15 17.06.14
3. MCL Concrete pavement in coal
transportation road of Kaniha OC 26.91 24.12.13
8.4 Revised Project /Revised Cost Estimates
(a) No RPR/RCE was sanctioned by CIL during 2013-14.
(b) Following RPRs/RCEs sanctioned by the Subsidiary Company Boards
Sl Cos Projects approved Capacity (Mty) (Rs. Crores)
1. MCL Lajkura Expn RCE OC 1.50 60.77
9. CONSERVATION OF ENERGY
CIL's subsidiaries have undertaken following measures, interalia to
conserve energy :
- Power capacitors are added / replaced wherever necessary to improve
power factor on the basis of regular monitoring and assessment.
- Energy Audit and Benchmarking are conducted for selected opencast /
underground mines by CMPDIL on regular basis.
- Energy efficient lamps are widely used in places of new
installations. Existing energy inefficient lamps are gradually replaced
with energy efficient lamps.
- Time switches are installed at various places for automatic control
of street lights.
- Power supply systems are re-organized wherever necessary for
efficient use of energy.
- Re-organization of pumping including pipeline is done at places, as
deemed necessary, to avoid stage pumping thereby improving efficient
use of energy.
- Various energy conservation measures are taken and general awareness
is propagated among all concerned for efficient use of energy.
- Demand side management is done by improving load factor and limiting
maximum demand wherever practicable by staggering aidable load from
peak hours to off-peak hours.
- CIL coordinates with the subsidiaries and follows up on their
activities for energy conservation.
- Performances of subsidiaries on energy conservation are discussed
during the co-ordination meeting.
- Project-wise specific consumption of diesel is monitored and the same
is compared with benchmark.
- A CIL R&D endeavour under the project entitled 'Green House Gas
recovery from coal mines and coal beds for conversion of energy
(GHG2E)' was taken up and the main objective of the project study is to
develop capacity building in the new area of Coal Mine Methane (CMM)
drainage and CO2 has been completed.
- A project entitled 'Research and Development on efficient energy
management pilot study and action plan' was taken up with CIL R&D fund
to identify feasible new technologies and functionalities for
improvement in energy management in mines through key performance
indicators and adoption of renewable energy like possibility of usage
of solar photovoltaic cells for the existing and future buildings under
green infrastructure concept.
10. CAPITAL EXPENDITURE
Overall capital expenditure during 2013-14 was Rs. 4329.86 crores as
against Rs. 2915.23 crores in previous year, the subsidiary-wise details
of which are given below:-
Figures in Rs. crores
Company (BE) Actual (BE) Actual
ECL 525.00 408.87 450.00 202.94
BCCL 850.00 504.24 300.00 266.15
CCL 500.00 657.18 425.00 397.42
NCL 800.00 301.76 850.00 444.19
WCL 450.00 287.66 350.00 264.05
SECL 850.00 956.21 900.00 628.85
MCL 500.00 876.84 500.00 531.56
CMPDIL 30.00 20.26 30.00 6.94
NEC/CIL/Others* 495.00 316.84 470.00 173.13
Total 5000.00 4329.86 4275.00 2915.23
* Include Master Action Plan.
Capital Expenditure incurred during 2013-14 is about 86.60% of BE
(68.19% in 2012-13).
11. CAPITAL STRUCTURE
The authorized share capital of the Company as on 31.03.2014 was Rs.
8904.18 crores, distributed between Equity and Non-cumulative
redeemable preference shares as under:
(i) 800,00,00,000 Equity Shares of Rs. 10/- each (Previous Year
800,00,00,000 Equity Shares of Rs. 10/- each) Rs. 8000.00 crores
(ii) 90,41,800 Non-cumulative 10% Redeemable Preference Shares of Rs.
1000/- each Rs. 904.18 crores
(Previous Year 90,41,800 Non-cumulative 10%
Redeemable Preference Shares of Rs. 1000/- each)
Total Rs. 8904.18 crores
Listing of shares of Coal India Limited in Stock Exchanges:
Pursuant to divestment of 10% of total equity shares held by Hon'ble
President of India (Govt. of India), to the public, the shares of Coal
India Limited are listed in two major Stock Exchanges of India, viz.
Bombay Stock Exchange and National Stock Exchange on 4th November,
Further divestment by Govt. of India to CPSE - ETF:
During FY 2013-14, Govt. of India has further divested 0.35% of total
equity shares equivalent to 2,20,37,834 number of equity shares by way
of placement of such shares in Central Public Sector Exchange Traded
Fund (CPSE-ETF) and post such divestment, the Govt. of India holds
89.65% of the total equity share capital as on 31.03.2014.
Pursuant to above the shareholding pattern in CIL stood as follows:
As on 31.03.2014 As on 31.03.2013
Shareholding Share Capital Shareholding Share Capital
Pattern (%) (Rs. crores) Pattern (%) (Rs. crores)
India 89.65 5662.69 90.00 5684.72
CPSE - ETF 0.35 22.03 - -
Other Investors 10.00 631.64 10.00 631.64
Total 100.00 6316.36 100.00 6316.36
Aggregate borrowings of CIL have decreased to Rs. 177.82 crores in
2013-14 from Rs. 1305.30 crores in 2012-13, as detailed below.
Figures in Rs. crores
Particulars 2013-14 2012-13
Foreign Loans including deferred
IBRD/JBIC* - 1136.23
EDC Canada 168.07 160.35
Liebherr France SA., France 9.75 8.72
TOTAL 177.82 1305.30
* The foreign currency loans drawn from JBIC Bank (denominated in
Japanese Yen) and IBRD Bank (denominated in US Dollar) for
implementation of coal sector rehabilitation project in various
subsidiaries has been prepaid during the year on 05.11.2013 and
The debt servicing has been duly met in all the components of the loans
/ deferred credits.
13. INTERNATIONAL CO-OPERATION International Co-operation
Coal India is envisaged for foreign collaboration with a view to:-
Ý Bring in proven and advanced technologies and management skills for
exploiting UG and OC mines and coal preparation
Ý Exploration and exploitation of Methane from Coal bed, Abandoned
mine, Ventilation air, Shale gas, Coal gasification, etc.
Ý Locating overseas countries interested in Joint Venture in the field
of coal mining with special thrust on coking coal mining
The priority areas include acquisition of modern and high productive
underground mining technology, introduction of high productive opencast
mining technology, working underground in difficult geological
conditions, fire control and mine safety, coal preparation, application
of 3D seismic survey for exploration, extraction of Coal Bed Methane,
Coal Gasification, application of Geographical Information System,
Satellite Surveillance, environmental control, overseas ventures in
CIL would endeavour to acquire suitable technology through
international bidding. Bilateral cooperation may also be encouraged for
locating availability of cost effective and latest technologies in the
aforesaid areas, with discernibly advantages CIL, therefore, has been
following both the routes
Following are the details of activities that took place with various
countries during 2013-14
The 10th Indo-US Coal Working Group meeting was held on 10th March,
2014 in New Delhi. The status of ongoing projects under ndo-US CWG was
reviewed. Presentations were made by CMPDI/ CIL on new areas of
The status of ongoing projects under Indo-US CWG is as follows:-
a) Development of Coal Preparation Plant Simulator:
The identified US consultant M/s Sharpe International LLC, USA (SI) was
awarded the work in October 2009 for development of a Coal Preparation
Plant Simulator. Total work was split into 18 activities out of which
11 activities were completed. Later, SI expressed in October 2013 their
inability to complete the work. US representatives were requested to
take up the matter with the M/s Sharpe for a meaningful conclusion of
b) Cost Effective Technology for Beneficiation and Recovery of Fine
US DOE had identified Virginia Tech University (VTU) for establishing
an efficient technique for beneficiation and dewatering of Indian
coking coal fines through a demonstration plant based on the
technologies identified after pilot scale tests of Indian coking coal
samples on different state-of-the- art equipment at VTU. A joint
project proposal was drawn and approved by CIL R&D Board in Dec. 2010.
The VTU, however, expressed its inability to sign an international
agreement and as such the project could not be started. US
representatives were requested to apprise different available
technologies for fine coal beneficiation and recovery so that different
projects can be taken up based on merit.
c) Underground Coal Gasification (UCG):
UCG, which may offer solution to untapped isolated coal deposits lying
at depths, is one of the key areas under Indo-US collaboration. In
order to promote R&D efforts for potential application of technological
advances and to establish these in the Indian geo- mining condition, a
brief proposal for capacity building has been sent by MoC to Lead
Coordinator, India-US Coal Working Group, USA. It was proposed that the
proposal would be taken up by CMPDI, with the budget available under
R&D fund of Coal India Limited. UC-CIEE can be the co-implementing
agency from the US side.
New Areas of Collaboration:
a) Advanced Dry Coal Cleaning technologies
b) 3 D Seismic Surveys
c) Planning Large Capacity Opencast Mines
d) Mine Rehabilitation and Reclamation
The 8th meeting of Indo-EU working group on Coal and Clean Coal
Technologies was held on 28-29 Nov, 2013 at Chennai. One of the
key areas for cooperation is the development and deployment of advanced
coal mining. The aim of advanced coal technologies is to increase the
efficiency and safety in coal production and to mitigate environmental
and social impacts. Co-operation of EU was sought for various aspects
related to coal mining like steeply dipping seated coal seams as under:
- Innovative mining technologies and environment friendly solutions.
- Development of technology for deep coal mines and possible solutions
for Indian conditions.
- Technological improvements to manage these risks, especially on the
prevention, and include rock stress monitoring system, mine atmosphere
control, and methane drainage technique, personnel tracking system and
staff training for emergency situations.
- The need to modernize, develop and adopt technologies for high
capacity and productive underground coal mining from deep and thick
- Underground coal mining technologies for mass production for steep
and gassy coal seams.
- Results of feasibility study to design a mining methodology for NEC
Both sides had agreed to hold the next meeting of the Coal Working
Group in September/October, 2014 in one of the EU coal regions.
A proposal titled 'Introduction of a new underground mining technology
at North-East Coalfields in Assam, India' was placed before the Indo-EU
Working Group on clean coal technology for consideration in 2012. The
feasibility study to design a suitable mining technology and operation
was awarded to a Spanish Consortium led by AITEMIN. The members from
the Spanish Consortium visited from 10-14 Feb, 2014 for preliminary
discussions and data collection. The report is likely to be submitted
by August/September, 2014.
CMPDI and CSIRO (Commonwealth Scientific and Industrial Research
Organisation), Australia entered into an MoU on 12th June, 2013 to
encourage programmes of exchange and collaboration in areas of mutual
In pursuant to the directive of the Ministry of Coal, CMPDI on behalf
of CIL, is contemplating to take up a project on mitigation and
utilization of Ventilation Air Methane (VAM) at Moonidih, BCCL, with
CSIRO, Australia under National Clean Energy Fund (NCEF) of Government
of India. A project proposal for implementation of project is under
Other activities through international cooperation
With an objective of supporting development of CBM/CMM resources, a
Govt. level understanding was reached between the Ministry of Coal
(MoC), Govt. of India and United States Environmental Protection Agency
(USEPA) on establishment of CMM/CBM Clearinghouse. The clearinghouse
was established at CMPDI, Ranchi in November, 2008 with an objective to
promote CBM/CMM industry in India. The term of the Clearinghouse has
been extended for a further period of 3 years up to November, 2015,
consequent to the approval of MoC and USEPA has also given its consent
for extension of terms of the Clearinghouse. An International workshop
on "Development of coal based non- conventional energy resources in
India" has been organized under the CMM/CBM Clearinghouse and CMPDI at
Ranchi in November, 2014.
14. WORLD BANK FINANCED PROJECTS FOR 2013-14
The net utilization of loan disbursement by IBRD and JBIC was to the
tune of USD 245.73 million and JPY 28440.82 million, respectively, for
procurement of equipment and technical assistance under Coal Sector
Rehabilitation Project (CSRP). The disbursement by IBRD and JBIC was
completed in December 2003. As such there was no drawal of loan since
During this year, with the repayment of scheduled instalment and
prepayment of balance loan of USD 106.90 million to IBRD and JPY
9413.95 million to JBIC respectively, total CSRP loan was repaid.
COAL VIDESH DIVISION
Initiatives undertaken for acquisition and development of coal assets
(A) Activities of Coal India Africana Limitada (CIAL), Mozambique.
The prospecting Licenses for coal, having nos. 3450L and 3451L,
covering a total area of 224 square kilometres were granted to CIAL, a
wholly owned subsidiary of CIL in Mozambique in 2009.
