You are on page 1of 165

Contents

Page Nos.

1.

Vision & Mission of NCL

2.

Board of Directors

3.

Bankers & Auditors

4. Notice

5.

Important Financial Information and Operational Statistics

15

6.

Chairmans Statement

20

7.

Directors Report

21

8.

Performance against MOU Parameters - Annexure - II

87

9.

Certificate of Compliance of Corporate Governance Guidelines

94

10.

Balance Sheet as at 31st March, 2015

95

11.

Statement of Profit & Loss Account for the year ended 31st March, 2015

96

12.

Cash flow statement for the year ended 31st March, 2015

97

13.

Statement of Standalone results for the Year ended 31st March, 2015

98

14.

Annexure - IX of Clause 41 of the Listing Agreement

100

15.

Notes (1 to 19) to Balance Sheet

101

16.

Notes (20 to 32) to Profit & Loss Account

126

17.

(a) Significant Accounting Policy (Notes-33)

136

(b) Additional Notes on Accounts (Notes-34)

141

18.

Addendum to the Directors Report

(a) Auditors Report and Managements Replies


(b) Comments of the Comptroller and Auditor General of

India under Section 143 (6)(b) of the Companies Act, 2013.

148
164

__________________________________________________ NORTHERN COALFIELDS LIMITED

Vision
To emerge from the position of domestic leader to
leading global player in the energy sector by adopting
best practices from mine to market with due care to
environmental and social sustenance.

Mission

To produce planned quantity of coal efficiently and


economically in an eco-friendly manner with due regard
to Safety, Conservation and Quality.

ANNUAL REPORT 2014-15__________________________________________________________

Board of Directors

Shri T. K. Nag
Chairman-cum-Managing Director
PART-TIME OFFICIAL DIRECTORS

R. K. Sinha

B. K. Saxena
PART-TIME NON OFFICIAL DIRECTOR

A. K. Gupta

PERMANENT INVITEES

Deepak Nath

S. J. Sibal

C. P. Rai

FUNCTIONAL DIRECTORS

Ms. Shantilata Sahu

2 Pandey
Gunadhar

P. S. R. K. Sastry

__________________________________________________ NORTHERN COALFIELDS LIMITED

NORTHERN COALFIELDS LIMITED


(A Subsidiary of Coal India Limited)

CIN U10102MP1985GOI003160

Board of Directors
(As on 26.06.2015)

Chairman-cum-Managing Director

Shri Tapas Kumar Nag
Functional Director

Ms. Shantilata Sahu

Director (Personnel)

Shri Gunadhar Pandey

Technical

Shri P. S. R. K. Sastry

Director (Finance) and CFO

Part-time Official Directors


Shri Rajesh Kumar Sinha

Joint Secretary, Ministry of Coal, New Delhi.

Shri B.K.Saxena

Director (Marketing), Coal India Ltd.

Director

Director

Part-time Non Official Directors




Shri Surinder Jit Sibal

Shri A.K.Gupta

Permanent Invitees


Shri Deepak Nath

Chief Operations Manager, East Central
Railways, Hazipur.

Shri C.P.Rai

Addl. Principal Chief Conservator of Forest
(LM), Govt. of Madhya Pradesh, Bhopal.
Company Secretary (Actg.)


Shri D. K. Sharma

ANNUAL REPORT 2014-15__________________________________________________________

NORTHERN COALFIELDS LIMITED


(A Subsidiary of Coal India Limited)

Board of Directors
(During the year 2014-15)

Chairman-cum-Managing Director

Shri Tapas Kumar Nag

(w.e.f. 30.09.2014)

Ms. Shantilata Sahu (Addl. Charge)

(upto 29.09.2014)

Functional Directors

Ms. Shantilata Sahu

Personnel (Whole Year)

Shri N. Das*

Technical (Upto 02.10.2014)

Shri A.D. Mathur

Technical (Upto 31.01.2015)

Shri A.K.Pandey

Finance (Whole Year)

Shri Gunadhar Pandey

Technical (w.e.f. 01.02.2015)

Part-time Official Directors



Shri Vivek Bharadwaj

Joint Secretary, Ministry of Coal, New Delhi


(Whole Year)


Shri B. K.Saxena

Director (Marketing), Coal India Ltd.,
Kolkata (Whole Year)
Part-time Non-Official Directors

Shri Surinder Jit Sibal

Director (Whole Year)

Shri A.K.Gupta

Director (Whole Year)

Permanent Invitees

Shri N.N.Misra

Director (Operations) NTPC, New Delhi


(Upto 31.10.2014)


Shri Deepak Nath
Chief Operations Manager, East Central Railways,

Hazipur, Bihar. (Whole year)

Shri C.P.Rai

Addl. Principal Chief Conservator of Forest (LM),


Govt. of MP, Bhopal (Whole Year)

Company Secretary

Shri D. H. Lalwani

(Upto 12.12.2014)

Shri D. K. Sharma

(w.e.f. 12.12.2014)

Shri Niranjan Das ceased to be Director (Technical), NCL w.e.f. 02.10.2013 in terms of MOCs
letter No. 21/3/2007-ASO dated 03.11.2014 and order No. CIL/C-5/A(ii)/N.Das/D(T),NCL/B-380
dated 04.11.2014 issued by GM(P), CIL, Kolkata.
4

__________________________________________________ NORTHERN COALFIELDS LIMITED

ANNUAL REPORT 2014-15__________________________________________________________

Bankers & Auditors


Bankers
Bank of Maharashtra, Kolkata
Andhra Bank, Kolkata
UCO Bank, Kolkata
United Bank of India, Kolkata
Corporation Bank, Kolkata
Allahabad Bank, Morwa
Union Bank of India, Morwa
Oriental Bank of Commerce, Kolkata
I D B I Bank, Kolkata
Canara Bank, Kolkata
Bank of India, Kolkata
Bank of Baroda, Kolkata
Punjab National Bank, Kolkata
Syndicate Bank, Singrauli
ICICI Bank, Kolkata
State Bank of India, Morwa
Axis Bank, Singrauli
ICICI Bank, Singrauli

__________________________________________________ NORTHERN COALFIELDS LIMITED

Auditors
Statutory Auditors
M/s. Prakash & Santosh,
Chartered Accountants,
Kanpur ( U.P. )

Branch Auditors


M/s. B. C. P. Jain & Co.


Chartered Accountants,
Bhopal ( M.P.)

M/s. S. K. Lulla & Co.,


Chartered Accountants,
Gwalior ( M.P.)

cost Auditors
M/s. K. B. Saxena & Associates,
208-209 Ansal City Centre
Hajratganj, Lucknow ( U.P. )

Branch Auditors



M/s. S. G. & Associates,


8A, Shanti Ghosh Street
near Shyam Bazar Metro Station,
Kolkata (WB)

M/s. B. Mondal & Associates,


61/H/15 Rajanaba Krishna Street
Kolkata (WB)

secretarial Auditor
Shri Krupesh Mankodi
Practising Company Secretary,
A-2, Sneh Vihar Flats, 130,
Napier Town, Jabalpur (MP)

Registered Office
P. O. Singrauli Colliery
Distt. Singrauli ( M.P.) 486 889
7

ANNUAL REPORT 2014-15__________________________________________________________


No.NCL/Board/13(AGM)/2014-15/397 19th June, 2015
To,
1. M/s. Coal India Ltd., Member, NCL, Coal Bhawan, New Town, Rajarhat, Kolkata 700 156.
2.

Shri S. Bhattacharya, Chairman, Coal India Ltd., Member, NCL, Coal Bhawan, New Town, Rajarhat,
Kolkata 700 156.

3. Shri B. K. Saxena, Director (Marketing), Coal India Ltd., Member, NCL, Coal Bhawan, New Town, Rajarhat,
Kolkata 700156.
4. Shri T. K. Nag, Chairman-cum-Managing Director, Member, NCL, Singrauli (MP).
5. All Directors/Permanent Invitees, NCL Board/Chairman, Audit Committee, NCL.
6. M/s Prakash & Santosh, Chartered Accountants, Statutory Auditors, NCL, Ronald Complex, Flat
No. 8, Upper Floor, West Cott Building, 37/17, The Mall, Kanpur 208 001 (UP)
7.

M/s. K. B. Saxena & Associates, Central Cost Auditors, NCL, 208-09 Ansal City Centre, Hajratganj,
Lucknow (UP).

8.

Shri Krupesh Mankodi, Practising Company Secretary, Secretarial Auditor, NCL, A-2, Sneh Vihar
Flats, 130, Napier Town, Jabalpur (MP).

NOTICE
30th ANNUAL GENERAL MEETING

Notice is hereby given that the Thirtieth Annual General Meeting of the Members of Northern
Coalfields Limited will be held at 11.30 A.M. on Saturday, 27th June 2015 at the Registered Office
of the Company at Singrauli Colliery, Distt. Singrauli (M.P.) to transact the following business:
Ordinary Business :
1.

To consider and adopt the Audited Financial Statements of the Company for the financial
year ended March 31, 2015 including the Audited Balance Sheet as at March 31, 2015 and
Statement of Profit and Loss for the year ended on that date and the Reports of Board of
Directors, Statutory Auditor and Comptroller and Auditor General of India thereon.

2.

To confirm the payment of two interim dividends paid on equity shares for the Financial year
2014-15 as final dividend for the year 2014-15.

3.

To appoint a Director in place of Ms. Shantilata Sahu, who retires by rotation in terms of Section
152(6) of the Companies Act 2013 and being eligible, offers herself for re-appointment.

4.

To appoint a Director in place of Shri B. K. Saxena, who retires by rotation in terms of Section
152(6) of the Companies Act 2013 and being eligible, offers himself for re-appointment.

special Business :
5.

Ratification of Remuneration of the Cost Auditors for the Financial Year 2015-16

To consider and if thought fit to pass, with or without modifications, the following as an ordinary
resolution

RESOLVED THAT pursuant to the provisions of Section 148(3) of the Companies Act, 2013
read with Rule 14 of the Companies (Audit and Auditors) Rules, 2014 (Including any other
statutory modification(s) or reenactment thereof for the time being in force)the remuneration
8

__________________________________________________ NORTHERN COALFIELDS LIMITED


of Cost Auditors for the Financial Year 2015-16 as recommended by the Audit Committee in
its 71st meeting and approved by the Board of Directors of Northern Coalfields Ltd vide Item
no. 194/C-14 in its 194th Meeting held on 20.4.2015 at Singrauli, as detailed below, be and is
ratified:Sl.
No.

Name of the Cost Audit


Firm

Status

1.

M/s K. B. Saxena &


Associates, Lucknow

Central
Auditor

2.

M/s S. G. & Associates,


Kolkata

3.

M/s Goyal, Goyal &


Associates, New Delhi

Cost Audit Fees


Recommended

TA & Out of
Pocket
Expenses

Reimbursement
of Service Tax

Rs. 2,15,332.00

At Actual subject to
the limit of 50% of
Audit Fees

At Actual

Branch
Auditor

Rs. 78,955.00

At Actual subject to
the limit of 50% of
Audit Fees

At Actual

Branch
Auditor

Rs. 78,955.00

At Actual subject to
the limit of 50% of
Audit Fees

At Actual

By Order of the Board of Directors


Sd/Company Secretary (Actg.)

Registered Office :
P.O.Singrauli Colliery,
Distt. Singrauli (M.P.) - 486 889
Date : 19/06/2015
Note:
1.

Members are also requested to accord their consent for convening the meeting at a shorter
Notice under section 101 of the Companies Act, 2013.

2.

A member entitled to attend and vote at the meeting is also entitled to appoint a proxy or proxies
to attend and vote instead of himself/herself and proxy need not be a member of the Company.
In order to be effective, the Proxy form duly completed should be deposited at the registered
office of the Company not less than forty-eight hours before the scheduled time of the Annual
General Meeting.

3.

The explanatory statement pursuant to Section 102 (1) of the Companies Act, 2013 with respect
to the special business set out in the Notice is annexed.

4.

Pursuant to the provision of Section 171(1)(b) and 189(4) of the companies Act,2013, the
registers required to be kept open for inspection at every Annual General Meeting of the
company, shall accessible during the continuance of the meeting to any person having the
right to attend the meeting.

Copy to:
1 Company Secretary, Coal India Ltd., Coal Bhawan, New Town, Rajarhat, Kolkata - 700 156.
2
3
4

GM(Fin)/Inch., NCL, Singrauli.


Chief of Internal Audit, NCL, Singrauli
GM(System), NCL, Singrauli with a request to upload the notice of AGM on NCLs Website.
9

ANNUAL REPORT 2014-15__________________________________________________________


EXPLANATORY STATEMENT PURSUANT TO SECTION 102(1)
OF THE COMPANIES ACT, 2013

Item No. 5 : Ratification of Remuneration of the Cost Auditors for the F/Y 2015-16
Section 148(3) of the Companies Act, 2013 read with Rule 14 (a)(ii) of the Companies (Audit and
Auditors) Rules, 2014 dealing with remuneration of Cost Auditors, requires that the remuneration
recommended by the Audit Committee shall be considered and approved by the Board of Directors
and ratified subsequently by the shareholders.
The remuneration of the Cost auditors appointed for the Financial Year 2015-16 has been recommended
by the Audit Committee in its 71st meeting and subsequently has been approved by the Board of
Directors of the Company vide Item no. 194/C-14 in its 194th Meeting held on 20.4.2015 at Singrauli.
The same is put up to the shareholders of the Company for ratification.
None of the Directors or Key Managerial Personnel or their relatives is concerned or interested in
this item.

By Order of the Board of Directors

Place : Singrauli Sd/Date: 19/06/2015


Company Secretary (Actg.)

10

__________________________________________________ NORTHERN COALFIELDS LIMITED

Turnover
10!
9!

(Rs. in Crores)
Thousands

8!
7!
6!
5!
4!
3!
2!

0506

0607

0708

0809

0910

1011

1112

1213

13-14

14-15

4546.86

4630.84

5455.21

6551.94

7264.84

7516.03

7916.52

8731.71

9303.88

9452.58

Profit
5000
4500
4000

(Rs. in Crores)
Thousands

3500
3000
2500
2000
1500
1000
500
0

0506

0607

0708

0809

Gross Margin (PBDIT & CPRA*)

Gross Margin
(PBDIT & CPRA*)

0910

1011

1112

1213

Profit before CPRA*/Tax

13-14

14-15

Profit after CPRA*/Tax

0506

0607

0708

0809

0910

1011

1112

1213

13-14

14-15

2512.96

2555.11

3121.64

3612.04

4033.11

4329.97

4665.89

4735.35

3731.85

4096.07

Profit before CPRA*/Tax

2116.26

2177.61

2763.75

3131.01

3766.01

3956.36

4265.67

4420.58

3355.71

3713.73

Profit after CPRA*/Tax

1300.98

1366.48

1771.66

1960.93

2325.09

2445.45

2770.09

2682.13

2008.02

2134.17

11

(In Million Tonne)

(In Million Tonne)

12

10

20

30

40

50

60

70

0607

52.62

0506

51.679

52.158

51.518

80

0607

0506

10

20

30

40

50

60

70

59.016

0708

59.566

0708

67.67

0910
66.25

1011

64.23

0809

1011

1112

66.4

1112

1213

70.02

1213

66.669 64.208 63.613 67.285

0910

Off-Take

63.65

0809

72.11

13-14

72.48

14-15

73.69

14-15

68.64

13-14

(In Million Cu.M.)


(In Million Cu. M.)

80

Coal Production

50

100

150

200

250

224.8

0809

167.019 173.173 224.656 243.755 221.52

0708

1011

0607

0910

0506

1213

13-14

246.38

1112

240.77

1213

253.71

13-14

201.66 195.71 208.78

1112

Composite Production

182.17

0809

133.864 139.598 177.149 202.749 117.97

0708

1011

0607

0910

0506

300

50

100

150

200

250

Over Burden Removal

257.01

14-15

210.61

14-15

ANNUAL REPORT 2014-15__________________________________________________________

__________________________________________________ NORTHERN COALFIELDS LIMITED

Statutory Levies- M.P.


Stowing Excise
Duty
3%

MPGATSVA
12%

Others
2%

Excise Duty
10%

Royalty
47%
Clean Energy
Cess
17%

Central & State


Sales Tax
9%

Statutory Levies-
U.P.

Stowing Excise
Duty
2%

Others
10%

Royalty
26%

Excise Duty
18%

Central & State


Sales Tax
20%

Clean Energy
Cess
24%

13

ANNUAL REPORT 2014-15__________________________________________________________

Statutory Levies (TOTAL)/Contribution to Exchequer

MPGATSVA, 9%
Others, 5%
Stowing Excise
Duty, 2%
Excise Duty, 12%

Royalty, 41%

Clean Energy
Cess, 19%
Central & State
Sales Tax, 12%

How Rupee is spent

CSR Exp., 1%

Provisions,
2%
Depreciation/
Amortization/
Impairment,
5%

Other Expenditure, 6%

Overburden Removal
Adjustment, 14%

Cost of Material
Consumed, 22%

Contractual Expenses,
17%

Repairs, 3%

Employee Benefit
Expenses, 26%

Power & Fuel, 4%

14

__________________________________________________ NORTHERN COALFIELDS LIMITED

IMPORTANT FINANCIAL INFORMATION


(Rs. in Crores)
Year

2014-15

2013-14

2012-13

2011-12

2010-11

2009-10

2008-2009 2007-2008

2006-2007 2005-2006

(A) RELATED TO ASSETS & LIABILITIES:


(1) Shareholders funds
(a) Equity
(b) Reserves & Suplus
(c) Less: Misc. Exp. not W/O
Net Worth

177.67

177.67

177.67

177.67

177.67

177.67

177.67

177.67

177.67

177.67

5699.69

9076.42

9568.40

8756.62

7918.21

7179.61

6483.20

5898.79

5382.68

4547.59

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

5877.36

9254.09

9746.07

8934.29

8036.83

7327.81

6660.87

6076.46

5560.36

4725.26

(2) Redeemable Pref. Shares

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

(3) Loan

0.00

0.00

612.83

735.30

739.50

789.97

963.80

815.04

887.70

977.98

11002.34

13406.51

13499.54

12038.45

8455.51

7880.77

7366.30

6616.08

6363.82

5684.33

(4) Capital Employed


(5) (i) Net Fixed Assets

2519.71

2297.33

2135.06

2192.70

2164.14

2204.42

1914.37

1832.27

1897.30

1949.20

(ii) Current Assets

11450.56

13569.69

14211.13

12596.38

12182.38

10473.42

9277.42

7585.25

6459.63

5390.53

(iii) Net Current Assets(W/Capital)

8482.63

11109.18

11364.48

9845.75

6291.37

5676.34

5451.93

4783.80

4466.52

3735.13

2967.93

2460.51

2846.65

2750.63

5891.00

4797.08

3825.49

2801.45

1993.11

1655.40

621.14

955.94

1738.21

425.70

99.40

123.00

73.73

51.83

50.53

108.91

7265.10

7443.79

8432.77

8738.30

8626.36

6949.63

5506.02

3959.23

3095.74

2428.74

(a) Stores & Spares (Net)

456.25

408.47

369.05

336.84

294.14

320.26

300.47

204.31

182.35

166.70

(b) Coal (Net)

379.54

484.64

629.32

391.10

199.81

75.05

46.30

75.65

39.52

56.60

0.12

0.08

0.02

0.03

0.00

12.24

12.58

17.78

3.84

1.26

432.36

388.76

352.95

315.49

307.20

310.37

252.39

193.33

174.53

162.33

4096.07

3731.85

4735.37

4665.89

4329.97

4033.11

3612.05

3121.64

2555.11

2512.95

382.34

360.69

294.53

378.09

349.84

239.23

433.32

314.84

327.94

349.67

3713.73

3371.16

4440.84

4287.80

3980.13

3793.88

3178.73

2806.80

2227.17

2163.28

(6) Current Liabilities


(7) (a) Sundry Debtors (Net)
(b) Cash & Bank Balances
(8) Closing Stock of:

(c) Other inventories (Net)


(9) Av. Stock of Stores&Spares (Net)
(B) RELATED TO PROFIT/LOSS
(1) (a) Gross Margin
Less: Depreciation
(b) Gross Profit
Less: Interest & Financial Charges
(c) Net Profit before Tax
(2) Provision for Income Tax

0.26

15.45

20.26

22.13

23.77

27.59

47.71

43.05

49.56

47.03

3713.47

3355.71

4420.58

4265.67

3956.36

3766.30

3131.01

2763.75

2177.61

2116.26

1579.30

1347.69

1738.45

1495.58

1510.92

1441.20

1170.09

992.09

811.12

815.28

Profit after Tax

2134.17

2008.02

2682.13

2770.09

2445.45

2325.10

1960.93

1771.66

1366.49

1300.98

(3) (a) Gross Sales

13161.25

12419.62

11616.11

10176.94

8972.50

8415.61

7617.93

6388.79

5408.79

5315.09

9452.58

9303.88

8731.71

7916.52

7516.03

7264.84

6551.94

5455.21

4630.84

4546.86

(b) Net Sales(after levies & Dev. etc)


(c) Average Net Sales per month

787.72

775.32

727.64

659.71

626.34

605.40

546.00

454.60

385.90

378.91

(4) Cost of Good Sold (Sales - PBT)

5739.11

5948.17

4311.13

3650.85

3559.66

3498.54

3420.93

2691.46

2453.23

2430.61

(5) (a) Total expenditure

7054.65

7154.05

5565.82

4866.76

4585.01

4374.20

4225.41

3373.28

2994.07

2785.75

(b) Sal. & Wages(Gross; Rev. only)

1800.47

1711.24

1599.87

1397.23

1050.41

970.11

1105.20

631.05

526.04

455.25

(c) Stores & Spares(Gross;Rev.only)

1578.70

1590.52

1379.16

1270.46

1242.09

1167.28

1208.70

1114.13

1050.98

904.44

(d) Power & Fuel(Gross;Rev.only)

317.77

310.56

295.44

266.75

254.64

229.28

226.47

234.66

234.20

230.08

0.26

15.45

20.26

22.13

23.77

27.59

47.71

43.05

49.56

47.03

382.34

360.69

294.53

378.09

349.84

239.23

433.32

314.84

327.94

349.67

(e) Interest(Gross;Rev.only)
(f) Depreciation(Gross;Rev.only)
(6) Av. Cons. of Stores & Spares/month

131.56

132.54

114.93

105.87

103.51

97.27

100.72

92.84

87.58

75.37

Gross Margin (PBDIT) (Rs. Crs.)

4096.07

3731.85

4735.37

4665.89

4329.97

4033.11

3612.05

3121.64

2555.11

2512.95

3713.47

3355.71

4420.58

4265.67

3956.36

3766.30

3131.01

2763.75

2177.61

2116.26

Profit before Tax (Rs. Crs.)

Profit after Tax (Rs. Crs.)


2134.17
2008.02 2682.13
2770.09
2445.45
2325.10
1960.93
1771.66
1366.49
1300.98

Note: (1) For the year 2011-12 onwards, figures are derived on the basis of Revised Schedule VI of the Companies Act, 1956

(2)Figures for FY 2013-14 have been changed according to regrouping of accounts comparable with those for the year 2014-15.



15

ANNUAL REPORT 2014-15__________________________________________________________

IMPORTANT FINANCIAL RATIOS/PERCENTAGES


Year
(A)

PROFITABILITY RATIOS

(1)

As % Net Sales

(2)

(3)

2014-15

2013-14

2012-13

2011-12

2010-11

2009-10 2008-2009 2007-2008 2006-2007 2005-2006

(a) Gross Margin

43.33

40.11

54.23

58.94

57.61

55.52

55.13

57.22

55.18

55.27

(b) Gross profit

39.29

36.23

50.86

54.16

52.96

52.22

48.52

51.45

48.09

47.58

(c) Net Profit (PBT)

39.29

36.07

50.63

53.88

52.64

51.84

47.79

50.66

47.02

46.54

(a) Sal & Wages (Gross; Revenue)

25.52

23.92

28.74

28.71

22.91

22.18

26.16

18.71

17.57

16.34

(b) Stores & Spares(Gross; Revenue)

32.47

As % Total Expenditure
22.38

22.23

24.78

26.10

27.09

26.69

28.61

33.03

35.10

(c) Power & Fuel(Gross;Revenue)

4.50

4.34

5.31

5.48

5.55

5.24

5.36

6.96

7.82

8.26

(d) Interest(Gross; Revenue)

0.00

0.22

0.36

0.45

0.52

0.63

1.13

1.28

1.66

1.69

(e) Depreciation(Gross; Revenue)

5.42

5.04

5.29

7.77

7.63

5.47

10.26

9.33

10.95

12.55

As % Capital Employed
(a) Gross Margin

37.23

27.84

35.08

38.76

51.21

51.18

49.03

47.18

40.15

44.21

(b) Gross profit

33.75

25.15

32.90

35.62

47.07

48.14

43.15

42.42

35.00

38.06

(c) Net Profit

33.75

25.03

32.75

35.43

46.79

47.79

42.50

41.77

34.22

37.23

0.61

0.64

0.49

0.46

0.47

0.48

0.52

0.49

0.53

0.53

(4)

Operating Ratio [(Sales-Profit)/Sales]

(B)

LIQUIDITY RATIOS

(1)

Current Ratio
(Current Assets/Current Liabilities)

3.86

5.51

4.99

4.58

2.07

2.18

2.43

2.71

3.24

3.26

(2)

Quick Ratio
(Quick Assets/Current Liabilities)

3.58

5.15

4.64

4.31

1.98

2.10

2.33

2.60

3.13

3.12

(3)

Working Capital as % of
(a) Capital Employed

77.10

82.86

84.18

81.79

74.41

72.03

74.01

72.31

70.19

65.71

(b) Net Fixed Assets

336.65

483.57

532.28

449.02

290.71

257.50

284.79

261.09

235.41

191.62

(C)

TURNOVER RATIOS

(1)

Capital Turnover Ratio


(Net Sales/Capital Employed)

0.86

0.69

0.65

0.66

0.89

0.92

0.89

0.82

0.73

0.80

(2)

Working Capital Turnover Ratio


(Net Sales/Working Capital)

1.11

0.84

0.77

0.80

1.19

1.28

1.20

1.14

1.04

1.22

(3)

Sundry Debtors as no.of months

(4)

(5)

(D)

(a) Gross Sales

1.21

1.56

1.80

0.50

0.13

0.18

0.12

0.10

0.11

0.25

(b) Net Sales

1.69

2.08

2.39

0.65

0.16

0.20

0.14

0.11

0.13

0.29

(a) Sundry Debtors

0.14

0.17

0.20

0.05

0.01

0.02

0.01

0.01

0.01

0.02

(b) Coal Stocks

0.04

0.05

0.07

0.05

0.03

0.01

0.01

0.01

0.01

0.01

As Ratio of Net Sales

Stock of Stores & Spares


(a) Av. Stock/Annual Consumption

0.32

0.28

0.26

0.25

0.25

0.27

0.21

0.17

0.17

0.18

(b) Closing Stock as no. of months con.

3.82

3.41

3.21

3.18

2.84

3.29

2.98

2.20

2.08

2.21

STRUCTURAL RATIOS

(1)

Debt : Equity

0.00

0.00

3.45

4.14

4.16

4.45

5.42

4.59

5.00

5.50

(2)

Debt : Networth

0.00

0.00

0.06

0.08

0.09

0.11

0.14

0.13

0.16

0.21

33.08

52.09

54.85

50.29

45.23

41.24

37.49

34.20

31.30

26.60

0.43

0.25

0.22

0.25

0.27

0.30

0.29

0.30

0.34

0.41

(3)

Networth : Equity

(4)

Net Fixed Assets : Networth

(E)

SHAREHOLDERS INTEREST

(1)

Earnings Per Share (EPS) (Rs.)


(N.P. after tax & Pref.Div/No. of Equity)

12011.80 11301.79 15095.90 15590.96

13763.78 13086.39

11036.72

9971.49

7691.02

7322.35

(2)

Book Value per Share (Rs.)


(Networth/No. of Equity)

33079.70 52085.03 54854.05 50285.09

45233.90 41243.28

37489.55

34200.28

31295.48

26595.29

(3)

Dividend Per Share (Rs.)

25687.61 12026.83

6622.03

5982.90

3076.41

2928.90

9057.55

16

9354.56

8258.27

7851.83

__________________________________________________ NORTHERN COALFIELDS LIMITED

OPERATIONAL STATISTICS
Year

2014-15

2013-14

2012-13

2011-12

2010-11

2009-10

2008-2009

2007-2008

2006-2007

2005-2006

A.

Operational Statistics:

(1)

(a) Total Coal Production (Lakh Tes)

724.84

686.39

700.21

664.01

662.53

676.70

636.50

595.66

521.58

515.18

(b) Revenue Coal Prodn.(Lakh Tes)

724.84

686.39

700.21

664.01

662.53

676.70

636.50

595.66

521.58

515.18

(c) Total O.B. Removal(L. CuM)

2106.14

2087.87

1957.06

2016.64

1822.16

1779.76

2027.49

1771.49

1395.88

1338.64

(d) Revenue O.B. Removal(L. CuM)

2106.14

2087.87

1957.06

2016.64

1822.16

1779.76

2027.49

1771.49

1395.88

1338.64

696.53

672.07

645.48

613.47

642.31

642.31

612.83

567.25

514.78

508.62

Cement

1.31

1.55

1.70

0.12

0.00

0.00

0.00

0.00

0.00

0.00

Others

38.84

47.49

25.67

18.48

20.29

20.29

25.16

19.11

11.42

8.17

736.68

721.11

672.85

632.07

662.60

662.60

637.99

586.36

526.20

516.79

As on 1st April

16741

16073

16329

16209

16373

16450

16697

16726

16914

17174

As on 31st March

16226

16741

16073

16329

16209

16373

16450

16697

16726

16914

Average

16484

16407

16201

16269

16291

16412

16574

16712

16820

17044

4397.23

4183.52

4322.02

4081.44

4066.85

4123.20

3840.35

3564.27

3100.95

3022.65

13.76

13.78

13.65

13.55

13.52

13.19

14.58

13.81

10.97

10.60

3251.31

3026.36

2816.71

2323.99

2038.97

1786.44

2065.80

1203.42

1004.55

837.99

(2)

Raw Coal Despatch (Lakh Tes):


Power

Total
(3)

(4)

Manpower:

Productivity:
(a) Average per man per year (Tes)
(b) Output per Manshift (Tes)

B.

Related to Cost Sheet:

(1)

Earning per Manshift (EMS) (Rs.)

(2)

Av. Cost of Production of Net


Saleable Coal (Rs. per Te.)

906.65

878.37

802.13

719.21

639.07

593.91

629.45

537.07

550.83

514.09

(3)

Av. Sale Value of Net Saleable


Coal produced (Rs. per Te.)

1260.58

1305.63

1253.76

1193.76

1130.18

1059.48

1005.47

904.20

872.59

865.55

17

ANNUAL REPORT 2014-15__________________________________________________________

OUR MANAGEMENT TEAM


Sl No.

EMP_NO

90009713

EMP_NAME

GRD

DESG DES

POST_DT

DT_BIRTH

DSP NAME

MRITYUNJOY MISHRA

E8

GM(MINING)

4/9/2013

5/9/1958

MINING

90010125

O.K.PRASAD

E8

GM(MINING)

9/15/2013

5/23/1956

MINING

90070285

RAJA RAM SINGH

E8

GM(MINING)

8/23/2014

1/24/1956

MINING

90175472

SINGESHWAR SINGH

E8

GM(MINING)

11/19/2012

1/12/1958

MINING

90103003

P.K.SINHA

E8

GM(MINING)

2/1/2015

1/1/1962

MINING

90175563

SUNIL KR.JHA

E8

GM(MINING)

8/23/2014

12/12/1959

MINING

90176132

CHANCHAL GOSWAMI

E8

GM(MINING)

4/20/2015

2/19/1962

MINING

90062977

CHITRANJAN SINGH

E8

GM(MINING)

11/30/2012

7/11/1959

MINING

90113937

A.N.PANDEY

E8

GM(MINING)

9/4/2013

6/7/1964

MINING

10

90125428

S.K.GOMASTA

E8

GM(MINING)

9/25/2008

9/25/1963

MINING

11

90125600

P.K.BISWAL

E8

GM(MINING)

1/31/2009

9/24/1962

MINING

12

90176272

MANOJ KUMAR PRASAD

E8

GM(MINING)

2/7/2015

9/3/1962

MINING

13

90176520

BIPIN KUMAR

E8

GM(MINING)

2/7/2015

1/16/1963

MINING

14

90186438

AJIT KUMAR CHOWDHARY

E8

GM(MINING)

1/31/2015

1/3/1962

MINING

15

90114331

SANJAY MISHRA

E8

GM(MINING)

4/24/2015

2/24/1964

MINING

16

90176082

ATMESHWAR PATHAK

E8

GM(MINING)

9/13/2010

1/27/1961

MINING

17

90113770

L.P.GODSE

E8

GM(MINING)

10/8/2012

6/1/1964

MINING

18

90125477

CHANDRA KRISHNA

E8

GM(MINING)

10/1/2014

10/1/1958

MINING

19

90125691

RAM BABU PRASAD

E8

GM(MINING)

17/5/2015

24/2/1964

MINING

20

90093089

NISHI KANT PATHAK

E8

GM(E&M)

3/30/2010

11/25/1955

(E&M)

21

90085143

R.K.BERA

E8

GM(E&M)

6/19/2014

11/4/1957

(E&M)

22

90130592

G.P.AGRAWAL

E8

GM(E&M)

8/13/2007

3/26/1958

(E&M)

23

90130170

P.K.GAUR

E8

GM(E&M)

2/17/2015

1/10/1960

(E&M)

24

90130444

A.CHAKRAVARTY

E8

GM(E&M)

2/16/2015

4/4/1956

(E&M)

25

90179789

RANJIT VERMA

E8

GM(E&M)

6/25/2014

12/6/1958

(E&M)

26

90180027

A.K.MUKHERJEE

E8

GM(E&M)

11/25/2013

10/28/1957

(E&M)

27

90081001

GOVIND KUMAR SHARMA

E8

GM(CIVIL)

5/24/2012

8/30/1955

(CIVIL)

28

90093550

AJOY KUMAR CHOUDHARY

E8

GM(CIVIL)

1/3/2015

1/26/1960

(CIVIL)

29

90086059

ASHOK KUMAR CHOURASIA

E8

GM(CIVIL)

4/23/2015

12/6/1956

(CIVIL)

30

90153784

R.R.JHA

E8

GM(EXCAV)

1/6/2011

9/1/1956

(EXCAVATION)

31

90072224

R.N.BANDYOPADHYAY

E8

GM(EXCAV)

12/17/2014

11/27/1956

(EXCAVATION)

18

__________________________________________________ NORTHERN COALFIELDS LIMITED


32

90154055

TARUN KUMAR

E8

GM(EXCAV)

12/15/2014

1/11/1958

(EXCAVATION)

33

90086984

BRAJPAL SINGH

E8

GM(EXCAV)

12/18/2012

7/20/1957

(EXCAVATION)

34

90107350

RAJASEKHAR KOTTURI

E8

GM(EXCAV)

2/3/2015

8/1/1959

(EXCAVATION)

35

90132911

A.KUMAR

E8

GM(EXCAV)

9/4/2012

9/11/1956

(EXCAVATION)

36

90133000

M.B.V.SIVA KUMAR

E8

GM(EXCAV)

2/28/2014

12/2/1956

(EXCAVATION)

37

90060815

VIPIN BHADRISH

E8

GM(EXCAV)

7/22/2014

2/17/1957

(EXCAVATION)

38

90087073

SURESH CHANDRA

E8

GM(EXCAV)

11/29/2008

10/15/1957

(EXCAVATION)

39

90107798

M.K.CHOUHAN

E8

GM(EXCAV)

12/23/2014

3/1/1958

(EXCAVATION)

40

90107970

V.A.SIDDIQUI

E8

GM(EXCAV)

6/17/2014

3/11/1957

(EXCAVATION)

41

90132986

T.V.GANGADHAR

E8

GM(EXCAV)

7/5/2011

5/28/1958

(EXCAVATION)

42

90133166

ASGAR ALI

E8

GM(EXCAV)

11/10/2008

4/7/1957

(EXCAVATION)

43

90133182

N.L.GYANANI

E8

GM(EXCAV)

3/5/2013

6/4/1958

(EXCAVATION)

44

90093972

P.K.UPADHYAY

E8

GM(FINANCE)

11/5/2012

8/10/1955

FINANCE &
ACCOUNTS

45

90094012

P S K RAO

E8

GM(FINANCE)

4/10/2014

8/13/1955

FINANCE &
ACCOUNTS

46

90108614

P. J. MOHAN RAO

E8

GM(FINANCE)

7/3/2013

6/11/1956

FINANCE &
ACCOUNTS

47

90141953

SUJIT KUMAR MITRA

E8

GM (QC)

2/6/2015

12/7/1957

MINING

48

90059353

O.P.NARAYAN

E8

CH.MEDICAL-SRVC

7/24/2006

3/9/1957

MEDICAL

49

90088923

I.B.MISHRA

E8

CH. MEDICAL
SRVC

5/7/2005

2/19/1958

MEDICAL

50

90095647

P.K.SINHA

E8

GM(MM)

11/16/2012

1/5/1957

MATERIALS
MANAGEMENT

51

90081217

N.DUTTA

E8

GM(MM)

9/2/2013

10/21/1957

MATERIALS
MANAGEMENT

52

90040577

A.K.VERMA

E8

GM
(SALES&QC)

10/1/2012

1/10/1956

SALES/MRKT/
QUAL CNTL

53

90137159

K.PATHAK

E8

GM
(PERS&ADM)

10/15/2007

6/20/1956

PERSONNEL &
ADMN

54

90110396

A.JAGADESWAR REDDY

E8

GM
(PERS&ADM)

10/1/2012

5/6/1956

PERSONNEL &
ADMN

55

90060583

ARVIND KUMAR SINGH

E8

GM (SYSTEM)

7/10/2003

5/15/1957

SYSTEM AND
EDP

56

90172214

UMA KANT PANDEY

E8

GM (IE)

3/3/2003

10/2/1956

INDUSTRIAL
ENGG

57

90073818

BALKRISHNA SHARMA

E8

CGM
(ENVIRON)

11/9/2012

3/16/1957

ENVIRONMENT

58

90154204

S.K.MESHRAM

E7

CM (E&T)

20/8/1981

15/9/1958

E&T

19

ANNUAL REPORT 2014-15__________________________________________________________

Chairmans Statement
Dear Shareholders,
On behalf of the Board of Directors of Northern Coalfields Limited ( NCL), I
welcome you to the 30th Annual General Meeting of NCL and present before
you the Annual Report of your company for the Financial Year 2014-15.
Your Company produced 72.48 Million Tonnes of coal during the year 2014-15
with a growth of 5.60% over previous year.
On the Financial front, however, your Company recorded better performance in
as much as that the profit Before Tax (PBT) of your Company during 2014-15 was
Rs. 3713.47 crores registering a growth of 10.66% over PBT of Rs. 3355.71 crores
during the year 2013-14. The Company paid Dividend of Rs. 4563.99 crores for
the year 2014-15 which works out to 2568.76% of the Paid-up Equity Share Capital.
Off-take of Coal during the year 2014-15 was 73.69 MT against the previous years Off-take of 72.11
MT registering a growth of 2.19%.
Your Company followed the concept of workers participation in management and maintained cordial
industrial relations. Your Company also paid due attention on employees welfare and social amenities.
Corporate Social Responsibility (CSR) activities undertaken by your Company during the year included
construction of roads, water supply, community hall, skill development, healthcare, education.
Your Company has complied with the conditions of Corporate Governance as stipulated in the
Guidelines on Corporate Governance for Centeral Public Sector Enterprises (CPSEs) issued by
the Department of Public Enterprises, Government of India. As required under the said guidelines a
separate section on Corporate Governance has been added in the Directors Report and a Compliance
Certificate obtained from the Statutory Auditors has been annexed to the Directors Report.
The physical and financial results achieved by NCL have been possible due to relentless efforts made
by the employees of the Company. I am sure, all employees will continue to put in concerted efforts
to scale newer heights and thus achieve the targets set for the Company not only for Coal Production
but also on all fronts.
Coal being the prime source of energy, demand for the same is ever increasing. For the year 2015-16,
your Company has been assigned a target of 79.50 MT for coal production. We also need to focus
our attention on liquidation of coal stocks so as to maximize sales realization and in turn to achieve
much better financial results.
I am confident that with sustained efforts of all concerned, NCL will grow at desired pace in the Financial
Year 2015-16 and years ahead.
I also take this opportunity to convey our sincere thanks to the Government of India, Ministry of Coal,
Coal India Limited and all Stakeholders for the trust reposed on us and opportunity given for further
growth.

