The Members, Coal India Limited Kolkata.
Ladies and Gentlemen,
On behalf of the Board of Directors, I have great pleasure in presenting to you, the
43rd Annual Report of Coal India Limited (CIL) and Audited Accounts for the year ended
31st March, 2017 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
manpower of 3,10,016 (as on 1st April, 2017). CIL operates through 82 mining areas spread
over eight provincial states of India. Coal India Limited has 394 mines (as on 1st April,
2017) of which 193 are underground, 177 opencast and 24 mixed mines. CIL further operates
15 coal washeries, (12 coking coal and 3 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 multidisciplinary 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 industries.
CIL has eight fully owned Indian subsidiary companies:
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
The mines in Assam i.e. North Eastern Coalfields is managed directly by CIL.
Mahanadi Coalfields Limited, a subsidiary of Coal India Ltd is having four (4)
Subsidiaries and one(1) Joint Venture, SECL has two(2) Subsidiaries and CCL has one (1)
A) Subsidiaries of MCL
1. MJSJ Coal Ltd.
MJSJ Coal Ltd was incorporated on 13th August, 2008 as a Joint Venture Company of MCL.
MJSJ Coal Ltd has been formed for Gopalprasad OCP where MCL is having 60% shares, JSW
Steel Limited and JSW Energy Limited having 11% share each and Shyam Metalics and Energy
Ltd (formerly known as Shyam DRI Power Limited) and Jindal Stainless Limited having 9%
shares each. The paid up Share Capital of MJSJ Coal Ltd as on 31st Mar'2017 was Rs 95.10
Crore. The Hon'ble Supreme Court of India in its judgement dated 25th Aug'14 and order
dated 24th Sep'14 declared allocation of Utkal-A coal block allocated to MJSJ Coal Ltd. as
illegal and has quashed the allocation.
2. MNH Shakti Ltd.
MNH Shakti Ltd was incorporated on 16th July, 2008 as a Joint Venture Company of MCL.
MNH Shakti Ltd has been formed for Talabaria OCP where MCL is having 70% share, Neyveli
Lignite Corporation Ltd having 15% share and Hindalco Industries Ltd. having 15% share.
The Paid up Share Capital of MNH Shakti Ltd as on 31st Mar'2017 was Rs 85.10 Crore. The
Hon'ble Supreme Court of India in its judgement dated 25th Aug'14 and order dated 24th
Sep'14 declared allocation of Talabira II and Talabira III coal blocks
allocated to MNH Shakti Ltd. as illegal and has quashed the allocation.
3. Mahanadi Basin Power Limited.
Another Company "Mahanadi Basin Power Limited"(MBPL) was incorporated on 2nd
December, 2011 and certificate for commencement of business, issued by ROC on 6th
Feb'2012. MBPL has been formed as an SPV with 100% shares held by Mahanadi Coalfields Ltd
for power generation of 2x800 MW through Pit Head Power plant at Basundhara Coalfields. It
is a wholly owned subsidiary of Mahanadi Coalfields Ltd (MCL) having its Registered Office
at Bhubaneswar. The Paid-up Share Capital of Mahanadi Basin Power Limited as on 31st
Mar'17 was Rs 5 lakh.
4. Mahanadi Coal Railway Limited
Pursuant to MoU signed between IDCO, MCL and IRCON on 20th May, 2015, a Joint venture
Company namely, Mahanadi Coal Railway Limited was formed on 31st August, 2015 with a
equity participation in the ratio of 64:26:10 between MCL, IRCON and IDCO to build,
construct, operate and maintain identified rail corridor projects including doubling,
third line, traffic facility projects important for coal connectivity that are critical
for evacuation of coal from mines, in the state of Odisha. The Share Capital of Mahanadi
Coal Railway Limited as on 31st Mar'17 was Rs 5 Lakh.
Neelanchal Power Transmission Company Private Limited A joint venture of MCL
MCL has ventured into Power Transmission Business in the State of Odisha for better
utilisation of surplus funds along with development of infrastructure in the State of
Odisha. Accordingly, on 8th January, 2013 another joint Venture Company namely Neelanchal
Power Transmission Company Private Limited (NPTCPL) was incorporated in partnership with
Odisha Power Transmission Company Ltd (OPTCL) having 50:50 equity participation by virtue
of a Joint Venture Agreement.
(B) Subsidiaries of SECL
1. M/s Chhattisgarh East Railway Ltd(CERL)
CERL is a joint venture Company among South Eastern Coalfields Limited, M/s IRCON
International Limited and Chhattisgarh State Industrial Development Corporation
incorporated on 12th Mar'13 for construction of railway lines for evacuation of coal with
64% shareholding of SECL. During the year 2016-17, the Paid up Capital of the company
increased from Rs 139.05 Crores to Rs 166.95 Crores and debt from Rs 150 Crores to Rs 300
2. M/s Chhattisgarh East- West Railway Ltd(CEWRL)
CEWRL is a joint venture Company among South Eastern Coalfields Limited, M/s IRCON
International Limited and Chhattisgarh State Industrial Development Corporation
incorporated on 25th Mar'13 for construction of railway lines for evacuation of coal with
64% shareholding of SECL. During the year 2016-17, the Paid up Capital of the company
increased from Rs 4.05 Crores to Rs 500 Crores and debt at Rs 75 Crores
(C) Subsidiary of CCL
Jharkhand Central Railway Limited is a Joint Venture Company among Central Coalfields
Limited, M/s IRCON International Limited and Govt. of Jharkhand incorporated on 31st
August' 2015 for evacuation of Coal in which CCL holds 64% shares. During the year
2016-17, the Authorised Capital of the company increased from Rs 5 Crores to Rs 100
The Project Implementation Agreement between JCRL and IRCON International Limited as
project management & implementing agency was finalized. The Detailed Project Report
has been deliberated in the JCRL Board meetings. IRCON has been directed for submission of
modified DPR with various options considering the technical requirements and financial
viability of the project. The investment decision shall be taken by JCRL Board after
submission of final DPR by M/s IRCON with various options.
1. STATE OF AFFAIRS
1) Company & its subsidiaries produced 554.14 MT. of coal with a growth of 2.85%
compared to the last year same period.
2) Company achieved an off-take of 543.32 MT. with a growth of 1.7% compared to the
last year same period.
3) CIL has acheived a gross sales of Rs 1,22,294.46 crores, a landmark achievement.
4) Not a single power-utility was in critical or super-critical condition for want of
coal during 2016-17
5) Due to the improved despatch and better quality of coal, import of coal to India had
reduced during 2016-17.
AWARDS RECEIVED DURING 2016-17
1. Sri S. Bhattacharya, Chairman, Coal India Limited was conferred with Best CEO
-PSU' Award in the Sixth edition of the prestigious Forbes India Leadership Awards
2016' in a function held on 8 November in Mumbai.
2. Sri S. Bhattacharya, Chairman, Coal India Limited was conferred with g-files
Governance Award 2016', the award was presented, on 26th November 2016 in New Delhi, by
Shri Chaudhary Birender Singh, Hon'ble Union Minister for Steel, Government of India and
Shri Ram Bilas Sharma, Hon'ble Minister, Education and Tourism, Government of Haryana in
3. CIL w as conferred with the following awards: a. Coal & Coal Products by Dun
& Bradstreet in 2017.
b. Best Implementation of Corporate Social Responsibility by ABP News in 2017.
c. Most Efficient & Fast Growing Maharatna by Dalal Street Investment Journal Award
in Best Maharatna Category by Hindustan PSU Awards in 2016.
d. Best CFO Award by Financial Express
2. FINANCIAL PERFORMANCE
2.1 Financial Results (CIL Consolidated)
CIL is one of the largest profit making and tax & dividend paying enterprises in
India. CIL and its subsidiaries have achieved an aggregate Pre-Tax Profit of Rs 14,433.71
crores for the year 2016-17 against a pre-tax profit of Rs 21439.80 crores for the year
2015-16. CIL as a group had achieved a post tax profit of
` 9265.98 crores in 2016-17 compared to Rs 14266.78 crores in 2015-16. Total
comprehensive income of Rs 9347.98 crores in 2016-17 as compared to Rs 14,561.19 crores in
2015-16 (excluding share of non-controlling interest of Rs 0.25 crore, previous year: Rs
0.04 crore). The subsidiary wise details of Pre-tax Profit of CIL are given in Annexure
Highlights of performance
The highlights of performance of Coal India Limited Consolidated for the year 2016-17
compared to previous year are shown in the table below:
|Production of Coal (in million tonnes)
|Off-take of Coal (in million tonnes)
|Sales (Gross) (`/Crores)
|Capital Employed (Rs/Crores) Note- 1
|Capital Employed (`/Crores)-excluding capital work in progress and intangible assets
|Net Worth (`/Crores)
|Profit Before Tax (` /Crores)
|Profit for the Period(`/Crores)
|Total Comprehensive Income attributable
|to the Owners of the company(`/Crores)
|PAT / Capital Employed (in %)
|Profit before Tax / Net Worth (in %)
|Profit after Tax / Net Worth (in %)
|Earning Per Share (`)
|(Considering Face Value of Rs 10 per share)
|Dividend per Share (`)
|(Considering Face Value of Rs 10 per share)
|Coal Stock (Net) (in terms of No. of months Net Sales)
|Trade Receivables (Net)
|(in terms of No of Months Gross Sales)
*Production and Offtake of Coal for FY 2016-17 includes 5.324 MT and 4.118MT (FY
2015-16 2.28 MT & 2.15 MT) of Gare Palma IV/2&3 Mine for which Coal India Ltd. has
been appointed akin to a designated custodian w.e.f 01.04.2015(through SECL)
Note-1: 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 2016-17, a sum of Rs 510.75 crores was transferred to General Reserves
out of CIL Consolidated profits and amount of Rs 3650 crores was utilized for buyback of
shares. Above amount of Rs 510.75 crores includes transfer of Rs 8.01 Crores transferred
out of CIL Standalone profits.
2.2 Dividend Income and Pay Outs (CIL Standalone)
While the financial statements of both CIL Standalone and Consolidated are presented
separately, only CIL Standalone is listed and 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 from its four profit making
subsidiaries i.e. CCL, NCL, SECL and MCL. The breakup of such dividend (Interim + Final)
received and accounted for during the year from different subsidiaries are given in Annexure
During the year, CIL Standalone has paid a total dividend (by way of interim dividend)
of Rs 12352.76 crores @ Rs 19.90 per share on 620,74,09,177 number of Equity Shares of Rs
10/- each fully paid up. Out of above total dividend, the share of Govt of India was Rs
9736.40 crores and for other shareholders, Rs 2616.36 crores. (In 2015-16 - Govt of India
- Rs 13,784.86 crores and Other shareholders Rs 3,521.98 crores)
2.3 Supplementary Audit of Financial Statements by Comptroller and Auditor General of
There are no comments issued by the office of the C&AG either on Standalone or
Consolidated Financial Statements of the company for the year 2016-17 on supplementary
audit conducted under section 143(6)(a)[and also read with Sec 129(4)] of the Companies
Act, 2013. The comments on supplementary audit of Standalone and Consolidated Financial
Statements are enclosed as Annexure 3 and Annexure 4 respectively.
2.4 Management Explanation on Statutory Auditor's Report
The Statutory Auditors of the company have given an unqualified report [Annexure 3(A)
and Annexure 4(A)] on the Standalone Financial Statements and Consolidated Financial
Statements respectively of the company for the financial year 2016-17. However, they have
drawn attention under Emphasis of Matter' on certain issues. These issues under
Emphasis of Matter' along with observations of the Auditors elswhere in the
annexures of the Audit Report are enclosed as Annexure 5 & Annexure 5(A)
respectively with Management explanations thereto.
3. COAL MARKETING
3.1 (a) Off-take of Raw Coal
Off-take of raw coal continued to maintain its upward trend and reached 543.32 million
tonnes for fiscal ended March 2017, surpassing previous highest figure of 534.50 million
tonnes achieved during the last year, i.e., an increase of 1.7 % over the last year. The
overall raw coal off-take achieved was 90.8 % of the Annual Action Plan Target. In the
year 2016-17, ECL, CCL, NCL, MCL and NEC outperformed their achievement during the last
year. NCL had exceeded its target for 2016-17.
Company-wise target vis--vis actual off-take for 2016-17 and 2015-16 are shown under Annexure
Offtake could have been more, but for the following reasons:
Power houses started the year with huge stock of 38.7 Mt and regulated intake and
preferred to consume from stock. Almost 12 Mt stock consumed from the stock by the power
stations during the year. Wagon availability also sporadically affected off-take at
ECL: Production and dispatch of coal from Rajmahal OCP was adversely affected due to
fatal accident. Less demand of higher grade coal from the Power Houses.
CCL: Intermittent Law & Order problem. Logistics bottleneck at Amrapali-Magadh
Mines had also come in the way of augmenting off-take.
WCL: TPPs were particularly reluctant to take coal from Cost Plus Sources.
SECL:Less demand of higher grades of Korea Rewa coal.
MCL: Sporadic incidence of law and order problem & less supply of wagons against
their indents affected MCL despatch. Less movement through MGR mode also affected overall
Initiatives taken for enhancing off-take:
Regular co-ordination with Railway Board to optimize use of logistics resources
available in the subsidiary coal companies, analyzing inputs of the subsidiaries to
identify alternate source for coal movement wherever and whenever required to achieve
overall sectoral targets and mitigating critical fuel requirement of consuming sectors,
particularly power stations.
Coordination with MOC for various long and short-term policy decisions to
overcome coal movement constraints for power and non-power sector consumers and taking
operational decisions for moving coal from various sources on contingent situations to
meet critical requirements of consuming sectors, particularly power utilities etc.
Periodic Meetings and follow up with Power producers in addressing issues
relating to coal movement.
Source Rationalization of coal linkage for optimizing coal movement as per the
requirement of the consumers and logistics.
Logistics is one of the major hurdles in reaching coal to the consumers.
Capacity constraints both in terms of track and rolling stock are coming in the way for
achieving the requisite growth. In order to boost-up the rail transport system, following
initiatives have been taken:
o SPVs by the coal companies with the State Governments and Railways for creating rail
infrastructure - two SPVs have already been formed at Chhattisgarh for creating rail
connectivity at Korba/ Raigarh. Similarly, SPVs were also incorporated at Jharkhand and
Odisha for similar initiatives.
o Three major last mile rail connectivity projects at Jharkhand, Odisha and
Chhattisgarh have been brought under PMO Monitoring Mechanism to ensure commissioning as
per the schedule.
o Special attention is given for improving coal distribution network for small and
medium and other sector consumers. CIL organized meeting with State Governments to
streamline the process of nominating distribution agencies by them.
o Coal companies started supplying 100 mm crushed coal to its consumers w.e.f
Special E-Auction Schemes
From the year 2015-16, Special Forward E-Auction scheme was introduced by MOC for
meeting the coal requirement of Power plants is being continued. During 2015-16 &
2016-17, around 13.8 Mill tons & 47 Mill tons coal was booked by consumers under this
scheme of e-auction respectively.
A similar scheme for consumers in the non power sector was also launched as
Exclusive E-auction scheme for non-power . During 2015-16 & 2016-17 , around 1.5 Mill
tons & around 6.2 Mill tons coal was booked by non power consumers under this
e-auction respectively .
Special Spot e-auction was also conducted once in 2016-17 with the objective for
liquidating coal stock especially from the high stock mines and to provide scope for
procuring coal at a competitive price by the consumers of non-specified end use. Around
6.2 Mill tons coal was booked in this e-auction.
Web Portal for MSME Sector-
The web portal "Coal Allocation Monitoring System" was launched on 17th
March'2016 by Minister of State with independent charge for Power, Coal and New &
Renewable Energy along with the officials from Ministry of Coal and Coal India Limited at
New Delhi. The portal aims to ease the conduct of business for small and medium sector
consumers having annual requirement of less than 10,000 tonnes of coal. The portal will
make the system of distribution of coal to such consumers through State Nominated
Agencies, more transparent. It has the following advantages:
a. Ease of doing business for consumers
b. Accountability on the part of the Govt. and its enterprises
c. 24 x 7 access of information on supply and distribution of coal in public domain
d. Online registration and feedback system for consumers for improving the system
e. Transparent coal distribution f. State and consumer awareness g. Peer audit among
(b) Sector-wise dispatch of coal & coal products:
In the year 2016-17, CIL dispatched 542.494 MT of Coal & Coal Products against the
AAP target of 598.031 MT i.e., an achievement of 90.7%. CIL has dispatched 7.9 MT of coal
and coal products more than last year with a growth of 1.5%.
425.397 MT of coal and coal products, including despatches under special forward
e-auction to power was despatched to the power utilities against the target of 450.990 MT
i.e., an achievement of 94.3%. This is 12.3 MT more than last year's dispatch of 413.109
MT, which also includes despatches under special forward e-auction to power, resulting in
a growth of 3%.
Sector-wise break-up of dispatch of coal & coal products for 2016-17 against the
target and last year's actual is disclosed in
3.2 Dispatches of coal and coal products by various modes:
Dispatches of coal and coal products during 2016-17 went upto 542.494 million tonnes
from 534.624 million tonnes registering a growth of 1.5%. Overall dispatch by Non-Rail
mode had been 91.9% of the target. Growth in despatches via Rail mode was 3.9 % whereas in
the overall Non-Rail mode it decreased by 1.4 %. Road despatches decreased by 0.6%
compared to the previous year. Movement by MGR also decreased by 3.5% compared to last
year. Despatches through other modes, like belt & rope increased by 5.7 % compared to
the last year.
Dispatch of coal and coal products by various modes for the years 2016-17 and 2015-16
is disclosed in Annexure 8.
3.3 Wagon Loading
Overall wagon loading materialization was 90.9 % of the 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 9.1 rakes per day. Company wise performance
showed that NCL exceeded its target. All the subsidiaries except BCCL exceeded last year's
level of loading.
Wagon loading could have been even better but for the regulated lifting by Power
Utilities almost in all the subsidiaries; less demand for higher grade coal from ECL and
SECL, intermittent law and order problem in CCL and MCL also affected rail dispatch.
Wagon loading performance of 2016-17 vis--vis 2015-16 is disclosed in Annexure 9.
3.4 Consumer Satisfaction
i. For enhanced customer satisfaction, special emphasis given to Quality Management.
Attuned to this objective, it was decided that 2017-18 will be declared as Quality
ii. In order to monitor quality right at the coalface, charge of mining have been given
target to contain grade slippages within 10%.
iii. Another big step to ensure proper quality was independent assessment of grades of
871 mines/ loading points/ fractions through various academic institutes of national
repute by CCO. Based on the analysis reports received from these institutions, CCO
finalized the grades of different mines/sidings for the year 2017-18. Although the results
of re-gradation of about 49% mines/ loading points/ fractions were not encouraging,
correction would enhance the confidence of consumers.
iv. In order to monitor coal quality internally, a portal has been designed by CIL to
capture entire life cycle of sample. With the help of portal, analysis of coal quality on
regular basis will be possible.
v. CIL has enhanced coal handling plant capacity of about 320 MT per annum so as to
maximize dispatches of crushed/ sized coal to Power sector. CIL is supplying (-) 100mm
sized coal to all power plants w. e. f. 01.01.2016 except those at pit head. In addition,
mobile crushers have been installed to meet the additional crushing requirement.
vi. Emphasis has been given for maximum production through surface miners. For this,
surface miners have been deployed for production of coal in mines wherever technically /
commercially feasible. About 50% of CIL's production is being mined through surface
miners. Deployment of this technology at OCP mines is bound to improve coal quality. At
present 75 Surface Miners are working in opencast mines.
vii. In addition, the Washeries at BCCL, CCL, WCL and NCL have crushing/ sizing
facilities to the tune of about 36.8 million tonnes. 22 new coal washeries and renovation
of 05 existing washeries combined capacity of 123.7 MTPA are in various stages of
viii. Measures like picking of shale/stone, selective mining by conventional mode,
adopting proper blasting procedure/ technique for reducing the possibility of admixture of
coal with over-burden material & improved sizing of coal etc. are being taken. For
those mines having large inter bands of shale/stone, installation of deshaler has been
ix. Joint/ Third Party sampling & analysis is in vogue for major consuming sectors
e.g. power utilities, steel, cement and sponge iron. Entire supplies to Power sector are
covered under third party sampling / analysis, large consumers having annual quantity of
0.4 MT or more and having FSA covered under sampling. For the first time, sampling
facility has been extended to consumers of Special e-Auction for power sector and Linkage
Auction through IIT-ISM and QCI. Consequent to issuance of Letter of Intent, these
agencies have been advised to enter into tripartite agreement with consumers and coal
companies to start the process.
Officer in x. Area laboratories of subsidiary coal companies have been equipped with
121 Bomb Calorimeters for accurate and transparent results of analysis of coal samples. 28
labs. across the subsidiary companies have already got NABL accreditation and another 27
labs, accreditation process is underway. It is expected that standardization of the
process as per NABL standard will go in a long way to enhance customers' confidence about
the process of assessment of coal quality and facilitate quality monitoring.
xi. The guidelines/ SOP issued by MoC vide letter dated 26.11.2015 on third party
sampling at loading ends has already been implemented through Central Institute of Mining
and Fuel Research (CIMFR). Sampling for almost entire quantity covered under FSA is
continuing across various loading points of coal companies.
xii. 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, Coal Companies have installed 157 rail weighbridges in the
Railway Sidings and 569 road weighbridges for weighment of trucks. Coal Companies have
also taken action for installation of standby weighbridges to ensure 100% weighment.
xiii. 24 Auto Mechanical Samplers (AMS) are also working in subsidiary coal companies
for coal sampling, eliminating chances of biasness in sampling process. Procurement of
further AMSs is under process. The process has already been initiated to deploy Augur
Sampling for drawing more representative samples. One online analyzer in each subsidiary
company has been envisaged on trial basis.
xiv. In order to ensure consumer satisfaction and resolve consumer complaints, special
emphasis has been given to quality management and redressal of consumer complaint. On-line
filing and redressal of complaints has been initiated. Percentage of consumer complaints
resolved is 99.42 % during the year 2016-17.
