1. Notice 2. Management 3. Bankers & Auditors 7. 8. … · Notice 2. Management 3. Bankers & Auditors 4. ... UCO Bank ICICI BANK AUDITORS ... Chartered Accountants, Burdwan

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Contents Page No.

1. Notice

2. Management

3. Bankers & Auditors

4. Directors’ Report and Corporate Governance Report.

5. Comments of the Comptroller and Auditor General of India

6. Statutory Auditor’s Report and replies of Management.

7. Balance Sheet

8. Profit & Loss Account

9. Schedule to Balance Sheet

10. Schedule to Profit and Loss Account

11. Accounting Policy

12. Notes on Accounts

13. Particulars of Employee

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BHARAT COKING COAL LIMITED

(A subsidiary of coal India Ltd.) KOYLA BHAWAN, KOYLA NAGAR, DHANBAD

Board Secretariat

Ref.No.BCCL:CS: F-AGM/2013/ 389 Dated : 20.05.2013

NOTICE

Notice is hereby given to all the Shareholders of Bharat Coking Coal Limited that the 42nd Annual General Meeting of Bharat Coking Coal Limited will be held on 27.05.2013(monday) at 11.00 AM at the Registered Office, Koyla Bhawan, P.O. Koyla Nagar, Dhanbad to transact the following businesses:

ORDINARY BUSINESS 1) To receive, consider and adopt the audited Balance Sheet as at 31st March, 2013 and the

Profit & Loss Account for the year ended on that date along with Auditor’s Report and Directors’ Report thereon.

2) To appoint a Director in place of Shri N. Kumar, who retires in terms of Article 34(i) (e) (iii)

of the Articles of Association of the Company, and is eligible for re- appointment. 3) To appoint a Director in place of Shri Hemant Jain, who retires in terms of Article 34(i) (e)

(iii) of the Articles of Association of the Company, and is eligible for re-appointment.

By Order of the Board

(K.N. Mukhopadhyay) G.M.(Company Secretary)

REGISTERED OFFICE: Koyla Bhawan, P.O.: Koyla Nagar, Dist.: Dhanbad Dated:20.05.2013 Note:

1. Member entitled to attend and vote at the meeting is entitled to appoint a PROXY to

attend and vote instead of himself and the PROXY need not be a member. A proxy form is enclosed.

2. The shareholders are requested to give their consent for calling the Annual General

Meeting at a shorter notice pursuant to the provisions of Section 171(2)(i) of the Companies Act, 1956.

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MANAGEMENT DURING THE YEAR 2012-13

CHAIRMAN-CUM-MANAGING DIRECTOR

Shri T.K.Lahiry : From 01.11.2008; continuing

FULL TIME DIRECTORS Shri P.E. Kachhap : Personnel ( from 11.07.2007; continuing) Shri D.C.Jha : Technical (from 27.10.2009; continuing) Shri Amitava Saha : Finance (from 02.08.2011; continuing) Shri Ashok Sarkar : Technical (from 25.08.2011; continuing) PART TIME DIRECTORS Shri N.Kumar : Director (Tech.), CIL, Kolkata

(from 29.02.2012; continuing) Shri P.Soma Shekar Reddy : Director, Ministry of Coal, New Delhi

(from 13.01.2012 to 11.04.2013) Shri Paul Joshep : Non-official Part-time Director

(from 25.06.2011; continuing) Shri B.Ramesh Kumar : Non-official Part-time Director

(from 25.06.2011 ; continuing) Dr. B.B.Biswal : Non-official Part-time Director

(from 25.06.2011; continuing) Shri S.B. Ghosh Dastidar : Non-official Part-time Director

(from 31.01.2012;continuing)

Shri P.R. Mandal : Non-official Part-time Director (from 12.02.2013; continuing)

PERMANENT INVITEES

Shri G.K.Mohanty : Chief Operation Manager

S.E. Railway, Kolkata (From 31.01.1012; continuing)

Shri A.K.Sarkar : Secretary Mines & Geology Department

Govt. of Jharkhand, Ranchi (from 30.09.2011 to 20.04.2013)

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BANKERS & AUDITORS

BANKERS

State Bank of India

United bank of India Bank of India

Punjab National Bank UCO Bank

ICICI BANK

AUDITORS

Statutory Auditors

M/s. Anand Rungta & Co.

Chartered Accountants, Patna

BRANCH AUDITORS

M/s. Bhartiya & Associates

Chartered Accountants, Dhanbad

M/s. Ahsan Anil Negi & Co. Chartered Accountants, Dhanbad

M/s. Naha,Dhar,Kapur & Co. Chartered Accountants, Burdwan

M/s. B. Mukharjee & Co.

Chartered Accountant, Kolkata

M/s. Kay & Kay & Associates Chartered Accountants, Kolkata

M/s. Kadmawala & Co.

Chartered Accountants, Ranchi

M/s. Dutta P Kumar & Associates Chartered Accountants, Giridih

M/s. R.K.Patnia & Co.

Chartered Accountants, Dhanbad

M/s Sanjay Rajoria & Associates Chartered Accountants, Ranchi

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MANAGEMENT AS ON 27th May, 2013

CHAIRMAN-CUM-MANAGING DIRECTOR

Shri T.K.Lahiry

WHOLE TIME DIRECTORS

Shri P.E. Kachhap : Director(Personnel)

Shri D.C.Jha : Director (Technical)

Shri Amitava Saha : Director (Finance) Shri Ashok Sarkar : Director (Technical) PART TIME DIRECTORS Shri N.Kumar : Director(Tech), CIL ,Kolkata

Shri Hemant Jain : Director, Ministry of Coal, New Delhi

Shri Paul Joshep : Non-official Part time Director

Shri B.Ramesh Kumar : Non-official Part-time Director

Dr. B.B.Biswal : Non-official Part-time Director

Shri S.B. Ghosh Dastidar : Non-official Part-time Director

Shri P.R. Mandal : Non-official Part-time Director

PERMANENT INVITEES Shri G.K.Mohanty : Chief Operation Manager S.E. Railway, Kolkata . Shri S.K. Barnwal : Secretary, Mines & Geology Deptt. Govt. of Jharkhand, Ranchi COMPANY SECRETARY Shri K.N. Mukhopadhyay

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DIRECTORS’ REPORT To The Shareholders Bharat Coking Coal Limited Dhanbad

Sirs, I have a great pleasure in presenting to you, on behalf of the Board of Directors, the 42nd Annual Report of Bharat Coking Coal Limited along with Audited Accounts for the year ended 31st March, 2013. The Company has earned a profit of Rs.1498.80 crore against a profit of Rs. 822.36 crore for the previous year. The Audited Statement of Accounts, Auditors’ Report thereof and the comments of Comptroller & Auditor General of India are annexed to this Report. 1.0 OVERVIEW OF PERFORMANCE DURING 2012-13

1.1 Coal Production

The raw Coal production during 2012-13 is 31.211MT compared to that of 30.203 MT over last year. In 2012-13, there is a growth in coal production of (+) 3.34% over the previous year. Coal production as per MOU target assuming liquidation as per programme without increasing stock is 31.00 MT.

1.2 OBR

Overburden removal including re-handling achieved during the year 2012-13 was 96.251 million cubic metre compared to the target of 85.00 million cubic metre. The achievement was 113.24% of the target. Compared to the achievement of 88.763 million cubic metre in 2011-12, the growth is (+) 8.44%.

1.3 Productivity : Output per manshift (OMS)

Overall output per manshift (OMS) was 2.50 tonnes against 2.20 tonnes in 2011-12. The growth is (+) 13.64%. As Per MOU: Man Productivity (Output/Manshift-Overall) (Commensurate to corresponding to production target) 2.37Te./Manshift

1.4 Wagon Loading

Wagon loading in 2012-13 averaged 3094 FWs/day compared to the actual of 2941 FWs/day in 2011-12. This represents a growth of (+) 5.20 % over the previous year.

1.5 Coal Offtake

Total coal offtake during 2012-13 stood at 33.041 million tonnes against 30.157 million tonnes in 2011-12 with a growth of (+) 9.56% As Per MOU: Coal Offtake commensurate with rake requirement is 31.80 Mte.

1.6 Supply of washed & direct feed coal

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Supply of washed & direct feed coal to the steel sector was 13.73 lakh tonnes in 2012-13 ( includes DF 0.026 MT) against 15.03 lakh tonnes in 2011-12. This represents a growth of (-) 8.65% over the previous year. This was due to low off-take of direct feed coal by steel plants. As Per MOU Washed Coal production- Coking inclusive DF & NC is 2.00Mte.

2. MANAGEMENT:

a) The affairs of the Company during the period from 01.04.2012 to 31.03.2013 have been managed by the following members of the Board.

1. Shri T.K. Lahiry Chairman-cum-Mg. Director

: From 01.11.2008 ; Continuing

2. Shri P. Soma Shekar Reddy Director

: From 13.01.2012 to 11.04.2013

3. Shri N. Kumar, Director : From 29.02.2012 ; Continuing 4. Shri P.E.Kachhap, Director

From11.07.2007 Continuing

5. Shri D.C. Jha, Director : From 27.10.2009 ; Continuing 6. Shri Amitava Saha : From 02.08.2011 ; Continuing 7. Shri Ashok Sarkar, Director : From 25.08.2011 ; Continuing 8. Shri Paul Joseph,

Independent Director : From 25.06.2011 ; Continuing

9. Shri B. Ramesh Kumar, Independent Director

; From 25.06.2011 ; Continuing

10. Dr. B.B. Biswal, Independent Director


11. Shri S.B. Ghosh Dastidar Independent Director


12. Shri P.R. Mandal Independent Director


13. Shri G.K. Mohanty Permanent Invitee


14. Shri A.K. Sarkar Permanent Invitee

: From 30.09.2011 to 20.04.2013

b) Eleven Board Meetings were held during the year 2012-13.

3. PRODUCTION PERFORMANCE 3.1 Production of Raw Coal 3.1.1 During the year 2012-13 the company achieved overall coal production of

31.211million tonnes compared to the achievement of 30.203 million tonnes in the previous year.

3.1.2 Comparative figures of achievement in respect of underground and opencast production

for 2012-13 and 2011-12 are shown below. :

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(Fig. In Million Tonnes)

Mines 2012-13 2011-12 Target Actual Target Actual

Underground Production 4.75 3.153* 4.500 3.483 Opencast production 26.25 28.058* 25.700 26.720

Total 31.00 31.211 30.200 30.203

*UG production got affected due to stoppage and restriction of production from some of the UG mines due to safety reasons and due to non-starter of proposed mega UG Mines for 2012-13.

As Per MOU: Under Ground Production of Coal = 4.75 Mte.

3.1.3 Break up of raw coal production into coking coal & non-coking coal during the year 2012-13 was as under:

(Fig. in Million Tonnes)

2012-2013 2011-2012

1. Coking Coal 26.970 27.249

2. Non Coking Coal 4.241 2.954

Total Raw Coal 31.211 30.203

3.2 OBR

Overburden removal (excluding re-handling) during the year 2012-13 stood at 84.259 million cubic meter against 81.361 million cubic meter in 2011-12.

3.3 Production of Hard Coke (in Lakh Tonnes)

2012-2013 2011-2012

Hard Coke Production 0.000 0.000

3.4 Washed Coal Production

(Fig. in Million Tonnes)

Mines 2012-2013 2011-2012 Target Actual Target Actual

Washed Coal ( C ) 1.790 1.329 1.825 1.421 Washed Coal ( NC/WPC ) 2.054 1.291 1.374 1.589

Total 3.844 2.620 3.199 3.010

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4. AVAILABILITY & UTILISATION OF HEMM W.R.T. CMPDIL NORMS:

The relevant details in this regard are shown below:

Equip- ment

Population as on

31.3.12

Population as on

31.3.13

Norms 2012-2013 2011-2012

Actual Actual

AV % UT % AV % UT % AV % UT %

Dragline 2 2 85 73 66.89 52.23 80.14 69.62

Shovel 160 157 80 58 78.73 74.61 82.15 72.39

Dumper 584 544 67 50 97.69 52.49 92.43 52.42

Dozer 132 142 70 45 81.26 52.32 80.29 55.61

Drill 122 119 78 40 74.99 51.38 80.79 52.12

AS per MOU overall system capacity utilization is 94%, actual 81.29%.

5. HOLDING COMPANY CIL

The Company continues to be a Subsidiary of Coal India Limited.

6. CONSTRAINTS

The major constraints which affected BCCL’s performance during the year in terms of loss of coal production

a) Loss of Coal Production ( Fig. in Lakh Te.)

Sl. No. Causes 2012-2013 2011-2012

(i) Power Failure 7.047 2.774

(ii) Absenteeism 0.560 0.493

(iii) Rain 0.606 0.449

(iv) Mechanical Break down 8.380 4.180

(v) I.R. 0.845 0.412

(vi) Lag/Stowing 0.000 0.069

(vii) NA/Land 0.535 0.161

(viii) Roof Trouble & Others 8.742 6.462

Total 26.715 15.000

b) Loss of Washed Coal Production ( Fig. in Lakh Te.)

Sl. No. Causes 2012-2013 2011-2012

(i) Power Failure 0.426 0.530

(ii) Elec. & Mech Breakdown 2.703 3.445

(iii) Raw Coal Shortage 1.216 1.303

(iv) CC Bunkerfall 0.129 0.024

(v) Rain & Drowning 0.000 0.000

(vi) Operational Trouble 2.073 2.737

(vii) Maint Hold Up 1.263 1.494

(viii) Media Short 0.000 0.104

Total 7.810 9.637

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7. STATUS OF POWER SUPPLY:

7.1 Power Availability:

The power requirement for the year 2012-13 was assessed as 184.4 MVA, the average power availability was 178.91 MVA. The demand and availability during the previous year were 184 MVA and 179.2 MVA respectively. Aggregate duration of power interruption in 2012-13 was 3443 Hrs. as compared to 2748 Hrs. in 2011-12.

7.2 Operation of Captive Sets to supplement power availability:

The details of energy generated during 2012-13 by various captive DG station compared to previous year is noted below:

Captive DG Set

Installed capacity

(MVA)

2012-13 2011-12

Energy generated (KWH)

Running Hrs.

Energy generated (KWH)

Running Hrs.

Jealgora 7.2 - - - -

Madhuband 3.2 - - - -

Moonidih 6.4 1350 3.00 12981 22.55

Amlabad 1.6 - - - -

Murulidih 1.6 32406 108.10 35332 124.47

Total 33756 111.10 49313 147.02

7.3 Further steps to supplement power availability:

(a) 2X10 MW Captive Power Plant based on fluidized bed combustion technology has been leased out and is operated by lessee since April 2011. Total energy injected in DVC grid is 100537248 KWH and consumed by Moonidih is 191000 KWH in 2012-13.

(b) As per agreement between CIL & M/s. DLF Power Limited 1 X 10 MW Captive Power Plant based on fluid bed combustion has been constructed under B-O-O scheme at Madhuband based washery reject as fuel. CPP has not been generating since 24.06.07.

(c) The power plant at Madhuband is besieged with problems right from the beginning on account of performance guarantee test, Capital cost, quality of washery rejects etc.

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(d) DLF power went for arbitration and the arbitral award is under challenge by BCCL in Civil Court at Dhanbad. Tariff order issued by JSERC is under challenge by BCCL in appellant tribunal of electricity at New Delhi.

(e) Appellant tribunal has dismissed the appeal and as such BCCL has filed special leave Petition with Honorable Supreme Court of India on 07.04.12. Hon. Supreme Court has ordered on 05.10.12 that Appellant Tribunal’s decision dated 06.02.12 shall remain stayed.

(f) DLF is not interested in restarting of Plant through DeNovo arrangement. An alternative proposal has been given to DLF for restart of the plant but DLF has not agreed to this proposal so far.

7.4 DVC is billing provisionally at present due to petition of tariff under challenge by DVC at Honorable Supreme Court.

8. PLANNING The Annual Action Plan for 2012-13 was drawn up for demand of 31.0 Million tonnes. Performance against the Annual Plan Target was as follows:

(i) Planned Production 31.000 MT

(ii) Actual Production 31.211 MT

9. FINANCE

9.1 Capital Structure

Authorised Share Capital Equity Share 2500 Cr.

5% non-convertible cumulative redeemable Preference Share 2600 Cr. 5100 Cr. Subscribed & Paid up Share Capital Equity Share 2118 Cr

5% non-convertible cumulative redeemable Preference Share. 2539 Cr 4657 Cr. 9.2 Unsecured Loan

The balance due to Coal India Limited as on 31st March, 2013 was NIL as compared to previous year’s balance of Rs.1083.30 Crore. 9.3 Financial Results

During the year under review, the Company has made a net profit before tax of Rs. 1709.06 Crore as compared to last year’s net profit of Rs. 822.36 Crore. Details are as under:

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(Rs.in Crore) Particulars 2012-13 2011-12

Profit(+)/Loss(-) before Depreciation & impairment, Interest, Tax & Amortisation (EBIDTA).

1938.01 1046.55

Less: Depreciation and Impairment. 209.98 201.35

Profit before Interest, Tax & Amortisation. 1728.03 845.20

Less : Interest. 18.97 22.84

Profit Before Tax (PBT) 1709.06 822.36

Less : Current provision for Tax 210.26 -

Profit After Tax (PAT) 1498.80 822.36

9.4 Payment to Exchequer

During the year, the Company paid 1799.65 Crore to the State and Central Governments towards Statutory dues against paid Rs. 1331.45 Crore in the previous year. The details are as follows:

(Rs. in Crore) Particulars 2012-13 2011-12 Royalty on Coal 770.49 567.92 Sales Tax / VAT 303.45 233.74 Stowing Excise Duty 32.31 29.60 Other Cess 3.79 4.11 Clean Energy Cess 171.51 147.10 Central Excise Duty 518.10 348.98 TOTAL 1799.65 1331.45

The Company paid an amount of : i) Rs. 65.00 Crore towards Royalty on Coal as advance in March,2013 against

despatches of March,2013 payable in April, 2013. ii) Rs. 19.64 Crore towards JVAT as advance in March, 2013 against despatches of

March, 2013 and 2013-14. iii) Rs. 26.37 Crore towards CST as advance in March, 2013 against despatches of

March, 2013 and 2013-14 iv) Rs. 73.99 Crore under protest against Excise Duty claimed on the portion of

Royalty on Coal and Stowing Excise duty on Coal, as advised by Coal India Limited.

10. Telecommunication:

(i) MPLS-VPN for on-line data transfer from 86 locations of BCCL have been commissioned. Work Order for expansion of MPLS-VPN to 12 more locations of BCCL and its Desk Office, Kolkata have been placed on BSNL and it is expected that connectivity to all 12 locations would be established shortly.

(ii) Purchase order for Vehicle Tracking System have been placed at the total amount of

Rs.4,43,29,110.80 (Rupees four crores forty three lakh twenty nine thousand one hundred ten & paise eighty) only. As per order, the trial run of the system at Kusunda Area is in progress.

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11. Computerization:

a) All computerized activities already established in BCCL till end of the previous year are continued.

b) BCCL has already hosted its web portal www.bccl.gov.in along with related web services including corporate mail on its own server located at BCCL HQ. Information available in the web-site is being regularly updated.

c) Existing servers located at BCCL HQ and all its Area offices and all existing rail/road weigh bridges were linked during the previous year through MPLS-VPN connectivity established in BCCL by its Telecom Department through BSNL. During the year 2012-13 a proposal for linking more locations, which include BCCL Desk Office at Kolkata, Central Hospital Dhanbad, all Central/Regional/Washery Stores and Sinidih Workshop Store, was approved and the installation of these links is in progress.

d) Since the existing servers are very old and on the verge of decommissioning, a proposal was prepared during the previous year for introduction of Centralized Data Centre concept using state-of-the-art technology. The proposal was approved during 2012-13 and work orders issued for supply, installation, commissioning and maintenance of new servers and associated peripherals. After commissioning of the new set-up most of the crucial computer applications shall become on-line with all the users across all Area offices getting connected to the Centralized Data Centre.

e) Testing and fine-tuning of e-Dispatch system for coal sale introduced during previous year has been done during the year 2012-13. The e-Dispatch system is being linked with Coal Sale Billing module and is under testing.

f) On-line Budget Control and Monitoring System was introduced during 2012-13.

g) On-line facility for preparation of Unit Cost Sheets, Corporate Cost Sheet and related reports has been designed and developed. Testing of the same is in progress. The facility is expected to be operational during the year 2013-14.

h) A proposal for GPS based Vehicle Tracking System for round-the-clock on-line monitoring of vehicles involved in internal coal transportation was approved and a trial-run of the same started at Kusunda Area.

i) Necessary modifications and improvement to the existing operational modules of the CoalNet Application Software have been done as per requirement for standardization of the procedures.

12. Geological Exploration and Drilling

12.1 Exploration Drilling

During the year 2012-13 exploratory/production support drilling of 33748.75mtr has been done.

SL NO NAME OF BLOCK

AGENCY METREAGE DRILLED

REMARK

1 KAPURIA MECL Through CMPDIL

6519.75 Work in progress

2 SINGRA MECL Through CMPDIL


3 WEST MOHUDA

MECL THROUGH


http://www.bccl.gov.in/

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CMPDIL 4 LOHAPATTI

COLLIERY MECL

Through CMPDIL


TOTAL 33748.75

12.2 Geological Assessment:

a) 43 no of patches of BCCL command Area were studied for hired HEMM (OC Patches ) including deviation proposals.

b) For Patherdih Washery NOC from Geological Survey of India was taken for Environmental clearance.

12.3 Departmental Drilling activity: Sl. No.

Name of Drill

Progress of work (in mtr)

Nature of work % Increase/ decrease

No of drill

Remarks

2011-12

2012-13

1 VOLLAM 160HTR

1061.93 399.00 Drilling/reaming/cleaning at Jeenajora,Jayarampur, ,Lodna,Tetulmari Dhansar.

(-)166.14 02 Frequent break down of old machines

2 DR.2000 4047.00 - Work over rig for CBM wells at Moonidih No CBM Well Drilled

01

3 Burn side drilling machine

140.51 309.67 Dewatering at Simlabahal, Lohapatti,Gopalichhuk U/G collieries.

120.39 02

27.7 Rat hole drilling at Moonidih CBM site.

13. RESEARCH AND DEVELOPMENT Following 12 projects/schemes (R&D) schemes of CIL, were under implementation during

2012-13 in BCCL Command Area.

Sl. No.

Name of the Project & Implementing Agency

Month & Year of Start

Month & Year of comple-tion

Total Appor. Cost

(Rs. in

lakh)

Status

1. Analysis of in-situ stress for CBM exploration in Jharia Coalfield.

March 2009

Feb.2013 Aug.2012 Feb.2012

168.597 CMPDI-126.00 ISM-

Almost all activities as envisaged in the project proposal has been completed by ISM, Dhanbad.

NAME OF WORK

2011-12 2012-13 % Increase/Decre

ase

Exploration Drilling

17197.05 33748.75 96.24

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Sl. No.




Total Appor. Cost

(Rs. in

lakh)

Status

Project Code: CIL/R&D/1/32/09 Implementing agency: CMPDI & ISM, Dhanbad

42.597 Procurement of Acoustic Televiewer Probe by Exploration Deptt., CMPDI has been completed. The data acquired by Acoustic Teleivewer probe has been sent to ISM, Dhanbad for validation of the results. The project has been completed and the report is under preparation.

2. Effective utilization of low rank and low volatile high rank Indian coking goals for Blast furnace (BF) coke making. Project Code: CIL/R&D/3/1/09 Implementing agency: CMPDI, Ranchi and RDCIS (SAIL), Ranchi

Sep. 2009

Feb.2013 Aug.2012 Feb.2012 Aug.2011

265.00 CMPDI 245.00 RDCIS 20.00

The pilot plant washability study of coal samples collected from North Urimari, Argada seam, South Karanpura coalfield has been completed by CIMFR, Dhanbad. Pilot plan washability tests had also been completed by CIMFR, Dhanbad with coal of Muraidih Colliery of BCCL. Three tones of clean coal samples were delivered by CIMFR to RDCIS, SAIL for carbonization and blending tests. The blending and carbonization tests completed at RDCIS, SAIL. Project completion report submitted by ISM, Dhanbad.

3. Studies on determination

of free silica (a-quartz) content in respirable air borne dust in coal mines and preparation of data bank of free silica and other minerals present in dust as well as in coal. Project Code: CIL/R&D/1/39/10 Implementing agency: CIMFR, Dhanbad and S&R Deptt., CIL, Kolkata.

Feb. Feb. 2010

Jan.2014 Jan.2013 Jul.2011

336.02 CIMFR 336.02 S&R (CIL) -Nil

Coal and OB samples have been collected from BCCL, WCL, SECL and ECL. These sample have been prepared in the laboratory of CIMFR and their analysis for free silica and other minerals present is completed. A database software ALPHA-QUARTZ have been developed and analysed data are being entered in to databank. Sample collection for the remaining mines of CIL is in progress.Procurement of other equipment likely to be completed shortly. The Apex Committee for R&D Board of CIL in its meeting held on 22.1.2013 approved the cost re-appropriation to CIMFR, Dhanbad under different heads within the total approved project cost. As per the decision in the above meeting, 100 Nos of PDSs will be procured by CIMFR, Dhanbad.

4. Demonstration of coal Dry Beneficiation System using Radiometric Technique. Project Code: CIL/R&D/2/05/10 Implementing agency: CMP Division, CMPDIL & Ardee HI-Tech Pvt. Ltd, Vishakhapatnam.

Sep. 2010

Oct.2013 Aug.2012

2565.70 CMPDI-1814.40 Ardee HI-Tech 751.30

Some equipment have been transported to Madhuband washery, BCCL.Some work related to design and installation of plant is to be done by turn key basis, for which tender offers were floated, offers received and were evaluated. The Tender Committe(TC) recommended for retendering as the tenders were found unresponsive. Accordingly re-tender was done and offers received. Evaluation of part-1 of the offer

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Sl. No.




Total Appor. Cost

(Rs. in

lakh)

Status

completed.Three parties qualified.Technical part opened . After detailed deliberations on all the aspects, TC observed that the offers of all the bidders were having some deviations from the tender specification documents. Hence bids have been considered as non-responsive and TC recommended to cancel all the tenders. After due approval, tender has again been floated and is open for sale from 18.3.2013 to 5.4.2013.

5. “Investigation on augmentation of life of dump truck tyres through the improvement of the tyre retreading compound and development of an optimum road maintenance management system-Phase-II” Project Code: CIL/R&D/1/45/10 Implementing agency: IIT, Kharagpur and BCCL Dhanbad.

March 2011

Apr.2013 31st August 2012

64.37 Eight retreaded dump truck tyres were sent to two OCPs of BCCL( 4 tyres to Dahibari OCP & 4 to NK OCP of AKWMC) for field trial. All eight retreaded tyres are presently under field trial at above mines of BCCL. The field performance of all the retreaded tyres are continuously monitored by IIT,Kharagpur.

6. Assessment of prospect of shale gas in Gondwana basin with special reference to CIL areas. Project Code: CIL/R&D/1/46/11 Implementing agency: CBM (Cell), CMPDI(HQ), Ranchi and Advance Resources international , Washington, DC, USA

April, 2011

Sep. 2013 400.00 For CMPDI 328.90 For ARI, USA 71.10

Collection of available geological input of shale horizon of Damodar valley basin of CIL command area has been completed.Operational shale gas sites/laboratories visit in USA has been completed by M/s ARI, USA. 3 officers from CBM Cell, CMPDI visted the operational shale gas sites/laboratories in USA. Total Organic Crbon(TOC) determination of the source rock samples collected for the project is in progress. The analytical data generated so far has been sent to M/s ARI, USA for "analysis of critical reservoir properties and reservoir simulation". Re-tendering is in progress for procurement of rock Eval instrument, as one single offer was received.

7. Green House Gas Recovery from Coal Mines and Coal Beds for Conversion to Energy (GHG2E) . Project Code:CIL/ R&D/1/49/2012 Impl. agencies: CBM Cell, CMPDI(HQ), Ranchi and European Union Research Commission, London

Feb, 2012

July.2015 80.00 CMPDI has completed the envisaged work and the same was deliberated by Director Tech.(RD&T) and GM,CBM in a review meeting held in July 2012 in London wherein in addition to other collaborative parteners, observer of European Union Research Commision (EURC) was also present in the meeting.

8. Development of self Sep. Jun.2013 197.75 Design and fabrication of two (2) nos

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Sl. No.




Total Appor. Cost

(Rs. in

lakh)

Status

advancing (mobile) goaf edge supports (SAGES) for depillaring operations in underground coal mines. Project code MT(E0I)/159. Implementing agency: ISM, Dhanbad & M/s. Jaya Bharat Equipment Pvt. Ltd.(JBEPL), Hyderabad

2010 Dec. 2012 For JBEPL- 135.65 For ISM- 62.10

of self advancing (mobile) goaf edge supports (SAGES) have already been developed using Finite Element Modeling (FEM) analysis by M/s JBEPL in association with ISM, Dhanbad. Field trial is under progress at Bastacola Colliery, BCCL. Design and fabrication ofremaining four SAGES are being done with some minor modifications as revealed from the field trials of two SAGES.

9. Shale gas potentiality evaluation of Damodar basin of India - CE(EoI)/30

Dec. 2012

Nov.2015 1686.84 For NGRI - 462.59 For CIMFR -169.95 For CMPDI - 1054.30

22 shale samples from Jharia and 4 samples from Bokaro coalfields were collected and send to CMPDI & NGRI, Hyderabad for perographic,TOC and Rock eval pyrolysis tests.

10. An approach to explore the applicability of spectrometry as a tool for assessment of coal quality Project code-CU/58 Implementing agency: CIMFR, Dhanbad

Jan. 2010

Jun.2013 Dec. 2012

147.61 Spectro - radiometer and Multiple Spectro Photometer (MSP-200) has been procured. Radiometric data (Emissivity and radiance) of different coal seams in Jharia coalfields were collected. Different samples of coal, shale, shaly coal & carbonatious coal alonwith grey shales, sandstone and igneous intrusion were collected, prepared and analysed. The emissivity graph of different samples shows absorption and emission of thermal radiation have different wavelength.Correlation of field and analytical data are under progress.Project Proponent has recently sought time extension of 12 months which is to be placed in the next sub-committee meeting for consideration.

11. Development of Methodology for estimation of Greenhouse Gas emissions in mine fire areas and their mitigation through terristerial sequestration Project code- EE(EOI)/39 Implementing agency:CIMFR, Dhanbad and BHU, Varanasi

Feb. 2009

Jun.2013 Jan. 2012

354.491 For CIMFR 341.77 For BHU 12.721

Installation of Aerosol Spectrometer & Aethalometer in the laboratory and colliery has been completed. Around 24000 data sets have been collected using both the instruments. Design of the system which collect Green House Gas being emitted from coal mine fire has been finalized.Chemical parameters of soil including anions, cations,organic carbon etc have been completed. Analysis of physical parameters of soil of dump and other wastelands in Jharia & Raniganj coalfields have also been completed.Soil carbon pool of

18

Sl. No.




Total Appor. Cost

(Rs. in

lakh)

Status

Raniganj coalfields has been studied in detail for various land uses, a pre-requisite for the feasibility study of CDM (Clean Development Mechanism). Gas Chromotograph has been procured. Most of equipment except CO2 analyzer has been installed.

12. Development of tribo-electrostatic separator for beneficiation of high ash Indian coking coals Project Code- CP/44 Implementing Agency : IIMT, Bhubaneswar

Aug. 2011

Jan.2014 47.67 Bench scale Tribo-electrostatic separator has been fabricated and installed.The instrumenttation of electrostatic seperator is completed for batch scale operation. Three samples of washery feed, washery slurry and rejects of total 2 tonnes from Dugda II washery has been collected. Detailed characteriration and washability studies of washery feed and washery fines has been completed.

14. MODERNISATION 14.1 The objective of the Company is to put more thrust on medium level technology with the use of Side Discharge Loaders (SDLs) and with infusion of Mass Production Technology on Risk/gain sharing basis or turnkey basis.

14.2 A total no. of 161 SDLs are on roll as on 31.03.2013 in comparison to 180 nos. of SDLs as

on 31.03.2012.

The major thrust is on optimization of operations to improve machine productivity. The figures given below shows decrease in production as well as marginal decrease in productivity of SDL’s during 2012-2013 over last year. The decrease can be attributed to machines which have out lived their productive life. Factors responsible for low production and productivity is enumerated below.

During monsoon of 2012-13 following mines were affected resulting in loss of production:-

Joyrampur Restored partially Burragarh Out of production for some time of the year but they have been restored. Hurriladih

Murilidih20/21 Pit Production restored now, Alkusa, Katras Choutidih, Govindpur II

seam closed

Particulars 2012-13

2011-12

Growth over Last year (%)

Production (MT) 2.96 3.183

--7.006

Productivity (Te/SDL/Day) 60.22 60.49

0-0.446

19

14.3 1 Load Haul Dumpers (LHDs) were running in 2012-13 at Bastacolla Colliery in

comparison to 2 LHDs in 2011-12 (at Bastacolla Colliery, which is under survey off..)

The production by LHDs of the concerned mines are as follows: In MTe

Mine 2012-13 2011-12 Bastacolla Colliery 0.0034 0.0223 Total 0.0034 0.0223

14.4 Introduction of mass production technology deploying Continuous Miner

with collaboration of manufacturers on risk-gain sharing basis:

Project Report for Introduction of Continuous Miner (0.45 MTY) for exploitation of I/II seam at Block-II Area, has been approved by BCCL Board in its 262nd Board Meeting held on 3.01.2009 and subsequently by CIL Board on 22.12.2009 in its 253rd Board Meeting. The estimated capital outlay of the PR is Rs. 113.37 crores.

The award of work has been approved in 278th BCCL Board Meeting held on 18.05.2011 in favour of M/s. Minop Innovative Technologies (P) Ltd. For extraction of coal from I/II seam by Continuous miner technology for a guaranteed production of 0.45 Mty

The agreement has been signed on 03.03.2012 for FSA. LOA issued in favour of M/S MINOP INNOVATIVE TECHNOLOGIES (P) LTD. On 24.03.2012.

Site handed over to M/s. MINOP. Draft agreement prepared and has been reviewed on 18.03.2013 by Committee Members. Next meeting on Draft Agreement to be held shortly, expected in May-2013 Likely to be signed by end of June 2013. Final DPR is to be submitted by the Contractor by end of July'13.

14.5 TURNKEY PROJECTS

Sl. No.

Name of the Mine/Project

Cap. (MTY)

Present Status

1

Muraidih (Barora Area) (MDO)

2.00 Project was sanctioned for a Estimated capital cost of ` 339.875 Crs. in 265th CIL board held on 14.02.2011. The approved cost includes service and freight. Taxes & duties to be reimbursed on actual.