Sd/( T. K. NAG )
Chairman-cum-Managing Director
Northern Coalfields Limited

20

__________________________________________________ NORTHERN COALFIELDS LIMITED

DIRECTORS REPORT
To

Rs.12011.80 against EPS of Rs.11301.79


previous year.

The Members/Shareholders,

Efforts for greening the environment and


pollution control continued during the year.
During 2014-15, 5.08 lakh saplings have
been planted. The total saplings planted
upto 31st March, 2015 reached 226.51
lakhs.

NCL continued to practice the Workers


participation in management, as a result
industrial relations remained healthy and
harmonious.

Employees welfare, community


development and human resource
development continued to be focus areas.

1.0

FINANCIAL REVIEW

1.1

The Company has achieved a Gross


Turnover of Rs.13,161.25 Crores (Net
turnover Rs. 9,452.58 crores) during the
year 2014-15 against Gross Turnover of
Rs.12,400.42 Crores (Net turnover Rs.
9,303.88 crores) during the year 2014-15
recording a growth of 6.14% (in Gross
Turnover) and 1.60% ( in Net Turnover).
The financial results for the year 2014-15,
as compared to previous year, are given
in the following table :

Northern Coalfields Limited,


On behalf of the Board of Directors, I have great
pleasure in presenting the 30th Annual Report
of Northern Coalfields Limited (NCL) together
with the Audited Accounts for the Financial Year
ended 31st March, 2015.
PERFORMANCE HIGHLIGHTS OF THE YEAR
The highlights of performance for the year
2014-15 are as under :
l

NCL has achieved coal production of 72.48


million tonnes during the year 2014-15
which is 5.60 percent higher than actual
production of 68.64 million tonnes during
the year 2013-14. The Over Burden
Removal of 210.61 million Cu.m.during the
year was 0.88% higher than OB Removal
of 208.78 million Cu.m during the year
2013-14.

Offtake at 73.69 million tonnes during the


year 2014-15 registered a growth of 2.19
percent over the Offtake of 72.11 million
tonnes during the year 2013-14.

Record turnover of Rs.9452.58 crores


during the year 2014-15 is 1.60 percent
higher than last year s turnover of
Rs.9303.88 crores.

(Rs. in crore)
Description

Gross Margin

NCL recorded Profit before Tax (PBT)


of Rs.3713.47 crores during the year
2014-15, and has registered a increase
of 10.66 percent over previous years
PBT of Rs.3355.71crores. Profit after Tax
(PAT) was Rs.2134.17 crores compared to
previous years PAT of Rs.2008.02 crores.

Less: Depreciation

360.69

3713.73

3371.16

0.26

15.45

Profit before Tax

3713.47

3355.71

Less: Provision for Tax

1579.30

1347.69

Profit after Tax

2134.17

2008.02

Less: Interest & other financial charges

Less: Transfer to CSR Reserve

Earning per Share (EPS) during the


year 2014-15 has been increased upto

Transfer to Sustainable Development Reserve

Transfer to General Reserve

Dividend on Equity Share Capital

Provision for Tax on Distributable Profit

Surplus carried to Balance Sheet

21

4096.07 3731.85
382.34

Gross Profit

Dividend for the year 2014-15 being


2568.76% of paid up equity share capital,
amounts to Rs.4563.99 crores against
1202.68% of paid up equity share capital
amounting to Rs.2136.84 crores for the
year 2013-14.

2014-15 2013-14

38.42
3.08

213.42

200.80

4563.99

2136.84

912.53 363.16
(3555.77)

(734.28)

ANNUAL REPORT 2014-15__________________________________________________________


1.2

1.7

SHARE CAPITAL

1.7.1 The status of billing and sales realization


for the year 2014-15 as compared to
previous year is given below :

1.2.1 The Authorized Share Capital of the


Company as on 31st March, 2015 remained
at Rs.1,400.00 crores comprising of
40,00,000, 10% Cumulative Preference
Shares of Rs.1000/- each and 1,00,00,000
Equity Shares of Rs.1000/- each. The
paid-up share capital as on 31st March,
2015, remained at Rs.177.67 crores
comprising of 17, 76,728 equity shares of
Rs.1000/- each.
1.3

Year

Billing
(Rs. in
crore)

Realisation including receipt


against dues of earlier years
(Rs. in crore)

% Realisation
against billing

2014-15 14778.48

13646.57

92.34

2013-14 14315.42

12705.80

88.75

Note : Incentive bills for the year 2014-15 has been


included in net billing and previous year figures
are also regrouped accordingly.

TRANSFER TO RESERVE

1.8

1.3.1 An amount of Rs. 213.42 crores, equivalent


to 10% of Profit after Tax, has been
transferred to General Reserve.

COAL SALES OUTSTANDING DUES

1.8.1 The position of coal sales dues outstanding


as on 31.03.2015 as compared to
31.03.2014 is given hereunder :

1.4 DIVIDEND

(Rs. in crore)

1.4.1 The interim dividend already paid


amounting to Rs. 4563.99 crores, will
be treated as final dividend on the equity
share capital for the year 2014-15. The
dividend paid amounting to Rs. 4563.99
crores (previous year Rs. 2136.84 crores)
work out to 2568.76% of the paid-up equity
share capital (previous year 1202.68%)
i.e. Rs. 25,687.61 per share against Rs.
12026.83 in previous year. The dividend
distribution tax paid amounting to Rs.
912.53 Crores (previous year Rs. 363.16
Crores).

Consumer

As on 31.3.2015

As on 31.3.2014

UPRVUNL

361.68

30.66

NTPC

889.73

1532.94

Others

77.56

46.02

1328.97

1609.62

Total

1.8.2 OUTSTANDING DUES ARE MAINLY DUE


TO FOLLOWING REASONS :
(a) Bills on accounts of transit fees for
the period 21.1.1999 to 31.03.2012
amounting to Rs.246.75 Crores is
yet to be realized from UPRUNL.
However, UPRVUNL has submitted
a Bank Guarantee of Rs.246.75
crores against dues of UP Forest
Transit Fees in the month of January,
2015 and NCL has submitted a Bank
Guarantee for Rs.337.27 crores to
the Principal Secretary, Environment
& Forest, Govt. of UP in the month of
March, 2015.

1.5 BORROWINGS
1.5.1 The Company has not taken any loan
from CIL, Government or any financial
institution during the year.
1.6

SALES REALISATION

CAPITAL EXPENDITURE

1.6.1 During the year 2014-15, NCL has made


a capital expenditure of Rs. 715.06 crores
against the budget of Rs. 800.00 crores.
The expenditure has been mainly on
acquisition/ addition of HEMM, other plant
& machinery and on buildings etc.

(b) Dispute on GCV issue for the period


24.10.2012 to 30.09.2013 has been
settled and NCL made the provision
of Rs.643.88 crores which is still lying
as dues in the books of accounts.
22

__________________________________________________ NORTHERN COALFIELDS LIMITED


(18 Nos. of Bonds @ Rs. 5.73 crores) have
been redeemed upto 31.3.2015.

1.8.3 With regard to interest on delayed payment


of coal sales dues against coal supplied
to UPRVUNL, Honble Umpire passed
an award directing UPRVUNL to pay
Rs.132.67 crores to NCL against which
an appeal was made by UPRVUNL before
Secretary (Law), Ministry of Law & Justice,
Government of India. The said appeal was
rejected by Secretary (Law) in the month
of June, 2006.

1.10 PAY M E N T T O C E N T R A L / S TAT E


EXCHEQUER
1.10.1 Information in regard to contribution made
by the Company towards the Central and
State Exchequer is furnished hereunder :
(Rs. in crore)
Particulars

1.8.4 Subsequently, UPRVUNL preferred to


file a Petition before Honble High Court
of Allahabad, Lucknow Bench against
(i) Office Order issued by Ministry of
Coal, Government of India regarding
appointment of Umpires, (ii) Award passed
by Umpire for payment of Rs.322.96 crores
by UPRVUNL to subsidiary companies of
Coal India Ltd.; towards interest on delayed
payment of coal bills which included NCLs
share of Rs.132.67 crores and (iii) Order
passed by Secretary (Law), rejecting the
appeal filed by UPRVUNL against award
of umpire.

Royalty

1.9

1025.25 250.61 1275.86 895.50 266.13 1161.63

Central & State Sales Tax

188.89 188.89 377.78 174.27 202.69 376.96

Clean Energy Cess

361.94 232.74 594.68 225.59 168.06 393.65

Excise Duty

212.88 170.07 382.95 218.82 203.75 422.57

Sales Tax on works and scraps

15.52

2.89

18.41

4.92

6.00

10.92

Entry Tax

6.90

31.17

38.07

5.62 32.69

38.31

Service Tax

9.10

5.05

14.15

7.27

3.16

10.43

54.26

18.83

73.09

52.86 19.42

72.28

SSDA Cess

11.27

11.27

Property Tax

1.76

Stowing Excise Duty

Forest Cess
Professional Tax

1.8.5 A short counter affidavit challenging the


maintainability of the Writ Petition has
been filed before Honble High Court
of Allahabad Bench. The matter is still
pending before the Honble High Court.

2014-15
2013-14

MP UP Total MP UP Total

MPGATSVA
Total

13.15

13.15

1.76 1.76 1.76

12.99

40.78

53.77

2.52

2.52

268.90

14.76 39.77
2.22

54.53
2.22

268.90 215.88 215.88

2160.91 952.30 3113.21 1819.47 954.82 2774.29

1.10.2 The Company has paid an amount of


Rs.1635.98 crores towards corporate
advance income tax (including TDS) and
Rs. 912.53 crores towards dividend tax
during 2014-15, as against Rs. 1700.63
crores and Rs. 462.00 crores respectively,
paid during 2013-14.

SECURITISATION OF COAL SALES


DUES

1.9.1 I n t h e r e p o r t f o r t h e y e a r e n d e d
31st March, 2004, it was informed that
under the Scheme for One Time Settlement
of SEBs dues to Central Public Sector
Undertakings (CPSUs) introduced by the
Central Govt., 8.5% tax free bonds of the
State Government for an amount of Rs.
114.56 crores were issued by Reserve
Bank of India against the outstanding dues
of UPSEB / UPRVUNL as on 30.09.2001.
Out of Rs. 114.56 crores, Rs. 103.10 crores

1.10.3 Earning per share (EPS) during the


year 2014-15 has been increased upto
Rs.12,011.80 from Rs.11,301.79 of
previous year.

23

2.0

PRODUCTION PERFORMANCE

2.1

Production Performance for the year


2014-15 against target and in comparison
with previous year is given below:

ANNUAL REPORT 2014-15__________________________________________________________


2014-15
Target
(Revised
BE 14-15)
Coal
(Mill. Tes)

Dept.

Coal
Offtake
(Mill. Tes)
Over
Burden
Removal
(Mill. Cum)

Composite
Production
(Mill. Cum)

2013-14
Actual

%
Growth
over
Previous
Year

93.53

68.64

5.60

73.69

93.87

72.11

2.19

Actual

%
Achvt

77.50

72.48

78.50
Dept.

80.00

75.59

94.49

79.47

-4.88

Outsourcing

160.00

135.02

84.39

129.31

4.41

Total

240.00

210.61

208.78

0.88

Total

289.59

257.01

253.02

1.58

87.76
88.75

draglines in NCL has affected not only


the OB removal programme, but coal
production as well.
2.1.3 The main reasons for less achievement
of Coal Production and OB Removal by
Departmental means are as follows :

Required
(nos.)
Shortage
Total Existing Existing
as per
in
Equipcapacity nos. on Capacity
Shortage
PR/RPR/
Capacity
Remarks
ment
(Cum/ 1st April (Cum/
in nos.
NCL
(Cum/
Tes)
2015
Tes)
Board
Tes)
approval
Dragline
23
511
19
440
71
3
Shortages
based on
24 Cum
bucket
capacity
Shovel
102
990.7
72
712
278.7
28
Shortages
based on
10 Cum
bucket
capacity
Dumper
725
68185
461
45930 22255
223
Shortages
based on
100 Tes
bucket
capacity

2.1.1 Enchanced EC clearance of three mines


namely Bina, Krishnashila and Block-B
obtained in the month of August, 2014
but consent to operate was given by the
State Govt. of UP/MP in the month of Feb
& March, 2015. The delay in clearance of
EC & Consent from these three mines lead
to coal shortfall of 1.87 MT.
Mode-wise Off-take
Road
17.47%

Rail
34.18%

2.1.4 The shortage of these equipment are


the biggest hurdle in existing production
capacity. At present two nos. of draglines
are under erection at Amlohri, 05 Nos.
of dragline and 24 nos of Shovels are
under process of NIT preparation and
under process of tendering respectively.
Supply order of 36 nos. of 100 Tes capacity
Dumpers are placed and are under
commissioning/ Operation.

MGR
48.35%

2.1.2 One dragline scheduled to be commissioned


in April, 2012 at Amlohri was delayed and
commissioned by May, 2014. Second
dragline scheduled to be commissioned in
April, 2013 at Krishnashila was delayed
and was commissioned by January, 2015.
Third and fourth dragline scheduled to
be commissioned in May, 2013 and May
2014 respectively at Amlhori itself was also
delayed due various issues and yet to be
commissioned by M/s. HEC.

As per Board approval of HEMM based


on PR/RPR/survey off norms, following
equipment are urgently required :

2.1.5 The availability of Shovels had been badly


affected due to non supply of spares of
Shovels. M/s Vulcan, Gujrat and M/s
Rajesh Engg , Raipur were the main
Suppliers for Shovel spares - some of
which are listed below:

Such a period of lag in commissioning


schedule of all the upcoming three
24

Dipper Handle,

Final Drive Gear,

Final Drive Pinion,

Lower Roller assembly,

Drive Tumbler,
Shaft and Pinion,
and various types of Gears etc.

__________________________________________________ NORTHERN COALFIELDS LIMITED


3.0

2.1.6 Since M/s Vulcan, Gujrat had been banned


and M/s Rajesh Engg. Raipur were unable
to supply the spares as per Supply Order.
M/s HEC is also not been able to supply
spares in time. So the performance of
Shovels had become very poor and it
affected the production programme of OB
Removal and Coal as well.

POPULATION AND PERFORMANCE OF


HEAVY EARTH MOVING MACHINES (HEMM)

3.0.1 The population of major HEMM for the last


five years is given below :
Sl.
No.

2.1.7 The BE-9 Hydraulic Shovel at Amlohri and


One BE-1600 Shovel at Khadia was under
breakdown due to fire in the machine since
Feb14 and March, 2013 respectively. The
shovel was under MARC with M/s. BEML
and its work for rehabilitation/maintenance
was not yet started by March15.
2.1.8 Stoppage of work by HOE contractor M/s
Sainik Mining and Allied services Ltd. at
Jayant and Dudhichua from April, 2014
had greatly affected the OB Removal and
subsequent the coal production on account
of lack of coal exposure.
2.1.9 Poor performance of outsourcing agency
M/s JP-ASD-Dhilu (JV) at Dudhichua and
M/s Saumya Mining Ltd. at Nigahi project
and complete stoppage of work from April,
2014 to November, 2014 for 78 days
badly affected the OB removal and coal
production program as well.

Dragline

19

19

19

17

18

Shovel

105

96

94

85

88

Dumper

569

558

515

446

458

Dozer

157

136

138

130

163

Drill

130

91

122

136

132

11

Decrease of
shovels & D/L
in numbers
% decrease in
digging units

8.57

10.48

19.04
&
10.52

16.19%
&
5.26%

Decrease of
Dumpers in
numbers

11

54

123

111

% decrease in
Transportation
units

1.93

9.49

21.61

19.51

20 & 2 17 & 1

* Taking base as on 31.03.2011

3.1

Percentage Capacity Utilization for NCL


(% Capacity Utilisation Figures)

2.1.10 The boom of 20/90 Bajrang Dragline at


Nigahi project has collapsed on 18.1.2014
due to structural failure causing loss in OB
Removal and less coal exposure from turra
seam.

Particulars

2.2

Production Programme for the year


2015-16

2010-11

2011-12

2012-13

2013-14

2014-15

Dragline
system

76.68

67.67

66.14

65.71

59.59*

Mine
Capacity
Utilization

73.90

67.29

67.71

68.40

69.49*

Shovel
Dumper
System

72.72

67.13

68.40

69.65

74.59*

* Figures yet to be vetted by CMPDI, HQ, Ranchi

2.2.1 The company has finalized a Programme


for Coal Production of 79.50 Mill. Tes.
and OB Removal of 285 Mill. Cum for the
year 2015-16. Out of this OB removal by
departmental means has been planned
for 80.0 Mill. Cum and 205.00 Mill. Cum
by HOE means /Outsourcing.
2.3.

2010-11 2011-12 2012-13 2013-14 2014-15


(As on (As on
(As on
(As on (As on
31.03.11) 31.03.12) 31.03.13) 31.03.14) 31.03.15)

HEMM

3.2
Sl.
No.

Productivity

2.3.1 The productivity in terms of Output per


Man Shift (OMS) for the year 2014-15 has
been 13.76 tes. in comparison to last year
OMS 13.78 tes.
25

Performance of HEMM
Equipment

% Achievement of
availability against
standard

% Achievement of
Utilization against
standard

2013-14

2014-15

2013-14

2014-15

(+) increase/
() decrease
% Av

% Ut

Dragline

92.36

94.28

92.28

96.37

1.92

4.09

Shovel

79.30

88.45

62.72

76.4

9.15

13.68

Dumper

92.52

106

68.32

81.4

13.48

13.08

Dozer

99.47

109.67

49.53

56.91

10.2

7.38

Drill

111.64

115.63

33.39

38.39

3.99

5.00

ANNUAL REPORT 2014-15__________________________________________________________


3.6

3.2.1 There is a positive growth in percentage


of availability & utilization of all equipment
during the period April 2014 to March 2015
as compared to the same period last year.
3.3

New Dragline Commissioned

33/72 dragline was commissioned in


January, 2015 at Krishnashila Project.

3.4

Rehabilitation details of HEMM


(2014-15)

The rehabilitation work for 15/90 D/L (Vijay)


of Jayant Project was completed during the
year 2014-15.

3.5
Sl.
No.

Equipment

Equipment

1.

Surface Miner

Capacity

Qty.

Name of Firm

100 T

36

M/s Caterpillar India


Private Limited

Dozer

410 HP

40

M/s BEML

Crane

9000 Kgs

17

M/s A C E

11000
Kgs

M/s Escort

70 KL

M/s BEML

3.5 Cum

04

M/s BEML

Dumper

Water Sprinkler.
Hyd. Excavator with
Backhoe attachment

Equipment under procurement process


(as on 15.05.2015)
Total
Qty.

Supply Orders placed for HEMMs


during 2014-15

3.7

Project-wise
Distribution

4 Nos.

DCH-1, JNT-2, KRSL-1

2.

10 Cum Diesel Driven Face


Shovels

09 Nos

AML-3,NGH-2,KHD-2,
BINA-1,JNT-1

3.

10 Cum Diesel Driven Backhoe


Shovels

02 nos

JNT-1 ,DCH-1

1.

4.

10 Cum Electric Rope Shovels

07 Nos

JNT-5,DCH-2

5.

24/ 88 Draglines

05 Nos

Status pf Rate Contract amd Depot


Agreement
No. of
Case
Files

Currently
Valid

Under
Process

Fresh

Transmission spares

01

01

2.

Drills

02

02

KHD-2*, BINA-2 & JNT-1


*PCD

3.

Equipments

02

01

01

4.

Engines

02

02

5.

Draglines

08

01

05

02

6.

Dumpers

09

06

02

01

7.

Shovels

10

02

08

8.

Bearings

01

01

6.

20 Cum E R Shovel

06 Nos

AML-3,NGH-2,KHD-1

7.

1.2 Cum Hyd. Backhoe Shovel

03 Nos

DCH-2, NGH-1

8.

10/11.75 Cum F.E Loader

05 No

KSL-1, KHD-1 (*PCD), BNA1, DCH-1, NGH-1

9.

190T Dumpers

30 Nos
(28+2
Nos)

JNT-14,DCH-7,AML-7 = 28
Nos (Regular Tender)
02 Nos (AML-1 & DCH-1)
Trial Tender

10.

60 KL Water Sprinkler

4 Nos

Bina-2 ,NGH-2

11.

28 K L Water Sprinkler

02 Nos

KSL-2* *PCD

12.

280 HP Motor Grader

21 Nos

NGH-5,BINA-3,DCH-1
,JNT-1, KHD-2+2* BLOCK-B
2*,KSL-2* AML-3* (*PCD)

13.

311 mm Drill

04 Nos

AML-2*,KHD-2* *PCD

14.

90 T Crane

1 No

AML-1

15.

75 T Crane

1 No

JNT-1

16.

40 T Crane

1 No

NGH -1

17.

30 T Crane

02 Nos

JNT-1, DCH-1

18.

18 T Crane

05 Nos

DCH-1,JNT-1,NGH-2, KHD-1

19.

Drill 250 mm

02 Nos

KSL-2* *PCD

20.

Drill 160 mm

02 Nos

KHD-2* *PCD

21.

Dumper 100T

34 Nos

Aml-3, BINA-2, DCH-3 JNT15, KHD-3, NGH-8

22.

410 HP Dozer

08 Nos

NGH-03,Jayant-03, Bina-01,
Dch-01

Sl.
No.

3.8

Head

Central Workshop, Jayant

3.8.1 Central workshop, Jayant caters to


the need of highly sophisticated
Heavy E a r t h M o v i n g M a c h i n e r i e s
(HEMMs) of diversified origin having wide
variety of technologies by way of ready
float assemblies of overhaul engines,
transmissions, wheel motors, electrical
motors, generators, transformers, and
magnetorque assmeblies. Also, repair
of mechanical assemblies by shafting/
de-shafting, reclamation by welding/
manufacturing which are also having
imports substitution, Heat treatment etc.
are under taken by CWS, Jayant.
26

__________________________________________________ NORTHERN COALFIELDS LIMITED


3.8.2 General output from CWS, Jayant in last
four years is as follows:
Engine

Transmission

Wheel Motor

Dipper
Handle
(Nos.)

Year

Overhauled
(Nos.)

Repaired
(Nos.)

Overhauled
(Nos.)

Repaired
(Nos.)

Overhauled
(Nos.)

Repaired
(Nos.)

2011-12

194

30

172

11

74

27

11

2012-13

167

35

135

13

74

45

17

2013-14

146

37

104

34

74

36

19

2014-15

170

39

127

10

81

19

10

Year

Electrical

Machine

Press

Welding

Heat
Treatment

KVA

Manufacturing
(Tons)

Repaired
(Nos.)

Tons

Tons

Tons

2011-12

229.5

82.9

1227

487

422

26.91

2012-13

264.1

151.28

1300

463

396

52.38

2013-14

230.0

143.95

1302

557

550

56.00

2014-15

196.1

143.23

1304

547

632

55.32

3.9

Transmission Shop, CWS by incorporating


modification in the existing test bench.

A very typical Drag Rope Drum assembly


of 10/70 D/L was repaired at Press Section
of CWS in the critical production month of
March 15 in spite of non-availability of jigs
and fixtures.

Repairing of broken pinion teeth of


intermediate pinion shaft and intermediate
gear wheel of 24/96 Dragline was carried
out for commissioning of Dragline of
Jayant Project.

3.11 Capacity Utilisation


3.11.1 The capacity utilization during the year
under report as compared to previous year
is given below :
Description

Magnetorque Assembly of P&H Shovel

2014-15

2013-14

Capacity in M.cum.

189.86

193.75

Production in M.cum.

131.91

132.43

Capacity Utilization (%)

69.47

68.35

Year

Repaired Quantity
(Nos.)

2011-12

46

2012-13

64

4.0

2013-14

60

4.0.0 Performance

2014-15

42

SALES AND MARKETING

4.0.1 The off-take vis--vis the target and Annual


Contracted Quantity (ACQ) for the year
2014-15 in comparison to the previous
year is furnished below :

3.10 Innovative Jobs Carried Out By Project


Personnel
l

2014-15 (in Mill Tes)

A line boring arrangement was made


departmentally at Engine Shop, CWS and
Sri Pratik Sinha, CM(Excv), CWS was
awarded at CIL level for the same.
Coil Winding Machine from available
sources was made at Electrical Shop,
CWS. Sri Sourav Tripathi, AM(Excv) and
his team were awarded at NCL level for
the same

Target

Linkage/
ACQ

Actual

78.00

78.76

73.69

2013-14
(in Mill
Tes)
Actual

%
Achievement
of Target

% mat.
of
linkage/
ACQ

%
Growth
over
previous
year

72.11

94.48

93.57

2.2

4.0.2 Power Sector continued to remain the


main consumer for NCL, accounting for
more than 94% of the total dispatches.
Information in respect of coal supplies to
major consumers of power sector is given
below :

Te s t i n g a r r a n g e m e n t o f B H - 1 0 0
Transmission assembly was made at
27

ANNUAL REPORT 2014-15__________________________________________________________


2014-15
(in Mill Tes)

2013-14
(in Mill Tes)

Growth
over
previous
year (%)

Linkage/
ACQ

Actual

Mat. of
linkage/
ACQ(%)

NTPC

45.25

42.90

94.80

41.53

(+)3.30

UPRVUNL

13.62

12.32

90.45

12.81

(-)3.98

Total Power
Sector (Incl
CPP)

74.85

69.65

93.68

67.21

(+)3.63

Consumer

4.1

4.3

4.3.1 The sector-wise and Mode-wise offtake


of coal during the year 2014-15, in
comparison to 2013-14 is given below :
(Fig in Mill Tes)

Sector/Mode

2014-15

2013-14

Sector-wise Offtake

Supply of Deshaled coal from Bina


Deshaling Plant

Power (excluding (CPP)

4.1.1 Against the target of 3.825 Mill Tes, Bina


Deshaling Plant dispatched 3.441 Mill
Tes to Rajghat, Hissar, Kota, Suratgarh,
S S T P S , V S T P P, R H S T P P, O b r a ,
Anpara, Paricha, Jhajjar and Arawali
Thermal Power Stations during 2014-15
as compared to 3.778 Mill Tes during
2013-14.
4.2

Sector-wise and Mode-wise Offtake.

Period

e-auction
scheme (Spot)
(Coal by Road)

April14 to March15

21.88

322.83

e-auction
scheme (Spot)
(Coal by Rail)

April14 to March15

5.14

53.36

e-auction
scheme (Spot)
(Reject by Road)

April14 to March15

1.39

3.17

28.41

379.36

Total

0.13

0.15

Others

3.91

4.75

73.69

72.11

Rail

25.18

25.74

MGR

35.63

35.08

Road (External)

9.26

7.29

Road (Internal)*

3.62

4.00

73.69

72.11

Total
*

Raw coal transported by road to Bina Deshaling Plant


has been considered as Road (Internal).

4.4

Wagon Loading

4.4.1 Information in regard to average wagon


loading through I/R rakes against target
and as compared to previous year is given
below :

4.2.2 Quantity booked along with financial gain


under the above scheme during 2014-15
is as under :
Scheme

Cement

Mode-Wise Offtake

4.2.1 Spot e-Auction scheme was formulated


under the provision of New Coal Distribution
Policy (NCDP) circulated by the Ministry of
Coal during Nov.07. For procurement of
coal under the said scheme, buyers are to
bid for the desired quantity at prices above
the Floor Price. CIL notified that w.e.f.
Jan12, Floor Price of coal with GCV upto
5500 Kcal/Kg is to be fixed at 20% above
notified price and for coal with GCV above
5500 K.cal/Kg Floor Price will be same
as notified price.

Financial gain
above notified
price (approx.)
(Rs. in crore)

67.21

Total

Spot e-Auction Scheme

Quantity
Booked
(in lakh
tes.)

69.65

2014-15(Box/Day)
Target

Actual

1357

1190

4.5

2013-14
(Box/
day)
Actual

%
Achievement
of Target

Variance
from last
year (%)

1227

87.70

(-) 3

Coal Price Revision

4.5.1 Coal prices were revised w.e.f. 28th


May, 2013 (Date of revision of coal price
mentioned in last years report as 27th
May, 2014 was due to typographical error).
28

__________________________________________________ NORTHERN COALFIELDS LIMITED


5.0

complaints were received from power


houses. The nature of complaints were
primarily on account of oversized/
uncrushed coal supplied to the power
houses in rakes loaded from wharfwall
sidings at Krishnashila, Dudhichua
(Jayant) and Spur Siding (Block B).
Details of complaints received during the
last three years are given below :

QUALITY CONTROL

5.0.1 Sampling Arrangement


As per the directives of Ministry of Coal,


Govt. of india, NCL has switched over
to Independent Third Party Sampling
appointed by power consumers at loading
end from the month of February, 2015.
Consumers like NTPC, UPRVUNL,
RRVUNL, HPGCL and Lanco have
appointed their own Independent Third
Party Sampling Agency at loading end for
sampling and analysis work.

Nature of complaints (Fig. in nos.)

Prior to introduction of Independent Third


Party Sampling Agency by consumers,
sampling and analysis work was being
carried out at Loading End by third party
agency appointed by NCL/CIL during
2014-15.

Year

Oversized
Coal

Poor
Quality

Foreign
Materials

Total

2012-13

40

33

73

2013-14

32

14

46

2014-15

17

04

21

5.2.1 During 2014-15 almost 100% coal


supplies have been weighed on electronic
weighbridges to the full satisfaction of
consumers.

5.3.2 Coal was loaded at Spur Siding (Block


B) after passing through an Interim CHP
and Dozer crushing. Krishnashila Project
is having two Feeder Breakers for
sizing the coal. However, in order to
ensure maximum sizing and crushing,
manual labourers were also deployed.
Loading at Dudhichua Wharfwall
(Jayant Project) is made by pay loaders
after crushing the coal by means of
dozer. Adequate measures were taken
at these projects while loading Railway
rakes so as to ensure proper sizing
and quality of coal, free from stone/
shale and extraneous materials. However,
since sizing through Dozer crushing
and manual breaking is not fully effective,
it was difficult to achieve sizing to the
full satisfaction of the consumers
particularly when loading from the
above sidings was done round the clock
including nights shifts to maximize coal
supplies.

5.3

6.0

5.1

Sizing of Coal

5.1.1 The entire dispatch of coal during the year


2014-15 was made after proper sizing as
detailed below :
Means of sizing
of coal

2014-15
(in %age)

2013-14
in %age)

Through CHP/Feeder Breaker

87.77

84.05

Through Dozer

12.23

15.95

100

100

Total

5.2

Weighment of coal

Quality complaints and action taken


thereon

STOCK OF COAL

6.0.1 The Measured stock of raw coal as


on 31.03.2015 was 4.908 Million Tes,

5.3.1 During 2014-15 approx. 21nos. of


29

ANNUAL REPORT 2014-15__________________________________________________________


equivalent to 21 days of coal production in
terms of average daily target for 2014-15.
The stock of raw coal as on 31.03.2014
was 6.106 Mill Tes.
6.1

Sl.
No.