3.5 Marketing of Coal:
Status of execution of Fuel Supply Agreements and performance of e-auction:
Supply of coal was made to various consumers including Power Sector under the
applicable provisions of New Coal Distribution Policy. Due to overall deficit in
availability of coal, considering the projected coal production from domestic sources and
commitments made through signing of FSAs/issuance of Letter of Assurances (LOA), supplies
under FSAs has been pegged at various level of commitments (trigger). Power sector being
the major consuming sector having significant importance in the economy, supplies to power
sector has been guided as per the various Government directives and polices.
(i) For power stations, commissioned on or before
31.03.2009, 306 million tonnes had been considered to be supplied through bilateral
legally enforceable Fuel Supply Agreements (FSA) with a trigger level of 90%. The total
quantity covered under FSA against the allocation as on March'17 was about 295 million
(ii) Apart from the above, 180 Letter of Assurances have been issued to power plants by
subsidiary companies of CIL, as per the recommendations of various SLC (LT) Meetings about
433.80 Million tonnes. Further, as per Presidential Directives dated 16th April'2012 and
revised directive dated 17-7-2013, a list of Power Plants having an aggregate capacity of
78535 MW was notified for signing of FSA. A total 173 TPPs, 149 cases having normal LOA
and 24 cases having Tapering LOA (as per MOC OM dated 30.06.2015, tapering linkages are
not existent as on date), were listed. Till 31st March'2017,out of 149 regular LOAs146
FSAs have been signed. The balance FSAs could not be signed for the reasons not
attributable to CIL. However, out of the above, 1 FSA have been transferred to SCCL and 2
FSAs became null and void since the plants have been converted from IPP to CPP.
For post-NCDP Plants (Plants commissioned after March 2009), total FSA commitment of
CIL as on date is for an Annual Contracted Quantity (ACQ) of about 216 Million tonnes for
the aggregate capacity of about 56750 MW which is backed by long term Power Purchase
Agreement (PPA) and qualify for commencement of coal supply subject to commissioning etc.
(iii) As on 1st April, 2017, 679 units other than power and steel plants have operative
FSAs with subsidiaries of CIL for about 48.9 million tonnes.
(iv) For supply of coal to Small and Medium Sector Consumers, 8 million tonnes was
earmarked by CIL for allocation to agencies nominated by the State Govt's/ UT's. 13 States
sent their nomination of 19 State Agencies for the year 2016-17 of which 11 State Agencies
of 10 States have signed FSAs for 2.119 mill. tonnes and drawing coal accordingly.
(v) After implementation of NCDP, 417 LOAs were also issued to consumers of sponge
iron, CPP and cement as per recommendations of various SLC (LT) meetings for a quantity of
63.95 Million tonnes per annum. Out of these, 337 FSAs have been concluded till date for
quantity of about 45.70 Million tonnes per annum. Out of these, 157 FSAs are active as on
date with a quantity of 19 Million tonnes per annum.
(vi) CIL conducted the Tranche-I of Auction of Coal Linkages for Sponge Iron, Cement,
CPP and Others' sub-sectors under Non-Regulated Sector during the period June to
October 2016 in accordance with the policy guidelines dated 15.02.2016 issued by Ministry
of Coal. The auction has been envisaged as a transparent system of linkage allocation
which is based on competitive bidding. Various consumer friendly measures such as 3rd
party sampling, exit option, no performance incentive, delivery from specified
mine/siding, back-up mine in the event of Force Majeure, etc. have also been introduced. A
total of 23.75 Mtpa was earmarked for Tranche-I out of which 22.14 Mtpa has been booked.
The auction is followed by signing of Fuel Supply Agreements (FSA) for the booked
quantity. The tenure of the FSA is 5 years which can be further extended by another 5
years on mutual agreement.
The Tranche-II of auctions was conducted during the period January to June 2017.
Auctions for Sponge Iron, Cement, Others and Steel (coking), Others (coking) and CPP
sub-sectors have already been concluded. A total of 14.50 Mtpa of non-coking coal and 0.26
Mtpa of coking coal have been booked under Tranche-II.
(vi) Under Special Forward E Auction scheme during the year ended Mar'17, quantity
allocated was around 47 mill tonnes as against 13.8 mill tonnes allocated in the last
year. The premium gained through Special Forward E-auction over & above the notified
price was 16% during the year 2016-17. In Exclusive E Auction scheme during 2016-17,
quantity allocated was around 6.3 mill tonnes as against 1.5 mill tonnes allocated in the
last year. The premium gained through Exclusive E-auction over & above the notified
price was around 9% during the year 2016-17. During the period under review, around 53.6
mill. tonnes of coal was allocated under Spot E- auction to the successful bidders as
against 57.4 mill. tonnes of coal allocated during the 2015-16. The notional gain through
Spot E-auction over & above the notified price was 25% during the year 2016-17. About
6.2 Mill tes coal booked under Special Spot E-Auction during 2016-17 with gain of 20% over
3.6 Coal Beneficiation:
Presently CIL is operating 15 Coal Washeries with a total coal washing capacity of 36.8
million tonnes per year of which 12 are coking and the rest 3 are non-coking with capacity
of 23.3 and 13.5 MTY respectively. The total washed coal production from these existing
washeries for the year 2016-17 was 17.04 Million Tonnes.
In addition, CIL has planned to set up 22 new Washeries and renovate 5 existing coking
coal washeries with state-of-the-art technologies in the field of coal beneficiation with
an aggregate throughput capacity of 123.68 MTY.
Out of the 22 new washeries, 13 are planned to wash coking coal with a cumulative
capacity of 41.35 Mty, 4 of which are at different stages of construction and LOI has been
issued for one. For remaining 9 new non-coking coal washeries with a total capacity of
75.5 MTY, LOA/LOIs has been issued for 3.
The major bottlenecks for setting up of these washeries are mainly Forest,
Environmental and other Statutory Clearances, in addition to absence of firm commitment
from the intended customers regarding acceptance of washed coal at value added prices.
3.7 Stock of Coal
The stock of coal (net of provisions) at the close of the year 2016-17 was Rs 7412.79
Crores (earlier year Rs 6162.54 crores), which was equivalent to 1.18 months value of net
sales (previous year 0.98 months). The company-wise position of stock held on 31st March
2016 & 31st March 2017 are given in
3.8 Trade Receivables
Trade Receivables i.e. net coal sales dues outstanding as on
31.03.2017, after providing Rs 3782.82 crores (previous year
` 2220.20 crores) for bad and doubtful debts, was Rs 10735.85 crores (previous year
reinstated Rs 11447.61 crores) which is equivalent to 1.05 months gross sales of CIL as a
whole (previous year 1.27 months). Subsidiary-wise break-up of trade receivables
outstanding as on 31st March 2017 as against 31st March 2016 are shown in Annexure 11..
3.9 Payment of Royalty, Cess, Sales Tax, Stowing Excise Duty,
Central Excise Duty, Clean Energy Cess, Entry Tax & Others
During the year 2016-17, CIL and its Subsidiaries paid/adjusted
` 44,068.28 crores (previous year Rs 29,084.11 crores) towards Royalty, Cess, Sales Tax
and other levies as detailed below:-
Figures in Rs Crores
|Additional Royalty (MMDR Act)
|Cess on Coal
|State Sales Tax / VAT
|Central Sales Tax
|Stowing Excise Duty
|Central Excise Duty
|Clean Energy Cess
Subsidiary-wise, State wise details are given in Annexure 12.
4. COAL PRODUCTION
Raw coal production and production from underground and opencast mines.
Production of raw coal during 2016-17 was 554.14 Mill Te against 538.754 Mill Te
produced in 2015-16. Coal production from underground mines in 2016-17 was 31.477 Mill Te
compared to 33.786 Mill Te in 2015-16. Production from opencast mines during 2016-17 was
94.32% of total raw coal production. Subsidiary wise production, production from
underground and opencast mines and coking and non-coking coal production are disclosed in Annexure
Reasons for less production than the target 2016-17:
Despite best and consistent efforts, constraints that have impeded the growth in coal
production are as under:
(i) Major mishap at Rajmahal OC affected production at ECL.
(ii) Accumulation of high coal stock at many of the OC mines due to less lifting of
coal by Cost Plus consumers at WCL.
(iii) Delayed Stage-II forest clearance at Dhanpuri OC, Amlai OC and Jampali OC and
also restricted working space at Amgaon OC due to intervening forest land affected Coal
Production at SECL
(iv) Scarcity of working space due to delay in handing over of forest land at Jagannath
OC and Ananta OC, delay in Stage II FC at Lajkura OC & R&R issues at Bharatpur OC
and Kanhia OC and affected production at MCL.
Washed Coal (Coking) Production
Subsidiary-wise production of Washed Coal (Coking) is given in
Annexure 13A. Overburden Removal
The Company-wise overburden removal is disclosed in
Annexure 13B. Future Outlook
CIL has envisaged a coal production of 908.10 Mt in the year 2019-20 with a CAGR of
12.98% with respect to 2014-15. In the year 2017-18, the target of coal production has
been pegged at 600.00 Mt with an annualized growth of about 8.3% over the achievement of
last year. In 2018-19, the envisaged coal production projection is 773.70 Mt with a growth
of about 28.95 %.
The capital expenditure for the year 2017-18 has been Rs 8500 crores. Further, Company
has planned to invest Rs 6500 crores in various projects viz. Super Critical Thermal Power
Plant (STPP), Solar Power, Revival of Fertilizer Plants, Coal Gasification, Acquisition of
coal blocks in India & Abroad, CBM etc. during 2017-18.
In the light of Paris Protocol and consequent changes in world energy scenario, CIL is
looking forward to diversify its operations towards Renewable energy like Solar Power and
Clean Energy sources like CMM, CBM, CTL, UCG etc following the directives of GoI.
Following that mission, MoC/CIL is in the process of formulating Vision Document
2030' to decide future course of operation for sustainable entity in the nation's energy
5. POPULATION OF EQUIPMENT
Due to survey-off 5 Draglines at NCL and MCL in 2016-17 population of Dragline reduced
to 35 as on 31st Mar'17. There was a reduction of 39 Shovels due to survey off of old
Shovels in ECL, BCCL, CCL, NCL, WCL & SECL. CIL and its subsidiaries are planning to
procure 87 shovel costing around Rs 1929 crores,515 Dumper costing around Rs 3305 crores,
124 Dozers costing around Rs 314 crores,35 Drill costing around Rs 144 crores & 6
Draglines costing around Rs 1176 crores in next 2/3 years.
Performance of HEC Dragline at NCL was not satisfactory which affected availability
& utilization. Matter has been taken up with M/s HEC for improvement. Dragline of
Sonepur Bazari Project, ECL was under breakdown since June 16 due to non-supply of
imported spares, which is expected to start within next 2 months. Heavy rainfall in NCL
& MCL, Land and R&R problems in BCCL, MCL & SECL,were the major reasons for
less HEMM utilization. Efforts are being made to improve the availability &
The population of Major Opencast Equipment (Heavy Earth Moving Machinery) as on 1st
April, 16 & on 1st April, 17 along with its performance in terms of availability &
utilisation expressed as percentage of CMPDIL norm is disclosed in
6. CAPACITY UTILIZATION
The overall system capacity utilization for the year 2016-17 was 84.51%.It was
99.87% during 2015-16.This was mainly due to low system capacity utilization in ECL, BCCL,
NCL, WCL, & MCL.
Due to accident in Rajmahal OCP of ECL, both coal production & OB removal suffered
in the last quarter of 2016-17.Due to unprecedented rainfall, OB removal suffered in BCCL
& NCL. In WCL,due to exhaustion of reserves in Ghughus OC, the dragline was shifted
from Ghughus OC to Mungoli OC and other HEMM to different mines, which affected OB
removal. In Talcher coalfields of MCL, due to law & order issues, there was a negative
growth in coal production in 2016-17 compared to 2015-16. set at Necessary action has
already been taken for improvement in capacity utilization in 2017-18 in all the
Subsidiaries of Coal India Ltd. Subsidiary wise details of capacity utilization for the
year 2016-17 vis--vis 2015-16 are disclosed in Annexure 15.
7. PROJECT FORMULATION
7.1 Preparation of Reports:
As prioritized by subsidiary companies of Coal India Limited, preparation of Project
Reports (PR) for new/expansion/reorganization mines was carried out during the year
2016-17 for building additional coal production capacity to the tune of 57.75 Mty.
Revision of Project Reports/Cost Estimates for projects was also taken up along with new
PR. During the period, 249 reports were prepared including 16 Geological Reports, 26
Projects Reports, 37 Draft EMPs (including 15 Form-I) and 170 Other Reports.
7.2 Project Implementation:
a) Projects Completed During the year 2016-17:
The following 7 coal projects, each costing Rs 20 Crores and above, with an ultimate
capacity of 24.20 Mty and completion cost of Rs 1190.98 Crores have been completed during
the year 2016 -17. The subsidiary-wise details of project completed during 2016-17 are
disclosed in Annexure 16.
b) Projects started Production during the Year
4 projects have started coal production during the year 2016-17.The subsidiary-wise
details are disclosed in Annexure 16.
c) Status of Ongoing Projects:
120 coal projects and 71 non mining projects costing Rs 20 Crores and above are in
different stages of implementation. Out of 120 coal projects, 58 projects are running on
schedule and 62 are delayed. Out of 71 non mining projects, 27 are delayed.
Status of Ongoing Projects Costing Rs 20 Crores and above
Reasons for the Delay: Mining Projects:
34 coal mining projects are running behind the schedule due to delay in obtaining
forestry clearances and 17 are due to delay in acquisition of land and associated R&R
issues. In addition, 7 projects are running behind the schedule due to delay or
discontinuance of work or non-participation in tender by contractor, 1 project due to law
and order problem and 3 projects due to lack of Railway Infrastructure facilities for coal
Non Mining Projects:
Non mining projects are running behind the schedule due to discontinuance of work by
contractor, law and order problem, acquisition of land and associated problems of
rehabilitation and forestry clearances.
7.3 Projects Sanctioned (Costing Rs 20 Crores & above):
a) Projects sanctioned by CIL Board
8 coal mining projects for an ultimate capacity of 56.25 Mty and a total capital
investment of Rs 8931.05 Crores have been sanctioned by CIL Board during the year 2016-17.
The subsidiary-wise details of projects sanctioned by CIL Board in 2016-17 is disclosed in
Annexure 16. b) Non Mining Projects Sanctioned by CIL & Subsidiaries Board:
No Non-mining projects have been sanctioned by CIL & Subsidiaries Board during the
||Date of Approval
-17:c) Projects Sanctioned by Subsidiary Company Boards:
11 coal mining projects for an ultimate capacity of 16.74 Mty and capital investment of
Rs 3427.26 Crores have been sanctioned by Subsidiary Coal Companies during the year
2016-17. The subsidiary-wise details of projects sanctioned by their Board in 2016-17 are
disclosed in Annexure 16.
7.4 Revised Project/RCE Sanctioned by CIL Board:
a) RCE/RPR/UCE sanctioned by the CIL Board during the year 2016- 17: -
||Date of Approval
b) RCE/RPR/UCE sanctioned by the Subsidiary Boards:-
||Date of Approval
7.5 Key Strategies:
(i) Critical Railway Links:
In order to achieve the planned growth in production and evacuation in future, CIL has
undertaken three major Railway Infrastructure Projects, implemented either by Railways or
JV Companies formed with IRCON representing Railways, Subsidiary Company representing CIL
and concerned State Government.
The three major Railway Infrastructure Projects are:
1. Tori- Shivpur-Kathotia New BG Line
2. Jharsuguda- Barpali- Sardega Rail Link
3. East Rail Corridor and East- West Rail Corridor
Tori- Shivpur railway line is catering to North Karanpura
Area of CCL. It is planned to evacuate about 32 MTY of coal. Jharsuguda-Barpali-
Sardega Rail Link is Catering to the coalfields of MCL. This Rail line shall evacuate 70
MTY of coal from the coalfields of MCL. The evacuation of coal of Mand- Raigarh and Korba
Gevra Coalfields of SECL, shall be through East Rail Corridor and East- West Rail
Corridor respectively. In all, about 180 MTY of coal shall be evacuated through these two
(ii) Acquisition and Possession of land:
In all subsidiaries of Coal India, the major portion of land is acquired under the Coal
Bearing Areas (Acquisition & Development) Act, 1957. During 2016-17, notification
under section 9 (1) has been issued for 3086.69 Ha and notification under section 11 (1)
has been issued for 4196.69 Ha.
During 2016-17, 3826.19 Ha of land has been taken into possession in various
subsidiaries of Coal India.
(iii) WEB Based Online Monitoring System:
Web based online monitoring of coal mining projects costing more than Rs 100 Crs has
been introduced in Coal India. Exercise for 69 projects costing more than Rs 150 Crs and
capacity 3.0 Mty and above have so far been completed during the year 2016-17.
Additionally, monitoring of 67 coal mining projects costing more than Rs 150 Crores
with Project monitoring software MS Project has also been started in Coal India Limited
during the year 2016-17.Crucial issues are also being uploaded by CIL and its subsidiary
companies on MOC e-CPMP portal and MOC is vigorously following up with the state
governments and other associated ministries by holding meetings with concerned officials
to expedite EC & FC approvals.
7.6 STEPS TAKEN TO ACHIEVE ONE BILLION COAL PRODUCTION IN 2019-20
One Billion Tonne (Bt) production essentially is a synergic effort with coal bearing
states and railways to access the resources and speed up logistics for coal evacuation.
Coal India has decided to put its best foot forward with the help of all concerned
agencies and take its production into higher growth trajectory. Contribution from
identified projects will be 908 Million Tonnes (Mt) and identification of projects for the
balance quantity is in progress.
Group wise Production from Projects
Existing coal projects are envisaged to contribute about 165 Mt, projects under
implementation are likely to contribute 561 Mt. Future projects are planned to produce 182
Mt during the year 2019-20.
Contribution from Subsidiaries
Projected contribution from MCL and SECL will be to the tune of 250 Mt and 240 Mt
respectively during the year 2019-20. Production contribution from the rest of the
subsidiaries during the year 2019 - 20 have been projected as under: -
|Eastern Coalfields Limited
||- 62 Mt
|Bharat Coking Coal Limited
||- 53 Mt
|Central Coalfields Limited
||- 133 Mt
|Northern Coalfields Limited
||- 110 Mt
|Western Coalfields Limited
||- 60 Mt
The dream of providing 1Bt of coal (qualitatively & quantitatively) to the Nation
will be achieved only through the concerted efforts of CIL, Railways and State
Governments. Three critical railway lines, mechanization through latest technology,
upgrading skills of employees, speedy acquisition of land, expeditious environmental and
forest clearances and fast track state level clearances are crucial for realization of 1
Bt coal production by CIL.
K ey Strategies
(I) Technology Development
a. Exploration capacity is planned to be augmented with more use of hydrostatic drills,
geophysical loggers, 2D/3D Seismic Survey Technology and Optimization of number of coring
boreholes based on the complexity of geology of the block.
b. Introduction of high capacity equipment, Operator
Independent Truck Dispatch Systems, Vehicle Tracking System using GPS/GPRS, CHP and
SILOS for faster loading and monitoring using laser scanners have been planned to augment
coal production from opencast mines.
c. Introduction of Continuous Miner Technology on large scale, Long Wall Technology at
selected places, Man Riding system in major mines and Use of Tele - monitoring techniques
have been envisaged to increase production from underground mines.
(II) Role of HR
Driving CIL Corporate Vision by building capabilities,creating performance culture
& developing talent pool.
(III) System Improvements
Introduction of e-procurement of equipment and spares, e-tender of work and services,
implementation of Coal Net, establishment of connectivity, revision of guidelines and
manuals, use of GPS for monitoring operational efficiency in road transport of coal have
been planned to improve the overall system.
8. CONSERVATION OF ENERGY
Conservation of energy always remains a priority area and CIL/Subsidiaries have
undertaken various measures towards reduction in specific energy consumption.
Even though Coal Production had increased by 2.9% in 2016-17 compared to 2015-16,
electricity consumption has however reduced to 4886.83 Million Units vis--vis 4971.13
Million Units during 2015-16 with a reduction of 1.7% in absolute terms. Specific Power
Consumption (kWh/T) during 2016-17 is 8.82 kWh/T vis--vis 9.23 kWh/T during 2015-16 with
a reduction of 4.42%. CIL/Subsidiaries endeavor to maintain this trend of reduction in
specific power consumption (kWh/T) every year with reference to previous year.
Some of the salient measures taken by CIL/Subsidiaries for energy conservation are as
CMPDIL HQ has undertaken energy conservation studies in 2016-17 and carried out
Diesel Audit & Benchmarking of specific diesel consumption as well as Electrical Audit
& Benchmarking of specific electrical energy consumption in various opencast and
underground mines situated in different subsidiaries of Coal India Limited by Bureau of
Energy Efficiency (BEE) accredited Energy Auditors.
Diesel Audit and Benchmarking carried out by CMPDIL in 71 opencast mines in different
subsidiary companies revealed an aggregate saving of approximately 16750 kilo litre/year
in diesel consumption.
These 71 opencast mines are selected having composite capacity (Coal+OB) of 1.0
mill.cub.m or more in ECL, 2.0 mill.cub.m or more in BCCL, WCL, CCL and 5.0 mill.cub.m or
more in NCL, SECL and MCL respectively.