Agreement signed on 25.03.2011 Amended agreement signed on 22.06.2012 DPR submitted on 29.09.2012. Vetting/Comments of CMPDI received on 26.10.2012. DPR received. Letter issued to M/s/ Minop to start work. Two Road Headers to arrive by end of July.’13 Drivage of Incline is likely to start from Oct.’2013 In the mean time M/s. Minop Innovative has been advised to interact with

DGMS, so that the work can be started as soon as equipments are commissioned.

M/S.Minop Innovatives has assured to submit the application before DGMS in 1st week of June-2013.

As per MOU acceptance target date is Dec 12. 2 Kapuria

(Kapuria Area) (PSLW) (MDO)

2.00 Approval of award of Work to M/s. AMR-BBB Consortium at a capital Cost of ` 988.354 Crs for a minimum guaranteed production of 20.024 MTe. during commercial production period of 9 years approved in 279

th BCCL Board

Meeting held on 3.7.2011 and also by CIL. LOA issued on 10.09.2011.

20

Sl. No.


Cap. (MTY)

Present Status

LOA has been accepted by M/s. AMR-BBB Consortium. Agreement signed on 18.04.2012 between BCCL and M/s. AMR-BBB

Consortium. DPR is submitted by the Bidder on 12

th Nov.'12 & sent to CMPDI, Ranchi

Draft PR is being reviewed at CMPDI, HQ on 01.04.2013 Final DPR likely to be submitted by May 2013.

3 Moonidih XV Seam (WJ Area) (PSLW) (MDO)

1.50 Approval of award of Work to M/s. INDU-SCCL-BUCYRUS (Consortium) at a capital Cost of ` 1230.274 Crs including insurance and freight for a total minimum guaranteed production of 22.50 MTe. During commercial production period of 9 years approved in 279

th BCCL Board Meeting held on 3.7.2011

and also by CIL. LOA issued on 07.09.2011. LOA has been accepted by M/s. INDU-SCCL-BUCYRUS (Consortium). Agreement finalised on 18.04.2012 between BCCL and M/s. INDU-SCCL-

BUCYRUS (Consortium). Draft DPR submitted on 12th March 2013 , same has been reviewed at

CMPDI ,expected to submit Final DPR in end of May-2013. AS per MOU target of acceptance of DPR Jan 2013.

4 Moonidih XVI Top Seam (WJ Area) (MDO)

0.70 Work awarded to Consortium of INDU-ZHENG ZOU COAL MINING MACHINERY CO. LTD-ZHENGZOU DESIGN & RESEARCH INSTITUTE OF COAL INSUSTRY CO. LTD.-LIAON NING XINFENG MINE FIELD EQUIPMENT MANUFACTURER CO. LTD.

LOA issued on 11.07.12. Agreement signed on 10

th of Dec.’2012

Bank Guarantee (BG) submitted on 14th March 2013. Advance against P&M received. Production likely to commence from April’14 Formalities in respect of Letter of Credit (LC) and been discussed with

competent authority on 01.04.2013. 5 Lohapatty

(WJ Area) (MDO)

0.35 Approved by BCCL Board in its 268th meeting held on 24.3.2010.

Price bid opened on 02.08.12. TC meeting held on 19.10.12 & 03.11.12. TC recommendation for award of work processed for competent approval. Recommendations approved in 291

st BCCL Board on 05.01.13.

Considered in 79th

ESC Meeting of CIL on 12.02.2013 & 294th

CIL Board on 13.02.2013

The proposal is to be placed for consideration in ESC of CIL again, after taking into account proportionate cost of land and re-calculating the IRR and comparing the cost of production with other mines of CIL and SCCL using continuous miner as observed in 294th CIL Board Meeting held on 13.02.2013. To be placed before next ESC & CIL Board Meeting.

6 Madhuband (Barora Area) (MDO)

1.0 Tender opened on 26.06.12. Three parties participated. Part-I sent to CMPDI for evaluation on 03.07.12 Evaluation received on 20.10.12 First TC meeting held on 16.11.2012. Clarifications sought from Bidders. Clarification received from all the three bidders. Tender Committee meeting held shortly. Certain clarifications sought

from Bidders ,response is awaited. 7 Sudamdih Shaft

(EJ Area) (MDO)

0.50 Approved by BCCL Board in its 273rd

meeting held on 8.11.2010. Geological Report completed considering all the seams.

Draft Global Bid Document (Tech. Part) submitted. Comments as received from Area has been forwarded to CMPDI,RI-II on 19.02.2013 for formulation of Global Bid Document (under the process of formulation)

8 Amlabad (EJ Area) (MDO)

0.50 Tender has been cancelled and as advised by CMD on 3.2.2011, Pre bid/NIT meeting held on 10.6.2011.

NIT floated on 29.01.2013. Sale period of tender document 27/02/13 to 26/03/13 Date of receiving Tender Document 01.07/2013 Date of opening Tender Document 02.07/2013 As per MOU target NIT floating is Jan 2013

21

Sl. No.


Cap. (MTY)

Present Status

9 Ghanoodih (Bastacola Area)

0.60 Approved by BCCL Board in its 270th meeting held on 14.05.2010 for floating Global Tender for working III/II/I Seams by Cont. Miner for a production of 0.50 Mte per annum to be operated on Risk-Gain sharing basis including mine development activities on Turnkey basis.

Presentation made on 29.09.2011. Open-Cast mining option is being studied at area level before final decision is

taken on the project. Draft Global bid document (Tech. Part) submitted by CMPDI

10

Bhowrah (S) (EJ Area)

0.50 Approved by BCCL Board in its 271st meeting held on 22.7.2010 for floating

NIT for Global Tender for development and exploitation of coal from UG, including mine planning and development activities etc. to produce 0.50 Mte/Annum of coal on Turnkey basis for a period of 9 years.

Presentation made on 29.09.2011. Draft Global bid document (Tech. Part) submitted by CMPDI Comments received from Area and the same has been sent to CMPDI on

05.03.2013 11 P.B. Project

(P.B.Area) (MDO)

1.00 Recommendations placed in 290th BCCL Board Meeting held on 03.11.2012,

for approval of revision/modifications in clauses. In 290th BCCL Board Meeting, proposal was deferred. NIT floated on 29.01.2013 Sale period of tender document 25/02/13 to 25/03/13 Date of receiving Tender Document 24.06/2013 Date of opening Tender Document 25.06/2013 As per MOU target for NIT floating is Jan 2013.

12 Simlabahal (P.B. Area)

2.00 Approved by BCCL Board in its 272nd meeting held on 24.8.2010. Technical profile etc., for NIT will be prepared by CMPDI.

15. FOREIGN COLLABORATION At present there is no foreign collaboration project under implementation in BCCL.

16. Marketing:

16.1 Demand and Supply: SECTOR-WISE ACTUAL DEMAND AND SUPPLY OF COAL IN 2011-12 Vis-à-vis 2012-13

Fig in Million Te. Sectors Demand* Actual** % Satisfaction over

Demand

2012-13 2011-12 2012-13 2011-12 2012-13 2011-12

Power 23.03 21.70 25.34 21.40 110.01 98.62 Steel/H.C. 5.25 4.60 3.86 4.22 73.61 91.74 Fertilizer 1.05 1.13 1.12 1.08 106.25 95.24

Others 2.37 2.41 2.68 3.37 113.21 139.93 Colly. Cons, 0.10 0.16 0.08 0.09 76.00 55.56

Total 31.80 30.00 33.07 30.16 104.00 100.53 Middlings/WPC 1.14 1.14 1.11 0.99 97.11 87.10 Beneficiated/WP

C 0.25 0.80 0.32 0.84 127.80 104.81

Note: Power includes Power CPP Steel/H.C. includes coal Dispatch viz. D/F, Own Washery, Pvt. Cokery, H/CMfg. *As per AAP Target of CIL **As per Statistics Dept. Report (M-18)

16.2 Comparison of Quantity of Transportation of Coal and its allied for the year

22

2012-13 and 2011-12 . (Quantity in Million Tonnes)

Item Description 2012-13 2011-12 % increase or decreased in 2012-13 over that of 2011-

12.

Departmental transportation of coal(excluding HEMM),

coke, slurry and rejects excluding sand

2.364720 1.402454 68.613% increase

Contractual transportation of coal, coke, slurry and rejects

(by trucks)

23.291592 19.692793 18.274% increase

16.3 A. Securitization

Under the Securitization Scheme for the principal dues of then UPSEB upto 30.09.2001 amounting to Rs.138.56 crores, the State Govt. has issued 8.5% tax free RBI Power Bonds through State Bank of India, Security Service Branch, Mumbai Main Branch during the year 2003-04. During 2012-13 redemption has been made @ 10% of the principal amount in two equal installments of Rs.6.93 crores each and Rs.13.86 crores has been received. Two half yearly interests @ Rs.2.36 crores and Rs.2.06 crores totaling to Rs.5.59 crores has been received and considered in the Profit & Loss Account during 2012-13 B. Settlement of old outstanding dues

Bilateral settlement meeting for resolving the old outstanding dues with following core sector consumers on account of quality, shortage, Add on Price(WRC) etc. was done during the year 2012-13. (Rs. in crores) SI. No. Name of the Consumer Settled

Disputed Amount

Amount Received by BCCL

Amount Accepted by BCCL

1. DVC (UPTO 2010-11) 62.58 27.35 35.23 2. SAIL 117.04 16.00 101.04 3. HPGCL/PANIPAT 79.50 28.61 50.89 4. DVC (2011-12) 75.68 21.13 54.55 Total: 334.80 93.09 241.71 C. Sales realization

In the past BCCL has been facing a serious problem in realizing the Sales dues from the consumers for which untiring efforts have been made to maximize realization. The details of which are given below:- SI. No. Year Turnover (Rs.

in crores) Realization (Rs. in crores)

% of Realization

1. 2012-13 10177 9436 93% 2. 2011-12 8584 8274 96.39% 3. 2010-11 6952 6920 100.5% 4. 2009-10 5038 4890 97%

23

D. E-Marketing

BCCL, the pioneer in e-Auction marketing of coal and coal products in CIL made a remarkable progress in generating additional revenue over the Notified Price during the year in question towards strengthening the company. During the year 2012-13, e-Auctions were conducted and a total quantity of 45.06 Lakh tones was offered for e-Auctions and the actual quantity sold out was 28.44 Lakh tones. The Notified sale value for the quantity sold out was Rs. 548.19 Crore Whereas the Bid value was Rs. 1052.59 Crore and the gain over the Notified Price was Rs. 504.4 Crore which was around 92% above the Notified Value. As per MOU E-Auction of coal (% of Production) was 8.86% during the period.

17. FOREIGN EXCHANGE EARNING & OUTGO:

17.1 Foreign Exchange Outgo

(Fig. in Rs. Lakhs) Value of Imports

calculated on CIF Basis. 2012-13 2011-12

Stores and Spares Parts 414.19 1018.54

17.2 Inventory (Figure in Rs Crore)

Item 2012-13 2011-12 % incr./Dr. Inventory of Stores, Spares 74.02 93.85 -21.12 Cash realization against Scrap 6.55 6.19 (+)5.82

As per MOU reduction in inventory (revenue) target – 1.96%, actual _-21.12%_______.

18. QUALITY CONTROL:

18.1(a) Quality of Washed Coal:

Average overall quality of washed coal supplied to the Steel Plants from different Washeries under BCCL are given below:

Washery AV Ash % 2011-12 Av. Ash% 2012-13

Dugda 20.2 20.5 Bhojudih 20.5 20.7 Patherdih 20.6 21.7 Sudamdih 20.6 20.7 Barora - - Moonidih 19.9 20.4 Mahuda 20.7 21.3 Madhuband 19.4 20.2 Wt. Avg. 20.3 20.6 18.1(b) Quality of Raw Coal to Washeries:

24

Average overall quality of raw coal supplied to Washeries.

Washery AV Ash % 2011-12 Av. Ash% 2012-13

Dugda 29.56 27.33 Bhojudih 24.98 24.85

Patherdih 30.2 28.62 Sudamdih 27.54 28.52 Barora - - Moonidih 23.79 24.06 Mahuda 23.12 22.77 Madhuband 32.89 25.4 Wt. Avg. 27.44 25.93 18.3 Consumer Complaints:

There has been greater emphasis on supply of sized coal from different sources of BCCL. Number of complaints were few as given below: 2012-13 2011-12 No. of Complaints 18 14

18.4 Sampling: Joint Sampling Status:

All consumers are under joint sampling arrangement at the loading end as per the modalities of the new FSA. Based on the analysis carried out, the overall percentage conforming to scheduled grade is 87.9% during 2012-13 compared to 87.4% during 2011-12.

18.5 Action for improvement in Quality & Consumers Satisfaction:

i) All the major sidings in BCCL supplying coal to Power Houses have Feeder Breakers installed at strategic points. Supplying of 100% sized coal is being ensured.

ii) Regular inspections of sidings by the official of QC Deptt. , HQ and interactions with

colliery officials helps in the improvement of the quality of the dispatched coal.

iii) BCCL has installed “on line ash analyzer” in three Washeries namely Patherdih, Bhojudih, Dugda indicating results in the PC and Monitor with regard to ash in raw coal as well as in washed coal. This has helped these washeries in keeping check on.

iv) Further BCCL has installed Auto Sampler in all its washeries for collection of samples

through mechanical means, thereby completely eliminating collection of samples manually for building confidence in the consumers.

v) For promoting consumers satisfaction HOD(QC) and Area General Managers have been

directed to interact with the consumers across the table to know their problems and grievances for redressal.

vi) Consumers are invited to see the coal at the sidings and all of them have expressed

their satisfaction for the quality of coal being loaded.

25

vii) Six nos.(6) of Bomb calorimeters have been installed at Bastacolla, Sijua, Lodna, CV , Barora & Katras Area Laboratories to assess the calorfic value of coal and all laboratories are being equipped to assess the quality of coal as per the FSA. Orders have already been placed for procurement of another 2 Nos. of Bomb calorimeters.

As per MOU Dispatch of coal to Power Sectors by Rail i) Sized Coal – target 96.04%, actual (%) 100 ii) Despatch covered under agreed sampling to power sector target 96.24%, actual

100%. iii) Offering FSA to power sector target date 22.05.2012, actual date 21.04.2012. iv) Establishing mechanism through published website or handling complains target

80%, actual 100%.

19. CAPITAL PROJECTS AND SCHEMES

1. Mining projects costing more than Rs.20 Cr. completed during the year 2012-13 with approved capacity & capital.

NIL 2. Mining projects costing more than Rs.20 Cr. that have started contributing during the year

2012-13 with approved capacity & capital. NIL

3. Mining projects costing more than Rs.20 Cr. sanctioned during the year 2012-13 with approved capacity & capital.

NIL 4. Non mining projects costing more than Rs.20 Cr. sanctioned during the year 2012-13 with

approved capacity & capital. Rapid Loading System (RLS) at Tetulmari approved in 292nd BCCL Board held on 01.02.2013. for a capital of Rs. 150.00 Cr. and capacity 5.00 Mte per annum.

5. RPR/RCEs costing more than Rs.20 Cr. sanctioned during the year 2012-13 with approved

capacity & capital. NIL

Status of tenders regarding abandoned UG mines of BCCL is furnished below:

Note: Open Retendering is to be refloated for all the abandoned mines.

1. RLS Maheshpur (5 MTY)

The RLS Project was approved in 264th CIL Board held on 01.02.2011 for a capacity of 5.00 Mte per annum at a sanctioned cost of Rs. 140.4696 Crs.

ESC of CIL in its 73rd meeting held on 03.01.2011 approved the Revised Cost Estimate of Rs. 140.4696 Crores. Award of work approved by BCCL Board in its 275th meeting held on 24.01.2011. Revised track lay out drawing is under preparation by RITES for shortening length

SL. NO.

UNIT STATUS Date of Receipt of Tender Date of Opening of Tender

1 KUSTORE 23.05.2013 24.05.2013

2 DHARMABAND 27.05.2013 28.05.2013

26

of track. After getting drawings ,the same would be sent to CMPDI for approval. After approval by CMPDI, the same would be sent to m/s S.K SAMANTA for necessary correction in the drawing regarding RL LEVEL of the silo, bunker structure etc. Soil Investigating Report and Agreement copy has been sent to CMPDI, HQ on 21.03.12 for needful. After approval by CMPDI, the same has been sent to m/s S.K SAMANTA for necessary correction in the drawing regarding RL LEVEL of the silo, bunker structure etc.

NEW PROJECT North / South Tisra expansion OCP (6 MTY)

BCCL Board in its 265th meeting on 01.09.2009 approved the PR for an estimated capital of Rs. 281.94 Crores.

In the light of , 292nd CIL Board Meeting held on 12.12.2012, where-in it was decided that

the projects are to be given “ complete Approval” at one go as per delegated power of respective company Boards/ CIL Board North/South Tisra OCO (6.00MTY) project is to be re-approved by BCCL after fresh UCE is prepared by CMPDI and thereafter it is to be sent to CIL Board for final approval.

19.1 On Going Projects

The particulars of on-going projects in 2012-13 are as follows:

Sl. No.

Projects Capacity (MTY)

Capital outlay (` Crs)

Production achieved during

2012-13 (MT)

Remarks

1 Block-II Continuous Miner (UG)

0.45 113.37 NIL Site handed over to M/s. MINOP.

Draft agreement prepared and has been reviewed on 18.03.2013 by Committee Members.

Next meeting on Draft Agreement to be held shortly, expected in May-2013

Likely to be signed by end of June 2013.

Final DPR is to be submitted by the Contractor by end of July'13.

2 MURAIDIH

(UG)

2.00 339.88 NIL DPR received. Letter issued to M/s/ Minop to start work.

Two Road Headers to arrive by end of July.’13

Drivage of Incline is likely to start from Oct.’2013

In the mean time M/s. Minop Innovative has

27

been advised to interact with DGMS, so that the work can be started as soon as equipments are commissioned.

M/S.Minop Innovatives has assured to submit the application before DGMS in 1

st week of

June-2013. 3 Kapuria (UG) 2.00 988.35 NIL Agreement signed

on 18.04.2012 between BCCL and M/s. AMR-BBB Consortium.

DPR is submitted by the Bidder on 12th Nov.'12 & sent to CMPDI, Ranchi

Draft PR is being reviewed at CMPDI, HQ on 01.04.2013

Final DPR likely to be submitted by May 2013.

4 Moonidih XV seam (UG)

1.50 1230.27 NIL Draft DPR submitted on 12th. Mar. 2013. It is being reviewed at CMPDI,HQ. Final Detailed Report likely to be submitted by end of June 2013

5 Bagdigi(Aug) RPR UG

0.27 11.54 0.00 Proposed to foreclose the project on as-is-where-is basis

6 Bararee IX/X Seam

RPRUG

0.24 7.88 0.095 Proposed to foreclose the project on as-is-where-is basis.

7 Goluckdih(NC) OCP

1.20 12.27 0 Forest Land problem. This is included in

Cluster-VIII as approved by MOEF. EC granted on 12.02.2013

8 Damoda BJ Section

0.60 7.78 0 The land for Project could not be acquired. EC granted on 06.02.2013

TOTAL 8.26 2711.34 0.095

28

19.2 Projects kept in abeyance/frozen list of monitoring

Following projects have been kept in abeyance/frozen list of monitoring:

Sl. No.

Name of Projects Capacity (MTY)

Capital outlay (Rs in Crs)

Status as on 31.3.2013

1. Block- III (Coking) OCP 0.45 45.97 Kept in frozen list of monitoring. The Project could not start due to fire in IX/X & XI/XII seams.

TOTAL 0.45 45.97

As per MOU: Target & Achievement: Sl No. Parameter Target Actual/Achievement

1 Finalisation of Agreement with Bidder for instalattion of BOM basis Washery (Madhuband Washery 5.0 MTY)

Dec.’12 Nov.’12

2 Finalisation of Agreement with Bidder for installation of BOM basis Washery (Patherdih Washery 5.0 MTY)

Jan.13 Oct.’12

3 Approval of EMP Cluster 3 9 4 Floating of revised NIT for abandoned mines

( 2 N0s.) Dec.12 Nov.’13

5 Floating of NIT of Under Ground Turnkey Project. (PB Project & Amlabad)

Jan.13 Jan.’13

6 Finalisation and Acceptance of DPR of Muraidih Turnkey Project.

Dec.’12 Nov.’12

7 Finalisation and Acceptance of DPR of Moonidih XV seam Turnkey Project.

Jan.13 Not finalised

8 Physical possession of land 8 Ha. 13 Ha. 9 Finalisation and Acceptance of Tender of

New Washery (Dugda). Dec.’12 Not finalised

New Initiatives: 10 Improvement in blasting efficiency/Powder

factor (2 Mines.) 01(one) 02 (two)

11 Specific diesel consumption study & corrective measures (2 OC Projects)

01(one) 02 (two)

12 Energy consumption in Pumping and Ventilation % reduction in one Under ground Mine. (% reduction)

4% 4.17% (Ventilation) 4.68% (pumping)

13 Updating of Long term Plan Nov.12 Sept.’12 14 Capital Investment (Rs. Cr.) 270 266.14 15 Closing of high loss making mines. 2Nos. 3.00 16 Manpower productivity 2.37 2.50 17 System capacity utilisation (overall) 94.00 81.29

As per MOU target physical passion of land target 8 hectares actual 15.26 hectares.

29

INTRODUCTION OF CBM PROJECT

UNDP / GEF: GOI COAL BED METHANE RECOVERY & COMMERCIAL

UTILIZATION PROJECT, MOONIDIH

1) APPROVAL: By Ministry of Coal vide No. 34012/15/96-CRC dated: 15th September

1999.

2) OBJECTIVE: To demonstrate the exploration, exploitation & commercial utilization of

CBM recovered before, during and after extraction of coal seams at Moonidih Project, W.J.

Area, BCCL.

3) EXECUTION AGENCY: Ministry of Coal

4) IMPLEMENTING AGENCY: BCCL.

5) FOUNDED BY: UNDP, GEF & GOI

6) GAS BLOCK: Jharia.

7) EXPECTED CBM GAS EMISSION: Total 20000 Cu.M / Day at Moonidih(at the rate of

3000 CuM/day/Well).

8) CBM UTILIZATION PROGRAMME AT MOONIDIH: Generation of 1 (One) mega

watt electricity with the help of four numbers of Gas based Generation units (IC).

9) CBM UTILIZATION PROGRAMME DEPTH RANGE OF CBM WELLS:

a. Surface Wells = (800 to 1000) meters.

b. GOB Well = 300 meters

10) EXPECTED METHANE % IN CBM GAS:

a. Surface Well = 95%

b. GOB Well = (70 to 80) %

11) EQUIVALENT OF COAL IN TERMS OF CALORIFIC VALUE:

1 Metric Tonne of Coal ≡ 1066 Cu.M CBM

12) SEQUENCE OF OPERATION:

i) Drilling ii) Geophysical Logging iii) Casing

iv) Cementation v) Perforation vi) Hydrofracturing

vii) Pumping / Production

13) DRILLING OF THE SEAMS: From topmost seam to X seam

14. POWER GENERATION TILL DATE: 15,00,980 KWH

(up to Mar 13) Generator 1 : 945224 KWH

Generator-2 : 555756 KWH

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15. GAS GENERATION TILL DATE (up to Mar 13): 999653 CuM

16. TOTAL MANPOWER: 42 (as on 01.04.13)

17. PME DONE TILL DATE: 41 (Jan-Dec 12)

18. VTC DONE TILL DATE: 26 (up to Mar 13)

20. CONSERVATION OF ENERGY:

The specific energy consumption in 2012-13 is 30.29 KWH/T as compared to 31.44 KWH/T in previous year.

20.1 Power & Fuel Consumption:

2012-13 2011-12 a) Purchased unit(MKWH) 945.45 949.09 Total amount(Rs. Crores) 397.66 406.17 Avg. rate/unit(Rs. per day) 4.21 4.27 b) Through D.G. sets(MKWH): 0.034 0.05 Unit/Litre of HSD 2.35 3.35 Avg. cost/kwh(Rs./KWH) 48.25 36.50

21. SAFETY 21.1 Statistics Relation to Safety. Performance is shown below:

Accident Detail 2010-11 2011-12 2012-13 No of Fatal Accident 8 7 6 No of Fatalities 8 8 6 No of Serious Injuries 69(75) 32(33) 21(22)

21.2 Rock Mass Rating

Rock Mass Rating of all development districts which were worked up to March’ 2013 were determined for proper framing of SSR and ensuring adequate support. Separate strata control cell has been established at H. Q .and Area level for this purpose.

21.3 (a) Steel Support

(i.) Programme for replacement of timber support in development districts has been achieved by providing additional 39 Nos of SDL Mounted Roof Drills and 46 Nos pneumatic Compressed Air operated Drills for hard sand stone roof in development districts. (ii) Consumption of Steel materials for roof support during 2011-12 &2012-13 was as follows:

Item 2011-12 2012-2013 a. 20 mm Tor Steel 1517.59 MT. 1433.46 Te b. 4” M.S. Pipe (PEN) 294 Mtr. Nil c. Steel Chocks 81 sets 476 sets d. 1.6 mm M.S. Sheet 63.74 MT 50.283 Te

e. 6 mm M.S. Flate 64.40 MT 50.050Te f. 6mmx150mm MS sheet 314.260 MT 331.33Te

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21.4 Safety Audit:

4th Round Safety Audit of 64 no of Mines has been completed by Five outside experts. 5th Round Safety Audit of 55 Mines of BCCL has been completed by 6 Out side Mining Experts 6th Round of safety Audit of 41 Mines by our own Team of executives have been completed. Pending finalisation of safety audit of all the mines of BCCL by outside mining experts , inter area safety audit by our own team of executives has been completed in respect of 42 mines . In respect of other mines , it is in progress.

21.5 Correlation Survey: In order to verify and to establish the correct bearing/ co-ordinates in underground in relation to surface, it was decided to conduct Correlation Survey by CMPDIL by using the modern method like Gyrotheodolite. This has been completed in 69 pits, at 71 seam / horizons of 42 Mines till April-06.

21.6 Check Survey: Check Survey was completed in 69 mines. Routine Check Survey is in progress as andwhen required. At present check survey of Mudidih is completed. Check Survey of P.B.Project & Burrragah is in progress which is being done by H.Q. survey team. Out of 70 Mines, check Survey has been done by outside agency in the following mines:-

1. Burragarh BY I.S.M 2. Kankanee By CMPDI 3 KB5/6 - do - 4. Hurriladih - do - 5 East Bhuggatdih - do - 6 Bhowra (S) - do -

21.7 Other Safety measures taken to improve the Safety Standard of the Mines: 12 points Action Plan for improvement in safety standard in mines in the year 2013:

1. No face drilling before fixings of roof bolts in proper manner & of adequate strength within 0.6 m from face.

2. No transport machinery without audio visual alarm in working order should run. 3. Coal transport / haul road should be separate firm public road & there should be

provision of separate road for light vehicle. 4. Deployment of limited persons at proper assigned place should be ensured in dump

area. 5. Ensuring elimination of winding installations in phased manner. 6. Ensuring checking/ examination of winding installations by colliery engineer on daily

basis, by a committee consisting of AM (E&M),AM(Safety ),Colliery engineer o monthly basis and by HQ team on quarterly basis.

7. Ensuring deployment of experienced operators under competent supervision & quenching of hot OB/Coal with water before handling the same.

8. Proper cooling of oblast hoes keeping temperature of hoes below 800 C before charging and ensuring it by pyrometer/ Digital Thermometer

9. Use of Safety belt & protective gadgets while working at height and at other vulnerable places.

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10. Regular steps cutting and improvement in travelling roadways by providing masonry step in phased manner.

11. No movement of persons in haulage roadway except authorized persons & surprise checking by Manager/ Asst Manager/ Mining Supervisors to prevent tub ridings.

12. Regular safety talk. 13.

INUNDATION: -

The following actions have been taken at BCCL level to reduce the accidents: -

a) Senior officers of company HQ are directed to inspect the mines in back shift to improve the supervision level in back shift from time to time.

b) 4th Round Safety Audit of 64 no of Mines has been completed by five outside

Mining experts & 5th Round Safety Audit of 55 Mines of BCCL has been completed by 6 outside Mining Experts.6th Round of Safety Audit of U/G as well as Open Cast Mines will be conducted soon.

c) Before onset of monsoon, the danger of inundation from both surface and

underground sources of water are examined in every mine.

d) Risk Assessment for all mines of BCCL has been done and it is being reviewed every 6 months.

e) Alternate Source of power supply in the mines of BCCL has been provided.

f) Pumps and other accessories have been kept at centrally located place for emergency purpose.

g) Escape routes in underground mine plan, as well as in underground working has

been demarcated.

h) Mock rehearsal is being conducted every year before onset of monsoon.

i) Latest technique of ground penetration radar to determine the barrier thickness where one side is unapproachable has been used through NIRM at three mines Pootkee, Pularitand and Madhuband in the year 2004.

ROOF FALL

a) Geo-mechanical properties of rocks are being studied and support systems are being scientifically designed on the basis of RMR and duly approved by DGMS.

b) Greater use of quick setting cement capsules grouted roof bolts for support in development workings in underground mines.

c) Steel supports are now replacing the timber support. In long wall face , power supports are provided.

d) Introduction of SDL/ LHD in place of manual loading to reduce exposure of workmen to Green Roof. All manual districts have been converted into SDLs/ LHDs district except 4 districts of EJ area. Production VS roof bolting records are maintained in a register at every mine.

21.8 OTHER CAUSES: -

(i) Measure for reduction in accidents in Open Cast Mines are being pursued through

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Codes of practices for different critical operations in OCMs framed and are being implemented.

Implementation of traffic rules, checking of road-worthiness of contractor’s vehicle/ equipment by company’s engineers.

Training of HEMM operators and contractor’s workers. Enhancement of safety awareness through poster, publicity and propaganda,

safety drives and safety weeks etc. (ii) Thrust of training and retraining of workmen including contractor’s worker, supervisors

and executives to increase safety awareness.

(iii) Regular monitoring of mine environment by hand held Gas Detector, Flame Safety Lamps 45 nos LMD have been provided and installed for continuous monitoring of mine environment in highly gassy mines of BCCL.

(iv) Thrust is given on inspection –

(a) By senior officer from company HQ, area CGMs/ GMs and agents.

(b) Back shift inspections.

(c) Inspection by ISO officials.

(v) Co-ordination meetings as well as brain storming session on safety at different

levels of company are being held for critical analysis of accidents and incidents.

(vi) Introduction of system of plan vetting from ISO HQ before applying for permission to DGMS.

(vii) Function of Pit Safety Committee made more effective.

(viii) Symposium on occupational health being organized at area level.

(ix) Inspection of mines by Safety board members of the company. x) Our Company Training Performance __________________________________________________________________________ Sl No Type of training Programme 2011-12 2012-13 ___________________________________________________________________________ 1 Management Training 300 2901 2 Technical Training 448 2272 3 IICM 298 388 4 Abroad 03 Nil Total 1049 5561 Xi) Training Performance _________________________________________________________________________ Sl No Type of Training Programme 2011-12 2012-13 _________________________________________________________________________ 1 Basic 724 548 2 Refresher 8721 8244 3 Special & Others 1024 1311 4 As Per Safety Conference 3241 5081 Total 13710 15184

34

Xii) 7xth round bipartite inspection of all mines and all washeries of BCCL by Trade Union

Representatives & Higher Management has been completed by 13/03/ 2013. Xiii) Tripartite meetings was held on different dates at Area Level during 2012-13.

22.0 PERSONNEL: 22.1.1 Manpower:

Rationalization of manpower has been a major thrust area of manpower in BCCL. There

is substantial reduction in manpower during last few years. Roadmap/Action Plan for gainful

deployment especially in core essential categories has been done during 2012-13 by adopting the

policy of transfer, promotion, conversion, selection, training, re-training and development.

1.1(a) The manpower strength of BCCL as on 1st April ’2012 was 64884 and this is 61698 as on 31st

March’ 2013 showing reduction of 3186 during financial year 2012-13.

STATUS OF MANPOWER

The comparative manpower strength of the Company as on 1.4.2012 compared

to 31.3.2013 are as under:-

Sl.No. Category STATUS AS ON Increase/Decrease

01.04.2012 31.3.2013 April'12 to

March'2013

I Executive 2564 2603 39

II Monthly Rated 11605 10702 -903

III Daily Rated 45818 44443 -1375

IV Piece Rated 3939 3008 -931

V Badli(Re-instated) 245 200 -45

VI Others 713 742 29

Total 64884 61698 -3186

There is a net decrease of 3186 (4.91% ) manpower over existing strength of 1.4.2012.

Preparation of data based information for Company, CIL, Ministry of Coal and others on the basis

of manpower statistics.

1.1(b) Manpower Budget: One of the major achievement made during the year 12-13 was

approval of Manpower Budget for 2012-13 by the Board of Directors of BCCL on 1st

October’2012. The Manpower Budget of the Company is based on scientific analysis &

rationalization of available manpower resources. Adequate provision of manpower has been

made for statutory, paramedical, core & essential designations/categories to achieve production

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target. Keeping in view computerization for the Company the need based manpower has been

provided in 2012-13.

The preparation of Manpower Budget has been started since 2005-06 in BCCL. The BCCL Board, in its 290th meeting on 03.11.2012 approved the outside recruitment of 1867 manpower in different designations for the first time in BCCL.

Towards leveraging technology, a total of 166 posts of Data Entry Operators at entry level

has been created in the Manpower Budget 2012-13, out of which 135 Data Entry Operators

have been selected and posted in Area/Establishments/HQ.

1.1(c) Piece Rated Trammer: Fixation of tramming rates of Piece Rated Trammers and payment of arrears has been finalized. A methodology has been formulated on the basis of NCWA guidelines. All the areas has complied this task.

1.1(d) Gainful utilization of Female Employees

An action plan has already been formulated to meet the shortages in semi skilled and skilled

nature of job, which can be performed by female employees of the company. For the purpose, 32

such deployable designations have been identified where potential of existing female employees

can be best utilized in the interest of the company, after their training and retraining for the job

for which they are being found suitable. This will help in meeting the shortages in essential

designation from internal resources, but is also a motivating factor and opens scope for career

growth of female employees of the company.

1.1(e) Female literacy Drive:

It was observed that many of our female employees in spite of being technically proficient

cannot shoulder job of higher responsibilities in essential categories due to lack of formal

education or due to illiteracy. To remove this stigma of illiteracy, BCCL in association with

Central Board of Workers Education(CBWE), an organisation under Ministry of Labour,

Government of India, launched Female Literacy Drive in BCCL. The aforesaid female employees

meet the eligibility criteria of literacy by getting certificate from CBWE and deployed as per the

Cadre Scheme.