Stock of stores and spares

6.1.1 Information in regard to inventory of stores


and spares as on 31.3.2015 as compared
to 31.3.2014 is tabulated as under :
Sl.
No.
(i)

(ii)

As on
31.3.2015

Description
Value of Inventory
(Rs. in crores).
Inventory in terms of
months consumption.

346.89 Crores

2.63 Months

As on
31.3.2014

6.1.2 The percentage decrease in inventory over


last year is 23.27%.
6.2

Disposal of Scrap

2013-2014

No. of fatal accidents

2.

No. of fatalities

3.

No. of serious accidents

13

14

4.

No. of serious injuries

13

14

5.

Fatality rate per MT output

0.055

0.117

6.

Fatality rate per 3 lakh


manshift

0.301

0.569

7.

Fatality rate per 1000 persons


employed

0.246

0.477

8.

Serious injury rate per MT


output

0.179

0.204

9.

Serious injury rate per 3 lakh


manshift

0.977

0.996

10.

Serious injury rate per 1000


persons employed

0.800

0.835

11.

Fatality rate per MM3 output

0.015

0.032

12.

Serious injury rate per MM3


output

0.050

0.055

7.1

6.2.1 In the year 2014-15 the disposal of scrap


was of value of Rs.19.72 Crores. In the
year 2014-15, NCL have finalized sale of
scrap value of Rs. 20.38 Crores.

2014-2015

1.

452.13 Crores

3.4 months

Particulars

Safety Measures & Training

7.1.1 Measures taken for improvement in safety


standard in Mines of NCL.
1. Statutory Rules and Regulations
are implemented religiously and
strenuous efforts have been made
for achieving the highest standards
of safety.

6.2.2 Compared to realization of cash against


scrap value of 2013-14 of Rs.10.77 Crores,
the cash realized in 2014-15 was Rs.14.73
Crores which was 36.76% increase over
the previous year.

2. Simulators for the training 100 Te.


Dumper operator and 85 Te. Dumper
operator were installed on 28.11.2012
in CETI. 397 Nos. & 419 Nos. of
Dumper Operators were trained in
the year 2013 & 2014 respectively.

6.2.3 In the year 2014-15 the Burnt oil disposedoff was 1038 KL in comparison to previous
years Burnt oil of 1851.70 KL.
7.0 SAFETY

3. Company level Tripartite Safety


committee meetings attended by
DGMS Officials, Trade Unions &
Management were held on 17.05.2014
& 17.01.2015.

7.0.1 The accidents statistics for the year


2014-15 as compared to previous year is
furnished below :
30

__________________________________________________ NORTHERN COALFIELDS LIMITED


4. Project level Tripartite Safety
Committee Meetings were held at
Amlohri, Nigahi, Jayant, Dudhichua,
& Khadia Projects on 09.12.14,
10.12.14, 11.12.14, 12..12.14 &
13.12.14, respectively.

13. Safety Management Plan of all the ten


Projects have been prepared and are
being implemented.
14. Safe Operating Procedures have been
enforced in all the Projects to reduce
dumpers accident.

5. Task force has been constituted


consisting of senior officials of Trade
union and GM(S&R) every month for
surprise inspection of mine.

15. Monitoring of Dragline Dumps :-

6. There is Multi-level monitoring of the


implementation of the Safety Plans
through Internal Safety Organization
at company level and Safety officer
perform it at Area level.
7. There is regular monitoring of status of
implementation of recommendations
of Tripartite committee, CIL Safety
Board, Standing Committee on Safety,
10th and 11th Safety Conferences etc.
8. Lock-Out & Tag Out (LOTO) system
of Electrical shut down procedure has
been implemented in all the mines of
NCL.

11. Special drive to implement wearing


of seat belt by dumper operators has
been conducted in all the Projects.

Measurement of corridors of
dragline OB dumps(Dragline
sitting level and coal roof of
Turra seam level) by Area & HQ
Team.

(ii)

A Scheme for Development


of guidelines for safe dragline
dump profile under varying
Geo-Engineering condition in
opencast coal mines of NCL
for implementation has been
conducted by BIT Mesra,
Ranchi under R&D Programme
of CIL.

7.2

Annual Mines Safety Week

Annual Mines Safety Week 2014 was


celebrated from 1st January 2015 to 07th
January 2015. During the Safety Week, a
special safety drive has been conducted
on different subjects. The Prize distribution
ceremony and the final day function was
organized on 18th January 2015 at Nigahi
Project.

8.0

Project Planning and


Development.

8.1

Completed Projects:

9. Special drive has been conducted for


checking of road worthiness of the
contractors vehicle/HEMM from 24th
March to 31st March 2015
10. There is a system of continuous
education, training and retraining
of the employees with the Modern
Training Aid/Electronic Media/spot
training and lectures at MTK office.

(i)

8.1.1 There are fifteen completed coal mining


projects in NCL, In addition there are three
completed OBR Augmentation Schemes
and Seven Non-Mining completed projects
costing Rs 5 Crs and above. The details
of above projects are given below :

12. Back shift inspection by senior


officers in the Projects have been
implemented.
31

ANNUAL REPORT 2014-15__________________________________________________________


S.N

Name of the
Project

Capacity
(Mtpa)

Sanctioned
Capital
(Crs.)

Sch.
dt. of
Completion

Actual
date
of
Completion

8.2. On-going Projects and Schemes.


8.2.1 There are five mining projects costing Rs
100 Crs and above under implementation
as mentioned below:

MINING
1

Bina

4.50

168.64

3/87

3/88

Jayant

10.00

375.04

3/91

3/90

Amlohri

4.00

527.11

3/93

3/93

Kakri

2.50

137.80

3/91

3/93

Dudhichua
Phase-I (Merged
with DCH Expansion 10Mtpa)

5.00

289.68

3/93

3/93

Jhingurdah

3.00

63.11

3/87

3/87

Gorbi (Closed)

1.00

7.70

3/76

3/76

Gorbi-B (Closed)

0.60

19.18

3/90

3/90

Gorbi Expn
(Merged with Gorbi) - Closed

1.50

19.26

3/89

3/89

10

Nigahi Phase-I
(Merged with
Nigahi Phase-II
10Mtpa)

4.20

648.04

3/95

3/95

11

Khadia

4.00

588.75

3/94

3/97

12

Dudhichua Expn
OC (RCE)

10.00

1281.39 #

3/04

3/04

13

Nigahi Expansion
OC

10.00

1846.49 #

3/04

3/04

14

Kakri Coal
Aug. Scheme
OC

0.50

48.79

3/04

3/06

15

Bina Extension

6.00

168.97

12/13

12/13

S.N.

Jayant OBR
Scheme

41.26

3/96

3/96

Jhingurdah OBR
Scheme

42.98

3/96

3/96

Bina OBR
Scheme

48.28

3/01

3/00

Capacity
(Mtpa)

Sanction
Capital
(Crs.)

Sch. dt.
of
Completion

Act. dt. of
Completion

MINING
1

Krishnashila
OCP

4.00

741.62

3/2013

3/2016

Amlohri OCP
(4 to 10
Mtpa)

6.00

1143.54

3/2016

3/2016

Block-B OCP

3.50

535.10

3/2015

3/2016

Nigahi Expansion (10


to 15 Mtpa)

5.00

259.40

3/2012

3/2016

Khadia
Expansion(4
to 10 Mtpa)

6.00

1131.28

3/2018

3/2018

8.3.

Future Programme & New Projects :

8.3.1 Five numbers of new/expansion Open


Cast Projects (OCP) have been identified
during XII Five Year Plan.

OBR AUGMENTATION SCHEMES


1

Name of the
Project

1. Dudhichua Expansion OCP (10.0 to


15.0 Mtpa)
2. Jayant Expansion OCP (10.0 to 20.0
Mtpa)

NON-MINING
1

Central Workshop

68.72

03/02

3/02

Integrated Water
Supply Scheme

18.87

3/89

3/89

3. Semaria OCP (2.00 Mtpa)

Nehru Shatabdi
Chikitsalaya

19.91

4/97

8/02

Communication
Scheme

5.04

4/96

3/96

4. Bina-Kakri Amalgamation OCP (10.0


Mtpa)

Water Supply
Scheme PhaseI&II

9.28

4/99

06/98
&
04/99

5. Block-B Expansion OCP (3.5 to 8.00


Mtpa)

Bina Deshaling
Plant

16.69

8/97

08/97

132 KV SS
Madhauli(RCE)

5.43

03/01

03/01

8.3.2 The status of approval of these projects


and their Forest Clearance (FC) and
Environment Clearance (EC) is given
below :

# Including the sanctioned capital of Nigahi Phase-I (4.2 Mtpa )


and Dudhichua Phase-I (5.00 mtpa).

32

__________________________________________________ NORTHERN COALFIELDS LIMITED


1. Dudhichua Expansion OCP (10.0 to
15.0 Mtpa) :

5. Block-B Expansion OCP (3.5 to


8.0 Mtpa) :

Expansion Project Report has been


approved by NCL Board in Jul08
with outsourcing option with a capital
outlay of Rs 326.57 Crs. Project could
not be implemented as FC & EC for
incremental project are required to
be obtained. However, PR is being
recasted for 20.0 Mtpa by CMPDIL.

Project Report for 8.0 Mtpa is being


recasted by CMPDIL.

8.4

EXPLORATION & DRILLING

The drilling for geological exploration is


done through CMPDI, RI-VI.
( in Mill Tes)
2013-14

2. Jayant Expansion OCP (10.0 to


20.0 Mtpa) :

Actual

Expansion Project Report (EPR)


was recommended by NCL Board on
31.01.2015 for final approval of CIL
Board with sanctioned incremental
capital of Rs 1226.38 Crs for additional
OB outsourcing option.

3.

Semaria OCP (2.00 Mtpa) :

Its a green field project which was


accorded In-Principle approval by NCL
Board in May11 for capital outlay of
Rs 141.49 Crs. Land required for the
project has been notified and vested
with NCL under CBA (A&D) Act, 1957.
FC & EC are to be obtained.

Non-CIL

CMPDI

0.00

24123.00

MECL

21048.00

18714.00

Sl.
No.

Bina-Kakri Amalgamation OCP (10


Mtpa) has been approved in-principle
by NCL Board with initial capital outlay
of Rs 1291.98 Crs. Notification of 180
Ha additional land under Sec 9(1) of
CBA (A&D) Act, 1957 has been issued
on 17.12.2014 & published in Gazette
of India. Proposal for publication of
vesting order under Sec (11) of CBA
(A&D) Act, 1957 has been submitted
to MoC on 14.02.2015. EC & FC are
required to be obtained.
33

Target

CIL

8.5

4. Bina-Kakri Amalgamation OCP


(10.0 Mtpa) :

2014-15

2015-16

Actual

Target
(Proposed)

CIL

Non-CIL

Total

27500.00

10220.00

15117.00

25337.00

27500.00

52000.00

26660.00

19843.00

46503.00

50000.00

Status Report for the Work of Excavation/


Removal of Overburden by Hiring of
Equipment in NCL as on 31.03.2015 is
as under :
Project Estimated Period
Contract Date of Com- Scheduled
Quantity (Years) awarded to mencement date of
completion
(MBCM)

Remarks

Amlohri -I

97.80

M/s BGR
01.03.2011
Mining &
Infra Pvt.
Ltd., Nellore
(AP).

29.02.2016

Work
completed on
02.04.2015

Block-B 64.43

M/s National 01.06.2010


Construction Co.,
Bhuj-Kutch
(Gujarat)

31.05.2015

Dudhichua

3.25

M/s JP-ASD- 03.12.2010


DHOLU
(JV), Ahmedabad

02.03.2014

Work
completed on
02.02.2015

59.36
Krishnashila

M/s Monte- 21.01.2013


carlo Ltd.,
Ahmedabad

20.01.2018

Jhingur- 19.41
da

M/s
21.07.2013
AMR-Saisudhir (JV),
Hyderabad

20.07.2016

Khadia

M/s Monte- 03.06.2013


carlo Ltd.,
Ahmedabad

02.06.2018

Amlohri 100.00
-II

M/s Sadbhav 14.07.2013


Engineering
Ltd., Ahmedabad

13.07.2018

49.00

59.2806,
7.26 (RH)

ANNUAL REPORT 2014-15__________________________________________________________


8

Kakri
New

12.91

M/s Rungta 27.10.2013


Projects
Ltd., Anpara,
Sonebhadra
(UP)

26.10.2016

Khadia
New

22.30

M/s BGR
04.08.2014
Mining &
Infra Pvt.
Ltd., Nellore
(AP).

03.08.2017

M/s GSCO
Infrastructure Pvt.
Ltd.

16.11.2014

15.11.2019

10

Bina

105.6

environmental and social concerns as a


part of our business agenda.
9.2.2 NCL is committed to:
1. Assured quality of our coal supplies.
2. Optimum utilization of available
resources.

11

Jayant
East

26.62

M/s Gajraj
Mining
Pvt. Ltd.

17.11.2014

16.11.2017

3. Continual improvement in the


management and performance of
our system.

12

Nigahi

54.00

M/s
Saumya
Mining
Ltd.

20.02.2011

19.02.2014

Work completed on
30.09.2014

4. Ensuring prevention of pollution, injury


and ill health due to our work activities.

13

Nigahi
New

75.00

M/s BGR
Mining &
Infra Pvt.
Ltd.

18.11.2014

17.11.2017

5. Comply with all applicable legislations


and other subscribed obligations.

14

Dudhichua
West

27.85

3.3

M/s Gajraj
Mining
Pvt. Ltd.

08.12.2014

24.01.2018

6. Respect all ILO and other international


charters on social and labour issues.

15

Dudhichua
East

68.07

M/s BGR
Mining
& Infra
Pvt. Ltd.,
Nellore
(AP).

14.02..2015 13.02.2018

16

Jayant
West

81.97

4.67

M/s VPR
Mining
Infrastructure Pvt.
Ltd.

01.12.2014

12.08.2019

17

Amlohri
-III

15.00

M/s Dholu
Constructions &
Projects
Ltd.

09.03.2015

08.03.2018

7. Promoting importance of the concept


of sustainable development.
8. Ensure that this policy is effectively
implemented, maintained. and
communicated.
9. Review this policy regularly to ensure
its continual improvement and
relevance.
10. Make this policy accessible in a
comprehensible form to all personnel
engaged for NCL in any manner.

9.0 ENVIRONMENTAL PROTECTION


9.1

Management of NCLs Economic,


Environmental, Energy and Social
Concerns:

11. Make this policy publicly available in


an effective form and manner to all
interested parties, upon request.

9.1.0 NCL has well defined and documented


manual, policy, procedures and guidelines
for Sustainable Development under its
Integrated Management System (IMS)
complying with international standards of
ISO 9001, ISO 14001, OHSAS 18001.
9.2

9.2.3 NCLs Energy Management Policy


NCLs Corporate Managemet Policy

9.2.1 NCL has voluntarily chosen to implement


a comprehensive system for simultaneous
management of our economic,

We are committed to continually improve


the energy performance of all our process
and systems. So, we ensure that :
1. Adequate information and resources
always remain available to achieve
our energy objectives and targets;

34

__________________________________________________ NORTHERN COALFIELDS LIMITED


2. We always comply with all our energy
related obligations, whether legal or
otherwise subscribed; and

Earlier, compensatory afforestation was


done over equivalent area of non-forest
land. There is a special provision for
Central Government/Central Government
Undertaking projects. According to that
compensatory afforestation is to be raised
on degraded forest lands twice the area
of forest land being diverted. The State
Forest Departments are to identify blank
or degraded forest land for compensatory
afforestation and the user agency has
to deposit the amount for compensatory
afforestation with the concerned State
Forest Departments.

3. We always promote the purchase of


energy efficient products, services,
and designs.
9.3

Environmental Conservation Measures:

9.3.1 F o r e s t / E c o l o g i c a l M i t i g a t i v e
Measures :

Forest clearances (FCs) have been


accorded to the NCL projects by the
Govt of India, MoEF/ concerned State
Governments (of UP and MP). Till
31.03.2015, total 8,018.006 hectares forest
land has been granted forest clearances,
out of which, total 7,838.500 hectares
Forest Land has been handed over to
the NCL Projects by the concerned State
Forest Departments. During 2014-15,
total 170 ha. forest lands (150 ha. for Bina
Extension by the MP Forest Department
and 20 ha. for Krishnashila project by the
UP Forest Department) have been handed
over.

9.3.1.1 T hese clearances stipulate certain


conditions to be complied with by the
user agency. These conditions basically
relate to payment of Net Present Value
(NPV), compensatory afforestation (CA),
reclamation of mined out areas, creation
of safety zones around mining areas,
meeting fuelwood needs of labourers and
employees engaged in mining activities etc.
The basic objectives of these conditions
are to ameliorate/mitigate the impacts
on forests and its various ecosystem
attributes (wildlife, flora, fauna, biodiversity etc.) resulting from coal mining
activities. Brief details of various forest/
ecological mitigative measures undertaken
by the NCL projects are given below :

9.3.3 Net Present Value (NPV) :


NCL has paid total Rs. 9,802.298 lakhs


towards Net Present Value (NPV) as
per the stipulated condition of forest
clearances.

9.3.4 (Biological) Reclamation of Mined Out


Areas :

After Over Burden Dumps, which are


made by back filling of mined out areas,
after having achieved the planned heights,
are technically reclaimed by means
of retaining walls, terraces/steps etc.
Afterwards, biological reclamation works
are carried out through plantations of
suitable local species.

During the year 2014-15, 91.41 ha. OB


dumps areas have been biologically
reclaimed by planting 3.20 lakhs plant

9.3.2 Compensatory Afforestation


In lieu of the diverted forest lands, total


4,323.869 hectares non-forest lands
have been purchased by the NCL and
handed over to the concerned State
Forest Departments for compensatory
afforestation along with the required costs
of compensatory afforestation. Besides
this, total 3,951.492 hectares degraded
forest lands have been identified by the
concerned State Forest Departments for
the purpose of compensatory afforestation
and the NCL has paid Rs. 4791.967 lakhs
for compensatory afforestation over these
lands.

The compensatory afforestation is the


afforestation done in lieu of the diverted forest
lands for coal mining and other purposes.
35

ANNUAL REPORT 2014-15__________________________________________________________


saplings. Till 31.03.2015, total 3261.27
ha. have been biologically reclaimed by
planting total 141.76 lakhs plant saplings.

roads are provided with black topping


to reduce dust generation.
(vi) Mobile water sprinklers are deployed
for dust suppression on haul roads on
continuous basis.

9.3.5 Creation of Safety Zones :


Safety Zones consisting of dense tree


covers have been created around mine
boundaries. Besides this, NCL has paid
the costs of afforestation over degraded
forest lands to the extent of one and half
times the Safety Zone areas.

(vii) Thick green belts; tall plants with


broader leaves have been provided as
curtain at mine boundary to arrest air
borne dust. The total numbers of trees
planted till 2013-14 is 2.21 crores.
(viii) Non-active Over Burden (OB) dumps
are provided with vegetative cover
to prevent dust emission under OB
Dump reclamation plans.

9.3.6 Social Afforestation :


NCL has undertaken extensive afforestation


in residential colonies, road sides etc.
This has resulted into development of
extensive green cover all around, which
helps in checking air, water and noise
pollution. During the year 2014-15, total
1,88,500 plant saplings have been planted
under social afforestation programme.
Till 31.03.2015, total 84.75 lakh plant
saplings have been planted under social
afforestation programme.

(ix) Dust proof cabins have been provided


for operators in Heavy Earth Moving
Machines (HEMM). Dust masks have
been provided to employees exposed
to dust.
(x) Fire hydrants system has been
installed for CHPs and coal dumps.
(xi) Moist coal is loaded to Merry Go
Round (MGR) through Rapid Loading
System.

9.3.7 Till 31.03.2015, total 226.51 lakhs plant


saplings have been planted for biological
reclamation and social afforestation
programme.
9.4

(xii) Routine maintenance and periodic


overhauling of HEMM are done to
reduce gaseous emission.

Pollution Control Measures

9.4.1 Air Pollution Control Measures

(xiii) Regular ambient air quality monitoring


is being done to monitor the air quality
and corrective actions are being taken
in case of any adverse report.

(i) Automatic sprinklers have been


installed at coal receiving pits and
are actuated through sensors. Fixed
sprinklers have been installed at coal
bunkers, transfer points and loading
points and are operated through
control valves.

9.4.2 Water pollution control measures


(ii) Dust cyclones are provided at the


bottom of receiving pit of the crusher
house.
(iii) All the Coal Handling Plants (CHPs)
are fully enclosed to reduce coal dust
emission outside CHP.

Water pollution control has been done


through Silt Arrestors, 10 Effluent Treatment
Plants (ETPs) for effluent generated from
Mine, Workshops, CHPs and 8 Domestic
Sewage Treatment Plants (DSTPs) for
colony sewage of working mines are in
operation.
(a) Effluent Treatment Plants :

(iv) Drills are provided with dust extractors.


(v) Approach roads to mines and service
36

Integrated Effluent treatment Plants


have been designed for treatment
of discharge from mine, workshop

__________________________________________________ NORTHERN COALFIELDS LIMITED


(e)

and CHP. The plants contain oil and


grease recovery system through traps,
removal of suspended solids through
clarifiers after chemical dosing at flush
mixer, sludge drying beds, pipeline
and pumping arrangements. Clean
treated water is re-used for water
sprinkling on haul roads, sprinklers
and industrial purposes.

(b) Construction of new ETPs :


Two more ETPs are proposed to be


constructed as detailed below :
(i)

(ii)

Scheme of ETP construction for


Krishnashila Project, prepared
by CMPDIL, Ranchi has been
approved by NCL. It is to be
constructed shortly.

Scheme of ETP construction


for Block-B Project prepared
by CMPDIL, Ranchi has been
approved by NCL. Work Order
has been issued and it is in the
process of construction.

Eight Domestic Sewage Treatment


Plants have been constructed in
townships with activated sludge
process. The plants contain aeration
units for oxidation, clarifiers for
removal of suspended solids, sludge
drying beds, grit removal facilities,
sewer lines, manholes, pump houses,
control room, etc. Treated water is
re-used in horticulture/ agriculture
and construction activities. Dried
sludge, valuable manure is used in
agriculture.

(d) Construction of new STPs :


One more STP is proposed to be


constructed as detailed below:
(i)

Substantial amount of silt is carried


along with the run off water. Catch
drains with silt arrestors are provided
in mine areas and are cleaned at
regular intervals. Check dams and
siltation ponds are provided to arrest
silt flowing to the water course.
Gabions (loose stones packed in
wire crates) with filter pad at toe of
the active dumps and across water
course, protect against escape of silt
into the water body.

(f) Oil recovery :

(c) Domestic Sewage Treatment Plants


(DSTPs) :

Silt Arrestor :

Floating oil, recovered from Oil and


Grease traps is collected in drums
which are stored in a raised paved
area having drains to collect back
spillages. Used Oil collected during
maintenance of vehicles and HEMM
are collected and stored in lid tight leak
proof drums. Authorization from State
Pollution Control Board is duly taken
for each individual Project for storage
of used oil which is hazardous waste
(Cat. 5.1). This used oil is disposed
by e-auction through authorized
recyclers.

(g) Disposal of Hazardous solid waste


containing oil :

This comes under hazardous Waste


Category 5.2. Authorization from
State Pollution Control Board is duly
taken and these wastes are stored
in specifically constructed sheds
and disposed off through authorized
Common Treatment Storage &
Disposal Site, available in the State.

9.4.3 Noise Pollution Control Measures


i. Blasting operations are carried out
between 13:00 to 14:00 hours only
i.e. during change of shifts.

Final scheme for construction


of STP for Block-B Project,
prepared by CMPDI, Ranchi,
has been approved and it is in
process of tendering.

ii. Ear-muffs and ear-plugs are provided


to employees wherever required.
iii. Curtain plantations have been
37

ANNUAL REPORT 2014-15__________________________________________________________


quality within permissible limit as per
guidelines stipulated by State Pollution
Control Boards (SPCBs) and Ministry of
Environment & Forest (MOEF), statutes
and legislation applicable to coal mines.
Noise Pollution Control Measures have
been adopted to maintain noise level within
permissible limit. The results of monitoring
have been found within permissible limits.

provided in and around colonies and


along mine boundaries.
iv. Routine maintenance of all equipment.
9.4.4 Special activity: Eco restoration work
in NCL in 2014-15

Presently, the NCL is carrying out


Ecological Restoration of mines out
areas in Krishnashila and Nigahi projects
on 5 ha. each. Over burden dumps in
order to convert degraded mined out area
into productive ecosystem as well as to
enhance biodiversity with the technical
guidance and assistance of the Forest
Research Institute, Dehradun.

9.6

9.4.5 Technical & Biological Reclamation of


External OB Dumps

10.0.1 I n te g r a te d Ma n a g e m e n t S y s t e m
certificates :

9.4.6 Health Study by NIOH


A study of the health of NCL employees
and people living in surrounding areas is
being doneby NIOH, Ahmedabad. First
phase of the study has been completed
during 2014-15 and second phase will be
taken up during 2015-16.

9.5

Impact Of Above Measures On Pollution :

Air Pollution Control Measures and


Water Pollution Control Measures have
been adopted to maintain air and water

All the Open cast Projects are operating


with Environmental Clearance from
Ministry of Environment & Forest, New
Delhi. The consent for Air and Water is also
taken from the Pollution Control Boards.

10.0 ISO ACCREDITATION

Vegetative covers over bare OB dumps


have been provided in major projects.
It ensures stability to dump slopes,
minimization of erosion due to wind
and rain water. The dumps have been
reclaimed by constructing proper benching
and providing reinforced grass-mat covers,
gabions and drains. The slope surface has
been covered with mixture of grass seeds,
agricultural soil and manure laid in coir/
hay/straw/ geo-textile mat. The plantation
of trees, shrubs and grass has been done
profusely on crowns of dumps, ring bunds,
dykes, recess, slopes etc. to ensure
thick biological growth. For maintaining
vegetative cover, water sprinklers have
also been deployed at specific points.
Large scale plantaion carried out in slopes
and top of completed OB dumps.

Environment Clearances

NCL is having an Integrated Management


System Certification as follows:

Your company continues to hold the


latest version of ISO 9001 :2008 , ISO
14001:2004 and OHSAS 18001: 2007
certifications for whole company in respect
of the following activities;

Mining and Supply of Coal including related


field support, Corporate Management
services and provision of diagnostic,
curative, rehabilitative and preventive
health care services.

These Certifications indicates NCLs


commitment to Quality, Environment,
Occupational Health and Safety at par with
Global Standards.

11.0 HUMAN RESOURCE DEVELOPMENT &


INDUSTRIAL RELATIONS
11.1 Manpower
11.1 Manpower strength of the company
(excluding apprentices under the
Apprentices Act, 1961) as on 31st March,
2015 was 16226 against 16741 as on 31st
March, 2014. The breakup of manpower
strength is given below :
38

__________________________________________________ NORTHERN COALFIELDS LIMITED


Programmes.

(Fig. in Nos.)
Sl.No.

Particulars

As on
31.3.2015

As on
31.3.2014

Executives

1795

1771

Supervisors

1518

1667

Clerical Staff

1097

1057

Highly Skilled/Skilled

8569

8235

Semi Skilled/Unskilled

3247

4011

16226

16741

Total

11.2 Human Resource Development


11.2.1 The training and skill development part of
NCL employees looked after by Central
Excavation Training Institute (CETI) is as
under:
Providing learning opportunities
to the employees to narrow down
performance gaps.
To develop training/ reference
materials and to arrange special
programmes on new equipment for
all level of employees.
11.2.2 NCL has a Central Excavation Training
Institute (CETI) at Singrauli and nine
Vocational Training Centers (VTCs) in
different projects. Need based training
is provided to Workmen, Operators,
Supervisors and front line Managers. The
major training programmes conducted
centrally at CETI are as under :
Basic courses for HEMM (Dumper,
Shovel, Drill, Pay loader and Dozer)
Operators, technicians and unskilled
workers.

Technical development programmes


for executives.
Basic Computer Learning courses
for executives, supervisors and other
staff.

Workers Development Programmes


including Leadership Development

Training Programmes for Safety


Committee Members and Workmens
Inspectors.

Dumper simulator 85T/100T at CETI


is an upgraded tool of training for
Dumper operators (Basic & Refresher
both).

Training Programmes on Preparatory


Programme for Retiring Executives.

Training Programmes on Literacy


Drive.

Sl.
No.

Particulars

i)

Number of persons trained


through Vocational Training
Programmes at VTC.

ii)

Number of persons trained at CETI :

2014-15

2013-14

19205

18198

2845

2576

(b) Workshops & Seminars

766

2169

(c) Technical Training (Out


Side)/OEM

132

170

3743

4915

(a) Regular training programmes

TOTAL
iii)

Development

11.2.4 Information about the persons who


underwent different training programmes
during the year 2014-15 as compared to
the year 2013-14 is given hereunder :

Original Equipment Manufacturers


Programmes on technology
upgradation.
Supervisory
Programmes.

Structured Training Programme


for Mining, Excavation and E&M
Supervisors.

11.2.3 CETI organized 18 Workshops and


Seminars during the year 2014-15 for
middle and senior level management
groups and staff focusing on contemporary
issues. The statutory training requirements
are met by VTCs.

Refresher courses for HEMM (Dumper,


Shovel and Dozer) Operators and
technicians.

Number of persons trained through outside company


Programme in India.
a) General Management
Programme

50

125

120

190

170

315

a) General Management
Programme

06

NIL

b) Techno-managerial courses

00

NIL

06

NIL

b) Techno-managerial courses
TOTAL
iv)

Number of persons trained abroad :

TOTAL

39

ANNUAL REPORT 2014-15__________________________________________________________


11.6 Industrial Relations

11.3 Reservation for Scheduled Castes


(SCs)/Scheduled Tribes (STs) and other
Backward Classes (OBC) in recruitment
and promotion.
(i)

11.6.1 Industrial Relations in our Company


continue to be highly cordial and
harmonious. The participative way of
functioning of management facilitates
settling the disputes/grievances amicably
through discussions, which in turn has
resulted in maintaining over all healthy
ethos of relations in Northern Coalfields
Limited. However, few instances of
Industrial Relation disturbances during
2014-15 are as under.

Recruitment :
The Presidential Directives in the
matter of recruitment of Scheduled
Castes (SCs), Scheduled Tribes (STs)
and Other Backward Classes (OBCs)
have been implemented in NCL.

(ii) Promotion :
A total of 216 candidates belonging
to SC community and 112 candidates
belonging to ST community were
promoted during 2014.

As on

Sl.
No.
1.

The representation of SC and ST


candidates in total manpower is as
under :
Total
Manpower

SC Candidates
Number in %

2.

ST Candidates
Number in %

31.03.2015

16226

3122

19.24%

1229

7.57%

31.03.2014

16741

2669

15.94%

1269

7.58%

11.4 Appointment of Land Oustees.


11.4.1 During the financial year 36 Land Losers
were appointed.
11.5 Workers Participation in Management

Particulars

2014-15

2013-14

a) Complete

b) Partial

a) Relay Hunger strike

b) Dharna/Demonstration

c) Assault

NIL

NIL

d) Rowdism

NIL

NIL

e) Gherao

NIL

f) Obstruction

NIL

g) Non Co-operation activities

NIL

NIL

10075

1478

No. of Strikes -

Law & Order disturbances -

3.

Man-days Lost

4.

Loss of Production Coal (Tonne)

241000

7000

O.B. (Cu.M.)

46600

11000

12.0 EMPLOYEES WELFARE AND SOCIAL


AMENITIES.

11.5.1 The workers participation in management


in NCL is encouraged at all levels and is
operative to every possible extent. There
is system of bipartite dialogue to discuss
and address not only the grievances but
also the issue pertaining to the entire
Management of the Mine.

12.0.1 In NCL proper emphasis is given on


employee welfare and efforts are made
for improvement in welfare and social
amenities like Housing, Water supply,
Medical, Education, Recreational facilities
etc.

11.5.2 The meeting of Joint Consultative


Committees (JCC) takes place at regular
intervals at Project/Unit level as well
as Corporate Level. Further meeting
of Safety Committee, Welfare Board,
Medical Advisory Board, House Allotment
Committee, Canteen Committee etc. are
also held regularly. In all above forums the
Trade Union Representatives do actively
participate and contribute.

12.1 Housing & Township


12.1.0 The total number of standard houses as on
31.3.2015 are 15959. However, taking into
account the 1501 Non-standard houses
also, the total number of houses is 17460.
Excluding 1325 houses allotted to different
agencies, balance available houses are
14458, which provides 100% housing
satisfaction to the employees of NCL.
40

__________________________________________________ NORTHERN COALFIELDS LIMITED


12.2 Water Supply.

12.4.3 Besides the above 3 hospitals altogether


there are 11 dispensaries, one in each
project except Dudhichua Project where
2 dispensaries are existing.

12.2.1 The entire population of 79795 has


been covered under the water supply
arrangements upto 31.03.2015. In regard
to availability of water, there is 100%
satisfaction to the employees in the
company.

12.4.4. Nehru Shatabdi Chikitsalaya (NSC)


12.3 Educational Facilities.


12.3.1 The company has established 7 DAV
Public Schools, 2 Kendriya Vidyalaya and
01 Delhi Public School in its command
area. Other Schools in this area are also
supplementing the education facilities and
given infrastructural support from NCL.
An amount of Rs.920 lakhs (Prov) was
incurred towards financial support to the
Schools of NCL for student strength of
13,593. An amount of Rs.63 lakhs was
given towards the Higher Technical Fee
reimbursement to the wards of Wage
Board employees of NCL.
12.4 Medical Services
12.4.1 With the aim of achieving a healthy work
force by keeping the executives and
staffs, their dependant family members
healthy physically, mentally, socially and
occupationally and also free from diseases
through preventive, curative, qualitative
and community health care approach,
Medical discipline of NCL is providing
Primary, secondary and tertiary care in
some of its departments with its Specialists
Doctors, General Duty Medical Officers,
Paramedical Staff, & Non Medical Staff
with its excellent infrastructure. These
services are also being offered to local
population residing within the catchment
area of NCL through regular services and
also through CSR activities.
12.4.2 NCL has three hospitals with total
strength of 200 beds. There are two
regional hospitals namely Central Hospital,
Singrauli with bed strength of 35 and Bina
Hospital with 15 beds. The main hospital
is Nehru Shatabdi Chikitsalaya with 150
beds, located centrally in Jayant.

NSC is functioning as Referral and


Specialized Hospital for all Project
Dispensaries and Regional Hospitals,
providing secondary care for most of
the cases and tertiary care in few of
its discipline round the clock, 24 x 7 &
365 days in a year. Patients are also
being referred from nearby PSU, Govt.
and Private hospitals, PHC and District
Hospitals. Patients requiring services of
Medicine, Surgery, Orthopedics, Pediatrics,
Obstetrics & Gynecology, Eye, ENT and
Dental disciplines are available in regular
OPD. Most of the necessary investigations
are carried out in the department of
Pathology which also has a fully functional
Blood Bank. In department of Radiology
facilities of Ultrasonography, CT Scan,
MRI, Mammography are available. NSC
has a Non-invasive Cardiac Lab. with
facilities of ECG, Echocardiography
with Color Doppler, TMT, Continuous
Ambulatory Holters Monitoring & PFT.
In the field of Nephrology provision for
Haemodialysis and CAPD are in vogue.
Specialized facilities e.g. Diagnostic
Upper G. I. video Endoscopy, Video
Colonoscopy, CCU with Ventilators,
Multipara monitor, Nebulizer, Temporary
Pacemaker, Defibrillator, External non
invasive Pacemaker, NICU, Laparoscopic
Surgeries, Diabetic Foot Care Clinic and
Hypertension Clinic, Wellness Centre for
counseling are available. Department
of Emergency Medicine has been made
as a separate unit to provide emergency
medical service round the clock.