Various activities related to exploration of the allotted coal blocks
were undertaken in 2013-14 which are as follows:
Ý Completion of 1st Phase drilling (5157 mtrs completed by 31.3.13 and
4843 mtrs completed in FY 2013-14)
Ý Completion of Geological Mapping in the allotted coal blocks in May
Ý Awarded contract for 2nd stage drilling of 30000 mtrs in Nov 2013 and
completion of 30,602 mtrs of drilling
Ý Completion of survey work for delineation of whole of the concession
area and survey of the drilled and planned boreholes.
Ý Awarding contract for geophysical logging for an estimated 15000 mts
in November 2013 and completion of geophysical logging work.
Ý Completion of analysis of coal samples from 9 (nine) boreholes in
laboratories in India and 2(two) boreholes in Mozambique
(B) Global Expression of Interest inviting proposals related to
acquisition of overseas coal assets
In accordance with the decision of Foreign Acquisition Committee, a
sub-committee of the Board of CIL, Coal Videsh Division of CIL, had
published a notice inviting acquisition proposal from the owners of
coal assets directly or through the mandated Merchant / Investor
bankers (MB/ IB) under the GOI policy on Acquisition of Raw material
assets abroad by CPSEs'
The status of progress for the financial year 2013-14 is as follows
Ý Proposals received in response to the advertisement were short listed
Ý Completed 1st level technical review in respect of shortlisted
proposals and presented its finding to high level meetings.
Ý Review of legal and regulatory aspects of Foreign Direct Investment
(FDI) in coal mining sector in ndonesia is in process.
(C) Status on setting up of Apex Planning Organisation (APO) and Apex
Training Organisation (ATO) in Mozambique
The Prime Minister of India, declared USD 500 million of grant-in- aid
for 21 projects for capacity building in Africa region, in India Africa
Forum Summit (IAFS-1) held in New Delhi on 8-9 April 2008, which
included setting up of an Apex Planning Organization (APO) and an Apex
Training Organization (ATO) for coal sector in SADC region in
Mozambique. Initially, entire funding for the APO and ATO was to be out
of the Ministry of External Affairs (MEA) funds. Coal ndia Limited
(CIL) was requested to execute the project utilizing the grant of MEA,
GOI and to provide the balance funding for the project. The same was
approved by CIL Board and the work could be taken up after signing of
MOUs by the two governments. Initial cost estimates for APO and ATO
were prepared in 2009 and it was decided to update the estimate.
The actions taken during the financial year 2013-14 are as follows
Ý A team from CMPDI visited Mozambique and held discussions with
Mozambican officials to prepare a revised realistic cost estimate for
both the APO and ATO using cost indices/parameters prevalent in
Mozambique. CMPDIL prepared a revised cost estimate (RCE) for setting
up and running of APO and ATO.
Ý Preparation of MOU, to be signed by the Govt of Mozambique and CIL
related to setting up of APO and ATO in Mozambique and obtaining
approval from respective Govts
Ý Draft MOUs were vetted by the Govt. of India and Mozambique and is
being processed for further action
15. MASTER PLAN FOR DEALING WITH FIRE, SUBSIDENCE AND REHABILITATION
The Master Plan for dealing with fire, subsidence and rehabilitation in
the lease hold of Bharat Coking Coal Limited (BCCL) and Eastern
Coalfields Limited (ECL) was approved on 12th August, 2009 by Govt. of
India with an estimated investment of Rs. 7,112.11 crores for Jharia
Coalfields and Rs. 2,661.73 crores for Raniganj Coalfields.
Implementation period has been delineated as 10 years
Ý Implementation of Master Plan is being monitored on half-yearly basis
by High Powered Central Committee (HPCC) under the Chairmanship of
Ý During FY 2013-14, HPCC meeting was held on 22.07.2013 and 24.01.2014
and Advisor (Projects) has conducted review meetings on 23.04.2013 &
24.10.2013 on the advice of Secretary, MoC
Master Plan dealing with Fire, Subsidence and Rehabilitation in the
leasehold of Eastern Coalf elds Limited (ECL)
Asansol Durgapur Development Authority (ADDA), a state Govt.
organization has been identified as implementing agency for
Rehabilitation of Non-ECL houses. Contingency charges @ 3% and
Supervision charges @5% (total 8%) are to be paid to ADDA for
implementation, which is included in the assessed capital requirements.
The salient features of the approved Master Plan are as follows
Ý No of unstable sites proposed for Rehabilitation :- 139 + 2 (added as
per DGMS) = 141
Ý No of houses/families assessed for Rehabilitation :- 33,196.
Ý Requirement of Land assessed for Rehabilitation :- 896.29 Ha.
Ý No of Locations identified for Diversion of Infrastructure :- 7
(Railway lines, roads and IOC pipelines)
Ý Capital Requirement estimated for Diversion projects :- Rs. 11.35
Ý Capital Requirement estimated for Rehabilitation :- Rs. 2,610.10 crores
Ý Capital Requirement estimated for Fire schemes :- Rs. 40.28 crores.
Ý Total Capital Requirement assessed :-Rs. 2,661.73 crores
Master Plan dealing with Fire, Subsidence and Rehabilitation in the
leasehold of Bharat Coking Coal Limited(BCCL)
Jharia Rehabilitation & Development Authority (JRDA), a state Govt.
organization, has been identified as the implementing agency for
Rehabilitation of Non-BCCL houses. Contingency charges @ 3% and
Supervision charges @ 5% (total 8%) are to be paid to JRDA for
implementation, which is included in the assessed capital requirements.
Ý No. of fire areas for which action plan has been proposed :- 67
Ý No. of houses to be vacated :- 98,314.
Ý No. of houses proposed to be reconstructed :- 79,159.
Ý Requirement of Land assessed for Rehabilitation :- 1,504.99 Ha.
Ý Capital Requirement estimated for Rehabilitation :- Rs. 4,780.60 crores
Ý Capital Requirement estimated for Diversion projects :- Rs. 20 crores
(Railway line, Road)
Ý Capital Requirement estimated for Fire schemes :- Rs. 2,311.50 crores
Ý Total Capital Requirement assessed :-Rs. 7,112.11 crores
The R&R Package for Non-ECL and Non-BCCL endangered people are:
a) Cash compensation equivalent to assessed cost of homestead land and
other super structure / infrastructure within the homestead land. In
addition, a plot of 100 Sq. m. free of cost at resettlement site
having all amenities and infrastructural facilities will be provided.
Extra plot if required may be provided on payment upto a maximum limit
of owned land at unstable site, or in lieu of constructed fl at of 40
Sq. M. as super built up area having two rooms, a kitchen and a toilet
in a triple storied building will be provided. In such case, no other
cash compensation shall be paid.
b) Cash compensation in lieu of free plot along with the entitled
compensation is to be offered if a house owner refuses to be resettled
at the proposed township.
c) No cash compensation is to be paid to encroacher / settlers. Head
of each such family will be provided a constructed fl at of 38.92 Sq.
M. as super built up area.
d) Head of each family will be paid a minimum wage for 250 days per
year for two years for income generation due to displacement /
e) A shifting allowance of Rs. 10,000/- will be paid to each family to be
resettled at the new township.
f) No employment shall be offered for any rehabilitation under the
The major implementation activities proposed to be completed in Phase I
and II are:
I. Demographic survey of affected people, valuation of homestead land
and house, including all structures / infrastructure on that land.
Preparation / Distribution of photo-identity cards etc.
II. Identification and acquisition of land for proposed townships.
III. Tendering and awarding of work for land survey and township
IV. Survey of land.
V. Township planning.
VI. Tendering and Award of work for townships.
VII. Construction of approach road, development of land and
infrastructural facilities, demarcation of plots, construction of fl
ats and providing amenities like schools, bank, post office, hospital,
community centre, playground, shopping centre, etc.
VIII. Allotment of plots / fl ats for resettlement.
IX. Shifting of people from unstable sites (Rehabilitation &
X. Demolition of super structure / infrastructures at unstable sites.
XI. Fire mitigation.
XII. Diversion of surface infrastructure like Rail, Road, IOC pipeline
Action taken for Implementation of Master Plan Achievement upto
A. For Raniganj Coalf elds:
1) Status of demographic survey
Demographic survey work has been completed for all 126 sites. There are
10 locations having no habitation, 3 locations with only ECL population
and at 2 locations survey could not be completed due to strong public
resistance. The final list has already been published which contains
Survey for valuation of structure has been done in all 80 locations out
of 126 locations as there is no legal title holder (LTH) in 46
locations. Number of LTH arrived at 5936 only which is very less. Hence
submission of land documents has been extended to 08/04/2014 by
conducting mini survey in a camp.
41522 numbers of photo identity card (PIC) distributed out of 44598.
Rest of PIC could not be distributed due to either photo mismatch or
refusal to take the same by public. Hence corrective actions have been
taken to distribute the remaining PIC's.
2) Status of Land Acquisition
Acquisition of land in Bonjehmari (1300 Acres) and Gourangdih (2300
Acres) is under consideration of the West Bengal Govt. LA proposal has
been submitted to LA Collector, Burdwan by ADDA.
Recently Namokesia mouza (26.00 Acres) at Salanpur Block which is
non-coal bearing area and Bijaynagar Mouza (26.00 Acres) at Jamuria
block where coal is available at more than 600 mtr depth, have been
identified and are being examined for feasibility of rehabilitation of
people from unstable location.
3) Diversion of Surface Infrastructure (Rail, Road and IOCL pipeline)
i) Diversion of Railway line from unstable location:
On the basis of geotechnical survey and a stability analysis of the
working below the Andal-Sainthia Railway line of Pandaveswar Area, M/s
CIMFR, Dhanbad had suggested for blind backfilling method to stabilize
the working for 5-6 years. But no proven agency for doing the job of
blind backfilling is known to both M/s CIMFR and ECL. Hence, High
Powered Central Committee suggested for regular monitoring of the track
line for any symptom of subsidence and also minimizing the speed of the
train at this location.
With regard to diversion of Andal-Sitarampur Railway line of Salanpur
Area, the work has been awarded to M/s RITES for preparation of
Feasibility Study Report (FSR) and Detailed Project Report (DPR).
ii) Diversion of NH-2 and District Board (DB) Road:
For diversion of National Highway (NH-2), NHAI, Durgapur has been
requested to prepare DPR.Joint inspection by NHAI and ECL officials was
conducted on 06.03.2014.
For diversion of DB road at Salanpur Area, the work for preparation of
DPR including construction of culverts / bridges and drains etc. for
Mohanpur road (1.8 km approx.) and Gourangdih-Begunia Road (0.72 km
approx.) has been awarded to M/s Webcon Consulting (India) Limited,
Kolkata on 25.02.2014.
Regarding another diversion of DB Road at Satgram Area, notice inviting
EOI has been fl oated for preparation of DPR which will be opened on
iii) Diversion of IOCL pipeline:
For diversion of Indian Oil Corporation Limited (IOCL) pipeline,
National Institute of Rock Mechanics (NIRM), Bangalore has conducted
survey work to assess the stability of pipeline. After receiving the
NIRM survey report, ECL submitted its comments on 28.11.2013 to IOCL
for further action.
B. For Jharia Coalf elds:
a) Demographic (socio-economic) Survey 595 of fire affected /
subsidence prone sites / areas are required to be surveyed. CIMFR, ISM
and Whiz Mantra have completed demographic / socio- economic survey at
425 sites in which 54061 families have been identified.
b) Status of land acquisition by JRDA for rehabilitation sites
About 1105 ha. of land would be acquired for resettlement of non-BCCL
families. Proposals for acquisition of 439.19 acres of Raiyati land and
133.96 acres Govt. land has been processed by JRDA. Possession of
163.86 acres Raiyati and Govt. land has been taken over by JRDA. NoC
for 86.44 acres of land in Bhuli Township and 849.68 acres non-coal
bearing land in and around Belgoria Township, belonging to BCCL, have
been given by MoC for transferring to JRDA.
JRDA has acquired 120.8 acres of land in 2013 at Lipania mouza but
physical possession of land is yet to be taken by JRDA.
c) Diversion of Road from f re affected areas
Road Construction Department (RCD), Govt. of Jharkhand has completed
the job of repairing/ widening of Mahuda-Topchanchi road in the
endangered portion of NH-32 between Godhar to Putki. BCCL has taken up
the matter with NH authority to take up the matter with JRDA for
handing over the affected portion of NH-32 for extinguishing the fire.