Likewise, Electrical Audit and Benchmarking carried out in 08 mines (07 opencast mines
and 01 underground mine) revealed an aggregate saving of approx. 110 million units/year.
MoU has been signed between CIL (Coal India Limited) and EESL (Energy Efficiency
Services Limited) on 08.02.2016 for implementation of Energy Efficiency Projects in CIL
and its Subsidiaries.
Accordingly, high watt luminaries / conventional light fittings are being
replaced with low power consuming LEDs (of appropriate wattage) in majority of the places
for street lighting, Office and other work places, townships etc., thereby creating huge
saving potential in electricity consumption. Around 64000 LED Lights have been fitted (new
+ replacement) in CIL/Subsidiaries for better conservation of energy.
Air Conditioners (AC) and Refrigerators of 5 Star Rating are procured against
replacement of old conventional ACs and refrigerators. Use of Super Energy Efficient Air
Conditioners (AC) are also being explored at places having technical capability of saving
energy 30% more than the 5 star-rated ACs.
Energy audit of selected mines / office buildings conducted by CMPDIL / External
Installation of power capacitors of appropriate kVAR rating to maintain higher
power factor to avail maximum benefit on power factor incentive from power supply agency
as well as reduction in Maximum Demand. Aggregate Power Factor maintained at CIL
subsidiaries is as high as 95% during 2016-17.
Auto timer based on-off switches in most of the street lighting / CHPs and
township areas to ensure avoiding unnecessary power consumption during odd hours thereby
saving in electricity consumption.
Construction of strata bunkers in underground (UG) mines to eliminate idle
running of belt conveyors thereby saving electricity.
Re-organization of LT (Low Tension) overhead line by Aerial Bunched Cable to
avoid unauthorized power tapping.
Monitoring of load pattern and demand side management of supply points limiting
maximum demand wherever practicable by staggering avoidable load from peak hours to
Elimination or reduction of stage pumping as far as practicable.
Re-organization of power distribution system.
Power supply to underground mines by laying cables directly through bore holes
The above measures are indicative and not exhaustive. (ii) In addition to above, CIL /
Subsidiary Companies are also pursuing use of alternative energy sources. Various steps
have been taken for utilizing solar power as alternate sources of energy, some of which
are as stated below :
In kilo-watt scale, roof top solar plants are in successful operation at various
places since their commissioning. Such plants are in operation at Corporate Office of Coal
India Ltd, New town, Kolkata (160 kWp), CMPDI HQ, Ranchi (190 kWp), CMPDIL RI-VI,
Singrauli (50 kWp), CMPDIL RI-II, Dhanbad (50 kWp), Sodepur (5 kWp) and Bankola (30 kWp)
at ECL, Central Repair Shop, Barkakana (25 kWp) at CCL, Nagpur Area (80 kWp) and Ballarpur
area (60 kWp) at WCL respectively.
In megawatt scale, one ground-mounted solar power plant (2.016 MWp) is in
operation at MCL HQ since it is commissioning on 13.10.2014.
In CCL, work order for solar power plant of capacity 400 kWp on the roof top of
Darbhanga House, CCL HQ, Ranchi has already been issued to M/s BHEL. Another such plant of
capacity 50 kWp has been approved for Kathara Area on the roof top of Executive Hostel
Building. Plant of capacity 80kwp has been aprroved for CMPDIL RI-I office building at
In kilo-watt scale, roof top solar power plants have been identified for their
commissioning at ECL (aggregate capacity: 60 kWp), MCL (150 kWp) and CMPDIL RI-VII (60
In mega-watt scale, WCL has planning for installation of 1.257 MWp and 50 MWp
solar power projects.
9. CAPITAL EXPENDITURE
Overall Capital Expenditure during 2016-17 was Rs 7700.06 crores as against Rs 6,123.03
crores in previous year. Capital Expenditure incurred during 2016-17 is 99.16% of BE
(102.21% in 2015-16). Subsidiary-wise details of which are given in
10. CAPIT AL STRUCTURE
The authorized share capital of the company as on 31.03.2017 was Rs 8904.18 crores,
distributed between Equity and Non-cumulative redeemable preference shares as under:
||800,00,00,000 Equity Shares of Rs 10/- each (Previous Year 800,00,00,000 Equity Shares
of Rs 10/- each)
||` 8000.00 crores
||90,41,800 Non-cumulative 10% redeemable Preference Shares of Rs 1000/- each (Previous
Year 90,41,800 Non-cumulative 10% Redeemable Preference Shares of Rs 1000/- each)
||` 904.18 crores
||` 8904.18 crores
Listing of shares of Coal India Limited in Stock Exchanges:
The shares of Coal India Ltd. is listed in two major stock exchanges of India, viz.
Bombay Stock Exchange and National Stock Exchange on and from 4th November, 2010.
The details of disinvestment of shares by Govt. of India is furnished below:
||Financial Year of Disinvestment
||% of shares disinvested
||No. of shares disinvested
Hence , the number of shares held by Govt. of on 31.03.2017 is 4,89,49,71,329
i.e.78.857% of the total 6,20,74,09,177 number of shares (earlier year 5,03,09,70,582 i.e.
79.649% of total number of shares).
During the year the company has not issued any shares. However, pursuant to Public
Announcement (PA) published on August 30,2016 and letter of offer dated September 23,2016,
the company has bought back its 10,89,55,223 number of equity shares of face value of Rs
10/- each fully paid up through tender offer route under Stock Exchange mechanism and
extinguished these shares on October 28,2016. Post such buy-back, the number of fully paid
equity shares as on stands at 6,20,74,09,177.
Pursuant to above, the shareholding pattern in CIL stood as follows:
||As on 31.03.2017
||As on 31.03.2016
||Shareholding Pattern (%)
||Share Capital (Rs Crore)
||Shareholding Pattern (%)
||Share Capital (Rs Crore)
Dur ing the year 2016-17, three subsidiaries of CIL viz. NCL, SECL and MCL have bought
back its shares from CIL. The details of such buy back are as follows:-
|Name of the Subsidiary
|No. of Shares brought back by subsidiary
|Buy back Price
|Consideration received by CIL
||` 1244.12 crore
||` 1200.19 crore
||` 1617.06 crore
|No. of Shares held by CIL post buy back
Aggregate borrowings including both current & non-current of CIL stood at Rs 410.77
crores in 2016-17 from Rs 269.76 crores in 2015-16, as detailed below.
Figures in Rs Crores
|Foreign Loans including deferred credits
|- EDC Canada
|- Liebherr France SA., France
|- IRCON International Ltd.
|Chattisgarh State Infrastructure
|Development Corpn Ltd.
In addition to the above Short term Borrowings of CIL stood at Rs 2603.81 crores in
2016-17 from Rs 929.03 crores in 2015-16, as detailed below.
Figures in Rs Crores as
|Loan repayable on demand
|- From Banks
|- From Other Parties
The debt servicing has been duly met in case of the loans / deferred credits whenever
The subsidiary companies of SECL M/s Chhattisgarh East Railway Limited (CERL) & M/s
Chhattisgarh East-West Railway Limited (CEWRL) have taken loan from IRCON International
Ltd and Chhattisgarh State Infrastructure Development Corpn Ltd. with repayment period of
5 years excluding moratorium period not exceeding 5 years from the date of signing of Loan
12. INTERNATIONAL CO-OPERATION
Coal India is envisaged for foreign collaboration with a view to:
Bring in proven and advanced technologies and management skills for exploiting
UG and OC mines, coal preparation and related activities.
Exploration and exploitation of Methane from Coal bed, abandoned mine,
ventilation air, shale gas, coal gasification, etc.
Locating overseas countries interested in Joint Venture in the field of coal
mining with special thrust on coking coal mining.
The priority areas included acquisition of modern and high productive underground
mining technology, introduction of high productive opencast mining technology, improvement
in working in 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, subsidence monitoring, environmental control, overseas ventures in
CIL aims to acquire suitable technology through international bidding. Bilateral
cooperation is also being encouraged for locating availability of cost effective and
latest technologies in the aforesaid areas. CIL, therefore, has been following both the
Following are the details of activities that took place with various countries during
FOREIGN COLLABORATION Indo-US Collaboration:
Status of On-going Projects:
a) Development of Coal Preparation Plant Simulator
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 and payment to the tune of 40% value had been
released in line with provision of the contract. Later in October 2013, SI expressed their
inability to complete the work. US representatives were requested to take up the matter
with M/s Sharpe for a meaningful conclusion of the project. US side advised to contact Mr.
Carl Jacobson in this regard.
Consequently, Mr. Carl Jacobson was contacted for submission of a proposal for
execution of the project within the framework of existing agreement. From perusal of the
proposal submitted by him, it was noted that M/s Coal Sim was responsible for the
development of software based on the mining engineering expertise provided by Mr. Mark
Sharpe. The issue is being examined for meaningful conclusion.
Further, Mr. Manoj Mohanty from Southern Illinois University Carbondale, USA vide his
email dated 08.01.2016 expressed desire "to complete the project that SI could not
complete". Mr. Mohanty was requested to submit his proposal through US DoE and MoC,
as the project was identified under Indo-US Coal Working Group work plan. Subsequently, a
proposal from Mr. Mohanty was received through US DoE and MoC, GoI. Comments of CMPDI in
this regard were sent to Advisor (Projects), MoC on 03.10.16 and also to Mr. Smouse Scott
DoE on 27.10.2016.In response to the queries raised by Dr. Mohanty of SIU (vide e-mail
dated 07.11.2016 forwarded by Dr. Scott Smouse of US DOE), suitable reply has been sent on
On 22.12.2016, Dr. Scott Smouse of US DOE sent reply indicating project direct cost for
the subject assignment with Power Plant economics increased substantially to US$ 3,50,000
plus additional 47.5% charge on the project direct cost as research overhead expenses.
CMPDI vide email dated 09.01.2017 requested Dr. Scott Smouse to look into the matter
and asked Dr. Mohanty to respond accordingly so that the final proposal can be prepared
and submitted at the earliest with due consideration to fund limitation as the balance
fund left in the project is US$ 225,000. Necessary reply in this regard is awaited.
b) Cost Effective Technology for Beneficiation and Recovery of Fine Coal
US DOE had identified Virginia Tech University (VTU) for establishing an efficient
technique for beneficiation & dewatering of Indian coking coal mines through the
testing of coal samples in lab and pilot plants at VTU for identification of
state-of-the-art technologies based on which a demonstration plant was to be installed in
Sudamdih Washery in BCCL. 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.
During the 10th Indo-US CWG meeting in New Delhi on 10.03.2014, US representatives were
requested to take up the matter with VTU for meaningful conclusion of the project. US side
had advised to contact Dr. Roe Hoan Yoon of Virginia Tech for further discussion in this
regard. Subsequently the issue was taken up with Dr. Roe Hoan Yoon to obtain methodology
for execution of the assignment.
On perusal of the correspondences made with Dr. Yoon, it is observed that VTU is not in
a position to associate in the project in accordance with the methodology of the approved
project. The issue is being examined for meaningful conclusion.
Further, Dr. Yoon vide e-mail dated 08.01.2016 informed that VTU had developed HHS
process for fine Coal Cleaning and would be submitting a proposal on the same. However,
since the project was identified under Indo-US Coal Working Group work plan, Dr. Yoon was
requested to route his proposal through US DoE and MoC. Further, the matter has been
followed up from CMPDI's end. Reply is awaited from Dr. Yoon.
Meanwhile, Shri R B Mathur, President, Business Development & Mining Strategy,
Virginia Mining Resources Pvt. Ltd. (VMR) submitted, vide his email dated 09.05.2016, that
VMR is a sister concern of Minerals Refining Company (MRC) which is associated with Dr.
Yoon in development of Hydrophobic-Hydrophilic Separation (HHS) Technology. He expressed
to undertake a pilot project on HHS Technology under S&T Programme in India. He was
requested vide email dated 20.05.2016 that a proposal should be sent to this office with
details of HHS Technology, its availability and cost etc. for initiating appropriate
Subsequently, a Proposal titled "Application of the Hydrophobic-Hydrophilic
Separation (HHS) Process for the Beneficiation of Indian Coals" from M/s MRC was
received through US DoE and MoC, GoI. Comments of CMPDI in this regard has been sent to
Advisor (Projects), MoC on 07.10.16 and also to Mr. Smouse Scott of DoE on 27.10.2016
stating the following:
The promotor of HHS technology may be requested to submit a project proposal for
"Design of a POC-Scale Plant". The proposal would initially include the
setting up of a POC-Scale Plant at CMPDI(HQ), Ranchi (in Stage-I) to compare yield of
different types of Indian coal in HHS process with that obtained through conventional
Based on the findings of the study carried out in Stage-I, the technology may be
implemented in Stage-II for "Conceptual Design of a Demonstration Plant".
In the meantime, Shri R.B. Mathur, vide e-mail dated 21.11.2016, submitted a revised
proposal with incorporation of the PROPOSED BUDGET BY TASK, i.e. the total cost of
involvement of US side is USD 1,508,312 as indicated earlier, has been split into
different tasks which is related to lab scale testing and consultancy services by the
project proponent. It can be summarized from the revised proposal that
o US Cost till Design of a POC-Scale Plant (as indicated under Task 1 to 3) is USD
o US Cost for the Conceptual Design of a Demonstration Plant with retrofit (as
indicated under Task 4 to 6) is USD 585,208.
On 02.12.2016, CMPDI responded to Dr. Scott Smouse that in addition to the reply made
on 27.10.2016, it may further be noted that the indicated cost mentioned above is towards
Laboratory tests on coal samples (to be transported by CMPDI to Virginia Tech Laboratory
in USA), detailed characterization for pilot design, design of a POC-scale plant,
conceptual design of a Demonstration Plant and developing a flowsheet to Retrofit in
existing plant only. It does not include any supply item, not even the cost towards HHS
set up required for POC-scale plant, without which the objective of the HHS scheme cannot
In the meantime, Shri R.B. Mathur, President (Business Development & Mining
Strategy), Virginia Mining Resources Private Ltd. (vide e-mail dated 16.02.2017) informed
that comments on the observation of CMPDI shall be provided through official channels.
Accordingly, Dr. Scott Smouse vide email dated 23.03.2017 has submitted a revised proposal
as received from Virginia Minerals Refining Corp. Scrutiny of the proposal is done at
New Areas of Collaboration a) Underground Coal Gasification (UCG): UCG is one of
the key areas under Indo-US collaboration. A project brief for capacity building in the
field of UCG development has been sent to MoC for consideration in India-US Coal Working
Group Meeting held on 16th Sept. 2015 at Washington, USA for the development of UCG in CIL
command area. Initially, DoE indicated that UC-CIEE (California Institute for Energy and
Env.) can be approached. Thereafter, Lawrence Livermore National Laboratory was requested
to associate. US DoE agreed to identify US Experts and will inform the Indian side for
further course of direct action. Response from DoE is awaited.
b) Shale Gas: In the Indo US Working Group Meeting held on 16thSeptember, 2015 at
Washington, USA, it has been agreed that potential business collaboration will be
identified for shale gas assessment in "Barren Measures" above coal seams.
c) Coal Mine Methane (CMM): CMM blocks have been identified in and around active
mining areas under CIL command area for commercial exploitation of methane in Raniganj
Coalfield (ECL command Area), Jharia Coalfield (BCCL command Area). US Experts are
requested to suggest suitable technology providers for commercial extraction of CMM &
d) Dynamic planning of large capacity opencast mines: The National Energy
Technology Laboratory (NETL), USA has been entrusted with the responsibility for
identifying suitable US agencies for cooperation in this area. As advised by US Side, M/s
Norwest Corporation and M/s Art Sullivan Mine Services were contacted by CMPDI. Finally,
the subject of "large capacity opencast mine planning, norms and standard, safe
designs and dump optimization" was finalized with M/s Norwest Corporation.
After many deliberations on the proposal, it was proposed by CMPDI to route the
proposal through Indo-US CWG platform prior to submission at the R&D Nodal Agency
(i.e. CMPDI) for funding under CIL. A meeting was held at CMPDI with officials from M/s
Norwest Corporation on 20th July 2016 and a decision was taken to formulate the proposal
in two phases i.e. Phase-I: Study & Capacity Building, and Phase-II:
Implementation in one of the selected OC mines in CCL. (CCL has given consent for study
and implementation of the proposal in Amrapali OCP vide letter dated 29th Aug. 2016).
Mr. Pat Akers, representative of Norwest Corporation, again visited CMPDI on
21stDecember 2016 for further discussions and Mr. Akers agreed to reframe the scope of
work as desired by CMPDI.
A revised draft proposal was submitted by Mr. Akers on 17th January 2017 and scope of
the project has been finalized by CMPDI. A complete proposal with time and cost estimates
is expected to be submitted by Mr. Akers. Reminders were sent through e-mails dated
23.02.2017 and 20.03.2017 by CMPDI. In response, a few queries/clarifications were sought
by Mr. Akers on 22.03.2017. Subsequently, query-wise clarification was e-mailed to Mr.
Akers on 23.03.2017 for incorporation in the proposal. Detailed proposal is awaited.
e) Mine Rehabilitation & Reclamation of Indian coal mines:
Projects on sustainable mine closure activities and mining wasteland to be utilized as
a source of livelihood for local community were proposed to be carried out with the help
of US agencies. In this regard, a proposal was received from M/s Norwest Corporation on
15th Dec, 2015.
After many deliberations on the proposal, CMPDI advised to route the proposal through
Indo-US CWG platform prior to its submission to R&D Nodal Agency (i.e. CMPDI) for
funding under CIL. Subsequently, a meeting was held at CMPDI with officials from M/s
Norwest Corporation on 20th July 2016 and a decision was taken to formulate the proposal
in two phases i.e. Phase-I: Study & Capacity Building and Phase-II:
Implementation in one of the selected OC mines in CCL (CCL has given consent for study and
implementation of the proposal in Amrapali OCP vide letter dated 29th Aug. 2016). M/s
Norwest Corporation has prepared the revised draft proposal and sent to CMPDI (HQ), Ranchi
(Implementing Agency) on 06.09.2016 for necessary scrutiny. The proposal was vetted and
the observation received on 30.12.2016.
In the meantime, CMPDI has forwarded the same to M/s Norwest Corporation vide email
dated 28.11.2016 for incorporating their input before submission of the proposal.
Mr. Pat Akers, representative of M/s Norwest Corporation, had a meeting with CMPDI
officials on 20th December 2016 at New Delhi. After detailed discussions on issues raised
by CMPDI, Mr. Akers agreed to incorporate the points raised by CMPDI and agreed to submit
the revised proposal by January 2017.
The revised draft proposal was submitted by Mr. Akers on 10th January 2017. Reply has
been sent by CMPDI on 1st February 2017 for submission of revised proposal incorporating
the suggestions made by CMPDI. In response to the email dated 09.03.2017 by Norwest
Corporation regarding some issues of service tax, necessary reply has been sent by CMPDI
vide e-mail dated 22.03.2017. The revised proposal is awaited.
f) Advanced Dry Coal Beneficiation technology: Dry Coal beneficiation is a priority
area identified under Indo-US CWG. Mr. Manoj Mohanty of Southern Illinois University
Carbondale submitted a short proposal on DryJet Sorting Technologies through US DOE in
Aug. 2014, which is based on X-Ray detection and pneumatic sorting technology, similar to
Ardee Sort, CMPDI is already trying under R&D Project at Madhub washery, BCCL. During
the last CWG meet held in USA on 16th Sept. 2015 at Washington DC, Mr. Manoj Mohanty was
contacted to submit a proposal on FGX Dry Coal separator, which he also confirmed through
email dated 08.01.2016. The proposal is awaited.
Visit of US delegation at CMPDI(HQ), Ranchi
A delegation from US Consulate (lead by Sri Prasenjit Gupta, US Consul for Political
and Economic Affairs) visited CMPDI on 15.02.2017 to discuss Indo-US collaborative
projects, CBM/ CMM Clearing House functioning and the possibility of future collaboration.
Indo-EU Collaboration: Status of On-going Project:
a) Introduction of a new underground mining technology at North-Eastern Coalfields in
A proposal titled "Introduction of a new underground mining technology at
North-East Coalfields in Assam, India" was put forward to 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 Spanish Consortium led by AITEMIN.
AITEMIN has already started their work since December 2013. The members from Spanish
Consortium visited Tipong UG mine of NEC, Assam during 10th - 14th Feb 2014. During the
visit, they had detailed discussion with concerned CMPDI & NEC authorities and
collected necessary data/information regarding the aforesaid work. The Feasibility Study
Report, as reported by AITEMIN, has already been submitted to the European Commission on
10th Oct.'14 according to the contract terms and recently, the same has been received
through M/s AITEMIN. However, the feasibility study report is yet to be made available to
CIL/ CMPDI by the European Commission.
New Areas of Collaboration
During 8th India-EU CWG meeting held in Chennai from 28th 29th Nov. 2013, a
presentation was made by CMPDI on reclamation practices, land management and utilization
of mine voids for storage of mine water which is generally of good quality. Technical
knowhow from EU was sought to bring back the post-mining land use pattern as existing
before the mining and utilization of the same for income generation for the local
community. A presentation on the requirement of the technical assistance was made by CMD,
CMPDI during 9th India-EU CWG meeting held in Germany from 10th 11th Sept. 2014.
However, offer of assistance is still awaited from EU side.