12.4.5 Diabetic Clinic & Wellness Centre


41

Due to increased incidence of Diabetes,


lifestyle and occupational diseases a
Diabetic Clinic and Wellness Centre has
been established at NSC and Central
Hospital, Singrauli. Here patients are

ANNUAL REPORT 2014-15__________________________________________________________


Bed Occupancy rate at NSC (of total bed
strength of 150)

treated and consulted for diabetic foot care,


kidney and eye care. Regular counseling
for diet, lifestyle and occupational diseases
are being done here. Total persons
consulted :
Wellness
Centre

Diet
Counseling

2013

5892

1088

2014

8969

1590

12.4.6 Key performances OPD and Indoor


activities
HOSPITAL OF NCL FOR F.Y.

2013-14

2014-15

1,41,850

1,37,603

50,892

45,301

TOTAL

1,92,742

1,82,904

Entitled

5,749

6,152

Non-entitled

9,566

9,136

TOTAL

15,315

15,288

Entitled

NA

39,611

Non-entitled

NA

7399

TOTAL

45,834

47,010

Entitled

NA

835

Non-entitled

NA

557

TOTAL

1,132

1,392

Entitled

NA

80,191

Non-entitled

NA

113

TOTAL

68,612

80,304

Entitled

NA

505

Non-entitled

NA

38

TOTAL

632

543

Entitled

NA

3,38,261

Non-entitled

NA

4,087

3,58,871

3,42,348

6,66,059

6,52,566

17,079

17,223

Entitled
OPD CASES
NEHRU
SHATABDI
CHIKITSALAYA

INDOOR
ADMISSIONS

OPD CASES
CENTRAL
HOSPITAL
SINGRAULI

INDOOR
ADMISSION

OPD CASES
BINA HOSPITAL
INDOOR
ADMISSION

OTHER
DISPENSARIES

Non-entitled

OPD CASES

TOTAL
GRAND TOTAL Of OPD CASES (all NCL)
GRAND TOTAL OF INDOOR ADMISSIONS (all NCL)

12.4.7 Key performances Routine Surgical


Procedures
MAJOR SURGERIES
2013-14

2014-15

2013-14

2014-15

Gen.
Surgery(NSC)

644

568

Gen. Surgery
(NSC & CH)

326

315

Orthopedics
(NSC)

28

50

Orthopedics
(NSC)

15

61

Eye (NSC & CH)


& ENT (NSC)

456

383

Eye (NSC) &


ENT (NSC)

50

37

Gynae. &
Obstetrics(NSC)

1493

1447

Gynae. &
Obstetrics
(NSC & CH)

53

104

TOTAL

2621

2448

TOTAL

444

517

12.4.8 Key performances - Special Activities


2013--14

2014-15

DIALYSIS UNIT

Indoor

2014-15

Haemodialysis

Enrollment
-35

Enrollment
-30

Echocardiography with
Color Doppler

718

1535

CAPD

Enrollment
-15

Enrollment
-17

TMT

422

369

HOLTERS

52

43

* CT
Scan

1120

1248

Laparoscopic
Surgeries

183

103

* MRI

480

315

CCU & NICU


(NSC + CH)

2697

2110+19

10231+1179

10470+1661

Endoscopy

280

354

2082/1995

1896/1971

Entitled

Non-entitled

Entitled

Non-entitled

2013-14

73.6

26.4

37.5

62.5

USG
(NSC +
CH)

2014-15

75.2

24.8

40.2

59.8

BLOOD BANK ( Collection/Issue)

42

2013-14

NON INVASIVE CARDIAC LAB

RADIOLOGY

% of Entitled & Non-entitled patients at NSC


OPD

MINOR SURGERIES

__________________________________________________ NORTHERN COALFIELDS LIMITED


F.Y. 2013-14 the total amount waived off
was Rs. 9,56,492.20/- only for 138 poor
patients. For the current F.Y. (2014-15)
number of poor patients as well as waived
off amount has reduced from previous
F.Y. because of segregation of waived
off amount incurred for treatment of poor
patients treated in various CSR camps and
poor patients admitted routinely in NSC
and CH, Singrauli.

12.4.9 Periodical Medical Examination(PME),


Master Health Check-up (for executives
and their spouses) are being done regularly
in NSC. IME (Pre employment) for all
employees (Execute & Nonexecutives) are
being done at NSC. PME of NCL employees
are done at project dispensaries and
regional hospitals of NCL. Pre employment
IME of contractual workers are being
done at Project Dispensaries / Regional
Hospitals. IME & PMEs are done as per
11th safety committee recommendation. In
the year 2014, against the target of 4130,
Total PME done is 4173, which is 101%
of the target. (in 2013 achievement was
99.69%). Total IME of contractual workers
done in 2014 is 1180 (in 2013 it was 2775).

12.4.14 A Centralised Referral and CPRMSE Cell


started functioning at NSC, Jayant since
1st July 013.This cell is clearing the bills of
empanelled hospitals of CIL as per CGHS
rates and packages where our patients are
referred for tertiary care. Claims of OPD/
Indoor treatments of retired executives of
CIL and their spouses are looked after by
this cell. Since its formation, 362 retired
executives of CIL are availing the benefits
of CPRMSE. Payments are made directly
to the empanelled hospitals and to the
retired executives by finance department
of NSC through RTGS / NEFT.

12.4.10 A Pneumoconiosis Workshop was


organised at NSC, Jayant on 18.02.2015
for doctors of NCL engaged in doing IME
& PME in dispensaries / regional hospitals/
NSC. A total of 18 doctors participated in
the workshop and in the X-Ray reading
session as per ILO guidelines.
12.4.11 Various conferences of paramedical staffs
were organised regularly every year at
NSC, Jayant. In 2014-15 a conference
of Pharmacists of CIL was organised in
November-14. Pharmacists of nearby
hospitals also participated in the program.

12.4.15 Corporate Social Responsibility (all hospital


& dispensaries): NCL regularly organises
various Health camps, free of cost for the
poor and weaker section of the society
living in nearby villages around NCL.
The camps were organized throughout the
year. In some of these camps renowned
Physicians and Surgeons, Plastic
surgeons, Oncologists, Nephrologists,
Cardiologists, Urologists, ENT Specialist
from empanelled hospitals of CIL such as
Max hospital, New Delhi, AIMS, Faridabad,
Yashoda Hospital, Hyderabad, & Institute
like IMS,BHU, Varanasi extended their
services to local people of Singrauli.
Every Project dispensary is running its
own CSR Dispensary where free medical
consultation are provided for poor patients
in regular OPD. A Dispensary on Wheels
(Mobile Medical Van) regularly visits
Birkuniya & Ambedkar Nagar village near
Singrauli. Overall expenditure in F.Y. 201415 was Rs. 2,54,365/- (in F.Y. 2013-14 it
was Rs. 3,76,603.13/-).

12.4.12 Continuing Medical Education (CME)


programs are regularly organised at NSC,
Jayant.Experts from different disciplines of
medicine from reputed hospitals of India
are invited to deliver lectures and conduct
workshops on various latest topics and
techniques of medical science. Doctors of
NCL also deliver lectures on various topics
of medical interest. In the F.Y. 2014-15 total
27 CME programs of 2 hours duration each
were organised compared to previous F.Y.
where the figure was 25.
12.4.13 Waiver of treatment cost of poor patients:
A sum of Rs. 2,37,688.63/- only incurred
for treatment of 67 poor patients have
been waived off who were treated under
CSR policy of NCL in F.Y. 2014-15. In
43

ANNUAL REPORT 2014-15__________________________________________________________


Dispensary on Wheels
Year

Total No.
of visits

Total No. of
Beneficiaries

CSR - No. of
Beneficiaries
at regular OPD
by project

CSR - No. of
Beneficiaries
in camps by
project

2013-14

71

3271

11952

3369

2014-15

49

2235

13927

3268

12.4.17 Family Welfare: The following data are all


inclusive of entitled and non-entitled cases.
Normal Delivery

12.4.16 Activities under CSR for current F.Y.


are as under.

Cardiac
Diabetic
Cancer Detection
camp
Hypertension Detection camp
Pediatric Health
camp
Kidney Disease
camp
Senior citizen
Health Check-up
Urology
Lifestyle Disease
Modification
Multidisciplinary
Rural Health
Deafness Reduction

No of
Camp
1
2

Beneficiaries
190
320

Expenditure
1,05,480
83,280

358

1,94,191

528

96,428

733

1,48,285

58

74,550

50

56,070

123 (operated=19)

1,08,403.20

100

1,51,585

1214

2,57,451

Laparoscopy

Eye

Filariasis & surgical


camp

Plastic Surgery

Family Planning

12

Thallesemia (Admitted Cases)


Village Health camp
by Jayant
Women Health
Check-up By Bina
DM & HTN Checkup-BINA
Dispensary on
Wheels

126 (operated=09)
27 (operated=12)
325(operated=325)
72 (operated=23)
73 (operated=20)
398 (operated=361)

204

99,399

311

1,98,300

49 visits

2235

2,54,365

Total

NSC

Others

Total

12

135

402

100

502

2014-15

2100

21

2121

134

19

153

346

351

2013-14

2014-15

Total Beneficiaries

507

909

Total Positive Cases

38

49

3984

2840

11

ICTC
Total Beneficiaries
Total Positive Cases

12.5 Social Activities


12.5.1 Sports & Games.

Adequate infrastructure has been developed in the


company for promoting games and sports. There
are four stadium one each at Bina, Jayant, Nigahi
and Singrauli with necessary gym equipment for
physical fitness of employees. NCL has been
conducting 19 different inter project sports and
cultural competitions. Various sports camps are also
organized details given below in which National and
International level sportsmen participated:1) 16 Inter project level tournament

3,27,607

2,49,680

Others

123

RNTCP (74 cases under Dots

2,10,341.41

828

NSC

2228

4. Blindness control Program

95,000

Total

14

3. Universal Program on Immunisation

4,16,338

1,04,836

Others

2214

2. Integrated Counseling and Testing


Center for HIV / AIDS (ICTC)

1,60,897.53

53

NSC
2013-14

1. Revised National Tuberculosis Control


Program (RNTCP)

1,11,613

Tubectomy

12.4.18 National Health Programs: Govt.


sponsored National Health Programs are
also running in NCL e.g.

Total no. of camps organized under CSR


is 47. Total no. of beneficiaries is 6091.
Overall expenditure incurred for the camps
is Rs. 32,49,735/- .Other than these,
various awareness camps were organized
throughout the year. Break-up of CSR
Camps are given in the following table.
Name of Camp

IUSD

2) 4 All India National level invitation


tournament.
3) 2 Coal India level Inter company
tournament.
4) Establishment of Gym at CETI.
5) Two Badminton wooden court, one
Billiard Board.
44

__________________________________________________ NORTHERN COALFIELDS LIMITED


been given against acquired land, out of
which 37 employement is offered under
package deal concept in which 133
land oustees added their share of land
to make those 37 packages for offer of
employment.

6) Starting of Aerobic class for women


only.
7) One synthetic lawn tennis court with
flood light.
8) 4th Inter School level Inter Project
level tournament of sports (Atheletic,
cricket, football and cultural).

12.6.4 Compensation of Land and House


Payment.

12.5.2 Recreational Facilities


NCL has adequate recreational facilities for


its employees and their family members.
Each Project has their own Officers Club
and Workers Institute, well-equipped with
furniture, utensils, indoor sports material
etc. and matching grant is also provided.

12.7 Mahila Mandal


12.7.1 Mahila Mandal is a social organization of
ladies of NCL and actively participates
in the fields of social work. It has been
conducting Adult Education Classes. and
providing books as a measure to provide
basic education to nearby villagers. It has
also shown concern in the area of women
health by conducting anemia detection
camp and has also distributed fruits and
created awareness about the importance
of proper diet among the women residing
in nearby villages.

12.6 Socio-economic contribution


12.6.1 The company had already developed
six rehabilitation sites viz. 3 in UP State
(Rehta, Ambedkar Nagar and Jawahar
Nagar), 3 in MP State (Chandrapur,
Nandgaon and Jaitpur) and one more
new site is approved for development for
resettlement of Project Affected Persons
(PAPs) with necessary civic amenities
linked with Block-B Project.

During the year, compensation of 51.0129


Ha. of tenancy land and houses, total
amounting to a total of Rs.13.60 Crores
has been disbursed.

12.8 Family Welfare

During the year 1 patta were issued and


76 families were paid cash in lieu of plot
@ of Rs 1 Lakh to each family. Total 3241
number of families are rehabilitated out of
4065 upto 31st March 2015.

12.8.1 During the year under review 504 (351 TT


& 153 IUCP) operations were conducted
successfully under the family Welfare
Programme of NCL covering entitled and
non-entitled patients of NCL and nearby
areas.

12.6.2. To impart greater responsibility towards


social and economic upliftment of the
displaced, package concept for offer of
employment is evolved and practiced
since 2008-09 in NCL. In this system 2 or
more land oustees, who are not eligible
for offer of employment due to less than 2
acres of land holding may come together
and make a package for offer of an
employment to one of them or one of their
nominee. This has enhanced the chance
of getting employment against land and
also enhanced the coherence among the
land oustees as well as helping in solving
the R&R issues.

13.0 RAJBHASA IMPLEMENTATION


(OFFICIAL LANGUAGE POLICY)
13.1 As per the Annual Programme 201415 issued by the Government of India,
Ministry of Home Affairs, Rajbhasa Deptt.,
Govt of India, for 100% implementation
of Rajbhasa Rules and Regulation of
Rajbhasa Policy among the Officers/
Workers of NCL, emphasis was given on
sustainable and maximum use of Hindi
by employees in the official work which
resulted in progressive and significant
improvement in Rajbhasa Implementation.

12.6.3 In 2014-15, total 40 employments have


45

ANNUAL REPORT 2014-15__________________________________________________________


13.2 For carrying out the official work in
Hindi smoothly, during the year 201415, 03 Rajbhasa Workshops were
organized, which resulted in growth
in correspondence. In CETI training
programme was organized in hindi and
the material for training were provided in
Hindi amongst all trainees.

13.10 Dudhichua Project and Bina Project


were given 1st and 2nd Rajbhasa Shield
respectively, under the Late Shanker
Dayal Sharma Memorial Prize Scheme
for the best work done in Hindi for the year
2012-13 alongwith appreciation letters
on conclusion of Rajbhasa Pakhwara,
September, 2014.

13.3 Against the target of 04 sittings, in NCL


04 sittings of Rajbhasa Implementation
Committee was held, in which review
was done on the quarterly report and its
implementation.

13.11 In the Rajbhasa Sangosti organized


by Bhartiya Rajbhasa Vikas Sansthan,
Dehradun from 29-31 October, 2014 at
Khajuraho (Madhya Pradesh), for best
work performance in Hindi in Company
Ms. Shantilata Sahu, Director (Personnel)
was honoured with Rajbhasa Shree
Samman, Shri A. J. Reddy, GM(Pers/Wel)
and Rajbhasa Incharge was honoured
with Rajbhasa Kirti Award, Shri Simson
Vansriyar, Sr. Officer (Per/Admn), NSC,
Jayant and Shri Babulal Ram, Sr. Officer
(Sectt/Rajbhasa), Bina and Shri Sharad
Chandra Sharma, Office Suprintendent,
Amlohri were honoured with Vishesh
Rajbhasa Vishishtata Samman and a
Memento.

13.4 In high level meetings of the Company


such as meetings of Joint Consultative
Committee, Welfare Board and Trade
Unions, the proceedings were held in Hindi
and minutes of the meetings were also
issued in Hindi.
13.5 Emphasis was laid to ensure 100%
implementation of Section 3(3) and
Rule-5 and 11 of Rajbhasa Act, 1963.
Correspondence with different offices of
Central and State Government was done
in Hindi.

13.12 S h r i P r a d e e p K u m a r D u b e y, S r.
Manager(Personnel), BlockB Project
and Shri Manoj Kumar Singh, Sr. Manager
(IE) participated in the 3 days Third Akhil
Bhartiya Rajbhasa Sammelan organied
at Puri (Orrisa) by Viswamukt and KIIT
Univesity, Bhuwaneshwar from 14 16
November, 2014.

13.6 All 1053 computers in the company were


provided with the facility through UNI Code
to do the work in Hindi.
13.7 A training programme was organized by
System Department in Head Quarter,
Singrauli on 20.5.2014 for working in Hindi
in Computer in UNICODE in which 24
Officers/Workers from Projects/Units were
participated.

13.8 Keeping with tradition, Rajbhasa Pakhwara


was organised from 15th to 29 September,
2014, in which various competitions
were organized in which winners were
awarded in cash and consolation prize
were distributed among all the participants.
18 Employees were rewarded with Cash
prize for their best contribution in the field
of Hindi.

In the above programme Ms. Shantilata


Sahu, Director(Personnel) was also
present as a special invitee. On the
conclusion of the seminar Director
(Pesonnel), NCL and above executives
were honored with Momento.

13.13 T h e m e e t i n g o f To w n R a j b h a s a
Implementation Committee, chaired by
Shri Tapas Kumar Nag, Chairman-cumManaging Director, NCL was held on
21.11.2014 and appropriate action on the
minutes of meeting circulated in Hindi was
taken.

13.9 During the Pakhwara All India Kavi


Sammelan was orgainsed on 27.9.2014 in
which for advertisement of Rajbhasa Hindi,
motivational poems in Hindi were recited.
46

__________________________________________________ NORTHERN COALFIELDS LIMITED


IPS, IG/CVO, NCL has flagged off for a
vigilance run at 9.30 AM on 27.10.2014
by school children.

13.14 Area Implementation Office (Central),


Govt. of India, Ministry of Home, Rajbhasa
Section, Bhopal organized a Joint Area
Rajbhasa Sammelan on 30.1.2015 at
Bhopal, in which Shri A. J. Reddy, General
Manager (Personnel/Welfare), NCL
participated.

Shri T.K. Nag, CMD, NCL has administered


pledge to the executives and staff at
Singrauli on 27.10.14 at 11.00 AM.
Shri A.D.Mathur, Director (Tech/Oprn)
NCL had read out the message of His
excellency President of India Shri Pranav
Mukharji on the occasion. The message of
Honble Vice President of India Shri Hamid
Ansari was read out by Shri A.K.Pandey,
Director(F), NCL. The message of
Shri Narendra Modi, Prime Minister of
India had conveyed to the assembled
employees by Shri A.K. Mukherjee,
General Manager (E&M)/Vigilance, NCL.
Shri K.P. Venkateshwar Rao, IPS, IG/
CVO, NCL had conveyed the message
of the Central Vigilance Commission
to the executives and employees. In
a similar fashion, the observance of
Vigilance Awareness week-2014 was
commenced with the administration of
pledge and reading out of messages at
different projects of NCL. This year the
theme of observing Vigilance Awareness
Week was Combating Corruption
Technology as an enabler.

The Inaugural day function of the Vigilance


Awareness Week-2014 was held at
Officers Club Auditorium on 27.10.2014
at 3.00 PM.. Shri T.K. Nag, CMD, NCL,
was the Chief Guest of the function. Shri
A.D.Mathur, Director (T/O) NCL and Shri
A.K..Pandey, Director (F) were present
on the occasion. The proceedings of the
function was started with a welcome song
presented by the school children.. Shri
K.P.Venkateshwar Rao, IPS, IG/CVO,
NCL had welcomed to the guests and
expressed his views on transparency in
public procurement and emphasized to
introduce e-tendering, e-procurement
etc by leveraging technology in NCL.
GPS (Global Positioning System)/
RFID (Radio Frequency Identification)
system and on line file tracking
system were inaugurated by

13.15 Town Rajbhasa Implementation Samiti,


Bhilai-Durg organized Central Area
Rajbhasa Sammelan from 27-28 February
at Bhilai (Chattisgarh) in which Shri
Dinesh Tenbhurne, Sr. Officer (Rajbhasa)
participated and was declared winner
Rajbhasa question Manch.
13.16 During the year under Aaj ke Shabd
synonym words of English in Hindi and
thoughts of the day were also written
daily on the Board to develop awareness
amongst the executives and workers to
work in Hindi.
14.0 Activities of Vigilance Department
14.1 Vigilance Set-up :
14.1.1 T he Vigilance set up at Northern
Coalfields Limited is headed by a Chief
Vigilance Officer, a director level officer
appointed by the Government of India.
Ten executives belonging to different
disciplines assist the CVO in carrying out
the activities of the Vigilance Department.
Three Senior Personnel Assistants and
two clerks are also posted in the Vigilance
department.
14.1.2 Corruption prone areas have been the
focus of attention. Any preventive or
punitive action in these areas is bound to
have a demonstrative as well as multiplier
effect on the entire organization.
14.2 Observance of Vigilance Awareness
Week 2014 :
14.2.1 As per the directives of Central vigilance
Commission vide circular no. 06/09/14
dated 30/09/2014, Vigilance Awareness
week was observed in Northern Coalfields
Limited from 27.10.2014 to 01.11.2014.
Displayed the banners, posters at Prime
locations. Shri K.P. Venkateshwar Rao,
47

ANNUAL REPORT 2014-15__________________________________________________________


Shri T.K. Nag, CMD, NCL on the
occasion. Shri A.D.Mathur, Director (T/O)
NCL and Shri A.K.Pandey, Director (F)
had expressed their views on awareness
regarding rules regulations, manuals etc
of the company. The Chief guest Shri T.K.
Nag, CMD, NCL had expressed his views
on a sound procurement system essential
for any organization & had emphasized
transparency, accountability and probity
in public procurement.

Sri M A Siddiqui,
Chief Manager
(MM), NCL
Headquarters

has been appreciated for his individual


innovation while finalizing procurement
in cases of proprietary purchase
resulting into substantial savings to
NCL.

Sri Jaibir Singh,

has been appreciated for his exemplary


work done in Departmental repairing of
Electrical Shovels at Amlohri Project
resulting in substantial savings in terms
of money as well as time for NCL.

Sr.EP Electrician
Amlori Project

NCL Vigilance has given Vigilance


Excellence Award & Appreciation
Certificate to the Executives & employees
for exemplary work who had done excellent
work in the field of innovative technique to
save the companys fund. The details are
given below :

Sri S N S Yadav,
Senior Manager
(Excavation)
Jhingurda project

Sri A N Tripati,
has been appreciated for exemplary
Senior Mechanic work done in repairing of Transmission
Jhingurda project of a Wheel Dozer by using parts from
old and failed Transmission at Jhingurda
Project resulting in substantial savings
for NCL.

Sri Brajesh
has been appreciated for exemplary
Sardar, Fitter,
work done in repairing of Transmission
Jhingurda project of a Wheel Dozer by using parts from
old and failed Transmission at Jhingurda
Project resulting in substantial savings
for NCL.

Sri Umesh Yadav, has been appreciated for exemplary


Fitter, Jhingurda work done in repairing of Transmission
project
of a Wheel Dozer by using parts from
old and failed Transmission at Jhingurda
project resulting in substantial savings
for NCL.

Sri S K Mallick,
Chief Manager
(Excavation)
Jhingurda project

has been appreciated for exemplary


work done in converting the surveyed
off 85 T Dumpers into Water Sprinkler
with water pressure unit to utilize the
same as a Fire tender also using
departmental resources at Jhingurdha
Project resulting in substantial savings
for NCL.

Sri Dadulal
Singh, Foreman
in-charge
Jhingurda project

has been appreciated for done in


converting the surveyed off 85 T
Dumpers into Water Sprinkler with
water pressure unit to utilize the same
as a Fire tender also using departmental
resources at Jhingurdha Project
resulting in substantial savings for NCL.

Sri Surendra
Singh, Sr.
Mechanic
Jhingurda project

has been appreciated for exemplary


work done in converting the surveyed
off 85 T Dumpers into Water Sprinkler
with waterpressure unit to utilize the
same as a Fire tender also using
departmental resources at Jhingurdha
Project resulting in substantial savings
for NCL.

10

Sri S K Singh,
has been appreciated for exemplary
Sr. Electrican
work done in converting the surveyed
Jhingurda project off 85 T Dumpers into Water Sprinkler
with water

(a) Vigilance Excellence Award-2014


1.

2.

General Manager(Sales &


marketing) with his team for
exemplary work done by them
in liquidating Coal stock at
Jayant Project.
Chief General Manager, Jayant
with his team for exemplary
work done by them in liquidating
Coal stock at Jayant Project.

3. S h r i
G . P. S i n g h ,
Sr,Manager(Legal), for Dealing
the matter relating to lease
rent in systematic manner
with legal proficiency leading
to substantial reduction in
payment of lease rent to the
authorities.
4. Shri S.K.Meshram, Chief
Manager(E&T)/HOD with his
team for Implementation of
GPS based vehicle tracking &
RFID weighbridge integration
system in NCL.
(b) Appreciation Certificate
48

has been appreciated for exemplary


work done in repairing of Transmission
of a Wheel Dozer by using parts from
old and failed Transmission at Jhingurda
project resulting in substantial savings
for NCL.

__________________________________________________ NORTHERN COALFIELDS LIMITED


11

12

13

14

15

16

(c)
1.

2.

creative outpouring of the children on


canvas struck an instantaneous chord
with the Chief Guest, executives, staff
and others. An essay competition on the
topic Moral and Ethics in ones life
for eradication of corruption, for the
students of Class 8 to 12 were organized. A
dance/drama/skit competition of maximum
15 minutes duration were also organized
for the student of Class VII to XII on
the topic of Delete Corruption- Build
Nation

Sri Dinesh
has been appreciated for exemplary
Baiswar, Fitter
work done in converting the surveyed
Jhingurda project off 85 T Dumpers into Water Sprinkler
with water pressure unit to utilize the
same as a Fire tender also using
departmental resources at Jhingurdha
Project resulting in substantial savings
for NCL.
Sri Suresh Ekka, has been appreciated for exemplary
Fitter Jhingurda work done in converting the surveyed
project
off 85 T Dumpers into Water Sprinkler
with
water pressure unit to utilize the same
as a Fire tender also using departmental
resources at Jhingurdha Project
resulting in substantial savings for NCL.
Sri R P Patel,
has been appreciated for exemplary
Welder Jhingurda work done in converting the surveyed
project
off 85 T Dumpers into Water Sprinkler
with water pressure unit to utilize the
same as a Fire tender also using
departmentalresources at Jhingurdha
Project resulting in substantial savings
for NCL.
Sri A K Mishra,
has been appreciated for exemplary
EPH Jhingurda
work done in converting the surveyed
project
off 85 T Dumpers into Water Sprinkler
with water pressure unit to utilize the
same as a Fire tender also using
departmentalresources at Jhingurdha
Project. resulting in substantial savings
for NCL.
Sri R K Singh, Sr. has been appreciated for exemplary
Manager(Civil),
work done by him in using Information
NCL
Technology and innovative ideas to
Headquarters.
increase number of tender finalization
and award of work at Civil Department,
NCL Headquarters.
Ms. Shewata
has been appreciated for exemplary
Bansal, Assistant work done by her in using Information
Manager
Technology and innovative ideas to
(Civil), NCL
increase number of tender finalization
Headquarters.
and award of work at Civil Department,
NCL Headquarters.

Special Achievement Award


Shri Inderjeet
Singh, S/o.
Late Gurudayal
Singh Saini,
Dragline Operator, Jayant
Project

has been awarded for winning


Bronze Medal in Shot Put at Asian
Games-2014 at Incheon, South Korea.

Smt. Indu Bala,


Office Superintendent, NCL
Headquarters

has been awarded for winning Gold


Medal in Hammer Throw & Discus
Throw at 18th Masters Asia Athletics
Championship, Japan 2014.

An exhibition of the drawing and paintings


made by the school children on the issues
related to honesty, corruption etc. was
held at the same venue. The topic is
A vision of Corruption free India The
49

On the occasion, a lecture on the topic


of Criminal misconduct and abuse of
official capacity was delivered by Shri
A.K.Banarjee, Rtd.S.P., CBI, Kolkata. In
this program, 286 officers and staff were
participated.

Vote of thanks was given by Shri


A.K.Mukharji, GM(E&M)/Vig. to all guests.

On 28/10/2014 at CMDs Conference


Hall, Singrauli a Vendors Meeting was
organized in which Shri K.P.Venkateshwar
Rao, IPS, IG/CVO, NCL, Shri T.K. Nag,
CMD, NCL, Shri A.D.Mathur, Director
(T/O) NCL, Shri A.K. Pandey, Director
(Finance), NCL had delivered their lectures
on e-procurement and e-tendering in which
more than 25 vendors had attended and
expressed their practical problems which
were assured to sort out shortly.

In the same line vendors meet was


organized at Jayant Project for vendors of
Jayant, Kakri, Bina, Krishnasila, Khadia,
CWS & IWSS,Khadia at 10 AM to 12 AM
on 28.20.14.

Vendors meet was also organized at


Nigahi Project on 29.10.14 for the vendors
of Nigahi, Amlohri, Dudhichua, Block B,
Jhingurda & NSC, Jayant.

On 28.10.2014, training programs were


organized at CETI, in first half two lectures
on the topic of E-procurement of Services
by Shri R.K.Singh, Sr. Manager (Civil) &
on another topic of Legal issues involved
in Environmental and Forestry by
Shri G.P.Singh were organized. On same

ANNUAL REPORT 2014-15__________________________________________________________


day in the second half two lectures were
also organized, the Dir(D/O) had delivered
a lecture on System improvements done
in repair and maintenance contracts
and its synchronization with IBS and
the Dir(F), had delivered a lecture on
Taxation issues in NCL and recent
developments w.r.t. Tax department
in these programs 70 executives were
participated.

On 29.10.2014, training programs


were organized at CETI, in first half
two lectures on the topic of Standing
Orders/Disciplinary Proceedings by
Shri S.Kadamber, Sr. Manager(Pers)
& on another topic of GPS/RFID were
organized. On same day in the second half
one lecture on the topic of New changes
in procurement policy of CIL by Shri
I.B.Karna, Chief Manager(MM) were also
organized.

In the forenoon of 30.10.2014 Skit/Drama


competition by school children (Approx.
150 children) reflecting the combating
corruption was organized at officers club,
Singrauli, in which 1st,2nd& 3rd were
selected.

In the forenoon of 30.10.2014, the Chief


Vigilance Officer, NCL, K.P.Venkateshwar
Rao, IPS had delivered a lecture on
the topic of Common irregularities in
contracts/public procurement and
guidelines for improvement, he had told
regarding IT initiatives taken by Vigilance
Department, a lecture on Integrity Pact
by Independent External Monitor was
delivered by Shri J.K. Khanna, IPS (Rtd)
and Shri Sewa Ram IAS, (Rtd) and in
the afternoon of 30.10.14 a lecture was
organized at CETI, Singrauli in which
Shri M.V. Surti, S.P., CBI/ACI, Jabalpur
had delivered a lecture on Prevention
of Corruption Act and Shri D. Kalyan
Chakravarti had also delivered a lecture
on Security Scenario/Unauthorized
occupation in Singrauli Area.

of India, Hyderabad was organized on the


topic of New Companys Act, in which
50 officers were participated.

Training programs were also organized


in all 10 Projects of NCL on the topic
Common irregularities & compliance
of Departmental Enquiries in which
about 80 to 90 executives and nonexecutives were participated.

On 01.11.14 Concluding Day ceremony


was organized at Officers Club, Singrauli
in which Shri K.P.Venkateshwar Rao,
IPS, IG/CVO, NCL,Shri N.Das, Director
(T/P&P) NCL, Shri A.D.Mathur, Director
(T/O) NCL and Shri A.K.Pandey, Director
(F) were present. Shri Raghuvansi, District
Judge graced the occasion as Chief Guest
of the concluding day ceremony. The
proceedings of the function was started
with a welcome song presented by the
school children. In their address on the
occasion, Chief Vigilance Officer, CMD,
Dir. (T/P&P), Dir (T/O) Dir. (Fin) and, NCL
and Chief Guest were expressed their
views. The Vigilance magazine 2014
BAAZ was released by the Chief Guest,
Directors and CVO of NCL. The prize
winners from the School Children were
felicitated. At the end, colourful Cultural
programs were also organized by School
children and artists of NCL employees.
The General Manager (E&M) Vig. Shri
A.K.Mukhrjee had delivered vote of thanks.

In the same line all projects of NCL such as,


Block B, Jhingurda, Kakri, Bina, Khadia,
Krishnashila Iwss Khadia, Dudhichua,
Jayant, CWS Jayant, Amlohri, Nigahi &
NSC Jayant.

The various activities carried out by NCL


during the Vigilance Awareness Week
were widely covered by the Press.

14.3 Preventive Vigilance :


14.3.1 Systems Improvement undertaken :
1. ANNUAL PROPERTY RETURN,
ONLINE VIGILANCE COMPLAINT
AND ONLINE RECRUITMENT has

On 31.10.2014, an interactive session with


professors of Administrative Staff College
50

__________________________________________________ NORTHERN COALFIELDS LIMITED


A Central Server has been installed at
NCL headquarters with 2MBPS line. A
work station at Weigh Bridge at project
with RFID Reader, boom barrier and
camera for snapshot with internet
connection. Area control room has
been established at Block B project
with broadband internet connection
for linking the weigh bridge data and
the central server at Headquarters.
Commissioning of the trial started
from 01.10.2014. Trial run has been
completed successfully in Block-B
Project and completion certificate was
issued on 13/02/2015.

been uploaded on NCLs website.


Further, APRs are being filed on line
on CILs web site.
2. On recommendation of Vigilance
Department System Improvement
Orders by CMD/NCL has been
issued vide Office Order No. NCL/
CMD/ Vig/2014/2172 dt. 25/26.02.14
regarding procurement of fire safety
items.
3. A g a i n o n r e c o m m e n d a t i o n o f
Vi g i l a n c e D e p a r t m e n t S y s t e m
improvement Orders by CMD/NCL
have been issued vide Office Order
No. NCL/CMD/ Vig/2014/2173dt.
25/26/02.14regarding procurement of
fire safety items.

4. System improvement order issued vide


no. NCL/VIG/14/494 dt. 01.07.2014
regarding internal coal transportation
at Khadia Project for monitoring the
reporting system of contractual tippers
engaged in coal transportation.

Expected date of full implementation


is, after the trial run of 03 months
i.e, end of June 2015.

After implementation of this project,


theft, pilferation of coal, POL, scrap,
etc and unauthorized entry of trucks
or vehicles is expected to stop.

5. System improvement circular has been


issued vide No.NCL/Vig/Systemic
improvement/15/2014/1460 dated
23.12.14 regarding submission of bills
related to official tour.

In 1st phase payroll, Finance and PIS


will be implemented and award of
work is expected by April 2015, as this
requires customization for NCL and its
implementation at NCL headquarters
is expected by end of December 2015.

In 2nd phase extension of facilities for


data entry and report generation, etc
for Finance, Payroll and PIS Module
to all the projects. Implementation
of MM, maintenance, Sales and
production modules of CoalNet at
Main data Centre (at NCL Hq) and
provide all facilities at project/units and
Near Data Centre at Nigahi project is
expected by end of December 2015.

NIT for selection of Service Provider


for Implementation, customization,
maintenance and support after
successful implementation of CoalNet
project for 5 years was floated in
August 2014. Single offer of M/s
CMC has been received against the
open tender, which was opened on
1st November 2014. Part II has been
opened on 14.01.2015 and price

7. CoalNet Implementation status :

6. GPS/RFID based vehicle tracking


system for coal transportation.

Electronic surveillance by CCTV, GPS


based Vehicle Tracking system, RFID
based boom barriers, an integrated
system for collecting the data in real
time basis - 1005 numbers of tippers/
trucks has to be installed RFID tag.

All the projects of NCL are having


electronic weigh bridges.

Tender for GPS based vehicle tracking


system for coal transportation along
with RFID system, boom barrier,
camera for snapshot and integration
with existing weighbridge system on
turnkey basis. The work order issued
on 16th January 2014.

GPS devices installed in 75 vehicles


as provided by the Block B project for
testing and optimization of the system.
51

ANNUAL REPORT 2014-15__________________________________________________________


tracking system is in use since 2013
in NCL headquarter. Projects have
started to use the online file tracking
system from November 2014.

justification is in process. Award of


work of both the phases is expected
soon.
8. Implementation of OITDS at Amlohri,
Nigahi, Khadia and Dudhichua
including AMC of 5 years. On the
initiative taken up by Vigilance
department, OITDS implementation
in 04 projects of NCL was speeded
up and is expected to be operational
from March 2015.