DPR for construction of road from Joraphatak to Dhokra for connectivity
of Belgoria Township was forwarded to RCD, Govt. of Jharkhand by JRDA
for technical sanction. Approval from RCD is awaited.
d) Diversion of Rail from f re affected areas
RITES had submitted discussion plan on the above subject to JRDA.
BCCL's observations had been sent to JRDA. In this regard, E.C.
Railway, Hazipur and S.E. Railway, Kolkata had also forwarded brief
report along with their comments to Railway Board, New Delhi.
On the otherhand, directions have been issued to RITES Ltd. by JRDA for
traffic survey data collection and to initiate feasibility study
regarding Diversion of Railway lines from fire affected and subsidence
The matter was discussed in the 3rd IMC (Inter- Ministerial Committee
meeting) held at Railway Board on 16.09.2013 at New Delhi. Short term
and long term measures were suggested to tackle the issue. Detailed
survey needs to be done to ascertain the feasibility of shifting and
relocating the railway facility.
e) Utility Services from f re affected areas
Feasibility Report for diversion of utility services of Jharia
Coalfield has been submitted by RITES Ltd. on 30.03.2013. BCCL has
asked RITES on 6/2/2014 to clarify about shifting of existing utility
services and clarification is awaited.
f) Service Building and Welfare Programme
Construction of service buildings like Market Complex, Bank, Post
Office, Computer and Sewing Training Centre has been completed and
construction of Masjid, Temple etc. are at different stages of
g) Status of BCCL houses under the Master Plan
Construction of 344 houses at Bhuli, Bhimkanali, Nichitpur and Katras
Coal Dump in triple storied blocks has been completed in non-coal
bearing zone. 1152 triple storied quarters (96 blocks each of 12 units)
are constructed at various places in non- coal bearing zone. Shifting
of BCCL employees is in progress.
Construction of 4080 triple storied quarters (340 blocks each of 12
units) is in progress at a cost of Rs. 165.56 Crores. The work is
expected to be completed by 06.11.2014.
Construction of 4020 triple storied quarters (335 blocks each of 12
units) is in progress at a cost of Rs. 286.39 crores. Work has been
started and is in various stages of construction. It is expected that
the work shall be completed as per scheduled date i.e. 31.5.2016.
The Board of Directors of BCCL has approved construction of 2240 nos.
B, C and D typed quarters for shifting of persons affected by fire and
subsidence at a cost of Rs. 428.40 crores. Letter of intent will be
h) Status of Non-BCCL houses (54159 nos.) under the Master Plan 2352
houses have been constructed in Belgoria rehabilitation Township
"Jharia Vihar" and 1165 families have shifted till 31.03.2014. 1162
affected families were given Rs. 10,000/- each as shifting allowance.
i) Status of Fire Schemes
Under Master Plan, 28 nos. of Fire schemes have been proposed in
Phase-I to be formulated / prepared for dealing with 67 fires sites
spread over 41 collieries. Till date, 11 fire schemes have been
approved by Board and implemented, out of which 4 schemes have been
completed. Further, for expediting the fire dealing process, excavation
methods has been resorted to by deploying Hired HEMM at various mines
j) Reduction in Fire Area
The coal mining operations in Jharia Coalfield have been continuing for
more than 100 years by the erstwhile private owners. Due to
un-scientific mining methods adopted by them, large areas of coal mines
were subjected to mine fires and subsidence which had resulted in
serious social and environmental problems in the area. At the time of
the nationalization of coal mines in 1972-73 and taking over the mines
by BCCL, the situation of mine fires was grave and fire had extended to
about 9 sq.km. as assessed by a World Bank team.
At present, fire area has been reduced from 9 sq. km. to 2 sq.km. as
per the satellite survey done by National Remote Sensing Centre, ISRO,
Deptt. of Space, Hyderabad. This could be achieved only due to the
successful 'excavation method i.e. digging out of fiery coal' adopted
by BCCL. This fact has also been acknowledged by NRSC in their report.
The coal mine fire survey / study was instituted by BCCL through
National Remote Sensing Centre (NRSC), ISRO, Department of Space,
Hyderabad in August, 2013 for delineation of surface coal fires in
Jharia Coalfield. NRSC has submitted their report in March 2014, in
which they have concluded that the present fire area in the coalfield
is only 2 sq.km., which includes both over burden dump fire and active
Further NRSC has planned another field study for ground truthing and
GPR survey of subsidence/ unstable areas which is the 2nd component of
k) International Expression of Interest
Regarding latest technology for dealing with fire, International EOI
has been fl oated by BCCL. No agency/company has responded for pre-EOI
submission meeting held on 14.02.2014. BCCL is in the process of
contacting different international experts in dealing fires directly.
The EOI however, will be received up to 28.04.2014 and shall be opened
Disbursement of total fund by CIL for implementation of Master Plan.
- To BCCL till March, 2014 : Rs. 376.09 crores
- To ECL till March, 2014 : Rs. 160.79 crores
16. ENVIRONMENTAL MANAGEMENT
16.1 Environmental Impact Assessment (EIA)/Environmental Management
EIA/EMPs for all the new and expansion projects as per EIA Notification
SO 1533 dated 14th September, 2006 of MoEF are prepared for peak and
normative capacities and environmental clearance is obtained. EIA /
EMPs for mines requiring renewal of lease and falling under violations
are also prepared for environmental clearance. EIA / EMPs on cluster
basis for smaller and contiguous mines of ECL and BCCL are also being
prepared for environmental clearance. During the year, CMPDI has
prepared a total of 26 Form-I and formulated 14 Draft EIA/EMPs.
Environmental clearances were also obtained from MoEF for 18 projects /
Group of Mines of CIL during the year.
16.2 Pollution Control Measures and their Efficacy
Measures are being taken to ensure that mining and coal beneficiation
operations have minimum impact on the surrounding air quality, water
quality, noise level and soil quality, hydro-geology, land use pattern
and socio- economic profile of nearby population. The mitigation
measures include dust suppression in mines through fixed and mobile
water sprinklers. Effl uent treatment facilities for mine effl uent,
workshop effl uent and CHP effl uent like oil and grease traps,
sedimentation ponds and facilities for storage of treated water and its
reuse have been provided for in all the major projects. Domestic
wastewater treatment facilities have also been provided to deal with
the domestic effl uent. The level of pollutants is being monitored on a
routine basis to ascertain the efficacy of pollution control measures
being taken in the projects. Additional remedial measures are taken, if
required, to keep the pollutant level within the limits prescribed by
Technical and biological reclamation of the mined out areas and the
external overburden dumps are being taken by planting native species of
plants for restoring the ecology.
The level of pollutants is being monitored regularly as per the
statutory guidelines to ascertain the efficacy of pollution control
measures and for taking corrective actions as required.
16.3 ISO 14001 Certif cation
The implementation, certification and recertification of different
units of CIL under ISO 14001 (Environmental Management System) is
continuing. During the year 2013- 14, 14 units and MCL got newly
certified while 19 units and NCL got recertified. As on 31.03.2014, 73
units and two companies (MCL and NCL) are certified under ISO 14001
16.4 Monitoring of land reclamation of OC mines through remote sensing
CMPDI, through Coal India Limited, has introduced satellite
surveillance system for land reclamation/restoration monitoring of all
the opencast coal mines for compliance of MoEF stipulations as well as
for progressive mine closure monitoring. Land reclamation monitoring of
50 opencast projects having more than 5 million cu.m. production
capacity (Coal+OB) and 32 opencast projects having less than 5 million
cu.m. production capacity (Coal + OB) based on high resolution
satellite data have been completed during the year 2013-14.
Vegetation cover mapping of six coalfields viz. Jharia, Talcher,
Bisrampur, Wardha Valley, Kamptee and Makum coalfields based on
satellite data have been completed for assessing the regional impact of
coal mining on land use / vegetation cover in the span of 3 years to
take remedial measures required, if any.
16.5 R&R Policy of CIL
With a view to meet the changing aspirations of Project Affected
Persons (PAPs) and to redress the unique problems of Subsidiary
Companies for fast acquisition of land, Rehabilitation & Resettlement
Policy of CIL was revised in 2012 making it a liberal and PAP friendly
which provides multiple options to land losers and more fl exibility to
Board of Subsidiary Companies in redressing the R&R issues.
The existing R&R policy provides for conducting baseline socio-economic
survey to identify PAPs enlisted to receive R&R benefits as well as to
formulate a viable and practical Rehabilitation Action Plan (RAP) for
the affected persons in line with their entitlements. The RAP is to be
formulated in consultation with PAPs and State Govt. and should also
address implementation, monitoring and evaluation, dispute mechanism
and Environment Impact Assessment (EIA)
The R&R policy of Coal India Ltd., while emphasizing the need to
cultivate and maintain a good relationship with the people affected by
Coal India's projects and realizing its responsibility towards the land
oustees whose livelihood is often taken away, apart from other things,
provides for payment of land compensation and solatium, employment or
lump sum monetary compensation and annuity, compensation for homestead,
lump sum payment in lieu of alternate house-site, subsistence allowance
to each affected displaced family.
16.6 Mine Closure Plans
In terms of revised guidelines issued by the Ministry of Coal (MoC) in
2013, CMPDI has prepared 257 mine closure plans (93 are new and 164 are
revised based on the latest new guidelines dated 7th Jan'2013) for CIL
mines during the year. Quick comments on 42 mine closure plans for coal
blocks sent by MOC were also prepared.
17 COAL BED METHANE (CBM) / COAL MINE METHANE (CMM)
17.1 Collaborative development of CBM prospects in Jharia and Raniganj
coalf elds by consortium of CIL and ONGC
In terms of Govt. of India CBM Policy, consortium of CIL and ONGC has
been allotted 2 blocks, one each in Jharia and Raniganj coalfields for
commercial development of coalbed methane. These projects are being
implemented by CMPDI on behalf of CIL.
17.1.1 Jharia CBM Block
The Govt. of Jharkhand has granted Petroleum Exploration License (PEL)
to the consortium of CIL-ONGC in August 2003 for Jharia CBM block after
which the work as detailed in the Minimum Work Programme was taken up.
CMPDI has carried out deep slimhole drilling (depth range 1000 to
1400m) wherein CBM related parametric data were generated. A report
based on this drilling, other available drilling and gas related data
has been prepared by CMPDI and submitted to ONGC which facilitated ONGC
to drill exploratory and pilot wells.
Consequent to the completion of envisaged work in the exploratory and
pilot phases, consortium of CIL and ONGC has submitted a development
plan of the block having a budgetary outlay of Rs. 1137 crores for the
approval of the Government. The development plan was deliberated in the
Steering committee meeting and government approval has been accorded
vide letter no. DGH/CBM/MoPN&G/ ONGC/2013 dated 2nd July, 2013.
Further, CIL had conveyed to ONGC about its intention of increasing its
Participating Interest (PI) from existing 10% to 26% from Development
Phase onwards for this block in pursuance to the decision of CIL Board.
The matter regarding operationalization issues and future course of
action was deliberated by CIL Board wherein it was observed that there
was a lack of transparency from ONGC for sharing information and the
Board directed CIL to withdraw from Joint Operations.
17.1.2 Raniganj CBM Block
The Govt. of West Bengal has granted Petroleum Exploration License
(PEL) for Raniganj CBM block in April 2004 after which the work as
detailed in the Minimum Work Programme was taken up.
CMPDI has carried out deep slimhole drilling (depth range 800 to 1100m)
wherein CBM related parametric data were generated. A report based on
this drilling, other available drilling and gas related data has been
prepared by CMPDI and submitted to ONGC which facilitated ONGC to drill
exploratory and pilot wells.
Consequent to the completion of envisaged work in the exploratory and
pilot phases, consortium of CIL and ONGC has submitted a development
plan of the block having a budgetary outlay of Rs. 957 crores for the
approval of Government. The development plan was deliberated in the
Steering committee meeting and government approval has been accorded
vide letter no. DGH/CBM/MoPN&G/ ONGC/2013 dated 2nd July, 2013.
Further, CIL has conveyed to ONGC about its intention of retaining 26%
Participating Interest (PI) in this block from Development phase onward
in pursuance to the decision of CIL Board. The matter regarding
operationalization issues and future course of action was deliberated
by CIL Board wherein it was observed that there was a lack of
transparency from ONGC for sharing information and the Board directed
CIL to withdraw from Joint Operations.