Indo-Australian Collaboration Status of On-going Projects:
CMPDI has a Memorandum of Understanding (MoU) with Commonwealth Scientific and
Industrial Research Organisation (CSIRO) signed on 12th June, 2013 for a period of five
years for furthering scientific cooperation. A team from CMPDI visited CSIRO, Australia in
July 2015 for identifying possible collaborative areas in the field of clean coal
a) Capacity Building for CMPDI Lab o CMPDI has established a state of the art Coal
Bed Methane (CBM) lab that can carry out parametric studies for resource estimation and
reservoir characterization for CBM and Shale gas. o In March 2016, S&T Project titled "Capacity
building for extraction of CMM Resource within CIL Command areas" was approved by
Ministry of Coal (MoC) under Govt. of India S&T funding which is jointly implemented
by CMPDI and CSIRO. The project is of three (03) years project duration. A Collaborative
Understanding agreement for execution of the Project has been signed between CSIRO and
CMPDI on 22nd December, 2016.
o In February, 2017, CMPDI organised a thorough discussion on lab equipment in CBM lab
with CSIRO and GEOGAS representatives. The later visited CBM Lab and emphasized on
planning scientifically correct methodology and implementation of new technology driven
equipment to be covered under the above S&T project. The team also visited four
drilling sites of CMPDI. One of the boreholes had been selected for desorption studies.
The team discussed methodology of desorption studies carried out by CMPDI team at site.
b) Ventilation Air Methane (VAM) o CMPDI has formulated a project jointly with
CSIRO titled "Abatement and utilization of Ventilation Air Methane (VAM) from working
underground degreeIII coal mine in India". The implementing agencies for the
project will be CSIRO and CMPDI with BCCL as a sub-implementing agency. Identified project
mine is Moonidih Underground Mine in Jharia coalfield of Bharat Coking Coal Ltd. (BCCL).
o CIL R&D Board has approved the project in principle with 100% retroactive funding
at present and in due course 40% should be reimbursed from National Clean Energy Fund
(NCEF) with a directive to reduce duration of project from 42 to 30 months in consultation
with CSIRO. CSIRO has agreed to reduce the project duration to 36 months.
o The revised proposal was placed in the 26th Meeting of R&D Board of CIL held on
27.12.2016 and the Board advised to place the proposal before the Apex Committee with
c) SIMTARS engagement in Mining simulation, Explosion testing and Mining safety
o SIMTARS in collaboration with ISM & CIMFR, Dhanbad has been engaged in mining
simulation, explosion testing and mining safety training for Indian coal mines through
purchase of mining simulators through an R&D Project funded by CIL.
o For setting up Virtual Reality Centre (VRS) at ISM, a meeting was held on 23.02.2016
which was attended by Additional Secretary, MHRD and Chairman, CIL. ISM in association
with SIMTARS formulated a proposal for setting up VRS at ISM, Dhanbad.
o SIMTARS agreed to give details about their requirement, financial involvement,
component wise details for different modules for training based on some need analysis in
Indian scenario, for establishing the Centre for imparting training of trainers etc.
SIMTARS proposal included the following:
Identification of training requirements
Location, site and building work requirements
Mine and infrastructure modelling requirements
Immersive display system requirements
Implementation of logistic requirements
o A space for establishing the Centre has been identified by ISM under the Centre of
Excellence in Mining Technology.
New Areas of Collaboration
a) Underground Coal Gasification (UCG): In the India Australia Energy
Security Dialogues held during 8th 11th February 2016 at Brisbane, for the
development of Underground Coal Gasification (UCG), Australian companies like M/s Carbon
Energy Limited was asked to look forward for the opportunities coming up in India in view
of the recent UCG policy of Government of India. A meeting via Conferencing (Video/Tele)
was organized by Austrade / Delhi on 31st May 2016 where M/s Carbon Energy Ltd shared
their outcome of Key Seam UCG Technology developed at the Bloodwood Creek UCG Trial
Project at QLD in Australia.
It was agreed that in view of constitution of Inter-Ministerial Committee (IMC) for the
development of UCG blocks, the proponent may approach to the developer to extend
technology to them after the awarding of blocks.
b) CBM/CMM Development in CIL Command Area: In the India Australia Energy
Security Dialogues held during 8th 11th February 2016 at Brisbane the Australian
technology providers and experts from the Australian Universities came forward for
participation in developing CBM/CMM areas under the leasehold of CIL in view of new policy
of Government of India permitting CIL to explore and exploit CBM/CMM on commercial lines.
University of New South Wales (UNSW) has been requested to provide list of experts and
c) Review Mining Simulation technologies from Immersive Technologies, Australia:
This is technology based software for simulation based training of HEMM. The Immersive
Technologies Pty Limited, Australia presented the same at the IMME 2016 in Kolkata.
India-Australia Round table Meeting at CIL(HQ), Kolkata
On the request of Australian High Commission, a round table meeting was jointly
organized by IIT-ISM and CIL at CIL (HQ), Kolkata on
19.11.2016 to enhance Indo-Australian collaboration opportunities on coal mining
technology, safety, clean-coal technology etc. with the help of Australian Universities
and Institutions. The meeting was attended by a number of Australian firms to showcase
their technologies and services for possible future collaboration.
Indo-Poland Collaboration New Areas of Collaboration
Secretary (Coal), Govt. of India led a delegation comprising of Chairman, CIL, Joint
Secretary (JS), MoC, and Adviser, MoC to Poland during 6th to 9th June, 2016 to understand
the energy policy of Republic of Poland with particular reference to development of coal,
coal mining technologies, reclamation of mined-out areas, capture and uses of Coal Mine
Methane (CMM) and technologies for development of underground (UG) mines etc.
A 5-membered team of Polish Experts (3 from AGH University, Krakow, Poland & 2 from
GIG, Katowice, Poland) visited MoC, CIL (HQ), ECL, BCCL and CMPDI (HQ) along with a team
of 4 members from manufacturers of Poland. This visit (4th-7th July 2016) was made by
Polish Expert as a sequel to the visit made by an Indian delegation led by the Secretary
(Coal) to Poland in the month of June, 2016. In view of the above, a Poland Technology
Group (PTG) has been constituted and some of the areas was identified such as Slope
stability of overburden dump (using advanced modelling technique), Dry Coal beneficiation,
Extraction of remnant coal pillars with surface protection, Pre-drainage of coal mine
methane (CMM) and commercial recovery of coal bed methane (CBM) and Control measures for
mine fires of Jharia for obtaining the solutions from Polish side. A detailed discussion
was held on the identified areas at CMPDI (HQ), Ranchi between Polish Experts and
Officials of PTG & other officials of MoC, Coal India Limited/CMPDI, wherein technical
co-operation was sought on the identified areas from Polish Experts. A data dossier on the
above identified areas has been prepared by CMPDI with necessary technical help from
different subsidiaries of CIL and the matter is being taken up at CIL level.
In continuation of the collaborative studies, a team of 4 officers (2 from CMPDI and 1
each from CCL & BCCL) visited Poland from 13th -17th February, 2017 to enhance skill
in the field of methane extraction and dry coal beneficiation.
Indo-Japan Collaboration New Areas of Collaboration
a) Dry Coal Beneficiation: M/s Nagata Engg. Co. Ltd. has been requested to
provide the detail technology including specification and performance data, commercial
availability of the separator and cost thereof with other supports (if any). The response
b) Slope Stability Monitoring: Dr. Hideki Shimanda of Kyushu University, Japan
has been requested to share their technical expertise and valued opinion for Indian
geo-mining conditions. Reply is awaited.
c) Subsidence Measurement & monitoring using DINSAR Technology: J-Coal
delegation led by Mr. Masafumi Uehara visited CMPDI in August 2016 and presented the
possible use of DINSAR technology for subsidence monitoring in Jharia Coalfield. The
delegation also visited the subsidence sites at BCCL. On query whether a real time
monitoring and subsidence prediction was possible through this technology, Mr. Uehara
informed that real time monitoring, at present, was not possible through this study as the
minimum interval for this study can be one and half months, which is the re-visit time of
the satellite to acquire the data and they do not have expertise in subsidence prediction
presently. Under such circumstances, the project is kept in abeyance.
The 21st Meeting of IndiaRussia Joint Working Group on Energy and Energy
Efficiency was held on 7th September 2016 at Delhi. Indian side expressed its interest in
technical cooperation with Russian companies in the field of Underground Coal Gasification
(UCG) and resource assessment of Coalbed Methane (CBM) in distressed conditions. Russian
side agreed to pass on the information to concerned Russian companies.
Two proposals regarding trial run of 350 Tonne dump trucks of Belaz make and technology
for North Eastern Coalfields by M/s NIVA of Belarus were received from Ministry of Coal
through CIL on 14.03.2017. Necessary comments of CMPDI on the above proposals have been
sent to CIL on 20.03.2017 for onward communication.
13. COAL VIDESH DIVISION
I. INITIATIVES FOR ACQUISITION OF COAL ASSETS ABROAD
(A) Activities of Coal India Africana Limitada (CIAL), Mozambique
Coal India Africana Limitada (CIAL), a wholly owned subsidiary of CIL was granted
prospecting licenses for two leaseholds, covering a total area of 224 sq. km. by the
Ministry of Mineral resources, Government of Mozambique. Based on exploration activities
carried out in the license areas from 2012 to 2014, 170 sq.km area having no occurrence of
coaly horizons till a depth of 500m, was surrendered to the Government of Mozambique. The
remaining 54 sq.km. area was retained for which new licenses were issued. Based on
Geological Report of the license areas, Mineability Study to assess the techno-economic
viability of mining of the remaining 54 sq. km. was conducted in 2015-16. The Mineability
Study revealed that the leasehold areas are not techno-economically viable for commercial
mining. Based on this outcome of the study, CIL Board approved complete surrendering of
the prospecting licenses. Pursuant to these directives of the Board, applications for
surrendering the remaining 54 sq.km. of the leasehold area for prospecting was submitted
to the National Institute of Mines (INAMI), Government of Mozambique. The Government of
Mozambique vide their letter dated 16th August 2016 accepted the application for
relinquishment of the said licenses.
(B) Acquisition of coking coal assets abroad
Pursuant to the directives of the CIL Board, initiatives for acquisition of coking coal
assets, with particular focus on Australia being the prime destination for sourcing coking
coal to India, are in process. As part of the preparedness towards acquisition
initiatives, empanelment of Merchant Banker (MB)/ Investment Banker (IB) has been done to
render assistance in acquisition process.
II. REVIVAL OF FERTILIZER PROJECT(S)
(A) Setting up of natural gas based ammonia-urea complex at Gorakhpur, Sindri and
In line with the decision in a meeting at PMO on 07.04.2016, a Joint Venture Agreement
was signed on 16th May 2016 between CIL and NTPC (shareholding 50:50), to set up new
natural gas based ammonia-urea complexes at the premises of closed fertilizer units at
Gorakhpur & Sindri of FCIL and HFCL at Barauni. Hindustan Urvarak & Rasayan
Limited (HURL) was registered on 15th June 2016 as a Joint Venture Company of NTPC and
CIL, with IOCL to join subsequently. The Supplementary Agreement to the JVA was signed
amongst CIL, IOCL, NTPC, FCIL and HFCL on 31st Oct, 2016 with shareholding of CIL
29.67%,NTPC 29.67%,IOCL 29.67% and FCIL/HFCL(combined) 10.99%.The
Pre-Feasibility Report for Gorakhpur and Sindri was prepared by Engineers India
Limited(EIL) and that for Barauni was prepared by Projects Development India Ltd(PDIL).
The Board of Directors of HURL decided to set up ammonia-urea complexes at aforementioned
sites through Lump-Sum Turnkey (LSTK) mode and PDIL was appointed as consultant for
rendering assistance in the entire process. The pre-qualification process for LSTK
contractors has been completed through a global EOI process. Thereafter, NIT for selection
of LSTK Contractors for setting up of the ammonia-urea plant at each site was prepared and
issued after due approval of the HURL Board to the pre-qualified LSTK contractors for each
site. Concurrently, pre-project activities are in progress in all the three sites.
Geotechnical investigation, topographic survey, water availability studies and EIA/EMP
preparation have been carried out. The Hon'ble Prime Minister has laid the foundation
stone at Gorakhpur plant site on 22nd July, 2016.
(B) Setting up of coal based ammonia-urea complex at Talcher
In line with the CCEA decision of August 2011, a Joint Venture company of RCF, GAIL,
CIL and FCIL, named Talcher Fertilizers Limited (TFL),has been formed to set up an
Ammonia-Urea plant at the site of the defunct fertilizer plant of FCIL at Talcher through
Surface Coal Gasification technology. The shareholding of the Promoter companies is RCF
29.67%, CIL 29.67%, GAIL 29.67% and FCIL 10.99%.
After extensive deliberations for selection of coal gasification technology licensors
at PMO, NITI Aayog, Dept. of Fertilizers, etc., it was decided in a meeting chaired by
Hon'ble Minister (Chemicals and Fertilizers) on 31.08.2016 to float a fresh Expression of
Interest (EOI) for pre-qualification of technology licensors for coal gasification
technology. The consultant, PDIL, floated EOI on behalf of TFL on 14th September, 2016 and
responses received were evaluated and recommendations placed for approval of TFL Board. As
on date, the TFL Board has accorded in principle' approval to the Techno-Economic
Feasibility Report (TEFR) with the stipulation that investment decision would be taken
after establishment of financial viability through a Detailed Feasibility Report (DFR)
after due approval of promoting companies.
14. 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 2661.73 crore for Raniganj Coalfields. Implementation period has
been delineated as 10+2 years.
High Powered Central Committee meetings were conducted under the chairmanship of
Secretary (Coal), MoC to review the activities of implementation of Master Plan. Fourteen
meetings were conducted so far; last meeting was held on 13/02/2017.
Jharia Rehabilitation and Development Authority (JRDA) is the implementing agency for
rehabilitation of non-BCCL people under Master Plan whereas Asansol Durgapur Development
Authority (ADDA) a state Govt. organization has been identified as implementing agency for
Rehabilitation of Non-ECL houses.
A. Summarized Status of Implementations of Master Plan in the lease hold of Eastern
Seven Surface Fires were identified in the approved Master Plan have been doused by
blanketing with thick layers of earth to save the life and properties of the inhabitants.
Demographic Survey work has been completed for all 126 locations out of 141 identified
locations as 10 locations having no habitation and 3 locations have only ECL population.
In 2 locations survey work could not be completed due to public agitation. The final list
has already been published which contains 44598 households. Photo Identity Card (PIC) has
been distributed to 43087 persons out of total 44598 persons. Most of the ECL employees
residing in 3 endangered locations have been shifted and remaining persons were allotted
quarters and are in the process of shifting. Chief Secretary, Govt. of W.B. in a meeting
with Secretary, MOC on 24.03.2017 advised ADDA to take necessary action to finalize the
Demographic Survey and valuation latest by 23/05/2017.According to the approved Master
plan, about 896.29 ha. (2214 Acres) land would be required for resettlement of non-ECL
In the meeting held on 24.03.2017 at Nabanna under the Chairmanship of Chief Secretary,
Govt. of WB where in it was decided that ADDA, ECL & CMPDIL will jointly find out the
possibilities of large chunk of land to be used for rehabilitation purpose within a month
time. It was also discussed that 15% of population under rehabilitation scheme are to be
accommodated in Durgapur for which Bengal Aerotropolis Limited (BAPL) land would be made
available. For rest 85% who are to be rehabilitated in Jamuria, Ranigunj, Asansol and
Baraboni blocks land in big chunks has to be identified.
W.B. Housing Board (State Government of West Bengal has now approached to the MOC to
accord permission to change the responsibility to Housing Dept, Govt. of W.B. in place of
ADDA) issued work order for construction of 160 flats on 27/02/2017 for an amount of Rs
8,83,49,173.00 (` Eight Crores Eighty-Three Lakh Forty-Nine Thousand One Hundred
Seventy-Three only) at Bijoynagar Mouza of Jamuria Block. Construction of houses has
already been started from 10.03.2017.
DPR for construction of 2144 flats (which includes earlier floated tenders for
construction of 160 houses) on a land of 26.08 Acres at Bijoynagar Mouza, comprising 16
flats in each block having built up area of 39.13 Sq m per flat has been prepared by
Housing Board on 08/03/2017 with an estimated cost of Rs 164.47 Crores. Housing Board has
also planned to construct 7000, 10000, 13000 and 16000 houses in the years 2017, 2018,
2019 & 2020 respectively for implementation of the Rehabilitation Project for shifting
of people residing in the unstable locations, within the prescribed time schedule.
i). Diversion of National Highway(NH-2):
National Highway Authority of India (NHAI) suggested for stability test to be carried
out for the unstable part of NH-2 by other agency. Work for Geotechnical investigation for
stability analysis has been awarded to CIMFR, Dhanbad in March 2016.
In the 14th HPCC meeting ECL informed that about 300m Stretch of NH-2 is under unstable
area and therefore, unsafe. Further a study was carried out by CIMFR in which voids were
found at a low depth that may cause occurrence of potholes. The report has been sent to
NHAI on 07.02.2017 as well as forwarded to DY. DG(EZ), Sitarampur on 23.02.2017 for
In the 14 th HPCC meeting it was decided to constitute a committee under the
Chairmanship of DGMS with representatives from NHAI, CIMFR, ECL and ADDA to examine and
recommend action to be taken by NHAI.
Accordingly, on 20.03.2017 a meeting was held at DGMS, Office Sitarampur under the
Chairmanship of Dy. DG(EZ) where representatives of ECL, CMPDIL, NHAI and ADDA were
present. It was further suggested that NHAI should approach CIMFR to get idea of blind
backfilling and certification of action required for proper stability from CIMFR.
(ii). Diversion of District Board (DB) Roads.
The diversion of DB Road at Mohanpur Colliery of Salanpur area is not required, as the
proposed route is coming under mining operations. The existing road between Amdiha and
Samdih via Lalgunj will serve the purpose of connection.
In the proposed diversion route of Gorangdih Begunia colliery 3.512 acres of land is
required out of which 3.040 acres is Raiyati land and 0.472 acres being WB Govt. vested
land. For diversion of this DB road at Jamgram mouza under Barabani PS, public notice has
been issued. The District Level Purchase Committee has taken up the issue regarding
purchasing of Raiyati land.
For diversion of DB road at Ratibati colliery 4.847 acres land is required (1.207 acres
of ECL land+ 0.370 acres of Raiyati + 3.270 acres of DGCA land). NOC for ECL land was
placed in the 295th meeting of Board of Directors held on 01.02.17 for according approval.
Board directed to obtain NOC from MOC. Proposal to obtain clearance from MOC has been sent
on 22.02.2017. iii) Diversion of Railway line:
Andal-Sitarampur Railway line:
RITES has submitted the Revised FSR' to Eastern Railway authority for in-
principle approval of the same.
In 14th HPCC meeting representatives of Railways were asked to direct concerned
officers of Eastern Railways to examine the revised FSR submitted by RITES on 10.01.2017
for taking further necessary action.
Sr. Divn. Operation Manager, Asansol has informed that the revised FSR has been
examined and found the same would be acceptable subject to compliance of certain
ECL has suggested some amendments in the Revised FSR. The suggested amendments of ECL
was submitted separately by M/s RITES to Eastern Railway authority on 01.03.2017 for
iv). Diversion of Indian Oil Corporation Limited (IOCL) pipeline:
IOCL informed that second tier survey report has been submitted by National Institute
of Rock Mechanics (NIRM), Bangalore which is under examination. IOCL informed that regular
monitoring is being done by them to detect any deflection of pipe line due to subsidence.
B. Summarized Status of Implementations of Master Plan in the lease hold of Bharat
Coking Coal Ltd.
Reduction in Fire area: The coal mine fire survey/ study was instituted by BCCL
through National Remote Sensing Centre (NRSC), ISRO, Department of Space, Hyderabad for
delineation of surface coal fires in Jharia Coalfield. NRSC has submitted their report in
which they have concluded that the present fire area in the coalfield is only 2.18 sq.km.
which includes both over burden dump fire and active fire. In Master Plan total surface
area affected by fire described as 8.9 sq.km. NRSC has deduced these findings from the
State of Art, Satellite based technology. Action is being taken by BCCL for dealing with
fire as stipulated in the Approved Master Plan.
NRSC has been requested to repeat the satellite TIR survey. NRSC has confirmed for the
survey in 2017. The finding of NRSC will be submitted after the survey is completed. BCCL
would improvise the fire action plan for speedier liquidation of fire area. BCCL has
signed the MOU and sent to NRSC.Work order has been given to NRSC by BCCL.
As per Master Plan total 54159 families' in 595 nos. sites to be surveyed. CIMFR, ISM,
whiz Mantra and JRDA has completed survey of 595 sites for 91879 families of encroachers,
survey of private houses to be started.
3360 houses have been constructed in Belgoria Rehabilitation Township "Jharia
Vihar" in which 1923 non families(encroachers) are shifted from affected areas.
Construction of 6992 units are in progress out of which 992 units are in completion stage.
In order to shift BCCL employees residing in fire affected areas 6668 houses have been
built by BCCL in non-coal bearing zone and 2852 families from fire & subsidence places
have been shifted to these houses. Further construction of 9184 units by BCCL is under
progress and in different stages of completion.
As per Master Plan 2730 Acres of land would be required for resettlement of non-BCCL
families for which JRDA is pursuing for acquisition of land and proposals are now at
different stages. NOC of 86.44 acres of vacant land in Bhuli Township and 849.68 acres of
non-coal bearing land in and around Belgoria Township belonging to BCCL has been given by
MoC which has been communicated to JRDA along with all the required mouza plans for
developing new Townships by JRDA.
Coal India Ltd has infused Rs 161.62 crores to ECL and Rs 1089 crs to BCCL till March
2017 for implementation of Master Plan.
15. ENVIR ONMENTAL MANAGEMENT
15.1Environmental Impact Assessment (EIA)/Environmental Management Plan (EMP)
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. During the year 2016-17, CMPDI has prepared a total
of 15 Form-I and formulated 22 Draft EIA/ EMPs. 17environmental clearances were also
obtained from MoEF for different Projects/Group of Mines, Washeries and Sand mining
projects of CIL during the year 2016-17.