12. Online Bill Tracking system


9. E-tendering All the projects of


NCL have started tendering through
e-procurement of goods valuing
more than Rs.2 lakhs, from June
2014. Tendering for works/services
for contracts worth Rs 2 lakhs or
more (Civil/E&M/Mining/CMC) have
been started through E-procurement
portal from 1st Feb 2015. A total of
1267 tenders have been published
on E-procurement portal amounting to
Rs.4697 crs of estimated value. Total
of 337 contracts have been awarded
amounting to Rs.280 crs on the portal
till date.

14.3.2 Extent of IT usage and e-governance :


1. V i d e n o t i c e n o . N C L / S G R /
sales/08/2334 dt.06.03.09 the extant
procedure regarding refunds through
RTGS/CBS to linked consumers/eauction buyers was circulated. Despite
being located in remote area, NCL has
introduced e-payment in a big way.
2. NCL website has been linked to CVC
website for ensuring easy access to
CVC instructions relating to different
matters.

10. Coal Stock Liquidation through


E-auction :

3. A link called CVOs corner has been


introduced in NCL website.

The coal stock position as on


01.04.2014 was 6.102 million tonnes.
The problems faced by NCL due
to coal stock lying in coal yards of
various projects was of degradation of
coal quality due to long storage period,
damage due to frequent fires due to
spontaneous combustion, pilferation/
thefts and weathering. By the initiative
taken by Vigilance department and the
Sales and Marketing department after
constant liasioning with consumers,
railway authorities and project officials
brought the coal stock from a level
of 6.1 million tons to 1.3 million tons,
thereby liquidating the stock to the
tune of 4.8 million tons.

4. E-publication of BAAZ, a compendium


on Vigilance matter has been done,
wherein guidelines issued in the year
was in addition to CVC guidelines and
case study based on major Vigilance
cases.
14.3.3. Vigilance Department of NCL scrutinized
350 Annual Property Return up to March
2015.
14.3.4. Agreed List & ODI List : Agreed list and
ODI list have been prepared.
14.3.5. Rotation of executives from sensitive
posts : Officers working on the sensitive
posts are being transferred regularly.
Details for the period from 01.04.14 to
31.03.15 are us under:

11. Online File Tracking system


Online bill tracking package has


been developed in house by NCL
and works in the LAN of NCL. The
online bill tracking system has been
implemented in NCL headquarter from
10.01.2015.

Online file tracking package has been


developed in house by NCL and works
in the LAN of NCL. The online file
52

__________________________________________________ NORTHERN COALFIELDS LIMITED


No. of executives transferred from sensitive


posts: 84

14.3.6. Training Courses conducted in vigilance


awareness :

13.

Vigilance Awareness
programme: Topics
a) New Company Act by
ASCI, Hyderabad

31.10.15

50

14.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Block B,

27.10.15

45

15.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Jhingurda

27.10.15

55

16.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Amlohri

28.10.15

65

17.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Nigahi

28.10.15

76

18.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Jayant

29.10.15

95

19.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Dudhichua

29.10.15

83

20.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Kakri

30.10.15

66

21.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Bina

30.10.15

71

22.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Krishnashila

31.10.15

48

23.

Vigilance Awareness
programme: Topics
Common irregularities &
Compliance of departmental
Enquiries- its pros & cons,
Khadia

31.10.15

74

--

1486

(a) Training Courses conducted in


vigilance awareness:
1.

SI.
No

Details of the training


programme held on Vigilance
Awareness & other Vigilance
related subjects.

Name of Programme

Date

No of
participants

01.

Management Development
programme

21.04.14

24

02.

Management Development
programme

26.04.14

24

03.

Vigilance Awareness
programme

28.04.14

28

04.

Management Development
programme

28.04.14

26

05.

An interactive session related


to EMD/SD and other maters
by top management of NCL
with Executives of NCL.

03.05.15

100

06.

Management Development
programme

31.05.14

26

07.

Vigilance Awareness
programme

30.06.14

25

08.

Vigilance Awareness
programme

30.07.14

49

09.

Lecture on Criminal
misconduct and abuse of
official capacity

27.10.14

250

Vigilance awareness
programme: Topics
a) E- procurement of
services,
b) Legal issued involved in
Environment & Forestry,
c) System improvements
done in repair and
maintenance contracts
and its synchronization
with IBS.

28.10.15

11.

Vigilance Awareness
programme: Topics
a) Standing orders &
Disciplinary proceedings,
b) GPS & RFID

29.10.15

65

12.

Vigilance Awareness
Programme: Topics,
a) Common irregularities in
contracts/public
procurement and
guidelines for
improvement
b) Integrity Pact.
c) Prevention of Corruption
Act

30.10.15

74

10.

67

Total

53

ANNUAL REPORT 2014-15__________________________________________________________


14.4.2. No. of cases under departmental inquiry


during the period of report

Besides regular and normal Vigilance


activities, NCL vigilance is actively working
in areas like training for development
and creating awareness amongst all
Executives of NCL, which has been
adopted by Coal India for all its Executives.
CIL has approved General Management
Programme for E-6 and E-7 at ASCI,
Hyderabad and for below E-5 level
executives at IIM, Lucknow after the
initiative taken by NCL Vigilance.

Disposed during the period

: 04

27

Penalty imposed

11

Nil

Nil

02

Nil

Nil

09

12

Nil

14.5.1 No. of officials suspended : One


15.0 COMPUTERIZATION
15.1

Existing Applications / Systems:


Oracle based Centralized Payroll
System for entire NCL
Oracle based Online Cash book
package at HQ and Block B projects
Foxpro based Data entry and cash
accounting package at all other
projects
Consolidation of Cash accounting at
HQ
COBOL based Personnel Information
System for Executives and NonExecutives for entire NCL
Surpac Software for Mine Planning
and Surveying.
Integrated Business Solution (IBS),
an ERP package, consisting of
Materials Management, Maintenance
Management, Production Sales and
MIS Modules

14.4.1. No. of cases registered for investigation


during the period of report

Disposed during the period

Minor
Major Dismissal/ Reduction Reduction Postponement/ Withholding Censure Others
No
Penalty Penalty Removal to lower to lower withholding of
of
(caution, Action
Procee- Proceerank stage in pay increment promotion
Warning (exoneration)
dings
dings
etc.)
(under (under
Rule 31) Rule 29)

14.4 Surveillance and Detection :

No. of cases added during the period for investigation : 08

Chargesheets
issued

In the month of March 2015, the training


programme was conducted in three
batches, on 11.03.15 to 13.03.15 course for
Non-engineers was organized, on 16.03.15
to 18. 03.15 course for Non-engineers &
Engineers was organized in which 78
engineers & non-engineers executives
participated and on 19.03.15 to 21.03.15
course for engineers was organized in
which 20 executives participated.

: 09

14.5. Punitive Vigilance :

Under this programme in the month of


February 2015, three days Sensitization
Refresher Course to enhance Vigilance
Awareness for Engineers in Finance
and Non engineers in Mining Operation
was organized at Jayant Project from
16.02.2015 to 18.02.2015, in which 30
executives from engineering discipline 19
executives from non-engineering discipline
were participated.

Opening balance of cases

No. of case under Departmental Inquiry

14.4.3. Inspections: A total no. of 53 surprise


inspection/regular inspections were made
during the period in question.

For creating vigilance awareness in


executives of NCL a training programme
has been initiated comprising of two
modules (engineers & non-engineers) to
impart training to 450 nos of executives.

: 09

Operator Independent Truck Despatch


System (OITDS) is functional at
Jayant Project.

: 14

54

__________________________________________________ NORTHERN COALFIELDS LIMITED


System & Payroll.

O p e r a t o r I n d e p e n d e n t Tr u c k
Despatch System (OITDS) is
functional at Amlohri and Khadia
Projects. Implementation of OITDS at
Dudhichua and Nihgahi Projects are
in final stage of completion.

15.5.2 Procurement of Hardware for Coalnet


(Servers, Switches, etc.) and Oracle
Software
15.5.3 Setting up of Main Data Centre at HQ and
Near Data Centre at Nigahi

B i o m e t r i c B a s e d A t t e n d a n c e
Recording System at NCL HQ

15.5.4 Upgradation of HQ LAN with Mail


Messaging, Proxy and Web Servers

Online Vigilance Complaint System,


Online Recruitment System through
CMPDIL

15.5.5 Procurement of PC, Printers, etc.: Supply


Order has been placed on 2.4.2015

e_Procurement for Goods, Works and


Services through NIC

15.5.6 Implementation of Hospital Management


Information System.

Oracle based Computer Consumables


Information System

15.5.7 Implementation of Document Digitization


& Document Management System.
15.5.8 Replacement of Operator Independent
Truck Dispatch System (OITDS) at Jayant
Project.

File Tracking and Bill Tracking System


15.2 Infrastructure:
RISC Server (1 no) for Payroll &
Personnel Information System

15.5.9 Computerization of Asset register.

Xeon Servers (14 nos) for Integrated


Business Solution (IBS)

16.1 Efficient telecommunication network has


been developed in the projects and NCL
HQ to provide the communication facilities
right from the corporate office to the Pit
office.

16.0 COMMUNICATION FACILITIES:

Sun Storage VTL for Backup System


PCs: In total 1053 PCs are distributed
to different users across NCL. Out of
these 465 no. PCs are to be replaced
very shortly.

16.2 Wide Area Network (WAN) through OFC


has been established from NCL HQ to
projects and within the projects to provide
voice and high speed data communication
facility for IBS.

F.O. based Local Area Network


(LAN) is functional at NCL Hq and all
projects. All the LANs of project are
connected with LAN at HQ through
F.O. cable.

16.3 10 Mbps high speed internet connectivity


has been established at NCL HQ for
Internet and e-mail facility.
16.4 New IP based telephone exchanges have
been installed in all projects/units of NCL.
Facility for close user group numbering
scheme has been established for voice
communication between subscribers of
HQ/projects/units. This has improved
telecommunication between HQ and
projects/units.

15.3 Maintain 10 Mbps lease line Internet


through NIC, Bhopal
15.4 NCL Website updation including restructuring of NCL Website
15.5 Future Program
15.5.1 Implementation of Coalnet covering
Finance Module, Materials Module,
Maintenance Module, Sales Module,
Production Module, Personnel Information

16.5 Mobile communication facility of BSNL


under Closed User Group (CUG) scheme
has been provided to all the executive and
emergency / essential staff of NCL.
55

ANNUAL REPORT 2014-15__________________________________________________________


16.6 New System during 2014-15:

non-official Directors and two Functional


Directors.

16.6.1. GPS based vehicle tracking system has


been installed in 75 Nos. of trucks and
integration of one weighbridge for RFID
tag, Boom Barrier and Camera for snap
shot of vehicle number plate. This system
has been implemented in BlockB project
of NCL.

18.2 A three year project for Eco-Restoration


work and Bio Diversity Development in
10 hectares of degraded land ( 5 hectares
each at Krishnashila and Nigahi Projects
of NCL) has been awarded to Forest
Research Institute, Dehradun. The total
project cost is Rs.40 lakhs and Rs.20
Lakhs has already been paid as first
instalment. Work is in progress.

16.6.2 The proposal for installing CCTV


Surveillance system at vital locations of
mines of different projects/ units of NCL.
The supply order has been placed on M/s
Honeywell automation Ltd., Kolkata.

18.3 (a) Under Rain Water harvesting,


deepening and cleaning of 2 nos of
water harvesting pound at Dheki &
Pauri Nagai villages have been done
by Jayant Project and deepening of
existing pond at village Gharsari by
Bina Project.

16.7 Improvements during 2015-16:


16.7.1 Implementation of GPS based vehicle
tracking system and integration of
weighbridge for RFID tag, Boom barrier
and Camera for snap shot of vehicle
number plate in remaining 9 (nine) projects
of NCL.

16.7.2 CCTV Surveillance system is to be


installed at all road weighbridges and
different vital locations (Ministry, Store,
Workshop, Sub-Station, CHP, Time office,
Dumper/Dozer parking yard, Diesel filling
station etc.) in the mines of NCL with 550
nos. of cameras.

(b) 2 Rainwater harvesting facility have


been developed by Nigahi OCP near
DPS School and Dispensary.

18.4 The proposal for Carbon Foot Print


assessment in NCL is under process and
the work is expected to be carried during
the year 2015-16.
18.5 (a) The procurement of mist spray dust
control system is in the procurement
process. The mist spray system with
dust suppression through mounting on
a mobile vehicle is a new technology
to be used for the first time in CIL.

16.7.3 Radio network connecting HQ Singrauli


to Projects/ Units for voice and data
communication shall be established.
16.7.4 380 Nos. of wireless equipment have been
added to improve wireless communication
network in mines.

16.7.5 Frequency allocation has been made by


WPC (Wireless Planning Coordination)
wing, Govt. of India for OITDS system.

(b) Air pollution emission from heavy


vehicles is monitored. The work at
Amlohri and Bina Project has been
completed. In other projects it is under
process.

19.0 STATUTORY INFORMATION

17.0 CORPORATE SOCIAL RESPONSIBILITY

19.1 Information in regard to Energy


Conservation, Technology Absorption
and Foreign Exchange Earning & Outgo

17.1 Annual Report on CSR Activities required


under Section 134(3) of the Companies Act
2013 read with Rule 8(1) of Companies
(CSR Policy) Rules 2014 is enclosed as
Annexure-I.

19.1.1 Information in accordance with the


provisions of Section 134 (3) of the
Companies Act. 2013 read with Rule
(8) of the Companies (Accounts)Rules,
2014 regarding Conservation of Energy,
Technology Absorption and Foreign
Exchange Earnings & Outgo is given in
Annexure-II to this report.

18.0 SUSTAINABLE DEVELOPMENT / MOU


ACTIVITY OF NCL DURING 2014-15
18.1 Sustainable development and CSR
Committee of NCL has been re-constituted
by NCL Board comprising of two part time
56

__________________________________________________ NORTHERN COALFIELDS LIMITED


19.2 PARTICULARS OF EMPLOYEES

Name
of the
Audit
Firm

Reimbursement of
Service
Tax
M/s.
Main
Rs.4,92,188.00 At actual subject At actual.
Prakash & Auditor
to the limit of
Rs.1,57,500.00
Santosh,
Chartered
Accountants,
Kanpur
(U.P.).
M/s.
Branch Rs.1,80,469.00 At actual subject -doB.C.P.
Auditor
to the limit of
Jain &
Rs.57,750.00
Co., Chartered Accountants,
Bhopal
(M.P.).
M/s.
Branch Rs.1,80,469.00 At actual subject -doS.K.Lulla Auditor
to the limit of
& Co.,
Rs.57,750.00
Chartered
Accountants,
Gwalior
(M.P.).

19.2.1 There was no employee of the Company


who received remuneration in excess
of the limit prescribed under Section
134 of the Companies Act, 2013 read
with Rule 5(2) and (3) of the Companies
(Appointment and Remuneration of
Managerial Personnel) Rules, 2014.
20.0 AUDITORS REPORT
20.1 Replies of the Management on the
observations made in the report of the
Statutory Auditors and comments of the
Comptroller and Auditor General of India
(CAG), as required under section 134 of
the Companies Act, 2013 are given in the
Addendum forming part of this Report.
20.2 The Secretarial Auditor did not make any
comments/observation in his Report. The
Secretarial Audit Report in the prescribed
Form No.MR-3 is enclosed as AnnexureIII.

Status

Audit Fee
Recommended

TA & Out
of pocket
expenses

21.2 Shri Krupesh Mankodi, Practising Company


Secretary, Jabalpur was appointed as
Secretarial Auditor by NCL Board in its
192nd Meeting held on 14.2.2015 vide
Item No.192/C-8 in terms of Section 204
of the Companies Act, 2013 to conduct
Secretarial Audit of NCL for the Financial
Year 2014-15 at a total remuneration of
Rs. 50,000.00 only plus to and fro Second
AC train fare plus local conveyance and
actual lodging and boarding expenses.

20.3 The Cost Auditor Report for the year 201314 has been filed under XBRL mode within
due date of filing. The Cost Audit Report
for the year 2014-15 is in process of
finalization and will be filed as per schedule
date of filing.
21.0 AUDITORS
21.1 The Statutory and Branch Auditors
appointed by the Comptroller and Auditor
General (CAG) of India for the year 201415 vide letter No.CA.V/COY/CENTRAL
GOVT. NCFL (3)/328 dated 1.8.2014
under section 139 of the Companies Act,
2013 along with remuneration as fixed by
the Board in exercise of powers conferred
by the Company in 17th Annual General
Meeting held on 23rd September, 2002,
pursuant to provisions of section 224(8) of
the Companies Act, 1956 (same provision
retained in Section 142 of the New
Companies Act, 2013) is given hereunder:

21.3 Pursuant to the direction of the Central


Government for audit of Cost Accounts,
the proposal for appointment of 3 Firms
of Cost Accountants as Cost Auditors for
auditing the cost accounts of your company
for the year ended 31st March, 2015 was
approved by the Central Government and
they have accordingly been appointed.

57

The particulars of Cost Auditors as required


under Section 233(B) of the Companies
Act 1956 read with General Circular
No.15/2011 dated 11.4.2011 issued by
the Ministry of Corporate Affairs are given
below for the year 2014-15 :

ANNUAL REPORT 2014-15__________________________________________________________


SL.
No.

during the year.

Name of the Cost Audit Firm

M/s K.B. Saxena & Associates, (RN 000313) 208-209


Ansal City Center, Hazratganj, Lucknow, UP-226 001

M/s S.G. & Associates, (RN 000138), 8A, Shanti Ghosh


Street, Kolkata 700 003

M/s B.Mondal & Associates, (RN 11681) 61/H/15 Raja


Naba Krishna Street, Kolkata- 700 005

(x) Shri N.N. Misra, Director (Operations),


NTPC ceased to be Permanent
Invitee, NCL Board on 31.10.2014.
(xi) Shri C.P. Rai, Additional Principal Chief
Conservator of Forest (LM), Govt.
of MP, continued to be Permanent
Invitees, NCL Board, during the year.

22.0 CORPORATE GOVERNANCE


22.1 Board of Directors

(xii) Shri A.K. Pandey continued to be


Director (Finance) during the year
2014-15. He ceased to be Director on
31.03.2015.

(i) Shri T.K.Nag, assumed the charge of


Chairman-cum-Managing Director,
NCL from 30.09.2014.

(xiii) Shri P.S.R.K. Sastry assumed charge


as Director (Finance), NCL w.e.f.
1.4.2015.

(ii) Ms. Shantilata Sahu, Director


(Personnel), NCL held additional
Charge of Chairman-cum-Managing
Director, NCL from 20.09.2013 to
29.09.2014.

(xiv) Shri Vivek Bharadwaj, Joint Secretary,


Ministry of Coal, New Delhi continued
to be Part-Time Official Director,
NCL Board during the year 2014-15.
He ceased to be Part Time Official
Director on 20.04.2015.

(iii) Ms. Shantilata Sahu continued to be


Director (Personnel) during the year.
(iv) Shri Niranjan Das ceased to be
Director (Technical), NCL w.e.f.
2.10.2013 in terms of MOCs letter
No.21/3/2007-ASO dated 3.11.2014
and order No.CIL/C-5/A(ii)/N.Das/
DTNCL/B-380 dated 4.11.2014 issued
by GM(P), CIL, Kolkata.

(xv) Shri Rajesh Kumar Sinha, Joint


Secretary, Ministry of Coal, New Delhi
was appointed as Part-time Official
Director, NCL Board w.e.f. 20.4.2015
vice Shri Vivek Bharadwaj.
22.1.1 Appointment of Chief Financial Officer
(i) Shri A.K. Pandey, Director (Finance),
NCL was appointed as Chief Financial
Officer (CFO) vide item no. 191/C10 in 191st Board Meeting held on
31/01/2015 at New Delhi. He ceased
to be CFO on 31/03/2015 on attaining
the age of superannuation.

(v) Shri A.D. Mathur, Director (Technical/


Operations) retired on attaining the
age of superannuation on 31.1.2015.
(vi) Shri Gunadhar Pandey assumed
charge as Director (Technical), NCL
w.e.f. 1.2.2015.

(ii) Shri P.S.R.K. Sastry, Director (Fin.),


NCL has been appointed as CFO
w.e.f. 01/04/2015 vide item no. 194/E4 in 194th Board Meeting held on
20/04/2015 at Singrauli.

(vii) Shri B.K.Saxena, Director (Marketing),


CIL continued to be Part Time Official
Director, NCL Board during the year.
(viii) S hri Surinder Jit Sibal and Shri
A.K.Gupta, continued to be Part-time
Non Official Directors , NCL Board
during the year.

22.2 Board Meetings

(ix) Shri Deepak Nath, continued to be


Permanent Invitees, NCL Board,

22.2.2 Attendance of Directors and Permanent


Invitees in Board Meetings:

22.2.1 During the year 9 (Nine) Meetings of the


Board of Directors of NCL were held.

58

__________________________________________________ NORTHERN COALFIELDS LIMITED


BOARD MEETING NO. AND DATE
185
186
24.5.14 22.7.14

Name of Directors
Shri T.K.Nag, CMD

187
188
189
190
191
192
7.8.14 12..9.14 30.10.14 19.12.14 31.01.15 14.2.15

Appointed w.e.f. 30.9.2014

Ms. Shantilata Sahu, D(P), (Addl.


Charge of CMD, NCL upto 29.9.2014)

Shri N. Das, D(T/P&P)

Shri A.D. Mathur, D(T/O)

Shri A.K.Pandey, D(F)

Shri Gunadhar Pandey, D(T/O)

193
25.2.15

Ceased to be Director

Assumed charge w.e.f. 01.02.2015

Ceased to be Director
on 31/01/2015
P

NP

PART TIME OFFICIAL DIRECTORS


Shri Vivek Bharadwaj

NP

NP

NP

Shri B.K.Saxena

NP

NP

NP

PART TIME NON OFFICIAL DIRECTORS / INDEPENDENT DIRECTORS


Shri Surinder Jit Sibal

NP

Shri A.K.Gupta

PERMANENT INVITEES
Ceased to be permanent invitee
on 31.10.14

Shri N.N.Misra

NP

NP

NP

NP

Shri Deepak Nath

NP

NP

NP

NP

NP

Shri C.P.Rai

NP

NP

NP

NP

NP

NP

NP

NP

NP

P = Present,

NP = Not Present

22.2.3 Attendance of Directors in Annual


General Meeting.

Memorandum No. 18(8)/2005-GM dated


14th May2010, Board of Directors of NCL
in its 191st Meeting held on 31st January,
2015 vide item No. 191/C-5 reconstituted
the Audit Committee as under :

In the 29th Annual General Meeting of


Members of NCL held on 17th June,
2014, Chairman-cum-Managing Director/
Director (Personnel), Director (Technical/
Operations) and Director (Finance), were
present.

(1) Shri A.K.Gupta, Part Time Non-Official Director, NCL

- Chairman

(2) Sri S.J.Sibal, Part Time Non-Official Director, NCL

- Member

(3) Shri Vivek Bhardwaj, Part Time Official Director, NCL

- Member

(4) Shri B.K.Saxena, Functional Director of CIL/Director, NCL - Member

22.3 Audit Committee

22.3.2 Besides, Director (Personnel), Director


(Technical) and Director (Finance), NCL
attend and participate in the meetings of
the Audit Committee as invitees.

22.3.1 In pursuance of the guidelines of Corporate


Governance for Central Public Sector
Enterprises received from Department
of Public Enterprises issued vide office
59

ANNUAL REPORT 2014-15__________________________________________________________


22.4 Role of Audit Committee :

(e) Reviewing with the management, the


quarterly financial statements before
submission to the Board for approval.

The role of the Audit Committee shall


include the following:

(f) Reviewing with the management,


performance of internal auditors and
adequacy of the internal control
systems.

(a) Oversight of the Companys financial


reporting process and the disclosure
of its financial information to ensure
that the financial statement is correct,
sufficient and credible.

(g) Reviewing the adequacy of the Internal


Audit functions, if any including the
structure of Internal Audit Department,
staffing and seniority of the official
heading the Department reporting
structure, coverage and frequency of
Internal Audit.

(b) Recommending to the Board the


fixation of Audit fees.
(c) Approval of payment to statutory
auditors for any other services
rendered by the statutory auditors.
(d) Reviewing the management, the
annual financial statements before
submission to the Board for approval,
with particular reference to:
(i)

(h) Discussion with internal auditors and /


or auditors any significant finding and
follow up there on.

Matters required to be included


in the Directors Responsibility
statement to be included in
the Boards report in terms of
clause (2AA) of section 217
of the Companies Act1956
or Section 134(3)(c) of the
Companies Actm 2013
(whichever applicable).

(i) Reviewing the findings of any internal


investigation by the internal Auditors/
Auditors/Agencies into matter where
there in suspected fraud or irregularity
or a failure of Internal Control Systems
of a material nature and reporting the
matters to the Board.
(j) Discussion with Statutory Auditors
before the audit committee, about the
nature and scope of audit as well as
post audit discussion to ascertain any
area of concern.

(ii) Changes, if any, in accounting


policies and practices and
reasons for the same;
(iii) Major accounting, entries
involving estimates based on
the exercise of judgment by
management;

(k) To look into the reasons for substantial


defaults in the payment to the
depositors, debenture holders, share
holders ( in case of Non- payment or
declared dividends) and creditors.

(iv) Significant adjustments made in


the financial statements arising
out of audit findings;

(l) To review the functioning of the


Whistle Blower Mechanism.

(v) C o m p l i a n c e w i t h l e g a l
requirements relating to
financial statements;

(m) To review the follow up action on the


audit observations of the C&AG Audit.

(vi) Disclosure of any related party


transactions; and

(n) To review the follow up action taken on


the recommendations of Committee

(vii) Qualifications in the draft audit


report.
60

__________________________________________________ NORTHERN COALFIELDS LIMITED


on Public Undertakings (COPU) of the
Parliament.

(ii) R e l a t e d f i n d i n g s a n d
recommendations of the
independent Auditor and
Internal Auditor, together with
the management responses.

(o) p r o v i d e a n o p e n a v e n u e o f
communication between the
independent Auditor, Internal Auditor
and the Board of Directors.

(s) Consider and review the following with


the management, internal Auditors
and independent Auditor:

(p) Review all related party transactions


in the company. For this purpose the
Audit Committee may designate a
member who shall be responsible for
reviewing related party transactions.
(q) Review with the independent Auditor,
the co-ordination of audit efforts to
assure completeness of coverage,
reduction of redundant efforts, and the
effective use of all audit resources.

Significant finding during


t h e y e a r, i n c l u d i n g t h e
status of previous audit
recommendations.

(ii)

Any difficulties encountered


during audit work including
any restriction on the scope of
activities or access to required
information.

(t) Carrying out any other function as is


mentioned in the terms of reference
of the Audit Committee.

(r) Consider and review the following


with the independent Auditor and the
Management :
(i)

(i)

22.5 During the Financial Year 2014-15, 9(Nine)


meetings of Audit Committee were held
and attendance of the Chairperson and
Members were as under:

The adequacy of Internal


controls including computerized
information system controls and
security, and
62

63

64

65

66

67

68

69

70

24.05.14

22.07.14

07.08.14

12.09.14

30.10.14

19.12.14

31.01.15

14.02.15

25.02.15

D (P)

D(T/P&P)

Sri A.D.Mathur

D(T/O)

Sri A.K.Pandey

D(F)

Sri G. Pandey

D(T/O)

Name of Directors

Ms. Shantilata Sahu


Sri N.Das

Designation

Ceased to be Director

Assumed charge w.e.f. 01/02/2015

Ceased to be Director
P

NP

PART TIME OFFICIAL DIRECTORS


Sri Vivek Bhardwaj

Director

NP

NP

NP

NP

NP

Sri B.K.Saxena

Director

NP

NP

NP

NP

PART TIME NON OFFICIAL DIRECTORS/INDEPENDENT DIRECTORS


Sri A.K.Gupta

Director

Sri S.J.Sibal

Director

NP

61

ANNUAL REPORT 2014-15__________________________________________________________


22.6 Training of Board Members

23.3 Declaration given by Independent Director


under Section 149(6) of the Companies
Act, 2013 that they fulfills the criteria of
Independence was taken on record by the
Board.

22.6.1 No training programme was conducted


during the year for the Board Members.
23.0 Other Statutory Disclosures

23.4 In pursuance of Articles of Association of


the Company and as per its constitution,
Directors are appointed by the Government
and their remuneration is also determined
by the Govt. of India.

23.1 Director responsibility statement


Pursuant to section 134(5) of the Companies
Act, 2013, it is hereby confirmed:
a) that in the preparation of the Annual
Accounts for the Financial Year ended
31st March, 2015, the applicable
accounting standards had been
followed along with proper explanation
relating to material departures;

23.5 There are no such loans, guarantees or


investments under Section 186 of the
Companies Act, 2013
23.6 The Related Party Disclosure has been
given in Note 34 Additional Notes on
Accounts as point 2.III.

b) that the Directors had selected such


Accounting Policies and applied them
consistently and made judgments
and estimates that are reasonable
and prudent so as to give a true and
fair view of the state of affairs of the
Company at the end of the Financial
Year and of the profit or loss of the
Company for that period;

23.7 There are no such material changes


and commitments affecting the Financial
position of the company which have
occurred between the end of the Financial
Year of the Company to which the financial
statements relate and the date of the
report.

c) that the Directors had taken proper and


sufficient care 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;

23.8 Actual performance vis--vis MOU


standards are compared and audited.
These are also put before the Board of
NCL as well as Coal India Limited.

d) that the Directors had prepared the


Annual Accounts for the Financial
Year ended 31st March, 2015, on a
going concern basis.

23.10 There is no such order passed by any


Courts/Tribunals impacting the Going
concern status and companys operation
in future.

23.9 There are no deposits under Chapter-V of


the Companies Act, 2013.

e) that the Directors had devised proper


system to ensure compliance with the
provision of all applicable laws and
that such systems were adequate and
operating effectively.

23.11 The Company has in place adequate


internal financial controls with reference
to financial statements. During the year,
such controls to make sure that assets
are protected and that company activities
are conducted in accordance with the
organisations policies and procedures,
were tested and no reportable material
weakness in the design or operation were
observed in the CAG Audit, Statutory Audit
and Internal Audit.

23.2 Extracts of the Annual Return as


required under Section 134(3)(a) of the
Companies Act, 2013 read with Rule
12(1) of the Companies (Management and
Administration) Rules, 2014 in Form No.
MGT-9 is enclosed as Annexure-IV.
62

__________________________________________________ NORTHERN COALFIELDS LIMITED


are enclosed as Annexure-V. The overall
MOU grading of NCL for 2014-15 is Very
Good with a composite score of 2.4182.

23.12 Management assessment of the


Companys Outlook for the Future
and to Identify Important Risk that the
company may face in future.

25.0 AWARDS

25.1. Vigilance Excellence Award :

For laying down procedures of Risk


Assessment and Mitigation procedures,
CIL has engaged a consultant M/s Ernst
& Young LLP Kolkata, West Bengal, vide
ref. no. CIL/CP/Risk Assessment/14/132
dt. 19.2.2014 and given contract for
preparation of Risk Assessment and its
Mitigation procedure in Coal India Ltd and
all of its subsidiary companies separately.
The same is under final stage and is to
be approved by CIL Board. After getting
the approved Risk Management Plan
from CIL, the same will be put up before
the Board. FDs have approved the Risk
Register for Enterprise Risk Management
Programme of NCL vide Item No.477:8 in
its 477th meeting held on 7.4.2015.

25.1.1 CV O , NCL h a s re c e iv e d Vig il a n c e


Excellence Award from Shri Pradeep
Kumar, Central Vigilance Commissioner,
CVC, New Delhi on the occasion of
Eleventh Anniversary celebration of
Vigilance Study Circle, Hyderabad on
07.07.2014.

25.1.2 NCL has received Vigilance Excellence


Award for the year 2015 from Institute
of Public Enterprises. The institute had
organized a Conclave of Vigilance Officers
(Sharing of experience & Best practices) on
12th & 13th March 2015 at IPE auditorium,
Osmania University, Hyderabad. NCL
Vigilance has bagged this Award on
its excellent track record of Vigilance
activities, helped in securing significant
savings on its actions/suggestions during
last three years in E-initiatives/Leveraging
Technology, moreover for its efforts in
spreading the vigilance awareness and
sensitizing the employees and others
stake holders.

23.13 Whistle Blower Mechanism


No person i.e. whistle blower has


been prevented from direct access to
Chairperson of the Audit Committee.

23.14 Disclosure and information under the


Sexual Harassment to women at work
place (Prevention, Prohibition and
Redressal) Act 2013.

The award was given for the case study


on the Preventive Vigilance done by
Vigilance,NCL.

A committee has been formed as per


provisions of the Act and no case has been
reported during the year.

24.0 P E R F O R M A N C E A G A I N S T M O U
PARAMETERS
24.1 The Memorandum of Understanding
(MOU) between CMD, NCL and Chairman,
CIL for the year 2014-15 was signed on
25.3.2014 as per guidelines of Department
of Public Enterprises (DPE), Ministry of
Heavy Industries and Public Enterprises,
Government of India.
24.2 The performance of NCL during 2014-15
against MOU 2014-15 parameters has
been audited by Statutory Auditors of NCL.
Parameter-wise details of performance

25.1.3 Award has also been given to CVO, NCL


for implementing various e-initiatives.
63

ANNUAL REPORT 2014-15__________________________________________________________


25.2 National Safety Awards

26.0

AVAILABILITY OF ANNUAL ACCOUNTS


OF NCL AT HEADQUARTERS OF THE
COMPANY.

25.2.1 Jhingurda Project of NCL has been


awarded the 1st prize (Winner) for the
Longest Accident Free Period (LAAP)
in the open cast mines type for the year
2011 and the 1st prize (Winner) for the
LOWEST INJURY FREQUENCY RATE
(LIFR) in the open cast Mines type for the
year 2012 in the Presentation Ceremony
of National Safety Awards(mines)
2011-12 held at New Delhi on 20th March
2015.

26.1 The Annual Accounts of Northern Coalfields


Limited for the year 2014-15 will be
available at the Headquarters of NCL at
Singrauli (MP) for providing information to
the Shareholders of Coal India Limited on
demand.

25.3 NCL has been bagged with Gold award


for outstanding achievement in Corporate
Social Responsibility (CSR) in Metal
Sector by Greentech Foundation, New
Delhi and has been awarded as 50 most
caring companies of India by World
CSR Congress, Mumbai in the year
2014-15.

27.2 The Directors are also thankful to the


valued customers particularly NTPC and
UPRVUNL and Bakers, Contractors and
Suppliers for the valuable assistance and
help received from them.

27.0 ACKNOWLEDGEMENT
27.1 The Board of Directors place on record
their deep gratitude for the continued
support and valuable guidance received
from Ministry of Coal and Coal India
Ltd. The Directors also acknowledge
with thanks the co-operation and help
extended by different wings of Govt. of
India particularly Ministry of Environment
& Forest and Ministry of Finance, as well
as from Planning Commission, Director
General of Mines Safety, Comptroller
& Auditor General of India, Chairman
and Members of Audit Board, Statutory
Auditors, Registrar of Companies, State
Governments of MP and UP and Local
Administrative Authorities.

27.3 The Directors wish to place on record their


appreciation for the commitment, devotion
and hard work put in by the employees at
all levels.
For and on behalf of the Board of Directors


Sd/( Tapas Kumar Nag )


Chairman-cum-Managing Director

Date : 26th June, 2015


Place: Singrauli
64

__________________________________________________ NORTHERN COALFIELDS LIMITED


Annexure-I to directors report

Annual Report on CSR Activities for the Financial Year 201415 as per Clause (O) of Sub-section (3) of section 134 of the
Companies Act 2013
1.0

Brief outline of the NCLs CSR


Policy:

1.1

Northern coalfields Limited (NCL) follows


the CILs Policy for Corporate Social
Responsibility (CSR) approved by CIL
Board in its 307th meeting held on
29th May, 2014. This policy has been
framed after incorporating the features
of the Companies Act 2013 and as per
notification issued by Ministry of Corporate
Affairs, Govt. of India on 27.02.2014 as
well as DPEs guidelines.