Status of Career Growth of Female employees

Phase Nos of Applications

Received

Nos of Applications found eligible

Nos of female employees

found Illiterate

Nos of Female employees

passed CBWE Exam.

Ist Phase 837 268 218

137

IInd Phase 762 218 380 155

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IIIrd Phase 1309 424 586 162

Total 2908 910 1184 454

1.1 (f) Audit Committee Replies: 22 A duly approved road map for reducing unauthorized (culpable) absenteeism has been

submitted to the Audit Committee. The audit committee in its 53rd meeting held on

01.03.2013 noted the report and after deliberation in detail directed BCCL to take action

on the various steps suggested in the map and to submit the ATR.

23 An exercise of manpower re-conciliation has been carried out in reference to the CAG

observation in respect of difference between the figures of Manpower department and

billed manpower. 207 non-existent manpower of non-executives has been

deleted/written off after obtaining Competent Approval.

22.1.2 HRD & MANAGEMENT DEVELOPMENT:

1. Data Format in Respect of MOU Parameter 2012-13:- Sl. No.

Evaluation Criteria Unit Weight in %

MOU Target (Excellent)

Status / achievement as on 31.03.2013

1. Certified training in Project Management

No. of Executive 1 6 Achieved-10. Course was conducted by IICM

2. Certified training in Contract Management

No. of Executive 1 6 Achieved-9. Course was conducted by IICM ( 9-17 December)

3. % actualization of training plan.

% Fulfillment 90 Target no. of programme-242, achieved 247 (Scheduled prog.)*

4. Training days per employee/year

Days/empl-oyee/year

5 0.3 1,832

5. Developing critical mass of leaders

% of employee cost

5 90% (target -75, heads

100%)

Achieved 154 heads (prog was conducted at HRD ) (i) 27-29 June, (ii)21-23 August, 2012 , (iii)28-30 Nov. 2012 , (iv) 21-23 Jan. 2013 .(v)Feb.2013.

6. Training budget as % employee cost

% of employee cost

5 0.296 0.317

7. Training plan for multiskill / skill up gradation of Non-Executive

% fulfillment 5 90%(target 6000 heads

100%)

(HRD) +(VTC) 2230 + 14577 =16907

8. Optional – Training intervention in new/advanced technology

% fulfillment 5 90%(target 100 heads

100%)

In house (1) long wall mining technology -47 participants. (2) Continuous miner tech – 49 heads (3)Blasting tech mines – 29 heads (4) Other Training programs (Outside) 43 (Details given in Annex- I) Total 168

9. Program on sustainable development

No. of program 2 Achieved – 02 (i) With 30 participants on

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25.06.12 at HRD (ii) With 30 participants on

14.12.12 at HRD 10. Mentor Dev. Program No. of program 1 Achieved – 01 (with 29

participants on 14th & 15th Jan. 2013 at HRD)

* Remarks – in addition to above we have conducted non-scheduled , need based – 42 No. Programme during April, 2012 to March, 2013.

Annexure-I

Outside Training Intervention in new/advanced technology (2012-13)

Name of Program Date No. of Participants

1) Short course on Trackless Mining Equipt. Loaders & transpt. Used in U/G Mines.

2) Road show on cutting edge Tech Leila Products

10-12 May, 2012 18th May, 2012

04

02

1) Prevention & Repairs of cracks & leakages in concrete structures including water proofing tech.

2) Development program on RS, GIS, GPS photogrammetric & Laser Scanning”

10-12 July, 2012 17-20th July, 2012

01

05

1) Program on Rock Fragmentation Control & Blasting Cost Optimization.

22-24 August, 2012 03

1) Prog. on “Scientists & Technologists Working in Government Sector”

i)10-21 Dec. 2012 ii)21-25 January 2013 iii)11-15 Feb. 2013

04 02 02

1) “Short Course on Power Hydraulic in HEMM”

17-21 December 03

1) Symposium on Geospatial for Coal Mining

22-24 January 2013 07

1) Prog. On Sustainable Developments, Energy Conversation & Energy

2) Efficient Design for Buildings

7-8 Feb. 2013 01

1) Short Term Course on Advanced Surveying & Geo –Spatial Industries

18-21 Feb. 2013 03

1) Program on “Cyber Security” 12 February 2013 02 1) Short Course on Wireless

Communication And Environment Monitoring in underground Mines implementation

21-23 February 2013 04

Total 43 2. No. of employees trained for statutory posts Particulars 2012-13 2011-12 %Increase Mine Managership 127 108 1st Class & 2nd Class

38

Overman 35 55 Mining Sirdar 283 294 Surveyor 92 119 Winding Engine Operator 79 87 Gas Testing 411 350 Electrical Supervision 31 30 Total 1058 1043 +1.43 3. Training programme conducted institute wise for MOU and non-MOU during 2012-13 Name of Institute 2012-13 2011-12 %Increase M.D.I. 2544 2642 S.D.I. 1324 1462 M.T.I. 935 867 E.M.T.I. 1614 1474 Total 6417 6445 6417(Sch.-4893+Non-sch.1524) 6445(Sch.-4253+ Non-sch.2192) +14.90%(Scheduled Prog.) Note : Registering a success rate of 14.90% (sch. Prog.) 4. Training at IICM, Ranchi 2012-13 2011-12 %Increase 388 298 +30.20% 5. Training programme conducted in VTC

Particular 2012-13 2011-12 Achiv. Achiv. %Achiv.

Basic 548 724

Refresher 8244 8721

Special & others 6392 4265

As per Safety conf.

Recommendation

Total 15184 13710 +10.75

6. External Training

2012-13 2011-12 %Increase

536 752 -28.72

With introduction of several new progs. at HRD internally, the No. of participants for external

progs. have been limited.

7. PDPT Training under Apprentice Act.

2012-13 2011-12 %Achiv.

57 41 +98%

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The maximum no. of PDPTs, as referred by BOPT (ER, Kolkata) allowable at any time should

not exceed 100.

8.Training of Contractor’s workers

2012-13 2011-12

Achiv. Achiv. %Achiv.

2241 810 +176.66

9.Unpaid Vocational training provided to students

2012-13 2011-12 %Achiv.

915 620 +47.58

Unpaid Vocational training provided to the student of different academic institution in

technical/ management course.

Special initiatives:

i. Statutory Manpower Development

Developing statutory manpower in critical designation like Mining Sirdar, Overman,

Surveyor, 1st Class & 2nd Class Managers, continues to be an important thrust area of the

company. The success of “Home Grown Timber” & “Super-40” schemes by Mining

Training Institute (MTI) under HRD department has created benchmark in developing

statutory manpower of the company. In 2012-13, in surveyorship final examination,

BCCL alone accounted for 30.7% of the total number of successful candidates in India.

Similarly, under training at EMTI, during 2012-13, 79 candidates have been given

training for appearing W.E. Operators Examinations.

ii. Critical Category Manpower Development

The role of Excavation and Mechanization Training Institute (EMTI) under HRD in

developing critical manpower like HEMM Operator (T), Winding Engine Operators (T)

and Electrical supervisors from among company’s internal resources is quite eminent.

Beside the above, it is playing important role in skill up gradation of personnel, engaged

in operation and maintenance of Electrical, Mechanical and HEMM equipment.

iii. Female Literacy Drive

This is the culmination of the policy adopted by apex management of BCCL to conduct

the literacy drive with active co-operation of CBWE (under Ministry of Labour and

Employment, Govt. of India) with the aim to gainfully utilize large force of illiterate

Female employees of BCCL by providing literacy Certificate and thus making them

eligible for different jobs as per cadre schemes of the company, 32 designations

including some directly production linked designations have been identified, where such

female employees can be deployed. The drive is being conducted in phases. In the 1st

40

three phases a total number of 454 female employees have been awarded with literacy

certificate by CBWE. The 4th phase for drive is in progress in which 586 more female

employees have been identified.

iv. Computer Literacy Drive

In pursuance of directive and guideline by the apex level management of BCCL towards

making BCCL employees Computer literate, HRD is imparting basic level computer

application training initially to Executive and Ministerial staff.

The drive is in progress and till March, 2013 about 262 persons have been provided

computer application training.

v. Preventive Vigilance Awareness Program

This was a special drive which was organized under the guidance and behest of CVO,

BCCL to spread awareness among all levels of executives including newly promoted

executives regarding vigilance matters and guidance in work abiding rules and laws in

work processes.

vi. Management Trainees Grooming

HRD department is playing active role in the grooming process of MTs in the company.

Three types of training are being conducted for MTs at HRD like- (a) Induction

trainings (b) Interaction sessions/trainings with higher level management including

company Directors and CMD & (c) Technical trainings, separately for different

disciplines. HRD dept. is also taking care of the well being and welfare of the MTs and

their adjustment in the organization.

22.1.3 Welfare & Community Development Activities. Quality of life at work place and living place contribute significantly in achieving the aim of the Company. The coal mines are mostly situated in isolated areas where facilities of modern living are further required. Beside this, the nature of work of the employees engaged in coal industry is difficult and hazardous. Keeping these facts in view, BCCL have been endeavoring to the basic needs and facilities through various welfare measures. Management of BCCL is concerned about implementation of Welfare activities in the company for betterment of the living conditions of its workers, Education of their Wards, better health care for workers and their family members, recreation facilities and improvement of skills in the field of sports and culture. This holistic approach has resulted to better life style and standard of living of employees. Housing Facilities: To provide suitable shelters is the main thrust area. BCCL has achieved the goal of “Shelters for All” for workers with 100% housing satisfaction thus fulfilling the basic need of the workers. Action for upgradation of colonies have been undertaken. Water Supply: One of the major thrust areas in the field of welfare is to provide potable drinking water to employees and their families. In this direction, several short term and long term water supply schemes have been taken up which are: There are 48 nos. water treatment plants, situated in different areas of BCCL, with total installed capacity of 13.18 mgd. Approximately 6.0 mgd of water is procured from network of the local state agency (MADA) for water supply, on payment @ Rs. 100 per 1000 gallons of water supplied. For non-drinking usages, arrangement for supply of pit water has been made in different colonies. 60 water tankers of 3000 ltrs capacity each are being hauled by 15 tractors and installation of Hand pumps have also been done to ensure supply in water scarcity zone.

41

25 nos of pressure filters have recently been installed which has augmented the installed capacity of water supply by 4.12 mgd. The work of de-silting of Jamunia dam, which is the source of our largest water treatment plant of 3.5 mgd capacity at Block-II, has been taken up for increasing the holding capacity of Reservoir. SPORTS AND CULTURAL ACTIVITIES: Social, Cultural and Recreational activities form important part of welfare activities which provides fellow-feeling, team-spirit and goodwill among the employees. For the upliftment of Sports and Games, Company is paying special attention to its employees & their wards and also to the residents of adjacent villages. Welfare department is running different coaching camps & providing Sports Materials/ Financial assistance to District/ State associations as per need. BCCL has a number of National / International reputed players on roll who have brought laurels for the Company. As long term measure to ensure a sustained growth in this field a yearly calendar for sports activities is followed. The following Sports and Cultural activities were organized during the year 2012-13 as per sports calendar:-

1. Chess inter area

2. Bridge inter area

3. Badminton inter area

4. Volleyball inter area

5. Kabaddi inter area

6. Football inter area

7. Cricket inter area

8. Central Athletic meet

9. Inter area cultural competition

B.C.C.L. EMPLOYEES BENEVOLVENT FUND SOCIETY BCCL Employee’s Benevolent Fund Society is registered under Societies Registration Act, 1880 and is functioning since 1st June 1981 all employees covered by the Wage Board are the members of the Society contributing Rs. 10/- each per month. Objectives:

a. To provide financial assistance to the dependent of employee members in case of death.

b. To grant scholarship to the meritorious students (Employee’s wards) pursuing academic or

technical education.

c. To provide financial assistance to the members of the society at the time of long sickness.

d. To provide honorarium to the employees on retirement.

BANKING FACILITIES The Salary of all employees in BCCL is being paid through banks. BCCL has provided facilities to the nationalized banks for opening their branches at different units of Company. At present more than 130 branches of various nationalized banks are operational under its command area. EDUCATIONAL FACILITIES Education is a stepping stone to advancement in all spheres. The prime responsibility of providing educational facilities lies with the State Govt., BCCL as a part of its welfare activities has given considerable emphasis on providing better educational facilities to the children of its employees/workers as well as those of local populace. The company is providing financial assistance/infra-structural facilities assistance to 11 agreemental/semi agreemental school, running under mou with BCCL. In addition, the company is also providing financial assistance to 84 Private Committee Managed Schools functioning under the command area of BCCL.

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CIL SCHOLARSHIP The revised CIL Scholarship Scheme 2001 is being implemented in the Company for wards of the permanent employees irrespective of their salary or nature of job. As per the above scheme two types of scholarship have been introduced:

Merit Scholarship

General Scholarship

Merit Scholarship: Candidates who obtained any rank between 1st to 20th position in Madhyamik/CBSE/ICSE examination (X standard & +2 standard) conducted by State/Central Govt. will be awarded with Merit Scholarship. The student of ICSE/CBSE/ISc/ Boards securing 95% and above would also be awarded Scholarship under Scholarship Scheme as is being given to the students securing 1st to 20th position in case of Board or State Govt. General scholarship This Scholarship is for the student studying in class-V and onwards up to class-XII, Graduation & Post-Graduation in all branches, CA/ICWAI/Co.Secy./Technical Certificate Course/Polytechnic/Degree Engg. & Medical Sciences. Affiliated to Central/ State Govt./Board/University. SC/ST students are entitled to get 10% relaxation on the minimum Percentage of marks. CSR/Community Development Activities (a) Figures related to CSR/Community Development works are given below : Year Budget Expenditure % Increase in expenditure

with respect to previous year

2008-09 252.00 215.78 16.13 2009-10 275.00 257.88 19.51 2010-11 1375.00 315.00 22.15 2011-12 1450.00 622.00 97.46 2012-13 1510.00 794.33 27.65 During the year 2012-13 the approx expenditure on CSR/CD works is Rs. 794.33 lacs which is higher at 27.65% than last year’s expenditure. Budget provision for the year 2012-13 was Rs. 1510.0 lacs out of which Rs. 115.00 lacs was exclusively earmarked for medical services under CSR. BCCL is Public Sector Undertaking engaged in mining of coal and allied activities. It occupies an important place in coking coal mined in the country. Since its inception, BCCL has been practicing CSR in its best form, though the term CSR itself came at a later stage. BCCL already had a well incorporated Welfare and Community development program integrated with its day to day business focused on overall development of society. Presently, the concept of Corporate Social Responsibility has gone much beyond and has transformed from “Philanthropy” to “Stakeholders participation” by engaging them and being responsible towards the triple bottom line of the society, so that essentially the operations of BCCL plays a proactive and supportive role in the communities which they belong. The company recognizes the role and importance of its stakeholders and is committed towards its own role as a social partner in bringing overall development in the society in terms of creation and value addition to the common resource property. The CSR projects are decided based on the need assessment done at area level. Summarily, Bharat Coking Coal Limited (BCCL) is committed to good corporate citizenship and put constant efforts to build and nurture long lasting relationships with stakeholders in the society in general and its peripheral communities in particular. For this, BCCL has taken up Education,

43

Health Care, Livelihood and Community Development as the themes of its CSR activities and following activities are carried out. Water Supply Facilities BCCL since its inception has felt the importance of water and endeavored for effective and proper utilization of mine water which has to be taken out necessarily in course of mining processes. For harnessing such water BCCL have taken upon the task of holding the mine water into water bodies by restricting them to flow into the natural drainage courses under NIRMAL NEER scheme. Multipurpose utilization of abandoned mine water from Barora/Block-II & Govindpur Areas For gainful use of abandoned water being discharged from the mines, a scheme is already under execution at a cost of Rs. 11.70 Cr. by laying out a pipeline network of approximately 45 Kms. With the help of this scheme, approximately 47 million gallon (MG) surplus mine water which presently is being discharged into natural water courses from Barora, Block-II & Govindpur Areas of BCCL, will be stored in two reservoirs respectively, of storage capacities 16 Million Gallon & 31 Million Gallon situated at Behrakudar & Khonathi villages of Baghmara Block of Dhanbad District. This project, after completion will be handed over to district authority. Under this scheme of BCCL, the villagers residing nearby and having their cultivation fields in a reasonable proximity will be benefited in carrying out their agriculture works in all seasons which at present is totally dependent on monsoon. This will enhance Socio-Economic status of the area and also result in opportunities availability in secondary & tertiary fields of employment. This water can be used for drinking purpose also after required treatment. In those reservoirs, necessary help would also be extended to the local people by BCCL to go for Pisciculture by providing them with required training through self help groups. Scheme for domestic/ community usage of Surplus mine water in WJ area In order to arrest the mine water discharge flowing into natural water courses in respect of all areas of BCCL, it has also been decided to divert and channelize the flows into the existing ponds in nearby villages. Under this scheme approximately 2.16 million gallon surplus mine water of WJ Area flowing into natural drainage courses has already been arrested and diverted into following ponds in the peripheral villages through pipelines which remains over flooded even during peak summer:-

1. Kukurduba Pond of Chhatrutand Village

2. Suryabandh Pond of Mohuda Village

3. Prem Nagar Pond of Kumardih Village

4. Turitolla Pond of Kumardih Village

5. Belakonda Pond of Bhatdih Village

6. Hazari Tolla Pond of Bhatdih Village

7. Kandra Pond (North) of Kandra Village

8. Kandra Pond (South) of Kandra Village

9. Pond at Bhurungiya Village

10. Pond at Targha Village

Further such scheme in respect of other areas of BCCL are also under active consideration. Mine water supply by BCCL to Drinking Water & Sanitation Division (DWSD) of Jharkhand State in Dhanbad for community water supply BCCL is also providing mine water as raw water feed to altogether 07 nos. of water supply schemes run by DWSD in Jharia Coalfield, at their Sonardih, Chhatabad, Malkera, Bansjora

44

Gareria, Dharmabandh, Barora & Kharkharee installations, for arranging water supply to the community at large. Mine water treatment plant at PB area Under demonstration scheme, in collaboration with Central Institute of Mining & Fuel Research, Dhanbad, BCCL has installed a water treatment plant against total value of Rs. 219 lakhs in Putki Balihari Area for making the mine water potable after treatment. This water treatment plant has been designed for a rated capacity of 4000 gallon per hour and is functioning. Availability of mine water in Jharia Coalfield Consequent to a study conducted by CMPDI, RI-II Dhanbad for identification of available Pit water in existing/abandoned mines of BCCL, about 15262 million gallon water is available underground in caved goaved & development areas of which approximately 11873 million gallon water can be made available for various non industrial usages. Water supply in peripheral villages of BCCL command area Water supply facilities has been extended by BCCL in its 109 peripheral villages. In order to supply water in the remotely situated villages of different Areas of BCCL, through water tankers of 3000 ltrs capacity each.60 tankers are available with the company. In the peripheral villages under CD/CSR activities more than 800 hand pumps and 125 dug wells have already been installed and established by BCCL. Presently installation of 157 nos. hand pumps in different peripheral villages are under progress. Infrastructural developments in peripheral villages for educational facilities BCCL as a part of its welfare activities have given considerable emphasis on development of infrastructure in form of buildings/rooms construction, halls construction, lavatories construction and providing desks & benches, computers etc. in existing schools of peripheral villages. HEALTH CARE BCCL conducts medical/health camps for dwellers of peripheral villages. In the year 2012-13 total 272 nos. health camps have been organized by BCCL, in which 16885 persons of peripheral villages availed the benefit. For providing free medical consultancy, 14 nos.CSR Clinics and one artificial limbs centre are in service for benefit of the needy section of the society. Total 14 nos. AC Mobile Medical Vans have been placed into service as special arrangement for providing medical services to the peripheral villages with provision of free distribution of medicines. AIDS awareness camps are organized as special drive to develop awareness and to render free consultancy. Till date 130 Master Trainers and 4997 Peer Educators have been trained for awareness of HIV/AIDS. Such trained persons are regularly visiting the peripheral villages making the people aware of this disease and its prevention etc. BCCL has trained nursing staffs for awareness of HIV/AIDS and till date 239 nurses have been trained in ILO sponsored training programme at Ranchi. Another programme namely Mission Mitwa is arranged for the persons of unorganized sectors. The medical team deliberate on the issue of HIV/AIDS on a fixed point with the Truck Drivers/Wagon Loaders/Chimney Bhathha Labour etc. are distributed amongst these persons/target groups. Various Health Care activities in BCCL

1. Swasthya rath: (Mobile Medical Van):- Since yr.2010, 14 (fourteen) nos. A/C Medical Mobile Vans (MMVs) have been pressed into services equipped with doctors, paramedical staff serving different 203 villagers situated in and around the mining areas on working days.

45

2. Muskan: (Wellness Clinic):- 14 Muskan Clinics are functioning in BCCL in all the hospitals/Regional besides Central Hospital, Dhanbad for counseling the patients for better life style management.+

3. Sarokar: (CSR Clinic):- CSR clinics, which are operating at Central Hospital & 14 others Hospitals of BCCL, provide free medical consultation to general public on all working days between 10AM to 11AM.

4. Bahujan Hitaya; (Heath Camps):- Health Camps are held regularly in different areas of BCCL. These health camps include Hypertension, Diabetic, Heart disease, Cancer, HIV/AIDS detection, Family welfare, Eye, Dental, Skin, Geriatric camp, Adolescent girl child camp, School health, Well baby show and many more. 5. Mamta: (Family & Child Welfare Camps):- Family welfare and baby health care programme are organized in BCCL through camps in various villages.

6. Jyoti Abhiyan: (Eye Camps):- Eye camps are organized under this scheme in which eye surgery with IOL (Intra Occular Lense) implantation are done. Generally the beneficiaries are non-BCCL and BPL card holders persons. Yearwise nos. of beneficiaries of various medical CSR Activities: Year Swasthya

Rath Muskan (Wellness Clinic)

Sarokar (CSR Clinic)

Bahujan Hitaya (Health Camps)

Mamta (Family & Child health care)

Jyoti Abhiyan (Eye Camps)

2009-10 59879 3518 4953 127/13168 2010-11 75342 13358 22278 155/9653 2011-12 103213 34563 43349 254/20450 2012-13 93327 23471 47235 272/16885 24/864 16/823 SPORTS & CULTURE Various programme are organized by BCCL to inculcate spirit and cultural activities among the peripheral villagers by providing them with Sports/Games items and other musical instruments of their use such as Dhol, Jhal, Nagara etc. Besides providing financial assistance to various Sports & Athletics Organisation of Dhanbad district for encouragement and promotion in the field of Games & Sports in the area. Activities organized in the peripheral village to promote sports and cultural activity includes:

1. State championship of Table Tennis under the aegis of District Table Tennis Association

at Nehru Complex, Koyla Nagar

2. T-20 East Zone Cricket Tournament at Jealgora Stadium under the aegis of Dhanbad

Cricket Association.

3. Sports for Handicapped & Blind Children’s on CIL foundation Day.

4. Financial Assistance to different Cultural Associations in and around Dhanbad & District

Administration for promoting Cultural Activities time to time as requested.

VILLAGE ADOPTION

In order to develop peripheral villages in an integrated manner, including their economic development, infrastructure upliftment, providing opportunities for social empowerment and other aspects of overall human development i.e. education, health, drinking water supply,

46

providing training and tools for self employment etc. BCCL is primarily adopting villages predominantly inhabited by the weaker sections of the society viz. SC/ST, OBC. For ensuring holistic and integrated development of villages through capacity building and participation of local people and institutions, BCCL has adopted one SC/ST village namely LAHBERA where, activities like creation of Community Centre/ Masala Cakki Centre/Health Sub-Centre/ Primary School/Multi Purpose Hall/Public Toilets/Children park/ PCC Roads & Drains/ Stand alone Solar Street Lights installation etc. have been done. As per MOU 2012-13

Sl.No Activity/ Parameter Expd. Target

Period Actual

1 Installation of solar lights in periphreal villages/PAP township (200 no)

35 lakh March'13 Tender not finalized

2 Installation and Completion of Multi-purpose waste mine Water Supply scheme for peripheral village for use of domestic and agricultural (2000 acres )

600 lakh March’ 13 393.71 lakh

3 Construction of rooms and providing infrastructures and teaching aids to village/peripheral school

40 lakh March '13 Work completed in Feb 13.

4 Health awareness & National health programme 40 lakh March'13

Expenditure of Rs 106 Lacs.

5 Providing medical facilities through MMV and supply of medicine in peripheral villages of BCCL command area

70 lakh March '13

Total

CSR expenditure target 0.5% of PAT 2011-12, Actual 794.33 lakhs ACTIVITIES UNDER MILLENNIUM DEVELOPMENT GOAL GUIDELINES As a part of CSR scheme, BCCL pursues the Millennium Development Goal guidelines by providing various developmental works for socio-economic, educational, health care and cultural upliftment of the rural masses and people with SC/ST population in particular in and around the coal fields of BCCL.

a) This includes construction/renovation of Community Halls, Health sub-centres, Solar

lights, Drainage system, Crematorium, Chhath Ghat in the ponds, Pond restoration,

School building, Toilets, Rikshaw shelters and Choupals.

b) Solar Light in peripheral villages: For creation of social community wealth under the

CSR Scheme, BCCL since last two years are engaged in installing Solar Street Lights in

peripheral villages under its command area to promote the use of alternative and

renewable energy sources. BCCL has already installed 300 Solar street lights during

2010-11 & 2011-12. In order to take the process forward, 200 more solar street lights are

also in the process of installation presently. The programme has been initiated to

illuminate areas of common use such as meeting places and village resource centres etc.

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c) Major Activities of PAPs

i. Provisions have been made in the tendering process of Civil Engineering related

works, under the command area of BCCL covering 14 operational Areas under

control of respective General Managers, for engagements of minimum 20% of the

required unskilled workers from local Project Affected People (PAP) of nearby

villages.

ii. 20% of the total jobs of coal transport are being offered on SOR rate, directly to the

local people through Co-Operative Societies created by them.

iii. BCCL has made provisions for providing free education to the children of the PAPs

residing within 8 kms distance from the project to be admitted in the project Schools

of BCCL against the fees at par with that being paid by the children of BCCL

employees. These schools hold classes from Nursery to Higher Secondary.

d) Installation of roads side Water Kiosks during summer season for providing drinking

water to public.

e) During winter, every year more than 10000 Blankets are distributed among poor section

of the society by BCCL.

f) Skill Development Schemes

Under Self Employment i. Duckery Project for Noonudih Village under the Command area of Lodna Area.

Duckery project promotion has been identified as one of the important livelihood interventions for promotion in addressing the livelihood opportunities for the poor villagers. Duckery requires a low investment and gives high returns within a short period. The return from Duckery can be maximized with minimum risk through better rearing practices. The villagers of Noonudih Village (Ward No. 48) proposed through Lodna Area for establishment of a Duckery Project which will be operated through a constituted self-help group and will promote self employment of local villagers. The project as such does not require high order of expertise and will be successful.

ii. Trade training to unemployment youth

a) Through JRDA, Dhanbad

Through Jharia Rehabilitation and Development Authority (JRDA), Dhanbad,

training in different trades at ITI at Dhanbad to 62 unemployed PAP youths who

have been rehabilitated at Jahria Vihar Belgaria, has been arranged by BCCL.

b) Training on Eco-Restoration through FRI, Dehradun BCCL in collaboration with Forest Research Institute (FRI), Dehradun has arranged for imparting training to PAPs and local villagers also in the field of eco-restoration through afforestation on the available derelict land in BCCL, by way of which not only the environment of the area will improve but the local employed people will get trained for earning of their livelihood. Till date 124 PAPs have already been imparted the training.

c) CIDC

d) ATDC

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22.1.4 Pension and CMPF: 1. Total claim files submitted by BCCL and Settled by CMPF office :

Submitted for the year 2012-13

Settled for the year 2012-13 % Increase/decrease over last year

5255

5300

Due to rate of retirement is less over the last year, submitted % decrease to the tune of 1.70%.

2. Total claim files submitted by BCCL and Settled by CMPF Office :

Submitted for the year 2011-12

Settled for the year 2012-13 % Increase/decrease over last year

5346

5391

Settlement also been decrease 1.68% over last year due to retirement rate was less over last year.

3. Decrease % over last year: Submitted Settled 1.70% 1.68% 4. Progress made from April, 2012 to March, 2013 are as under:

A. Progressive Submission up to March, 2013 : 91080

B. Progressive Settlement up to March, 2013 : 90304

C. Submission for the year, 2012-13 : 5255

D. Settlement for the year, 2012-13 : 5300

5. Special Achievement: A. BCCL has deposited his regular V.V. Statement of Financial Year, 2011-12 of all 129 unit

within Nov 2012 with complete reconciliation.

B. With constant follow up with Area as well as CMPFO, now BCCL handing over Pension

Pay Order with PF Cheques on the day of retiring date to the retiring person. It is a great

achievement on the part of BCCL in the year 2012-13.

22.2 MEDICAL

1. SWASTHYA RATH (Mobile Medical Van):

The services of Swasthya Rath for villagers under command areas of BCCL started in 2009 with the help of 2 Mobile Vans. Now Fourteen Medical Mobile Vans (MMVs) have been pressed into services equipped with doctors, paramedical staff serving different 222 villages situated in and around the mining areas on working days. The total beneficiaries during April, 2012 –March, 13 were—93327

49

2.MUSKAN:(WELLNESS CLINIC) 14 Muskan Clinics are functioning in BCCL in all the hospitals/Regional Hospitals besides Central Hospital, Dhanbad for counseling the patients for modifying their life style. The patients are made known about the nutritional values of different diets, diet schedules for different diseases, how to lead a happy life, importance of morning walk, how to get rid of stress, value of yoga and different types of exercise etc. The total no. of beneficiaries from April.2012-March, 13 was--23471 3. SAROKAR (CSR CLINIC): BCCL has embarked upon by opening of free CSR clinics from 01.04.2009 to provide free patient consultation at Central Hospital (PHC Building, Kalyan Bhawan) and subsequently at all 14 Regional Hospitals which is open to all. These clinics run for one. /two hours daily in morning hours and free medical advice is given to people around Colliery areas. The total no. of beneficiaries in April, 12-March, 2013 was--47235

4. HEALTH CAMPS(BAHUJAN HITAYA) Health Camps, which is one of the Parameters under MOUs for Excellence In Company’s rating, is done regularly in different areas of BCCL. During April, 12-March, 2013 272Camps were organized in which 16859 persons were benefitted.

5. PROJECT MITWA:

This programme is being organized in Block-II Area of BCCL mainly for the truck drivers who are not well known to the evils of AIDS. The team of Doctors along with union Leaders reaches the pit heads where the truck drivers assemble and deliberate about AIDS. From April, 2012-March, 2013, 1079 persons were benefited in 25 camps.

6. JYOTI ABHIYAN: Under this, Eye Camps were organized in different BCCL Hospital to give sight benefit to Non-BCCL persons. In such camps free IOL implantation were done through modern techniques. Beneficiaries in Nov, 2012-March 2013 are 823 in 16 Camps.

7. F.W.CAMPS IN BCCL: 25 F.W. will be organized in different areas of BCCL in the current financial year (2012-13). Out 25 camps 24 camps were organized in the month of Oct, 12- Feb, 13. in which 864 persons were benefited. 8. EPEDEMIC CONTROL: A) The epidemic of Gastroenteritis/Cholera/Jaundice emerged in villages/Tola near Katras, Govindpur &Baghmara area. The team of doctors of concerned area visited and treated and distributed free medicines more than 200 cases. B) Presently the epidemic of Dengue emerged around CV area in Chanch, Brahma and Layakdih villages. The team of doctors of CV area visited colonies, villages and treated more than 125 persons, still task is continuing. Fogging machine for vector borne disease control. 9. FOUNDATION DAY: On the occasion of Coal India Foundation (1st &2nd November, 12) 21 different camps were organized in all areas of BCCL including Eye Camp, Hypertension detection Camp at CHD and Diabetic detection Camp at KNH. Total number beneficiaries are more than 3000.

Eye Camp 2nd Nov,2012 to March,2013

16 823

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10. WORLD AIDS DAY: World AIDS Day was celebrated on December 1st. 2012 in P.B. Area. Marched was led by D(P),BCCL followed by more than1000 of school children through the streets of Putki Bazar raising slogans for awareness of HIV and AIDS. A pandal was erected and well arranged to receive the students as well the employees, trade union leaders, members of INMF and dignitaries from BCCL Hqs. Faculties from Jharkhand AIDS Control Society and CMS, Central Hospital, Dhanbad delivered their catching lectures on the topic. General Manager of P.B. area welcomes the D (P) and other dignitaries. An impressive Natak was performed on various issues by School of Nursing, Bhuli Natya Kala Academy

11. EK JAGRAN – JEEVAN SHAILI: Life Style Management Programmes are being organized by Welfare Department of BCCL assisted by Medical Deptt. In different areas in which de-addiction from tobacco, alcohol, smoking and other ill habits are deliberated. Such programme is arranged amidst thickly populated colonies so that all the members of the family may participate.

12. TELE-MEDICINE: BCCL has installed Telemedicine Centre at Central Hospital; Dhanbad which will pave the way for introduction of new system of treatment based on tele-communication. The treating doctors at CHD may have interaction and discussion on a particular disease or patient with the doctors of super-specialty hospitals in order to provide best possible medical assistance to them. Initially the department has been connected with RTIICS, Kolkata and Mission Hospital, Durgapur; few more corporate super specialty hospital of repute will be connected in the months to come. The unit was inaugurated by Chairman CIL on March 28th.2010.

22.3 Industrial Relations

During the financial year 2012-13, the Industrial Relations scenario of BCCL by and large remained peaceful and cordial. Regular structural meetings were held with Central Trade Unions under 3 tier system i.e. Unit, Area & Head Quarter, as per the calendar of structural meeting. This calendar is circulated to all the General Secretaries of these Central trade Unions functioning in BCCL well in advance and meetings were organized accordingly. Apart from the Structural meetings with Central Trade Unions, Industrial Relations meetings were also held with other Trade Unions and with Craft Unions over the issues raised by these unions through their charter of demands. Calendar for CCC meeting, Welfare Board meeting & Safety Committee meetings were also issued and meetings were held accordingly in which participating Central Trade Unions were consulted for taking decision on important issue. Implementation of BCCL Employees Group Gratuity Scheme was one such important issue in which CCC members were consulted and with their effective co-operation it has been implemented in BCCL. A system has also been developed in BCCL under which IR situation report from all the Areas of BCCL is being obtained every day firstly in the morning between 7.30 AM to 8.00 AM to know the day today IR situation of the Company so that appropriate action can be taken to sort out the situation so that it may not hamper production programme of the day. Finally a 2nd report on the IR situation is taken between 10.30AM to 11.00 AM to sort out the issue, if any, emerges. This helps in minimizing the work stoppage, if any.