15.2Pollution Control Measures and Their Efficacy
Coal India has been keeping utmost importance in protecting environment by practicing
and following sustainable mining so as to ensure that the mining operations has least
impact on environment. The various Pollution control measures and initiatives are taken up
concurrently with mining operations for maintaining acceptable/permissible limits of major
physical and chemical attributes of environment namely air, water, hydrogeology, ground
vibrations, noise, land & nearby population.
(A) Air Pollution Control Measures:
To control and reduce dust generation during drilling, blasting, loading and Coal
transportation, Coal India Ltd. has taken up various initiatives based on the
Environmental Management Plans (EMP) which were already prepared before commencement
/enhancement of production of coal mines. This EMP is prepared keeping in mind the impact
on existing environment and forest due to coal mining projects through Environment Impact
Assessment (EIA) study of each project.
Suitable water spraying systems for arresting fugitive dust in roads, washeries, CHPs,
Feeder Breakers, Crushers, coal transfer points and coal stock areas are being installed.
Mist spray systems have been introduced along conveyor routes, transfer points and on
bunkers. Mobile water sprinkling has been provided in all the haul roads of OC mines. In
addition to these, the projects are enhancing the water sprinkling through engagement of
contractual water tankers. Automatic sprinklers have also been installed in CHPs. Some of
the important initiatives are also mentioned below:
a) Mobile sprinklers have been installed along haul roads to control dust generated by
truck and dumpers movements.
b) Optimum level of loading of coal in trucks and railway wagons to avoid spillage on
roads and rail.
c) Covering of coal trucks by tarpaulin is being followed to avoid spillage of coal
particles during transport.
d) Blacktopping, repairing and strengthening of haul roads are regularly and
scientifically carried out.
e) Plantation in surroundings of active mining areas and along the hauls roads are
carried out to create green buffers/ green belts in and around the mines.
f) In order to reduce the dust pollution due to road transportation eco-friendly mode
of transport are being introduced. Transportation to thermal power stations, who consume
more than 80% of thermal coal are carried out by rail / series of belt conveyors. Rail
heads are constructed and made available nearer to mine so as to reduce road
transportation. CIL have constructed / are constructing integrated CHP for rapid loading
of wagons and trucks.
g) Tube conveyors mode of transportation is also being introduced in some mines for
transportation of coal to thermal power plants. The wall/sides of CHPs are also covered by
side cladding with GI Sheet to control pollution at source.
h) To contain dust emission at source itself, dust extractors / wet drilling systems
are being undertaken.
i) Controlled blasting and habitation away from the mines have been introduced as far
j) Modern technologies like Surface Miners and Continuous Miner at different
subsidiaries of CIL which generates lesser air borne pollution as compared to conventional
mining have been introduced to the system. During the year 2016-17, CIL has produced about
48.89% (i.e. 255.027 MT) of its production from open cast mines through Surface miners.
Continuous miners contributed about 4.689 MT in the production from underground mines.
k) The quality of Ambient air in and around the mine site is being monitored
fortnightly. The required and stipulated numbers of ambient air quality monitoring
stations are maintained, as per environmental rules and regulations of Environment
(Protection) Act, 2006, and its reports are regularly submitted to SPCBs and MoEF&CC.
l) The concept of Continuous Ambient Air Quality Monitoring Stations' (CAAQMS)
are being introduced and are installed / being installed in large mines of CIL. Continuous
Ambient Air Quality Monitoring Stations have been installed at 4 locations in SECL and 01
location of WCL.
(B) Mine Water Management:
Water which pumped out from the underground and open cast mines are being contaminated
with suspended particles. Some small quantity of water being contaminated during washing
and cleaning of HEMM. CIL also takes initiative by treating this water. The treated water
is being supplied to the local villages after mine consumption. Quality of the final
effluent is monitored in terms of the relevant Indian standards.
? Domestic Effluent Treatment Plant (DETP): The domestic effluent from major
residential colonies is treated in DETP either by activated sludge method or by extended
? Mine Discharge Treatment Plants (MDTP) are installed in mines for treatment of
mine water. Strata seepage water in mines first gets accumulated in the mine sump which
provides for initial settlement of suspended particles. The supernatant water from the
sump is then pumped out on surface and treated in surface sedimentation tank, which
provides for second stage settlement. The treated mine water is then used partly within
the mine premises for dust suppression, fire fighting, plantation, washing and further
treated as per drinking water standard for supply to company township and nearby villages
through pressure filter / RO, etc. After ensuring maximum re-use within and around mine
premises the excess treated mine pumped out water is released onto local nalla / streams
which is used by the surrounding local population specially for agricultural use.
? In order to assess the impact of mining activities on water, quarterly
monitoring of ground water levels is being carried out in and around the coal mines
covering the buffer zone (i.e.10 Kms radius). Further, recharging of ground water is also
taken up within mine premises as well as in nearby villages through rainwater harvesting,
digging of ponds/development of lagoons, de-silting of existing ponds/tanks etc.
? Regular monitoring of mine effluent, workshop effluent, and domestic effluent
is carried out every fortnight as per Environment (Protection) Rule 2006. Reports
of the same are regularly submitted to SPCBs and MOEF.
(C) Noise Pollution Control Measure:
For control of noise pollution, following measures are adopted:
i) Proper maintenance of equipment to minimize vibration
ii) Green belt provided around the mine as well as residential area.
iii) Controlled Blasting & blasting in only day time.
iv) Use of Surface Miner, Continuous Miner & High Wall mining which extract coal
v) Ear Muff or Ear Plugs provided to Workers at highly noisy areas
(D) Land Reclamation:
Reclamation of the mined out areas and the external OB dumps is a major environmental
mitigatory activity taken up by Coal India. In all new mines reclamation of mined out
areas are being done as per the Environmental Management Plan and Mine closer plan which
are approved by MoEF&CC. Back filling of the OB material in the mine voids is part of
the mining operation cycle. Topsoil preservation, storing and use in the plantation areas
of the reclaimed areas are being done in the opencast mines wherever necessary. Concurrent
reclamation and rehabilitation of mined out areas (subject to technical feasibility as per
geo-mining conditions) are taken for gainful land use. Opencast mines are filled up with
overburden extracted during the process of extraction of coal and after technical
reclamation is completed plantation is carried out which is termed as biological
? Eco-restoration: For effective Bio- reclamation of disturbed land,
scientific studies are carried out to select suitable species of plants for each coalfield
and sustainable sequence of reclamation from grass to shrubs, to trees. Forest Research
Institute (FRI) have been engaged by CIL for sharing their expertise in the field of
eco-restoration in the reclaimed areas. ECO restoration sites are developed in Damoda,
Tetulmari of BCCL, with technical guidance of FRI.
? Eco-park in Reclaimed land: Eco Parks have been developed in many of the
mined out areas of CIL like Gunjan Park of ECL, Ananya Vatika of SECL, Nigahi of NCL,
Saoner of WCL, Kayakalp Vatika, Rajarappa Eco Park in CCL etc.
? T ree plantation: Green belt is developed through extensive tree
plantation programme every year by the subsidiaries of Coal India Ltd. Avenue plantation,
plantation on the OB dumps, plantation around mines, residential colonies, and available
land is undertaken in existing as well as new projects. The subsidiaries of CIL have
planted around 94.015 million of trees covering an area over 37557.458 Ha. till March
? Monitoring of Reclamation: CIL introduced state-of-the-art Satellite
Surveillance to monitor land reclamation and restoration for all opencast projects. The
land reclamation and rehabilitation operations are being monitored by Satellite
Surveillance. 50 major OCPs excavating more than 5 Mm (Coal+OB) per annum are being
monitored every year while remaining OCPs excavating less than
5 Mm (Coal+OB) per annum are being monitored every 3rd year. This gives a clear picture
of reclamation, which otherwise is difficult to accurately estimate. The study during
2016-17 shows that all the major OCPs (excavating > 5 Mm (Coal+OB) per annum) have
reclaimed area of 77.59% and active mining area is only 22.41% of the total excavated
area. In addition, CIL is conducting vegetation cover mapping through satellite
surveillance in every 3 years.
? Mine Closer Plan (MCP): Mine closure plan is an integral part of the
project report prepared by CMPDIL for coalmines. This progressive mine closure plan also
forms a part of the EIA/EMP prepared and submitted to MOEF for Environmental Clearance.
The progressive reclamation of mined out areas inbuilt in the project cost is implemented
accordingly. After exhaustion of reserves, statutory obligations in respect of closure are
also followed. CIL is practicing mine closure very effectively. CIL is committed for
restoration of abandoned / mined out areas in a socially acceptable & environment
friendly manner. As on March 2017, out of 454 identified mines for 453 mines were
prepared, 445 MCP were approved by concerned Subsidiary board, 422 numbers of Escrow
account were opened and an amount of Rs 5487.13 Cr deposited in this account.
? Strive f or continual improvement in performance by setting targets, measuring
progress and taking corrective action.
CIL has engaged Indian Council of Forestry Research & Education (ICFRE), Dehradun
for Environmental Audit of 20 no. OC Mines of CIL which is intended for third party
inspection, verification of the existing levels of pollution vis-a-vis the laid down
standards and to delineate the compliance status of major projects in addition to the
inspection carried out by the statutory authorities like CPCB/SPCB etc. ICFRE has
submitted final report for 3 mines of MCL and 01 mine of BCCL. ICFRE is conducting study
for the remaining mines.
CIL has also engaged Rain Forest Research Institute for preparation of Bio
diversity Management Plan, Regional Wild life plan and carrying capacity study for
Makum coalfields of Assam.
CIL has signed MoU with National Environmental Research Institute(NEERI), Nagpur to
carry out studies, monitoring and collaborative research work for "Sustainable Coal
Mining in CIL". NEERI is also studying on the effectiveness of supplying
de-shaled/dry-beneficiated / washed coal (reduction in ash content by 5-6%) to power
plants following all pollution control measures. NEERI will submit environment management
plan for mitigation of impact on regional environmental quality due to supply of deshaled
/ dry beneficiated coal to power plants in context of prevailing pollution control
(F) Solar Energy/ Energy efficient Initiative by Coal India Ltd:
CIL has signed MoU with Energy Efficiency Services Limited (EESL) to promote energy
efficiency provisions in CIL and its subsidiary companies. CIL has taken steps for using
LED lights substituting CFL lights
To promote, Green Initiatives taken by GoI, CIL has submitted Green Energy Commitment
letter to MNRE for developing 1000 MW Solar Power Projects. For implementation of
these projects, CIL has signed MoU with Solar Energy Corporation of India (SECI).
In the 1st phase, tender was floated for setting up of 2x100 MW Solar PV Project in the
state of Madhya Pradesh. But, due to current downward trend in prices of solar projects
and availability of land in Madhya Pradesh for Solar park the tenders were cancelled and
SECI was advised to go for retendering of above projects.
CIL's initiatives has resulted in installation of 3 MW(Approx) capacity in CIL HQ and
its Subsidiary Companies.
15.3 Management System Standards
CIL HQ has got certification against ISO 9001 and ISO 50001 (Quality Management System
and Energy Management System) from Bureau of Indian Standards and implementation /
integration of Environment Management System (ISO 14001) is under progress. As on 31st
March'2017 two of our subsidiaries, NCL and MCL are certified for their companywide
Integrated Management System (ISO 9001, ISO14001 and OHSAS 18001) and ECL is likely to be
certified shortly. CCL, BCCL and WCL are in the process for implementation of company wide
Integrated Management System (ISO 9001, ISO 14001 and OHSAS 18001). CMPDIL HQ and its
seven RIs are certified for ISO 9001:2015.
15.4 Assessment of Impact of Coal Mining in different coalfields
Vegetation cover mapping of 6 coalfields viz. Jharia, Talcher, Bishrampur, Wardha,
Kamptee and Makum have been completed during the year 2016-17 for assessing the regional
impact of coal mining on land/vegetation cover in the span of 3 years to take remedial
measures required, if any.
15.5 R&R P olicy of CIL, 2012.
With changing aspirations of Project Affected Persons (PAPs) and for faster acquisition
of land, Resettlement & Rehabilitation Policy of CIL was revised in 2012 making it
liberal and PAP friendly with more flexibility to the Board of Subsidiary Companies.
The Policy provides for conducting baseline socio- economic survey to identify PAPs
enlisted to receive R&R benefits as well as to formulate Rehabilitation Action Plan
(RAP) in consultation with PAPs and State Govt.
The R&R Policy of Coal India Ltd., 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 etc.
R&R Policy of CIL is being revised specifically in background of the RFCTLARR Act
16. COAL BED METHANE (CBM) / COAL MINE METHANE (CMM) 16.1 Collaborative commercial
development of CBM in Jharia&Raniganj coalfields by the consortium of CIL & ONGC.
The Govt. has allotted two CBM blocks in 2002 namely Raniganj North CBM Block in
Raniganj Coalfield and Jharia CBM Block in Jharia Coalfield to the consortium of
ONGCCIL on nomination basis for commercial development of CBM. CMPDI is implementing
the projects on behalf of CIL. ONGC is the Operator for both CBM blocks and carrying out
the jobs as per contractual agreement with the Govt. of India. On completion of CIL part
of work programme by CMPDI and supplemented by appraisal activity by ONGC has resulted in
formulation of Field Development Plan (FDP) by the Operator i.e. ONGC.
The FDPs for both the CBM blocks were approved by the Government of India in July,
2013. Petroleum Mining Lease (PML) for Jharia CBM block has been granted by Govt. of
Jharkhand in July' 2015, and environment clearance for Jharia Block is likely to be
Model Co-development Agreement for Simultaneous Coal Mining and Coalbed Methane (CBM)
Operations in the Overlapping Areas has been issued by MoP&NG in February, 2017.
Matter of Co-development agreement in regard to Jharia CBM Block in Parbatpur Central Coal
Block overlapping for optimum exploitation of coal by SAIL and CBM by ONGC (operator of
the CBM block) is under deliberation between SAIL and ONGC. In the Steering Committee
meeting held on 30th March, 2017 at DGH it has been agreed that ONGC will submit revised
FDP and cost estimate taking in account all constraints and accordingly in the Operating
committee, it will be deliberated for consideration and further perusal for competent
16.2 CBM related studies:
CMPDI and GSI are carrying out studies related to "Assessment of Coalbed Methane
Gas-in-Place Resource of Indian Coalfields/Lignite fields" in selected boreholes
being drilled under Promotional Regional exploration since X Plan period and XI Plan
period respectively under Promotional Regional Exploration (PRE) funding. A total of 60
boreholes (40 by CMPDI and 20 by GSI) have been taken up for CBM specific data generation
during the XII Plan. Studies have been completed in forty (40) boreholes by CMPDI and in
Nineteen (19) boreholes by GSI. During the year 2016-17, studies has been done in eight
(8) boreholes by CMPDI. CMPDI & GSI have completed CBM specific studies in 130
boreholes (92 by CMPDI & 38 by GSI) since commencement of the work.
During the year, one report based on CBM related studies has been submitted by CMPDI
for Gondbahera Ujheni block, Singrauli Coalfield.
16.2.1S&T Project on "CBM Reserve Estimation for Indian coalfields"
S&T project on "CBM Reserve Estimation for Indian Coalfields" has been
approved under EoI of Coal S&T project in Feb.'14. The project is of 3 years duration
with completion schedule of March, 2017 for which time extension has been considered in
SSRC meeting held on 23rd Mar.'17. IIEST (BESU), Shibpur is the main implementing agency
and NGRI, Hyderabad; TCE, Kolkata and CMPDI are co-implementing agencies. An area in South
Karanpura Coalfield has been taken-up for 2D/3D Seismic survey by NGRI. 75% of study area
has been covered by 2D Seismic survey in South Karanpura Coalfield and balance work was
taken up by NGRI in January, 2017. 3D Seismic survey is likely to be undertaken in May,
16.3 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 since XII Plan period under PRE funding of Ministry of Coal. This
study create the database for assessment of shale gas potentiality and facilitate
delineation of more blocks for Shale Gas development.
CMPDI was to carry out shale gas specific data generation in 25 boreholes during XII
Plan period under PRE funding. For the plan period shale gas studies have been completed
by CMPDI in twenty five (25) boreholes. During the year 2016-17, target has been achieved
by completing the studies in five boreholes by CMPDI.
16.3.1S&T Project on "Shale gas potentiality of Damodar Valley basins of
S&T project on "Shale gas potentiality of Damodar basin of India" is
under implementation by NGRI, Hyderabad as the principal implementing agency and CMPDI,
Ranchi & CIMFR, Dhanbad as sub implementing agencies. The project completion schedule
has been revised to May, 2017 with total project cost of Rs 20.38 crore. The project
objective is to evaluate potentiality of Shale gas in Damodar basin through integrated
geophysical, geological, geo-chemical and petro-physical investigations."Automatic
Porosimeter cum Permeameter" instrument supplied by M/s Vincy Technologies Inc.,
France has been commissioned at CBM, Laboratory, CMPDI.
NGRI along with CMPDI & CIMFR selected Rangamati B block (Tumni & Kanchanpur
Sector), Raniganj Coalfied and 3D seismic survey in 2.4 sq km out of total 3.2 sq km area
has been completed. Interpretation of captured data is in progress. Balance 3D Seismic
survey work is likely to be taken up by NGRI. On the findings from 3D seismic survey,
CMPDI will take up its part of committed activities i.e. drilling of boreholes.
16.4 Commer cial development of Coal Mine Methane
Ministry of Coal vide Office Memorandum dated 29th July, 2015 has permitted CIL to
explore and exploit CBM from its areas under coal mining lease allotted to Coal India
Limited (CIL). Earlier, MoC has appointed CMPDI as Nodal Agency for development of CMM in
India. Successful implementation of the Demonstration Project at Moonidih (Jharia
Coalfield) of BCCL has already proved the efficacy of the process and to expand the scope
of development of CBM in CIL areas. Further studies for "Assessment of CMM
Potentiality in CIL Command Area" have been undertaken.
MoP&NG vide notification dated 3rd November, 2015 has issued guidelines for
exploration and exploitation of CBM by CIL and its subsidiaries on nomination basis from
coal bearing areas for which they possess mining lease. It is under modification by
MoP&NG considering applicability of the ORD Act and PNG Rules within coal mining
leasehold areas. Assessment exercise for ECL command area and BCCL has been undertaken.
These prospective CMM blocks are:
1) Raniganj CMM Block (ECL Area): An area of about 57 Sq.Km. under mining
leaseholds of Sripur, Satgram and Kunustoria Areas has been delineated for commercial
development of CMM for which collateral activities have been initiated by CIL/CMPDI/ECL. A
prognosticated resource of CMM around 1.17 BCM may be available for extraction.
Techno-economic studies have been undertaken by International Expert. Based on this,
detailed project report will be prepared.
2) Jharia CMM Block (BCCL Area): A block of about 25 Sq.Km. under mining
leaseholds of Kapuria, Moonidih, Jarma, Singra blocks has been delineated for commercial
development. A prognosticated resource of CMM resource of around 4 BCM may be available
for extraction. Techno-economic studies have been undertaken by International Expert.
Based on this, detailed project report will be prepared.
"Reservoir Modeling & Techno-Economic Feasibility Study for Commercial
Development of Coal Mine Methane (CMM)/Coalbed Methane (CBM)" within mining leasehold
areas for CMM blocks in (a) Raniganj Coalfield (ECL areas) and (b) Jharia Coalfield (BCCL
areas) have been awarded to M/s Advance Resources International Inc., USA in January, 2017
and work is in progress.
It is proposed to consider available drilling technologies (vertical drilling,
directional, horizontal & its combination on case to case basis) and completion
methods in such a way that the CBM operation can also be simultaneously taken up with the
coal mining operation within overlying seam.
3) Pre-drainage of methane at Moonidih mine (BCCL), Jharia Coalfield (CMM) Pre-drainage
of methane at Moonidih mine (BCCL) in working Seam XVI has been proposed to recover
methane to enhance production and safety. Recovered gas will also be gainfully utilized.
Expression of Interest (EoI) has been invited to identify suitable technology provider
consultancy organization having experience in development of CBM & CMM for successful
implementation of gas drainage from gassy coal seams from concept to commissioning and its
utilization on Turn Key Basis i.e. Built Own Operate model or other applicable model
against which 15 EoIs were received which is under evaluation.
16.4.1S&T Project on "Capacity Building for Extraction of CMM Resource within
CIL Command Areas"
S&T project on "Capacity Building for Extraction of CMM Resource within CIL
Command Areas, being jointly implemented by CMPDI and CSIRO, has been approved under Coal
S&T project of MoC. The project is of 3 years duration with effect from 23rdMarch,
The Collaborative Understanding for execution of the Project has been signed between
CSIRO and CMPDI on 22nd December, 2016. CSIRO team visited CMPDI from 8th to 13th Feb.'17
and again on 15th to 17th Mar'17. They will be visiting again in Jul'17. Desk study is in
16.5 Pr oject on VAM
A project proposal on mitigation/utilization of Ventilation Air Methane (VAM) to be
taken up at Moonidih (Jharia coalfield) under CIL R&D and National Clean Energy Fund
(NCEF) of Government of India is under consideration with CSIRO, Australia and CMPDI as
the implementing agencies and BCCL as sub implementing agency. The project has been
approved in principle by CIL(R&D) Board and will be taken up upon competent approval
of the Government.
16.6 CMM/CBM Clearing house in India
A CMM/CBM clearing house was established at CMPDI, Ranchi under the aegis of Ministry
of Coal and USEPA on 17th November, 2008. The clearing house 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
The clearing house 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 initial three years term it was extended
for another three years. USEPA has further granted extension of additional term i.e. three
years till 2018.