17.2 CBM and Shale gas related studies under Promotional Exploration
during XII Plan
17.2.1 CBM related studies:
CMPDI is carrying out studies related to 'Assessment of Coalbed Methane
Gas-in-Place Resource of Indian Coalfields/Lignite fields' through
boreholes being drilled under promotional exploration (XII Plan period)
under PRE(Promotional Regional Exploration) funding of Ministry of
Coal. This study will enlarge the CBM resource base in the country and
facilitate delineation of more blocks for CBM development. A total of
60 boreholes (40 by CMPDI and 20 by GSI) are to be taken up for studies
during the XII Plan Period with a total plan expenditure of Rs. 13.46
During 2013-14, 8 boreholes located in different coal/lignite fields
were taken up for studies by CMPDI.
Three reports based on CBM related studies viz. 'Assessment of CBM
Gas-in-Place Resource in Saktigarh block, Pathakhera Coalfield;
Nachchiyarkudi block, Mannargudi Lignitefield (TN) Banai block and
Mand- Raigarh Coalfield' were submitted during 2013-14. A total of
fourteen reports have been submitted since April, 2007.
17.2.2 Shale gas related studies
CMPDI is carrying out studies related to 'Assessment of Shale
Gas-in-Place Resource of Indian Coalfields/Lignite fields' through
boreholes being drilled under promotional exploration (XII Plan period)
under PRE funding of Ministry of Coal. This study will create the data
for assessment of shale gas potentiality and facilitate delineation of
more blocks for shale gas development. A total of 25 boreholes are to
be taken up for studies during the XII Plan Period with a total plan
expenditure of Rs. 7.75 crores. During 2013-14, a total of 6 boreholes
were taken up for shale gas related studies.
17.2.3 Activities taken up by CBM Lab
CBM Lab established at CMPDI has enhanced its capacity and added
facility of TOC equipment for shale gas potentiality assessment. The
instrument "Rock Eval Analyszer" required for assessing shale gas
prospectivity for which supply order has been placed and procurement of
the instrument "Automatic Porosimeter cum Permeameter" is under
CBM Lab has carried out the field desorption studies at the borehole
sites in 8 boreholes during 2013-14 and has generated total gas content
and gas composition data. In addition, studies have been carried out in
6 boreholes for assessment of shale gas potentiality.
CBM lab has carried out Adsorption Isotherm (AI) test for 20 samples
(17 Coal and 3 Shale) during 2013-14 through in-house facility created
in CMPDI in addition to carrying out Total Organic Carbon (TOC)
analysis on 110 shale samples. Analysis of 913 mine air samples
received from different collieries of CCL was also carried out and the
results have been submitted.
17.3 Commercial development of Coal Mine Methane (CMM)
Commercial development of CMM is a priority area both at the Govt. and
Coal Industry level. Successful implementation of Demonstration Project
at Moonidih mine of BCCL has already proved the efficacy of the process
and five more suitable areas within CIL mining leasehold areas were
identified. Further, MoC has made CMPDI the Nodal Agency for
development of CMM in India.
Under the aforesaid background, actions for commercial development were
initiated and on behalf of CIL/concerned Coal Company's consent, CMPDI
had fl oated Global Tender for selection of suitable Developer for
commercial development of CMM in 5 identified blocks (3 in BCCL and 2
in CCL) in April 2011 which could not be proceeded further in view of
certain issues regarding mechanism of operationalization raised by
MoP&NG. To resolve the issues, the matter was deliberated at competent
level of MoC and MoP&NG and it was resolved.
CCEA has granted its approval in December 2013 allowing CIL to explore
and exploit CMM from its coal mining areas. A formal communication in
this regard is awaited after which further activities will be
undertaken by CMPDI/CIL for development and exploitation of CMM.
17.4 CMM/CBM Clearinghouse in India
A CMM/CBM clearinghouse was established at CMPDI, Ranchi under the
aegis of Ministry of Coal and US EPA on 17th November'2008. The
clearinghouse is functioning as the nodal agency for collection and
sharing of information on CMM/CBM related data of the country and help
in the commercial development of CMM Projects in India by
public/private participation, technological collaboration and bringing
financial investment opportunities.
The clearinghouse has been established with financial support from Coal
India Ltd. on behalf of Ministry of Coal and US EPA. The website of
India Clearinghouse, http:// www.cmmclearinghouse.cmpdi.co.in,
encompasses all the important information viz. EOI notifications,
newsletters in addition to information regarding opportunities existing
for development of CMM, VAM, etc. After completion of the initial 3
years term in Nov.'2011, US EPA grant has been extended for additional
3 years on approval of Ministry of Coal.
Under the aegis of India CMM/CBM Clearinghouse, an international
workshop on 'Development of Coal based Non-conventional Energy
Resources in India' has been organized on 12th - 13th November, 2013 at
CMPDI, Ranchi. It was well attended by the international dignitaries,
international experts, high level Government functionaries from
Ministry of Coal, Ministry of Petroleum & Natural Gas, captains of coal
industries, CBM operators, and representatives of technical and
18 COMMERCIAL DEVELOPMENT OF UNDERGROUND COAL GASIFICATION (UCG) WITHIN
CIL COMMAND AREA
CMPDI has invited on-line bids on 20th January, 2014 for e-Tendering
portal https://coalindiatenders.gov.in for Selection of 'Developer for
Commercial Development of Underground Coal Gasification (UCG)' in
Kaitha Block of Central Coalfields Limited (CCL) and Thesgora "C" Block
of Western Coalfields Limited (WCL). Five firms participated in the
pre-bid meeting held on 3rd February'2014. The due date for submission
of offer has been extended from 10th March'2014 to 17th April, 2014.
19 DELINEATION AND PREPARATION OF DATA-DOSSIERS FOR DGH
19.1 Preparation of Data Dossiers for CBM Round V
DGH had awarded consultancy work of delineation and preparation of Data
Dossiers on prospective CBM blocks in Cambay basin, Singrauli and
Johilla Coalfields for forthcoming CBM Round to CMPDI in May 2011.
Final Data Dossiers on identified 8 blocks were submitted to DGH.
19.2 Delineation and preparation of Data-dossiers for six prospective
Shale gas blocks within Gondwana Basin DGH had assigned consultancy
work of delineation and preparation of Data Dossiers for six
prospective Shale Gas blocks within Gondwana Basin to CMPDI in May,
2011. Final Data Dossiers on Raniganj, Jharia, Bokaro, South
Karanpura, North Karanpura and Sohagpur basins were submitted to DGH.
20 R&D AND S&T PROJECTS
20.1 EU Funded Research Project
CMPDI is one of the participating organizations along with IIT
Kharagpur from India in the multi-national/multi- organization
collaborative project titled 'Greenhouse Gas Recovery from Coal Mines
and unmineable Coal beds and Conservation of Energy (GHG2E)' which has
been approved under the partial funding scheme of European Union
Research Commission. The balance fund has been provided under CIL R&D
scheme. The project aims at studies and modelling of recovery of coal
mine methane and its utilization as clean energy.
The work has been taken up and the assigned CMPDI work packages were
submitted to Imperial College of Mining in January 2013 as per
schedule. Presentation for progress review and Project workshop
scheduled from 10th-14th June' 2013 at Slovenia were sent to Project
Coordinator. The Project coordinator along with the team reviewed the
progress at CMPDI on 13th November'2013 and visited Moonidih mine on
14th November 2013 to finalise data acquisition sites and draw action
plan to generate samples. A review meeting was held with IIT Kharagpur
at CMPDI on 24th January 2014. CMPDI is pursuing its assigned tasks as
a collaborative partner and efforts made by CMPDI were appreciated.
20.2 CIL R&D Project 'Assessment of prospect of shale gas in Gondwana
basin with specif c reference to CIL areas' Work on CIL R&D project
titled 'Assessment of prospects of shale gas in Gondwana basin with
special reference to CIL areas' is in progress. Areas have been
demarcated for assessing the prospectivity of Shale gas within BCCL and
CCL areas. Collection of shale samples for qualitative analysis has
been done and generation of suite of parametric data for assessment of
Shale gas potentiality in identified areas of BCCL and CCL command
areas have been completed. Facility for taking up Total Organic Carbon
(TOC) Analysis has been created in CMPDI lab, procurement of "Rock Eval
Analyszer" finalized and supply order issued to M/s Vinci Technologies
of France. Sub- implementing agency ARI (USA) has submitted the report
on creation of type of well and simulation for assessment of Shale gas
potentiality in delineated areas. Finalization of report is in
20.3 CIL R&D project titled 'Studies on shrinkage swelling
characteristics of some Indian coals to ascertain recoverability of CBM
from deep seated coal resources'.
Work on CIL R&D project titled 'Studies on shrinkage swelling
characteristics of some Indian coals to ascertain recoverability of CBM
from deep seated coal resources' is in progress. Design and fabrication
of the instrument is under progress at IIT Kharagpur. Design of Sample
Cell and Experimental Cell completed and report submitted on 27th
January, 2014 as per schedule. Procurement of High Pressure fittings
and testing of instrument is under progress at IIT Kharagpur.
20.4 S&T Project on 'Shale gas potentiality evaluation of Damodar basin
A S&T project on 'Shale gas potentiality of Damodar basin of India' at
an investment of Rs. 16.87 crores under S&T plan of Ministry of Coal
(MoC) is under implementation with an objective to evaluate Damodar
basin for their shale gas potentiality through integrated geophysical,
geological, geo-chemical and petro-physical investigations, as per
schedule. The instrument 'Automatic Porosimeter cum Permeameter' is
20.5 S&T Project on 'CBM reserve estimation for Indian coalf elds'
A S&T project on 'CBM Reserve estimation for Indian coalfields' at a
cost of Rs. 20.70 crores has been approved under EoI of Coal S&T project.
The project is of 3 years duration with effect from 24th March, 2014.
Action has been initiated as per the approved project proposal.
21 GEOLOGICAL EXPLORATION & DRILLING
CMPDI continued to carry out coal exploration activities in 2013-14
also, mainly in CIL and Non-CIL/Captive Mining blocks. Exploration in
CIL blocks was taken up to cater to the needs of project
planning/production support of subsidiaries of CIL whereas exploration
in Non-CIL/Captive Mining blocks was undertaken to facilitate allotment
of coal blocks to prospective entrepreneurs.
CMPDI has substantially improved the capacity of drilling during XI &
XII Plan periods. As against the achievement of 2.09 lakh metres in
2007-08, CMPDI has achieved 5.63 lakh metres in 2012-13 and 6.97 lakh
metres in 2013- 14 (24% growth) through departmental and outsourcing
resources. For capacity expansion through modernization of departmental
drills, 39 new Mechanical drills and 4 Hi- Tech Hydrostatic drills have
been procured since 2008- 09, out of which 10 have been deployed as
additional drills and 33 as replacement drills. CMPDI has also replaced
38 mud pumps and 74 trucks during the last six years.
To meet the increased work load, recruitment has been taken up through
campus interview/open examination. 201 Geologists, 26 Geo-Physicists
and 20 Mechanical Engineers for Drilling were inducted in CMPDI since
2008- 09. About 343 non-executive staffs have also been inducted for
exploration work. 25 Geologists, 2 Geo-Physicists, 5 Mechanical
Engineers and 11 non-executives have resigned.
Under outsourcing, the work of 40 blocks involving 14.78 lakh metre of
drilling was awarded through tendering since 2008-09, out of which
drilling has been concluded in 18 blocks. Due to local (law and order)
problems, work could not start in 2 blocks and stopped in 6 running
blocks. Due to non-availability of forest clearance, work is stopped in
7 blocks. Due to lack of forest clearance and adverse law and order,
about 2.14 lakh metre of drilling could not be carried out in
outsourced blocks in 2013-14. In 2013-14, a total of 3.71 lakh metre
(30% growth) has been drilled through outsourcing, which consist of
1.95 lakh metre through tendering and 1.71 lakh metre through MoU with
21.1 Drilling Performance in 2013-14
CMPDI deployed its departmental resources for detailed exploration of
CIL/Non-CIL blocks whereas State Govts. of MP and Odisha deployed
resources in CIL blocks only. Besides, eight other contractual agencies
have also deployed resources for detailed drilling/exploration in CIL/
Non-CIL blocks. A total of 120 to 140 drills were deployed in 2013-14
out of which 57 were departmental drills.
Apart from it, CMPDI continued the technical supervision of Promotional
Exploration work undertaken by MECL in Coal Sector (CIL and SCCL areas)
in 9 blocks, GSI in 11 blocks and DGM (Nagaland) and DGM (Assam) in 1
block each for Promotional Exploration in Coal Sector on behalf of MoC.