51

It may be seen that due to this effective management of Industrial Relations Man days Loss, due to any sudden strike or stoppage of work has again became Nil during the financial year 2012-2012 also. 2011-12 2012-13 Man days Loss Nil Nil

Achievement of the Company in the area of Official Language Implementation 2012-13. ------------------------------------------------------------------------------------ a) Compliance of the Section 3(3) of the Official Language Act, 1963 is ensured.

b) During the year the four quarterly meetings of the Official Language

Implementation Committee (Corporate level) were held on 16 June,12; 28 August,12; 27 December,12 and 23 march, 13 respectively.

c) 38 Hindi workshops were organized during 1 April, 12 to 31 March, 13 in HRD

Department and different areas of BCCL in which 1048 employees participated. d) Central Hindi Library of BCCL has more than 4021 standard hindi books.

Purchase of hindi books is done every year. During the year total 131 books have been procured for ` 40,774/- .

e) 17th & 18th issues of the six monthly House magazine 'Koyla Bharati' were

published on 15 August, 12 & 26 January, 13 respectively. f) Rajbhasha fortnight was observed from 14th September’ 12 to 30th September’12.

During the Rajbhasha Pakhwara, Noting & Drafting Competition (separately for Hindi & non- Hindi employees), Essay Competition exclusively for women employees, Hindi Quiz and self composed Hindi Poem, and hindi essay competition for housewives of officers/employees, Hindi Slogan competition, Hindi Gyan Pratiyogita (Hindi Knowledge competition) to generate interest for the Hindi language in the new generation was organized for the school going children of the employees.

The main attraction of the hindi fortnight was to pay homage to great hindi writers who contributed a lot in progress of hindi.

A large number of officers/employees, their housewives and their children

participated in these competitions. In addition to the attractive prizes for the best three, all remaining participants were also given consolation prizes.

On the recommendation of the Official Language inspection Committee

"Svargiya Shankar Dayal Singh smriti puruskar" were awarded to the best three Areas as well as three departments of Head Quarter, for their performance pertaining to the implementation of the Official language (Hindi) for the year 2012.

52

All the awards, shields and prizes as above mentioned, were distributed during the concluding ceremony of the Official Language fortnight held on 1st Oct., 2012. At the occasion Dr. Shankar Lal Purohit, the famous hindi litterateur and Sri Ashok Pagal, Regional Language Litterateur were honored with "BCCL Koyla Bharti Rajbhasha Samman" for their outstanding contribution in literary world.

g) Hindi version of the Annual Report of the company for the year 2011-12 was

published.

h) BCCL holds the Chairman’s office of the Town Official Language Implementation Committee (TOLIC), Dhanbad. During the year two meetings (on 15 June, 12 and 19 Dec, 12 respectively) were held under the Chairmanship of Director (Personnel). The publication of TOLIC "Dhanbad Rajbhasha Sandesh" issue 1 & 2 were also released in these meetings.

53

Special Achievement of BCCL in the field of Rajbhasha During year 2012-13 the BCCL received following awards in the field of Rajbhasha as well as its house magazine 'Koyla Bharti':

Sl. no.

Name of institutions/details of awards

Place Purpose

1 Rashtrbhasha Swabhiman nyas, Ghazibad confered the BCCL with "Rajbhasha Gaurav" award in All India Rajbhasha Conference on 25.04.12.

NEW Delhi

For outstanding activities in

the field of Rajbhasha implementation

2 Rajbhasha sansthan, New Delhi confered the BCCL with "Karyalay Deep" award in All India Rajbhasha Conference on 27.04.12

Solan, Himachal Pradesh

For progress in

implementation of Rajbhasha in office

3 Bhartiya Rajbhasha Sansthan, Dehradun confered the BCCL with "Rajbhasha Shree", "Vishesh Rajbhasha Shree", "Rajbhasha kirti", "Vishesh RAjbhasha Kirti" and "Rajbhasha Shilpi" award in All India Rajbhasha Conference on 12.10.2012.

Shimla, Himachal Pradesh

For outstanding performance in the field of Rajbhasha

implementation

4- Bhartiya Rajbhasha Sansthan, Dehradun confered the BCCL's house magazine "koyla bharti" issue-17 with "Rajbhasha Dipti" award in All India Rajbhasha Conference on 12.10.2012.

Shimla, Himachal Pradesh

For better theme and subject matter of "Koyla Bharti"

5 Rajbhasha Sansthan, New Delhi confered the BCCL with "Karyalay Deep" award in All India Rajbhasha Conference on 02.11.12.

Solan, Himachal

Pradesh

For progress in

implementation of Rajbhasha in office

54

In recognition of outstanding contribution in Rajbhasha

implementation individually

Sl. No.

Name of officer Name of institutions/details

of awards

Place Purpose

1-

Shri T. K. Lahiri, CMD, BCCL

Bhartiya Rajbhasha sansthan, Dehradun confered him with "Rajbhasha Shree" award in All India

Rajbhasha conference on

12.10.2012.

Shimla, (Himachal Pradesh)

For excellent contribution in the

fields of

implemantation of

Rajbhasha and its policies by monitoring, reviewing and giving

guidance as a chairman of BCCL's OLIC.

2-

Shri P. E. Kachhap Director (P)

Bhartiya Rajbhasha Sansthan, Dehradun confered him with "Rajbhasha kirti" award in All india rajbhasha conference on 12.10.2012.


For outstanding contribution in the field of implemantation of Rajbhasha policies, by facilitating, co-ordinating, guiding, motivating and effective monitoring of all programmes and activities.

3-

Shri S. Kudadah GM (P)/Rajbhasha

Bhartiya Rajbhasha Sansthan, Dehradun confered him with "Vishesh Rajbhasha kirti" award in All india rajbhasha conference on 12.10.2012.


For commandable contribution in using Rajbhasha and effective supervision in implementation of Rajbhasha.

4-

Shri Sudarshan Jha Dy.Manager (Sectl.)/Rajbhasha

Bhartiya Rajbhasha sansthan, Dehradun confered him with "Vishesh Rajbhasha Shilpi" award in All india rajbhasha conference on 12.10.2012.


For deep interest with enthusiasam towards use of simple & easy hindi and its wide publicity, commamdable contribution in organising, co-ordinating and condacuting Rajbhasha programmes and activities.

Bhaartiya

For deep interest with enthusiasam towards use of simple & easy

55

5-

Shri Deepak kumar Sinha Dy. Manager (Sectl.)/ Rajbhasha

Rajbhasha sansthan, Dehradun confered him with "Vishesh Rajbhasha Shilpi" award in all india rajbhasha conference on 12.10.2012.

Shimla,

(Himachal Pradesh)

hindi and its wide publicity, commamdable contribution in organising, co-ordinating and condacuting Rajbhasha programmes and activities.

6-

Shri Dilip Kumar Singh MT (Rajbhasha)

Bhartiya Rajbhasha sansthan, Dehradun confered him with "Vishesh Rajbhasha Vishist-ta" award in All india rajbhasha conference on 12.10.2012.


For deep interest towards maximum use of hindi in offices and commandable contribution in Rajbhasha programmees and activities.

7-

Shri S. N. Singh Senior Translator

Bhartiya Rajbhasha Sansthan, Dehradun confered him with "Vishesh Rajbhasha Vishist-ta" award in All india rajbhasha conference on 12.10.2012.


For deep interest towards maximum use of hindi in offices and commandable contribution in Rajbhasha programmes and activities.

23 VIGILANCE Brief note on actions taken by Vigilance Department of BCCL on Preventive

Vigilance, Punitive action, Surveillance detection and other important

achievements

Vigilance Department is an integral part of management which helps the organization by playing an important and vital role in the growth of the organization by promoting ethics and probity which goes a long way in achieving a good public image of the organization. In order to promote the goal of the company, Vigilance Department of BCCL under the broad guidelines of Central Vigilance Commission has adopted a three-pronged strategy to combat/prevent corruption/irregularities which has been detailed below:

Preventive: - Under it comes plugging of loopholes by issuing guidelines for system

improvement whenever required, educating and counseling the officials of the

organization.

Punitive: - Under it comes initiation of disciplinary action against the officials/employees

of the company who indulges in corrupt practices and found guilty of omission

and/ or commission.

56

3. Surveillance: - Which help in minimizing the scope of corruption.

Brief description of activities undertaken by the Vigilance Department of BCCL within the

scope of above areas during the financial year 2012-13 is elaborated below:

1. Preventive Vigilance:

a. Surprise/test checks:

During the financial year 2012-13, Vigilance Department conducted 16 surprise

checks. The main thrust area of surprise checks/inspections are as under:

i. Irregularities in Civil tendering/repairing job ii. Weigh Bridges

iii. Finance Department iv. CSR Activities v. Equipment repair

vi. Purchase of materials.

Certain irregularities were observed in such checks and 03 regular cases were

registered for investigation. While 04 cases are still in investigation stage, in the 03

other case, CMD, BCCL ordered for minor PP against six Executives and warning

against 04 officials.

b. Intensive Examination:

CTE type intensive examination of various civil work/procurement of materials is yet another area in which documents are scrutinized to check irregularities. During the financial year 2012-13, six numbers of CTE type intensive examinations were carried out in which minor penalty was awarded to two officials.

c. Observance of Vigilance Week for creating awareness:

In pursuance of CVC’s order no. 16/08/12 dated 28.09.2012, Vigilance

Awareness Week-2012 was observed in BCCL from 29.10.2012 to 03.11.2012. During the Vigilance Awareness Week-2012 a number of activities were organized starting from pledge taking ceremony to holding seminars on Vigilance Awareness, Inter school debate, essay writing and slogan writing/painting competitions etc.

In the pledge taking ceremony taken on 29.10.2012, Shri TK Lahiry,

Chairman-Cum-Mg. Director, BCCL, administered the pledge to all officers and staffs of HQ. Functional Directors, namely S/Shri Ashok Sarkar, Director (T)P&P, Shri PK Kachhap, Director (Personnel) were present. Similar pledge taking ceremony was organized in all the Areas, hospitals and units.

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In the programme organized at HQ after administering of pledge by CMD, BCCL, the house was addressed by Shri PK Sinha, Chief Vigilance Officer, BCCL. He gave brief background on the observance of Vigilance Awareness Week as per the directive of the Central Vigilance Commission. He stated that this year the theme of Vigilance Awareness Week was “Transparency in Public Procurement”. Procurement of the goods and services was very important activity in developing economy. Achievement of our development goal was dependent to a great extent on effectiveness and efficiency of our public procurement system.

The risk of corruption in public procurement is dependent on various factors like the cost of the procurement, complexity of the technology involved, the urgency to acquire the good or urgency of the project and the extent of discretion enjoyed by the procurement officials. A sound procurement system should be able to address these risk factors.

He presented in brief about the various system improvement measures and other measures under preventive vigilance taken during the last one year and the punitive vigilance actions taken during the period. He also announced about the publication of compendium of circulars and guidelines issued by CVC, CIL and BCCL during the year 2012 and the magazine of the Vigilance “CHETNA’”. He expressed thanks to CMD, FDs for being receptive to the suggestions/advice of Vigilance in bringing more system improvement measures.

In the inaugural ceremony, Shri Ashok Sarkar, Director (T) P&P stated that eradication of corruption in the society as a whole and establishment of integrity and transparency was need of the day. Greater awareness in this regard was required to achieve such goal. Good governance was the need of the time, and in BCCL, under the direction of CMD and guidance of CVO, many steps were taken for the establishment of good governance. We are progressing well in leveraging of technology. He requested all the officers of the company to increase the level of awareness more and more, use of technology for bringing transparency, fairness and accountability in day to day work.

Shri PE Kachhap, Director (Personnel) in his address stated that the observance of Vigilance Awareness week was not just a ritual but reaffirmed our commitment to eradicate corruption and bringing transparency, accountability and probity. This was high time to sensitize the officials of the company and the public in general against corruption and its adverse effect. Clean and good governance can be adopted by checks and control. Every official was responsible to maintain transparency in his working. This could be achieved by following the laid down guidelines/rules/ manuals, guidelines issued by company, agencies such as CVC, greater use of technology etc. He appreciated the efforts of Vigilance Department in sensitizing the officials by organizing seminars and workshops, publication of compendium and issuance of circulars.

Shri TK Lahiry, Chairman-cum-Mag. Director, BCCL in his address stated that in the last 3-4 years, the company has progressed and has come out from BIFR and it has become one of the best subsidiaries of CIL. A week is only about 2% of a year and the focus and efforts we put on anti-corruption activities and bringing transparency, accountability and probity in the work during this week should continue for the whole year. Every individual should bring change in himself which would consequently bring change in his life, society and the company, in turn. The motivation and commitment to bring transparency and honesty in the work should come from inside of every individual and there should not be need of its imposition by Vigilance Department. Every individual should give his best. He appreciated the Vigilance Department for the preventive works, system improvement measures, workshop and seminar being organized by Vigilance Department.

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With continuous effort of Vigilance Department and all other departments, we have achieved the level which should not only be maintained but should be taken to greater heights. Transparency in public procurement is a big issue and he requested the officials to give the facts and circumstances in the notings while taking decision. He requested the officials to gain experience in their works through working, seminars and training programme, guidelines/circulars and act with integrity and bonafide intension On 30.10.2012, a one day workshop was organized at Subhash Bhawan, Harinabagan Colony, Block-II Area. The workshop was inaugurated by Director (P) in presence of Shri PK Sinha, Chief Vigilance Officer, BCCL and Shri PK Manjhi, SP, CBI, ACB, Dhanbad in which Sr. Executives of Area-I,II,III,IV,V,VI,WJ,WWZ participated.

There were 03 sessions, 1st session was taken up by Shri PK Manjhi, SP, CBI, ACB, Dhanbad on the topic “CBI: The Organization and its role under PC Act & IPC”. 2nd Session was taken up by Shri PC Mishra, Dy. General Manager (System), IICM, Ranchi on the topic “Common errors in Tendering process – Use of Leveraging Technology to prevent them”. 3rd Session was taken by Dr. Pramod Pathak, Professor, Department of Management Studies, ISM, Dhanbad on the topic “Reinventing the society: the values imperative”.

During closing ceremony, Shri PK Sinha, Chief Vigilance Officer interacted with

the participants and answered their queries relating to various issues and topics.

On 31.10.2012, another one day Workshop was organized at Jealgora Auditorium, Lodna Area. The Sr. executives of Area- VII, IX, X, EJ, CV, EWZ, HQ & CCWO participated in the workshop which was inaugurated by CMD, BCCL in presence of Shri Ashok Sarkar, Director (T)P&P and Shri PK Sinha, Chief Vigilance Officer. There were 3 sessions on the same topics as in the workshop held on 30.10.2012 i.e. on day before.

On the closing ceremony, Shri PK Sinha, Chief Vigilance Officer interacted with the

participants and answered their queries relating to various issues and topics.

On 31.10.2012 inter school slogan writing and painting competition was held at

Carmel School, Dhanbad in which participants of 09 schools of Dhanbad took part.

On 01.11.2012 an inter school essay writing competition the topic “War against

corruption is the mother of all wars” for the students of Class-IX to XII was held at Delhi

Public School, Dhanbad.

On 02.11.2012 an inter school debate competition was held at De-Nobili School, CMRI in which students of 09 schools participated. The topic of debate was “Corruption Free India is a Utopian Belief”.

On 03.1.2012 an inter school essay writing competition was held at DAV School,

Koyla Nagar, Dhanbad for the students of class VI to VIII in which students of 09 schools

participated.

On 03.01.2012 itself a talk on “Role of CBI and Vigilance on combating corruption” was organized jointly by CBI, ACB, Dhanbad and Vigilance Department, BCCL at DAV School, Koyla Nagar. Shri PK Manjhi, SP, CBI, ACB, Dhanbad delivered the talk. Shri PK Sinha, Chief Vigilance Officer also addressed the school children on this occasion.

The essay competition for executive and no-executive of BCCL which was

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scheduled to be held on 02.11.2012 was organized on 09.11.2012. The topic for non-executive was “Jaalsaji se safal hone se behtar hai emandari se asafal hona” and the topic for executive was “Bharastachar mukt Bharat is a dream far to be seen”. A large number of executives and non-executives took part in the essay competition.

Workshop on Vigilance Awareness:

1) Vigilance Department, BCCL organized two nos. of one day Workshop on Vigilance Awareness

on 25th and 26th Sept, 2012 at HRD, Kalyan Bhawan, Jagjiwan Nagar.

The workshop was organized for Managers/Agents/Project Officers of different units of

BCCL. Project Officers of Area I to VI and EWZ and Managers of Area VII to XII (except

Area VIII) were the participants on 25.09.2012 and Project Officer of Area VII to XII

(except Area VIII), WWZ and Managers of Area I to VI participated on 26.09.2012 On 25.09.2012, the workshop was inaugurated by Shri TK Lahiry, CMD, BCCL. On this

occasion Shri DC Jha, D(T)OP, Shri Ashok Sarkar, D(T)P&P, Shri PK Sinha, Chief

Vigilance Officer, BCCL and Shri DK Chandrakar, General Manager (Vigilance) were

present. Shri S. Dasgupta, General Manager (HRD) gave Welcome speech.

In the inaugural address, Shri PK Sinha, CVO, BCCL stated that the image of the company

is required to be improved and to be projected in correct manner and for this all the

executives have to work with fairness and transparency. CVC has emphasized leveraging of

technology time and again in its meeting and accordingly all efforts are being taken for

computerisation and updation on website and making available more and more information

from website. He stated that the Manager, Agent/Project Officers work as Disciplinary

Authority. They should have knowledge of Departmental Proceedings and keeping in mind

all these matters the workshop has been organized.

Shri Ashok Sarkar, D(T)P&P in his address stated that this type of workshop will certainly

improve the transparency. This will increase the knowledge of the executives and help in

their day to day functioning. These types of workshops are necessary for the executives to

avoid mistakes in working. In the field of leveraging of technology many

improvement/additions have been done and many more are in pipe line.

Shri DC Jha, D(T)OP in his address stated that the Preventive Vigilance is best vigilance

and in this field CVO, BCCL is doing exemplary work for which he needs congratulation.

Manager and Project Officers are the back bone of the industry and as such they should be

more vigilant and transparent in their work. He wished all success to the workshop.

Shri TK Lahiry, CMD, BCCL in his address expressed happiness on organizing such type

of workshop by Vigilance Department. This type of workshop will certainly be helpful in

knowing vigilance angle and other matters. He told the participants to work with

transparency and with common sense. This will solve almost all their problems. The

company is being looked by everyone in and around. So we should work to keep the image

of our company high. Most of us know what we should do but we don’t care for this while

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doing. These types of workshops/seminars are helpful to bring change in the company in

right direction.

In the first session, Shri Kislay Bhattacharjee, Dy. General Manager, IICM, Ranchi dealt

with CDA Rules, Disciplinary Proceedings, Role of IA etc. He described in details the

provisions of CDA Rules, roles of Disciplinary Authority and different aspects of

Disciplinary Proceedings which should be kept in mind by the DA while taking decision. In the second session, Dr. SRP Shukla, Ex-General Manager, MECON, Ranchi delivered on

the topic “Managing by Ethical Power”. He stated that there are various types of power but

the “Ethical Power” or the personal power is most important. He stated that the officers of

the company should work as warrior while on duty, tackling problems coming in day to day

work. He told that the aim of the management should be managing man ethically. In present

time ethics/values/moral has become of utmost importance in the field of management also.

In the third session Shri BS Mishra, Chief Vigilance Officer, ECL dealt on the topic “Role

of Vigilance in increasing efficiency and effectiveness of organization” He stated that

Vigilance is not a Road Block in the achievement of organizational goal. It is an integral

part of the management and facilitating in achieving organization goal by eliminating

delays, by simplifying the rules and containing corruption for better results. In true sense

Vigilance should be a dreaded terror for the corrupt people and champion for the cause of

honest. Hence Vigilance helps in bringing out efficiency and effectiveness in the

organization through its preventive and punitive actions. The aim of the Vigilance is also to

achieve the organization goal.

At the end of the session Shri PK Sinha, Chief Vigilance Officer, BCCL interacted with the

participants and answered the queries/ questions/suspicion raised by them on different

matters/issues.

On 26.09.2012, the workshop was inaugurated by Shri TK Lahiry, CMD, BCCL. On this

occasion Shri Amitabh Saha, Director (F), Shri PK Sinha, Chief Vigilance Officer, BCCL

and Shri DK Chandrakar, General Manager (Vigilance) were present.

Shri Amitabh Saha, Director (F), BCCL stated that Vigilance should not be the task on one

department. Every Officer of the company should work as Vigilance Officer. Vigilance

should be from within. If all officers become vigilant, there would not be any need of

circular/guideline. Our motives are governed by many things such as our inner perception

and other extraneous factors. At one hand one wants our children to be good person/citizen

but we do not act like that in our working. We should lead by examples.

The speakers and Topics on second day were same as on the first day except the session

taken by Shri PK Manjhi, SP, CBI, ACB, Dhanbad in which he dealt with role and function

of CBI, various provisions of PC Act and IPC. He deliberated in detail regarding definition

of public servant, how to bring transparency in work, what are the factors which can be

taken in consideration while taking decision etc.

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At the end of the session Shri PK Sinha, Chief Vigilance Officer, BCCL interacted with

the participants and answered the queries/ questions/suspicion raised by them on different

matters/issues

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d. System Improvement:-

1) A circular was issued by Director (Tech.) P&P, BCCL for proper recording and avoiding pilferage of coal during transportation from one colliery to other places. Registration No. of each tipper will have to be written on both side of the tipper body apart from usual number on front and back. Certified copy of RC book of each tipper shall be kept with the authorised officials at despatching and receiving ends. Multiple entry / exit point at loading / unloading should be closed with barricades. CISF barriers / check points should be placed such that all tippers passed through them both while loading / unloading. All weigh bridge clerks to ensure that tipper number are recorded on the challan / gate pass on the basis of tripper registration number written on the tripper body. All future transport contracts / NIT will specifically mention that all trippers should have their registration number written on both sides of the tripper body.

2) Based on the recommendation of Vigilance Department, a circular was

issued by Director (Tech.) P&P, BCCL for stopping pilferage of coal

during transportation. The salient point of the orders are as follows :-

i) Vehicle engaged for siding and Washery transportation should not be allowed to change Area / Mine.

ii) Only minimum number of barrier required for siding transportation will remain open for 24 hours, other should be kept locked under CISF supervision.

iii) One vehicle operating in one Area will not be allowed for transportation work in other Area,

iv) All the vehicles involved in inter Colliery transportation of coal should be fitted with RFID / GPRS system.

v) Major weigh bridges weighing 30 or more trips a day should be fitted with web camera system connected with weigh bridge computer.

vi) All the check posts and receiving points should be connected with wireless LAN system.

vii) The contractors should obtain police verification of their drivers & helpers engaged in transportation.

viii) All staff and executive engaged in weigh bridge and siding will not

be allowed to work for more than three years at the same place.

3) An office order was issued by GM(Admn.) regarding implementation of coloured noting sheet meant for specific nature of job. There will be three different colour noting sheet meant for capital, revenue & general use. The use of differently coloured noting sheet would eliminate the possibility of wrong delivery / misuse of the proposal. The approving authority will also be able to identify the nature of proposal / subject matter. This will also eliminate unnecessary movement of the proposal.

4) A circular was issued by GM(Sales & Marketing) regarding weighment of

trucks at Colliery road weighbridge. As per the circular, there should be prominent marking on each road weighbridge regarding disposition of the wheels of the trucks. It also states that during weighment for empty as

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well as loaded trucks it should be ensured that the trucks are properly placed between lines so marked. It would be better if two rails are inserted with rigid foundation at the side of the weighbridge. The tare and final weighment should be taken after both the weighbridge staff and CISF deployed in the weighbridge confirmed that the disposition of the wheels of the trucks is proper and the same should be certified in the loading advice office copy. In cases where the gross weight is less than 2 Metric Tons of the carrying capacity, the weighment will be recorded and signed by the loading supervisor, weighbridge Incharge and CISF posted in the weighbridge.

5) As per the recommendation of Vigilance Department the following

action have been taken in the matter of improvement of weighbridges

:-

a) The allotment chart is being prepared by a committee comprising of AGM, ASM & concerned Project Officer. This is done on the norms set by the Sales Department, HQ and the program developed by System Department.

b) The allotment chart prepared by the committee is being fed to the weighbridge computer and locked in the beginning of the ensuing week by a password of the officer of the committee, so that the despatch of coal to DO holders are done strictly as per the chart.

c) The fail safe positioning system will be introduced after acceptance of legal metrology Department.

d) The loading report are menu based and as generated date wise, colliery wise & customer wise as required by the management.

e) Clock time settings are real & protected in all the weighbridges

and the Zero arrear of the digitizer has been restricted to 20 KG

maximum.

6) Purchase order for Supply, Installation, Commissioning of GPS based vehicle Tracking System (on rental basis) have been placed vide no. BCCL/PUR/312120/VTSRental/42/12-13/185 Dated 29.12.2012 on M/s ARS Software (Pvt.) Ltd., Trivandrum at the total amount of Rs. 4,43,29,110.80 (Rupees four crores forty three lakhs twenty nine thousand one hundred ten & paisa eighty) only for the period of 60 months.

As per requirement of the system, Central control room at Koyla Bhawan, BCCL and Area control room at Kusunda Area have been established for trial run. Server for VTS system at Central control room and most of the equipment required for Area control room have been installed.

As per the scope of work, M/s ARS have to supply, install, commission and maintain the system initially at Kusunda Area for three months trial run with not more than 70 nos. of vehicle for monitoring. As on date, Vehicle Mounted Units (VMU) have been installed in 29 nos. of designated vehicle at Kusunda Area and the same is under observation from VTS server installed at Central control

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room, Koyla Bhawan and Area control room, Kusunda. After successful completion of the trial run, the system shall be implemented at all Areas of BCCL for about 975 nos. of transport vehicles.

2. Punitive Vigilance: -

During the financial year 2012-13, Vigilance Department registered total 25 regular cases. 06 cases were closed after due action against the 12 responsible officials. In 15 cases, investigation has been completed and action has been initiated against the 45 responsible officials. 04 cases are still under investigation.

Apart from the above, during the year 2012-13, CBI altogether registered 05 cases against the officials of BCCL out of which 03 cases were related to demand and acceptance of illegal gratification and sanctions for their prosecutions in the Court of Law have been issued by the concerned D.A.

3. Surveillance detection:

During the year 2012, Agreed list for BCCL was prepared in consultation with SP,

CBI, Dhanbad. The list of officials of doubtful integrity was also prepared for the said

period. 4. Vigilance clearance/status:

Vigilance Department of BCCL issued Vigilance Status report in respect of 2751

numbers of officials during the year 2012-13.

24. EXIT FROM BIFR BCCL was referred to BIFR as a sick company consequent upon its net worth becoming negative and was registered vide Reg. No. 504/95 dated 18.12.95. Subsequently, with a capital restructuring through conversion of CIL loan for Rs.996 Cr. into Equity, the net worth of the company was made positive and the Company came out of BIFR in December 1997. However, after completion of accounts for the year 1999-2000, the Net Worth of the company again turned negative. The company was referred to BIFR and was registered as a sick company vide no. Registration No. 502/2001. As directed, BCCL submitted its Revival Plan to BIFR as on 12.04.2004 for its consideration. Subsequently, after formation of BRPSE, BCCL submitted its Revival Plan to BRPSE in April’05 suitably modifying the Rehabilitation Plan submitted earlier to BIFR on 12.04.2004. BRPSE recommended the Rehabilitation Plan of BCCL to BIFR for concurrence as confirmed vide OM no. 38039/1/2008-CA-II(Pt-I) dt. 3/10/2008 of Director, MOC.

In its hearing held on 18.05.2009, BIFR directed BCCL to submit updated

Revival Scheme/ Proposal for revival of BCCL. Accordingly an updated Draft Rehabilitation Scheme (DRS) was submitted to BIFR vide ref. no. CMD:

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ES:F:BIFR:09:771 dated 11.08.2009. The said Draft Rehabilitation Scheme has since been approved by BIFR as communicated by Bench Officer- II, BIFR on 28.10.2009 and the same has also been vetted by MOC, Govt. of India as communicated by Under Secretary to Govt. of India, MOC vide reference no. 13011/4/2004-CA-II(Vol.II) dt. 25.02.2010. A review hearing was held on 28.09.2010 on the progress of implementation of the Revival Plan. In the said hearing, the company was directed by BIFR to continue to submit the compliance report(s) from time to time on quarterly basis.

Chronology of events leading to the exit from BIFR during 2012-13 BCCL filed an appeal before the Hon’ble Bench of BIFR for clearance from the

purview of sickness by virtue of its Net worth becoming positive as on 31.07.2012 after consideration of the waiver as agreed by CIL and part of the Revival Plan.

In the hearing held on 15.10.2012, the Bench directed BCCL to submit a certificate from Statutory Auditor certifying the company’s positive net worth within two weeks time and the Bench adjourned the hearing to 07.11.2012.

In the hearing held 07.11.2012, the Bench directed that the company to submit auditors certificate for confirming its positive net worth to enable the Bench to consider its discharge from the Board within three weeks.

After hearing the representatives of BCCL, the Hon’ble Bench of BIFR issued the following directives:

(a) The Company M/s Bharat Coking Coal Ltd. (Case No.502/2001) ceases to be a sick industrial company, within the meaning of Section 3(1)(o) of the SICA as its net worth has turned positive, and Statutory auditor has also confirmed this, therefore, the Bench discharged the captioned company from the purview of SICA/BIFR.

(b) Unimplemented provisions of the Sanctioned Scheme, if any would be implemented by all concerned.

(c) All creditors, Statutory Authorities are at liberty to recover their dues, if any, according to Sanctioned Scheme.

(d) The Special Director, if any, appointed by the Board on the Company’s ‘Board of Directors’ (BOD) would stand discharged with immediate effect.

(e) The Company would complete necessary formalities with the concerned ‘Register of Companies’ (ROC) as may be required.

After the above discharge by BIFR from the purview of SICA, the

implementation was required for “Waiver of the loan of `1083 Crores and current account balance of `1456 crores as well as interest on other loans in the year in which BCCL shall be consequently enabled to report a positive net worth” as per the Sanctioned scheme and the directives of BIFR. However, the above waiver of `2539 Cr. (`1456 Cr+`1083Cr.) was effected by converting it into subscription monies for issuance of 5% non-convertible, cumulative, redeemable Preference shares of the face value of `1000/- each with following conditions:

(a) The preference shares are to be redeemed at the expiry of 7 years from the date of issue and allotment. However, CIL would have the option to redeem at any time after the expiry of 5 years from the date of issue and allotment of the shares.

(b) Redemption of preference shares at the face value (no redemption premium ) ; and (c) Annual cumulative dividend is 5%.

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BCCL Board at its meeting held on 19th March, 2013 approved the above along with amendment of Clauses no. 5 and 15 of the Articles of association and clause V of the Memorandum of Association of the Company.

BCCL at its 15th EGM meeting held on March 26, 2013 approved the amendment of the aforesaid clauses of the Article of Association and Memorandum of Association. EGM also approved

(a) Increase in Authorised Capital by `2600 crore for issue of Preference Shares ; and (b) Issue of `2539 crore preference shares in favour of CIL for an aggregate

consideration equivalent to the amount of the funds (waiver) by BCCL to CIL. Necessary formalities with the Register of Companies (ROC) are under process.

BCCL Board at its meeting held on 26.03.2013 approved the issue and allotment of the 5% non convertible Cumulative Redeemable Preference Shares to CIL. Taking into effect of allotment of issue of Preference Share the net worth of the Company turns positive and the directive of Hon’ble Bench of BIFR is complied and an in intimation in this regard was also sent to BIFR vide our letter reference no. D(F):SOS:F:BIFR:13:02 dated 02.04.2013. 25.Audit Committee:

Audit Committee of the Board of Directors of BCCL has been formed in the year 2002 in line with the section 292 A of the Companies Act, 1956. Shri Paul Joseph, Non Official part time Director is the Chairman of Audit Committee. The Audit Committee consists of the following members: i) Sri Paul Joseph, Chairman of Audit Committee ii) Shri P. Soma Shekar Reddy, Director Ministry of Coal, Govt. of India. iii) Shri D.C.Jha Director(Technical), BCCL. iv) Shri B. Ramesh Kumar, Independent Director v) Dr. B.B. Biswal, Independent Director vi) Shri S.B. Ghosh Dastidar, Independent Director vii) Shri P.R. Mandal, Independent Director

The terms of reference of Audit Committee include all commercial aspects of the

organization including inter-alia.

i) Review of financial statement before submission to the Board. ii) Periodical review of internal control system. iii) Review of Govt. Audit and Statutory Auditors’ Report. iv) Review of operational performance vis-à-vis standard parameters

including that of subsidiaries. v) Review of Projects and other capital schemes including that of

Subsidiaries. vi) Review of internal audit findings/observations including that of

Subsidiaries. vii) Development of a commensurate and effective internal audit function. viii) Special studies /investigation of any matter including issues referred by

Board. The Audit Committee held 10 meetings during the year 2012-13.

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26. CONSTRUCTION OF NEW WASHERIES & MODERNISATION / MODIFICATION

BCCL IS THE ONLY SUBSIDIARY OF CIL WHO HAS FINALIZED AWARD OF WORK FOR THREE WASHERIES NAMELY

MADHUBAND NLW WASHERY (5.0 Mtpa); PATHERDIH NLW WASHERY (5.0 Mtpa) AND DAHIBARI NLW WASHERY (1.6 Mtpa).

CONSTRUCTION OF NEW WASHERIES IN BCCL

ON BUILD-OPERATE-MAINTAIN (BOM) CONCEPT

BACK GROUND OF SETTING UP OF NEW WASHERIES ON 'BOM' CONCEPT

• It was decided in the meeting held on 11.01.2007 chaired by Hon’ble MoC (Coal) at

Kolkata that CIL should supply improved quality and sized coal to the consumers only

after washing except for consumers at Pit Head.

• CIL had identified to set up 20 washeries in its various subsidiaries under BOM

Concept / Turn-key Scheme.

• Accordingly, BCCL Board in its 260th Board Meeting had conceptually agreed for

setting up of six washeries on BOM concept.

• These Washeries are to be constructed on Build, Operate and Maintain (BOM)

concept.