An International Workshop on "Best Practices in Methane Drainage and Use in Coal
Mines" was jointly organized by CIL-CMPDI, GMI-US EPA, UNECE under aegis of GoI-MoC
from 9thto 10th March, 2017 at Ranchi. Presentations are available at
17 ACTIVITIES TAKEN UP BY CBM LABORATORY
CBM Laboratory established at CMPDI has enhanced its capacity and added additional
facility of Automatic Porosimeter cum Permeameter (Make Vinci Technologies, France) to
generate producibility data on CBM recovery.
CBM Lab has carried out CBM specific data generation in 8 boreholes & Shale gas
specific data generation in 5 boreholes during 2016-17.
Relevant studies like Adsorption Isotherm (AI) studies for 51 numbers of coal samples,
Total Organic Carbon (ToC) analysis for 66 number of Shale samples have been completed.
Further, analysis of 1232 mine air samples received from different collieries of CCL and
39 mine survey sample analysis of SECL have been completed and results submitted.
18 COMMERCIAL DEVELOPMENT OF UNDERGROUND COAL GASIFICATION (UCG)
MoC has constituted Inter Ministerial Committee (IMC) for identification of areas for
UCG on the line broadly similar to the existing policy of CBM development. Potential
blocks in coal and lignite were identified and considered in the IMC for the commercial
development of UCG preferably by PSUs. Identified Coal blocks for UCG development are in
Wardha Valley Coalfield (JogapurSirsi), Sohagpur Coalfield (Maiki
(North)Maiki-Merkhi, Pathora, Chainpa), Tatapani-Ramkola Coalfield (Reonti-West),
Yellendu Dip,SCCL and Bandha, Singrauli Main basin.
A consultant has been engaged for "Formulation of Bid Document & Model
Contract Document for Development of UCG". Draft documents were submitted and
discussed in 3rd and 4th IMC meetings. In the 4th IMC meeting held on 16th February, 2017
at MoC under Chairmanship of AS (Coal), the draft Bid Document and Model Contract
Documents were further deliberated and further modification were suggested. It was further
considered that in view of amendment in MMDR Act 1957, which was under process, several
regulatory changes/ legal amendments are required in lights of approved UCG policy which
has been taken up by Ministry of Coal. Also on receipt of comments from IMC members the
modified draft document will be re-drafted for deliberation in the next IMC meeting.
A Workshop was organized on Challenges and opportunities for Development of UCG
(Deep Seated Coal) in India' at Delhi on 23rd March, 2017.
19 GEOLOGICAL EXPLORATION & DRILLING
CMPDI has substantially improved the capacity of drilling during XI & XII plan
periods. 39 new Mechanical drills & 12 Hi-Tech Hydrostatic drills have been procured
since 2008-09, out of which 12 have been deployed as additional drills and 39 as
replacement drills. In addition to this, 7 Hi-tech Hydrostatic drills have been received
and deployed in 2016-17.
19.1 Drilling Performance in 2016-17
CMPDI deployed its departmental resources for detailed exploration of CIL/Non-CIL
blocks whereas State Govts. of MP and Odisha carried out exploration in CIL blocks only.
Besides, eight other contractual agencies have also been engaged for detailed
drilling/exploration in CIL/Non-CIL blocks. A total of 140 to 160 drills were deployed in
2016-17, out of which, 64 were departmental drills.
As against the achievement of 2.09 lakh metre in 2007-08, CMPDI has achieved 9.94 lakh
meter in 2015-16 and11.26 lakh metre in 2016-17 through departmental resources and
outsourcing, registering a Growth of 13% over previous year.
Apart from it, CMPDI continued the technical supervision of Promotional Exploration
work undertaken by MECL in coal sector on behalf of MoC. A total of 1.045 lakh metre of
promotional drilling has been carried out in Coal (0.490 lakh metre) & Lignite (0.555
lakh metre) during 2016-17.
In 2016-17, CMPDI and its contractual agencies took up exploratory drilling in 122
blocks/mines of 22 coalfields situated in 6 States. Out of 122 blocks/mines, 35 were
Non-CIL/Captive blocks and 87 CIL blocks/mines. Departmental drills of CMPDI took up
exploratory drilling in 56 blocks/mines whereas contractual agencies drilled in 66
Due to non-availability of forest clearance, work was stopped in 29 blocks. Due to lack
of forest clearance and adverse law & order problem, about 2.91 lakh metre of drilling
could not be carried out in departmental and outsourced blocks in 2016-17.
19.2 Geological Reports:
In 2016-17, 16 Geological Reports were prepared on the basis of detailed exploration
conducted in previous years. In addition, 2 IGRs/Geological Notes were also prepared. The
prepared Geological Reports have brought about 4.6 billion tonnes of additional coal
resources under Measured(Proved) category".
Under Promotional Exploration Programme, GSI and MECL have submitted 9 Geological
Reports on coal blocks estimating about 1.04 billion tonnes of coal resources, in
Indicated' &Inferred categories', above the specified thickness.
Hydro-geological studies of a number of mining projects/ mines were taken up for
preparation of Groundwater Clearance Application' for CGWA approval and EMP
clearance. Hydro geological studies for 17 mining projects of BCCL, CCL, WCL, SECL, NCL,
ECL and MCL were completed during 2016-17.
Total 53 nos. of Hydrogeological studies on GR/PR and others have been completed during
this period for WCL, SECL, MCL, ECL, BCCL, NCL and1 outside consultancy job for DVC.
Total 8 nos. of Hydrogeological reports on Location and Design of Piezometers have been
prepared during this period for ECL, SECL and CCL.40 Piezometers (23 of Talcher Coalfields
and 17 in IB Valley) have also been constructed under the technical supervision of
Hydrogeologists of CMPDI. Long duration pumping test (1000 minutes cycle) and yield test
were conducted by CMPDI during 2016-17.
Hydro-geological studies in 6 projects of WCL, SECL, NCL and MCL have been carried out
for water supply arrangement to mines, colonies and villages. In total 45 nos. of
Groundwater Applications have been prepared and submitted online for WCL.
CMPDI is also carrying out groundwater monitoring of MOEF cleared projects viz. 74 nos.
of mines of WCL area and 15 nos. Cluster of mines in BCCL area. Water level monitoring in
other areas of ECL, CCL, SECL, NCL and MCL were also carried out.
19.4 Geophysical survey
Geophysical Logging: Boreholes drilled for exploratory drilling were
geophysically logged to get the in-situ information of different strata encountered in the
boreholes. During the year 2016-17, a total of 2,01,628 depth metre of geophysical logging
has been carried out in CIL and Non-CIL projects with multi-parametric geophysical logging
equipment. Out of this, 1,02,703 depth metre of logging was done by 6 departmental
geophysical logging units and 98,925 depth metre of logging was carried out by contractual
Surface Geophysical Surveys: CMPDI has also undertaken Electrical Resistivity
& Magnetic Survey in CIL and Non-CIL blocks for delineation of in-crop of coal seams,
delineation of dykes and ground water investigation. A total of 289.65 km of Resistivity
profiling, 214 Vertical
Electrical Sounding (VES) and 108 km of Magnetic survey have been carried out in
2016-17. With 48-Channel signal enhancement Seismographs, a total of 105 km of High
Resolution Shallow Seismic (HRSS) survey has been carried out in Makri Barka block of
Singrauli Coalfield and Kewai & Beharab and blocks of Sohagpur Coalfield.
Reports: A total of 31 Geophysical reports have been submitted during the year
2016-17. It includes nine reports on geophysical logging, thirteen on resistivity survey,
six on magnetic survey and three on HRSS survey.
20 OUTSIDE-CIL CONSULTANCY SERVICES
During the year 2016-17, 35 outside-CIL consultancy jobs were completed by CMPDI for 26
organisations outside CIL. Some of the major clients/organizations are NMDC, MOIL Ltd.,
MAHAGENCO, Tata Steel, DVC, SAIL, UCIL, West Bengal Power Development Corporation Limited
(WBPDCL), Chhattisgarh State Power Generation Company Limited (CSPGCL), etc.
Presently, 25 outside-CIL consultancy jobs are being executed by CMPDI for 19
organisations like OCPL, NMDC, NALCO, NTPC Ltd., MAHAGENCO, SAIL, Orissa Mining
Corporation (OMC), PFC Consulting Limited (PFCCL), Gujarat State Electricity Corporation
During the year 2016-17, 43 outside-CIL consultancy jobs worth Rs 141.38 crores from 29
organizations were procured by CMPDI. This is the highest ever value of jobs obtained in a
year by CMPDI.
One overseas assignment of "Preparation of Feasibility Study for Benga Coal
Project of M/s ICVL in Tete Province of Mozambique" has also been obtained from NMDC.
21 RESEARCH & DEVELOPMENT PROJECTS
21.1 R&D Projects under S&T Grant of Ministry of Coal
The Research & Development (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 NLCIL, Director General of DGMS, Directors of concerned CSIR Laboratories,
representatives of Department of S&T, NITI Aayog and educational institutions, amongst
others. The main functions of SSRC are to plan, program, and budget and oversee the
implementations of research projects and seek application of the findings of the R&D
The SSRC is assisted by a Technical sub-committee headed by CMD, CMPDI. The committee
deals with research proposals related to production, productivity and safety in coal
mines, coal beneficiation and utilization, clean coal technologies, protection of
environment and ecology etc.
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,
scrutiny and processing the proposals for Government approval, preparation of budget
estimates, disbursement of fund, monitoring the progress of implementation of the
|Total no. of S&T projects taken up (till 31.3.2017)
|Total no. of S&T projects completed (till 31.3.2017)
21.2 Ph ysical Performance
The status of Coal S&T projects during 2016-17 is as under:
||Projects on-going as on 1.4.2016
||Projects approved/in-principle approved (sanction letter awaited)
||Projects completed during 2016-17
||Projects on-going as on 01.4.2017
Following S&T projects were approved (Sl.No.1) /in-principle approved (Sl.No. 2
& 3)in 52nd meeting of SSRC held on 15.3.2017. Sanction letter awaited:
1. "Indigenous development of early warning radar system for predicting
failures/slope instabilities in open cast mines" - SAMEER, Mumbai; ARDE, Pune; CSRE;
IIT, Mumbai; CMPDI, Ranchi and NCL, Singrauli.
2. "Design of water network to optimize water consumption in coal washeries for
removal of impurities from coal" - IIT, Roorkee; CMPDI, Ranchi & CCL, Ranchi;
3. "Electronification of ground water control and conveyor systems in mines"
- NLC India Ltd., Neyveli and NITT, Tamil Nadu.
Following Coal S&T projects were completed during 2016-17:
1. Development of tele robotics and remote operation technology for underground coal
mines - CIMFR, Durgapur; CIMFR, Dhanbad and CMPDI, Ranchi.
2. Development of indigenous catalyst through pilot scale studies of Coal-to-Liquid
(CTL), conversion technology - CIMFR, Dhanbad and CMPDI, Ranchi.
3. Enhancing life of de-watering pipes in coal/lignite mines by prevention of
erosion-corrosion with nano-crystalline surface Engineering Treatments
4. Blast design and fragmentation control-key to productivity - CIMFR, Dhanbad
5. Design and development of truck mounted mobile coal sampler for instant coal ash
& moisture analyser at site from railway Mechanics - CIMFR, Dhanbad; SCCL, Kothgudem
and M/s Pranay Enterprises Pvt. Ltd., Hyderabad
6. Optimization of various parameters of lab scale Coal Winnowing System (Phase-II) -
CIMFR, Unit-I, Nagpur and CMPDI, Ranchi
21.3 Financial Status
Budget provisions vis--vis actual fund disbursement during the period are given
(Rs in Crores)
21.4 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 projects, etc.
So far, 79 projects have been taken up under the fund of CIL R&D Board, out of
which 61 projects have been completed till March 2017.
The status of CIL R&D Board Projects during 2016-17 is as follows:
|i) Projects on-going as on 1.4.2016
|ii) Projects approved during 2016-17
|iii) Projects completed during 2016-17
|iv) Projects on-going as on 01.4.2017
Following new R&D projects were approved during 2016-17:
1. Development of guideline for prevention & mitigation of explosion hazard by risk
assessment and determination of explosibility of Indian coal incorporating risk based mine
emergency evacuation and re-entry protocol - IIT-ISM, Dhanbad; CIMFR, Dhanbad; S&R
Division, CIL(HQ), Kolkata and SIMTARS, Australia.
2. Multiple layer trial blasting for better recovery with less diluted coal - IIT-ISM,
Dhanbad and CMPDI, Ranchi. Technical Participation - University of Queensland, Brisbane,
3. Studies on the Use of Coal and Petcoke as Fuel in the Cement Industry in India -
IIT-ISM, Dhanbad and CMPDI, Ranchi.
4. Indigenous Development of Through-The-Earth (TTE) Two-Way Voice Communication System
for Underground Mines - IIT, Bombay and CMPDI, Ranchi.
5. Requirement of air in mine for Mass Production Technology - CMPDI, Ranchi.
6. Development of a methodology for regional air quality monitoring in coalfield area
using satellite data and ground observations - CMPDI, Ranchi and National Remote Sensing
Centre (NRSC), ISRO, Hyderabad.
Following R&D projects were completed during 2016-17:
1. Demonstration of Coal Dry Beneficiation System using Radiometric Technique
CMPDI, Ranchi and Ardee Hi-Tech Pvt. Ltd., Vishakhapatnam.
2. To find a methodology of safe liquidation in thick seams of Raniganj Coalfields:
Design & Development & showcasing demonstrative trials at Khottadih colliery, ECL
- CIMFR, Dhanbad& ECL, Sanctoria.
3. Development of guidelines to predict distance between toe of the Shovel-Dumper dump
and that of Dragline dump with consideration of safety and economical design of both
Shovel-Dumper dump and Dragline dump - BIT, Mesra, Ranchi.
22. INFORMATION AND COMMUNICATION TECHNOLOGY IN CIL
CIL and its subsidiaries have utilized communication Information technology and
implemented many systems to achieve faster strategic decision making and optimal
utilization of available resources for enhancing production and productivity. Systems have
been introduced to minimize pilferage of coal and also to increase transparency for the
satisfaction of its stakeholders. In this regard, following key initiatives have been
1. E-office application for CIL and its Subsidiaries has been introduced from 1st
July'17. The project intends to enhance the business process management of the
organization and aims to improve production, productivity, and increase transparency by
replacing the old manual process with an electronic file system.
2. The subsidiaries have CoalNet and other Information systems in place for obligatory
accounting, finance, payroll, material management system and other business functions.
3. Coal India is also in the process of implementation of ERP. The detailed project
report for the same is ready and steps are in progress for implementation.
4. GPS based Operator Independent Truck Dispatch System (OITDS) with high speed Data
and Voice communication is implemented in the targeted eleven Open cast projects to
optimize operation of HEMM to enhance the production and productivity of the mine.
5. GPS/GPRS based Vehicle Tracking System across all major mines of Coal India has been
implemented at different subsidiaries along with Geo-fencing, boom barriers and RF-ID
system to monitor coal transportation and to minimize pilferages.
6. Electronic Surveillance through CCTV at weighbridges, workshops, coal dumps and
other strategic locations has been implemented and process has been initiated to cover all
7. In order to improve coal dispatch, electronic weighbridges are connected with
Central Servers of respective subsidiaries and initiatives have been taken for
implementing online generation of Challans/invoices.
8. E-Auction of coal,E-procurement and Reverse auction systems for all goods, works and
services have been implemented to speed up procurement process and to achieve transparency
in the system.
9. E-payment to employees and vendors, E-filing of grievances are in operation to
embark upon the business process through IT initiatives.
10. Corporate Mail Messaging System is in place for corporate email IDs to all the
officers of Coal India and its Subsidiaries.
11. In order to meet the demanding business process, state-of-art IP based EPABX with
support of convergent technology for voice and data, Radio communication System and UG and
communication system at different locations of Coal India and its subsidiary companies are
12. The Web Portal of Coal India is in place in English and Hindi encompassing the
features like Tender publication, Vigilance corner, Investor center, Customer corner, etc.
to facilitate all stake holders.
13. Multi-Protocol Layered Switching (MPLS) based Video Conferencing between CIL,
Subsidiaries, CIL HQ, CIL Office, Delhi and MoC for enhancement of decision making process
for better production and productivity has been successfully implemented. CIL and
subsidiaries have also implemented Video Conferencing connectivity with External agencies
across the globe.
14. CIL has implemented in-house online portals for Performance evaluation, quality
analysis, Vigilance clearance, Land Information System, filing of Annual Property Return
through web enabled system. Mobile Apps have been developed for public dissemination of
15. Stateof-art Tier-III Data Center has been established in New building of the
corporate office of Coal India Limited for facilitating future IT applications.
23. MINES SAFETY
23.1 Statutor y Frame-work for safety in coal mines:
Coal mining world over is highly regulated industry due to presence of many inherent,
operational and occupational hazards and associated risks. Coal Mine Safety Legislation in
India is one of the most comprehensive and pervasive statutory framework for ensuring
occupational health and safety (OHS). Compliance of these safety statutes is mandatory.
In India, the operations in coalmines are regulated by the Mines Act, 1952, Mine Rules
1955, Coal Mine Regulation-1957 and several other statutes framed thereunder.
Directorate-General of Mines Safety (DGMS) under the Union Ministry of Labour &
Employment (MOL&E) is entrusted to administer these statutes. The following are the
statutes that are applicable in coal mines for occupational health and safety (OHS).
||The Mines Act -1952
||The Mines Rules -1955
||The Coal Mine Regulation -1957
||The Mines Rescue Rules -1985
||The Electricity Act- 2003
||Central Electricity Authority (measures related to safety & supply) Regulations -
||The Mines Vocational Training Rules -1966
||The Mines Crche Rules -1966
||Indian Explosive Act, 1884
||The Explosive Rules - 2008
||Indian Boiler Act, 1923
||Mines Maternity Benefit Act & Rules -1963
||The Workmen Compensation Act - 2009
||The Factories Act - 1948 Chapter -III & IV
23.2 Safety Policy of CIL: Safety is always given prime importance in the
operations of CIL as embodied in the mission statement of CIL. CIL has formulated a
well-defined Safety Policy for ensuring safety in the mines and implementation of the same
is closely monitored at several levels.
1) Operations and system will be planned and designed to eliminate or materially reduce
2) Implement Statutory Rules and Regulations and strenuous efforts made for achieving
superior standards of safety;
3) To bring about improvement in working conditions by suitable changes in technology;
4) Provide material and monetary resources needed for the smooth and efficient
execution of Safety Plans;
5) Deploy safety personnel wholly for accident prevention work;
6) Organize appropriate forums with employees' representatives for joint consultations
on safety matters and secure their motivation and commitment in Safety Management;
7) Prepare annual Safety Plan and long term Safety Plan at the beginning of every
calendar year, unit-wise and for the company, to ensure improved safety in operations as
per prevailing geo-mining conditions to prepare the units for onset of monsoon, to fulfill
implementation of decisions taken by the Committee on Safety in Mines and Safety
Conferences and to take measures for overcoming accident proneness as may be reflected
through study of accident analysis, keeping priority in sensitive areas of roof-falls,
haulage, explosives, machinery etc.
8) Set up a frame work for execution of the Safety Policy and Plans through the General
Managers of Areas, Agents, Managers and other safety personnel of the units;
9) Multi-level monitoring of the implementation of the Safety Plans through Internal
Safety Organization at the Company Headquarters and Area Safety Officers at area level;
10) All senior executives at all levels of management will continue to inculcate a
safety consciousness and develop involvement in practicing safety towards accident
prevention in their functioning;
11) Institute continuous education, training and retraining of all employees with the
emphasis laid on development of safety oriented skills;
12) Continue efforts to better the living conditions and help all the employees both in
and outside the mines.
To implement CIL Safety Policy, the following are provided:
1. Provision of adequate funds for safety.
2. Deployment of adequate numbers of trained manpower for ensuring safety in mining
3. A well-structured and multi-disciplinary Internal Safety Organization (ISO)
established in all the subsidiaries of CIL to monitor the implementation of CIL's Safety
4. Continuous and sustained improvement in technological inputs for mining operation.
5. Support of scientific planning and R&D activities made available through using
in-house expertise of CMPDIL and in collaboration with the other scientific agencies and
reputed educational institutes.
6. Ensuring workers' participation in every forum for monitoring safety status in
23.3 Accident Statistics
Analysis of Accident Statistics in CIL - Accidents statistics is the relative
indicator for safety status in mines. Over the years, the safety performance of CIL in
terms of accident has improved significantly.
This improvement in mine safety in CIL is attributed to the following contributing
Collective commitment and synergetic collaboration of the Management, Employees,
the regulator (DGMS) and Trade Unions.
Use of state-of-the-art technology in the field of Mining Methods, Mining
Machineries and Safety Monitoring Mechanism.
Continuous improvement in knowledge, skill and responsiveness of workforce
through imparting quality safety training and relentless safety awareness drives.
Constant vigil, round-the-clock supervision and assistances from various
Salient features of continuous and sustained improvement in CIL's safety performance is
disclosed in Annexure 18
23.4 Major Activities for Safety & Rescue Division of CIL:
1. Inspection of mines to review safety status & follow up action thereof.
2. Prima-facie fact finding enquiry into fatal accidents and major incidences such as
mine fire, subsidence, inrush of water, slope failure, explosion etc.
3. Organizing meeting of CIL Safety Board and monitoring recommendations / suggestions
made during meeting.
4. Framing of internal technical circulars / guidelines related to safety issues and
monitoring implementation thereof.
5. Maintenance of accidents / major incidents statistics Database.
6. Publication of Safety Bulletin for disseminating and sharing of knowledge in order
to promote safety awareness and inculcate better safety culture.