1.2

1.3

Pradesh are the secondary beneficiaries.

The main objective of CSR policy is to


lay down guidelines for the company to
make CSR a key business process for
sustainable development for the Society.
It aims at supplementing the role of the
Govt. in enhancing welfare measures
of the society based on the immediate
and long term social and environmental
consequences of their activities.

1.4

The scope of CSR activities undertaken


by NCL is as per Schedule VII of New
Companies Act 2013.

1.5

The fund for the CSR is allocated


based on 2% of the average net profit
of the Company for the three immediate
preceding financial years or Rs. 2.00 per
tonne of Coal Production of previous year
whichever is higher.

1.6

NCL has a Board Level Committee on


CSR and Sustainable Development
which reviews the implementation of
CSR activities in every six months and
recommends the amount of expenditure
to be incurred on CSR activities.

2.0 Overview of CSR activities/


Projects undertaken by NCL
during the year 2014-15

NCL has adopted Corporate Social


responsibility as a strategic tool for
sustainable growth. The geographical
area where NCL is situated i.e. parts
of Singrauli district (Madhya Pradesh)
and parts of Sonebhadra district (Uttar
Pradesh) is an under-developed area of
India with poor infrastructure, healthcare
facilities, literacy & employment rate. NCL
endeavors towards the upliftment of the
poor and underprivileged people of this
area through various schemes/activities
and also by sharing its in-house facilities
with them.

The primary beneficiaries of CSR are land


oustees, PAP and those staying within
the radius of 25Kms of the Project. Poor
and needy section of the society living in
other parts of Uttar Pradesh and Madhya
65

2.1

In the financial year 2014-15, NCL


have done CSR activities in areas of
building infrastructure, water supply, skill
development, healthcare, education etc.
with a total expenditure of Rs. 61.77 crores
as against the total expenditure of Rs.
39.72 crores for the year 2013-14.Also,
NCL released an amount of Rs. 40.14
crores to Hindustan Prefab Limited (HPL)
in the year 2014-15 as first installment for
construction of 5000 schools toilets under
Swacch Vidyalay Abhiyan.

2.2

The broad CSR heads and corresponding


expenditure are as follows:-

i.

Roads (GAON JODO ABHIYAN) :


NCLs Gaon Jodo Abhiyaan is a step
taken by NCL to connect the different
villages in Singrauli and adjoining areas
with town areas with roads. With the

ANNUAL REPORT 2014-15__________________________________________________________


water. NCL has also constructed 3 ponds
and 2 check dams in different villages
around NCL. The total expenditure under
this head is of Rs. 3.49 Crores.

road connectivity, the villagers have


started bringing their products to market
which otherwise was being arranged
through middleman. This has immediately
increased their earning capacity. Further
many unemployed youths are getting jobs
in the town with the start of public transport.
In case of any health care emergency they
are able to reach our company hospital
or private doctors in time. The travel
time has reduced significantly. NCL has
constructed/carpeted/widened 30 kms
of roads approximately in the year 201415 with a total expenditure of Rs. 36.71
Crores.
ii.

Skill Development & Employment


Generation (KAUSHAL)- NCL has
imparted different types training viz.
Security guard training, LMV driving
training, bag making training, beautician
training, embroidery and tailoring training
for employment generation through
qualified trainers to the unemployed youths
(both male & female) of the nearby villages
with an expenditure of Rs. 1.29 Crores.

v.

Health (SAB SWASTH)- Besides


healthcare facilities provided to poor
villagers in different project dispensaries,
NCL has organized health camps like
family planning camp, cancer detection
camp, urology camp, diabetic camp,
eye camp etc. in different projects, Central
Hospital and NSC. The expenditure
incurred by NCL Hospitals and
dispensaries in these camps is Rs. 0.48
Crores.

Infrastructure (AADHAR): Infrastructure


works undertaken by NCL in the year 201415 includes Construction of community
halls in villages, electrification of villages,
distribution of solar lanterns to poor &
needy people, Construction of toilets etc.
with a total expenditure of Rs. 4.35 crores.

iii.

iv.

Water Supply (SWACHH JAL) : NCL has


installed 9 RO plants, 150 hand pumps in
nearby villages to provide safe drinking
66

__________________________________________________ NORTHERN COALFIELDS LIMITED


a MoU on 13.01.2015 with Hindustan
Prefab Limited (A Govt. of India Unit)
for construction of 5000 new toilets and
repair of 695 existing toilets under Swacch
Vidyalaya Abhiyan. NCL has released an
amount of Rs. 40.14 crores to HPL in the
year 2014-15 as first installment for the
work.
vi.

Sports/Art & Culture (KHEL TARANG) NCL has contributed for the promotion of
Sports/Art & culture with an expenditure
of Rs. 0.15 Crores.

2.4 Web link for the CSR policy and


programs

vii.

Education (SAB SAKSHAR)- NCL


has contributed in various educational
activities like deficit grant, construction
of school buildings, supply of furniture &
dari/carpets to Govt. schools etc with an
expenditure of Rs. 15.29 Crores.

The CSR Policy and Programs/projects


can be viewed at: http://www.ncl.nic.in/csr/
csr.php

3.0. Composition of the Sustainable


Development and CSR Committee

The Sustainable development and CSR


Board level committee constituted in
the 180th Board meeting on 10.09.2013
comprise of following members:

a.

Shri S.J. Sibal, Part-time non official Director, NC

b.

Shri A.K. Gupta, Part-time non official Director, NCL : Member

c.

Miss Shantilata Sahu, Director (Personnel), NCL

: Member

d.

Director (Tech/P&P), NCL

: Member

: Chairman

4.0 Average net profit of the


compan y for last t h ree
financial years
2.3

Swachh Vidyalaya Abhiyan

NCL is actively involved in Swacch


Vidyalaya Abhiyan, a national campaign
by the Government of India. Under this
program NCL will construct/repair 5695
toilets in government schools of 10 districts
of Madhya Pradesh. NCL has signed

Financial Year

67

Net Profit (in Crores)

2011-12

4265.67

2012-13

4420.58

2013-14

3355.71

Average net profit for last


three years

4013.99

ANNUAL REPORT 2014-15__________________________________________________________


5.0. Prescribed CSR Expenditure
(two per cent of the amount
as in item 3 above)

HPL had not submitted the utilization


certificate to NCL before the end of
financial year 2014-15, the same was not
accounted for and treated as advance.

The prescribed CSR expenditure is Rs.


80.28 Crores (Eighty Crores Twenty Eight
Lakhs only) which is equal to 2% of the
average net profit of last three years.

6.3

Therefore, NCLs CSR expenditure for


the year 2014-15 is Rs. 61.77(Sixty one
crore and seventy seven lakhs) Crores and
amount unspent in 2014-15 is Rs. 18.51
Crores (Eighteen crores and fifty-one lakhs
only)

6.4

Manner in which the CSR amount spent


during the financial year

6.0. Details of CSR amount spent


during the financial year
6.1

Total amount to be spent by NCL under


CSR for the financial year 2014-15 was Rs.
80.28 Crores (Eighty Crores and Twenty
Eight Lakhs only)

6.2 NCL has released an amount of Rs.


101.91 Crores under CSR for the financial
year 2014-15, out of which an amount of
Rs. 40.14 Crores was released as first
installment for construction of 5000 toilets
to Hindustan Prefab Limited (HPL) under
Swachh Vidyalaya Abhiyan . But, since

T.K.Nag
CMD, NCL

The details of the amount spent during


the financial year 2014-15 is annexed
herewith.

7.0 Implementation and Monitoring


of CSR Policy
7.0.1 The implementation and monitoring of
CSR Policy, is in Compliance with CSR
objectives and Policy of the Company.

S.J.Sibal
Chairman, SD&CSR committee

Dated:26/06/2015
Place. Singrauli.

68

Shantilata Sahu
Director(P),NCL

__________________________________________________ NORTHERN COALFIELDS LIMITED


ANNEXURE TO ANNUAL REPORT OF CSR ACTIVITIES IN NCL
DETAILS OF AMOUNT SPEND DURING FINANCIAL YEAR 2014-15 UNDER CSR
Sl.No.

CSR Activity

Sector in which
project is covered

Project

Amount
Outlay
in Rs.
(in Rs
lakhs)

Expenditure in
Rs.
(in
Rs
lakhs)

Cumulative
expenditure
(in
Rs
lakhs)

Implementing
Agency

Electrification of Bharuha village

Infrastructure

Amlori

68.9

68.9

68.9

Madhya Pradesh
Electricity board

Installation of RO plant and providing


water through tankers

Water Supply

Amlori

72

24.29

24.29

Madhya Pradesh Govt.

WBM and carpeting from Kachni main


road to Aml. Main road near Arjun
Kushwaha house

Roads

Amlori

45

22.59

22.59

M/s Shivshankar
Electricals and Civil
Engg.

Construction of CC road from Samudaik


Bhawan to Biar Adivasi Basti

Roads

Amlori

40

30.04

30.04

M/s Parihar Supplier


and Co.

Running and maintinance of 04 nos.


embroidery & tailoring training centre.

Skill Dev/Emp. Gen.

Bina

1.8

2.57

Bina Project

Providing toilets, boundary wall and


misc. works at Dr. Ambedkar Bal Vidya
Mandir at Jawahar nagar, toilets at
primary school of Gharsari village.

Infrastructure

Bina

20

21.55

21.55

M/s Virendra Singh

Providing marriage hall / community


center for villagers of Jamshila Nagar,
Gharsari, Chandwar at Gharshari village

Infrastructure

Bina

75

76.55

76.55

M/s Kumar and Kumar

Providing CC approach road to Saati tola


of Bansi village

Roads

Bina

75

51.05

51.05

M/s B.D Singh

Village sports(Kabaddi tourbnament on


07-08 Feb 2015 )

Sports and Culture

Bina

1.5

1.48

1.48

Bina Project

10

Women health check up camp

Healthcare

Bina

Bina Project Hospital

11

Diabetes and Hypertension check up and


treatment camp

Healthcare

Bina

1.98

1.98

Bina Project Hospital

12

Deepening of existing pond at village


Gharsari

Water Supply

Bina

4.17

4.17

M/s Rajshree & Co.

13

Repair of old road 3.00 Kms. At Gharsari

Roads

Bina

10

18.50

18.5

M/s Rabindra
Construction

14

Construction of ponds in Gorbi village at


Chitahi tola

Water Supply

Block B

32

26.3

26.30

M/s Rural & Urban


Pest Control(Open
Tender)

15

Construction of 4 rooms at Saraswati


Shishu Mandir, Gorbi

Education

Block B

12.5

17.99

17.99

M/s Rural & Urban


Pest Control(Open
Tender)

16

Organizing village sports Competition

Sports and Culture

Block B

1.5

1.5

1.50

Block-B

17

CBWE Training Programme

Skill Dev/Emp. Gen.

Block B

1.5

1.5

1.5

Block B project

18

Construction of checkdam at kasar

Water Supply

Block B

21.56

13.68

13.68

M/s Priyanka
Enterprises

19

Periodical cleaning of allied works of


pond near Singrauli Railway station

Water Supply

Block B

1.73

1.73

M/s VSTSS, Singahi


(Purwa Tola)

20

Construction of CC Road from


Panchayat ghar to house of Anis Khan
via house of shiv prasad at solang

Roads

Block B

70

13.24

13.24

M/s Anant kumar singh

69

ANNUAL REPORT 2014-15__________________________________________________________


21

Supply of fish seeds in Mudwani village

Skill Dev/Emp. Gen.

Dudhichua

1.1

1.1

1.10

Supply by Asstt.
Director Fisheris,
Pondi (Maihar) M.P &
dropped by CSR Team
Dudhichua

22

Construction of road from Jayant STP


at Dudhichua Project top Harrai through
Abhed Ashram

Roads

Dudhichua

300

157.68

260.65

M/s Samay
Enterprises

23

Construction of community centre at


Mudwani village

Infrastructure

Dudhichua

10

0.72

12.19

M/s Shivshankar
Electricals and Civil
Engg.

24

Installation of RO plant and water supply


through tanker

Water Supply

Dudhichua

74.35

22.16

22.16

Nagar Palika Nigam;


Singrauli (M.P)
through: M/s C.S
Marketing Anpara,
Sonbhadra (U.P)

25

Installation fo 20 nos. Handpumps

Water Supply

Dudhichua

10

6.58

6.58

M/s Anand Enterprises

26

Repair and widening of road from main


road to primary school Mudwani

Roads

Dudhichua

60

28

28

M/s Shivshankar
Electricals and Civil
Engg.

27

Organizing sports Competition at


Mirchagarh village

Sports and Culture

Dudhichua

Dudhichua Project

28

Running and maintinance of embroidery


& tailoring training centre.

Skill Dev/Emp. Gen.

Dudhichua

0.43

0.43

Dudhichua Project

29

Supply of furniture to Govt. middle school Education


, Dudhichua

Dudhichua

3.18

3.13

3.13

Through open tender


by Dudhichua project

30

Distribution of 1650 nos. solar lanterns to


poor and needy villagers

Infrastructure

Headquarter

32

30.01

30.01

M/s Palak Industries


Nagpur, M.P(Open
Tender)

31

LMV driving training to 100 nos.


unemployed youths under CSR.

Skill Dev/Emp. Gen.

Headquarter

4.98

4.98

M/s Taggar Motor


Driving Training
School, Nawanagar,
Singrauli (open tender)

32

Distribution of 1000 nos. Mosquito nets


to poor and needy villagers under CSR.

Healthcare

Headquarter

35

2.35

2.35

Singrauli Cloth
House(Committee
Purchase)

33

Construction of CC road from Chatri to


Churki under CSR

Roads

Headquarter

450

225.14

423.74

M/s K K BhawasinkaVK Enterprises

34

Construction of WBM Road from


Amlihwa to Khairwari Tola at Ajgurah
under CSR

Roads

Headquarter

110

75.32

85.71

M/s K K BhawasinkaVK Enterprises (JV)


(open tender)

35

Widening of road from Singrauli railway


station junction to parshohar

Roads

Headquarter

1000

1450.58

1529.2

M/s V.C.Jaiswal

36

Electrification of Bairihwa village

Infrastructure

Headquarter

20

13.79

13.79

MPPKVV Co. Ltd,


Waidhan

37

Development of pond near Singrauli


Railway station and at Madhauli nallah

Water Supply

Headquarter

15

1.9

16.90

M/s K K BhawasinkaVK Enterprises (JV)


(open tender)

38

Extension of Ambedkar smriti high school


at Singrauli

Education

Headquarter

40

28.46

53.45

M/s IP Associates
(open tender)

39

Development of muktidham at Chatka

Infrastructure

Headquarter

90

84.55

104.46

M/s Binay Kumar


Singh (open tender)

40

Construction of Four number rooms


at Saraswati Shishu Mandir Higher
Secondary School Singrauli

Education

Headquarter

35

36.74

36.74

M/s Abhay Kumar


Tiwari (open tender)

41

Construction of CC road from Hardi to


Dhaturaverwa

Roads

Headquarter

350

284.57

284.57

M/s National Prestige


Construction

42

Carpeting of road at Ward No. 9 in


Singrauli

Roads

Headquarter

185

210.63

210.63

M/s K.K BhawasinkaV.K enterprises (JV)

70

__________________________________________________ NORTHERN COALFIELDS LIMITED


43

Training for security guard to local


enemployed youths

Skill Dev/Emp. Gen.

Headquarter

40

19.8

39.80

District Administration
Singrauli

44

Installation of handpumps

Water Supply

Headquarter

150

100.64

161.39

M/s Binay Kumar


Singh (open tender)

45

Construction of stage with shed at


Ghorawal

Infrastructure

Headquarter

20

26.86

26.86

M/s Shailesh Kr.


Patahak

46

Organizing village sports in Karela village

Sports and Culture

Headquarter

2.5

2.45

2.45

NCL HQ

47

Heart treatment of Ms. Kusum Kali at


SGPGI Lucknow

Healthcare

Headquarter

2.1

2.1

2.10

SGPGI Lucknow
Treatment/operation to
be done last weak of
Dec14

48

Financial Assistance to Inderjit Singh


(shot-Put Player) for training

Sports and Culture

Headquarter

3.00

NCL HQ

49

Distribution of woolen blankets to BPL


Card Holder of nearby villages

Healthcare

Headquarter

15.92

14.52

14.52

M/s UPICA Handloom


and Handicrafts Ltd.

50

Setting up of 100 units of Co-operative


based poultry farms

Skill Dev/Emp. Gen.

Headquarter

125

87.5

100

District Administration
Singrauli

51

Providing sports materials to Birkunia


and Karela village

Sports and Culture

Headquarter

1.92

1.92

M/s Gajendra
Enterprises

52

Distribution of dari/carpets for students


and tables and chairs for teachers of
Govt. schools of nearby villages

Education

Headquarter

7.15

7.15

M/s D.K.Singh
Enterprises

53

Deficit grant pertaining to non- NCL


wards in NCL funded schools

Education

Headquarter

1393.72

1393.72

1393.72

NCL HQ

54

Talent search program for rural sports


persons including provision for sports kits

Sports and Culture

Headquarter

15

0.85

0.85

NCL HQ

55

Districbution of 70 nos. solar lanterns in


Mudwani village

Infrastructure

Headquarter

1.27

1.27

M/s Palak Industries


Nagpur, M.P(Open
Tender)

56

Oraganizing free medical camps in


villages for BPL persons

Healthcare

Jayant

3.5

2.29

2.29

Jayant project hospital

57

Construction of cremation ghat/shed


beside Ballia Nala

Infrastructure

Jayant

4.69

9.66

M/s Ram Ugrah Shah

58

Construction of 500m road towards


creamtion Ghat

Roads

Jayant

2.84

4.92

M/s Ram Ugrah Shah

59

Installation of 80 nos. solar lights in


Dheki village by jayant project

Infrastructure

Jayant

10

10

10

Through open tender


by Jayant project

60

Construction of 200m PCC Road

Roads

Jayant

20

6.48

17.28

M/s Chhotelal Shah

61

Deepening of pond in Dheki and Pauri


Nagai

Water Supply

Jayant

40

14.34

14.34

M/s Vikash Associates

62

Adult Education of villagers

Education

Jayant

1.5

1.5

Jayant project

63

Installation of RO plant

Water Supply

Jayant

76.4

18.4

18.4

District Administration
Singrauli

64

Community Hall in Dheki village

Infrastructure

Jayant

40

23.66

23.66

M/s C.P. Mishra

65

Training centre for self-employment


for Project Affected and Unemployed
villagers

Skill Dev/Emp. Gen.

Jhingurda

11.85

8.83

11.27

Through VOICE of
PEOPLE, Rewa

66

Honorarium to instructor for stitching


classes conducting by Mahila Mandal

Skill Dev/Emp. Gen.

Jhingurda

0.72

0.72

Through Mahila
Mandal, Jhingurda

67

Construction of CC road including 8 nos.


culverts from existing road to existing
bridge at Chakariya village.

Roads

Jhingurda

158.66

177.01

177.01

M/s Sinha Infotech

68

Construction of CC road from


Pradhanmnatri Grameen sadak to Isri
tola at Churki village.

Roads

Jhingurda

81.11

87.51

87.51

M/s Shivshankar
Electrical work

69

Installation of RO plant and water supply


thorugh tanker

Water Supply

Jhingurda

38

18.78

18.78

Nagar Nigam, singrauli


(M.P)

71

ANNUAL REPORT 2014-15__________________________________________________________


70

Village sports in and around Jhingurda


Project
Construction of boundary wall of High
school at Chakariya village
Construction of bus stand near Rehta
more
Renovation of playground, construction
of public platform at Garbadha village

Sports and Culture

Jhingurda

1.03

1.03

Jhingurda Project

Infrastructure

Jhingurda

10

5.28

5.28

M/s IP Associates

Infrastructure

Kakri

3.5

2.5

2.5

Sports and Culture

Kakri

2.05

2.05

Construction of bitumen road from


primary school to MP border
Installation of handpumps

Roads

Kakri

56

17.1

49.90

M/s Vimal Electrical


works
M/s Laxminarayan
bhumihin
visthapith berojgar
shramsamvida samiti
M/s D D Singh

Water Supply

Kakri

35

16.5

29.64

Running and maintinance of embroidery


& tailoring training centre.
Construction of check dam for irrigation
purposes at Ranhore village
Construction of sulabh sauchalaya
complex at Auri more including water
supply arrangement to the complex
Construction of toilet and approach road
for middle school at Garbandha village
Repair and maintenance of 1.1 kms long
PWD road from Ambedkarnagar to Ballia
nallah
Construction of 1.9 kms long CC road in
Ambedkarnagar
Installation of RO plant and water supply
through tanker
Installation of RO plant

Skill Dev/Emp. Gen.

Kakri

0.44

0.44

Water Supply

Kakri

15

12.43

12.43

Infrastructure

Kakri

25

20.49

20.49

Infrastructure

Kakri

6.5

7.65

8.4

M/s Rajendra Panday

Roads

Khadia

35

28.52

28.52

M/s N.K Enterprises

Roads

Khadia

60

50.28

50.28

M/s Ranapratap

Water Supply

Khadia

32

26.88

26.88

Water Supply

Krishnashila

138.16

32.52

32.52

Roads

Nigahi

450

696.58

696.58

Skill Dev/Emp. Gen.

Nigahi

3.5

1.8

1.80

Nigahi Project

Education

Nigahi

50

40.19

40.19

M/s T.N Pandey

Infrastructure

Nigahi

45

34.16

34.16

M/s Om Construction

Roads

Nigahi

30

21.6

21.6

M/s Dhirendra
Construction

89

Widening of road from Nigahi more to


Dudhichua ROB
Running and maintinance of embroidery
& tailoring training centre.
Renovation/repair of old buiding and
construction of 4 nos. Rooms, toilets
and verandah at Saraswati Shishu
Mandir , Nandgaon
Construction of RCC drain along
approach road and internal road for
cluster no.1 in Nandgaon
Construction of PCC road of cluster no.1
and 500m new WBM road at different
locations in Nandgaon
Installation of RO plant

M/s Dishan and


brothers
M/s Deioners
Speciality Chemical
(P) Ltd.
M/s Suman Engg

Water Supply

Nigahi

14

7.9

7.9

90

Approach road in Nandgaon village

Roads

Nigahi

40

15.86

31.86

91

Construction of yoga hall at NSC

Infrastructure

NSC

35

1.06

30.7

92
93

Electrical works in Yoga hall of NSC


Health Camps

Infrastructure
Healthcare

NSC
NSC

2
46.5

1.86
23.43

1.86
23.43

Nagar Palika Nigam;


Singrauli (M.P)
M/s Randheer
Enterprises
M/s Sanjay
Construction
M/s Dev Enterprises
Nehru Shatabdi
Chikitsalaya, NCL
Singrauli

71
72
73

74
75
76
77
78

79
80

81
82
83

84
85
86

87

88

M/s Binay Kumar


Singh
Kakri project
M/s Ram Lakhan singh
& Co
M/s Ram Lakhan singh
& Co

6804.01
6176.6
6845.19
Infrastructure
Headquarter
4014
4014
4014
M/s Hindustan Prefab
Construction of toilets in schools under
Ltd.
Swacch Vidyalaya Abhiyan
Note :NCL has released Rs. 40.14 crores to Hindustan Prefab Limited (HPL) (after signing of MoU on 13.01.2015) as first installment for construction
of 5000 toilets under Swachh Vidyalaya Abhiyan

TOTAL
***

72

__________________________________________________ NORTHERN COALFIELDS LIMITED

ANNEXURE- II TO DIRECTORS REPORT



Information in accordance with the provisions of Section 134 (3) of the Companies Act. 2013 read
with Rule (8) of the Companies Accounts Rules, 2014 regarding Conservation of Energy, Technology
Absorption and Foreign Exchange Earnings & Outgo.
A)

CONSERVATION OF ENERGY

1.0

Steps taken for conservation of Energy during the year 2014-2015.

a)

Electrical Energy.
i)

NCL has earned a bonus of Rs.3.24 crore both from MPSEB and UPPCL points of supply
put together towards power factor and load factor rebate during the year 2014-15. NCL
has also earned TOD rebate of Rs.3.78 Crore.

ii) The following energy conservation measures were taken in 2014-15:-

b)

1.

Compact Fluorescent lamps and other energy efficient lamps have been installed at
Hqrs., BlockB, Jhingurda, Kakri, Bina, Khadia, CWS, Nigahi and Amlohri Projects
of NCL.

2.

Time switches have been installed for streetlights in CHP, Mines and residential
Areas at Block B, Jhingurda, Bina, CWS, Dudhichua, Nigahi and Amlohri projects

3.

Energy saver, enery meter and PF meters have been installed at BlockB and
Dudhichua Projects.

4.

Solar water heater and solar panel for solar light system have been installed at
Officers club/VIP Guest house of Jayant project and Solar Light System has sbeen
installed at Khadia and Bina Project.

Fuel & Lubricants


i) Strict compliance of approved comprehensive guidelines for monitoring of diesel
consumption in all projects of NCL.
ii) The actual diesel consumption of mines is being compared with the benchmark data of
CMPDI on monthly basis for monitoring purpose.

2.0

Investment and Proposals implemented for reduction of consumption of energy.

a)

Use of Solar water heater and solar light system at mines.

Rs. 21.40 lakhs

b)

Use of energy efficient lamp (SLV) for street and flood lighting and use of CFL

Rs. 75.06 lakhs

c)

Installation of energy meter, demand controller, energy saver and P.F. Meter in mines
and township

Rs. 2.22 lakhs

d)

Time switch for streetlights in CHP, Mines and Residential areas and others

Rs. 14.09 lakhs

e)

Others energy conservation CFL/LED in residential quarters and NR builidings

Rs. 33.54 lakhs

Total

73

Rs. 146.31 lakhs

ANNUAL REPORT 2014-15__________________________________________________________


Achievements :

NCL has earned Rs.7.02 crores from MPSEB & UPSEB points supply put together towards
rebate on power factor, load factor and TOD during year 2014-15.

(c)

Impact of measures taken at (a) and (b) for reduction of energy consumption and
consequent impact on the cost of production of goods.

SL
No.

Description

2014-15

% increase/
decrease

A.

Electrical Energy :

(i)

Consumption of energy /Tonne of coal production (KWH/Tonne)

5.14

5.30

(-) 3.01

(ii)

Consumption of energy per cu.m. of composite production i.e.


coal plus OB & R.H.(KWH/Cu.m.composite)

2.77

2.70

(+) 2.59

B.

Fuel & Lubricant :

(i)

Consumption of HSD per Cu.m. of composite production excluding dragline production (Ltr/cu.m.)

1.10

1.14

(-) 3.51

(ii)

Consumption of Lubricant per Cu.m. of composite production


(Ltr/cu.m.)

0.038

0.039

(-)2.56

(B)

TECHNOLOGY ABSORPTION : Form B is enclosed

(C)

FOREIGN EXCHANGE EARNING & OUT

(i)

2013-14

(ii)

Activities relating to exports, initiatives taken to


increase exports, development of new export
markets for products and services and export
plans.

Company is not engaged in


export activities.

Total Foreign Exchange used and earned.

(Rs. in Crores)
Current Year

(A)

Foreign Exchange earned

(B)

Foreign Exchange used

i)

Previous Year

NIL

NIL

NIL

NIL

92.26

126.80

C.I.F. Value of Imports

(a)

Raw materials

(b)

Components, Stores & Spare Parts

(c)

Capital Goods

NIL

1.83

ii)

Repayment of JBIC Loan

NIL

322.72

iii)

Repayment of IBRD Loan

NIL

355.19

iv)

Travelling Expenses

0.01

0.08

v)

Interest/Commitment/Agency charges etc. of IBRD/JBIC

NIL

8.33

92.27

814.95

Total

74

__________________________________________________ NORTHERN COALFIELDS LIMITED

F O R M B

Disclosure of Particulars with respect to Technology Absorption


RESEARCH & DEVELOPMENT (R&D)
RESEARCH & DEVELOPMENT (R&D)
1

Specific areas in which R&D carried


out by company:

Benefits derived as a result of the


above R&D

a.

A site specific study on distance between toe of shovel-dumper dump


& dragline dump with consideration of safety & economical design of
both shovel-dumper dump & dragline dump in all 6 dragline mines of
NCL by BIT, Mesra, Ranchi.

b.

Development of in-line cylinder block boring machine for engines at


CWS, Jayant.

c.

Software development to analyse & view equipment wise daily


production & maintenance data of major HEMMs.

d.

Award of work for benchmarking of diesel/power consumption by


an independent agency such as Bureau of Energy Efficiency (BEE),
Tata Energy Research Institute (TERI), CMPDI etc.

a.

Draft report has been submitted in Feb14.

b.

Development completed & in-line boring of 03 nos engine block was


carried out successfully.

c.

Software developed under IBS system & is being used.

d.

Benchmarking of power consumption in two mines of NCL has been


completed by CMPDI & report submitted in Mar15.

Further Plan of Action:

Nil

Expenditure on R&D:
(a) Capital
(b) Recurring
(c) Total
(d) Total R&D expenditure as
percentage of total turnover

Total Expenditure Rs.14.15 Crores

TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION:


1

Efforts in brief, made towards


technology absorption, adaptation
and innovation :

OITDS installed at Amlohri & Khadia and is under installation at


Nigahi & Dudhichua OCPs.

Benefits derived as a result of the


above efforts

Improvement in utilisation of dumpers & shovels

In case of imported technology


(imported during the last 5 years
reckoned from the beginning of
the financial year) the requisite
information given below:
(a) Technology imported:
(b) Year of Import:
(c) Has technology been fully
absorbed:
(d) If not fully absorbed, areas
where this has not taken place,
reasons therefore and future
plan and actions:

NIL

75

ANNUAL REPORT 2014-15__________________________________________________________

ANNEXURE-III to DIRECTORS REPORT


Form No. MR-3

SECRETARIAL AUDIT REPORT

FOR THE FINANCIAL YEAR ENDED 31/3/2015


[Pursuant to section 204(1) of the Companies Act, 2013 and rule No.9 of
the Companies (Appointment and Remuneration Personnel) Rules, 2014]

SECRETARIAL AUDIT REPORT

FOR THE FINANCIAL YEAR ENDED 31st March, 2015


To,
The Members,
Northern Coalfields Limited,
I have conducted the Secretarial Audit of the compliance of applicable statutory provisions and the
adherence to good corporate practices by Northern Coalfields Limited(hereinafter called the company).
Secretarial Audit was conducted in a manner that provided me a reasonable basis for evaluating the
corporate conducts/statutory compliances and expressing my opinion thereon.
Based on my verification of the Northern Coalfields Limited, books, papers, minute books, forms and
returns filed and other records maintained by the company and also the information provided by the
Company, its officers, agents and authorized representatives during the conduct of Secretarial Audit,
I hereby report that in my opinion, the company has, during the audit period covering the financial
year ended on 31st March, 2015 complied with the statutory provisions listed hereunder and also that
the Company has proper Board processes and compliance mechanism in place to the extent, in the
manner and subject to the reporting made hereinafter:
I have examined the books, papers, minute books, forms and returns filed and other records maintained
by Northern Coalfields Limited for the financial year ended on 31/3/2015 according to the provisions of:
(i)

The Companies Act, 2013 (the Act) and the rules made thereunder;

(ii)

The Securities Contracts (Regulation) Act, 1956 (SCRA) and the rules made thereunder; NOT
APPLICABLE

(iii)

The Depositories Act, 1996 and the Regulations and Bye-laws framed thereunder; NOT
APPLICABLE.

(iv)

Foreign Exchange Management Act, 1999 and the rules and regulations made thereunder to
the extent of Foreign Direct Investment, Overseas Direct Investment and External Commercial
Borrowings; NOT APPLICABLE.

(v)

The following Regulations and Guidelines prescribed under the Securities and Exchange Board
of India Act, 1992 (SEBI Act):(a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and
Takeovers) Regulations, 2011; NOT APPLICABLE.
(b) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations,
1992;
76

__________________________________________________ NORTHERN COALFIELDS LIMITED


(c) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements)
Regulations, 2009; NOT APPLICABLE.
(d) The Securities and Exchange Board of India (Employee Stock Option Scheme and
Employee Stock Purchase Scheme) Guidelines, 1999; NOT APPLICABLE.
(e) The Securities and Exchange Board of India (Issue and Listing of Debt Securities)
Regulations,2008; NOT APPLICABLE.
(f) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer
Agents) Regulations, 1993 regarding the Companies Act and dealing with client; NOT
APPLICABLE.
(g) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations,
2009; and
(h) The Securities and Exchange Board of India (Buyback of Securities) Regulations, 1998;
NOT APPLICABLE
(vi)

As informed by the Management other applicable Laws have been complied (Mention the other
laws as may be applicable specifically to the company).

I have also examined compliance with the applicable clauses of the following:
(i) Secretarial Standards issued by The Institute of Company Secretaries of India.
(ii) The Listing Agreements entered into by the Company with Stock Exchange(s), if
applicable; NOT APPLICABLE.

During the period under review the Company has complied with the provisions of the Act, Rules,
Regulations, Guidelines, Standards, etc. mentioned above subject to the following observations:
One of the Director of the Company Shri Niranjan Das, Director(Technical) was ceased to be the
Director of the Company with effect from 2nd October 2013 vide Ministry of Coal , Government of India
Letter No. 21/3/2009-ASO dated 3rd November, 2014 and Coal India Limited order No. CIL/C5A(ii)/N.
Das/D(T),NCL/B-380 dated 4th November 2014.
I further report that
The Board of Directors of the Company is duly constituted with proper balance of Executive Directors,
Non-Executive Directors and Independent Directors. The changes in the composition of the Board
of Directors that took place during the period under review were carried out in compliance with the
provisions of the Act.
Adequate notice is given to all directors to schedule the Board Meetings, agenda and detailed notes
on agenda were sent at least seven days in advance, and a system exists for seeking and obtaining
further information and clarifications on the agenda items before the meeting and for meaningful
participation at the meeting.
Majority decision is carried through while the dissenting members views are captured and recorded
as part of the minutes.
I further report that there are adequate systems and processes in the company commensurate with
the size and operations of the company to monitor and ensure compliance with applicable laws, rules,
regulations and guidelines.
77

ANNUAL REPORT 2014-15__________________________________________________________


I further report that during the audit period the company has following events:For example:
(i) Public/Right/Preferential issue of shares / debentures/sweat equity, etc.- NIL
(ii) Redemption / buy-back of securities - NIL
(iii) Major decisions taken by the members in pursuance to section 180 of the Companies Act,
2013 - NIL
(iv) Merger / amalgamation / reconstruction, etc. - NIL
(v) Foreign technical collaborations - NIL

Place : SINGRAULI
Date : 29th April, 2015

Signature:
Name of Company Secretary in practice
KRUPESH MANKODI
FCS No.5773, C P No.: 4870

78

__________________________________________________ NORTHERN COALFIELDS LIMITED

ANNEXURE-IV to DIRECTORS REPORT


FORM NO. MGT 9
EXTRACT OF ANNUAL RETURN
As on financial year ended on 31-03-2015
Pursuant to section 92(3) of the Companies Act, 2013 and Rule 12(1) of the Company (Management
& Administration) Rules, 2014
I.

REGISTRATION & OTHER DETAILS:

1.

CIN

U10102MP1985GOI003160

2.

Registration Date

Registration No.3160 dated 20.11.1985.

3.

Name of the company

NORTHERN COALFIELDS LIMITED

4.