A total of 1.32 lakh metre of promotional drilling has been carried out
in Coal (0.63 lakh metre) and Lignite (0.69 lakh metre).
In 2013-14, CMPDI and its contractual agencies took up exploratory
drilling in 100 blocks/mines of 22 coalfields situated in 5 States. Out
of 100 blocks/mines, 26 were Non- CIL/Captive blocks and 74 CIL
blocks/mines. Departmental drills of CMPDI took up exploratory drilling
in 53 blocks/ mines whereas contractual agencies drilled in 47 blocks/
The overall performance of exploratory drilling in 2013-14 is given
Performance of Exploratory
Drilling in 2013-14 Achieved
Target Previous Year:
2013-14 Achieved Achieved +/- 2012-13 Growth
Agency (metre) (metre) (%) (m) (m) %
by CMPDI :
-mental 285000 325362 114% 40362 276199 18%
Govts. 9000 5943 66% -3057 7398 -20%
MECL (MOU) 185000 171006 92% -13994 138761 23%
blocks) 242000 156359 65% -85641 90779 72%
blocks) 179000 38171 21% -140829 49772 -23%
-cing 615000 371479 60% -243521 286710 30%
Total A 900000 696841* 77% -203159 562909 24%
B. Promotional Drilling in Coal Sector by MECL, GSI, DGM (Nagaland) and
GSI 14500 15589 108% 1089 14702 6%
MECL 69500 46753 67% -22747 30594 53%
Nagaland 700 783 112% 83 328 139%
DGM, Assam 300 123 41% -177 0 123%
CMPDI 4000 0 0% -4000 0 -
Total B 89000 63248 71% -25752 45624 39%
* In 2013-14, 4.59 lakh metre has been drilled in CIL blocks and 2.38
lakh metre in Non-CIL blocks.
In 2013-14, CMPDI achieved its departmental and overall drilling
targets by 114% and 77%, respectively. The performance of departmental
drilling was better than previous year with 18% growth and recorded an
average operational drills productivity of 487 metre/drill/month.
Non-availability of permission to explore in forest areas and local
problems (law and order) has affected the performance of outsourced
drilling. MECL could not achieve the targets of Promotional drilling in
coal sector due to forest problems and CMPDI could not undertake
promotional drilling due to priority in detailed drilling.
21.2 Geological Reports:
In 2013-14, 15 Geological Reports were prepared on the basis of
detailed exploration conducted in previous years. In addition, 8
Revised Geological Reports were also prepared. The prepared Geological
Reports have brought about 2.5 Billion Tonnes of additional coal
resources under 'Proved' category.
Under Promotional Exploration Programme, GSI and MECL have submitted 4
Geological Reports on coal blocks, estimating about 1.77 Billion Tonnes
of coal resources, in 'Indicated' and Inferred categories, above
22 OUTSIDE-CIL CONSULTANCY SERVICES
During the year 2013-14, 29 consultancy jobs were done for 20
organizations outside CIL. Some of the major clients/organisations for
whom jobs were completed are Neyveli Lignite Corporation Limited, MOIL
Limited, National Thermal Power Corporation, Steel Authority of India
Limited, National Aluminium Company Limited, Jindal Steel & Power
Limited, Singareni Collieries Company Limited, Damodar Valley
Presently, 28 outside-CIL consultancy jobs are in hand for 18
organizations like MOIL Limited, Odisha Industrial Infrastructure
Development Corporation (IDCO), National Thermal Power Corporation,
Odisha Mining Corporation Limited, Odisha Power Generation Corporation
Limited, Baitarani West Coal Company Limited, Neyveli Lignite
Corporation Limited, Hindustan Copper Limited, Damodar Valley
Corporation, Karnataka Power Corporation Limited, etc.
During the year 2013-14, 36 outside-CIL consultancy jobs worth Rs. 23.35
crores from 20 organizations were received by CMPDI.
23 RESEARCH & DEVELOPMENT PROJECTS
23.1 R&D Projects under S&T Grant of Ministry of Coal
The R&D activity in Coal sector is administered through an apex body
namely, Standing Scientific Research Committee (SSRC) with Secretary
(Coal) as its Chairman. The other members of this apex body include
Chairman CIL, CMDs of CMPDI, SCCL and NLC, Directors of concerned CSIR
laboratories, representatives of Department of S&T, Planning Commission
and educational institutions, among others. The main functions of SSRC
are to plan, programme, budget and oversee the implementations of
research projects and seek application of the findings of the R&D work
The SSRC is assisted by a Technical sub-committee headed by CMD, CMPDI.
The committee deals with research proposals related to coal
exploration, mining, mine safety, coal beneficiation and utilisation
and also the project proposals on mine environment and reclamation.
CMPDI acts as the Nodal Agency for co-ordination of research activities
in the coal sector, which involves identification of 'Thrust Areas' for
research activities, identification of agencies which can take up the
research work in the identified fields, processing the proposals for
Government approval, preparation of budget estimates, disbursement of
fund, monitoring the progress of implementation of the projects, etc.
Total no. of S&T projects taken up (till 31.3.2014) - 380
Total no. of S&T projects completed (till 31.3.2014) - 310
23.2 Physical performance
During 2013-14, a total of 5 projects have been completed by various
agencies. The status of Coal S&T projects during 2013-14 is as under:
i) Projects on-going as on 1.4.2013 15
ii) Projects sanctioned during 2013-14 02
iii) Projects completed during 2013-14 05
iv) Projects on-going as on 1.4.2014 12
Following Coal S&T projects were completed during 2013-14:
1. Integrated communication system to communicate and locate trapped
2. Design and development of coal winnowing system for dry
beneficiation of coal based on CFD modelling and simulation.
3. Development of methodology for estimation of Greenhouse Gas
emissions in mine fire areas and their mitigation through terrestrial
4. Development of tribo-electrostatic separator for beneficiation of
high ash Indian coking coals.
5. An approach to explore the applicability of spectrometry as a tool
for assessment of coal quality.
23.3 Financial status
Budget provision vis-…-vis actual fund disbursement during the period
is given below:
(Rs. in crores)
RE Actual RE Actual
11.40 11.53 11.65 11.76
23.4 CIL R&D Projects
For in-house R&D work of CIL, R&D Board headed by Chairman, CIL is also
functioning. CMPDI acts as the Nodal Agency for processing the
proposals for CIL approval, preparation of budget estimates,
disbursement of fund, monitoring the progress of implementation of the
In order to enhance R&D base in command areas of CIL, CIL Board in its
meeting held on 24th March 2008 had delegated substantial powers to CIL
R&D Board and the Apex Committee of the R&D Board. The Apex Committee
is empowered to sanction individual R&D project upto Rs. 5.0 crores value
with a limit of Rs. 25.0 crores per annum considering all the projects
together and CIL R&D Board is empowered to sanction individual R&D
project upto Rs. 50.0 crores.
So far, 71 projects have been taken up under CIL R&D Board fund, out of
which 48 projects have been completed till March, 2014.
The status of CIL R&D Board Projects during 2013-14 is as follows:
i) Projects on-going as on 1.4.2013 - 23
ii) Projects sanctioned during 2013-14 - 02
iii) Projects completed during 2013-14 - 07
iv) Projects on-going as on 1.4.2014 - 18
Following R&D projects were completed during 2013-14:
1. Analysis of in-situ stress for CBM exploration in Jharia Coalfield.
2. Effective utilization of low rank and low volatile high rank Indian
coking coals for Blast Furnace (BF) coke making.
3. Assessment of performance of explosives/blast results based on
explosive energy utilization.
4. Investigations of Bolt Behavior in Development and Depillaring
Panels under Blast Induced Dynamic Loading.
5. Feasibility study of High Angle Conveying System (HAC) in Opencast
Coal Mines by Computer Modelling and Simulation.
6. Investigation on augmentation of life of dump truck tyres through
improvement of tyre re-treading compound and development of an optimum
road maintenance management system-Phase-II.
7. Development of a notch cutting machine to facilitate construction
of stoppings in underground coal mines.
The disbursement of funds for CIL R&D Projects during the year 2013-14
was Rs.10.97 crores.
24. TELECOMMUNICATION SYSTEM
In order to fulfill the vision of CIL to become a global player in the
primary energy sector, the information and communication system of the
organization plays a vital role to cope with the requirement keeping in
view of each and every aspect of the business. CIL and its subsidiaries
are concerned for putting continuous effort for up-dating the
communication and IT solutions. To increase transparency, efficiency
and optimal utilization of resources for customer and investor
satisfaction, the following key initiations have been taken:
1. GPS based Operator Independent Truck Dispatch System (OITDS) with
high speed Data and Voice communication is implemented and in the final
stage of commissioning in all eleven Opencast projects to optimize
operation of HEMM to enhance the production and productivity of the
2. An ambitious plan to commission GPS/GPRS based vehicle Tracking
System across all major mines of Coal India has been taken up.
3. E-auction of coal, E-procurement of goods and services are
operational through service provider of CIL. E-payment to employee and
vendors, E-filing of grievances are in operation to embark upon the
business process through IT initiatives.
4. In order to improve coal dispatch, actions are being taken to
connect all weighbridges with Central Server of respective
subsidiaries. Connectivity to weighbridges of BCCL, SECL mines are in
place while at other subsidiaries viz. ECL, CCL, MCL, etc, is in
different stage of completion.
5. Corporate mail messaging system is in place and enhancement of mail
messaging system to CIL and subsidiaries for ultimate capacity of 19400
users is under process to provide corporate mail for executives of CIL
6. Network infrastructure for better communication (Surface and
Underground) for faster business process is continuously progressing
with quick refund of coal value for un-lifted quantities and earnest
money as per directives of MoC using state - of - art convergent
7. In order to meet the demanding business process, state - of - art
IP base EPABX with support of convergent technology for voice and data,
Radio communication System and UG communication system at different
locations of Coal India and its subsidiary companies are operational.
8. The dedicated Web Portal of Coal India has been established in
English and Hindi with enhanced look and feel encompassing the features
like Employee Portal, Tender publication, On-line grievance management,
Investor center, Customer corner, Vigilance etc. The Portal also
facilitates for receiving on-line applications for recruitment of MTs,
link to E-procurement and e-auction.
9. Video conferencing between CIL, Subsidiaries and MoC for
enhancement of decision making process for better production and
productivity is under final stage of implementation through Multi
Protocol Layered Switching (MPLS) links.
25. MINES SAFETY
Coal India Ltd has always given the highest priority towards "Safety".
In CIL, safety is considered as a part of its core business process and
is embedded in the mission statement. CIL has framed well defined
Safety Policy and formed a multidisciplinary Internal Safety
Organization (ISO) in every subsidiary company as well as at CIL (HQ)
to monitor implementation of CIL's safety policy.
Accidents statistics is the indicator for safety status. Over the
years, the safety performance in terms of accident in CIL has improved
25.1 This improvement in safety is attributed to the following
- Collective commitment and synergies shown by the management and
- Use of state-of-the-art technology in the field of mining methods,
machineries and safety monitoring mechanism.
- Continuous improvement in knowledge and skill of our workforce
through imparting quality training and relentless safety awareness
- Strong oversight and assistance from various quarters.
Salient features of continuous and sustained improvement in CIL's
1. The 5 yearly average fatalities since the inception of CIL in the
year 1975 have shown a reducing trend over a period of time as evident
from the graph given below:
Note: Accident Statistics are maintained calendar year wise in
conformity with DGMS and figures for the year 2013 are subject to
reconciliation with DGMS
2. The 5 yearly average fatalities for the period 2010-13 have reduced
by 66% compared to average fatalities during 1975-79.
3. The 5 yearly average serious injuries in CIL since its inception in
the year 1975 upto 2013 have also shown a reducing trend over a period
of time as is evident from the graph below:
4. The 5 yearly average serious injuries have reduced more sharply
than fatalities in the same time frame. As figures of serious injuries
are the precursor of fatal accidents and mine disaster, it is the
indicator of improvement in safety standards of our mines as a whole.
Analysis of trend of Accident Statistics of CIL for the last 5 years is
also indicating overall improvement in safety performance in CIL.