The proposed locations of the new washeries & its capacity in terms of raw coal input

are furnished below:

1. Madhuband NLW 5.0 Mty. 2. Patherdih NLW 5.0 Mty.

3. Dugda NLW 2.5 Mty.

4. Dahibari NLW 1.6 Mty.

5. Patherdih NLW 2.5 Mty.

6. Bhojudih NLW 1.6 Mty.

18.6 Mt

STATUS OF ALL WASHERIES UNDER 'BOM' CONCEPT

• PROPOSED NLW WASHERIES UNDER 'BOM' CONCEPT IN BCCL (FINALIZED)

1. 5.0 Mtpa MADHUBAND NLW COAL WASHERY

Date of Floating of Bid : 31.03.2009

Date of Opening of Bids : 07.11.2009

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Date of Award of Work : 23.06.2010

EMP Clearance : 25.01.2012

Milestones achieved in 2012-13

Contract Agreement between M/s HEC Ltd. and BCCL has been signed on 12.11.2012.

Letter for 'Consent to Establishment' from JSPCB, Ranchi is awaited.

Surveying of the Proposed Site has been completed and construction of Boundary Wall is in progress.

Design & Engineering Work is in progress

For dispatch arrangement of Washed Coal and Washed Coal (Power), Tender Document has been finalized.

RITES have also been awarded the work to develop the site for loading arrangement system of Washed Coal and Washed Coal (Power). The Detailed Feasibility Report by RITES is expected to be submitted soon.

MOU target for finalization of agreement Dec ‘2012.

2. 5.0 Mtpa PATHERDIH NLW COAL WASHERY

Date of Floating of Bid : 23.07.2009 Date of Opening of Bids : 09.06.2010 EMP Clearance : 25.01.2012 Date of Award of Work : 06.02.2012

Milestones Achieved in 2012-13

Contract Agreement has been signed with M/s MIEL on 17.10.2012.

Letter for 'Consent to Establishment' from JSPCB, Ranchi has been received.

Construction of Boundary Wall is being obstructed by the local villagers resulting in delay in project execution.

Approval of Drawings is in progress.

For dispatch arrangement of Washed Coal and Washed Coal (Power), Tender Document is being finalized. RITES have also been awarded the work to develop the site for loading arrangement system of Washed Coal and Washed Coal (Power) for both 5.0 Mtpa & 2.5 Mtpa proposed NLW Washeries. RITES has completed the Site Survey. Feasibility Report is awaited from RITES.

Design & Engineering Work is in progress

MOU target for finalization of agreement is January 2013.

3. 1.6 Mtpa DAHIBARI NLW COAL WASHERY

Date of Floating of Bid : 31.05.2010 Date of Opening of Bids : 03.08.2011 EMP Clearance : 06.02.2013 Date of Award of Work : 25.03.2013

Milestones Achieved in 2012-13

69

The Project has been approved by BCCL Board in its 291st meeting held on 05.01.2013. Empowered Sub-Committee of CIL Board has approved the investment proposal in its 79th Meeting held on 12.02.2013.

LoA has been issued to M/s ACB (I) Ltd. on 25.03.2013 and Contract is expected to be signed in April, 2013.

EMP Report has been approved by MoEF vide their letter no. J-11015/185/2010-1A.II(M) dated 06.02.2013.

For dispatch arrangement of Washed Coal and Washed Coal (Power), RITES have been engaged for development of Railway Siding. RITES has completed the Site Survey. Feasibility Report is awaited from RITES.

• PROPOSED NLW WASHERIES UNDER BOM CONCEPT IN BCCL (YET TO BE FINALIZED)

1. 2.5 Mtpa DUGDA NLW COAL WASHERY

ACTIVITIES PERFORMED DURING 2012-13

After finalization of L1 Bidder, the Tender had to be cancelled since the identified Lowest Bidder had backed out before LoI could be issued. It is being re-tendered.

Fresh Customized Bid Document (RFQ as well as RFP Parts) under BoM Concept for retendering the Project is again being prepared at CMPDI.

For dispatch arrangement of Washed Coal and Washed Coal (Power), RITES have been engaged for development of Railway Siding.

MOU target for finalization and approval of tender is December 2012.

2. 2.5 Mtpa PATHERDIH NLW COAL WASHERY


Conceptual Report as prepared & submitted by CMPDI has been approved.

Final Customized Bid Document under BoM Concept is being prepared by CMPDI HQ, Ranchi. The Bid Document will consist of RFP part only since it comes under the group of 'Common Centralized Request for Qualification.'

For dispatch arrangement of Washed Coal and Washed Coal (Power), RITES have been engaged for development of Railway Siding.

3. 2.0 Mtpa BHOJUDIH NLW COAL WASHERY


Conceptual Report as prepared & submitted by CMPDI has been approved.

CMPDI HQ, Ranchi is preparing the Customized Bid Document under BoM Concept. The Bid Document will consist of RFP part only since it comes under the group of 'Common Centralized Request for Qualification'.

70

CONSTRUCTION OF NEW WASHERIES IN BCCL UNDER "TURN-KEY" CONCEPT

STATUS OF WASHERIES UNDER 'TURN -KEY' CONCEPT

1. 2.5 Mtpa COKING COAL WASHERY AT MOONIDIH


• Coal Sample has been collected from the linked source of Mines by CMPDI, Ranchi and the same has been sent to CMPDI, Laboratory on 18.09.2012. Now it is at testing stage.

2. 2.5 Mtpa COKING COAL WASHERY AT KAPURIA


• Site is to be finalized. Difficulties are being faced to collect the representative coal sample as the mine selected for the potential source of coal for the washery is virgin.

3. Further, two NLW Washeries of 5.5 and 5.8 Mtpa capacities are also being

formulated. Locations and linkages of these two NLW Washeries are under study &

finalization.

27. ENVIRONMENT & ECOLOGY

BCCL has made sustained and large scale efforts to improve the environment. The following activities were taken up by BCCL during 2012-13.

(A). Ecological restoration:

For the first time in Coal industry , eco-restoration on mined out areas of degraded land has been taken up by BCCL. The eco-restoration is basically a process which is ecologically, economically and socially acceptable and provides short circuit to natural recovery of environment of the area. The work of ecological restoration consists of three tier plantation of native species for establishing natural forest i.e. grass, shrubs and trees. It will attract the forest eco-system including food chains. Model eco-restoration are underway at two sites:

At Tetulmari colliery under Sijua area, eco-restoration over 8.00 ha OB dump is being

done through expert agency Forest Research Institute, Dehradun at a cost of Rs.20.00 lakhs. The seed balls have been broadcasted and further 7000 saplings of local species have been planted.

At Damoda colliery under Barora area , eco-restoration have been taken up under the expert guidance of Prof. C.R. Babu of Delhi University at two dumps comprising of total 7 ha.. Grass seeds have been broadcasted over the dumps and further 18000 saplings of bamboo dominated local species have been planted.

71

Both the sites are showing promising result. Expert Appraisal Committee (T&C) of

MOEF in its visit in Oct 2012 appreciated the work at both sites. To serve as a

guideline for restoration of the mined out area of the whole coalfield using forest

techniques and involving local villagers and Project Affected People, a Road Map for

ecological restoration of mined out areas of BCCL was prepared through FRI,

Dehradun. BCCL in collaboration with Forest Research Institute (FRI), Dehradun has

imparted training to about 135 PAPs and local villagers in the field of eco-restoration

which will enhance improve potential of earning of livelihood of the local people.

Schedule of Rates for Ecological Restoration has been formulated and approved by

BCCL in the 289th meeting of Board of Directors held on 01.10.12. It is proposed to

engage local villagers and project affected people through nodal agencies of FRI

,Dehradoon /CEDME of Delhi University ,to create income for them. (B). For biological reclamation an amount of Rs. 25.27 lakh has been given as advance

to District forest Deptt., Govt. of Jharkhand for plantation on 137.40 ha land out of identified 175 .4 Ha.

Departmental plantation was also taken up in different areas/ units with distribution of. saplings from our nursery, for planting in and around the schools, dispensaries, office premises and other suitable places.

(C) BCCL is having its own Environmental Laboratory. Regular monitoring of air, water etc. is being done for keeping a check on the pollution level. Mitigative measures, as and when necessary, are being taken.

(D) Environmental Clearance of mines of BCCL

BCCL has got approval for Terms of Reference (TOR) for all 17 Clusters (Group

of Mines). These Clusters have got approval of MoEF for a production capacity of

61.576 million tonnes and a peak capacity of 80.115 million tonne.

Out of 17 clusters for which ToR has been approved, final EMP submitted

to MoEF in respect of 15 Clusters ,01 cluster Public Hearing is to be conducted

by WBSPCB, Kolkata and remaining one cluster draft EMP is under preparation .

Out of 15 Clusters submitted to MoEF for approval, Environmental Clearances

for 09 clusters having Production capacity of 40.733MTPA & peak capacity

of 53.018 MTPA are already approved & issued.

MOU target approval of clusters 03 Nos.

Further Environmental Clearances recommend/ agreed for 05 more clusters by

Expert Appraisal Committee (EAC)of MoEF having production Capacity of

12.538 MTPA and peak capacity of 16.300MTPA.

01 more cluster EMP is under consideration of EAC having production Capacity

of 5.87 MTPA and peak capacity of 7.631MTPA

The environmental Clearances for 02 washeries having capacity of 5MTPA each

has been granted by MoEF. Further EC of 02 more washeries of 1.6MTPA

72

normative capacity each are approved along with mines under cluster concept of

mines.

The Expert Appraisal Committee of MOEF (Thermal & Coal) visited BCCL

during 27th Oct 2012 -31st Oct. 2012 and appreciated initiatives of BCCL.

(E) Training under CSR for enhancing income generation capacity of local youth BCCL signed a Memorandum of Understanding with Construction Industry Development Council (CIDC), New Delhi, a body promoted by Planning Commission on 20.03.2013 for skill development of human resources and placement of youth in the Construction Sector.

BCCL in coordination with the CIDC is identifying the prospective project affected

persons to undergo the required training programs to be conducted by CIDC .

BCCL will support, guide and assist as may be necessary for success of the training

programme.

BCCL will release the cost @ Rs. 42,960 per candidate which includes all expenses

including lodging and boarding.

In the year 2013-14, 5000 youths will be trained and at least 75% placing is to be

ensured by CIDC. The target for the second and subsequent years will be scaled up @

15% per annum.

Project affected people especially which are rehabilitated at Belgoria Rehabilitation

site will get preference over other people covered under CSR obligation of BCCL.

(F) Approval of the Master Plan for Dealing with fire, subsidence and rehabilitation in the lease hold of BCCL

The Master Plan for for Dealing with fire, subsidence and rehabilitation in the lease hold of BCCL has been approved on 12th Aug., 2009 by Govt. of India. The initial two years consists pre-implementation activities i.e. socio-economic survey, land acquisition, thermal survey, town planning etc. which are going on as per the provision of Master Plan.

The implementation of Master Plan is being monitored by High Power Central

Committee at regular intervals. In this regard, last Meeting was held on 19.12.2012 under the Chairmanship of Secretary (Coal), Ministry of Coal.

(i) Fire, Subsidence Control and Rehabilitation Schemes

As a protective measure to prevent /control fire and subsidence, 6 Fire Schemes with a sanctioned cost of Rs.97.50 crores have been formulated through CMPDI as per the approved Master Plan which are at different stages of implementation. Out of this, 2 fire schemes have been completed.

In addition BCCL has also taken advance action for dealing with active fires through hiring HEMM in different patches.

It is proposed by BCCL vide letter no. BCCL/CMD/Sr.ES/F-2(A)/12/274, dated 2nd Aug., 2012 that the amount of Rs.2295 crores out of 2311 crores earmarked in

73

Master Plan can be re-appropriated till the RE crosses the amount for facilitating the following various activities for implementation of rehabilitation of families from endangered areas as per the approved Master Plan: a) in enhancing the size of the rehabilitation houses / carpet area from Indira Awas Yojana type to JNNURM housing norms.

b) in meeting the financial impact on account of increase in the number of endangered families after actual demographic survey.

c) in meeting the appreciation of price of land acquisition etc. This will enable in accelerating in the implementation of Jharia Master Plan.

(ii) Demonstration Project at Belgoria A Demonstration Scheme for “Shifting of people from most endangered areas of BCCL” is going on for an amount of Rs.61.09 Crores for rehabilitation of people from endangered areas of Jharia Coalfield. The details are as below :-

BCCL Non-BCCL (being done by JRDA)

Target 1500 houses 3100 houses Constructed 344 houses at Bhuli, Bhimkanali,

Nichitpur and Katras Coal Dump in triple stories blocks

Till date 204 employees have already shifted to these quarters.

Work Order has been issued in

favour of M/s Kamla Construction on 22.10.10 for construction of 1152 Triple Stories quarters (96 Block each of 12 units) at Kusunda, Katras,Sijua and Lodna Area of BCCL. Constructions of all buildings are completed. Outside Development work, external water supply and external electrification will start shortly.

2352 houses are completed in Jharia Vihar, Belgoria. 1162 families have already shifted in these quarters.

Electric power supply and

water distribution to the houses is already made by JRDA.

Construction of 748 houses

could not be started due to land problem with local people and paucity of fund also.

Sanctioned amount (Rs.Cr.)

35.89 25.19

Expenditure incurred (Rs.Cr.)

35.89 25.19

Note : Additional cost incurred Rs.32.51 Cr. for completing 1152 BCCL houses has been taken from Master Plan, as Demonstration Scheme (EMSC-24) is dovetailed in Master Plan.

74

(a) 1162 families (encroachers) of Bokapahari, Kukurtopa sites (Kustore Area), LUJ Pit Area (Lodna Area), PB Area and Ghanoodih Colliery/ fire sites (Bastacolla Area) have already shifted to Jharia Vihar, Belgoria Township.

(b) 1117 nos. of affected families (encroachers) have already been handed over cheque amounting Rs.10,000/- (each) as shifting allowance.

(c ) 1041 nos. of affected families (encroachers) have already been given 1st & 2nd payment of minimum wages of 250 days, whereas 299 nos of affected families have also been paid 3rd & 4th installment of minimum wages totaling to 500 days.

(iii)Rehabilitation under Master Plan

BCCL

NON BCCL(Being done by JRDA) Private

(Authorized) Private (Unauthorized) Others

TARGET 23500 Houses 29444 Houses 20747 Houses 868 units STATUS BCCL Board has approved

construction of 4080 triple

storied quarters (340 Blocks

each of 12 units). These

quarters have also been planned

to be constructed in non-coal

bearing area at Kusum Vihar,

Katras & Jagjivan Nagar in

addition to Karmatand,

Karmiknagar and Alakdih for

the value of Rs.165.56 Crores.

Work has already been started

by the agency at Kusum Vihar,

Karmik Nagar and Jagjiwan

Nagar.

A proposal for construction of 4020 triple storied quarters (335 Blocks each of 12 units) has been made and approved for calling tender. These quarters have been planned to be constructed in non-coal bearing area at Karmatand Township under Bastacolla Area, Govindpur Area, Lodna Area, EJ Area and CV Area. Tender has been called on 3.9.2012 and have been received on 08.10.2012. Credentials given by various agencies are

E-tender for 2000 units double room Visthapit Awas has been floated by JRDA on 09.12.11 and opened on 16.01.12, Price bid opened on 21.02.12.

Letter for

acceptance has

been issued to

M/s INDU

PROJECTS LTD.

Hyderabad by

JRDA vide letter

No.365, dated

6.9.2012 for

awarded value of

Rs.70.11 crores.

Work has been

started by the

agency on

18.02.2013.

Foundation work

in 21 Blocks is in

progress.

All other works like socio-

DPR for construction of of road from Joraphatak to Dokhra crossing adjacent to Belgaria is proposed by RITES and forwarded to RCD, GOJ for Technical Sanction by JRDA. Work has been awarded by RCD, Dhanbad, which is likely to start shortly.

Construction of market complex, Bank, Post Office at Belgaria is almost finished.

75

verified. Technical bid (Price bid) is opened on 02.04.13.

economic survey, land acquisition, payment of shifting allowance and payment of minimum wages to affected families are already going on and detailed separately.

JRDA is unable to shift non-BCCL persons/ encroachers from endangered and fiery zones under the approved Master Plan, due to non-availability of houses / land for rehabilitation. BCCL has decided to temporarily shift those persons (whose socio-economic survey has been done by JRDA) to 'Reclaimed Sites' in various collieries of BCCL. For this purpose, BCCL has already selected 47.84 Acres land in non-fire zones.

SANCTIONED AMOUNT (Rs

CRORES)

1068.45 2780.81 818.38 112.95

EXPENDITURE INCURRED

(RS CRORES)

49.90 98.21 -

(iv) Demographic/ Socio-Economic Survey:

CIMFR and ISM, Dhanbad have been entrusted with the job of demographic / socio-economic survey of fire affected/ subsidence prone areas for identification of families living in these areas. Survey of 348 sites (128 sites by CIMFR, 210 sites by ISM.

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09 sites by Whiz Mantra and 01 site by JRDA) have been completed till 31.03.2013, in which 37367 (20422 by CIMFR, 15322 by ISM, 1382 by Whiz Mantra and 241 by JRDA) families have been identified and photo identity cards are complete for 24076 families. Distributions of photo identity cards are in progress.

(v) Road diversion

As per the survey report of RITES Ltd. following routes has been approved by Govt. of

Jharkhand as an alternate measure to NH-32 on 29.06.10 and also accepted by Ministry

of Road transport & Highway, Govt. of India.

(a) Short Term Measure: Strengthening and widening of road from Mahuda More –Nawagarh-Dumra-Gomoh to Topchanchi. The DPR prepared by RITES Ltd has been approved by Road construction Department, Govt. of Jharkhand. The estimated cost is Rs 19.85 crores for construction of said road. Govt. of Jharkhand has sought fund from BCCL, Dhanbad. BCCL has provided fund of Rs 19.85 crores to JRDA which has already been sent to Executive Engineer, Road Construction Deptt on 14.03.2012. Work has been started and 37% work completed with the expenditure of Rs.6.00 crores approx. (b) Long Term Measures: Mahuda-Mahespur-Bhatmurna-Kako More (via Hirak Road)- Gol Bhawan (NH-32).

(vi ) Railway diversion

Brief Report/Discussion plan for proposed rail routes has been submitted by RITES. The office of G.M.,E.C.Rly,Hajipur and G.M.,S.E. Rly,Kolkata have forwarded their comments along with brief report/discussion Plan of RITES Ltd regarding railway diversion to Railway Board, New Delhi.

(vii) Land Acquisition for Satellite Township for non-BCCL people & encroachers

(a) An estimated 1105 ha. of land would be required for resettlement of non-BCCL families. Proposals for 1038.88 acres Raiyti land sent to the DLAO, Dhanbad by JRDA. Proposal to 309.13 acres of Government land sent to the Addl. Collectorate, Dhanbad by JRDA. Further 440 acres (Raiyti and Govt.) land has been surveyed for acquisition / transfer by JRDA.

(b) Delivery of possession for mouza Lipania (120.82 acres Raiyati land) and Dhokra (Ring Road 7.99 acres Raiyati land and 1.35 acres Govt. land) has been taken over by JRDA from DLAO, Dhanbad on 28.02.2013.

(c) NoC has been provided for 849.68 acres of non-coal bearing BCCL's land and 86.44 acres of vacant land in Bhuli township to JRDA for rehabilitation of non-BCCL persons/ encroachers.

(viii) Service building : (a) BCCL has provided Health Sub-Centre, Community Centre, Atta Chakki at Belgoria

Township for betterment of inhabitants of the township.

(b) Estimate for construction of Masjid has been approved and tender has been floated on 14.12.2012 by JRDA. Work is finalised & awarded. Construction work is started.

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(c) TCR for construction of boundary wall of Children Park at Belgoria has been finalised and LOA have been issued by JRDA. Foundation work started.

(d) JRDA has selected 62 rehabilitated persons from Belgaria Township for imparting

training at ITI Dhanbad under CSR activities of BCCL for which BCCL has already

paid Rs.2,49,300/- to JRDA. Training of 26 persons has been started in 1st Phase.

(e) BCCL has released Rs.3.37 Cr. to JRDA on 31.03.2012 for strengthening of road

from Barmasia to Jharia-Baliapur road junction via Belgaria Township, for better

connectivity to rehabilitated persons under CSR activity. JRDA has obtained

technical sanction for Rs.3.50 Cr. (approx.) on 14.05.2012. Work has been started by

Rural Works Deptt. (RWD). 10% work is completed.

(f) BCCL has completed construction of Computer and Sewing Training Centre at Jharia

Vihar, Belgoria for the cost of Rs.6.67 lakhs. Work is completed.

(g) BCCL has also started construction of Administrative Block at Jharia Vihar, Belgoria for the cost of Rs.3.84 lakhs.

(G)Sustainable Development: BCCL has initiated Sustainable Development as per the guidelines issued by Deptt of Public Enterprises (DPE) & constituted Sustainable development committee headed by independent Director. Our approach to sustainable development stems from our fundamental intent to prosper as a business and to meet the energy needs of present and future generations. we sponsor and promote programs that encourage innovation and conservation. The different activities taken up under Sustainable Development program are: (i) Afforestation/Biodiversity/Ecorestoration : 52000 saplings have been planted

against the target of 25000 for the year. Further maintenance work for plantation in 137.4 Ha of degraded land done through State Forest Department.

(ii) Training /Workshop on Sustainable Development : Two workshops were organised for awareness of all concerned on the subject.

(iii) Rain Water Harvesting : Installation of rain water harvesting at CMD’s bunglow, Directors’ bunglow and 139 units D-type quarters at Koyla Nagar is an initiative in this direction and will be taken up in future also in other colonies in non-coal bearing areas.

(iv) Recycling of Sewerage water/ Mine effluents: Oil & grease traps has been installed in Muraidih workshop & P.B.Project workshop .Further installation of Sewage Treatment Plant at Koyla Nagar is in process.

(v) SD Reporting: BCCL is the first company of Coal India limited to upload its Sustainable development Report as per the MOU under the guidelines of DPE for Sustainable Development Activities.

MOU target and actual achievement is sustainable development. 1. expenditure on SD, target 0.1% of PAT plus 50 lacs. Actual ___________. SD Projects Target Actual Afforestation / eco-restoration/ Plantation

21000 plants 46900 plants

Recycling of sewerage/ mine effluent / oil grease trap

1 2

Training / workshop on SD

1 2

Rain water harvesting 1 1 (continuing ) SD reporting Feb 2013 Jan 2013

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28. Directors’ Responsibility Statement: In terms of Section 217(2AA) of the Companies Act, 1956, the directors report

that: i) In the preparation of the annual accounts, the applicable accounting standards

have been followed. ii) Such accounting policies have been selected and applied consistently and

judgments and estimates have been made that are reasonable and prudent so as to give true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the company for the period.

iii) Proper and sufficient care have been taken for the 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.

iii) The annual accounts have been prepared on a going concern basis.

29. Inspection of Annual Accounts of BCCL. The Annual Accounts of BCCL shall be available for inspection for any shareholders

of Coal India Limited on demand at Company Secretariat of the Company.

30.Implementation of Integrity Pact: Integrity pact has been implemented in BCCL. An MOU was signed with Transparency International Ltd., Delhi on 4th March 2009 at Dhanbad to implement the integrity pact. As per FDs decision held on 31.01.2011 and 01.02.2011 Integrity Pact coverage have been extended for the tenders awarded with the approval of Director. Integrity Pact are also cover all tenders finalized by GM(MM) and GM(CMC) of the Company. It was previously applicable in all tenders which attract the approval of CMD, as the case may be or of higher level.

31. Performance of MoU Parameters for 11-12: Corporate Governance Report (i) Compliance of Corporate Governance as per corporate Governance guidelines

issued by DPE - Submitted. (ii) Submission of date for Public Enterprise Survey published by CPE --- Submitted on

10th September, 2012.

79

32. STATUS OF COST AUDIT/COMPLIANCE OF COST AUDIT REPORT FOR

THE YEAR 2011-12 PURSUANT TO SECTION 209(1) (d) , 600 (3) (b) of the

Companies Act,1956 and rule 2 of the Companies (Cost Accounting Record )

Rules,2011

BCCL appointed the following Cost Auditors for submission of Compliance Report for the year 2011-12 and cost audit for the financial year 2012-13:

1. S.G. & Associates - Central Cost Auditor. 2. Rajesh Kumar & Co. 3. DGM &Associates. 4. Sanjeevan & Co. 5. B.Mukhopadhyay & Co. 6. Basu, Banerjee, Chakraborty, Chattopadhyay & Co. 7. BCD & Associates. 8. R.K. Bhattacharyay & Co. 9. B.G. Chowdhury & Co. 10. S. Banik & Co.

The Cost compliane report for the financial year 2011-12 was submitted by the Central Cost Auditor on 14.12.2012 and the said compliance report was filed with the MCA in XBRL mode on 28.12.2012. ACKNOWLEDGEMENT Your Directors extend their thanks to the Government of India, the Ministry of Coal in particular and Coal India Limited for their unreserved support and valuable guidance towards attainment of the objectives of the Company. Your Directors also extend their thanks to the State Government and its officials including those at the District level, for their co-operation and valuable assistance extended to the Company. Your Directors also acknowledge the constructive suggestions received from Statutory Auditors and Comptroller & Auditor General of India and are grateful for their continued supported co-operation. Thanks are also due to the employees and trade unions who extended their full and loyal co-operation in production and all other activities of the Company during the year.

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ADDENDUM

The following are annexed to this report: 1. Addendum to the Directors’ Report under section 217(2A) of the Companies Act,

1956 read with the Companies(Particulars of employees ) rules 1975. 2. Addendum of the Directors’ Report under section 217(3) of the Companies Act,

1956. 3. Comments of the Comptroller and Auditor General of India under section 619(4) of

the Companies Act, 1956 and review of Accounts by the Indian Audit and Accounts Department.

For and on behalf of the Board of Directors.

Sd/- (T.K .Lahiry)

Dhanbad Chairman-cum-Managing Director Dated: 20.05.13 Bharat Coking Coal Limited

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ANNEXURE-I RESEARCH & DEVELOPMENT(R&D) DURING 2012-13

1. Technology Absorption, Adaption and Innovation : Covered above. Efforts, in brief, made towards technology absorption, adaption and innovation. The

technology of high capacity sand flushing has been established with the existing pump and stowing arrangement.

2. Benefits Derived as a Result of the above. Since favorable results have been achieved, the results of the above experiment can

be successfully used to fill inaccessible voids below ground by spend sand flushing to stabilize the ground surface and made it safe. The volume of sand which can be flushed by this technique is quite high compared to conventional stowing.

This R&D scheme was taken up for further trials for other parameters like optimum

ratio of sand, water by volume , maximum distance of packing through a single borehole, maximum void filled through a single borehole, consumption of impeller etc.

3. In case of imported technology imported during the last 5 years reckoned from the beginning of the financial year the requisites information is given below:

(a) Technology imported No new technology was imported/used.

(b) Year of import Not applicable. (c) Has the technology been fully Absorbed. Not applicable. (d) If not fully absorbed, areas where this has not taken

place, reasons therefore and future plan and actions.

Not applicable.

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Report on Corporate Governance : (2012-13) 1. Corporate’s Philosophy: BCCL is committed to observe Corporate Governance at different level for ensuing values, ethical behavior conduct transparency, disclosure as per laws, rules and guidelines. 2. Board of Directors: As per Articles of Association of BCCL, the number of Directors of the Company shall not less than three and not more than fifteen. These directors may be either whole time Functional Directors or part time Directors. 3. Composition of Board: As on 31st March, 2013, the Board of Directors consists of a full time Chairman, 4 Functional Directors, 2 Non-Executive Directors, 5 independent Directors. In addition, there are 2 permanent invitees in the Board. 4. Board Meeting: During the year 11 Board Meetings were held on 21.04.12, 21.05.12, 02.07.12, 31.07.12, 01.10.12, 03.11.12, 05.01.13, 01.02.13, 02.03.13, 19.03.13 and 26.03.13. Details of number of Board Meeting attended by Director, attendance of last Annual General Meeting, number of other directors etc. during the year 2012-13 are as follows: Sl. No.

Name of Director Category of Directors No. of Board Meetings attended during 2012-13

Attended last AGM

1. Shri T.K. Lahiry Chairman 11 Yes 2. Shri P.E. Kachhap Director 8 No 3. Shri D.C.Jha Director 10 No 4. Shri Amitava Saha Director 11 Yes 5. Shri Ashok Sarkar Director 11 No 6. Shri P.Soma Shekhar

Reddy Non-Executive Director 1 No

7. Shri Paul Joshep Independent Director 11 No 8. Shri B.Ramesh Kumar Independent Director 9 No 9. DR. B.B.Biswal Independent Director 10 No 10. Shri N.Kumar Non-Executive Director 5 No 11. Shri

S.B.GhoshDastidar Independent Director 8 No

12. Shri P.R. Mandal Independent Director 2 No

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5. Audit Committee : a) Composition: Audit Committee of the Board of Directors of BCCL has been formed in the year 2002 in line with the section 292 A of the Companies Act, 1956 in pursuance of excellence in Corporate Governance. Audit Committee of BCCL consists of five independent Directors, one Functional Directors and one Government Nominee Director, One of the independent Director is the Chairman of the Committee. As on 31st March 2013, the Audit Committee ( a sub committee of BCCL Board of Directors) composed of the following members: i) Shri Paul Joshep : Chairman ii) Shri P.Soma Shekhar Reddy : Member iii) Shri D.C. Jha : Member iv) Shri B.Ramesh Kumar : Member v) Dr.B.B. Biswal : Member vi) Shri S.B. Ghosh dastidar : Member vii) Shri P.R. Mandal : Member Director(Finance) and Head of Internal Audit and the Statutory Auditors are invited to the Audit Committee Meeting for interacting with members of the Committee. Senior Financial Executives are also invited as and when required to provide necessary information to the Committee. b) Scope of Audit Committee: i) Review of financial statement before submission to the Board. ii) Periodical review of internal control system . iii) Review of Govt. Audit and Statutory Auditors’ Report. iv) Review of operational performance vis-à-vis standard parameters including that

of subsidiaries. v) Review of Projects and other capital schemes including that of Subsidiaries. vi) Review of internal audit findings/observations including that of Subsidiaries. vii) Development of a commensurate and effective internal audit function. viii) Special studies /investigation of any matter including issues referred by Board. a) Meeting and Attendance of the Audit Committee: Ten meetings of the Audit Committee were held during the financial year 2012-13 on 20.04.12, 21.05.12, 02.07.12, 30.07.12, 01.10.12, 02.11.12, 04.01.13, 01.02.13, 01.03.13 and19.03.13. The details of the meeting of Audit Committee attended by the members are as under: Sl. No.

Name of Director Status No. of Board Meetings attended

1. Shri Paul Joshep Chairman 10 2. Shri P.Soma Shekhar

Reddy Member 1

84

3. Shri SB Ghosh dastidar Member 8 4. Shri B.Ramesh Kumar Member 8 5. Dr.B.B. Biswal Member 9 6. Shri D. C. Jha Member 10 7. Shri P.R. Mandal Member 0

b) General Body Meeting : Date, time and venue of the last 3 Annual General Meeting are as under: Financial

Year Date Time Location

2011-12 26.05.2012 1.00 PM Koyla Bhawan, Koyla Nagar, Dhanbad

2010-11 24.05.2011 11.30 AM Koyla Bhawan, Koyla Nagar, Dhanbad

2009-10 20.05.2010 11.30 AM Koyla Bhawan, Koyla Nagar, Dhanbad

f) Share holding pattern of BCCL: 100% share of BCCL are held by Coal India Limited and its nominee. As per MOU

1) Compliance of Corporate Governance guidelines issued by DPE as applicable to BCCL : 100%

2) Submission of data for public enterprises survey published by DPE ( in line with DPE Directives ) : Submitted on 10.09.2012

AUDITOR’S REPORT MANAGEMENT’S REPLY TO THE MEMBERS OF BHARAT COKING COAL LIMITED I. Report on the Financial Statements

We have audited the accompanying financial statements of Bharat Coking Coal Limited, which comprise the Balance Sheet as at March 31, 2013, and the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information. II. Management’s Responsibility for the

Financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. III. Auditor’s Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor

considers internal control relevant to the Company’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. III.a Attention is drawn to the following :- III.a.i Survey off Assets Note-10(2b) refers to Assets retired from active use, which are being held for disposal. These are being retained at net book value i.e. cost less depreciation without ensuring that the book value is lower than net realisable value as recommended by A.S. 10-Accounting for Fixed Assets issued by ICAI and to this extent, expected loss, if any, could not be recognized in the Profit & Loss Statement.

This has already been explained in Note No. 10 at Para No. 2(b). This practice is being consistently followed by the Company and its effect in the Profit & Loss Account is also not material.

III.a.ii Provision for Impairment of Assets: Note-10(2c) refers to provision for Impairment of Assets as laid down by A.S.28 issued by ICAI; a sum of Rs. 6.79 Crores has been determined as impairment loss of assets. Other than Fixed Assets under the category of ‘Prospecting & Boring and Development’ no provision has been created in the Accounts towards impairment loss; if any.

Impairment of assets has been ascertained during the year as indicated in Note-10 at para no. 2(c).

III.a.iii Overburden Removal (OBR) Accounting : Para 16 of Accounting Policy (Note-33) deals with method of O.B.R. Accounting. Regarding compliance of the directions contained in A.S. 26 – ‘Intangible Assets’ issued by I.C.A.I., status-quo has been maintained placing reliance on Expert’s opinion obtained by the Company in the past.

This being a statement of fact calls for no comment separately.

III.a.iv For Assets and Liabilities taken over following Nationalisation of Coal Mines by virtues of Govt. Notification as dealt with in NOTE-10.1 necessary Deed of Conveyance has remained to be executed.

This has been suitably disclosed in Note-10 at Para no. 1.

III.a.v Depreciation on unmoved Capital work in progress:

As dealt with in NOTE-10.3 provision for depreciation at applicable rates have been made on Plant & Machinery and incomplete civil jobs lying in Capital Work in Progress remaining unmoved for 3 & 4 years respectively, without ascertaining the adequate reasons for non-completion.

No depreciation has been charged on Capital-work-in-Progress which has not been moved for more than three and four years as the case may be but a provision equivalent at the rate of depreciation applicable on the category of assets have been made in the Accounts for wear and tear of the machinery/effluxion of time.