7. Framing reply of different coal mine safety related parliamentary questions
including queries raised by different standing committees such as standing committee on
Steel & Coal, standing committee on labour, as well as questions raised by COPU, MOC,
CA&G and VIPs.
8. Monitoring safety related R&D activities in CIL.
9. Imparting specialized training by SIMTARS accredited trainers to unit level and Area
level executives who are directly engaged in ensuring safety in mine.
23.5 Measures taken for improvement of safety in 2016-17
To improve safety standard, CIL and its subsidiaries have vigorously pursued several
measures in the year 2016 along with on-going safety related initiatives apart from
compliance of statutory requirements for safety, which are given below.
1. Internal Safety Organization (ISO): Continuous review of safety status of mines is
being done by the multi-disciplinary Internal Safety Organization (ISO).
2. Training for preparation of Risk Assessment based SMP: Executives who have been
trained by SIMTARS, Australia are engaged for imparting training and upgrading the
knowledge of mine level executives as well as members of safety committee of mine to
identify the hazards and evaluate the associated risks in the mines and prepare Risk
assessment based Safety Management Plans (SMPs).
3. Preparation and Implementation of Risk Assessment based Safety Management Plan
(SMP): The Risk assessment based Safety Management Plans (SMPs) have been prepared for all
mines of CIL and control measures suggested thereof in SMPs are being implemented. It is a
continuous ongoing process.
4. Standard Operating Procedure (SOP): Risk assessment based site specific Standard
Operating Procedures (SOP) are formulated and being implemented for various mining and
5. Safety Audit of all producing / operative mines have been conducted by
multi-disciplinary inter-company teams.
6. Assessment of OB dumps have been conducted by using expertise of CMPDIL and
multi-disciplinary ISO teams in most of opencast mines.
7. Guidelines on corrective measures: After analysis of fatal accidents which occurred
at different point of time in 2016, several directives / guidelines on corrective measures
to be taken for prevention of recurrence of similar type of accidents in future have been
issued by the Safety & Rescue Division of CIL.
8. Adoption of the state-of-the art technology in suitable geo-mining locales.
o Adoption of Mass Production Technology in more number of UG mines.
o Deployment of more number of Surface Miners to eliminate blasting operation in OCPs.
o Deployment of relatively higher capacity HEMM in more number of OCPs.
o Mechanization of UG drilling.
o Phasing out manual loading in UG mines.
9. Adoption of the state-of-the art mechanism for Strata Management
o Scientifically determined Rock Mass Rating (RMR) based Support System.
o Strata Control Cell for monitoring efficacy of strata support system.
o Roof bolting by using mechanized Drilling for Roof Bolting.
o Use of Resin capsules in place of Cement capsules.
o Use of modern Strata Monitoring Instruments.
o Imparting quality training to support crews & front-line mine officials.
10. Mechanism for monitoring of mine environment:
o Detection of mine gases by using Methanometer, CO-detector, Multi-gas detector etc.
o Continuous monitoring of mine environment by installing Environmental Tele Monitoring
System (ETMS) & Local Methane Detectors (LMD) etc.
o Regular Mine Air Sampling and Analysis by Gas Chromatograph.
o Personal Dust Sampler (PDS).
o Use of Continuous Ambient Air Quality Monitoring System (CAAQMS) in large OCPs to
assess the ambient dust concentration and take suitable mitigation measures.
11. Underground Mine Ventilation:
o Supply of sufficient quantity air by installing suitable Main Mechanical Ventilator
(Surface), Auxiliary Fans, Booster fans (UG), ventilation stoppings, air Crossings etc.
o Conducting Pressure-Quantity Survey on regular basis. o Using Modern gadgets for air
measurement. 12. Water Danger Management:
o Conducting Check Survey to eliminate errors in mine survey.
o Preparation and maintenance of seam-wise Water Danger Plan.
o Preparation and implementation of Monsoon Preparation Plan.
o Adequate Pumping Facilities & adequate capacity of sumps.
o Liaison with the State Meteorological Dept. & Dam Authority, if any.
o Construction of embankments with proper design against water bodies.
o Advance borehole for locating water body in underground.
o Inter-mine joint survey between adjoining mines to prove inter-mine barriers to
prevent transference of danger.
13. Steps for prevention accidents in OCPs:
o Formulation and implementation of Mine-specific Traffic Rules.
o Code of Practices for HEMM operators, Maintenance staff & others.
o Training of Contractor's Workers involved in contractual jobs.
o Training on Simulators to dumper operators.
o Lighting arrangement using high mast towers for increasing level of illumination.
o Eco-friendly Surface Miners for blast free mining and avoidance of associated risks.
o Dumpers fitted with Proximity Warning Devices, Rear view mirrors and camera,
Audio-Visual Alarm (AVA), Automatic Fire Detection & Suppression system etc.
o Ergonomically designed seats & AC Cabins for operators' comfort.
o Wet Drilling & water Sprinklers for dust suppression.
o Use of Shock Tubes & Electronic Detonators for control of ground vibration &
o GPS based Operator Independent Truck Dispatch System (OITDS) in large OCPs for
tracking movement of HEMMs inside OC mine.
14. Mine Safety Inspection:
o Round-the-clock Supervision of all mining operations by adequate number of competent
& statutory Supervisors and mine Officials.
o Periodic mine Inspections by Head Quarter and
Area level senior officials.
o Surprise back shift mine Inspections by mine and area level officials.
o Regular Inspection by Workmen Inspectors appointed in each mine.
o Regular mine Inspection by officials of Internal Safety Organization.
15. Safety Training:
o Risk Management and preparation of "Safety Management Plan".
o Initial and Refresher training & On-the-Job Training as per statute.
o Training on Simulators to dumper operators.
o Skill up-gradation of frontline mining officials.
o Sensitization of all employees including members of Safety Committees and contractual
16. Emergency Response System:
o Emergency Action Plans prepared for each mine.
o Mock Rehearsals for examining the efficacy of Emergency Action Plan.
o Demarcating Emergency Escape Routes in belowground.
o Check list prepared for dealing with an emergency in mine.
o Flow Chart prepared for sending information regarding crisis / disaster in mines from
site of accident to the Ministry of Coal, New Delhi.
24. Mine Rescue Services in CIL:
CIL is maintaining well established and structured organizations comprising of 6
Mine Rescue Stations, 14 Rescue Rooms-with-Refresher Training facilities (RRRT) and 17
Rescue Rooms to cater the need of mine rescue services as per statute.
All Mine Rescue Stations / Rescue Rooms are fully equipped with adequate numbers
of rescue apparatus as per the Mine Rescue Rules (MRR) - 1985.
All mine rescue organizations are manned by adequate numbers of Rescue Trained
Personnel (RTP)s as per the MRR-1985.
All RTPs are being periodically retrained to conduct rescue operations in hot,
humid and irrespirable atmospheres in modern training galleries as well as challenging
conditions in underground mines.
Permanent Brigade Members and RTPs who are on call 24x7 for rescue &
The Mine Rescue Station and Rescue Rooms are established at strategic locations
spreading across different subsidiaries to cater to the emergencies in their command Area.
The details are given in Annexure 18.
25. Safety Monitoring Agencies in CIL:
The implementation and monitoring of safety norms stipulated as per statute are being
done on constant basis both by the line management as well as ISO officials. Apart from
the above, there are several other agencies for monitoring safety, these are as under:
|At Mine Level
|| Workman inspectors: as per Mines Rule-1955
|| Safety Committee: constituted as per Mines Rule-1955
|At Area Level
|| Bipartite/Tripartite Safety Committee Meeting
|| Safety Officers' Coordination Meeting
|| Bipartite/Tripartite safety Committee Meeting
|| Area Safety Officers' Coordination Meeting
|| Inspections by ISO Officials
|At CIL (HQ) / Corporate
|| CIL Safety Board.
|| CMD's meet.
|| Director(Tech)'s Co-ordination Meeting.
|| National Dust Prevention Committee Meeting.
|At Ministerial / National Level
|| Standing Committee on Safety in Coal Mines.
|| National Conference on Safety in mines.
|| Various Parliamentary Standing committees.
26. HUMAN RESOURCE DEVELOPMENT
Coal India Limited has made optimum utilization of the resources and technology both
existing and new and also used advanced methods and technology for the enhancement of
efficiency and productivity in the company. HRD has been developing new techniques and
creating opportunities for employee's self-development which in turn proved to be
favouring the company as a whole.
26.1 Overall Performance
In CIL and its subsidiaries, 140490 employees have been trained during 2016-17. Out of
which 18757 were executives and 121733 non-executives. These trainings include in- house
training (training at subsidiary training centers, VTCs and also at IICM), training in
other reputed institutes outside the company and training abroad.
26.2 Trainings i) In-house Training
The In-house trainings were organized at subsidiary HQs, 27 Training Centers and also
102 VT Centers across Coal India and also at IICM. Respective HRD Divisions organized
these trainings after assessing the training need in the respective category of employees
within the subsidiary. Special attention was given for improving skill of the employees
keeping in mind the need of Industry. Details of in-house Training imparted during 2016-17
are listed below:-
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:-
iii) Training Abroad
Coal India has sent 121 employees to different countries from all the subsidiary
companies and CIL (HQ) during the year 2016-17.
||W/Shop/ Seminar/ Conference
CIL has been recruiting fresh and dynamic young bloods in different disciplines
for the last few years consistently. A special attention has been given in grooming 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 at IICM with the 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.
As MTs of Excavation and E&M disciplines are posted in different Coal Mines,
in order to provide them proper exposure to Mining Operations as well as Mining Equipment
(both surface and underground) and to make them conversant with the Mining activities, 5
weeks intensive training for 168 AMs/MTs was organized at Indian School of Mines, Dhanbad,
the premier Mining Institute of our country during the year 2016-17.
Training program on General Management for Middle level Executives of Coal India
Limited for two weeks is done by making a tie up with Administrative College of India
(ASCI), Hyderabad to develop Executives to take up higher responsibilities and occupy
senior positions.189 Participants have attended the course for the financial year 2016-17.
Training program on Executive Development for E4/ E5 executives of Coal India
Limited is done by making a tie up with Indian Institute of Management, Lucknow. 126
Participants have attended the course for the financial year 2016-17.
One Batch consisting of 15 members comprising Mining, E&M are trained in AGH
A Tripartite MoU has been entered into among National Skill Development
Fund(NSDF), National Skill Development Corporation(NSDC) and CIL on 3rd May,2015 to
provide training and undertake Recognition of Prior Learning to around 2.7 Lakh persons
over a period of 2 years as per National Skills Qualification Framework in CIL's
operational areas and neighboring regions.
For the Year 2016-17, Under RPL(Recognition of Prior Learning) 38,833 employees
are trained .
During FY 2016-17, 38 Medical Specialists and Medical officers joined the Company. CIL
also inducted fresh talent into the organization, at the entry level 438 Management
Trainees who are selected through campuses have joined. They have been imparted induction
training and posted to different subsidiaries based on manpower requirement.
Further, CIL has also promoted 175 non-executives level employees into Executive cadre
through departmental selection/promotion process.
27.1 The total manpower of the Company including its subsidiaries as on 31.03.2017 is
310016 against 3,22,404 as on 31.03.2016. Subsidiary company wise position of manpower is
disclosed in Annexure 19.
27.2 The Presidential directives for Scheduled Caste/Scheduled Tribes/OBC have been
implemented in all the subsidiaries/ units of Coal India Limited.
The representation of SC/ST employees in total manpower of CIL and its Subsidiary
Companies as on 01.01.2015, 01.01.2016 and 01.04.2017 is given below:-
|As on Manpower
28. INDUSTRIAL RELATIONS AND EMPLOYEES' PARTICIPATION IN MANAGEMENT
The Industrial Relations scenario in CIL & its subsidiaries during the financial
year remained cordial. JCCs and different Bipartite Committees at Unit/Area levels and
Subsidiary (HQ) levels continued to function normally. Meetings of Standardisation
Committee were held at regular intervals at CIL.
Strikes and Bandhs:
During 2016-17, a one day Nation-wide General Strike was called by Four Central Trade
Unions on 2nd September, 2016 due to which company lost 83368 Man-days and 443834 tonnes
of production. There were total 5 instances of Bandh called by regional parties in the
area of operation of subsidiary companies viz. MCL, CCL & CMPDIL, where normal working
Subsidiary wise details of strikes, man-days lost and production lost and other
incidents for the year 2015-16 and 2016-17 are furnished in Annexure 19.
29. EMPLOYEES' WELFARE AND SOCIAL SECURITY
At the time of Nationalisation, there were only 1,18,366 houses including sub-standard
houses. The availability of these houses has increased to 3,97,379. The percentage of
housing satisfaction has now reached 100%.
2) WATER SUPPLY:
As against 2.27 Lakhs population having access to potable water at the time of
Nationalisation in 1973, presently a populace of 19,61,547 has been covered under water
3) MEDICAL FACILITIES:
Coal India Ltd and its subsidiaries are extending medical facilities to its employees
and their families through various medical establishments from the Dispensary level to the
Central and Apex Hospitals in different parts of the coalfields.
There are 80 Hospitals with 4938 Beds, 376 Dispensaries, 541 Ambulance and 1150 Doctors
including Specialists in CIL and its subsidiaries to provide medical services to the
employees. Besides 05 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 provided to the peoples residing in and around mines
premises of the subsidiary companies of CIL.
4) EDUCATIONAL FACILITIES:
The subsidiary companies of CIL have been providing financial assistance by way of
deficit grant and infrastructure facilities to certain renowned schools viz. 43 nos.- DAV
Public Schools , 14 Nos.- KendriyaVidyalaya, 01 No.- Delhi Public School, 02 Nos.
Saraswati Vidya Mandir, 01No. Ram Krishna Vivekanand Vidyapith, 01No. Vivekanand Kendriya
Vidyalaya to impart quality education.
In addition to above, grant - in aid is provided to Privately Managed school in
ECL, BCCL & CCL to encourage education in the operational areas of subsidiaries.
Coal India Scholarship Scheme
In order to encourage the Sons and Daughters of the employees of Coal India Limited,
two types of Scholarship, viz. Merit and General Scholarship, are being provided every
year under prescribed terms and conditions.
In total 7170 scholarships were awarded and tuition fees & hostel charges were
reimbursed to 1142 students. The details of Scholarship and Reimbursement of tuition fees
and Hostel charges for studying in Government Engg. & Medical Colleges, IITs &
NITs as well as the details of Grant sanctioned for Schools including privately managed
school are disclosed in Annexure 20.
5) Statutory Welfare Measures:-
In accordance with the provisions 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
6) 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. 16 Central Co-operatives and 99 Primary Co-operative Stores are functioning in
the Coalfield areas of CIL. In addition, 158 Co-operative Credit Societies are also
functioning in the Coal Companies.
7) Banking Facilities:-
The Management of Coal Companies are providing infrastructure facilities to the 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 427 Bank
Branches and 48 Extension Counters and they are also encouraged to practice thrift for the
benefit of their families.
Structured sports policy of CIL and its subsidiaries was approved by CIL Board its
296th Meeting held on 25th March,2013. As per the Sports Policy Coal India Sports
Promotion Association (CISPA) has been registered under West Bengal Societies Registration
Act, 1961. CISPA has undertaken several sports activities at National Level and
9) Welfare, Development and Empowerment of Women
In Coal India Limited there is a Forum for Women in Public Sector Cell at Company
Headquarter- Kolkata and subsidiary companies. 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 & development activities, seminars,
cultural programme, industrial awareness visits, health awareness programme, etc for the
WIPS members, women workers, their families and society at large.
Coal India Ltd and its subsidiary companies are extending full fledged support and
patronage to the National Conference of Forum of WIPS held every year in February. In
recent years, the WIPS cell have 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, recognizing and honouring
the exceptional talent.
10)Special Cash Award:-
During 2016-17, an amount of Rs 1,46,000/-has been provided as Special Cash Award to 26
meritorious Sons and Daughters of employees of CIL(Hqrs.), Kolkata Desk Offices of
subsidiary companies @`7,000/- for 08 (Eight) students who have secured 90% or above marks
in the Class-XII Board level examination and @`5,000/- for 18(Eighteen) students who have
secured 90% or above marks in the Class-X Board level examination.
11) Recreational facilities:-
At present there are eight Holiday homes in following places. (a) Puri (b) Digha (c)
Goa (d) Manali (e) Katra (f) Ajmer (g) Darjeeling (h) Haridwar
Eff orts are on to include more holiday home in important tourist spots in the country.
12) CIL Welfare Board Meeting:-
Coal India Welfare Board is the decision making forum regarding welfare policies for
betterment and improvement of living condition of employees.
The members of CIL welfare board comprising of Central Trade Union representative and
representation of Managements meet regularly to discuss on the welfare measures and review
the implantation of different welfare scheme.
30. TREE PLANTATION / AFFORESTATION
Plantation and Green belt are developed through extensive tree plantation programme
every year by the subsidiaries of Coal India Ltd. Avenue plantation, plantation on the OB
dumps, plantation around mines, residential colonies, and available land is undertaken in
the existing as well as the new projects.
The subsidiaries of CIL have planted around 94.015 million of trees covering an area
over 37557.458 Ha. till March 2017.
31. PROGRESSIVE USE OF HINDI.
Keeping with the spirit of the constitution of India, Coal
India Limited continued its efforts to propagate and spread the progressive use of
Official Language Hindi during the period under review. The management of Coal India
Limited is committed to implement the provisions of the Official Languages Act, Rules and
Regulations. For this purpose, periodical meetings and reviews are done regularly by the
A brief description of the works done during the year under review towards
implementation of Rajbhasha is appended below:-
Workshops were organized regularly with a view to create working atmosphere of
Rajbhasha and to remove hesitation of officers & employees to work in Hindi. During
the year, large number of officers &employees participated in such workshops to
refresh their knowledge of Hindi words, Hindi noting & drafting in regular Official
In order to promote Hindi as Official Language a "Grand Hasya Kavi Sammelan"
was organized on 30.04.2016 in the auditorium of Coal India Ltd., Kolkata where a large
number of audiences were present.
With the aim to promote Official language and to foster interest in Official Language
among officers and employees, Publication of Hindi Magazine namely "Koyala Darpan"
has been started from Coal India headquarters. During the year 2016-17, its second &
third issue has been published. The purpose of publishing the magazine is to provide a
platform to the creative potential of employees and to inform all about the activities of
the other With a view to create conducive atmosphere for working in Hindi and
accelerating the use of Hindi as Official Language among officials, Hindi Fortnight'
was observed in all offices of Coal India Ltd. in the month of September, 2016. During the
Hindi Fortnight various Hindi Competitions such as Hindi noting and drafting, Hindi Self
writing, Hindi Dictation, Hindi Translation, Hindi typing and Lectures competition were
organized where a large numbers of employees participated enthusiastically. The winners
were honoured with Cash Awards & Certificates. This creates a consciousness among
employees to use Rajbhasha in official Work. It is notable that Regional Sales Office, CIL
situated at different cities were granted sufficient fund as per their sizes to celebrate
Hindi Diwas & Hindi week/fortnight as per the practice.
Supportive literature and dictionaries were provided to the departments on their
demand. Today's Word' and Today's Thought' are displayed on all the signage at
the New Office Complex, Rajarhat.
Coal India always lays emphasis on imparting training of Hindi Language under Hindi
teaching scheme of Govt. of India by nominating the employees in Hindi Praveen &
Pragya classes. For the session starting from January, 2017, sixteen (16) employees have
been nominated for attaining working knowledge of Hindi. Further, to promote Hindi, number
of employees were also nominated in Hindi Workshop/Training camps organized by certain
Different organizations of Govt. of India recognize the best performers by awarding
prizes. During the year, Coal India Ltd. was conferred with following Awards:-
A) 1st Prize of TOLIC(PSUs), Kolkata: Under the Rajbhasha Award Scheme of the
Govt. of India, Honourable Governor of West Bengal Shri Kesharinath Tripathi awarded TOLIC
(PSUs) Kolkata Sheild - 1st Prize to Coal India Ltd. in the Corporate Offices category for
the best implementation of Official Language Policy of the Union on 11.8.2016.
B) Award to CIL's Hindi magazine KoyalaDarpan':On 3rdJune, 2016 Coal India
headquarter's Hindi magazine Koyala Darpan' was awarded first prize in the category
for the best Hindi magazine by Rajbhasha Seva Sanshthan, New Delhi.
Inspection of offices is a part of the implementation. During the year Officials of
Rajbhasha department, CIL (HQ) reviewed the status of implementation of the Official
Language of RSO Delhi & Lucknow and suggested remedial measures.
To observe the status of the use of Hindi in official work and to ensure that the
provisions of Official Languages Act and Rules made there under are properly complied
with, the 3rd subcommittee of Parliament on official Language inspected Delhi office,
Regional Sales Office Jaipur & Ahmedabad as well as Coal India Headquarter, Kolkata.
32. VIGILANCE SET UP
The anti-corruption activities in CIL and its Subsidiary Companies have been
institutionalized by setting up of Vigilance Departments 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 government services.
During the year 2016-17, 49 Intensive Examination of Works/ Contracts (Major works)
were undertaken by CIL(HQ) and its subsidiary companies. In addition,379 Surprise checks
were carried out. Besides, 68 Departmental Inquiries were disposed of which resulted in
punitive action against 185 officials. Such examinations/investigations have resulted into
initiation of various system improvement measures.
As per the directives of Central Vigilance Commission, Vigilance Awareness Week
2016 has been observed in Coal India Limited, IICM- Ranchi, North Eastern
Coalfields-Margherita & Regional Sales Offices across the country besides all the
Subsidiary Companies w.e.f. 31.10.2016 TO 05.11.2016 emphasizing the theme of "Public
participation in Promoting Integrity and Eradicating Corruption".