- Reducing trend of fatalities in CIL for the last 5 years
Details of Accident Statistics in 2013 vis-…-vis 2012:
During the year 2013, there were 54 fatal accidents and 58 fatalities
in CIL mines compared to 57 and 60 respectively in 2012. Thus the
numbers of fatal accidents and fatalities in 2013 compared to 2012 have
reduced. The serious accidents and serious injuries for the year 2013
compared to 2012 have reduced significantly to 175 and 178 respectively
from 212 and 219. These are the lowest serious accidents and serious
injuries figures since the inception of CIL in 1975.
Overall: Accident Statistics for CIL in 2013 compared to 2012 are given
No. Parameters 2012 2013
1 Number of fatal accidents 57 54
2 Number of fatalities 60 58
3 Number of serious accidents 212 175
4 Number of serious injuries 219 178
5 Fatality Rate per million tonne
of coal production 0.13 0.12
6 Fatality Rate per 3 lakhs
manshift deployed 0.22 0.21
7 Serious injury Rate per million
tonne of coal production 0.48 0.38
8 Serious injury Rate per 3 lakhs
man shift deployed 0.79 0.64
25.2 Major Activities of Safety & Rescue Division of CIL:
1. Inspection of mine to review safety status & follow up action.
2. Prima-facie fact finding enquiry into fatal accident and major
incidences such as mine fire, subsidence, in-rush of water, slope
failure, explosion etc.
3. Organizing meeting of CIL Safety Board and monitoring
recommendations / suggestions made during the meeting.
4. Organizing meeting of National Dust Prevention Committee (NDPC) and
monitoring recommendations / suggestions of NDPC.
5. Framing of internal technical circulars / guidelines related to
safety issues and monitoring implementation.
6. Maintenance of accidents / major incidents statistics in database.
7. Publication of Safety Bulletin for disseminating and sharing of
knowledge in order to promote safety awareness and inculcate better
8. Framing reply of different coal mine safety related parliamentary
questions including queries raised by different standing committees
such as standing committee on energy, standing committee on labour as
well as questions raised by COPU, MOC, CAG and VIPs.
9. Monitoring safety related R&D activities.
10. Imparting specialized training by SIMTARS accredited trainers to
unit level and area level executives who are directly engaged in
ensuring safety in mines.
25.3 Actions taken for improvement of safety in mines undertaken in
To improve safety standard, CIL has vigorously pursued several measures
in the year 2013 along with on-going safety related activities /
initiatives apart from compliance of statutory requirements for safety
which are given below:- - Continuous oversight of safety status of
mines is being done through multi-disciplinary Internal Safety
- After analysis of fatal accidents which occurred at different point
of time in 2013, several directives / guidelines on corrective measures
to be taken for prevention of recurrence of similar type of accident in
future are being issued from the Safety & Rescue Division of CIL.
- Stress on preparation and implementation of Risk As- sessment based
on Safety Management Plan (SMP).
- A protocol for conducting safety audit by external independent
agencies has been prepared to bring uniformity and efficiency in mine
26. Mines Rescue Services : A well-equipped Rescue Service Organization
staffed by rescue personnel trained in modern training galleries and
equipped with modern rescue equipment is maintained by the subsidiary
companies of CIL. At present there are 6 Rescue Stations, 15 Rescue
Rooms-with-Refresher Training facilities and 18 Rescue Rooms in CIL.
27. Safety Monitoring Agencies in CIL: Apart from statutory monitoring
by DGMS, the status of safety is being monitored at various levels by
the following agencies:
Level Monitored By Mine level 1. Workman inspectors: as per Mines Rule-
2. Pit Safety Committee: constituted as per Mines Rule-1955
Area level 1. Bipartite/Tripartite Committee
2. Safety Officers' Coordination Meeting
Subsidiary HQ 1. Bipartite/Tripartite Committee Meeting at
level HQ level
2. Area Safety Officers' Coordination Meeting
3. Inspections by ISO Officials
CIL HQ: 1. CIL Safety Board
Corporate 2. CMD's meet
Level 3. Director (Tech)'s Coordination Meeting
Ministry of Coal 1. Standing Committee on Safety in Coal
(MOC) / Other Mines
Ministries Level 2. National Conference on Safety in mines
3. Various Parliamentary Standing
28. HUMAN RESOURCE DEVELOPMENT
The Company has made optimum utilization of resources and technology
and also used advanced methods and technology for the enhancement of
efficiency and productivity in the company. HRD has been developing new
techniques and opportunities for employee's self development which in
turn proved to be favorable for the company as a whole.
28.1 Overall Performance
In CIL and its subsidiaries, 93825 employees have been trained during
2013-14 out of which 20502 were executives and 73323 were
non-executives. These training programmes included in-house training
(training at subsidiary training centres and also at IICM), training in
other reputed institutes outside the Company and training abroad.
i) In-house Training
The in-house training programmes were organized at subsidiary HQs, 27
Training Centers and also 102 VT Centers across Coal India and also at
IICM. HRD Division of subsidiaries organized these trainings after
assessing the training need in the respective category of employees
within the subsidiary. Special attention was given for improving the
skill of the employees keeping in mind the needs of the Industry.
Details of in-house training imparted are listed below:-
Training Training Seminar Total
Executives 7135 8273 1211 16619
ii) Training Outside Company (Within the Country)
Besides in-house training at our Training Institutes, VT centers and
IICM, employees were trained within the country at reputed training
institutes, in their respective field of operations and also for
supplementing our in- house training efforts. Employees from eight
subsidiary companies and from CIL (HQ) have been trained in those
reputed institutes. The break-up is given below:-
Training Training Seminar Total
Executives 1363 1428 970 3761
executives 642 85 29 756
Total 2005 1513 999 4517
iii) Training Abroad
Coal India has deputed 122 executives to different countries from its
subsidiary and HQ during the year 2013-14 for Training, Workshops /
Seminars / Conferences as per the details given below:-
Training Workshops / Seminars / Total
Executives 57 65 122
- CIL has been recruiting fresh and dynamic young talents in different
disciplines for the last few years. Special attention has been given to
groom these young and energetic persons in their respective fields
throughout the year. In addition to the introductory concept on Coal
Industry, they have been trained on basic Management Techniques (MAP)
and also in their respective Technical fields (TAP) through regular
courses organized by IICM with reputed faculties. Special attention has
also been given in tuning them in their respective specialized working
areas by on- the-job training throughout the year. Their probation is
closed after appearing for the examination at the end of the year
- As MTs of Excavation and E&M disciplines are posted in different Coal
Mines, to provide them proper exposure to Mining Operations as well as
Mining Equipments (both surface and underground) and to make them
conversant with the Mining activities, 5 weeks of intensive training in
different batches for a total of 253 MTs was organized at
Indian School of Mines, Dhanbad, the Premier Mining Institute of our
country during the year 2013-14.
- Special training modules as per the need of our industry have been
designed and tie-ups were done with IIM, Lucknow and ASCI, Hyderabad to
train our middle level (E4- E7) executives on Management Development
Programmes at their campuses w.e.f. 1st April, 2014.
- Similarly tie-up was made with IIM, Calcutta to train about 150
General Managers (E8) of different disciplines on Advance Management
including overseas learning w.e.f. 4th May, 2014.
- 5 senior executives were sent to Japan to attend a 8-day training
programme on 'Coal Preparation'.
- 2 middle level executives were sent to China to attend a 20- day
training programme on 'Fully Mechanized Coal Mining Technology- 2013'.
- 495 executives have been given certified training in Project
Management at IICM and other renowned institutes.
- 72 executives have been given certified training in Contract
Management at IICM and other reputed institutes.
During FY 2013-14, Coal India Limited had inducted fresh talent into
the organization at entry level as Management Trainees. 1141 Management
trainees inducted in various technical and non- technical disciplines
through open advertisement recruitment and 604 selections made through
campus from various institutions of repute. Out of these campus
selections 455 Management Trainees would be joining the Company in
July- Aug 2014 upon completion of their courses. Coal India Limited has
also advertised for 339 posts of MTs in March 2014 for the newly
created Community Development discipline besides Environment, Sales &
Marketing, Personnel, Materials Management and Finance disciplines.
This process is likely to conclude by October 2014. Additionally, the
Company has recruited 125 Specialist doctors and recruitment of 192
General duty doctors is at the concluding stage. At Lateral level 05
Ex- servicemen who have undergone Business Management Courses at IIMs
have been recruited through campus selection and posted at different
subsidiary companies. Apart from this, the Company has also inducted
190 persons in executive cadre from its existing pool of employees of
non-executive cadre through selection/ promotion.
29.1 The total manpower of the Company including its subsidiaries as on
31.03.2014 is 3,46,638 as against 3,57,926 as on 31.03.2013. The
subsidiary company-wise position of manpower is as given below:-
Company As on Total
Total (CIL as a whole)
29.2 The presidential directives for Scheduled Castes/Scheduled
Tribes/OBCs have been implemented in all the subsidiaries/ units of
Coal India Limited.
The representation of SC/ST employees in the total manpower of CIL and
its Subsidiary Companies as on 01.01.2012, 01.01.2013 and 01.01.2014 is
Scheduled Castes Scheduled Tribes
As on Manpower Nos. Percentage Nos. Percentage
1.1.2012 374650 77885 20.79 45424 12.12
1.1.2013 361348 74780 20.69 43342 11.99
1.1.2014 350188 72957 20.83 42049 12.01
30. INDUSTRIAL RELATIONS AND EMPLOYEES' PARTICIPATION IN MANAGEMENT
The Industrial Relations scenario in CIL and its subsidiaries during
the financial year remained cordial. JCCs and different Bipartite
Committees at Units / Area levels / Subsidiary (HQ) levels continued to
function normally. Meetings of the Standardisation Committee were held
at regular intervals at CIL.
Strikes and Bandhs
The Company-wise details of strikes, mandays lost, production lost and
other incidents are furnished in the following table:-
STRIKES AND BANDHS
Company No. Of Strikes/Bandhs No. Of other incidents
2012-13 2013-14 2012-13 2013-14
ECL 2+1 1+0 6 24
BCCL 2+1 1+0 7 1
CCL 2+1 1+0 61 41
WCL 2+1 1+0 2 0
SECL 2+1 1+0 0 0
NCL 2+1 1+0 12 0
MCL 2+1 1+0 0 0
NEC 2+1 1+0 0 0
CMPDI 2+1 1+0 0 0
CIL 2+1 1+0 0 0
Total 2+1 1+0 88 66
Company Production Loss
Mandays lost (per tonne)
2012-13 2013-14 2012-13 2013-14
ECL 27427 2166 24100 35000
BCCL 7557 2057 19700 1453
CCL 4165 2236 00 00
WCL 40366 2756 201800 9700
SECL 56571 2942 239000 00
NCL 1769 271 73500 00
MCL 1617 1906 00 00
NEC 198 106 00 00
CMPDI 677 778 00 00
CIL 60 206 00 00
Total 140407 15424 558100 46153
Strike - Strike call given by Coal Mines Officers Association of India
(CMOAI), majority of the executives remained on strike on 13-3-2014 in
CIL and Subsidiaries
31. EMPLOYEES' WELFARE AND SOCIAL SECURITY SCHEMES
The focus of our Welfare Activities is the welfare of our employees and
their families. The coal companies are paying greater attention to the
welfare of their workers. Every effort is being made to improve the
living conditions of the coal miners. In order to create a sense of
belonging and involvement in work, top priority is given by the
management to provide housing, medical, educational facilities, sports
and cultural facilities etc.
1) Structured Sports Policy of CIL and its subsidiaries, Memorandum of
Association and Regulation and Registration under West Bengal Societies
Registration Act 1961.
Coal India Sports Promotion Association (CISPA) has been registered
under West Bengal Societies Registration Act 1961.
The structured sports policy was formulated and approved by the CIL
Board. The objectives of the policy are as under:- a) To formulate the
policy for promoting excellence in sports at State,
National/International level and use these efforts as a vehicle to
enhance the image of such sports persons as Brand Ambassador.
b) To promote, develop and control various Sports/
Recreational/Cultural activities and to foster spirit of sportsmanship
and solidarity among the employees of Coal India and its subsidiaries.
c) To advise and assist in the improvement and construction of sports
academies / grounds / clubs / auditoriums and to allocate funds for
various Sports Activities within Coal India and its subsidiaries.
d) To conduct and support various sports meets and other sports
activities within CIL and its subsidiaries as well as outside the
Company, either by sponsoring such activities or by inviting
outstanding sports persons to participate in Coal India Team.
e) To affiliate itself to National Sports Federations/Associations and
other appropriate institutions in sporting/recreational/ cultural
activities and to act as a Central Body.
f) To recommend recruitment of young, promising and outstanding
sportspersons and with regard to promotion of existing reputed players
associated with CIL and its subsidiary companies.
g) To raise national level teams in identified games through scientific
coaching, providing state-of-the-art equipment and infrastructure.
h) To generate corporate goodwill and brand equity by sponsoring /
co-sponsoring various sports/ games events at State, National and
i) To liaise with National and State Association / Bodies/ Federations
promoting sports, games and cultural activities within India with a
view to further sports centric objectives of the Company.