III.b We further observe as follows: III.b.i Sundry Creditors and advance to parties at

certain Area Offices: a. Though letter of confirmation of balance are sent to Sundry creditors and advance to parties, only few confirmation has been received by the areas, in absence of which we are unable to comment upon the existence/outstanding balances.


b. Reconciliation of subsidiary ledgers with General Ledgers of security deposit, earnest money (EJ and D & F Ropeway Areas); deposits, advances and creditors (Sijua, D & F ropeways and Katras Areas) are still in process; whose impact on this year accounts, if any; could not be ascertained.


III.b.ii Pending Reconciliation of difference between General Ledger balances of Fixed Assets with Assets Register balance; the impact on depreciation during the year, if any could not be ascertained in respect of Sijua & Katras Area.


III.b.iii Pending Reconciliation/ adjustment of difference between stores and spares ledger with bin card at PB & Washery Division; the impact of discrepancy, if any could not be ascertained.


III.b.iv Para 7.11 of Additional Notes on Accounts (Note 34) refers to investigation of expenditure of erstwhile KUSTORE Area (merged with other areas on 03.02.2012, such as: Kusunda, Bastacolla & PB Area) by different authorities / outside agencies and number of books and records seized by the investigating authorities were not made available for audit. The outcome of investigation might severely affect the final amount payable in respect of liability already accounted for Rs.26.09 Crores and non-accounted liability for several bills amounting to Rs.24.44 Crores under various expenditure heads (presently shown as Contingent Liability).

This being a statement of fact and suitably disclosed in Additional Notes on the Accounts in para no 7.11.

III.b.v The accounts have been prepared on the going concern assumption. In view of the substantial carried forward losses at the year end, the Company’s ability to continue as a going concern is dependent on availability of sufficient finance as well as future profitability.


IV. Opinion

In our opinion and to the best of our information and according to the explanations given to us, the financial statements further to our observations in paragraph III.b above read with Additional notes on Accounts given in Note “34” give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2013;

b) in the case of the Profit and Loss Account, of the profit for the year ended on that date; and

c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.


V. Report on other Legal and Regulatory

Requirements

1. As required by the Companies (Auditor’s Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.


2. As required by section 227(3) of the Act, we report that:

a) we have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;


b) in our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books.


c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement dealt with by this Report are in agreement with the books of account.


d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and Cash Flow Statement comply with the Accounting Standards referred to in subsection (3C)


of section 211 of the Companies Act, 1956;

e) Since Section 274(1)(g) of the Companies Act, 1956 is not applicable to the Government Companies, question of reporting on disqualification of Directors does not arise;


f) Since the Central Government has not issued any notification as to the rate at which the cess is to be paid under section 441A of the Companies Act, 1956 nor has it issued any Rules under the said section, prescribing the manner in which such cess is to be paid, no cess is due and payable by the Company.


Sd/- For Anand Rungta & Co.

Chartered Accountants FRN: 000681C

Sd/-

S.K.Shahi (Partner)

Membership No. : 071510 Place: Dhanbad Date: 20.05.2013

The Annexure referred to in paragraph V.1 of Our Report of even date to the members of

BHARAT COKING COAL LIMITED on the accounts of the company for the year ended 31st March, 2013. On the basis of such checks as we considered appropriate and according to the information and explanations given to us during the course of our audit, we report that:

1. (a) The company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets except at some Areas and Headquarter units.

Noted for corrective action.

(b) As explained to us, fixed assets costing Rs. 1.00 Lac and above have been physically verified by the management at reasonable intervals. However at Sijua & Katras, the assets which have been verified during the year but the reconciliation thereof with the fixed assets registers are pending and Assets valuing less than Rs. 1.00 Lac have not been verified by the management. We are unable to express our opinion as to material discrepancy, if any.


(c) According to the information and explanations given to us the Company has not disposed off substantial part of Fixed Assets during the year.


2. (a) As explained to us, Stock of Coal, Washed Coal and Washery Products have been physically verified during the year by Coal India team. The physical verification of stores and spares parts have been carried out by the management except some Areas on a perpetual basis at reasonable intervals.


(b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.


(c) In our opinion and on the basis of our examination of the records, the Company is generally maintaining proper records of its inventories, except for stock of stores where there is unreconciled difference between Priced Store Ledger and adopted Book Stock amounting to Rs. 6.71 Crores. The discrepancies have been properly dealt with in the books of account.


3. (a) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has not granted any loans, secured or unsecured, to companies, firms or other parties listed in the register maintained under Section 301 of the Companies Act, 1956. Consequently, the provisions of clauses iii (b), iii(c) and iii (d) of the order are not applicable to the Company.


4. In our opinion and according to the information and explanations given to us, there is generally an adequate internal control procedure commensurate with the size of the company and the nature of its business, for the purchase of inventories, fixed assets and with regard to sale of goods. During the course of our audit, no major instance of continuing failure to correct any weaknesses in the internal controls has been noticed. However at Sijua and katras, internal control on payments and realization of various type of advances and overpayment to staff members are not adequate and offers scope for improvement.


5. a) According to the information and explanations given to us, no transaction requiring entry in the Register maintained u/s 301 of the Companies Act,1956 has come to our notice. b) In view of our comments in paragraph (5) (a) above question of reasonableness of the prices etc. does not arise.


6. The Company has not accepted any deposits from the public covered under section 58A and 58AA of the Companies Act, 1956.


7. As per information & explanations given by the management, the Company has an internal audit system commensurate with its size and the nature of its business. However, there is a scope for developing System and Management Audit in order to make the internal audit an effective tool for exercising control mechanism.

To strengthen the internal audit system of the Company, the Firms of Chartered Accountants /Cost Accountants were appointed as Internal Auditor for continuous audit from F.Y 2011-12.

8. The cost records maintained by the Company broadly serves the purpose as envisaged in the notification.


9. (a) According to the information and explanations given to us, the company is generally regular in depositing undisputed statutory dues including Provident Fund, Investor education and protection Fund, Income Tax, Wealth Tax, Sales Tax, Customs Duty, Excise Duty and Cess and any other statutory dues with the appropriate authorities. We are informed that Employees State Insurance laws are not applicable to the Company. No undisputed amount were in arrears as at 31st March,2013 for a period of more than six months from the date they became payable.


(b) According to the information and explanations given to us by the Branch Auditors, the particulars of dues of Sales Tax and other dues as at 31st March, 2013 which are disputed, are as under :-

The Management is pursuing the cases with appropriate authorities for early settlement.

S.N. Particulars Areas/Units Amount

(Rs. in Crores). 1. Sales Tax

Royalty Barora 10.80

1.37

2. Sales Tax/Levy Royalty

Block II Area 4.47 2.05

3. Sales Tax Royalty

Govindpur 22.36 2.08

4. Sales Tax/Levy Income Tax Royalty Others Service Tax Clean Energy-Cess Central Excise Duty

Katras 25.56 0.27 0.08 0.11 0.07 0.01 0.14

5. Sales Tax/Levy Service Tax Others

Sijua 44.37 0.05

6.

Sales Tax/Levy Royalty

Kusunda 55.97 0.10

7. Sales Tax/Levy Royalty

P.B. Area 38.50 12.88

8. Sales Tax/Levy Royalty Other Levies

Bastacolla 18.76 5.17

0.19 9. Sales Tax/Levy

Royalty Lodna 18.38

1.01 10. Sales Tax

Royalty Other

E.J. Area 19.88 0.09 2.74

11. RE/PE Cess Sales Tax Royalty on Coal Service Tax

C.V. 271.82 10.96

0.02 1.37

12. Sales Tax/Levies Royalty Others

W.J. Area 4.64 77.47

0.15 13. Sales Tax/Levies

Others Washery Division 77.32

14. Sales Tax/Levy Madhuban Washery 3.40

15. Sales Tax/Levies Others

Purchase. Finance 0.16

17. Bazar Tax Areas 242.68

10. The Company was referred to BIFR on the basis of accounts of 31.03.2000; however as per directives of BIFR Bench during this year company ceases to be a sick industrial company as its net worth has turned positive. Although Company has accumulated loss but it has not incurred cash loss during the financial year covered by our audit and in the immediately preceding financial year.


11. Based on our audit procedures and on the information and explanations given by the management, we are of the opinion that, the Company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.


12. According to the information and explanations given to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.


13. The Company is not a chit fund or a nidhi /mutual benefit fund/society. Therefore, the provision of this clause 4(xiii) of the Companies (Auditor's Report) Order, 2003 (as amended) is not applicable to the Company.


14. According to information and explanations given to us, the Company is not trading in Shares, Mutual funds & other Investments. Accordingly the provisions of clause 4(xiv) of the Companies (Auditor’s Report) Order, 2003 are not applicable to the company.


15. According to the information and explanations given to us, the Company has not given any guarantees for loan taken by others from a bank or financial institution.


16. Based on our audit procedures and on the information given by the management, we report that the company has not raised any term loans during the year.


17. Based on the information and explanations given to us and on an overall examination of the Balance Sheet of the Company as at 31st March, 2013, we report that no funds raised on short-term basis have been used for long-term investment by the Company.


18. According to the information and explanations given to us, the company has made allotment of Rs.2539.00 Crores of 5% Non Convertible Cumulative Preference Shares to Coal India Ltd (Holding Co.). In our opinion, the price at which


shares have been issued is not prejudicial to the interest of the company.

19. The Company has no outstanding debentures during the period under audit.


20. The Company has not raised any money by public issue during the year.


21. Based on the audit procedures performed and the information and explanations given to us, we report that no fraud on or by the Company has been noticed or reported during the year, nor have we been informed of such case by the management.


Sd/- Place: Dhanbad For Anand Rungta & Co. Firm Reg. No.:000681C Chartered Accountants Dated: 20.05.2013 Sd/-

S.K.SHAHI Partner

M. No.:071510

` in Crore

Particulars 3 months Preceding 3 months Year to date Previous

ending 3 months ending figures for Year

ending C/Year ended ended

31.03.2013 31.12.2012 31.03.2012 on 31.03.2013 31.03.2012

Unaudited Unaudited Unaudited Audited Audited

1. Income from operations Net Sales/Income from Operations(Net of excise duty) 2545.85 2067.02 2513.55 8454.60 7280.48

Total Income from operations (Net) 2545.85 2067.02 2513.55 8454.60 7280.48

2. Expenses :Change in Inventories of Finished Goods,WIP & Stock in Trade (15.75) 89.84 (106.27) 189.74 79.31

Cost of Material Consumed 168.63 121.37 127.06 497.66 467.85

Employees Benefit Expenses 1136.70 1141.82 1510.27 4465.65 4370.21

Power & Fuel 77.97 89.28 77.65 317.14 314.80

Welfare Expenses 2.95 10.31 1.28 33.38 5.27

Repairs 44.45 34.54 44.56 126.28 80.51

Contractual Expenses 212.15 170.08 214.22 747.08 665.47

Other Expenses 165.28 118.41 150.57 509.99 522.85

Overburden Removal Adjustment 12.42 (12.90) 40.53 (15.38) 47.72

Finance Charges/Commitment Charges 0.00 0.00 0.00 0.00 0.00

Depreciation/Amortisation/Impairment/Provisions 57.77 51.94 51.16 209.98 201.35

Write Off 21.13 0.00 20.20 186.15 37.57

Provisions 76.76 81.57 19.13 (62.14) 198.09

Total 1960.46 1896.26 2150.36 7205.53 6991.00

3.Profit from Operations before other income, 585.39 170.76 363.19 1249.07 289.48

Interest & excep.items(1-2)

4. Other Income 152.46 123.38 268.30 482.81 553.85

5.P/L from ord. activities before Intt.& Exceptional Items(3+4) 737.85 294.14 631.49 1731.88 843.33

6.Interest 5.06 4.43 2.99 18.97 22.84

7.P/L from ord. activities before Exceptional Items(5-6) 732.79 289.71 628.50 1712.91 820.49

8.Exceptional Items (0.56) (0.32) 2.13 (3.85) 1.87

9.Profit(+)/Loss(-) from ordinary activities before tax(7+8) 732.23 289.39 630.63 1709.06 822.3610.Tax Expenses 210.26 0.00 0.00 210.26 0.00

11.Net Profit(+)/Loss(-)from ordinary activities after tax(9-10) 521.97 289.39 630.63 1498.80 822.36

Financial Result for the year ended 31.03.2013

BHARAT COKING COAL LIMITED Annexure I to Clause 41

11.Net Profit(+)/Loss(-)from ordinary activities after tax(9-10) 521.97 289.39 630.63 1498.80 822.36

12.Extraordinary Item(net of tax expenses Rs. )

13.Net Profit(+)/Loss(-) for the period (11-12) 521.97 289.39 630.63 1498.80 822.36

14.Paid up Equity Share Capital 2118.00 2118.00 2118.00 2118.00 2118.00

15.Reserve excluding Revaluation Reserves as per (5,604.83) (5,604.83) (6,427.19) (5,604.83) (6,427.19)

Balance Sheet of previous accounting year.

16.Earning Per Share(EPS) in Rupees a) Basic and Diluted EPS before Extraordinary items 246.44 136.63 297.75 706.66 388.27

for the period, for the year to date & the previous year

b) Basic and Diluted EPS after Extraordinary items 246.44 136.63 297.75 706.66 388.27

for the period, for the year to date & the previous year

17.Public Shareholding No. of Shares NA NA NA NA NA

Percentage of Shareholding

18.Promoters and promoter group shareholding

a) Pledged/Encumbered NA NA NA NA NA

Number of Shares

Percentage of Shares(as a % of the total Share

holding of promoter and promoter group)

% of Shares(as a % of the total Share Cap.of the Co.)

b) Non-encumbered NA NA NA NA NA

Number of Shares

Percentage of Shares(as a % of the total Share holding of promoter and promoter group)

% of Shares(as a % of the total Share Cap.of the Co.)

(K.N.Mukhopadhyay) (A.K.Gangopadhyay) (Amitava Saha) ( T.K.Lahiry)GM(Company Secretary) Gen.Manager(F) Director( F) Chairman-cum-Managing Director

Place :Dhanbad For Anand Rungta & CoDate :20.05.2013 Firm Registration No - 000681C

Chartered Accountants

Place : Dhanbad (S.K Shahi)Date : 20.05.2013 PartnerDate : 20.05.2013 Partner

M. No - 071510

1

` in Crore Note

I. EQUITY AND LIABILITIES

1. Shareholders' Fund(a) Share Capital 1 4,657.00 2,118.00 (b) Reserves & Surplus 2 (4,106.03) (5,604.83) (c) Money received against Share Warrants - 550.97 - (3,486.83) 2. Application money pending allotment - - 3. Non-Current Liabilities(a) Long Term Borrowing 3 - 1,083.30 (b) Deferred Tax Liability (Net) - - (c) Other Long Term Liabilities 4 7.35 7.67 (d) Long Term Provisions 5 1,868.57 2,533.31

1,875.92 3,624.28 4. Minority Interest5. Current Liabilities(a) Short Term Borrowing 6 1,098.70 2,500.23 (b) Trade Payables 7 88.93 127.74 (c) Other Current Liabilities 8 2,222.97 2,478.23 (d) Short Term Provisions 9 1,252.79 971.43

4,663.39 6,077.63

Total 7,090.28 6,215.08

II. ASSETS1. Non-Current Assets(a) Fixed Assets 10 i) Tangible Assets - Gross Block 4,055.99 4,026.10 Less : Depreciation & Impairment Provisions 2,797.83 2,703.76

Net Carrying Value 1,258.16 1,322.34 ii) Intangible Assets - Gross Block 542.81 542.19 Less : Depreciation & Impairment Provisions 442.22 428.59

Net Carrying Value 100.59 113.60 iii) Capital Work-in-Progress 179.33 163.83


BALANCE SHEET AS AT 31.03.13

As at 31.03.2012As at 31.03.2013

iii) Capital Work-in-Progress 179.33 163.83 iv) Intangible Assets under Development 47.77 3.09 (b) Non-Current Investment 11 27.71 41.57 (c) Deferred Tax Assets (Net) - - (d) Long Term Loans & Advances 12 41.74 39.82 (e) Other Non-Current Assets 13 - - 2. Current Assets(a) Current Investments 14 13.86 13.86 (b) Inventories 15 837.07 1,044.41 (c) Trade Receivables 16 1,372.05 951.72 (d) Cash & Bank Balance 17 2,394.13 2,102.86 (e) Short Term Loans & Advances 18 502.15 237.91 (f) Other Current Assets 19 315.72 180.07

5,434.98 4,530.83

Total 7,090.28 6,215.08 Significant Accounting Policies 33Additional Notes on Accounts 34The Notes reffered to above form an integral part of Balance Sheet

(K.N.Mukhopadhyay) (A.K.Gangopadhyay) (Amitava Saha) ( T.K.Lahiry ) GM(Company Secretary) Gen.Manager (F) Director (F) Chairman-cum-Managing Director

This is the Balance Sheet referred to in our Report of even date.

Place :DhanbadDate : 20.05.2013 For Anand Rungta & Co

Firm Registration No - 000681C Chartered Accountants

Place : DhanbadDate : 20.05.2013 (S.K Shahi)

Partner M. No - 071510 M. No - 071510

2

` in Crore

Note For the Year For the Year

INCOME ended 31.03.13 ended 31.03.12

Sale of Coal,Coke,etc 10176.62 8583.87Less: Excise Duty 533.94 377.56 Other Levies 1188.08 925.83

I. Revenue From Operations 20 8,454.60 7,280.48 II. Other Income 21 482.81 553.85

III. Total Revenue (I+II) 8,937.41 7,834.33

IV. EXPENSESCost of Material Consumed 22 497.66 467.85 Purchase of Stock-in-tradeChange in inventories of F/goods WIP & Stock in trade 23 189.74 79.31 Employee benefit expenses 24 4,465.65 4,370.21 Power & Fuel 317.14 314.80 Welfare Expenses 25 33.38 5.27 Repairs 26 126.28 80.51 Contractual Expenses 27 747.08 665.47 Finance Costs 28 18.97 22.84 Depreciation/amortization/Impairment 209.98 201.35 Provisions 29 (62.14) 198.09 Write off 30 186.15 37.57 Overburden Removal Adjustment (15.38) 47.72 Other Expenses 31 509.99 522.85

Total Expenses 7,224.50 7,013.84

V. Profit/(Loss) before Prior Period, exceptional 1,712.91 820.49

and extraordinary items and tax(III-IV)

BHARAT COKING COAL LIMITEDSTATEMENT OF PROFIT & LOSS ACCOUNT

For the year ended on 31.03.2013

and extraordinary items and tax(III-IV)VI. Prior Period Adjustment {Charges/(Income)} 32 3.85 (1.87) VII. Exceptional Items

VIII. Profit/(Loss) before extraordinary items and tax(V-VI-VII) 1,709.06 822.36

IX. Extraordinary Items {Charges/(Income)} - -

X. Profit/(Loss) before Tax (VIII-IX) 1,709.06 822.36

XI. Less :Tax Expense - Current year 210.26 - - Deferred Tax - - - Earlier years - -

XII. Profit/(Loss) for the Period from continuing operations(X-XI) 1,498.80 822.36

XIII. Profit/(Loss) from discontinuing operationsXIV.Tax expenses for discontinuing operationsXV. Profit/(Loss) from discontinuing operations (after tax) (XIII-XIV)

XVI.Profit/(Loss) for the Period (XII+XV) 1,498.80 822.36

Earnings per equity share (in Rs.) (Face Value of Rs.1000/- per share)

1) Basic 706.66 388.27 2) Diluted 706.66 388.27 Significant Accounting Policies 33

Additional Notes on Accounts 34

(K.N.Mukhopadhyay) (A.K.Gangopadhyay) ( Amitava Saha) ( T.K.Lahiry )

GM(Company Secretary) Gen.Manager (F) Director (F) Chairman-cum-Managing Director

This is the Profit & Loss Account referred to in our Report of even date.

For Anand Rungta & CoPlace : Dhanbad Firm Registration No - 000681CDate : 20.05.2013 Chartered Accountants

Place : Dhanbad (S.K Shahi)Date : 20.05.2013 Partner

The Notes referred to above form an integral part of Profit & Loss Account.

Date : 20.05.2013 Partner M. No - 071510

3

For the Year ended 31.03.2013 and Year ended 31.03.2012

` in Crore

Details

1.FUND FROM OPERATION : Net Profit(+)/Loss(-) before taxation & extra ordinary items: 1,709.06 822.36

Adjustments for :

( a ) Depreciation , Miscellaneous Expenditure

written off and OBR 194.60 249.07

( b ) Provision against Capital WIP 0.43 0.34

( c ) Interest 18.97 22.84

Operating Profit(+)/Loss(-) before Working Capital changes: 1923.06 1094.61

( d ) Decrease(+)/ Increase(-) in Trade Receivables(Net) (420.33) (333.58)

( e ) Decrease(+)/ Increase(-) in Short/Long Term Loan & Advances (401.81) (147.56)

and Other Current & Non Current Assets

( f ) Decrease(+)/ Increase(-) in Inventories 207.34 67.96

( g) Decrease(-)/ Increase(+) in Trade payables ,Short/Long Term (1,033.33) 1234.01

Provisions & Other Current & Long Term Liabilities

Cash Generated from Operating Activities 274.93 1915.44

Income Tax Paid/Refund 210.26

Net Cash Flow from Operating Activities 64.67

2.CASH FLOW FROM INVESTING ACTIVITIES :

( a ) Purchase of Fixed assets/Adjustment 199.70 374.53

( b ) Change in Non Current Investments (13.85) (13.85)

( c ) Adjustment for sale / discard of assets (6.31) (4.52)

( d ) Purchase of Fixed Deposits 650.16 376.70

Net Cash used in Investing Activities : 829.70 732.86


Statement of Flow of Cash and Cash Equivalent ( Under Indirect method )

31.03.2013 31.03.2012

Net Cash used in Investing Activities : 829.70 732.86

3.CASH FLOW FROM FINANCING ACTIVITIES :

( a ) Proceeds from Loan/ Current Account Balance with CIL (1,082.25) (630.16)

( b ) Interest paid (0.63) (1.05)

( c ) Increase in Sh.Capital & Decrease in CIL Loan(Net) 1456.00 0.00

Net Cash used in Financing Activities : 373.12 (631.21)

( I ) Net Increase in Cash & Cash equivalents ( 1-2+3 ) (391.91) 551.37

( II ) Cash & Cash equivalents at the beginning of the period :

a. Opening Cash & Cash Equivalent 483.81 8.64

b. Opening Cash Credit Balance 34.90 448.91 111.10 (102.46) ( III ) Cash & Cash equivalents at the end of the period :

a. Closing Cash & Cash Equivalent 124.92 483.81

b. Closing Cash Credit Balance 67.92 57.00 34.90 448.91

[ III - II ] (391.91) 551.37

(K.N.Mukhopadhyay) (A.K.Gangopadhyay) (Amitava Saha) (T.K.Lahiry)

GM(Company Secretary) Gen.Manager(F) Director(F) Chairman Cum Managing Director

For Anand Rungta & Co

Firm Registration No - 000681C

Chartered Accountants

(S.K Shahi)

Partner

M. No - 071510 M. No - 071510

4


SHARE CAPITAL ` in Crore

As at As at31.03.13 31.03.12

Authorised(i) 250,00,000 Equity Shares of ` 1000/- each 2,500.00 2500.00

(ii) 26000000, 5% Non Convertible Cumulative Redeemable 2,600.00 - Preference Shares of ` 1000/- each

5,100.00 2,500.00

Issued, Subscribed and Paid-up

(i) 20330126 Equity Shares of ` 1000/- each fully 2,033.01 2,033.01 paid in cash

(ii) 849874 Equity Shares of ` 1000/- each allotted 84.99 84.99

NOTE TO BALANCE SHEET AS AT 31.03.2013

NOTE - 1

as fully paid up for consideration received other than cash

(iii) 25390000, 5% Non Convertible Cumulative Redeemable 2,539.00 - Preference Shares of ` 1000/- each allotted as fully paid up for consideration received other than cash

4,657.00 2,118.00

Note:Shares in the company held by each shareholder holding more than 5% Shares

Name of Shareholder Nature of Shares% of Total Shares

Coal India Limited Equity 100 Coal India Limited Preference 10025390000

No. of Shares Held

(Face value of Rs 1000

each)

21180000

5


` in Crore

As at As at31.03.13 31.03.12

RESERVES :Capital Reserve As per last Balance Sheet - - Add: Addition during the year - - Less: Adjustment During the year - -

- - Capital Redemption Reserve As per last Balance Sheet - - Add: Addition during the year - - Less: Adjustment During the year - -

- - Reserve for Foreign Exchange Transactions As per last Balance Sheet - - Add: Addition during the year - - Less: Adjustment During the year - -

- - CSR Reserve As per last Balance Sheet - -

RESERVES & SURPLUS

NOTE - 2


As per last Balance Sheet - - Add: Addition during the year - - Less: Transfer to General Reserve - -

- -

Sustainable Development Reserve As per last Balance Sheet - - Add: Addition during the year - - Less: Transfer to General Reserve - -

- - General Reserve As per last Balance Sheet - - Add: Transfer from Profit & Loss Account - - Add:/ Less: Adjustment During the year - -

- - Surplus in Profit & Loss Account - - As per last Balance Sheet (5,604.83) (6,427.19) Profit/(Loss) after Tax During the Year 1,498.80 822.36 Profit/(Loss) available for Appropriation (4,106.03) (5,604.83) APPROPRIATION

Reserve for Foreign Exchange Transaction - - Transfer to General Reserve - - Transfer to CSR Reserve - - Interim Dividend - - Proposed Dividend on Equity Shares - - Corporate Dividend Tax - -

Miscellaneous Expenditure (to the extent not written off) Preliminary Expenses - - Pre-Operational Expenses - - Pre-Operational Expenses - -

Total : (4,106.03) (5,604.83)

6


LONG TERM BORROWING

` in Crore

As at As at31.03.13 31.03.12

Term Loan IBRD - - JBIC - - Export Development Corp., CanadaLiebherr France S.A., France

Loan From Coal India Limited - 1,083.30

Total (A+B) - 1,083.30

CLASSIFICATION 1Secured - -

Unsecured - 1,083.30

NOTE TO BALANCE SHEET AS AT 31.03.2013NOTE - 3

CLASSIFICATION 2

Loan taken under Guarantee

Particulars of Loan Nature of Guarantee

Nil NilAmount in ` crores

Nil

1. Past CIL loan of `1083/- crore has been converted into 5% Non convertible Cumulative Redeemable Preference Shares as per approval of CIL Board in it's 296th meeting held on 25.03.2013 and balance amount of ` 0.30 Crore has been transferred to CIL Current Account.

7


OTHER LONG TERM LIABILITIES

` in Crore

As at As at31.03.13 31.03.12

Shifting & Rehabilitation Fund

Opening BalanceAdd: Interest from Investment of the fundAdd: Contribution ReceivedLess: Amount utilised

Trade Payable

Security Deposits 7.35 7.67 Others ( Specify Nature) - -

Total 7.35 7.67

NOTE - 4 NOTE TO BALANCE SHEET AS AT 31.03.2013

Total 7.35 7.67

8


NOTE - 5

LONG TERM PROVISIONS ` in Crore

As at As at31.03.13 31.03.12

For Employee Benefits

- Gratuity 965.54 1,871.98

- Leave Encashment 394.85 303.66

- Other Employee Benefits 364.87 242.91

For Foreign Exchange Transactions (Marked to Market) - -

OBR Adjustment Account 41.64 57.02

Mines Closure 101.67 57.74

For Others - -

TOTAL

1,868.57 2,533.31


9


SHORT TERM BORROWING

` in Crore

As at As at31.03.13 31.03.12

Loan From Bank - -

Loans Repayable on Demand Balance with Coal India Limited & other Subsidiaries of Coal India Limited 1098.70 2,500.23

Overdraft against Pledge of Term Deposit - -

Other Loans and Advances

Deferred Credits - -

Total : 1,098.70 2,500.23

NOTE - 6


Total : 1,098.70 2,500.23

CLASSIFICATION 1Secured - -

Unsecured 1,098.70 2,500.23

CLASSIFICATION 2

Loan taken under Guarantee

Particulars of Loan Nature of Guarantee

Nil Nil

CILCurrent Account balance of `1456/-Crore has been converted into 5% Non Convertible

Cumulative Redeemable Preference Shares as per approval of CIL Board in it's 296th

meeting held on 25.03.13.

Amount in Rs crores

Nil

10


TRADE PAYABLES ` in Crore

As at As at31.03.13 31.03.12

Sundry Creditors For Revenue Stores 88.93 127.74

TOTAL 88.93 127.74

NOTE - 7


11


OTHER CURRENT LIABILITIES ` in Crore

As at As at31.03.13 31.03.12

Current Maturities of Long Term BorrowingsTerm Loan From IBRD - - Term Loan From JBIC - - Term Loan From Export Development Corp., Canada - - Term Loan From Liebherr France S.A., France - - Loan From Coal India Limited - - Surplus Fund from Coal India - - Current Account with Subsidiaries - -

For Capital ( including Stores) 10.07 40.36

FOR EXPENSES :

Salary Wages & Allowances 352.85 652.33

Power & Fuel 157.61 158.48

Others 379.22 373.36

899.75 1,224.53 STATUTORY DUES :

Sales Tax/VAT** 22.79 30.11

Provident Fund & Pension Fund 58.16 55.37

Central Excise Duty 25.33 12.51

NOTE - 8 NOTE TO BALANCE SHEET AS AT 31.03.2013

Central Excise Duty 25.33 12.51

Royalty & Cess on Coal 26.18 27.89

Stowing Excise Duty 9.68 8.15

Clean Energy Cess 28.49 26.73

Other Statutory Levies 255.13 222.17 425.76 382.93

Income Tax Deducted at Source 26.52 19.48

Security Deposit 63.82 50.54

Earnest Money 39.39 32.25

Advance Deposit from Customers & Others 494.93 537.45 Interest Accrued and due on Borrowings - - Interest Accrued but not due on Borrowings - - Cess Equilisation Account - - Current Account with IICM - - Ex-Owner Account - - Unpaid Dividend* - - Advance Deposit other Pre-Nationalisation - -

Others Liabilities 272.80 231.05

TOTAL 2,222.97 2,478.23

Note: 1) * No amount is due for payment to Investor Education & Protection Fund 2) ** Net of receivable and payable

1.Price of rejects and Power tariff with DLF are not yet finalized and the same are subjudice,

one case at Dhanbad Court and one at Appellate Tribunal for Electricity, New Delhi. The interest

receivable/payable at this stage is not accounted for. However, interest due to delay in payment

to DLF has been provisionally worked out to `16.86 Crore upto 31.03.2013.

2.Bazaar fees collected on sale of coal/coke vide Gazette Notification No.34 dated 18th

Jan’2006 but the same has not been deposited to the appropriate authority as the matter is

subjudice at Jharkhand High Court under case no.6507 of 2006. The accumulated liability as on

31.03.2013 is ` 242.68 Crore.

12


SHORT TERM PROVISIONS ` in Crore

As at As at31.03.13 31.03.12

For Employee Benefits

- Gratuity 399.59 426.25

- Leave Encashment 92.54 74.51

- PPLB 155.96 130.31

- PRP 328.76 259.75

- Other Employee Benefits - -

For Proposed Dividend - -

For Corporate Dividend Tax - -

Provision for Income Tax 210.26 -

Less: Advance Income Tax/TDS -

4% Post Superannuation Medical Benefit - -

For Excise Duty on Closing Stock of Coal 65.68 80.61

For Others - -

TOTAL 1,252.79 971.43

NOTE - 9


13

BHARAT COKING COAL LIMITEDNOTE TO BALANCE SHEET AS AT 31.03.13

NOTE - 10FIXED ASSETS AND CAPITAL WORK IN PROGRESS

PARTICULARS FIXED ASSET & CWIP:GR.BLOCK PROV FOR DEPRECIATION & CWIP IMPAIRMENT/LOSS NET BLOCK NET BLOCK

FIXED ASSETS : AS ON ADDITION Adj/Sale/ G.BLOCK AS ON ADDITION Adj/Sale/ TOT ON AS ON ADDITION Adj/Sale/ TOT ON AS ON AS ON

TANGIBLE ASSETS 01.04.12 Transfer 31.03.13 01.04.12 Transfer 31.03.13 01.04.12 Transfer 31.03.13 31.03.13 31.03.12

Land:Freehold 53.51 3.09 -0.09 56.51 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 56.51 53.51

Leasehold 3.05 0.00 -0.16 2.89 1.07 0.19 0.00 1.26 0.00 0.00 0.00 0.00 1.63 1.98

Building/Water Supply/Rd.& Culverts 484.14 4.20 -14.27 474.07 193.79 9.93 -0.02 203.70 1.13 0.00 0.00 1.13 269.24 289.22

Plant & Equipments 3069.85 124.10 -92.69 3101.26 2114.93 172.71 -102.73 2184.91 72.65 0.00 0.00 72.65 843.70 882.27

Telecommunication 8.22 0.04 -0.05 8.21 7.04 0.31 -0.03 7.32 0.00 0.00 0.00 0.00 0.89 1.18

Railway Siding 46.75 0.00 0.00 46.75 34.05 1.31 0.00 35.36 0.00 0.00 0.00 0.00 11.39 12.70

Fur.& Fit./Off.Tool&Eqp/EF/Fire arms 34.01 1.02 -0.26 34.77 27.54 0.61 -0.25 27.90 2.60 0.00 0.00 2.60 4.27 3.87

Vehicle 44.70 0.10 -0.07 44.73 33.86 1.24 0.75 35.85 0.01 0.00 0.00 0.01 8.87 10.83

Aircraft 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Development 270.41 4.93 0.00 275.34 173.19 4.05 0.00 177.24 31.32 6.00 0.00 37.32 60.78 65.90

` in Crore

14

Development 270.41 4.93 0.00 275.34 173.19 4.05 0.00 177.24 31.32 6.00 0.00 37.32 60.78 65.90

Assets Taken on Nationalisation 11.46 0.00 0.00 11.46 10.58 0.00 0.00 10.58 0.00 0.00 0.00 0.00 0.88 0.88

TOTAL 4026.10 137.48 -107.59 4055.99 2596.05 190.35 -102.28 2684.12 107.71 6.00 0.00 113.71 1258.16 1322.34

PREVIOUS YR.(TANGIBLE ASSETS) 3799.56 303.37 -76.83 4026.10 2488.71 189.32 -81.98 2596.05 95.83 2.74 9.14 107.71 1322.34

INTANGIBLE ASSETS:Comp.Software 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Development 519.60 0.57 0.00 520.17 323.69 12.79 0.00 336.48 83.53 0.70 0.00 84.23 99.46 112.38

Prospecting & Boring 22.59 0.05 0.00 22.64 20.81 0.05 0.00 20.86 0.56 0.09 0.00 0.65 1.13 1.22

TOTAL 542.19 0.62 0.00 542.81 344.50 12.84 0.00 357.34 84.09 0.79 0.00 84.88 100.59 113.60

PREVIOUS YR(INTANGIBLE ASSETS) 533.82 8.30 0.07 542.19 332.37 12.13 0.00 344.50 86.87 -2.84 0.06 84.09 113.60

CAPITAL WORK IN PROGRESS :

TANGIBLE:Bldg/Wat.Supply/Rd.&Culv. 43.40 70.79 -95.99 18.20 1.91 0.13 0.00 2.04 0.00 0.00 0.00 0.00 16.16 41.47

Plant & Equipments 109.98 182.49 -163.78 128.69 26.87 0.20 0.00 27.07 0.05 0.00 0.00 0.05 101.57 83.07

Railway Siding 0.78 0.00 0.00 0.78 0.64 0.02 0.00 0.66 0.00 0.00 0.00 0.00 0.12 0.13

Development 11.11 24.10 -5.13 30.08 0.67 0.08 0.00 0.75 0.00 0.00 0.00 0.00 29.33 10.45

Others 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

TOTAL 165.27 277.38 -264.90 177.75 30.09 0.43 0.00 30.52 0.05 0.00 0.00 0.05 147.18 135.12

PREVIOUS YR(TANGIBLE CWIP) 105.80 364.32 -304.85 165.27 29.80 0.34 -0.05 30.09 0.00 0.00 0.05 0.05 135.12

SURVEYED OFF ASSETS 28.71 5.07 -1.63 32.15 0.00 0.00 0.00 0.00 32.15 28.71

PREVIOUS YEAR 26.82 3.93 -2.04 28.71 28.71

Grand Total CWIP(Tangible) 193.98 282.45 -266.53 209.90 30.09 0.43 0.00 30.52 0.05 0.00 0.00 0.05 179.33 163.83

Grand Total CWIP(Tangible)Pv.Year 132.62 368.25 -306.89 193.98 29.80 0.34 -0.05 30.09 0.00 0.00 0.05 0.05 163.83 0.00

INTANGIBLE:Development 10.03 49.07 -4.39 54.71 1.29 0.00 0.00 1.29 5.65 0.00 0.00 5.65 47.77 3.09

Prospect.& Boring 0.00 0.05 -0.05 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

TOTAL 10.03 49.12 -4.44 54.71 1.29 0.00 0.00 1.29 5.65 0.00 0.00 5.65 47.77 3.09

PREVIOUS YR(INTANGIBLE CWIP) 3.41 9.32 -2.70 10.03 1.29 0.00 0.00 1.29 0.00 0.00 5.65 5.65 3.09

14

1. TRANSFER AND ACQUISITION:

The formal "Transfer Deeds/Agreements" for Assets and Liabilities transferred to the Company by the

Govt. of India on Nationalization of Coal Mines and also the Assets and Liabilities transferred and taken over

by the Company in respect of Coal Mines Labour Welfare Organization, Central Hospital along with four

other Hospitals, Mines Rescue Stations of Govt. of India and four Washeries of SAIL, erstwhile Coal Board

and Central Jharia Projects are in the process of finalization and execution.