Category/ Sub-category of the Company

Private Company (A subsidiary Company of Coal India Limited) Company within the meaning of Section 2(87) of the Companies Act, 2013.

5.

Address of the Registration office & contact


details

Northern Coalfields Limited, Singrauli Colliery, PO. Singrauli, Dist. Singrauli (MP) 486 889

6.

Whether listed company

NO

7.

Name, Address & contact details of the Registrar


& Transfer Agent, if any

II.

PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY:

[All the business activities contributing 10 % or more of the total turnover of the company shall be stated]
S.
No.
1.

Name and Description of main products/


services
Coal Mining

NIC Code of the Product/service

% to total turnover of the company

051-05101 and 051-05102

100.0

III. PARTICULAR OF HOLDING, SUBSIDIARY AND ASSOCITATE COMPANIES:


S.
No.
1.

Name and Address of the Company

Coal India Limited, 10, N S Road, Coal


Bhawan, Kolkata, West Bengal-700001.

CIN/GLN

L23109WB1973GOI028844

79

Holding/Subsidiary/
% of Share Held Application Section
Associate
Holding

100.00

Sanction 2(46) of
Companies Act
2013

ANNUAL REPORT 2014-15__________________________________________________________


IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity):
i) Category-wise Share Holding:
Category of Shareholders

No. of Shares held at the beginning of the year [as


on 01-04-2014]

No. of Shares held at the end of the year [as on


31-03-2015]

Demat

Demat

Physical

Total

% of Total
Shares

Physical

Total

% of Total
Shares

% change
during the
year

A. Promoters
(1) Indian:
a) Individual/HUF

0.00

0.00

0.00

b) Central Govt.

0.00

0.00

0.00

c) State Govt.(s)

0.00

0.00

0.00

d) Bodies Corp.

1776725

1776725

100.00

1776725

1776725

100.00

0.00

e) Banks/ FI

0.00

0.00

0.00

f) Any other

0.00

0.00

0.00

Sub-Total(A)(1):

1776728

1776728

100.00

1776728

1776728

100.00

0.00

a)NRIs-Individuals

0.00

0.00

0.00

B) Other- Individuals

0.00

0.00

0.00

c)Bodies Corp.

0.00

0.00

0.00

d) Banks/FI.

0.00

0.00

0.00

e) Any other

0.00

0.00

0.00

Sub Total(A)(2):

0.00

0.00

0.00

Total shareholding of Promoter (A)=(A)


(1)+(A)(2)

1776728

1776728

100.00

1776728

1776728

100.00

0.00

Total shareholding of Promoter(A)

1776728

1776728

100.00

1776728

1776728

100.00

0.00

a) Mutual Funds

0.00

0.00

0.00

b) Banks/ FI

0.00

0.00

0.00

c) Central Govt.

0.00

0.00

0.00

d) State Govt. (s)

0.00

0.00

0.00

e) Venture Capital Funds

0.00

0.00

0.00

f) Insurance Companies

0.00

0.00

0.00

g) FIIs

0.00

0.00

0.00

h) Foreign Venture Capital Funds

0.00

0.00

0.00

i) Others

0.00

0.00

0.00

Sub-total(B)(1):-

0.00

0.00

0.00

i) Indian

0.00

0.00

0.00

ii) Overseas

0.00

0.00

0.00

(2) Foreign:

B. Public Shareholding
(1) Institutions

(2) Non-Institutions
a) Bodies Corporate:

b) Individuals:

80

__________________________________________________ NORTHERN COALFIELDS LIMITED


i) Individual shareholders holding nominal share capital in excess of Rs 1 Lakh

0.00

0.00

0.00

ii) Individual shareholders holding nominal share capital in excess of Rs 1 lakh

0.00

0.00

0.00

Non Resident Indians

0.00

0.00

0.00

Overseas Corporate Bodies

0.00

0.00

0.00

Foreign Nationals

0.00

0.00

0.00

Clearing Members

0.00

0.00

0.00

Trusts

0.00

0.00

0.00

Foreign Bodies- D R

0.00

0.00

0.00

Sub-total(B)(2):-

0.00

0.00

0.00

Total Public Shareholding (B)=(B)


(1)+(B)(2)

0.00

0.00

0.00

C. Shares held by Custodian for


GDRs & ADRs

0.00

0.00

0.00

Grand Total (A+B+C)

1776728

1776728

100.00

1776728

1776728

100.00

0.00

c) Others (specify):

ii) Shareholding of Promoter:


S.
No.

Shareholders
Name

Shareholding at the beginning of the year


[as on 01-04-2014]
No. of
Shares

1.

Coal India
Limited

% of total
Shares of the
company

1776728

% of Shares
Pledged/
encumbered to
total shares

100

Shareholding at the end of the year [as on


31-03-2015]
No. of
Shares

% of total
Shares of
the company

1776728

% of Shares
Pledged/encumbered to total
shares

% change in
shareholding
during the year
% change in
shareholding
during the year

100

nil

iii) Change in Promoters Shareholding (please specify, if there is no change):


S. No.

Shareholding at the beginning of the


year [as on 01-04-2014]

Particular

No. of shares
1.

At the beginning of the year

2.

Datewise Increase/Decrease in Promoters Shareholding during the year specifying the reason for increase/decrease (e.g.
allotment/transfer/bonus/sweat equity
etc);

3.

At the end of the year

1776728

% of total shares of
the company
100

Cumulative Shareholding during the


year [2014-2015]
No. of shares
1776728

% of total shares of
the company
100

No Change

1776728

100

1776728

100

iv.) Shareholding pattern of top ten Shareholders: (Other than Directors, Promoters and Holders
of GDRs and ADRs):
S. No.

For Each of the Top 10 Shareholders

1.

Shareholding at the beginning of the year


[as on 01-04-2014]
-

81

Shareholding at the end of the Year


[as on 31-03-2015]
-

ANNUAL REPORT 2014-15__________________________________________________________


v) Shareholding of Directors and Key Managerial Personnel:
S. No.

1.

Shareholding of each Directors and each key Managerial


Personnel

Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

No. of Shares

% of total Shares of
the company

No. of Shares

% of total Shares of
the company

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

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

0.00

0.00

Transfer
01/01/2015

Ms. Shantilata Sahu, CMD


(Addl. Charge) till 29.9.2014
Director (Perosonnel)
At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

3.

Cumulative Shareholding during the


year [2014-2015]

Shri T. K. Nag, CMD(Appointed


w.e.f. 30.09.14)
At the beginning of the year

2.

Shareholding at the beginning of the year


[as on 01-04-2014]

Shri A. D. Mathur, Director (Technical)(ceased on


31.01.2015)
At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

4.

Shri A. K. Pandey, Director


(Finance)
At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

82

__________________________________________________ NORTHERN COALFIELDS LIMITED


5.

Shri Gunadhar Pandey,


Director (Technical)(Appointed
w.e.f 01.02.15)
At the beginning of the year

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

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

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

0.00

Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year
6.

Shri Vivek Bharadwaj, Director


At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

7.

Shri B. K. Saxena, Director


At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

8.

Shri S. J. Sibal, Director


At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

9.

Shri A. K. Gupta, Director


At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

83

ANNUAL REPORT 2014-15__________________________________________________________


10.

Shri D.H. Lalwani, Company Secretary (ceased w.e.f.


12.12.14)
At the beginning of the year

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

0.00

0.00

Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year
11.

Shri D.K. Sharma, Company


Secretary (Acting) (Appointed
w.e.f. 12.12.14)
At the beginning of the year
Datewise Increase/Decrease in
Promoters Shareholding during
the year specifying the reasons
for increase/decrease (e.g. allotment / transfer / bonus / sweat
equity etc.):
At the end of the year

vi)

Indebtedness

Indebtdedness of the Company including interest outstanding/accrued but not due for payment
Secured loans
excluding
deposits

Unsecured
Loans

Deposits

Total Indebtedness

i) Principal Amount

Nil

Nil

Nil

Nil

ii) Interest due but not paid

Nil

Nil

Nil

Nil

iii) Interest accrued but not due

Nil

Nil

Nil

Nil

Total (i+ii+iii)

Nil

Nil

Nil

Nil

Addition

Nil

Nil

Nil

Nil

Reduction

Nil

Nil

Nil

Nil

Net Change

Nil

Nil

Nil

Nil

i) Principal Amount

Nil

Nil

Nil

Nil

ii) Interest due but not paid

Nil

Nil

Nil

Nil

iii) Interest accrued but not due.

Nil

Nil

Nil

Nil

Total (i+ii+iii)

Nil

Nil

Nil

Nil

Indebtedness at the beginning of the financial year

Change in Indebtedness during the financial year

Indebtedness at the end of the financial year

84

__________________________________________________ NORTHERN COALFIELDS LIMITED


vii) Remuneration Of Directors And Key Managerial Personnel:
A. Remuneration to Managing Director, Whole-Time Directors and/or Manager
S.N

Particular of Remuneration

(in Rupees)

Name of MD/WTD/Manager

Total
Amount

Shri. Tapas
Kumar Nag,
CMD, NCL
(Assumed
change
w.e.f.
30/09/2014.)

Ms. Shantilata
Sahu, Director
(Personnel)
Whole Year.
(Held Additional Charge of
CMD, NCL till
29/09/2014.)

Shri. Niranjan Das (Director/


Technical) till 02/10/2014.
Ceased to be Director (Tech.)
w.e.f. 02/10/2013 vide letter
no. 21/03/2007-ASO dated 3rd
November 2014 issued by Shri
Sanjib Bhattacharya, Under
Secretary to the Govt. of India,
Ministry of Coal.

Shri
Akhileshwar
Dayal Mathur, Director/
Technical(Operations) till
31/01/2015

Shri Gunadhar
Pandey, Director(Technical)
(Assumed Charge
w.e.f. 01/02/2015).
(Remuneration
paid at ECL)

Shri Arun Kumar


Pandey, Director
(Finance).
Ceased to be
Dir.(Fin.) on
31/03/2015.

(a) Salary as per provision contained in section


17(1) of the Income-Tax
Act, 1961

1107043

2548203

1518675

1960439

372750

2400209

9907319

(b) Value of perquisites


u/s 17(2) Income-tax
Act, 1961

83028

99140

59729

99867

25896

147765

515425

(c) Profit in lieu of salary


under section 17(3)
Income- tax Act, 1961

2.

Stock Option

--

3.

Sweat Equity

4.

Commission
- as% of profit
- others, specify

5.

Others, please specify

1190071

2647343

1578404

2060306

398646

2547974

10422744

1.

Gross salary

Total(A)

B. Remuneration to Other Directors:


S.N
1.

Particulars of Remuneration
Independent Directors
Fee for attending board committee meetings

Name of Directors
Shri Surinder Jit Sibal Shri Akshay Kumar Gupta
135000

150000

285000

Others, please specify

315000

240000

555000

Total (1)

450000

390000

840000

Shri Vivek Bharadwaj

Shri Bipin Kumar Saxena

Fee for attending board committee meetings

Commission

Others, please specify

Total (2)

450000

390000

840000

Commission

Total Amount (Rs.)

Other Non-Executive Directors:

Total (B)= (1+2)

85

ANNUAL REPORT 2014-15__________________________________________________________


C. Remuneration to key Managerial Personnel Other than MD/Manager/WTD:
S.No

Particular of Remuneration

Key Managerial Personnel

Total Amount

Shri Arun Kumar


Pandey, CFO *
(superannuated
from service on
31/03/2015)

Shri Dayaram Harpaldas


Lalwani (Ceased
to be Company
Secretary w.e.f.
afternoon of
12/12/2014)

Shri Devendra
Kumar Sharma
(Assumed Charge
as Company
Secretary (Actg)
w.e.f. afternoon of
12/12/2014)

(a) Salary as per provisions contained in


section 17(1) of the Income-tax Act, 1961

1962395

173833

2136228

(b) Value of perquisites u/s 17(2) Income-tax


Act, 1961

127179

11537

138716

(c) Profits in lieu of salary under section 17(3)


Income-tax Act, 1961

2.

Stock Option

3.

Sweat Option

4.

Commission- as % of profit others, specify

5.

Others, please specify


-

2089574

185370

2274944

1.

Gross salary

Total

* No additional remuneration has been paid to act at the capacity of CFO, NCL.

viii.

Penalities/ Punishment/ Compounding Of Offences:

Type

Section of the Companies


Act

Brief Description

Details of penalty/
punishment/
compounding fees
imposed

A. COMPANY
Penalty
Punishment

None

Compounding
B. DIRECTORS:
Penalty
Punishment

None

Compounding
C. OTHER OFFICERS IN DEFAULT:
Penalty
Punishment

None

Compounding

86

Authority (RD/NCLT/
COURT)

Appeal made
if any (give
details)

__________________________________________________ NORTHERN COALFIELDS LIMITED

ANNEXURE V to DIRECTORS REPORT


AUDITED PERFORMANCE OF NCL AGAINST MOU 2014-15

Annexure - II


Sl. No.

Evaluation Criteria

Unit

Weight
(in %)

MoU Target
Excellent

Very
Good

Good

Fair

Poor

Actual
2014-15

Raw Compos- Documentary


Score ite Score evidence &
Source/origin
of documents

Static / Financial Parameters


(i)

Annual Report
& Accounts

Growth/Size/Activity
(a)

Sales Turnover (Net


Sales)

(b)

Gross Operating Margin


Rate

(ii)

20
Rs. Crs.
%age

Profitability
(a)

PAT/Net Worth

(b)

EBITDA/Net Block

(iii)

(iv)
(a)

Sales Turnover/Net Block

10041.59

9882.57

9388.44

8919.02

8473.07

9452.58

2.87

0.29

Audited Annual
Accounts

10

35.62

34.40

34.40

31.05

29.49

31.97

3.43

0.34

Audited Annual
Accounts

24.93

23.87

22.68

21.54

20.47

36.31

1.00

0.05

Audited Annual
Accounts

186.67

178.79

169.85

161.36

153.29

161.59

3.97

0.28

Audited Annual
Accounts

427.82

421.05

400.00

380.00

361.00

375.15

4.26

0.43

Audited Annual
Accounts

44.87

45.45

47.72

50.11

52.61

21.87

1.00

0.08

Audited Annual
Accounts

12
%age
%age

Costs & Output Efficiency


(a)

10

10
%age

10

Liquidity/Leverage

Average Collection Period No. of


for Trade Receivables
Days

Sub Total

50

1.464

1. Impact of Penalty imposed by Competition Commission of India for Rs. 1773.05 crores has not been considered in the Targets of 2014-15 BE since the same has been appealed
against by the company in the Competition Appellate Tribunal. Impact of the above penalty, if paid in 2014-15 will be excluded and accordingly the financial parameters (P&L a/c
and Balance Sheet) will be recasted at the time of evaluation of MoU 2014-15.
2. For the purpose of calculation of Average Collection Period of Trade Receivables, Gross Sales as appearing in P&L A/c in Audited Accounts (inclusive of Excise duty and all other
levies & taxes) and Average Trade Receivables as appearing in the Audited Accounts (net off provision for bad & doubtful debts) have been considered.
3. Accounting head considered for Computation of Gross Operating Margin has been given in Annexure-A and the same methodology will be considered at the time of evaluation.
4. Impact of MMDR bill if becomes an act and implemented, its impact will be excluded.
2

Dynamic Parameters
(i)

Corporate Social
Responsibility &
Sustainability

(a)

Infrastructure Development in Villages of


Backward Districts.

No. of
works

(b)

Skill Development
Programme for Villagers/
PAPs/ Economically
Weaker Section of
Society/Women through
External Agencies

Nos. of
persons

(c)

Construction of Rain
Water Harvesting
Facilities

No. of
works

0.0100

CSR Records

300

250

200

150

100

471

0.0100

-do-

0.0100

-do-

87

ANNUAL REPORT 2014-15__________________________________________________________


(ii)
(a)

Research &
Development

A site specific study on


distance between toe of
Shovel-Dumper Dump
& Dragline Dump with
consideration of Safety
& Economical Design
of both Shovel-Dumper
Dump & Dragline Dump
in all 6 Dragline Mines
of NCL by BIT, Mesra,
Ranchi. (3-year Project).
Activity during 2014-15
: Completion of Study
& Submission of Draft
Report.

15 Feb15

15
Mar15

31
Mar15

12 Feb
15

0.0100

Study Report

Date

(b)

Development of in-line
cylinder block boring
machine for Engines at
CWS, Jayant

0.25

Feb15

Mar15

15 Feb
15

0.0025

Study Report

(c)

Software Development
to analyse & view
equipmentwise daily production & maintenance
data of Major HEMMs

0.25

Jan15

Feb15

Mar15

8 July
14

0.0025

Study Report

(d)

Award of Work for


Benchmarking of Diesel/
Power Consumption by
an Independent Agency
such as Bureau of
Energy Efficiency (BEE),
Tata Energy Research
Institute (TERI), CMPDI
etc.
Initiatives for Growth

0.5

Dec14

Jan15

Feb15

15
Mar15

31
Mar15

10 Sept
14

0.0050

Study Report

(iii)

Date

5.5

(a)

Approval of EPR for


JAYANT OCP (10 to 20
MTPA)

14 Feb15

28
Feb15

15
Mar15

31 Mar15

20 Jan
15

0.0100

CMPDIL
Report

(b)

Preparation of Master
Plan for Singrauli
Coalfields

14 Feb15

28
Feb15

15
Mar15

31 Mar15

20 Jan
15

0.0100

CMPDIL
Report

(c)

Preparation of EPR for


Block-B OCP (3.5 to 6.0
MTPA)

0.5

Dec14

Jan15

Feb15

Mar15

Dec 14

0.0050

CMPDIL
Report

(d)

Notification u/s 9 of CBA


Act 1957 for Acquisition of 180 Ha land for
Bina-Kakri Amalgamation
Project (10 MTPA)

14 Feb15

28
Feb15

15
Mar15

31 Mar15

17 Dec
14

0.0100

Gazette
Notification

(e)

Possession of Tenancy
Land for Block-B OCP

15

10

17.926
Ha

0.0100

Self Declaration

(f)

Risk Management

Operationalization of Risk
Management through
an Independent Head
[GM(Safety)] Reporting to
CMD & Board of Directors
through D(F)

0.5

14 Feb15

28
Feb15

15
Mar15

31 Mar15

20 Jan
15

0.0050

Study Report

0.5

14 Feb15

28
Feb15

15
Mar15

31 Mar15

12 Feb
15

0.0050

Study Report

Development of Risk
Indicators under Risk
Management

Date

Ha.

Date

88

__________________________________________________ NORTHERN COALFIELDS LIMITED


(iv)

Project Management &


Implementation

4.5

(a)

Milestones

2.5

40% Construction of 4
MTPA CHP at Krishnashila (LOA issued on
28.09.2011 & Site handed
over for Construction on
24.12.2011)

0.25

15 Jan15

31
Jan15

15
Feb15

28 Feb15

31
Mar15

Dec 14

0.0025

E&M Report

Tendering for Construction of 5 MTPA Incremental CHP at Nigahi (First


Tendering was done in
Sept13 but Tender was
cancelled due to Technical Reasons)

0.25

15 Jan15

31
Jan15

15
Feb15

28 Feb15

31
Mar15

Nov 14

0.0025

E&M Report

Tendering for Construction of 6 MTPA Incremental CHP at Khadia (First


Tendering was done in
Sept13 but Tender was
cancelled due to Technical Reasons)

0.25

15 Jan15

31
Jan15

15
Feb15

28 Feb15

31
Mar15

Nov 14

0.0025

E&M Report

50% Construction
of 3.5 MTPA CHP at
Block-B (LOA issued on
21.08.2013 & Site handed
over for Construction on
03.10.2013)

0.25

15 Dec14

31
Dec14

15
Jan15

31 Jan15

28
Feb15

Nov 14

0.0025

E&M Report

Date
5

Supply & Commissioning


of 10 no. 100T Dumpers
in NCL (Tendering was
done in Jan13 & Supply
Order placed in Aug13)

0.25

Sep14

Oct14

Nov14

Dec14

Jan15

Aug 14

0.0025

Excavation
Deptt. Report

Award of Work for Supply


& Commissioning of 05
nos. 410 HP Dozers in
NCL (Tender Floated,
date of opening of Part-I
of Tender is 28.03.2014)

0.25

15 Mar15

31
Mar15

Dec 14

0.0025

Excavation
Deptt. Report

Tendering & Award


of Work for Supply &
Commissioning of 02
nos. 2.8 cum Hydraulic
Backhoe Shovels in NCL
(Part-I of Tender opened
on 10.12.2012, TCR
under Cancellation, Fresh
Tendering to be done)

0.25

15 Mar15

31
Mar15

05 Mar
15

0.0025

Excavation
Deptt. Report

89

ANNUAL REPORT 2014-15__________________________________________________________


8

NIT, Tendering & Award


of Work for Supply &
Commissioning of 02 nos.
280 HP Graders in NCL
(Pre-NIT Meeting Scheduled on 28.03.2014)

0.25

15 Mar15

31
Mar15

NIT &
Tendering
done.
Award
due.

0.0125

Excavation
Deptt. Report

Supply & Commissioning


of 02 nos. 60 KL Water
Tanker in NCL (Tender
Floated, Date of Opening
of Part-I of Tender is
24.03.2014)

0.25

Feb15

Mar15

26 Feb
15

0.0025

Excavation
Deptt. Report

10

Tendering & Award


of Work for Supply &
Commissioning of 02 nos.
8 T/10 T Cranes in NCL
(Part-I of Tender opened
on 10.09.2013, Case
under delibration by TC
for Price Bid Opening)

0.25

15 Mar15

31
Mar15

10 Feb
15

0.0025

Excavation
Deptt. Report

(b)

CAPEX

600

575

375

175

100

715

0.0100

Audited Annual Accounts

(c)

Incremental Production
from On-going Projects

1.0

0.8

0.6

0.4

0.2

2.7

1.0

0.0100

CP Deptt.
Report

70

68

66

64

62

69.58

1.21

0.0121

IED Report

(v)

Rs.Crs.

MT

Productivity & Internal


Processes

(a)

System Capacity
Utilisation

(b)

Customer Satisfaction

Joint Agreed 3rd. Party


Sampling at Despatch
end for Supply of ACQ
to Power Utilities under
FSA complying Govt.
Directives

0.5

99

98

97

96

95

100

0.0050

S&M Deptt.
Report

%age

%age

Sized Coal Despatch to


Power Sector by Rail

99

98

97

96

95

100

0.0100

S&M Deptt.
Report

Weighment on Electronic
Weighbridge before Despatch to Power Sector
by Rail

99

98

97

96

95

100

0.0100

E&M Deptt.
Report

Commitment to Supply
Annual Contract Quantity (ACQ) under FSA to
Power Utilities complying
directives of Govt.

0.5

64

63

62

61

60

65

0.0050

S&M Deptt.
Report

MT

90

__________________________________________________ NORTHERN COALFIELDS LIMITED


(vi)
(a)

(b)

(c)

(d)
(e)
(vii)
(a)

(b)
(c)

(d)
(e)

Technology, Quality,
Innovative Practices
NEW TECHNOLOGY :
Preparation of NIT, Tendering & Award of Work
for Introduction of Coal
Net Phase-I (Finance,
Payroll & PIS Modules
at HQ)
ISO : Training Programmes on IMS (ISO
9001, ISO 14001, ISO
18001 & SA 8000)
Installation of CCTV in
all Road Weighbridges &
Other important Locations
in Mines
Introduction of GPS
based Truck Monitoring
System in NCL
SAFETY : Training of
Dumper Operators on
Simulator
Human Resource Management (HRM)
Certified Training in
Project Management
Training on Civil/Purchase/Services Contract
Management
Training in Environment
Management/Forest
Management/ Land
Acquisition
Risk Management
Training
Human Resource Management (HRM)

(i)

Sector Specific /Enterprise Specific Parameters


Coal Production

(ii)

Offtake

(iii)

AFFORESTATION : Tree
Plantation
Output per Manshift
(O.M.S.)#
Sub Total
Grand Total

(iv)

5
1

15 Mar15

31
Mar15

Award of
work not
done

0.0500

System Deptt.
Report

0.0100

IMS Deptt.
Report

Dec14

Jan15

Feb15

Mar15

Dec 14

0.0100

E&T Deptt.
Report

Dec14

Jan15

Feb15

Mar15

July 14

0.0100

E&T Deptt.
Report

200

150

100

50

356

0.0100

CETI Report

0.25

60

50

40

30

20

60

0.0025

HRD Report

0.25

60

50

40

30

20

67

0.0025

HRD Report

0.25

20

15

10

31

0.0025

HRD Report

0.25

30

25

20

15

10

32

0.0025

HRD Report

1.315

0.0657

Date

Nos.

Date

Date
Nos.

6
Nos.
of
Executives

As per Enclosure 01

20
MT
MT
Lakh
Trees
Tes.

77.50

77.00

73.15

69.49

66.02

72.48

3.18

0.2864

78.50

78.00

74.10

70.40

66.88

73.69

3.11

0.2799

2.00

1.80

1.60

1.40

1.20

5.09

1.00

0.0100

13.75

13.50

13.25

13.00

12.75

13.76

1.00

0.0100

50
100

0.9541
2.4182
Overall Grade

Audited Annual Accounts


Audited Annual Accounts
Forest Deptt.
Report
Audited Annual Accounts

Very Good

# Note1- Calculation of Output per Manshift (OMS) is based on Specific Gravity of Coal and Average Stripping Ratio of mines as per Project Reports (PRs) dt. 6th Oct. 2010 both
for Target and Actual purpose. The ASR taken for OMS calculations are in variation with ASR taken for calculation of OBR Adjustment in respect of some mines.
Note-2: Non compliance of Corporate Governance will be penalized by way by negative marking and as specified in DPEs OM No.3/19/2013-DPE(MoU) dt.11th Nov.2013
Note-3 Certificate regarding implementation of guidelines issued by DPE as per OM No.DPE/14(38)/1-=Fin dated 28th June 2011 is required from Auditors.
Non compliance of DPEs guidelines determined on the basis of certificate will be panlised upto 1 mark (score may increased by 0.04) which is at the discretion of task force at the
time of evaluation.
Note-4: for achieving offtake target, average 26.3 rakes/ day availability is to be ensured from Indian Railways.

91

ANNUAL REPORT 2014-15__________________________________________________________


ENCLOSURE -1

HRM PERFORMANCE EVALUATION UNDER MOU : 2014-15


MoU Target
Sl.
No.

HRM-PERFORMANCE INDICATORS

Unit

Weight Excel(in %) lent

Very
Good

Good

Fair

Poor

Actual
Performance

Self
Evalua- Compsite
tion Raw Score
Score

A. Competency & Leadership Development


1(a) %age actualisation of Training Plan

%age f
ullfilment

10

90

80

70

60

50

100.30

0.1000

1(b) Training Days per employee per year

days/
employee

10

2.5

2.0

1.5

1.0

0.5

2.72

0.1000

2. Training Expenses as %age of employee cost

%age of
employee
cost

10

0.25

0.20

0.15

0.10

0.050

0.25

0.1000

3. %age fulfillment of Training Plan for Multi-Skilling / Skill


upgradation of Non-Executives

%age
fulfillment

10

90

80

70

60

50

79.30

2.07

0.2070

Yes / No

10

Yes

No

Yes

0.1000

%age of
manpower

0.20

0.15

0.10

0.05

0.576

0.0500

7. Attrition as ^age of total employees

%age

1.00

0.99

0.98

0.97

0.96

0.103

0.0500

8. Presence of Mentorship Programme

Yes / No

Yes

No

Yes

0.0500

(a) Training on Managerial Effectiveness

Nos. of
Executives

20

15

10

42

0.0500

(b) Training on Leadership Competencies

Nos. of
Executives

20

15

10

40

0.0500

No. of
Persons

0.2500

%age
Settlement

70

60

50

40

30

68.42

1.158

0.0579

12. Organising Sports Events/Cultural Programmes for


Employees, Schools & nearby Villagers

Nos. of
Events

20

15

10

26

0.0500

13. Presence of Group Gratuity Scheme

Yes / No

Yes

No

Yes

0.0500

14. Number of structured meetings with employees


representatives

No. of
Meetings

0.0500

B. Performance Management
5. Presence of Balance Score Card based Performance
Management System for Executives
C. Recruitment, Retention & Talent Management
6. Manpower Rationalisation through Redeployment
(Redeployment %age)

9. Formulation/Implementation of systems for


management of Talents, growth opportunities etc.

D. Enabling Creativity & Innovation


10. Nos. of Nominations/entries submitted for National Awards
for Individuals
E. Employee Relations & Welfare
11. Effectiveness of Grievance Redressal System - %age of
grievances settled vis-a-vis received during the year

Grand Total

100

NB : Total score out of 100 awarded on HRM to CPSE will be converted into score out of 5 in MoU on pro-rata basis.

92

1.3149

__________________________________________________ NORTHERN COALFIELDS LIMITED

PRAKASH & SANTOSH


CHARTERED ACCOUNTANTS

To,
The Board of Directors,
Northern Coalfields Limited,
Singrauli.
Dear Sir,
Sub: Audit of performance against MOU 2014-2015
With reference to your letter regarding our appointment for audit of performance against MOU 20142015, we report that:1.

The achievement stated in attached Performance Evaluation Sheet with respect to Static/
Financial, Dynamic/Non Financial, Sector Specific/Enterprise Specific Parameters are calculated
in terms of guidelines for MOU for the year 2014-15 issued by Department of Public Enterprises,
Ministry of Heavy Industries and Public Enterprises vide office memorandum No.3/19/2013DPE( MOU) dated 11-11-2013.

2.

The achievement stated against Static/ Financial, Dynamic/Non financial, Sector Specific/
Enterprise Specific Parameters are rectified from means of verification stated in respective
parameters and found correct to the best of our knowledge.

3.

Guidelines issued by DPE on Corporate Governance are complied with by the Company.

4.

As informed to us that guidelines issued by DPE are implemented by the Company.

For Prakash & Santosh



Chartered Accountants

(Firm Reg. No. 000454C)
Sd/
(CA Vikas Deep)
Partner

M. No.: 077343
Dated.30 May, 2015
Place: Singrauli

Head Office : Rolland Complex Flat No. 8, Upper Floor, Westcott Building, 37/17, The Mall, Kanpur 208 001
Phones: 3012035, 3912995 Email: pra sant@rediffmail.com; gopalgkmishra@gmail.com
Branches : MORADABAD, ORAI, SAMBHAL, DELHI

93

ANNUAL REPORT 2014-15__________________________________________________________

PRAKASH & SANTOSH


CHARTERED ACCOUNTANTS

To,
The Members,
M/s Northern Coalfields Limited
Singrauli

CERTIFICATE

1.

We have reviewed the compliance of conditions of Corporate Governance by Northern Coalfields


Limited for the year ended 31st March, 2015 although Clause 49 of the Listing Agreement is
not applicable to the Company.

2.

The compliance of conditions of Corporate Governance is the responsibility of the Management.


Our examination was limited to procedures and implementation thereof, adopted by the
Company for ensuring the compliance of the conditions of Corporate Governance. It is neither
an audit nor an expression of opinion on the financial statement of the Company.

3.

We have conducted our review on the basis of the relevant records and documents maintained
and produced to us for review and the information and explanation given to us by the Company.

4.

In our opinion and to best of our information and according to the explanations given to us and
the representations made by the Directors and the Management, we certify that the Company
has complied with the conditions of Corporate Governance except the following condition:-

The Company has not complied with the condition of 50% independent Directors in the Board
during the period under consideration.

5.

We further state that such compliance is neither an assurance as to the future viability of the
Company nor the efficiently or effectiveness with which the Management has conducted the
affairs of the Company.
For PRAKASH & SANTOSH
Chartered Accountants
Sd/(CA SANTOSH GUPTA)
Partner
Membership No. 016304
ICAI Firm Reg. No. 00454C

Place : Singrauli
Date : 29th April, 2015
Head Office : Rolland Complex Flat No. 8, Upper Floor, Westcott Building, 37/17, The Mall, Kanpur 208 001
Phones: 2303565, 3912995, Fax: 0512-3012035, Email: prakashsantoshca@gmail.com
Branches : MORADABAD, ORAI, SAMBHAL, DELHI

94

__________________________________________________ NORTHERN COALFIELDS LIMITED

BALANCE SHEET AS AT 31ST MARCH, 2015


(Rs. in crore)

As at
As at

Note
31-03-2015
31-03-2014

I
EQUITY AND LIABILITIES

(1) Shareholders Fund

(a) Share Capital
1
177.67
177.67

(b) Reserves & Surplus
2
5,699.69
9,076.42


5,877.36

9,254.09
(2) Non-Current Liabilities

(a) Long Term Borrowing
3



(b) Deferred Tax Liabilities (Net)



(c) Other Long Term Liabilities
4
141.71
132.00

(d) Long Term Provisions
5
6,233.49
5,086.04


6,375.20

5,218.04
(3) Current Liabilities

(a) Short Term Borrowing
6



(b) Trade Payables
7
117.06
90.23

(c) Other Current Liabilities
8
2,532.26
2,088.96

(d) Short Term Provisions
9
318.61
281.32


2,967.93

2,460.51


Total
15,220.49
16,932.64

II
ASSETS

(1) Non-Current Assets

(a) Fixed Assets

(i) Tangible Assets - Gross Block
10A
7,090.76
6,634.70

Less : Depreciation, Impairment & Provisi ns

4,643.09
4,418.30

Net carrying Value

2,447.67

2,216.40

(ii) Intangible Assets - Gross Block
10A
142.80
143.88

Less : Depreciation, Impairment & Provisions
70.76
62.95

Net carrying Value

72.04


(iii) Capital Work-in-Progress
10B
610.96

(iv) Intangible Assets under Development
10C
113.22

(b) Non-Current Investment
11


(c) Deferred Tax Assets (Net)*
413.47

(d ) Long Term Loans & Advances
12
106.35

(e) Other Non-Current Assets
13
6.22

80.93
544.33
89.86
11.45
342.01
74.82
3.15

(2) Current Assets



(a) Current Investments
14
61.62
11.46

(b) Inventories
15
835.91
893.19

(c ) Trade Receivables
16
621.14
955.94

(d) Cash & Bank balance
17
7,265.10
7,443.79

(e) Short Term Loans & Advances
18
138.65
113.90

(f) Other Current Assets
19
2,528.14
4,151.41


11,450.56
13,569.69


Total
15,220.49
16,932.64


Significant Accounting Policies
33





Additional Notes on Accounts
34

The Notes reffered to above form an integral part of Balance Sheet

*Refer Note - 34 (2) (iv).


Sd/- Sd/- Sd/-
Sd/
(D.K.Sharma)
(P.J. Mohan Rao)
(P.S.R.K.Sastry)
(T.K.Nag)

Company Secratary
General Manager (Finance)
Director (Finance) & C.F.O.
Chairman-Cum Managing Director

DIN- 07163164
DIN - 02219348


In terms of our separate report of even date

For Prakash & Santosh

Chartered Accountants

Firm Regn. No. 000454C

Sd/
(CA. Santosh Gupta)
Dated : 25.05.2015
Partner
Place : Varanasi
M. No.- 016304

95

ANNUAL REPORT 2014-15__________________________________________________________

STATEMENT OF PROFIT & LOSS


For the Year ended 31st March, 2015
(Rs. Crores)

For the Year
For the Year
Note
ended 31.03.2015
ended 31.03.2014

INCOME

A. Sale of Coal, coke etc.


20
13,161.25
12,400.42
Less: Excise Duty
(657.22)
(649.45)
Other Levies
(3,051.45)
(2,447.09)

Net Sales
9,452.58
9,303.88
B. Other Operating Revenue
20
203.01
194.46

Revenue from Operations (A+B)


9,655.59
9,498.34
Other Income
21
1,112.53
1,011.42

Total Revenue
10,768.12
10,509.76

EXPENSES

Cost of Material Consumed
22
1,578.70
1,590.52
Change in inventories of finished goods work in progress and Stock in trade
23
105.10
144.68
Employee benefit expenses
24
1,800.47
1,711.24
Power & Fuel
249.61
241.28
Corporate Social Responsibility Expenses
25
61.77
39.72
Repairs
26
217.51
192.69
Contractual Expenses
27
1,211.31
1,040.33
Finance Costs
28
0.26
15.45
Depreciation/amortization/Impairment
10A
382.34
360.69
Provisions
29
168.16
774.34
Write off
30
-
Overburden Removal Adjustment
977.03
761.16
Other Expenditure
31
326.86
270.11

Total Expenses
7,079.12
7,142.21

Profit before prior period, exceptional and extraordinary items and tax

3,689.00
3,367.55

Prior Period Adjustment { charges/ (Incomes) }


32
(24.47)
11.84
Exceptional Items
-

Profit before extraordinary items and tax


3,713.47
3,355.71

Extraordinary Items { charges/ (Incomes) }


-

Profit before Tax


3,713.47
3,355.71

Less : Tax Expenses


- Current year
1,646.00
1,649.70
- Deffered Tax
(71.46)
(304.44)
- Earlier years
4.76
2.43

Profit after Tax


2,134.17
2,008.02


Earnings per Equity share (in Rs. )

(Face Value of Rs. 1000/- per share)

- Basic
12,011.80
11,301.79

- Diluted
12,011.80 11,301.79
Significant Accounting Policies
33


Additional Notes on Accounts
34

The Notes referred to above, form an integral part of The Statement of Profit & Loss Account.