2) Implementation of Revised Contributory Post Retirement Medicare
Scheme for Executive (CPRMSE) of CIL and its subsidiaries.
The Board of Directors of CIL in its 289th Meeting held on 18.09.2012
had approved modifications/additions in the
Contributory Post Retirement Medicare Scheme for Executives of CIL and
its Subsidiaries (CPRMSE). Accordingly an Office
Order has been circulated on 28.12.2012 for implementation of the
The reimbursement charges for hospitalization (indoor treatment) as per
CPRMSE has been enhanced to Rs. 25 Lakhs or Rs. 12.5 Lakhs as the case may
be with immediate effect. There will be no limit for specified diseases
as mentioned in Clause 3.2.1 (d) of the Scheme which will not be
accounted for against the amount of Rs. 25 Lakhs or Rs. 12.5 Lakhs as the
case may be.
Further annual charges for domiciliary / outdoor treatment expenses
have also been raised to Rs. 15,000/- payable in two installments.
At the time of nationalisation, there were only 1,18,366 houses
including sub-standard houses. The availability of these houses has
increased to 3,99,354 (as on 31.03.2014). The percentage of housing
satisfaction has now reached 100%.
4) WATER SUPPLY
As against 2.27 lakhs population having access to potable water at the
time of nationalisation in 1973, presently a populace of 21.17 Lakhs
(as on 31.03.2014) has been covered under water supply scheme.
5) MEDICAL FACILITIES
Coal India Ltd and its subsidiaries are extending medical facilities to
its employees and their families through various medical establishments
from dispensary level to Central and Apex Hospitals in different parts
of the coalfields.
There are 79 hospitals with 5,709 beds, 418 dispensaries, 589 ambulance
and 1445 doctors including specialists in CIL and its subsidiaries to
provide medical services to the employees. Besides 11 Ayurvedic
dispensaries are also being run in the subsidiaries of Coal India
Limited to provide indigenous system of treatment to workers.
In addition, subsidiary companies have also been organizing different
medical camps for the benefit of the villagers/community. Special
emphasis has also been given on Occupational Health, HIV/AIDS awareness
programme for the employees and their families.
Moreover, medical facilities are being provided to people residing in
and around mine premises of the subsidiary companies of CIL.
6) EDUCATIONAL FACILITIES
The primary responsibility for providing educational facilities lies
with the State Governments. However, the subsidiary companies of CIL
have been providing financial assistance and infrastructure facilities
to certain renowned schools like DAV Public Schools, Kendriya
Vidyalaya, Delhi Public School etc to impart quality education.
Coal India Scholarship Scheme (Revised - 2013)
In order to encourage the sons and daughters of employees of Coal India
Limited, two types of Scholarship namely Merit and General Scholarship
are being provided every year under prescribed terms and conditions.
The no. of students who have been getting Scholarship and no. of
students of IIT, NIT and Govt. Engineering and Medical Collages whose
tuition fees and hostel charges are being reimbursed are given as
No. of Scholarship No. of students in
Company Awardees IITs, NITs and others
ECL 924 60
BCCL 118 49
CCL 795 24
WCL 3581 113
SECL 3883 189
MCL 1436 44
NCL 881 103
CMPDIL 174 22
Total 11,792 604
Grant sanctioned for schools, including privately managed schools:
Company (Figs. in Lakh Rupees)
7) Statutory Welfare Measures:
In accordance with the provision of the Mines Act 1952 and Rules and
Regulations framed there-under, subsidiaries of Coal India Limited are
maintaining various statutory welfare facilities for the coal miners
such as Canteen, Rest Shelters and Pit Head Baths etc.
8) Non-statutory Welfare Measures:
Co-operative Stores and Credit Societies
In order to supply essential commodities and consumer goods at a
cheaper rate in the collieries, 24 Central Co-operatives and 128
Primary Co-operative Stores are functioning in the Coalfield areas of
CIL. In addition, 181 Co-operative Credit Societies are also
functioning in the Coal Companies.
9) Banking Facilities
The Management of the Coal Companies are providing infrastructure
facilities to various Nationalised Banks for opening their Branches and
Extension Counters in the Coalfields for the benefit of their workers.
Workers are educated to draw their salaries through 485 Bank/ Extension
Counters and they are also encouraged to practice thrift for the
benefit of their families.
10) Welfare, Development and Empowerment of Women
There is a Forum for Women in Public Sector Cell at Company
Headquarters, Kolkata and five subsidiary companies viz. ECL, BCCL,
CCL, SECL and CMPDI. Each WIPS Cell is headed by a Coordinator who
plans and executes various activities of the Forum with the help of a
duly appointed Executive Committee. The Company extends active support
to the various activities of WIPS comprising of welfare activities,
training and development activities, seminars, cultural programmes,
industrial awareness visits, health awareness programmes etc. for WIPS
members, women workers, their families and the society at large.
Coal India Ltd and its subsidiary companies are extending full- fl
edged support and patronage to National Conference Forum of WIPS held
every year in February at predetermined locations by sponsorship of the
event, nomination of maximum number of delegates and also by competing
for the BEST ENTERPRISE award. In recent years WIPS cell has done
commendable work in reaching out to the grass-root level women
employees, empowering them by suggesting gainful redeployment, training
and uplifting their morale by recognizing outstanding achievement, and
honouring the exceptional talent.
24th National Meet of WIPS
The 24th National Meet of WIPS was held at Swabhumi, Kolkata on 11th
and 12th February, 2014. Coal India supported this programme in a grand
way by being the Diamond Sponsor, and deputed volunteers and anchors
for the programme. The two days National Meet was attended by 700 women
from different PSEs, Banks and Insurance Companies from all over the
country and it was hosted by the Eastern Chapter of WIPS. Former Lok
Sabha Speaker Mr Somenath Chatterjee, and D. G. SCOPE, Dr. U. D.
Choubey graced the inaugural session, as distinguished Guests. Coal
India won JURIES SPECIAL AWARD for Excellence in Public Sector
Management under Maharatna Category.
International Women's Day
International Women's Day was celebrated on 8th March, 2014, at Coal
Bhawan by organizing an in-house cultural programme to unleash the
potential of women employees of CIL (Hqrs.).
11) Corporate Social Responsibility (CSR)
Corporate Social Responsibility (CSR) is company's commitment to
operate in an economically, socially and environmentally sustainable
manner, while recognizing the interests of its stakeholders.
Coal India Limited has a well-defined CSR policy introduced w.e.f.
29.06.2010 based on the guidelines issued by the Department of Public
Enterprise for Central PSUs on CSR in April 2010, which is also
applicable in respect of subsidiary companies of CIL.
The poor and needy people of the society living in and around the
coalfields/mining areas in different parts of India are the major areas
covered under CSR activities. The CSR policy is operational within the
radius of 25 KM of the project site and areas including Head Qtrs.
Further CSR activities are also undertaken beyond the mining areas
within the respective state with the approval as per norms. CIL being a
holding company executes CSR activities on all-India basis.
The annual budget for CSR in respect of subsidiary companies is
allocated based on 5% of the retained earnings of the previous year
subject to a minimum of Rs. 5 per tonne of coal production of the
previous year. In respect of CIL as a Holding Company, 2.5% of retained
profit of last year is allocated for execution of CSR activities.
CIL believes in 'mining with a human face' through a socially
sustainable inclusive development process. It pursues a structured CSR
policy in and around the coal mining areas to improve quality of life
with community consensus and inclusive participation.
12) Special Cash Award
During 2013-14, an amount of Rs. 51,000/- has been provided as Special
Cash Award to 9 meritorious children of employees of CIL(Hqrs.),
Kolkata, Desk Offices of subsidiary companies and Dankuni Coal Complex
@ Rs. 7,000/- for 3 students who have secured 90% or above marks in the
Class-XII Board level examination and @ Rs. 5,000/- for 6 students who
have secured 90% or above marks in the Class-X Board level examination.
13) Recreational facilities:
Holiday Homes in the following tourist spots are available to the
employees of CIL and its subsidiaries at subsidized rate.
14) CIL Welfare Board Meeting.
The 42nd meeting of the Coal India Welfare Board was held on 18th
October 2013 at Jaipur with the Central Trade Union Representatives and
the representatives of the Management to discuss and decide regarding
welfare policies, implementation of different welfare schemes in CIL
and its subsidiaries.
32. TREE PLANTATION / AFFORESTATION.
Coal India Limited envisioned that tree plantation plays an important
role in our economic development and environmental balance.
Accordingly, every year Coal India Limited and its subsidiaries are
planting tree saplings on the available land in its command areas.
During 2013-14 Coal India Limited and its subsidiaries have planted
13.36 lakhs tree saplings over 526 ha under the plantation /
Since inception, CIL and its subsidiaries had planted more than 81
million plant saplings over a land area of 34317 ha upto 31st March,
33. PROGRESSIVE USE OF HINDI.
Coal India Limited kept its efforts continued to propagate and spread
the progressive use of Official Language Hindi during the year 2013-14.
By adopting the Official Language policy of the Union which is based on
motivation and encouragement, Coal
India ensures the implementation of the Statutory Provisions of the
Official Languages Policy of the Union. The top management gives it
high priority. A brief description of the work done during the year
under review towards implementation of the Official Language is
appended below:- To augment the process of implementation of the
provisions of the Official Languages Act, Rules made there under and in
order to increase the use of Hindi in day-to-day official work, regular
meetings of the Official Language Implementation Committee are being
organized. In these meetings, the members of the Hindi Advisory
Committee of Ministry of Coal and the MoC Observer for Coal India were
The meeting of Hindi Advisory Committee of Coal Ministry was held on
3.09.2013 under the Chairmanship of Hon'ble Minister of Coal, in which
Coal India Ltd actively participated. The suggestions for
implementation regarding use of Hindi received from the members are
With a view to create a conducive atmosphere for working in Hindi and
accelerating the use of Hindi as Official Language in among official
work, a 'Hindi Fortnight' was organized from 14.9.2013 to 28.9.2013.
During Hindi Fortnight, various Hindi Competitions such as Hindi essay
writing, Hindi noting and drafting, Hindi Translation, Hindi Dictation,
and Hindi typing were organized among the employees of Coal India
Limited. Cash Awards and Certificates were given to the winners by
Chairman, Coal India Ltd. on 20-12-2013 at the event of OLIC meeting
where Shri Gopal Krishna Pharlia, member of Hindi Advisory Committee of
Ministry of Coal, was also present. This created a consciousness among
employees to use the Official Language in official work. It is notable
that Regional Sales Offices situated at different cities were granted
sufficient fund as per their sizes to celeberate Hindi Diwas and Hindi
Week/Fortnight as per their practice. In order to promote Hindi, a
Hasya Kavi Sammelan was organized on 21.12. 2013 at Rohini Housing
Complex, Ultadanga, Kolkata where a large audience was present.
Another feather in the cap during the period under review was that Coal
India Ltd. bagged the first prize in the Corporate Office category for
the best implementation of the Official Language Policy of the Union by
Town Official Language Implementation Committee (PSUs), Kolkata during
its half yearly meeting cum prize distribution ceremony held on
30.08.2013 at Meghnath Saha Auditorium, Central Glass & Ceramic
Research Institute, Kolkata. Coal India also received 'Karyalaya Deep
Samman' from Rajbhasha Sanshthan, Delhi at Jim Corbett Park, Nainital
on 10.10.2013 for the best implementation of Official Language Policy
of the Union. With a view to promote Hindi knowledge of the employees,
10 sets of 9 reputed Hindi Magazines are being distributed among
different departments / sections. Help literature and Hindi
Dictionaries were provided to the sections & their incharge on their
indent for smooth use of Rajbhasha in Official works. Unicode on
computers is being activated in each and every computer.