During the week, in order to generate awareness, educate and discuss transparency among
officials/stake holders as well as general public to arrest the root cause & threat of
corruption and to promote good governance, various activities were organized.
1. Inauguration -
The Vigilance Awareness Week was commenced with the administration of Pledge to the
employees by Chairman, CIL while inaugurating the week on 31st October 2016.
2. Wide Publicity -
1000 pamphlets distributed to CIL HQ Employees, Visitors, Contractual
Workers/ Drivers and Vendors with Vigilance Message and they were requested to take
e-pledge. Throughout the week 20 e-posters displayed in all the digital signage in CIL HQ.
The posters / banners / pamphlet / canter / 2D gate specially designed for
VAW-2016 and events organised during the week has been uploaded in Company's official
Facebook page. Also the same has been posted in CVO, CIL and CIL official twitter account.
40 banners of 6 ftx 4 ft has been displayed in prominent places across
One large size 16 ft x 10 ft banner has been displayed in busy VIP Road with
message and request the citizens to take e-pledge.
100 Posters with Anti-corruption and Vigilance Awareness message
displayed across Kolkata in public places.
Through News Papers in 3000 Households, Shops and Offices in Salt-lake
and Ultadanga Area. 6000 Nos distributed through Canter Moving prominent places
with signature campaign from 02.11.2016 to 05.11.2016 and Flash mob performing skit on
Anti-Corruption message on 04.11.2016.
3. Employees Competitions
i. Slogan Competition for Employees of CIL HQ on TOPIC- "PUBLIC
PARTICIPATION IN PROMOTING INTEGRITY AND ERADICATING CORRUPTION".
ii. Essay Competition for Employees of CIL HQ on TOPIC- "CHALLENGES THE
COUNTRY FACES IN 21st CENTURY IN COMBATING CORRUPTION".
iii. Quiz Competition for Employees of CIL HQ on issues in Vigilance, CVC and
other Anti-corruption Laws, Policies, manuals and guidelines of CIL.
iv. System Improvement/New Initiatives Competition for Employees of CIL HQ.
4. Competitions for Wards and Spouses of Employees
i. Elocution Competition for wards of Employees of CIL HQ studying in Class IX
to X on topic "Corruption can be tackled only through improving ethical values in
ii. Essay Competition for Spouses of Employees of CIL HQ on TOPIC- "ROLE OF
FAMILY IN ENHANCING ETHICAL STANDARDS IN SOCIETY"
5. Training Program for Junior Level Managers of CIL - A one day orientation
program for newly recruited Junior Level Managers of CIL was organized in two batches
focusing on Vigilance Administration in PSUs, Conduct, Discipline & Appeal Rules of
CIL and Common Irregularities.
6. Workshops / Sensitization programmes-500 Vigilance Case Studies Vol-2
unveiled during the Vigilance Awareness Week Valedictory Function for distribution across
CIL & Subsidiaries.
7. Organisation website
Organisation website has been used to propagate the messages of CVC and encouraging
citizens to take e-pledge.
8. Stake Holders Meet
1. Stake Holders Meet organised with Vendors and Customers on 03.11.2016 at CIL HQ to
redress their issue.
2. Stake Holder's Online feeback survey conducted through CIL Website.
9. Workshops / Sensitization programmes
1 . Speech of Sadguru of Isha Foundation Coimbatore on topic " Inner
Management " organized at CIL HQ.
2 Seminar. on CVC theme " Public participation in Promoting Integrity
and Eradicating Corruption", Concluding Ceremony and Prize distribution to
winners of event organized during the week on 10.11.2016.
Preventive Vigilance/ System Improvement
1. Personnel Division has been advised to create a central repository of service files
2. It is suggested to get the EIS database & applications tested, audited &
certified by reputed certification agency for security & complete database management.
3. CIL may explore the possibility to tie-up with reputed hospitals/Medical Institutes
to provide HAT training & qualification & the duration of the training should at
least six months duration.
4. Online transfer of EMD amount directly to the dedicated account of
Area/Subsidiary/CIL HQ through E-tender portal and automatic refund of EMD to unsuccessful
bidders. Alternatively, transfer of EMD amount through RTGS/NEFT to dedicated account of
Area/Subsidiary/CIL HQ and necessary information may be filled such as transaction-id,
transaction date and EMD amount in the corresponding field of EMD.
? System improvement suggestions:
System improvement suggestions were made in many areas: a. DPC for promotion b.
Procurement of explosives c. Testing of explosives
d. Use of 3D TLS for survey of OB & Coal with phasing out of Theodolite.
e. Purchase Manual
f. Use of UAV & space technology for prevention of Coal pilferage & illegal
mining and monitoring of environment, plantation, vegetation & water bodies.
? System Improvement Studies - Studies were taken in the following areas
||Subject of Study
||Measurement of OB and Coal in outsourced patches
||Recording of performance of tyres through maintenance Logbook as per international
||CSR Policy of CIL and monitoring of projects.
||Inventory of Land Records
||Losses due to excessive production of coal in mines having dispatch constraints.
||RDA initiated on CBI Reports
||E-surveillance through VTS, CCTV, Weigh-Bridge connectivity, RFID & other IT
||Promotion & Transfer Policy of CIL.
||Investment of Surplus Fund.
||Procurement of SDL & LDH machineries and their spare parts.
||Policy issues in procurement , e-procurement & reverse auction.
||Standardization of NITs.
||Recruitment process in CIL & subsidiaries.
||Standardization of Codes in procurement items.
||Fixation of normative coal consumption for various non- code sectors as per new coal
gradation policy based on GCV system.
33. PARTICULARS OF EMPLOYEES
Employee received remuneration either equal to or in excess of limits prescribed under
Rule 5(2) of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014
during 2016-17 is given in Annexure 21. Details of Rule 5(1) of Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014 on disclosure in the
Board Report with reference to remuneration of Managerial Personnel of Top 10 employees is
annexed to the Report. (Annexure 21).
34. BOARD OF DIRECTORS
Shri S. Bhattacharya continued as Chairman cum Managing Director throughout the year.
Shri C.K. Dey Director (Finance) and Shri S.N.Prasad, Director(Marketing) were on the
Board throughout the year. Shri S. Saran, CMD, CMPDIL has assumed the additional charge of
Director(Technical), CIL from 31.10.2016 due to untimely demise of N. Kumar, former
Director(Technical), CIL on 18.10.2016. Government of India has terminated the services of
Shri R.Mohan Das w.e.f. 31.03.2017 and Shri S N Prasad has assumed the additional charge
of Director (Personnel) from that date & held the charge till 19.06.17 thereafter Sri
R.R.Mishra, CMD, WCL took over the charge from him.
Dr A K Dubey, Special Secretary, MoC and Smt. Sujata Prasad, Joint Secretary &
Financial Advisor, MoC continued as part-time official Director on the Board till
05.08.2016 and 20.06.2016 respectively. Shri R P Gupta, Joint Secretary, MoC was on board
from 05.08.2016 till 29.08.2016. Shri R.K.Sinha, Joint Secretary, MoC and Shri Vivek
Bharadwaj, Joint Secretary, MoC were appointed w.e.f 05.08.2016 and 30.08.2016
respectively and continued throughout the year. Mrs Reena Sinha Puri, JS &FA, MOC was
appointed as official part time Director vice Sri Vivek Bharadwaj from 9th Jun,17.
Ms. Loretta Mary Vas, Dr S.B. Agnihotri, Dr D.C. Panigrahi, Dr. Khanindra Pathak and
Shri Vinod Jain were appointed as Independent Directors on the Board on 17/11/15 and
continued throughout the year.
Shr i R.R. Mishra, CMD, WCL and Shri S. Saran, CMD, continued throughout the year as
permanent invitees. Shri A.K.Gupta Addl. Member (Traffic transportation), Railway Board
has been appointed as permanent invitee from 05.08.2016 and continued throughout the year.
Your Directors wish to place on record their deep sense of appreciation for the
valuable guidance and services rendered by the directors during their tenure, who ceased
to be Directors during the year.
In terms of Article 39(j) of the Articles of Association of the Company, one third of
retiring 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 14 meetings during the year 2016-17.
35. Composition of Audit Committee
CIL in pursuance of excellence in corporate governance formed an Audit Committee of its
Board of Directors w.e.f. 20-07-2001 and the present Audit Committee was re-constituted by
the Board in its 323rd Meeting held on 6th Jan'2016, consisted of four Independent
Directors, one Functional Director(additional charge), one Government Nominee Director and
one permanent invitee. Details are disclosed in Corporate Governance Report under point
36. Composition of CSR Committee
Details are disclosed in Corporate Governance Report under point number 3.6.
37. Declaration given by independent directors under subsection (6) of Section 149.
The following independent directors have given their consent during 2016-17 that they
meet the criteria of independence as stipulated in sub-section (6) of Section 149 of the
Companies Act 2013.
i. Ms. Loretta M Vas
ii. Dr. S.B.Agnihotri
iii. Dr. D.C.Panigarhi
iv. Dr. Khanindra Pathak
v. Shri. Vinod Jain
38. Reappointment of Independent Directors- Section 149(10)
No Director was reappointed in terms of section 149(10) of the Companies Act 2013.
39. Recommendation of Audit Committee by the Board.
All the recommendations made by Audit Committee were accepted by the Board.
40. Companys policy on directors appointment and remuneration including
criteria for determining qualifications, positive attributes, independence of a director
and other matters provided under sub-section (3) of section 178.
MCA vide Notification dated 5th June'2015 has exempted the above for Government
41. Remuneration policy of directors, KMPs and Senior Management Section 178(4).
MCA vide Notification dated 5th June'2015 has exempted the above for directors of
42. A statement indicating the manner in which formal annual evaluation has been made
by the Board of its own performance and that of its committees and individual directors.
MCA vide Notification dated 5th June'2015 has exempted the above for Government
43. Contracts or Arrangements with Related Parties
Related party transactions made with the subsidiary companies and that all such
transactions were exempted under Regulation 23(5)(a) and (b) of Securities and Exchange
Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 being
transactions between two government companies and transactions entered between a holding
and its wholly owned subsidiaries whose accounts are consolidated with holding company and
placed before the shareholders at the general meeting for approval. However, the
remuneration paid to Key Managerial Personnel is being disclosed separately in point no VI
of Annexure 22.
44. Loan, guarantees or investments by a company under section 186 of the Act
Loan, guarantees and investments made by Coal India Limited in terms of section 186 is
enclosed as Annexure 23.
45. Familiarization programme of Board Members.
Board of Directors are fully briefed on all business related matters, associated risk,
new initiatives etc. of the company. The Board of directors were also briefed about the
provisions of Companies Act 2013, (Prohibition of Insider Trading) Regulations, 2015 and
SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015. As per Regulation
25 of SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015, the listed
entity shall familiarize the independent directors through various programmes about the
listed entity, including the following:
(a) Nature of the industry in which the listed entity operates;
(b) Business model of the listed entity;
(c) Roles, rights, responsibilities of independent directors; and
(d) Any other relevant information.
As per regulation 46 of SEBI (Listing Obligations Disclosure Requirement) Regulations,
2015 the details of the familiarization programmes is to be disclosed on the website of
the company. The same is disclosed on company's website. In addition, Independent
Directors were nominated to attend the trainings programmes organized by SCOPE and DPE.
46. Sexual Harassment of Women at the Workplace
The company has in Place an Anti-Sexual Harassment Policy in line with the requirements
of The Sexual Harassment of Women at the Workplace (Prevention, Prohibition &
Redressal) Act, 2013. Internal Complaints Committee (ICC) are working at every subsidiary
and office of Coal India Limited to redress complaints regarding sexual harassment. All
women employees (permanent, contractual, temporary, trainees) are covered under the said
No sexual harassment complaint was received during the year 2016-17.
47. DIRECTORS' RESPONSIBILITY STATEMENT
In terms of Section 134(3)(c) of the Companies Act, 2013, read with the Significant
Accounting Policies at Note-33 and Additional Notes on Accounts at Note-34 forming part
1. CIL (Standalone) Accounts
2. CIL (Consolidated) Accounts
It is based on such confirmation obtained from eight Indian subsidiaries of CIL viz:
Eastern Coalfields Limited, Bharat Coking Coal Limited, Central Coalfields Limited,
Northern Coalfields Limited, Western Coalfields Limited, Mahanadi Coalfields Limited
(consolidated), South Eastern Coalfields Limited (consolidated) and Central Mine Planning
& Design Institute Limited. However, for the overseas subsidiary viz. Coal India
Africana Limitada, which was incorporated under Mozambique Commercial Code and for Joint
Ventures viz. International Coal Ventures Private Limited, NTPC Urja Private Limited,
Hindustan Urvarak & Rasayan Limited and Talcher Fertilizers Limited where CIL is not
the majority shareholder, such confirmation have not been obtained.
It is confirmed that:
a) In the preparation of the Annual Accounts, the applicable Accounting Standards have
been followed and that no material departures have been made from the same;
b) The Accounting Policies have been selected and applied consistently and judgements
and estimates made that are reasonable and prudent so as to give a true and fair view of
the state of affairs of the company at the end of the financial year and profit & loss
of the company for that period; and
c) Proper and sufficient care have been taken for maintenance of adequate accounting
records in accordance with the provisions of this Act for safeguarding the assets of the
Company and for preventing and detecting fraud and other irregularities;
d) The Annual Accounts have been prepared on a going concern basis;
e) Internal Financial Controls have been laid down and that such controls are adequate
and were operating effectively during the year ended 31st March'2017.
f) Proper systems have been devised to ensure compliance with the provisions of all
applicable laws and such systems were adequate and operating effectively.
48. ACCOUNTS OF THE SUBSIDIARIES
The statement containing the salient features of the financial statements of a
company's subsidiaries, associate companies and joint ventures under the first proviso to
sub-section(3) of section 129 of Companies Act,2013 is enclosed as AOC 1 in Annexure 24.
In terms of General Circular No.2/2011 dated 8th Feb 2011 from Ministry of Corporate
Affairs, the Annual Accounts of subsidiary companies shall be made available to the
shareholders seeking such information.
49. COST AUDIT
The Cost Audit of your company for the year 2015-16 was conducted by M/s Musib & Co
and the Cost Audit Report was approved by the Board of Directors in their 331st meeting
held on 3rd August 2016. The Cost Audit Report did not contain any adverse
observation/comment or qualification from the Cost Auditor. The above report was filed in
XBRL mode with MCA on 29th Aug'16.
M/s. Balwinder & Associates was appointed as Cost auditor for CIL Standalone
for the year 2016-17. E-form CRA-2 has been filed with MCA portal vide SRN G10080166 dated
50. SECRETARIAL AUDIT
In pursuance to Section 204 of Companies Act 2013, company had conducted Secretarial
Audit for the year 2016-17 by a practicing Company Secretary M/s Vinod Kothari & Co,
Practising Company Secretaries. Their appointment was approved by the Board. The report of
Secretarial Auditor is included in the Corporate Governance Report. The observations of
Secretarial Auditor and Management Explanation are enclosed in Annexure 25.
51. RISK MANAGEMENT POLICY
A Risk Management Charter has been approved by the CIL
Board. It is being implemented in CIL HQ and its Subsidiaries. Risk Mitigation Measures
are under preparation.
The following policies may be accessed on the Company's website as under:-
1. Corporate Social Responsibility Policy: https://www.coalindia.in/DesktopModules/DocumentList/
2 . Vigil Mechanism: https://www.coalindia.in/home/vigilance.aspx
3. P olicy for determining Material Subsidiary: https://www.coalindia.in/DesktopModules/DocumentList/
4. Related Party Transaction Policy: https://www.coalindia.in/DesktopModules/DocumentList/
5. P olicy on determination of Materiality SEBI(LODR) Regulations,2015 https://www.coalindia.in/DesktopModules/DocumentList/
6. P olicy on Preservation of documents Archival Policy under SEBI(LODR) Regulations
53. Company CONFIRMS THE FOLLOWING:-
1. None of the Directors are disqualified from appointment as per Section 164 of the
2. Company has not issued any Equity shares with differential voting rights, Sweat
Equity shares and ESOP.
3. Since shares of CIL were issued in IPO in October'2010 and unclaimed dividend amount
is less than seven years, no amount has been transferred to IEPF.
4. No Secretarial, Statutory Auditor resigned during the year 2016-17.
5. No relative of director was appointed to place of profit.
6. As per Regulation 32(4) of SEBI (Listing Obligations and Disclosure Requirement)
Regulations, 2015 deviation of Proceeds of Public issue is not applicable to the company.
7. There is no deposit covered under Chapter V of Companies Act 2013.
8. There is no deposit which is not under compliance of Chapter V of Companies Act
9. There is no change in the nature of business.
10. No Director is in receipt of any commission from the subsidiary companies in which
he is a director.
54. ADDITIONAL INFORMATION
1. Details in respect of frauds reported by Auditors under section 143(12) other
than those which are reportable to the Central Government. :
No such reported frauds as per Audit Report of Standalone as well as Consolidated
2 . Material changes and commitments, if any, affecting the financial position of
the company which have occurred between the end of the FY and the date of the report :
No such material changes and commitments occurred between the end of the Financial Year
and the date of the report which may affect the Standalone as well as under consolidated
financial position of the company.
3 . The names of companies which have become or ceased to be its subsidiaries, joint
ventures or associate companies during the year.
During the financial year 2016-17, a Joint Venture, Hindustan Urvarak & Rasayan
Limited was incorporated.. The details of the subsidiaries, Joint Ventures or associates
have been furnished under form AOC-1.During the financial year no subsidiaries, Joint
Ventures or associates have ceased to be subsidiaries, Joint Ventures or associates.
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
Ministry of Coal in particular, besides the State Governments. Your Directors also
acknowledge with thanks the assistance and guidance rendered by Statutory Auditors, the
Comptroller and Auditor General of India and Registrar of Companies, West Bengal,
Secretarial Auditor and Cost Auditor and wishes to place on record their sincere thanks to
Consumers for their continued patronage.
The following are annexed.
i) Pre-tax Profit of CIL & subsidiaries for 2016-17 vis--vis 2015-16 (Annexure
ii) Subsidiary wise details of Dividend income of CIL Standalone (Annexure 2).
iii) The comments of the Comptroller and Auditor General of India on Standalone
Financial Statements of Coal India Limited (Annexure 3).
iv) Auditors Report on the Standalone Financial Statements for the year ended 31st
March, 2017 including Report on the Internal Financial Controls under Clause (i) of
Subsection 3 of Section 143 of the Companies Act, 2013 ("the Act")[Annexure
v) The comments of the Comptroller and Auditor General of India on Consolidated
Financial Statements of Coal India Limited (Annexure 4).
vi) Auditors Report on the Consolidated Financial Statements for the year ended 31st
March, 2017 including Report on the Internal Financial Controls under Clause (i) of
Subsection 3 of Section 143 of the Companies Act, 2013 ("the Act")[Annexure
vii) Observations of Auditor on Standalone Financial Statements and Management
Explanation. (Annexure 5).
viii) Observations of Auditors on Consolidated Financial Statements and Management
Explanation [Annexure 5(A)].
ix) Subsidiary wise Coal Off-take. (Annexure 6).
x) Sector-wise dispatch of coal & coal products. (Annexure 7).
xi) Dispatches of coal and coal products by various modes. (Annexure 8).
xii) Wagon Loading in 2016-17. (Annexure 9).
xiii) Subsidiary wise details of Stock of Coal. (Annexure 10)
xiv) Subsidiary wise details of Trade Receivables. (Annexure 11)
xv) Subsidiary-wise payment of Royalty, Cess, Sales Tax, Stowing Excise Duty, Central
Excise Duty, Clean Energy Cess, Entry Tax and Others. (Annexure 12).
xvi) Subsidiary-wise Coking & Non-coking production, Production from underground
and opencast mines. (Annexure 13).
xvii) Subsidiary-wise Washed Coal (Coking) Production. (Annexure 13A).
xviii) Subsidiary wise Overburden Removal. (Annexure 13B)
xix) Population of equipment. (Annexure 14).
xx) Subsidiary wise System Capacity Utilization. (Annexure 15).
xxi) Project Implementation. (Annexure 16).
xxii) Subsidiary wise details of Capital Expenditure. (Annexure 17).
xxiii) Salient features of continuous and sustained improvement in CIL's safety
performance. (Annexure 18).
xxiv) Subsidiary wise position of manpower and strikes and bandhs. (Annexure 19).
xxv) Scholarship and Reimbursement of tuition fees and Hostel Charge and Grants
sanctions to schools. (Annexure 20)
xxvi) Disclosures under Rule 5(1) and Rule 5(2) of Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014. (Annexure 21).
xxvii) The extract of the annual return as provided under subsection (3) of Section 92
in Form No. MGT.9 (Annexure 22).
xxviii) Loan and Advances, Guarantees, Investments made by the company under Section
186(4) of the Companies Act' 2013 (Annexure 23).
xxix) Statement pursuant to first proviso to sub-section (3) of section 129 read with
rule 5 of Companies (Accounts) Rules, 2014) as at 31st March, 2017. (Annexure 24)
xxx) Secretarial Audit Report under Section 204 of Companies Act 2013 and Observation
of Secretarial Auditor & Management Explanation (Annexure 25).
xxxi) Foreign Exchange Earning and Outgo under Rule 8 of Companies (Accounts) Rules
xxxii) Details about Research and Development of the Company (Annexure 27).
xxxiii) Disclosure as per Section 135 of Companies Act 2013 on Corporate Social
Responsibility (Annexure 28).
xxxiv) Significant and Material Orders passed by the Regulators or Courts.(Annexure
xxxv) Corporate Governance Report.(Annexure 30).
For and on behalf of the Board of Directors
Kolkata, 12th August, 2017