2. FIXED ASSETS:

Registration of "Title Deeds/Lease Agreements" for properties and land acquired on Nationalization of Coal

Mines and also for land acquired through land acquisition proceedings are in process in some cases. 526 acres

of land owned by the Company are critically encroached area.

Assets transferred to and taken over by the Company in respect of Mines Rescue Stations and Coal Mines

Labour Welfare Organization have not been accounted for as no Book Value, was made available to the

Company on transfer of the said Units.

Assets taken over on Nationalization :-

(a) ` 1145.81 lakhs being gross value of Assets including land valuing ` 88.30 lakhs (quantitative and value

wise details of which are not available) taken over by the Company in respect of entities covered under Coal

Mines Nationalization Act, 1971 and on which depreciation has been fully provided for in the Account except

land.

(b) Surveyed off Assets in Stores have been shown in Fixed Assets schedule at Net Book Value as item wise Net

15

(b) Surveyed off Assets in Stores have been shown in Fixed Assets schedule at Net Book Value as item wise Net

Realizable Value could not be determined.

(c) Impairment of Assets-Accounting Standard 28-The concept of this accounting standard is to represent the

assets in the financial account at their Fair Value. This concept has already been applied to current assets like

Inventory, Debtors, etc. where the carrying cost or realizable value whichever is lower is depicted.

In case of Fixed Assets, they are carried at the historical cost less depreciation which may not represent the

fair asset value which may be lower than the net realizable value due to obsolescence/impairment.

As is evident in Para 5 of AS-28, impairment should be identified with individual assets. In a loss making

mine if a new machine is installed to maintain the production with a negative cash flow it does not necessarily

mean that the machine is impaired.

Para 6 of the standard prescribes that an enterprise should assess whether there is any indication that an asset

may be impaired.

Para 7 makes it clear that if there is no indication of financial loss, the standard does not require the

undertaking to make a formal estimate of impairment.

While applying impairment to asset test the assets carried by the Company can be broadly classified into the

following heads:-

Land

Building

Plant & Machinery

HEMM

Exploration, Boring & Development.

15

Land

Generally there is no impairment loss on account of land. Land does not suffer damage over a period of time

and as such there is no impairment on this account.

Depreciation of land due to open cast mine has been dealt with under separate Accounting Standard.

Building

The same applies to Buildings also unless it is damaged by an act. In such cases necessary provisions are made

in the books of Accounts. The Building attached to a colliery making loss does not necessarily mean the Building

has lost its value. The mine can be closed, the workers can be transferred to other profitable cash generating

units and they can continue to reside in the said building itself. In such an event, there is no need to make

provisions towards impairment of loss because cash generating unit shows negative result.

Plant & Machinery, HEMM

Plant & Machinery is used both in Opencast and Underground Mines and HEMMs are used exclusively in

Opencast Mines. These are movable items and can be shifted from profit making units to loss making units and

vice-versa. Just because it is under the roll of a loss making unit it does not make the machines

obsolete/impaired. Even by referring to RBI Index it normally shows that there is no downward trend in the

price of machinery. As such, it is not prudent to consider prima-facie impairment unless it is obsolete/damaged,

etc. for which provisions are invariably made by identifying these equipment.

Exploration, Boring & Development

Costs related to these activities are primarily determinant for viability of each unit since mining activities begin

16

Costs related to these activities are primarily determinant for viability of each unit since mining activities begin

with the exploration of an area. If the exploration does not succeed, such expenses are written off as a revenue

expenditure.

For Areas incurring heavy losses the primary indication is present. The impairment test in line with the general

principle shall be applied for Prospecting, Boring & Development cost. On the ground of prudence, for loss

making Areas written down value on Prospecting, Boring and Development may be considered as impaired.

Keeping the above facts in mind, only Prospecting, Boring and Development expenses have been considered

for provisioning towards impairment of assets as per AS-28 of ICAI.

3. CAPITAL WORK-IN-PROGRESS

"Prospecting & Boring" and also Development shown under Capital Work-in-Progress mostly relates to jobs

awaiting completion.

Provision has been made on Plant & Machinery which have not been put to use for more than three years

and on incomplete civil jobs lying in capital work-in-progress for more than four years at the rates of

depreciation which would have been otherwise applicable to such items.

"A" type Miners’ Quarters at Bhimkanali Township including Noonudih & Bhuli valuing ` 5.20 Crore are being

occupied and are in use but due to arbitration /Litigation this could not be capitalised. However necessary

provision at the rate of depreciation is being considered in the Accounts. Accumulated provision as on

31.03.2013 is ` 1.18 Crore.

16


NOTE- 11

NON - CURRENT INVESTMENTS - Unquoted at Cost ` in Crore

As at As at31.03.13 31.03.12

TRADE

8.5% Tax Free Special Bonds (Fully Paid up) :(on securitisation of Sundry Debtors)Major State-wise Break-upUP 4 / (6) 69,280,000 27.71 41.57

-

Haryana - - - -

Maharashtra - - - -

Number of

shares/bonds/sec

urities current

yr/(previous yr)

Face value per

shares/bonds/se

curity current

yr (previous yr)


Maharashtra - - - -

Madhya Pradesh - - - -

Gujarat - - - -

West Bengal - - - -

Others - - - -

Equity Shares in Joint Venture Companies - - - -

( with name of joint ventures)

Equity Shares in Subsidiaries Companies - - - -

( with name of Subsidiaries)

Others (in Co-operative Shares) - - - -

NON TRADE

7.55% Non Convertible IRFC TAX Free Bonds 2021 Series

Total : 4 / (6) 69,280,000.00 27.71 41.57

Agregate of Quoted Investment - - Agregate of Unquoted Investment 27.71 41.57

Market Value of Quoted Investment - -

Market Value of Unquoted Investment - - Provision made for diminution in the value of Investment - -

17


NOTE- 12

LONG TERM LOANS & ADVANCES As at As at31.03.13 31.03.12

ADVANCES For Capital : Secured Considered Good Unsecured Considered Good 24.97 23.38 Doubtful 4.51 4.49

29.48 27.87 Less : Provision for Doubtful Loans and Advances 4.51 4.49

24.97 23.38 For Revenue : Secured Considered Good Unsecured Considered Good Doubtful

- - Less : Provision for Doubtful Loans and Advances

- - Security Deposits: Secured Considered Good Unsecured Considered Good - Doubtful


- - Deposit for P&T, Electricity etc.: Secured Considered Good Unsecured Considered Good 14.98 14.30 Doubtful 1.72 1.72

16.70 16.02


` in Crore

16.70 16.02 Less : Provision for Doubtful Loans and Advances 1.72 1.72

14.98 14.30 LOAN TO EMPLOYEES & OTHERS

* For House Building: Secured Considered Good 1.72 2.05 Unsecured Considered Good Doubtful

1.72 2.05 *For Motor Car & Oth.Conveyance:Secured Considered Good 0.07 0.09 Unsecured Considered Good Doubtful

0.07 0.09 For Others: Secured Considered Good Unsecured Considered Good Doubtful


- - Loan To Subsidiaries: Secured Considered Good Unsecured Considered Good Doubtful

- -

TOTAL - 41.74 39.82

Note

CURRENT

PERIOD

PREVIOUS

PERIOD

CURRENT

PERIOD

PREVIOUS

PERIOD

Due by the Co. under same management( With name of the Co.) Nil Nil Nil Nil

Due by the parties in which the Director(s) of Co.is /are interested Nil Nil Nil Nil

CLOSING BALANCE MAXIMUM AMT. DUE AT

ANY TIME DURING

Due by the parties in which the Director(s) of Co.is /are interested Nil Nil Nil Nil

* This Loan should include interest accrued thereon.

18


NOTE-13

OTHER NON-CURRENT ASSETS

As at As at31.03.13 31.03.12

Long Term Trade Receivable

- Secured considered goods - -

- Unsecured considered goods - -

- Doubtful - -

- -

Less Provision for bad and doubtful trade receivables - -

- -

Exploratory Drilling Work

- Secured considered goods

- Unsecured considered goods

- Doubtful


` in Crore

- Doubtful

- -

Less Provision for bad and doubtful E&D Works

- -

Other Receivables

- Secured considered goods

- Unsecured considered goods -

- Doubtful

- -

Less Provision for bad and doubtful Receivables

- -

TOTAL - -

Note

CURRENT

PERIOD

PREVIOUS

PERIOD

CURRENT

PERIOD

PREVIOUS

PERIOD

Due by the Companies under the same

management( With name of the Companies) Nil Nil Nil Nil

Due by the parties in which the Director(s) of

company is /are interested Nil Nil Nil Nil

CLOSING BALANCE

MAXIMUM AMOUNT

DUE AT ANY TIME

DURING

19


NOTE-14

CURRENT INVESTMENTS - Unquoted at Cost

As at As at31.03.13 31.03.12

NON-TRADE

Mutual Fund Investment - - - - ( with name of mutual fund )7.55% Non Convertible IRFC Tax Free Bonds

2021 Series

TRADE

8.5% Tax Free Special Bonds (Fully Paid up) :

(on securitisation of Sundry Debtors)

Number of

shares/bonds/sec

urities current

yr/(previous yr)

Face value per

shares/bonds/securi

ty current

yr/(previous yr)

Mkt Value/

NAV per

shares/bonds/s

ecurity

cur.yr./pv yr


` in Crore

(on securitisation of Sundry Debtors)

Major State-wise Break-up 2 / ( 2 ) 69,280,000 13.86 13.86

Total : 2 / ( 2 ) 69,280,000 13.86 13.86

Agregate of Quoted Investment - - Agregate of Unquoted Investment 13.86 13.86Market Value of Quoted Investment - - Market Value of Unquoted Investment - - Provision made for diminution in the value of

Investment - -

20


NOTE-15

INVENTORIES(Valuation as per Accounting Policy No. 6.0)

As at As at31.03.13 31.03.12

Stock of Coal/Coke 1183.75 1,377.86 Coal Under Development - -

1,183.75 1,377.86 Less : Provision 426.70 431.07 A Stock of Coal/Coke (Net) 757.05 946.79

Stock of Stores & Spare Parts (at cost) 122.38 142.38 Stores -in -transit 2.61 3.48 Less : Provision 50.97 52.01

B Net Stock of Stores & Spare Parts (at cost) 74.02 93.85

Workshop Jobs :Work-in-progress and Finished Goods 5.78 3.47 Less : Provision

- - C Net Stock of Workshop Jobs 5.78 3.47


` in Crore

C Net Stock of Workshop Jobs 5.78 3.47

D Press :Work-in-Progress and Finished Goods

E Stock of Medicine at Central Hospital 0.22 0.30

F Prospecting & Boring/ Development Exp./Coal

Blocks meant for Sale - -

Total ( A to F ) 837.07 1,044.41

1. Coal Stock as on 31.03.2013 has been valued at Net Realisable Value or Cost whichever is lower.

21


ANNEXURE TO NOTE - 15

Table:A

Reconciliation of closing stock of Raw Coal adopted in Account with Book stock as at 31.03.13

(Qty.in lakh Tonne)

Qty. Value Qty. Value Qty. Value

1.A) Opening Stock as on 01.04.12 86.10 759.49 15.74 0.00 70.36 759.49

( B) Adjustment in Opening Stock - - - -

2. Production 312.13 7,948.93 - - 312.13 7948.93

3. Sub-Total ( 1+2) 398.23 8,708.42 15.74 - 382.49 8,708.42

4. Off- Take for the year :

(A) Outside Despatch 300.86 7,158.61 - - 300.86 7158.61

(B) Coal feed to Washeries 28.79 953.59 - - 28.79 953.59

(C) Own Consumption 0.76 24.30 - - 0.76 24.30

Sub-Total ( 4) 330.41 8,136.50 - - 330.41 8,136.50

5. Derived Stock (3-4) 67.82 571.92 15.74 - 52.08 571.92

6. Measured Stock 66.29 553.48 15.74 - 50.55 553.48

7. Difference (5-6) 1.53 18.44 0.00 - 1.53 18.44

OVERALL STOCK NON-VENDABLE STOCK VENDABLE STOCK

` in Crore

7. Difference (5-6) 1.53 18.44 0.00 - 1.53 18.44

8. Break-up of Difference: (A) Excess within 5% 0.01 0.19 - - 0.01 0.19

(B) Shortage within 5% 1.54 18.63 - - 1.54 18.63

(C) Excess beyond 5% - - - -

(D) Shortage beyond 5% - - - -

9. Closing stock adopted 67.82 571.92 15.74 - 52.08 571.92

in A/c.( 6-8A+8B)

22


TRADE RECEIVABLE

As at As at31.03.13 31.03.12

Debts outstanding for a period exceeding six months

from the due date

Secured Considered Good - -

Unsecured Considered Good 256.50 196.99

Doubtful 423.88 469.64

680.38 666.63

Less : Provision for bad & doubtful debts 423.88 469.64

256.50 196.99

Other Debts

Secured Considered Good 24.08 6.53

Unsecured Considered Good 1091.47 748.20

Doubtful 138.38 198.04

1,253.93 952.77 Less : Provision for bad & doubtful debts 138.38 198.04

1,115.55 754.73

NOTE - 16


` in Crore

Total 1,372.05 951.72

Note

CURRENT

PERIOD

PREVIOUS

PERIOD

CURRENT

PERIOD

PREVIOUS

PERIOD

Due by the Companies under the same

management( With name of the Companies) Nil Nil Nil Nil

Due by the parties in which the Director(s) of

company is /are interested Nil Nil Nil Nil

CLOSING BALANCE MAXIMUM AMOUNT

DUE AT ANY TIME

DURING

23


CASH & BANK BALANCES

As at As at31.03.13 31.03.12

Cash & Cash Equivalents

Balances with Scheduled Banks

- SBI Dividend Account(unpaid/unclaimed Dividend Account)

- In Deposit Accounts with matuirity upto 3 months

- In Current Accounts 124.40 483.28

- In Cash credit Accounts

Balances with Non - Scheduled Banks

In Account with Banks outside India

Remittance - in transit 0.07Cheques, Drafts ,Stamps on hand 0.19

Cash on hand 0.45 0.34

Deposit with Scheduled Banks under Shifting and Rehabilitation

Fund Scheme with matuirity upto 3 months - -

NOTE - 17


` in Crore

Other Bank Balances

Balances with Scheduled Banks

- In Deposit Accounts with matuirity more than 3 months 2269.21 1,619.05 - -

Deposit with Scheduled Banks under Shifting and Rehabilitation

Fund Scheme with matuirity more than 3 months - -

Deposit with Scheduled Banks under Mine Closure Plan Scheme - -

- -

Total 2,394.13 2,102.86

Maximum amount outstanding with Banks other than Scheduled

Banks at any time during the year Nil Nil

Note:

1. Deposit Account includes Fixed Deposit of `2.35 Crore pledged with Bank as margin money

for Bank guarrantee.

2. Deposit Account includes Fixed Deposit of ` 111.12 crore pledged with SBI Dhanbad for

availing overdraft facility of `100 crore.

3. An amount of ` 150.12 lakh was realised from the explosive suppliers for the period from01.03.2006 to 30.06.2006 on account of price differences and the same has been kept under the head“Cash & Bank Balance” in Note No. 17. In light of the decision given by the Hon’ble High Court,Kolkata, the amount was deposited as Fixed Deposit with IDBI Bank, Dhanbad Branch @ 7.25% p.a.After the maturity of the said deposit, the maturity amount of ` 173.32 lakh has been reinvested on31.10.2011 in 9.60% interest bearing FD with Andhra Bank, Dhanbad. The difference betweenaccrued interest @ 7.25% p.a. and @ 9.60% respectively on Fixed Deposit and interest @ 12% p.a.which might be payable as per High Court order amounting to ` 44.48 lakh has been considered ascontingent liability upto 31.03.2013.

24


SHORT TERM LOANS & ADVANCESAs at As at

LOANS 31.03.13 31.03.12

ADVANCE( Recoverable in cash or in kind or for value to be received)ADVANCE TO SUPPLIERS For Revenue : Secured Considered Good Unsecured Considered Good 27.35 10.28 Doubtful 16.61 16.55

43.96 26.83 Less : Provision for Doubtful Advances 16.61 16.55

27.35 10.28 ADV PAYMENT OF STATUTORY DUESSalesTax : Secured Considered Good Unsecured Considered Good 65.95 51.41 Doubtful 0.02 0.08


65.95 51.41 Advance Income Tax / Tax Deducted at Source 252.83 44.03 Less : Provision for Doubtful Advances

252.83 44.03 Others : Secured Considered Good Unsecured Considered Good 0.51 1.25 Doubtful 0.58 0.58


0.51 1.25 Advance to Employees : Secured Considered Good Unsecured Considered Good 115.52 99.58


NOTE - 18

` in Crore

Unsecured Considered Good 115.52 99.58 Doubtful 0.34 0.40


115.52 99.58 Current Acct with CIL other Subsidiaries of CILLoan Account with Subsidiaries:Secured Considered Good Unsecured Considered Good Doubtful

- - Less : Provision for Doubtful Loans

- - Claims Receivables : Secured Considered Good Unsecured Considered Good 39.05 30.87 Doubtful 3.82 3.82


39.05 30.87 Prepaid Expenses 0.94 0.49

TOTAL 502.15 237.91

Note

Due by the Companies under the same management( With name of the Companies) CURRENT

PERIOD

PREVIOUS

PERIOD

CURRENT

PERIOD

PREVIOUS

PERIOD

Eastern Coalfields Ltd. - - 0.28 0.14

Central Coalfields Ltd. - - 0.27 0.12

Western Coalfields Ltd. - - 0.22 -

South Eastern Coalfields Ltd. - - 0.28 0.96

Mahanadi Coalfields Ltd. - - 0.16 1.01

CMPDI Ltd. - - 0.33 0.59

Northern Coalfields Ltd. - - 0.11 0.35

Due by the parties in which the Director(s) of Co. is/are interested - - - -

CLOSING BALANCE MAXIMUM AMOUNT

DUE AT ANY TIME

1. Loans & Advances include ` 65.95 Crores paid towards Advance Sales Tax and also the stayal amounts against

cases under appeal.

25


OTHER CURRENT ASSETS

As at As at31.03.13 31.03.12

Interest Accrued - Investment 2.06 2.65 - Deposit with Banks 104.86 65.45 - Others - -

Ex Owner's Account 1.85 1.85

Other Advances 128.02 90.00 Less: Provision 0.01 0.01

128.01 89.99 DEPOSITS Deposit for Customs Duty, Port Charges etc. - - Deposit with Coal India Limited - - Deposit for Royalty, Cess & Sales Tax 3.26 18.86 Less: Provision -

3.26 18.86 Others( CED ) 74.39 0.05 Less: Provision 0.05 0.05

74.34 - Amount Receivable from Govt of India for transactions on

NOTE -19


` in Crore

Amount Receivable from Govt of India for transactions on

behalf of Ex-Coal Board - - Less: Provision - -

- - Other Receivables 1.34 1.27 Less: Provision - -

1.34 1.27

TOTAL 315.72 180.07

1. Loans & Advances includes ` 45.00 crore paid to B.S.E.B under protest during the

year 1998-99.

26

BHARAT COKING COAL LIMITEDNOTE TO PROFIT & LOSS ACCOUNT FOR YEAR ENDED 31.03.13

Revenue From Operations ` in Crore

For the Year For the Year

ended 31.03.13 ended 31.03.12

Sale of Coal, Coke etc. 10176.62 8,583.87

Less : Excise Duty 533.94 377.56 Less : LeviesRoyalty 642.11 465.50 Cess on Coal 2.35 4.22 Stowing Excise Duty 30.09 26.79 Central Sales Tax 149.86 126.36 Clean Energy Cess 150.43 133.94 State Sales Tax/VAT 152.00 118.26 Other Levies 61.24 50.76

TOTAL LEVIES 1,722.02 1,303.39

Revenue From Operations (NET SALES) 8,454.60 7,280.48

NOTE - 20

1. Sale amount appears after netting off actual deductions by the consumers on

account of grade slippage etc.

27


OTHER INCOME ` in Crore


ended 31.03.13 ended 31.03.12

Income From Long Term Investments

Dividend from Joint Ventures - - Dividend from SubsidiariesInterest from: Govt. Securities(8.5% Tax Free Special Bonds) (Trade) 3.24 4.42 7.55% Non Convertible IRFC Tax Free Bonds 2021 Series (Non-Trade)

Income From Current Investments

Dividend from Mutual Fund Investments - - Interest from: Govt. Securities(8.5% Tax Free Special Bonds) (Trade) 1.18 1.18 7.55% Non Convertible IRFC Tax Free Bonds 2021 Series (Non-Trade)

- - Income From Others

Interest (Gross) From Deposit with Banks 231.97 138.14 From Loans and Advances to Employees 0.07 0.08 From Income Tax Refunds - - From Coal India - - Others -

Apex ChargesSubsidy for Sand Stowing & Protective Works 4.86 8.03

NOTE - 21

28

Subsidy for Sand Stowing & Protective Works 4.86 8.03 Profit on Sale of Assets 0.30 0.04 Recovery of Transportation & Loading Cost 154.49 156.90 Gain on Foreign exchange Transactions - - Exchange Rate Variance - - Central Excise Duty 25.85 19.70 Lease Rent 7.50 6.18 Liability Write Backs 17.76 182.57 Guarantee Fees from Subsidiaries - - Other non-operating Income 35.59 36.61

TOTAL 482.81 553.85

28


` in Crore

COST OF MATERIAL CONSUMEDFor the Year For the Year

ended 31.03.13 ended 31.03.12

Explosives 146.79 151.32

Timber 11.23 10.68

P O L 185.30 163.64

HEMM Spares 78.83 71.49 Other Consumable Stores & Spares 75.51 70.72

TOTAL 497.66 467.85

NOTE - 22

29


CHANGE IN INVENTORIES OF FINISHED GOODS, WORK IN PROGRESS AND STOCK IN TRADE

` in Crore


ended 31.03.13 ended 31.03.12

Closing Stock of Coal / Coke 1183.75 1,377.86

Less: Deterioration of Coal/Coke 426.70 431.07 Total (1) 757.05 946.79

Opening Stock of Coal/Coke 1377.86 1,422.46

Add: Adjustment of Opening Stock

Less: Deterioration of Coal/Coke 431.07 396.36 Total (2) 946.79 1,026.10

A) Change in Inventory of Closing Stock (2-1) 189.74 79.31

Cl. Stock of Workshop made F/goods and WIP - - Less: Provision - - Total (3) - -

NOTE - 23

Total (3) - -

Opening Stock of Workshop made finished goods and WIP - - Less: Provision - - Total (4) - -

B) Change in Inventory of Closing Stock of workshop

(4-3) - -

Press Closing Job i)Finished Goods - - ii)Work in Progress - - Total (5)

Less: Press Opening Job i)Finished Goods - - ii)Work in Progress - - Total (6)C) Change in Inventory of Closing Stock of Press Job

made finished goods and WIP(6-5) - -

Change in Inventory of Stock in Trade ( A+B+C ) 189.74 79.31

30


EMPLOYEE BENEFIT EXPENSES ` in Crore


ended 31.03.13 ended 31.03.12

Salary, Wages, Allowances ,Bonus & Benefits 3006.42 2,650.72 Exgratia 182.24 145.39 PRP 69.01 71.33 Contribution to P.F. & Other Funds 361.60 275.82 Gratuity 344.63 823.35 Leave Encashment 182.36 99.89 VRS - - Workman Compensation 2.01 2.01

Medical Expenses 100.13 26.80 Grants to Schools & Institutions 2.23 1.06 Sports & Recreation 0.34 0.41 Canteen & Creche 0.26 0.28

NOTE - 24

Canteen & Creche 0.26 0.28 Power - Township 105.54 99.89 Hire Charges of Bus, Ambulance etc. 4.38 4.38 Other Employee Benefits 104.50 168.88

TOTAL 4,465.65 4,370.21

31


` in Crore

WELFARE EXPENSESFor the Year For the Year

ended 31.03.13 ended 31.03.12

Medical Exp. for retired Employees 32.62 2.70 CSR Expenses - - Sustainable Devlopment Expenses - - Environmental Expenses 0.73 1.55 Tree Plantation 0.03 1.02 Other Welfare Expenses - -

TOTAL 33.38 5.27

NOTE - 25

32


` in Crore

REPAIRSFor the Year For the Year

ended 31.03.13 ended 31.03.12

Building 29.22 31.58

Plant & Machinery 94.19 45.15

Others 2.87 3.78

TOTAL 126.28 80.51

NOTE - 26

33


` in Crore

CONTRACTUAL EXPENSESFor the Year For the Year

ended 31.03.13 ended 31.03.12

Transportation Charges :

- Sand 7.59 3.07

- Coal & Coke 105.65 99.81 - Stores & Others etc. - -

Wagon Loading 17.80 14.69

Hiring of P&M 589.02 519.72

Other Contractual Work 27.02 28.18

TOTAL 747.08 665.47

NOTE - 27

34


NOTE - 28

` in Crore

FINANCE COSTS For the Year For the Year

ended 31.03.13 ended 31.03.12

(A) INTEREST

Deferred Payments - - Bank Overdraft / Cash Credit - 0.29 Interest on IBRD & JBIC Loan - -

CIL Fund Loan Interest 18.34 21.59 Interest to Subsidiaries - -

Others 0.63 0.96

TOTAL(A) 18.97 22.84

(B) FINANCIAL / COMMITMENT CHARGES

Guarantee Fees on (IBRD & JBIC) Loan - - Other Expenses / Bank Charges* - -

TOTAL(B) - -

TOTAL (A+B) 18.97 22.84

*Related to world Bank loan transaction only.

35


` in Crore

PROVISIONSFor the Year For the Year

ended 31.03.13 ended 31.03.12

(A) PROVISION MADE FOR

Doubtful debts 261.85 238.73 Doubtful advances & Claims - 0.33 Foreign exchange Transaction - -

Stores & Spares 0.52 3.22

Reclamation of Land/Mine Closure Expenses 43.93 40.09

Surveyed of Fixed Assets/Capital WIP 0.43 0.34 Others - -

TOTAL (A) 306.73 282.71

(B) PROVISION WRITTEN BACK

Doubtful debts 367.27 84.38

NOTE - 29

Doubtful debts 367.27 84.38

Doubtful advances & Claims 0.04 - Foreign exchange Transaction - -

Stores & Spares 1.56 0.24 Reclamation of Land/Mine Closure Expenses - - Surveyed of Fixed Assets/Capital WIP - - Others - -

TOTAL (B) 368.87 84.62

TOTAL ( A-B ) (62.14) 198.09

36


` in Crore

WRITE OFFFor the Year For the Year

ended 31.03.13 ended 31.03.12

Doubtful debts 186.15 37.57 Doubtful advances - - Others - -

TOTAL 186.15 37.57

NOTE - 30

37


` in Crore

OTHER EXPENSES For the Year For the Year

ended 31.03.13 ended 31.03.12

Travelling expenses - Domestic 8.68 7.83 - Foreign 0.05 0.07 Training Expenses 2.64 2.32 Telephone & Postage 1.59 4.19 Advertisement & Publicity 8.15 7.58 Freight Charges 13.03 13.70 Demurrage 19.80 28.64 Donation/Subscription 0.02 0.04 Security Expenses 136.87 133.04 Service Charges of CIL - Hire Charges 17.67 15.24 CMPDI Expenses 11.66 39.40 Legal Expenses 1.68 1.27 Bank Charges 0.26 0.17 Guest House Expenses 0.37 0.32 Consultancy Charges 0.38 0.14

NOTE - 31

Consultancy Charges 0.38 0.14 Under Loading Charges 85.04 77.46 Loss on Sale/Discard/Surveyed of Assets 0.21 0.34 Auditor's Remuneration & Expenses - For Audit Fees 0.17 0.13 - For Taxation Matters 0.01 0.01 - For Company Law Matters - - - For Management Services - - - For Other Services 0.08 0.08 - For Reimbursement of Expenses 0.10 0.08 Internal Audit Fees and Expenses 2.09 1.48 Cost Audit & Other Audit Fees & Exp. 0.04Rehabilitation Charges - Royalty & Cess 161.84 125.16 Central Excise Duty 11.18 30.50 Rent 0.34 0.33Rates & Taxes 3.70 2.24 Insurance 0.83 0.59 Loss on Exchange Rate Variance - Lease Rent - Rescue/Safety Expenses 1.22 2.04 Dead Rent/Surface Rent 1.06 1.23 Siding Maintenance Charges 4.33 5.88 Land/Crops Compensation 0.07 0.21 Misceleneous Expenses 14.83 21.14

TOTAL 509.99 522.85

38


EXCEPTIONAL ITEMS ` in Crore

PRIOR PERIOD ADJUSTMENTFor the Year For the Year

ended 31.03.13 ended 31.03.12

(A) Expenditure

Sale of Coal & Coke 3.29 - Stock of Coal & Coke - - Other Income - - Consumption of Stores & Spares - - Employees Remuneration & Benefits - - Power & Fuel - - Welfare Expenses - - Repairs - - Contractual Expenses 0.56 - Other Expenditure - - Interest and other financial charges - - Depreciation - -

NOTE -32

TOTAL (A) 3.85 -

(B) Income

Sale of Coal & Coke - - Stock of Coal & Coke - 0.16 Other Income - - Consumption of Stores & Spares - 1.71 Employees Remuneration & Benefits - - Power & Fuel - - Welfare Expenses - - Repairs - - Contractual Expenses - - Other Expenditure - - Interest and other financial charges - - Depreciation - -

TOTAL (B) - 1.87

TOTAL ( A-B ) 3.85 (1.87)

39

NOTE - 33 A. SIGNIFICANT ACCOUNTING POLICIES

1.0 Accounting Convention:

Financial statements are prepared under the historical cost convention and on accrual basis of accounting and going concern concept, in accordance with the generally accepted accounting principles in India and the relevant provisions of the Companies Act, 1956 including accounting standards notified there under , except otherwise stated.

2.0 Subsidies / Grants from Government: 2.1 Subsidies / Grants on capital account are deducted from the cost of respective assets to

which they relate. The unspent amount at the Balance Sheet date, if any, is shown as current liabilities.

2.2 Subsidies / Grants on revenue account are credited to Statement of Profit & Loss under the head- Other Income and the relevant expenses are debited to the respective heads. The unspent amount at the Balance Sheet date, if any, is shown as current liabilities.

2.3 Subsidies / Grants from Government received as an implementing agency 2.3.1 Grant / Funds received as Nodal/Implementing Agency are accounted for on the basis of

receipts and disbursement. 3.0 Fixed Assets:

3.1 Land: Value of land includes cost of acquisition and cash rehabilitation expenses and

resettlement cost incurred for concerned displaced persons. Other expenditure incurred on acquisition of land viz. compensation in lieu of employment etc. are, however, treated as revenue expenditure.

3.2 Plant & Machinery:

Plant & Machinery includes cost and expenses incurred for erection / installation and other attributable costs of bringing those assets to working conditions for their intended use.

3.3 Railway Siding:

Pending commissioning, payments made to the railway authorities for construction of railway sidings are shown in Note 12 – “Long Term Loans & Advances” under Advances for Capital.

40

3.4 Development: Expenses net of income of the projects / mines under development are booked to Development Account and grouped under Capital Work-in-Progress till the projects / mines are brought to revenue account. Except otherwise specifically stated in the project report to determine the commercial readiness of the project to yield production on a sustainable basis and completion of required development activity during the period of constructions, projects and mines under development are brought to revenue considering the following criteria:

(a) From beginning of the financial year immediately after the year in which the project achieves physical output of 25% of rated capacity as per approved project report, or

(b) 2 years of touching of coal, or

(c) From the beginning of the financial year in which the value of production is

more than total expenses, - Whichever event occurs first.