With a view to create a working atmosphere for the use of the Official
Language and to remove hesitation of officers and employees to work in
Hindi Coal India organized Hindi workshop from time to time so that
they may be aware of use of Hindi words, Hindi notings and drafting in
their regular official works. Coal India always lays emphasis on
imparting training in Hindi Language under Hindi Teaching Scheme of
Govt. of India by nominating the employees in Hindi Praveen and Pragya
classes. The Company has nominated 4 persons in the current session
starting from January, 2014 in these classes. In addition, 4 persons
were nominated for Hindi Stenography and Typing classes in the month of
The 3rd sub-committee of the Parliament on Official Language visited
Coal India Ltd on 4.10.2013 to observe the status of use of Hindi in
official work and to ensure that provisions of the Official Languages
Act and Rules made there-under are properly complied with. They
suggested ways and means for effective implementation of Official
Languages Act in the official work and taken certain assurances from
Chairman, Coal India Ltd. to fulfill it within the stipulated time.
Coal India Ltd is committed to fulfill these assurances within the
The inspection of offices is a part of this implementation. Officials
of Rajbhasha department, CIL (HQ.) reviewed the status of
implementation of Official Language at some of its subordinate offices
during the year under review. Suggestions have been given to correct
the short-comings seen during the inspection and they were advised to
achieve the target of Hindi correspondence, as stipulated in the annual
programme of the Govt. Of India, Ministry of Home Affairs, Rajbhasha
34. VIGILANCE SET UP
The anti-corruption activities in CIL and its subsidiary companies have
been institutionalized by setting up Vigilance Departments in CIL and
subsidiary companies each of which is headed by a Chief Vigilance
Officer (CVO), appointed by the Govt. of India in consultation with
Central Vigilance Commission (CVC) on tenure basis, drawn from various
During the year 2013-14, 44 Intensive Examination of Works/ Contracts
were undertaken by CIL (HQ) and its subsidiary companies. In addition,
334 Surprise Inspections were carried out and 335 investigation cases
were completed. Besides, 116 Departmental Inquiries were disposed of
which resulted in punitive action against 264 officials. Such
examinations/investigations have resulted in initiation of various
system improvement measures.
As per the directives of Central Vigilance Commission, Vigilance
Awareness Week - 2013 has been observed at CIL Hqrs., Kolkata and at
subsidiaries from 28.10.2013 to 02.11.2013. emphasizing the theme of
"Promoting Good Governance -Positive Contribution of Vigilance". The
week was observed by organizing various activities in order to generate
awareness, educate and discuss transparency among officials /stake
holders as well as general public to arrest the root cause of
corruption and to promote good governance. Banners were displayed at
prominent places. System Improvement Suggestions were invited from all
employees and the suggestions received were analysed. On 31.10.13,
Group discussion on "Promoting good governance through e-governance"
was organized at different departments of CIL HQ, with an aim to
enhance the transparency in procurement process in organisation. In
house contest/ competition were organized and entries received from
employees and their family members of different departments of CIL HQ.
During VAW-2013, Poster Making Competition and Essay Writing
competition on anti corruption topics were organized in different
categories for the wards of employees of Coal India Limited. The wards
and spouses of employees of Coal India Limited were also allowed to
participate in the slogan competition for Creating a Slogan and Essay
writing competition. An Open Interactive Session with special emphasis
on the theme "Promoting Good Governance - Positive Contribution of
Vigilance", was held on 04.11.2013. The speakers discussed issues
relating to transparency, good governance, Pro- active vigilance etc.
In the interactive session, participants raised several issues which
were discussed. Thereafter, Vigilance Corner page on CIL website was
inaugurated. Apart from annual action plan, policy and circulars, it
has facility for online filing of Vigilance Complaints including PIDPI
complaint, online filing and viewing of Annual Property Return etc.
Online Whistle Blower Vigilance Complaint System at CIL
The Whistle Blower Vigilance Complaint (WBVIG) is a web based
complaint/grievance handling system of Vigilance Division, Coal India
Limited for disclosure on any allegation of corruption or misuse of
office where identity of the complainant is kept secret. This is based
on GoI resolution on Public Interest Disclosure and Protection of
Informer (PIDPIR), popularly known as Whistle Blower policy. With
regard to Whistle Blower Vigilance Complaint, the Vigilance Division,
Coal India Limited is accepting the complaints with the responsibility
of keeping the identity of the complainant confidential. Whistle Blower
Vigilance Complaint system has been made accessible from CIL Web
Updation of CIL Purchase Manual.
As a part of Preventive Vigilance, suggestions related to Mode of
tendering, Sources for fl oating Limited tendering, Eligibility
criteria, Trial orders, Arbitration Clause have been communicated to
Purchase Division, CIL(HQ) which may be put up to the committee for
deliberations and consideration.
Tender for f nalization of Rate Contract for supply of Explosives
System improvement suggestions have been communicated to Purchase
Division, CIL(HQ) for consideration and further needful action.
35. PARTICULARS OF EMPLOYEES.
No employee received remuneration during the year 2013- 14, either
equal to or in excess of the limits prescribed under Section 217(2A) of
the Companies Act,1956 read with Companies (Particulars of
Employees)Rules,1975 as amended.
36. BOARD OF DIRECTORS
Shri S. Narsing Rao Chairman-cum-Managing Director of the Company,
continued throughout the year. On being appointed as the Principal
Secretary to the Chief Minister, Telengana, he has submitted his
resignation to the Secretary, Ministry of Coal on 23rd May,2014. His
resignation was accepted on 24th June,2014 by the Ministry of Coal and
he relinquished his charge from 26th June,2014(FN).
Shri R.Mohan Das, Director (P&IR), Shri N.Kumar Director (Technical),
Shri B.K.Saxena, Director (Marketing) and Shri A. Chatterjee, Director
(Finance) were on the Board throughout the year.
Dr A.K.Dubey, Additional Secretary, MoC was nominated on the Board
w.e.f 3rd April, 2013 and continued as a part-time official Director on
the Board for the balance period of the financial year. Dr. A.K.
Dubey, has assumed the additional charge of CMD, CIL with effect from
26th June'2014(FN). Ms Anjali Anand Srivastava, Joint Secretary &
Financial Advisor, MoC, continued as a Part Time Director till 8th
April, 2013. Smt Sujata Prasad, Joint Secretary & Financial Advisor,
MoC, was nominated on the Board w.e.f 3rd May' 2013 and continued as a
part-time official Director on the Board for the remaining period of
the financial year.
On completion of their tenure a) Dr A.K.Rath ceased to be an
Independent Director w.e.f 26th April, 2013 b) Shri Kamal R Gupta, Dr
(Smt) Sheela Bhide and Prof. S.K.Barua ceased to be the Independent
Directors w.e.f. 3rd August, 2013 and c) Dr R.N.Trivedi, Ms Sachi
Chaudhuri and Dr. Mohd. Anis Ansari ceased to be the Independent
Directors w.e.f 23rd August,2013.
Dr R. N.Trivedi and Shri Alok Perti were appointed as Independent
Directors w.e.f 31st October 2013 and continued for the balance period
of the financial year. Shri C. Balakrishnan and Dr. Noor Mohammad were
appointed as Independent Directors w.e.f 19th December, 2013 and
continued for the balance period of the financial year. Prof Indranil
Manna and Shri Shri Prakash were appointed as Independent Directors
w.e.f. 6th February, 2014 and continued for the remaining period of the
Shri A.N.Sahay, CMD, MCL and Shri A.K.Debnath, CMD, CMPDIL have been
appointed as permanent invitees on the CIL Board w.e.f. 23rd April,
2013. Shri D.P.Pande has been appointed as a permanent invitee on the
board w.e.f 12th July, 2012 and continued till 10th April, 2013.
Your Directors wish to place on record their deep sense of appreciation
for the valuable guidance and services rendered by them during their
tenure, who ceased to be Directors during the year.
In terms of Article 33(d) of the Articles of Association of the
Company, one-third of the Directors are liable to retire by rotation
shall retire at the ensuing Annual General Meeting and they are
eligible for reappointment.
The Board of Directors held 10 meetings during the year 2013-14.
37. DIRECTORS' RESPONSIBILITY STATEMENT
In terms of Section 217(2AA) of Companies Act, 1956 read with
Significant Accounting Policy at Note 33 and additional Notes on
Accounts at Note 34 forming part of Accounts (CIL- Standalone 2013-14),
it is confirmed:
i) That in preparation of the Annual Accounts, applicable Accounting
Standards have been followed and that no material departures have been
made from the same;
ii) That such Accounting policies have been selected and applied
consistently through judgments and estimates that are reasonable and
prudent, to give a true and fair view of state of affairs of the
company at the end of the financial year and profit & loss of the
company for that period;
iii) That proper and sufficient care have been taken for maintenance of
adequate accounting records in accordance with the provisions of
Companies Act, 1956 for safeguarding the assets of the Company and for
preventing and detecting fraud and other irregularities; and
iv) That Annual Accounts have been prepared on a going concern basis.
38. ACCOUNTS OF THE SUBSIDIARIES
In terms of the General Circular No. 2/ 2011 dated 8th February, 2011
from the Ministry of Corporate Affairs, the Annual Accounts of the
subsidiary companies and the related information shall be made
available to the shareholders seeking such information.
39. COST AUDIT
In pursuant to the directions of the Central Govt. for conducting Cost
Audit of Cost Records, the proposal for appointment of M/s Musib & Co
as Cost Auditor of your Company for the year 2013- 14 was approved by
the Central Govt. and accordingly they have been appointed. The Cost
Audit Report for the year 2012-13 was filed by your Company on 26th
40. SECRETARIAL AUDIT
The Company conducted Secretarial Audit for the year 2013-14. The
report of the Secretarial Auditor is included in the Corporate
Governance Report. The observation of the Secretarial Auditor and
Management Explanation is enclosed as Annexure V.
41. B.I.F.R AND BRPSE STATUS
Eastern Coalf elds Limited (ECL)
As on 31st March, 1997 accumulated losses of the Company exceeded its
networth by Rs. 251.20 crores. Hence the Company was referred to BIFR in
October, 1997 in terms of Section 15(1) of SICA. Due to financial
restructuring done by CIL on 31st May, 1998, by converting unsecured
loan of Rs. 1179.45 crores into equity, the net worth of the Company
became positive as on that date and the Company came out of BIFR. Since
the company continued to incur losses year after year, the networth of
the Company again became negative as on 31st March, 1999 and the
Company was again referred to BIFR in November, 1999. The Company's
case was registered as case no. 501/2000.
BIFR sanctioned the Draft Rehabilitation Scheme in November,2004 for
implementation. As per the scheme, the networth of the Company was
slated to become positive in 2008-09 with concession from CIL. The
Cabinet Committee on Economic Affairs has also approved the BRPSE
recommended Revival Plan of ECL on 6th October, 2006. As per this
Scheme, the networth of the Company was slated to become positive in
As directed by BIFR, in its meeting held on 02.09.2011, DMRP,
September, 2011 was submitted. As per the revised DMRP of ECL-
September, 2011, the networth of the Company was slated to become
positive in 2015-16. Effective steps have been taken to successfully
implement the revival plan and the Company is expected to report
positive networth by the end of the financial year 2013-14 with
concession from CIL.
In the meeting held on 19.09.2013, the BIFR Bench directed the Company
to provide copy of progress report to trade unions, and to continue
sending the progress report to BIFR and MA (SBI). It further directed
the Company to file appropriate application for discharge, once the
networth of the Company turns positive.
The Board of Directors of your Company wishes to record their deep
sense of appreciation for the sincere efforts put in by the employees
of the Company and Trade Unions. Your Directors also gratefully
acknowledges the co-operation, support and guidance extended to the
Company by various Ministries of the Government of India, in general,
and the Ministry of Coal, in particular, besides the State Governments.
Your Directors also acknowledge with thanks the assistance and guidance
rendered by the Auditors, the Comptroller and Auditor General of India
and the Registrar of Companies, West Bengal and wishes to place on
record their sincere thanks to the Consumers for their continued
The following are annexed.
i) The comments and review of the Comptroller and Auditor General of
ii) Auditors Report for the year ended 31st March,2014 and Management
reply (Annexure I).
iii) Statement pursuant to Sec. 212(i) (e) of the Companies Act, 1956.
iv) Foreign Exchange Earning and Outgo (Annexure II).
v) Details about research and development of the Company
vi) Observations of Auditor and Management Explanation under Sec 217(3)
of Companies Act 1956. (Annexure IV).
vii) Observation of Secretarial Auditor & Management Explanation
viii) Presidential Directive dated 17th July,2013 (Annexure VI).
ix) Performance against MoU for the year 2013-14 (Annexure VII).
For and on behalf of the Board of Directors
Kolkata, 17th July, 2014 Chairman