4.0 Prospecting & Boring and other Development Expenditure:

The cost of exploration and other development expenditure incurred in one “Five year” plan period will be kept in Capital work-in-progress till the end of subsequent two “Five year” plan periods for formulation of projects, before it is written-off, except in the case of Blocks identified for sale or proposed to be sold to outside agency which will be kept in inventory till finalisation of sale.

5.0 Investments:

Current investments are valued at the lower of cost and fair value as at the Balance Sheet date. Investments in mutual fund are considered as current investments.

Non-Current investments are valued at cost. 6.0 Inventories: 6.1 Book stock of coal / coke is considered in the accounts where the variance between

book stock and measured stock is upto +/- 5% and in cases where the variance is beyond +/- 5% the measured stock is considered. Such stock are valued at net realisable value or cost whichever is lower.

6.1.1 Coal & coke fines are valued at lower of cost or net realisable value. 6.1.2 Slurry, middling of washeries and by products are valued at net realisable value. 6.2 Stores & Spares:

6.2.1 The closing stock of stores and spare parts has been considered in the accounts as per

balances appearing in priced stores ledger of the Central Stores and as per physically verified stores lying at the collieries/units.

41

6.2.2 Stock of stores & spare parts at central & area stores are valued at cost calculated on the basis of weighted average method. The year-end inventory of stores & spare parts lying at collieries / sub-stores / drilling camps/ consuming centres, initially charged off, are valued at issue price of Area Stores, Cost / estimated cost. Workshop jobs including work-in-progress are valued at cost.

6.2.3 Stores & spare parts include loose tools. 6.2.4 Provisions are made at the rate of 100% for unserviceable, damaged and obsolete

stores and at the rate of 50% for stores & spares not moved for 5 years. 6.3 Stock of stationery (other than lying at printing press), bricks, sand, medicine (except at

Central Hospitals), aircraft spares and scraps are not considered in inventory. 7.0 Depreciation: 7.1. Depreciation on fixed assets is provided on straight line method at the rates and manner

specified in Schedule XIV of the Companies Act, 1956 (as amended) except for telecommunication equipment and photocopying machine, which are charged at higher rates on the basis of their technically estimated life, as follows :- Telecommunication equipment : - 15.83% p.a. and 10.55% p.a. Photocopying machine : - 10.55% p.a. Depreciation on Earth Science Museum and high volume samplers and respiratory dust are charged @5.15% and 33.33% respectively on the basis of their technically estimated life. Further, depreciation on certain equipments /HEMM is charged over the technically estimated life at higher rates viz. 11.88%; 13.57% and 15.83% as applicable. Depreciation on SDL and LHD (equipments) are charged @19% p.a. and @15.83% p.a. respectively on the basis of technical estimation. Depreciation on the assets added / disposed off during the year is provided on pro-rata basis with reference to the month of addition / disposal, except on those assets attracting 100% depreciation p.a. (SLM basis), which are fully depreciated in the year of their addition. Assets attracting 100% depreciation are taken out from the Assets after expiry of two years following the year in which these are fully depreciated.

7.2 Value of land acquired under Coal Bearing Area (Acquisition & Development) Act, 1957

is amortised on the basis of the balance life of the project. Value of leasehold land is amortised on the basis of lease period or balance life of the project whichever is earlier.

7.3 Prospecting, Boring and Development expenditure are amortised from the year when

the mine is brought under revenue in 20 years or working life of the project whichever is less.

8.0 Impairment of Asset: Impairment loss is recognised wherever the carrying amount of an asset is in excess of

its recoverable amount and the same is recognized as an expense in the statement of profit and loss and carrying amount of the asset is reduced to its recoverable amount.

Reversal of impairment losses recognised in prior years is recorded when there is an

indication that the impairment losses recognised for the asset no longer exist or have decreased.

42

9.0 Foreign Currency Transactions: 9.1 Balance of foreign currency transactions is translated at the rates prevailing on the

Balance Sheet date and the corresponding effect is given in the respective accounts. Transactions completed during the year are adjusted on actual basis.

9.2 Transactions covered by cross currency swap options contracts to be settled on future

dates are recognised at the rates prevailing on the Balance Sheet date, of the underlying foreign currency. Effects arising out of such contracts are taken into accounts on the date of settlement.

10.0 Retirement benefits / other employee benefits:

a) Defined contributions plans:

The company has defined contribution plans for payment of Provident Fund and Pension Fund benefits to its employees. Such Provident Fund and Pension Fund are maintained and operated by the Coal Mines Provident Fund (CMPF) Authorities. As per the rules of these schemes, the company is required to contribute a specified percentage of pay roll cost to the CMPF Authorities to fund the benefits.

b) Defined benefits plans:

The liability on the Balance Sheet date on account of gratuity and leave encashment is provided for on actuarial valuation basis by applying projected unit credit method. Further the company has created a Trust with respect to establishment of Funded Group Gratuity (cash accumulation) Scheme through Life Insurance Corporation of India. Contribution is made to the said fund based on the actuarial valuation.

c) Other employee benefits: Further liability on the Balance Sheet date of certain other employee benefits viz. benefits on account of LTA/ LTC; Life Cover Scheme, Group Personal Accident Insurance Scheme, Settlement Allowance, Retired Executive Medical Benefit Scheme and compensation to dependants of deceased in mines accidents etc. are also valued on actuarial basis by applying projected unit credit method.

11.0 Recognition of Income and Expenditure:

Income and Expenditure are generally recognised on accrual basis and provision is made for all known liabilities.

11.1 Sales

a) Revenue in respect of sales is recognised when the property in the goods with the risks and rewards of ownership are transferred to the buyer.

b) Sale of coal are net of statutory dues and accepted deduction made by customer on account of quality of coal.

c) The revenue recognition is done where there is reasonable certainty of collection. On the other hand, revenue recognition is postponed in case of uncertainty as assessed by management.

43

11.2 Dividend

Dividend income is recognised when right to receive is established. 12.0 Borrowing Costs: Borrowing Cost directly attributable to the acquisition or construction of qualifying assets

is capitalised. Other borrowing costs are recognised as expenses in the period in which they are incurred.

13.0 Taxation: Provision of current income tax is made in accordance with the Income Tax Act., 1961.

Deferred tax liabilities and assets are recognised at substantively enacted tax rates, subject to the consideration of prudence, on timing difference, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent period.

14.0 Provision: A provision is recognised when an enterprise has a present obligation as a result of past

event; it is probable that an outflow of resources embodying economic benefit will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to present value and are determined based on best estimate required to settle the obligation at the balance sheet date.

15.0 Contingent Liability:

Contingent liability is a possible obligation that arises from past events and the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the enterprise or a present obligation that arises from past events but is not recognised because it is not probable that an outflow of resources embodying economic benefit will be required to settle the obligations or reliable estimate of the amount of the obligations can not be made.

Contingent liabilities are not provided for in the accounts and are disclosed by way of

Notes. 16.0 Overburden Removal (OBR) Expenses : In open cast mines with rated capacity of one million tonnes per annum and above, cost

of OBR is charged on technically evaluated average ratio (COAL:OB) at each mine with due adjustment for advance stripping and ratio-variance account after the mines are brought to revenue. Net of balances of advance stripping and ratio variance at the Balance Sheet date is shown as cost of removal of OB under the head Non - Current Assets/ Long Term Provisions as the case may be.

44

The reported quantity of overburden as per record is considered in calculating the ratio for OBR accounting where the variance between reported quantity and measured quantity is within the lower of the two alternative permissible limits, as detailed hereunder:-

Annual Quantum of OBR Of the Mine

Permissible limits of variance

I II % Quantum (in Mill.Cu. Mtr.) Less than 1 Mill. CUM +/- 5% 0.03

Between 1 and 5 Mill. CUM +/- 3% 0.20 More than 5 Mill. CUM +/- 2% Nil

However, where the variance is beyond the permissible limits as above, the measured quantity is considered.

17.0 Prior Period Adjustments and Prepaid Expenses:

Income / expenditures relating to prior period and prepaid expenses, which do not exceed ` 0.10 Crore in each case, are treated as income / expenditure of current year.

45

Note No. 34


ADDITIONAL NOTES ON THE ACCOUNTS

1. Long Term provisions as on 31.03.2013 (Note No. 5, 10 & 12) : [ ` in crore]

Provisions Opening Balance

Addition during the

Year

Write Back /Adj during

the year

Closing Balance

For Proposed Dividend For Corporate Dividend Tax For Gratuity 1871.98 - 906.44 965.54 For Leave Encashment 303.66 91.19 - 394.85 For Other Employee Benefits 242.91 121.96 - 364.87 For Income Tax For Forex Transactions (Marked to Market)

Cost of Stowing Lag OBR Adjustment Account 57.02 - 15.38 41.64 Mines Closure 57.74 43.93 - 101.67 Bad & Doubtful debts Provision for Doubtful Advances & Claims

6.21 0.02 - 6.23

CWIP 31.38 0.43 - 31.81

2. Short term provisions as on 31.03.2013( Note No. 9, 16, 18 & 19)

[` in Crore]

Provisions Opening Balance

Addition during the

Year

Write Back /Adj during

the year

Closing Balance

For Proposed Dividend For Corporate Dividend Tax For Gratuity 426.25 - 26.66 399.59 For Leave Encashment 74.51 18.03 - 92.54 For Other Employee Benefits 390.06 94.66 - 484.72 For Income Tax - 210.26 - 210.26 For Forex Transactions (Marked to Market)

Cost of Stowing Lag OBR Adjustment Account Land Reclamation Bad & Doubtful debts 667.68 261.85 367.27 562.26 Provision for Doubtful Advances & Claims

21.49 - 0.06 21.43

CWIP

Excise Duty on Closing Stock of Coal

80.61 - 14.93 65.68

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3. INVENTORIES (NOTE – 15) 3.1 PARTICULARS OF FINISHED STOCK: Qty. in Lakh Tonne & [` in Crore]

Raw Coal Washed/Deshaled Coal Other Products Total Coking Non-Coking Coking Non-Coking

Qty Value Qty Value Qty Value Qty Value Qty Value Qty Value

Opening Stock (Audited)

70.26 668.14 15.84 91.35 1.35 67.50 0.08 0.75 65.13 550.12 152.66 1377.86

Less: Non-vendable Coal

9.78 -- 5.96 -- -- -- -- -- -- -- 15.74 --

Opening Vendable Stock (Audited)

60.48 668.14 9.88 91.35 1.35 67.50 0.08 0.75 65.13 550.12 136.92 1377.86

Adjusted Opening Stock (Vendable)

60.48 668.14 9.88 91.35 1.35 67.50 0.08 0.75 65.13 550.12 136.92 1377.86

Production 270.65 6841.74 41.48 1107.20 13.29 840.86 0.12 1.51 17.53 448.45 343.07 9239.76

Offtake

(A) Outside Despatch

260.33 6084.97 40.53 1073.64 13.47 856.42 0.00 0.00 18.29 439.57 332.62 8454.60

(B) Coal feed to Washeries

28.79 953.59 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.01 28.79 953.60

(C) Own Consumption

0.69 21.78 0.07 2.52 0.00 0.00 0.00 0.00 2.03 1.37 2.79 25.67

Closing Stock 41.32 449.54 10.76 122.39 1.17 51.94 0.20 2.26 62.34 557.62 115.79 1183.75

Less: Shortage() /Surplus

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Closing Stock 41.32 449.54 10.76 122.39 1.17 51.94 0.20 2.26 62.34 557.62 115.79 1183.75

3.2 Inventories do not include 0.91 lac tonnes (approx) of Slurry in respect of Barora Washery (0.37 LT) and Dugda Washery (0.54 LT) lying at adjoining private land pending measurement of actual quantity and assessment of quality thereof. Out of Barora Washery, 0.02 LT has been sold as per decision of Honb. High Court for a total amount of ` 0.56 Crore which has been considered in Accounts.

PROFIT & LOSS ACCOUNT : 4. OTHER INCOME (Note-21):

4.1 House Rent receivable from the tenants of Bhuli Town Administration is accounted for on cash basis as the matter is sub-judice.

4.2 As per lease agreement of CV Area with M/s Mithon Power Limited (MPL) for utilizing Damagoria Railway Siding on dated 10.02.12 lease rent for the period from 01.03.2012 to 28.02.2013 for ` 0.90 Cr. had been received from the lessee. In addition to the above lessee had to deposit Bank Guarantee for ` 0.92 Cr. as one-time security deposit. Details of the said Asset under lease is given below:-

` in Crore

S.No. Particulars Gross Block

Current Year Dep.

Current year

Impairment

Progressive Depreciation

Progressive Impairment

1 Railway Siding 0.11 Nil Nil 0.10 Nil

4.3 As per lease agreement dated 18th March 2010, lease rent @ ` 0.55 Cr./month from 23rd April,

2011 has been booked in the account for leased out Captive Power Plant of Western Jharia Area to M/s OSD Coke (Consortium) Private Limited. The lease is valid for 20 years. Details of the said

47

Asset under lease is given below :- [` in Crore]

Sl. No.

Particulars Gross Block

Current Year Dep.

Current year Impairment

Progressive Dep. as on 31.03.2013

Progressive Impairment

as on 31.03.2013

1 Land 0.03 - - - - 2 Building Township 1.28 0.02 0 0.41 - 3 N.R. Building 7.09 0.24 0 6.00 -

4 Road/Culv. Factory Area

0.27 0.01 0 0.18 -

5 Plant & Machinery 46.46 0 0 18.89 25.25 6 Furniture & Fittings 0.03 0 0 0.02 - 7 Vehicle Others - 0 0 0.00 - 8 SOH Vehicle 0.03 0 0 0.03 -

9 Development 37.00 0 0 12.94 24.06

TOTAL 92.19 0.27 0 38.47 49.31

5. EMPLOYEES BENEFITS EXPENSES (NOTE-24)

5.1 Gratuity, Leave Encashment, HPL, LCS, Settlement Allowance, LTA/LTC, Group Personal Accident Insurance Scheme & compensation to dependent charged to Revenue Account for the period ended 31.03.2013 are equal to the amount paid and payable to the employees retired/died etc. plus incremental/decremental liabilities, if any, for all the employees on roll as on 31.03.2013 as certified by the Actuary. Estimated Actuarial Liability as on 31.03.2013 under different heads has been enhanced on proportionate basis because of difference in manpower considered by Actuary and the actual manpower on roll of BCCL as on 31.03.2013.

Incremental/Decremental Actuarial Liability charged in the Profit & Loss Account for Financial Year 2012-13 and Actuarial Liability as on 31.03.2013 in respect of the following heads are as under:-

[` in Crore]

Head

Opening Actuarial Liability as on

01.04.2012

Incremental Liability

Closing Actuarial Liability as on

31.03.2013 Gratuity 2171.82 37.99 2209.81 Earned Leave 286.14 101.33 387.47

Half Pay Leave 57.66 1.18 58.84 Life Cover Scheme 17.77 0.03 17.80 Settlement Allowance (Exe.) 0.78 0.31 1.09

Settlement Allowance(Non-Ex) 53.46 -2.26 51.20 Gross Personal Accident 0.20 -0.01 0.19 Leave Travel Concession 39.71 4.23 43.94

Medical Benefit 4.96 98.92 103.88 Compensation to dependents in case of mine accidental death

44.11 0.40 44.51

TOTAL 2676.61 242.12 2918.73

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5.2 The disclosure as required under AS 15 (Revised) 2005 in respect of Actuarial gratuity and Leave encashment is placed below: A. Actuarial Valuation of Gratuity Liability as at 31.03.2013:

Table 1: Disclosure Item 120(c) Table showing Changes in present value of obligations:

(` in Crore)

As at 31/03/2013 Present Value of obligation at beginning of year 2119.28

Acquisition Adjustment 0 Interest Cost 157.56

Past Service Cost 0 Current Service Cost 94.85 Curtailment Cost 0 Settlement cost 0 Benefits paid 299.58

Actuarial gain/loss on Obligations 103.27 Present Value of obligation at end of year 2175.37

Table 2: DISCLOSURE ITEM 120(e)

Table Showing Changes in Fair Value of Plan Assets: (` in Crore)

As at 31/03/2013

Fair Value of Plan Asset at beginning of year 0 Acquisition Adjustment 0 Expected Return on Plan Asset 0 Contributions 1252.49

Benefits Paid 299.58 Actuarial gain/loss on obligations 2.95 Fair Value of Plan Asset at end of year 955.86

Table 3: DISCLOSURE ITEM 120(f)

Table showing Funded Status (` in Crore)

As at 31/03/2013 Present Value of Obligation at end year 2175.37 Fair Value of Plan Asset at end Year 955.86 Funded status -1219.51

Unrecognised actuarial gain/loss at end of the year 0 Net Asset (Liability) Recognised in Balance Sheet -1219.51

Table 4:: DISCLOSURE ITEM 120(g)

Table showing Expense Recognized in Statement of Profit/Loss: (` in Crore)

As at 31/03/2013 Current Service Cost 94.85

Past Service cost 0 Interest Cost 157.56 Expected Return on Plan asset 0

Curtailment Cost 0 Settlement cost 0

Actuarial gain/loss recognized in the year 100.32 Expense Recognized in Statement of Profit/Loss 352.73

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Table 7:: DISCLOSURE ITEM 120(L) Table showing Actuarial Assumptions

As at 31/03/2013

Mortality Table LICI 1994-96 Superannuation age 60

Early Retirement & Disablement 10 per thousand P.A. 5 above age 45

3 between 29 and 45 1 below age 29

Discount Rate 8.0 Inflation Rate 6.25

Return on Asset 8.0 Remaining Working Life 10

FORMULA USED PROJECTED UNIT CREDIT METHOD

Table 8:: DISCLOSURE ITEM 120(m) Not applicable as Scheme is not related to Medical cost

Table 9:: DISCLOSURE ITEM 120(n) Summary of last 4 Valuation Record

Amount for the previous four financial years are as follows: (` in Crore)

Financial Year 2011-12 2010-11 2009-10 2008-09 Defined benefit obligation 2171.82 1653.52 1565.93 1530.66 Plan Assets 0 0 0 0

Surplus/deficit 0 0 0 0 Experience Adjustment on Plan Assets

0 0 0 0

Experience Adjustment on Plan Liabilities

0 0 0 0

Table 10: : DISCLOSURE ITEM 120(P) Movements in the liability Recognized in Balance Sheet

(` in Crore)

As at 31/03/2013

Opening Net Liability 2119.28 Expenses as above 352.73

Contributions 1252.49 Closing Net Liability 1219.51 Closing Fund/Provision at end of year 2175.37

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B. LEAVE ENCASHMENT ACTUARIAL VALUATION OF LEAVE ENCASHMENT BENEFIT (EL/HPL) AS AT 31.03.2013.

Table 1:: disclosure item 120(c) Table Showing Changes in Present Value of Obligations:

(` in Crore)

As at 31/03/2013 Present Value of Obligation at Beginning of year 326.81 Acquisition Adjustment 0 Interest Cost 24.01 Past Service Cost 0 Current Service Cost 14.32

Curtailment Cost 0 Settlement Cost 0 Benefits Paid 53.19 Actuarial gain/loss on Obligations 124.41 Present Value of Obligation at end of year 436.36

Table 2:: DISCLOSURE ITEM 120(e) Table Showing Changes in Fair Value of plan Assets:

Not applicable as Scheme is unfunded

Table 3: DISCLOSURE ITEM 120(f) Table showing Funded Status

Not applicable as Scheme is unfunded.

Table 4: : DISCLOSURE ITEM 120(g) Table showing Expense Recognized in Statement of Profit/Loss:

(` in Crore)

As at 31/03/2013 Current Service Cost 14.32 Past Service cost 0 Interest Cost 24.02 Expected Return on Plan asset 0

Curtailment Cost 0 Settlement cost 0

Actuarial gain/loss recognized in the year 124.41 Expense Recognized in Statement of Profit/Loss 162.74

Table 7: DISCLOSURE ITEM 120(L)

Table showing Actuarial Assumptions

As at 31/03/2013

Mortality Table LICI 1994-96 Superannuation age 60

Early Retirement & Disablement 10 per thousand P.A. 6 above age 45

3 between 29 and 45 1 below age 29

Discount Rate 8.0 Inflation Rate 6.25

Return on Asset 0.0

Remaining Working Life 10.0 FORMULA USED PROJECTED UNIT CREDIT METHOD

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Table 10 : DISCLOSURE ITEM 120 (P) Movements in the Liability Recognized in Balance Sheet :

(` in Crore)

As at 31/03/2013 Opening Net Liability 0 Expenses as above 162.74 Contributions 0

Closing Net Liability 162.74 Closing Fund/Provision at end of year 436.36

NOTE TO APPENDIX B OF AS15 (REVISED 2005)

AS THE SCHEME IS UNFUNDED CHARGES TO PROFIT /LOSS ACCOUNT

HAS BEEN BASED ON FOLLOWING ASSUMPTIONS :-

(1) PREVIOUS OBLIGATION WAS PROVIDED FOR AT LAST ACCOUNTING DATE (2) BENEFIT TO EXITS HAS BEEN PAID TO DEBIT OF ABOVE PROVISION (3) CURRENT OBLIGATION WILL BE PROVIDED FOR AT CURRENT ACCOUNTING DATE

6. WELFARE EXPENSES (Note-25) As per CIL CSR policy, CIL is allocating 2.5% of retained profit of last year of CIL for execution of CSR activities in the state which is not covered by subsidiary company and also for supporting loss making company. CIL is considering BCCL as loss making subsidiaries even if they earned profit in the previous year till the accumulated profit of subsidiaries become positive. Accordingly, expenditure incurred on CSR activities during financial year 2012-13 to the tune of ` 7.94 Crores has been transferred to CIL. 7. GENERAL:

7.1 Use of Estimate In preparing the financial statement in conformity with generally accepted accounting principles in

India, management is required to make estimates and assumptions that affect the reported amount of assets and liabilities and the disclosure of contingent liability as at the date of financial statements and amount of revenue expenses during the reported period. Actual results could differ from those estimates. Any revision of such estimate is recognized in the period the same is determined.

7.2 Earning per Share – The basic earnings per share (EPS) is computed by dividing the net profit after Tax for the year ended 31st March,2013 by weighted average number of equity shares outstanding. For the purpose of calculating diluted EPS, net profit after tax upto 31st March, 2013 and the weighted average number of shares outstanding are adjusted for the effects of all dilutive potential equity shares :-

Particulars Current Year Previous year

Profit/(Loss) after tax (` in Crores) 1498.80 822.36

Less: Profit attributable to Pref. Share Holder (` in Crores) 2.08 -

Profit attributable to equity share holders (` in Crores) 1496.72 822.36

No. of Equity Shares for basic and diluted EPS (Nos.) 21180000 21180000 Nominal value of Equity Shares (`) 1000 1000

Basic & Diluted Earnings per Share (`) 706.66 388.27

52

7.3 Accounting Standard 22- Taxes on income – The difference of deferred tax Assets arising on account of carried forward loss and deferred tax liability arising on account of depreciation, provisions and other misc. items, has not been considered in the Accounts in view of huge accumulated loss of ` 4106.03 Crore. Further there is no virtual certainty for future positive cash flow. As a prudent practice no deferred tax assets and/or liability has been recognized in Accounts. 7.4 The Company does not charge or pay any “Sales Tax” for store/equipment transferred to/from other Subsidiaries of CIL, if any, as per legal opinion obtained.

7.5 Bank Guarantees, on fund base security etc. obtained by the Company from suppliers/contractors as security are not accounted for.

7.6 The Company has received grant under various SSRC, EMSC (now included in Master Plan) and R&D Schemes. The funds were received as nodal/implementing agency and are accounted for on the basis of receipts and disbursement. The Company has received Master Plan and R&D Grants upto 31.03.2013 for ` 315.79 Cr. and ` 1.75 Cr. respectively. Total expenditure incurred against these are as follows:- ` in Crore Master Plan R&D Capital 213.68 0.50 Revenue 8.73 0.39

7.7 As required, the provisions of interest on delayed payment to Small & Medium Enterprise under the Micro, Small & medium Enterprises Development Act,2006, the Company has not received any memorandum as required to be filled by the supplier with the notified authorities under Micro, Small & Medium Enterprise Act claiming their status as Micro & Small Medium Enterprise.

7.8 Exit from BIFR BCCL was referred to BIFR as a sick company consequent upon its net worth becoming negative and was registered vide Reg. No. 504/95 dated 18.12.95. Subsequently, with a capital restructuring through conversion of CIL loan for ` 996 Cr. into Equity, the net worth of the company was made positive and the Company came out of BIFR in December 1997. However, after completion of accounts for the year 1999-2000, the Net Worth of the company again turned negative. The company was referred to BIFR and was registered as a sick company vide no. Registration no 502/2001. As directed, BCCL submitted its Revival Plan to BIFR as on 12.04.2004 for its consideration. Subsequently, after formation of BRPSE, BCCL submitted its Revival Plan to BRPSE in April’05 suitably modifying the Rehabilitation Plan submitted earlier to BIFR on 12.04.2004. BRPSE recommended the Rehabilitation Plan of BCCL to BIFR for concurrence as confirmed vide OM no. 38039/1/2008-CA-II(Pt-I) dt. 3/10/2008 of Director, MOC.

In its hearing held on 18.05.2009, BIFR directed BCCL to submit updated Revival Scheme/

Proposal for revival of BCCL. Accordingly an updated Draft Rehabilitation Scheme (DRS) was submitted to BIFR vide ref. no. CMD: ES:F:BIFR:09:771 dated 11.08.2009. The said Draft Rehabilitation Scheme has since been approved by BIFR as communicated by Bench Officer- II, BIFR on 28.10.2009 and the same has also been vetted by MOC, Govt. of India as communicated by Under Secretary to Govt. of

53

India, MOC vide reference no. 13011/4/2004-CA-II(Vol.II) dt. 25.02.2010. A review hearing was held on 28.09.2010 on the progress of implementation of the Revival Plan. In the said hearing, the company was directed by BIFR to continue to submit the compliance report(s) from time to time on quarterly basis.

Chronology of events leading to the exit from BIFR during 2012-13 BCCL filed an appeal before the Hon’ble Bench of BIFR for clearance from the purview of

sickness by virtue of its Net worth becoming positive as on 31.07.2012 after consideration of the waiver as agreed by CIL and part of the Revival Plan.

After hearing the representatives of BCCL on the hearing date 03/01/2013, the Hon’ble Bench

of BIFR discharged BCCL from the purview of SICA/BIFR vide office order no.502/2001/(MA-372/2012) dated 12.02.2013.

After the above discharge by BIFR from the purview of SICA, the implementation was required for “Waiver of the loan of ` 1083 Crore and current account balance of ` 1456 crore as well as interest on other loans in the year in which BCCL shall be consequently enabled to report a positive net worth” as per the Sanctioned scheme and the directives of BIFR. However, the above waiver of ` 2539 Cr. (`1456 Cr+`1083Cr.) was effected by converting it

into subscription monies for issuance of 5% non-convertible, cumulative, redeemable Preference shares of the face value of `1000/- each with following conditions:

(a) The preference shares are to be redeemed at the expiry of 7 years from the date of issue and allotment. However, CIL would have the option to redeem at any time after the expiry of 5 years from the date of issue and allotment of the shares.

(b) Redemption of preference shares at the face value (no redemption premium ) ; and (c) Annual cumulative dividend is 5%.

BCCL Board at its meeting held on 19th March, 2013 approved the above along with

amendment of Clauses no. 5 and 15 of the Articles of association and clause V of the Memorandum of Association of the Company.

BCCL at its 15th EGM meeting held on March 26, 2013 approved the amendment of the aforesaid clauses of the Article of Association and Memorandum of Association. EGM also approved

(a) Increase in Authorised Capital by ` 2600 crore for issue of Preference Shares ; and (b) Issue of ` 2539 crore preference shares in favour of CIL for an aggregate consideration

equivalent to the amount of the funds (waiver) by BCCL to CIL.

BCCL Board at its meeting held on 26.03.2013 approved the issue and allotment of the 5% non convertible Cumulative Redeemable Preference Shares to CIL. Taking into effect of allotment of issue of Preference Share the net worth of the Company turns positive and the directive of Hon’ble Bench of BIFR is complied and an intimation in this regard was also sent to BIFR vide our letter reference no. D(F):SOS:F:BIFR:13:02 dated 02.04.2013.

7.9 Additional liabilities, if any, for Sales Tax, Royalty, Cess, Central Excise Duty, interest on delayed payment of TDS and other statutory taxes etc. are accounted for as and when assessment is completed in all respects and Appeal Cases, if any, are finally disposed off.

54

7.10 Various Certificate Cases are pending before Certificate Officer in District Mining Officer’s

(D.M.O’s) Office in respect of Royalty on shortage of Stock of Coal at Areas. Hon'ble Supreme Court has directed the D.M.O’s to quantify the demand for Royalty payable after determining shortages arising from inflation, pilferage, over reporting of production of Coal etc.

In view of above direction of the Hon’ble Supreme Court the amount involved as per Certificate Case is yet to be revised/confirmed by the D.M.O. Hence the same has not been provided in the Accounts and the amount has been considered as contingent liabilities. 7.11 Expenditure of erstwhile Kustore Area (now merged with PB Area) is under investigation by different authorities. Bills lying amounting to ` 24.44 Cr. has been considered as Contingent Liabilities due to pending decision. 7.12 The Company has only one business segment, i.e. mining of Coal and manufacturing of Coke, hence segment reporting as defined in AS-17 by the ICAI is not applicable. 7.13 The proposal of Waiver of Apex Charges of BCCL was placed in the 283rd CIL Board Meeting held on 18th May, 2012 and the Board decided not to make further provision in the Books of Accounts for Apex Charges of BCCL till revival process is completed and Company comes out of BIFR. The implementation of the Scheme for revival of BCCL by way of conversion of loan and current account balance into 5% cumulative preference share which rendered company’s net worth positive were carried out after due formalities by the fag end of March 2013. In view of the same, no Apex Charges were considered for the year. 7.14 Provision for Income Tax has been made in the Annual Accounts ending 31.03.2013 considering unabsorbed depreciation and investment in Group Gratuity Assurance Scheme with LIC. 7.15 Due to change in Accounting Policy during current year, profit has been reduced to the tune of ` 0.77Cr. under the following heads: (i) Depreciation on photocopier machine - ` 0.11 Cr. (ii) Prepaid Expenses - ` 0.62 Cr. (iii) Prior Period Adjustment - ` 0.04 Cr. 7.16 Company has considered for adopting Employees Group Gratuity Assurance Scheme with LIC of India for its employees and for which a MOU has already been entered into with LIC by forming a Group Gratuity Trust. An amount of ` 960 Cr. has been deposited with LIC under the above Scheme. Balance as on 31.03.2013 of the said scheme is as follows: Original amount of investment -` 960.00 Cr. Add interest credited during the year -` 2.95 Cr. Less: Premium charged by LIC -` 7.09 Cr. Balance as on 31.03.2013 ` 955.86 Cr. 7.17 Ex owner Account amounting to ` 1.85 Cr. relates to claim against private owner prior to nationalisation & same claims are subjudice. 7.18 Previous Year figures have been “reorganised” and “regrouped” wherever necessary to correspond with the current year’s figures.

55

8. CONTINGENT LIABILITIES: (A) CLAIMS NOT ACKNOWLEDGED AS DEBTS

[` in Crore ]

Current Year Previous Year (a) Income Tax 0.27 0.27

(b) Sales Tax 383.63 467.11

(c) Service Tax 18.28 18.20

(d) Royalty 102.36 102.36

(e) Others 294.40 277.88

(f) Suits against the Company 353.86 619.69

(g) Arbitration proceedings 157.28 165.84

(B) BANK GUARANTEE: [` in Crore]

Current Year Previous Year

Issued by the Company 19.34 2.00

(C) Other money for which the Company is contingently liable. LETTER OF CREDIT: [` in Crore]

Current Year Previous Year

Opened by the Company 0.19 5.07

9. COMMITMENTS: (a) CAPITAL COMMITMENTS [` in Crore]

Current Year Previous Year Estimated amount of contract remaining to be executed on capital account and not provided for.

202.88

65.71

(b) Uncalled liability on shares and other investments partly paid – NIL (c) Other Commitments:- [` in Crore]

Current Year Previous Year Estimated amount of contract remaining to be executed on Revenue account and not provided for.

1864.91

1540.30

10. DIRECTORS REMUNERATION: [` in Crore]

Current Year Previous Year Salary 1.02 0.76

Gratuity - -

Provident Fund and Family Pension Fund Contribution

0.10 0.07

Sitting Fee (Part time Director) 0.08 0.03

Note : Does not include perquisites like medical Reimbursements and free medical facilities provided in the company Hospital(s), etc.

56

10.1 The following particulars are being stated regarding remuneration to key management personnel

for the period ended 31.03.2013 in pursuance to direction in A.S. 18 of the Institute of Chartered Accountants of India:-

[` in Crore]

Designation Gross Salary

Provident Fund and Family Pension Fund

Contribution

Gratuity LTC/Leave Encashment etc.

Total

Chairman-cum-Managing Director

0.22 0.02 - 0.02 0.26

Other Functional Directors

0.80 0.08 - 0.03 0.91

Total 1.02 0.10 - 0.05 1.17

10.2 PARTICULARS OF ADVANCE [` in Crore ]

Current Year Previous Year A. Amount due from Directors

NIL NIL

B. Maximum amount of Advance due from Directors at any time during the year.

0.05 0.01

10.3 SUBSCRIPTION TO CLUB: [` in Crore] Current Year Previous Year

Subscription to Club 0.01 0.03

11. VALUE OF IMPORTS CALCULATED ON CIF BASIS: [` in Crore] Current Year Previous Year Stores and Spare Parts 1.49 3.12

Capital Goods 2.65 10.58

12. EXPENDITURE IN FOREIGN CURRENCIES: [` in Crore]

Current Year Previous Year Travelling 0.00 0.06

Stores 3.39 10.18

Consultancy & Others -- --

Advance to supplier -- --

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13. VALUE OF RAW MATERIALS AND SPARES CONSUMED [` in Crore]

Current Year Previous Year 1. Raw Coal consumed in Washeries:

Imported -- -

Indigenous 953.60 1066.36

2. Stores & Spares:

Imported -- 2.13

Indigenous 497.66 467.85

14. All the Notes 1 to 32, the Accounting Policies and Additional Notes on the Accounts form integral part of the Accounts. (K N Mukhopadhyay) (A. K. Gangopadhyay) GM (Company Secretary) GM (Finance) (Amitava Saha) (T K Lahiry) Director (Finance) Chairman-Cum-Managing Director Place: Dhanbad Dated: 20.05.2013

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Documents

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