Sd/- Sd/- Sd/-
Sd/
(D.K.Sharma)
(P.J. Mohan Rao)
(P.S.R.K.Sastry)
(T.K.Nag)

Company Secratary
General Manager (Finance)
Director (Finance) & C.F.O.
Chairman-Cum Managing Director

DIN- 07163164
DIN - 02219348


In terms of our separate report of even date

For Prakash & Santosh

Chartered Accountants

Firm Regn. No. 000454C

Sd/
(CA. Santosh Gupta)
Dated : 25.05.2015
Partner
Place : Varanasi
M. No.- 016304

96

__________________________________________________ NORTHERN COALFIELDS LIMITED

Cash Flow Statement (Indirect Method)

(Rs. in Crores)


For the year ended March 31,


2015
2014

I. CASH FLOW FROM OPERATING ACTIVITIES



Net Profit before taxation and extraordinary item

3,713.47
3,355.71

Adjustments for :

Depreciation on Fixed Assets

372.05
360.69

Interest /Dividend Income

(1,038.41)
(952.03)

Loss/ Profit on sale of F/Assets

(0.80)
2.12

Provisions and Write-off

194.12
774.34

Overburden Removal Expenditure Adjustment

977.03
761.16

Adjustment for Foreign Exchange flactuation

-
9.27

Interest & Financial Expenses

0.26
15.45


Operating Profit before Working Capital Changes

4,217.72
4,326.71


Adjustment for :

Receivables

280.67
131.66

Inventories

54.30
104.95

Current and Non Current Assets (Other than Fixed Assets)

1,682.00
(1,203.96)

Current & Non-Current Liabilities

546.48
583.77


Cash Generated from Operations

6,781.17
3,943.13


Income taxes Paid :

Income tax Paid

(1,635.98)
(1,700.63)

Refund / Paid/ Adj. of Corporate tax of Earlier Years

(190.00)
0.10


Net Cash Flow from Operating Activities

(A)

4,955.19
2,242.60


II. CASH FLOW FROM INVESTING ACTIVITIES

Purchase of Fixed Assets

(715.06)
(301.76)

Proceeds From Sale of Equipments

7.72
4.85

Redeemption of Power Bonds

11.45
11.46

Interest pertaining to Investing Activities

1,088.95
955.35

Bank Deposit/Investment in Mutual Funds

218.34
448.93


Net Cash used in Investing Activities

(B)
611.40
1,118.83

III. CASH FLOW FROM FINANCING ACTIVITIES



Repayment/ Increase of Unsecured Loans

-
(677.91)

Interest pertaining to Financing Activities

(0.26)
(15.45)

Dividend Paid (Including tax on Dividend )

(5,476.52)
(3,208.12)


Net Cash used in Financing Activities

(C )
(5,476.78)
(3,901.48)



Net Increase in Cash and Cash Equivalents
(A)+(B)+(C)
89.81
(540.05)
20.40 560.45

Cash and Cash Equivalents (Opening Balance)


Cash and Cash Equivalents (Closing balance)

110.21
20.40

Component of Cash and Cash Equivalent:

Cash and Cheque in hand

0.02
0.02

Balance with Scheduled Banks:

Current Account

110.19
20.38

Term Deposits

-


Cash and Cash Equivalents (Closing balance)

110.21
20.40


Sd/- Sd/- Sd/-
Sd/
(D.K.Sharma)
(P.J. Mohan Rao)
(P.S.R.K.Sastry)
(T.K.Nag)

Company Secratary
General Manager (Finance)
Director (Finance) & C.F.O.
Chairman-Cum Managing Director

DIN- 07163164
DIN - 02219348


As per our report annexed

For Prakash & Santosh

Chartered Accountants

Firm Regn. No. 000454C

Sd/
(CA. Santosh Gupta)
Dated : 25.05.2015
Partner
Place : Varanasi

M. No.- 016304

97

ANNUAL REPORT 2014-15__________________________________________________________

Statement of Standalone Audited/Unaudited Results


For The Period Ended 31st March, 2015
Part-I

(Rs. in Crores)

Particulars

3 months
ended
(31/03/2015)
Audited

1.

2.

3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.

16.

Income from Operations


(a) Net Sales / Income fron Operations
(Net of Excise Duty)
(b) Other operating income
Total Income from Operations (Net)
Expenses
(a) Cost of material consumed
(b) Purchase of Stock-in-trade
(c ) Change in inventories of Finished goods,
work-in-progress & stock-in-trade
(d) Employees Benefits Expenses
(e) Depriciation & amortisation expenses
(f) Power & Fuel
(g) C S R Expenses
(h) Repairs
(i) Contractual Expenses
(j) Overburden removal adjustment
(f) Other Expenses
Total Expenses
Profit/ (Loss) from operations before other
income, Finance Costs and Exceptional
items (1-2)
Other income
Profit/ (Loss) from Ordinary activities before
Finance cost & Exceptional items (3+4)
Finance Cost
Profit/ (Loss) from Ordinary activities after
Finance cost but before Exceptional items
(5-6)
Exceptional Items (Prior period Adjustment)
Profit/ Loss from Ordinary Activities
before tax (7+8)
Tax Expense
Net Profit/ Loss from Ordinary Activities
after tax (9-10)
Extraordinary Items (net of tax expenses)
Net Profit/ (Loss) for the Period (11-12)
Paid-up Equity Share capital
(Face Value of Rs. 1000)
Reserve excluding revaluation reserves as per
balance sheet of previous accounting year
i Earnings per Share
(before extraordinary items)
a) Basic
b) Diluted
ii Earnings per Share
(after extraordinary items)
a) Basic
b) Diluted

Preceding
3 months
ended
(31/12/2014)
Unaudited

Year to
Corresponding
date for the
3 months endperiod ended
ed (31/03/2014)
(31/03/2015)
Audited
Audited

Year to date
for the period ended
(31/03/2014)
Audited

2,731.74

2,380.72

2,635.41

9,452.58

9,303.88

59.03
2,790.77

48.07
2,428.79

62.96
2,698.37

203.01
9,655.59

194.46
9,498.34

452.70

381.84

512.42

1,578.70

1,590.52

(260.90)

(14.52)

(37.66)

105.10

144.68

490.57
102.89
67.18
34.49
66.64
464.40
327.24
196.08
1,941.29

471.34
109.69
63.18
6.42
54.18
308.10
271.68
123.28
1,775.19

466.13
85.92
62.31
18.43
52.57
287.95
433.71
779.04
2,660.82

1,800.47
382.34
249.61
61.77
217.51
1,211.31
977.03
495.02
7,078.86

1,711.24
360.69
241.28
39.72
192.69
1,040.33
761.16
1,044.45
7,126.76

849.48

653.60

37.55

2,576.73

2,371.58

250.73

289.21

229.93

1,112.53

1,011.42

1,100.21

942.81

267.48

3,689.26

3,383.00

0.08
1,100.13

0.05
942.76

0.88
266.60

0.26
3,689.00

15.45
3,367.55

20.55
1,120.68

(1.18)
941.58

(8.51)
258.09

24.47
3,713.47

(11.84)
3,355.71

503.79
616.89

407.29
534.29

233.06
25.03

1,579.30
2,134.17

1,347.69
2,008.02

616.89
177.67

534.29
177.67

25.03
177.67

2,134.17
177.67

2,008.02
177.67

3,472.06
3,472.06

3,007.16
3,007.16

140.88
140.88

12,011.80
12,011.80

11,301.79
11,301.79

3,472.06
3,472.06

3,007.16
3,007.16

140.88
140.88

12,011.80
12,011.80

11,301.79
11,301.79

98

__________________________________________________ NORTHERN COALFIELDS LIMITED

Select Information
For The Period Ended 31.03.2015
Part-II

(Rs. in Crores)

Particulars

3 months
ended
(31/03/2015)
Audited

A.

Particulars of Shareholding
1. Public Shareholding
Number of Shares
Percentage of shareholding
2. Promoters and promoter group
Shareholding**
a) Pledged/Enucumbered
No. of Shares
Percentage of Shareholding
(as a % of the total shareholding of
promoter and promoter group)
Percentage of shares
(as a % of the total share capital of the
company)
b) Non-Encumbered
- No. of Shares
- Percentage of shareholding
(as a % of the total shareholding of
promoter and promoter group)
- Percentage of shares
(as a % of the total share capital of
the company)

Preceding
3 months
ended
(31/12/2014)
Unaudited

Year to
Year to date
Corresponding
date for the
for the pe3 months endperiod ended riod ended
ed (31/03/2014)
(31/03/2015) (31/03/2014)
Audited
Audited
Audited

NIL

NIL

NIL

NIL

NIL

NIL

NIL

NIL

NIL

NIL

1776728
100%

1776728
100%

1776728
100%

1776728
100%

1776728
100%

100%

100%

100%

100%

100%


Sd/- Sd/- Sd/-
Sd/
(D.K.Sharma)
(P.J. Mohan Rao)
(P.S.R.K.Sastry)
(T.K.Nag)

Company Secratary
General Manager (Finance)
Director (Finance) & C.F.O.
Chairman-Cum Managing Director

DIN- 07163164
DIN - 02219348


In terms of our separate report of even date

For Prakash & Santosh

Chartered Accountants

Firm Regn. No. 000454C

Sd/
(CA. Santosh Gupta)
Dated : 25.05.2015
Partner
Place : Varanasi
M. No.- 016304

99

ANNUAL REPORT 2014-15__________________________________________________________

Annexure-IX of Clause 41 of the Listing Agreement


Standalone/ Consolidates Statement of Assets & Liabilities
(Rs. in Crores)

Particulars
As at 31/03/2015
As at 31/03/2014


A
EQUITY AND LIABILITIES

(1)
Shareholders Fund

(a) Share Capital
177.67
177.67

(b) Reserves & Surplus
5,699.69
9,076.42


Sub-total Shareholders Fund
5,877.36
9,254.09

(2)
Non-Current Liabilities

(a) Long Term Borrowing
-

(b) Deferred Tax Liabilities (Net)
-

(c) Other Long Term Liabilities
141.71
132.00

(d) Long Term Provisions
6,233.49
5,086.04


Sub-total Non-current Liabilities
6,375.20
5,218.04

(3)
Current Liabilities

(a) Short Term Borrowing
-

(b) Trade Payables
117.06
90.23

(c) Other Current Liabilities
2,532.26
2,088.96

(d) Short Term Provisions
318.61
281.32


Sub-total Current Liabilities
2,967.93
2,460.51


Total Equity & Liabilities
15,220.49
16,932.64


B ASSETS

(1)
Non-Current Assets

(a) Fixed Assets
3,243.89
2,931.52

(b) Non-Current Investment
-
11.45

(c) Deferred Tax Assets (Net)
413.47
342.01

(d ) Long Term Loans & Advances
106.35
74.82

(e) Other Non-Current Assets
6.22
3.15


Sub-Total Non-Current Assets
3,769.94
3,362.95

(2)
Current Assets

(a) Current Investments
61.62
11.46

(b) Inventories
835.91
893.19

(c ) Trade Receivables
621.14
955.94

(d) Cash & Bank balance
7,265.10
7,443.79

(e) Short Term Loans & Advances
138.65
113.90

(f) Other Current Assets
2,528.14
4,151.41


Sub-total Current Assets
11,450.56
13,569.69


Total Asets
15,220.49
16,932.64

100

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 1
SHARE CAPITAL

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014


Authorised

(i)
40,00,000 Cumulative 10% Redeemable Preference

shares of Rs. 1000/- each
400.00
400.00

(ii)
100,00,000 Equity Shares of Rs.1000/- each
1,000.00
1,000.00


1,400.00
1,400.00

Issued, Subscribed and Paid-up




17,76,728 Equity shares

of Rs. 1000/- each fully paid-up
177.67
177.67


177.67
177.67

Note 1: Shares in the company held by each shareholder holding more than 5% Shares

Name of Shareholder

No. of Shares Held


( Face value of Rs. 1000 each)

% of Total Shares

1776728

100%

COAL INDIA LIMITED, The Holding Company and its Nominees







Note 2 : During the year there is no change in the number of shares.

101

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 2
RESERVES & SURPLUS

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014

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
400.00
400.00
Add: Addition during the year
-
Less: Adjustment During the year
-


400.00
400.00

Corporate Social Responsibility Reserve


As per last Balance Sheet
106.27
107.57
Add: Addition during the year
-
38.42
Less: Transfer to General Reserve
106.27
39.72


-
106.27

Sustainable Development Reserve


As per last Balance Sheet
5.90
3.17
Add: Addition during the year
-
3.08
Less: Transfer to General Reserve
5.90
0.35


-
5.90

General Reserve
As per last Balance Sheet
2,698.36
2,457.49
Add: Transfer from Profit & Loss Account
213.42
200.80
Add: Adjustment during the year
112.17
40.07


3,023.95
2,698.36

Surplus in Profit & Loss Account


As per last Balance Sheet
5,865.89
6,600.17
Less : Depreciation Adjustment as per Companies Act, 2013
34.38


5,831.51
6,600.17
Add:Profit after Tax during the period/year
2,134.17
2,008.02

Profit & Loss Available for appropriation


7,965.68
8,608.19
Appropriations:-
Transfer to General Reserve
(213.42)
(200.80)
Transfer to CSR Reserve
-
(38.42)
Transfer to Sustainable Development Reserve
-
(3.08)
Interim Dividend
(4,563.99)
(2,136.84)
Proposed Dividend on Equity Shares
-
Corporate Dividend Tax
(912.53)
(363.16)


2,275.74
5,865.89

Miscellaneous Expenditure
(To the extent not written off)
Preliminary expenses
-
Pre-Operational Expenses
-


Total
5,699.69
9,076.42

Company has adopted the CSR Policy for the Financial Year 2014-15, as per the provisions of the Companies Act 2013. Sustainable Development Activities have been merged
with CSR Activities, Balance amount of CSR Reserve and Sustainable Development Reserve as on 01.04.2014 have been transfereed to General Reserve, as these are no longer
required to be maintained.

102

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 3
Long Term Borrowing
(Rs. Crores)
As at
31-03-2014

As at
31-03-2015

-




Term Loan

Loan From Coal India Limited

TOTAL

CLASSIFICATION 1
Secured

- -

Unsecured

- -

CLASSIFICATION 2
Loan Guaranteed by Directors & others
Particulars of Loan

Nature of Guarantee

As At
31.03.2015

As At
31.03.2014

103

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 4
OTHER LONG TERM LIABILITIES

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014


Trade Payable - Deferred Credits
-
Earnest Money/ Security Deposit
141.71
132.00
Others
-

Total
141.71
132.00

CLASSIFICATION
Secured
-
Unsecured
141.71
132.00

Note - 5
LONG TERM PROVISIONS



For Employee Benefits

- Gratuity*

- Leave Encashment

- Other Employee Benefits#
OBR Adjustment Account**
Mine Closure Expense***
For Others****


TOTAL

As at
31-03-2015


-
213.18
142.62
5.405.14
472.43
0.12

6,233.49



Refer Foot of Note-19 OTHER CURRENT ASSETS.

(Rs. in Crores)
As at
31-03-2014


195.54
134.71
4,428.11
327.56
0.12

5,086.04

** Survey Measurement of overburden removed during the period has been conducted at all the projects. The measured quantity of
overburden has been considered for Overburden Removal Adjustment after considering the variance between reported quantity and the
measured quantity in respect of all the projects. (Refer Note 33- Accounting Policy 16.0).

An amount of Rs.977.03 Crores has been debited to Profit & Loss Account (Previous year Rs. 761.16 Crores) on account of variance
in Current Ratio (O.B. : Coal) with standard ratio (O.B. : Coal), by giving corresponding effect to this extent in Long term provisions.
*** In accordance with guidelines issued by Ministry of Coal on 27th August, 2009 & subsequent guidelines, Mine Closure Plan has
been prepared by CMPDIL and approved by NCL Board for the Projects Jhingurda, Block B, Bina, Krishanshilla, Jayant, Khadia, Amlohri,
Dudhichua, Kakri and Nigahi Project, on account of water quality management, air quality management, waste management, top soil
management of coal rejects from washeries, infrastructure, disposal of mining machinery and safety & security. Based on the approved
Mine Closure Plan, provision has been made in the accounts for Rs. 449.43 crores upto 31.03.2015 (Previous year Rs. 304.56 Crores)
& an amount of Rs. 449.43 crores including Interest received Rs. 34.06 crores (Previous year Rs. 8.10 Crores)has been deposited in an
escrow account set up for this purpose.

In respect of Gorbi Project (Closed mine), an amount of Rs. 23.00 Crores as on 31.03.2015 (Rs. 23.00 Crores as on 31.03.2014) has
been provided as per the technical estimate received from CMPDIL towards mine closure expenses.

Based on the above, provision of Rs. 144.87 Crores (Previous year Rs. 115.73 Crores) including interest received Rs. 25.96 crores
(Previous year Rs. 8.10 Crores)from Escrow Account has been made during the year ended 31.03.2015. (Refer Note-29).
**** A provision of Rs. 0.12 Crores (Previous year Rs. 0.12 Crores) had been made against loss on theft/damage of Fixed Assets.
# it includes provision of Rs. 27.12 Crores (Previous year Rs. 24.87 Crores) has been made against CMPF and Pension Fund on Long
Term Acturial Liability of Leave Encashment.

104

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 6
SHORT TERM BORROWING
(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014



LOAN FROM BANKS


Loans Repayable on Demand


Balance with Coal India Limited & other Subsidiaries of Coal India Limited
-


Overdraft against Pledge of Term Deposit
-



Other Loans and Advances


Deferred Credits
-




Total :
-




CLASSIFICATION 1


Secured
-

Unsecured
-


CLASSIFICATION 2


Loan Guaranteed by Directors & others

Particulars of Loan

Amount in Rs. crores

Nature of
Guarantee

Note - 7
TRADE PAYABLES

As at

31-03-2015



Sundry Creditors For Supplies


For Revenue Stores
117.06



117.06

105

(Rs. in Crores)
As at
31-03-2014

90.23

90.23

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 8
OTHER CURRENT LIABILITIES

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014


Current Maturities of Long Term Borrowings
Loan From Coal India Limited
-
Surplus Funds from Coal India Limited Current Account with Subsidiaries
-


For Capital (including stores)
49.45
39.78

FOR EXPENSES :
Salary Wages & Allowances
263.98
235.02
Power & Fuel
23.07
32.89
Others
384.51
323.73


671.56
591.64

STATUTORY DUES :
Sales Tax/ VAT
14.21
10.26
Provident Fund & Pension Fund
20.28
19.95
Central Excise Duty
18.80
23.97
Royalty & Cess on Coal
14.01
88.25
Stowing Excise Duty
20.75
20.15
Clean Energy Cess
153.88
33.19
Income Tax Deducted at Source
46.16
30.73
Other Statutory Levies
689.28
291.87


977.37
518.37


OTHERS :
Security Deposit
100.04
75.41
Earnest Money
18.49
19.80
Advance & Deposit from customers / others
713.63
840.51
Interest Accrued and due on Borrowings
-
Interest Accrued but not due on Borrowings
-

Other Liabilities
-Expenses for Coal India Sports Promotion Association
1.72
1.75

-Unutilised Govt. Grant
-
1.70

-Income received in advance
-


833.88
939.17

TOTAL
2,532.26
2,088.96

106

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note- 9
SHORT TERM PROVISIONS

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014


For Employee Benefits



- Gratuity

- Leave encashment

21.58

18.50

- Ex-gratia/ PPLB

61.47

48.60

- PRP*

194.54

162.28

- Other Employee benefits (Actuary)

For Proposed Dividend

For Corporate Dividend Tax

For Excise duty on Closing Stock of Coal

39.77

51.44

For Income Tax**

1,646.00

1,649.70

Less: Advance Income Tax/Tax deducted at source

1,646.00

1,649.70



-

Others

-Wealth Tax ***
1.25
0.50


TOTAL
318.61
281.32




* The total liability of Rs. 255.84 crores since 2007-08 upto 31.03.2015 has been netted-off with Rs. 61.30 crores (i.e.75% amount of
PRP for the year 2007-08 to 2010-11) paid to the Employees (Executives) as Recoverable Advance. Provision of Rs. 27.93 Crores (Previous year Rs. 39.69 Crores) has been made for the year ended 31.03.2015 in respect of PRP to the Employees (Executives) as per advice
of Coal India Limited. (refer Note-24).
** In the opinion of the management, provision made for Income Tax during the year Rs. 1,646.00 Crore (Prev. year Rs. 1,649.70 Crores)
is considered adequate.
*** In the opinion of the management, provision made for Wealth Tax during the year Rs. 1.25 Crore (Prev. year Rs. 0.50 Crores) is considered adequate.

107

108
(6.92)
(174.94)
(445.95)

8.11
631.00
526.16
-

143.44
0.44
143.88

6,778.58

Grand Total (A+B)

631.00

1.15
(1.59)

1.49
-

33.07
51.93
56.47
6,634.70
6,554.49

(176.02)

(1.08)

(1.08)

(0.87)

1.02

41.34

(0.10)
(160.76)
(1.76)
(0.07)
(0.20)

(3.82)

5.42
587.88
4.74
16.65
-

5.69

541.53
5,628.95
19.65
24.14
25.33

0.04
212.25

As on
01.04.14

Building/Water Supply/Road & Culverts


Plant & Equipment**
Office Equipment
Telecommunication
Railway Sidings
Furniture & fittings/ Office Tools & Equipment/
Electric Fitting/ Fire Arms
Vehicle
Development
(Road & Culvert Mine)
Surveyed off Assets
TOTAL (A)
Tangible assets as on 31.03.2014
Intangible Assets
Software
Development
Prospecting & Boring
TOTAL (B)

Tangible Assets
Land:
(a) Freehold
(b) Other*

PARTICULARS

GROSS BLOCK
Addition Adj./Sales/
during
Transfer
the year during the
year

7,233.56

142.36
0.44
142.80

35.71
50.34
57.66
7,090.76
6,634.70

41.49

546.85
6,056.07
22.63
40.72
25.13

0.04
214.12

As on
31.03.15

4,481.25

62.79
0.16
62.95

17.00
4,418.30
4,480.36

26.69
41.75

28.16

197.34
3,962.62
18.16
22.25
23.46

80.87

As on
01.04.14

372.05

8.82
0.02
8.84

363.21
356.88

1.63
0.45

2.10

9.96
337.83
0.87
0.54
0.23

9.60

(139.45)

(1.03)

(1.03)

(16.65)
(138.42)
(418.94)

1.17
7.44

0.76

13.78
(143.15)
(1.47)
(0.07)
(0.24)

0.01

4,713.85

70.58
0.18
70.76

0.35
4,643.09
4,418.30

29.49
49.64

31.02

221.08
4,157.30
17.56
22.72
23.45

90.48

DEPRECIATION
Addition Adj./Sales/ As on
during
Transfer 31.03.15
the year during the
year

FIXED ASSETS

IMPAIRMENT LOSS
Adj./
As on
As on
Addition
Sales/ 31.03.15
01.04.14
during Transfer
the
during
year
the year

4,713.85

70.58
0.18
70.76

29.49
49.64
0.35
4,643.09
4,418.30

31.02

90.48
221.08
4,157.30
17.56
22.72
23.45

TOTAL

(Rs. in Crores)

2,519.71

71.78
0.26
72.04

57.31
2,447.67
2,216.40

6.22
0.70

10.47

325.77
1,898.77
5.07
18.00
1.68

0.04
123.64

2,297.33

80.65
0.28
80.93

39.47
2,216.40
2,074.13

6.38
10.18

13.18

344.19
1,666.33
1.49
1.89
1.87

0.04
131.38

CARRYING VALUE
As on
As on
31.03.15 31.03.14

Intangible assets as on 31.03.2014


349.29
(205.41)
143.88
261.37
6.99
(205.41)
62.95
62.95
80.93
87.92
















*
Land- Others also includes 5880.09 hectare Land acquired under Coal Bearing Areas Act, 1957 and 11100.9 hectare Land acquired for specific period of time under Land Acquisition Act 1894 etc.Land- Others is capitalised on the basis of possession.

Note- 10A

NOTES TO BALANCE SHEET


ANNUAL REPORT 2014-15__________________________________________________________

109

68.81

26.23

25.41

17.17

Addition
during
the year

Adj./
Sales/
Transfer
during
the year

614.55

0.08

31.31

551.27

31.89

1.41

0.22

1.19

As on
As on
31.03.15 01.04.14

2.22

1.09

1.13

Addition
during
the
year

(0.04)

(0.04)

3.59

1.27

2.32

Adj./
As on
As on
Sales/ 31.03.15 01.04.14
Transfer
during
the year

PROVISION

Addition
during
the
year

Adj./
Sales/
Transfer
during
the year

IMPAIRMENT LOSS

As on
31.03.15

3.59

1.27

2.32

TOTAL

610.96

0.08

31.31

550.00

29.57

As on
31.03.15

544.33

0.08

5.08

525.64

13.53

As on
31.03.14

CARRYING VALUE

(Rs. in Crores)

Tangible assets as
703.22 (157.48)
545.74
0.86
0.60
(0.05)
1.41
1.41
544.33
702.36
on 31.03.2014

Assets (Capital WIP), which could not be put to use for more than 3 years from the date of purchase /acquisition /construction, a provision, equivalent to depreciation from the fourth year
and onwards has been made. Total provision amounting to Rs. 3.59 crores (Rs. 1.41 crores as on 31.03.2014) made upto 31.03.2015 as disclosed is considered adequate.

0.08

545.74

TOTAL

Others

Mine Development
& Prospecting &
Boring

5.08

525.86

Plant & Equipment

Railway Sidings

14.72

As on
01.04.14

Building/Water Supply/Road & Culverts

Tangible Assets

PARTICULARS

COST

CAPITAL WORK-IN-PROGRESS

Note - 10B

NOTES TO BALANCE SHEET


__________________________________________________ NORTHERN COALFIELDS LIMITED

110

89.33

89.86

79.68

Prospecting &
Boring

TOTAL

Intangible Assets
as on 31.03.2014

0.53

As on
01.04.14

Development

Intangible Assets

PARTICULARS

10.18

23.36

23.76

(0.40)

Addition
during
the year

89.86

113.22

113.09

0.13

As on
31.03.15

Adj./
Sales/
Transfer
during
the year

COST

IMPAIRMENT LOSS

As on
Addition
Adj./
As on
As on
Addition
Adj./
As on
TOTAL
01.04.14 during the Sales/ 31.03.15 01.04.14 during the
Sales/
31.03.15
year
Transfer
year
Transfer
during
during the
the year
year

PROVISION

INTANGIBLE ASSET UNDER DEVELOPMENT

Note - 10C

NOTES TO BALANCE SHEET

89.86

113.22

113.09

0.13

As on
31.03.15

79.68

89.86

89.33

0.53

As on
31.03.14

CARRYING VALUE

(Rs. in Crores)

ANNUAL REPORT 2014-15__________________________________________________________

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 11
NON - CURRENT INVESTMENTS

Unquoted at Cost
(Rs. in Crores)
Number of
shares/bonds/
securities as on
31.03.2015 /
(31.03.2014)

Face value per


shares/bonds/
security
(in Rs.)

As at
31-03-2015

Ast at
31-03-2014

NIL/(02)

57,280,000.00

11.45

Haryana

Maharashtra

Madhya Pradesh

Gujarat

West Bengal

Others

Equity Shares in Joint Venture Companies

Equity Shares in Subsidiaries Companies

Others (in Co-operative Shares)

Total :

11.45

Aggregate amount of Quoted Investment

Aggregate amount of Unquoted Investment

11.45

Market Value of Quoted Investment

Provision made for diminution in the value of Investment

TRADE
8.5% Tax Free Special Bonds (Fully Paid up) (Unquoted) :
(on securitisation of Sundry Debtors)
Major State-wise Break-up
UP

111

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 12
LONG TERM LOANS & ADVANCES
(Rs. in Crores)
As at
As at
31-03-2015
31-03-2014

- -




LOANS

ADVANCES

For Capital


- Secured considered good
-

- Unsecured considered good
32.98
4.38

- Doubtful
0.26
0.24


33.24
4.62
Less : Provision for Doubtful Loans and Advances**
0.26
0.24


Sub Total
32.98
4.38

For Revenue

- Secured considered good
-

- Unsecured considered good
-

- Doubtful
-

Less : Provision for Doubtful Loans and Advances**


-


Sub Total
-

Security Deposits (For Electricity)



- Secured considered good
-

- Unsecured considered good
34.29
35.26

- Doubtful
-


34.29
35.26
Less : Provision for Doubtful Loans and Advances**
-


Sub Total
34.29
35.26

Deposit with Courts, etc.



- Secured considered good
-

- Unsecured considered good*
23.71
17.47

- Doubtful
0.52
0.52


24.23
17.99
Less : Provision for Doubtful Loans and Advances**
0.52
0.52


Sub Total
23.71
17.47

LOAN TO EMPLOYEES
For House Building

- Secured considered good
15.34
17.64

- Unsecured considered good
-

- Doubtful
-


Sub Total
15.34
17.64

For Motor Car and Other Conveyance



- Secured considered good
0.03
0.07

- Unsecured considered good
-

- Doubtful
-


Sub Total
0.03
0.07

112

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 12 (Contd..)
LONG TERM LOANS & ADVANCES
(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014

For Others

- Secured considered good
-

- Unsecured considered good
-

- Doubtful
-

Less : Provision for Doubtful Loans and Advances**




Sub Total

-

-

Loan To Subsidiaries

- Secured considered good
-

- Unsecured considered good
-

- Doubtful
-


Sub Total
-
TOTAL
106.35
74.82

Classification:


Secured
15.37 17.71
Unsecured - Considered Good
90.98 57.11
- Considered Doubtful
0.78 0.76
Note
CLOSING BALANCE

Due by the Companies in which directors of the company is also a director/


member

MAXIMUM AMOUNT DUE AT ANY TIME


DURING

CURRENT YEAR

PREVIOUS YEAR

CURRENT YEAR

PREVIOUS YEAR

Due by the parties in which the Director(s) of company is /are interested



*
Singrauli Municipal Authority has claimed Terminal tax of Rs. 152.08 crores (Rs. 152.08 crores as on 31.03.2014) against which
an amount of Rs. 16.36 Crores (Prev. year Rs. 16.36 crores) has been deposited under protest. The matter is pending before
Honble Supreme Court. However, the claim of Rs. 152.08 Crores has been shown as Contingent Liability.
**

Total Provision of Rs. 0.78 crores (as on 31.03.2014 Rs. 0.76 crores), as on 31.03.2015 on account of Doubtful Loans & Advances is considered adequate.

113

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 13
OTHER NON-CURRENT ASSETS
(Rs. in Crores)


As at
As at

31-03-2015
31-03-2014


Long Term Trade Receivable

- Secured considered good
-

- Unsecured considered good
-

- Doubtful
-


-
Less: Provision for bad and doubtful trade receivables
-


-

Exploratory Drilling Work
-
Less: Provision for bad & doubtful receivables
-


-
Receivable for Mine Closure Expenses
6.22
3.15

Other Receivables

- Secured considered good

- Unsecured considered good

- Doubtful

Less: Provision for bad & doubtful receivables




-



TOTAL
6.22

3.15

Note
CLOSING BALANCE

MAXIMUM AMOUNT DUE AT ANY TIME

CURRENT YEAR

PREVIOUS YEAR

CURRENT YEAR

PREVIOUS YEAR

Due by the Companies in which


directors of the company is also a
director/ member
Due by the parties in which the Director(s) of company is /are interested

114

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTE TO BALANCE SHEET AS AT 31ST MARCH, 2015


Note 14
current investments unquoted at cost
(Rs. in Crores)

Number of
Face Value
Market Value/

units/bonds/
per unit/
NAV per unit/

securities as
bonds/
bonds/security/

on 31.03.2015/
security
as on 31.03.2015/

(31.03.2014)
(in Rs.)
(31.03.2014)
As at
As at

(in Rs.)
31.03.2015
31.03.2014

TRADE (Quoted at Cost)


Mutual Fund Investment
UTI Liquid Cash Plan

176,525.04

1,019.45

18.00

SBI Premium Liquid Fund

262,584.76

1,003.25

26.34

Canara Robeco Liquid Fund

24,942.57

1,005.50

2.51

Union KBC Liquid Fund

19,851.50

1,000.65

1.99

BOI AXA Liquid Fund

13,208.99

1,002.65

1.32

8.5% Tax Free Special Bonds (Fully Paid up)(Unquoted at Cost) :


(on securitisation of Sundry Debtors)
Major State-wise Break-up
UP

02 (02)

57,280,000

57,280,000

11.46

Total

11.46


61.62 11.46

Aggregate amount of Quoted Investment

50.16

Aggregate amount of Unquoted Investment

11.46

11.46

Market Value of Quoted Investment

Provision made for diminution in the value of Investment

115

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 15
INVENTORIES
(Valuation as per Accounting Policy No. 6 )



Finished Goods-

Stock of Coal*

Coal under development

(Rs. in Crores)
As at
As at
31-03-2015
31-03-2014


379.54
484.64
-

379.54
484.64


Less : Provision
-

A
Stock of Coal (Net)
379.54
484.64



Stock of Stores & Spare Parts
470.03
413.10

Stores -in -transit
32.86
39.03


502.89
452.13

Less : Provision**
46.64
43.66

B
Net Stock of Stores & Spare Parts
456.25
408.47


C
Workshop Jobs :

Work-in-progress and Finished Goods

Less : Provision


Net Stock of Workshop Jobs
-


D
Press :

Work-in-Progress and Finished Goods
-

E
Stock of Medicine at Central Hospital
0.12
0.08

F
Prospecting & Boring/ Development Exp./ Coal blocks meant for sale
-


Total ( A to F )
835.91
893.19


*
Stocks of coal are valued separately for each mine at cost or average net realizable value whichever is lower. Net realisable value
of stock of coal at the year end has been arrived at on the basis of average net realisable value for the quarter ended 31.03.2015.
**

A total provision of Rs. 46.64 Crores (As at 31.03.2014 Rs. 43.66 Crores) made for stores and spares which includes for unmoved
stores & spares Rs. 25.02 Crores (As at 31.03.2014 Rs. 22.48 Crores) for more than 5 years and Rs. 20.08 Crores (As at 31.03.2014
Rs. 20.03 Crores) for obsolete/ damaged/unserviceable items of stores and Rs. 1.54 crores (As at 31.03.2014 Rs. 1.15 Crores) on
account of shortage of stores including theft upto 31.03.2015, made in accordance with Accounting Policy of the company, is considered adequate.

116

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


ANNEXURE TO NOTE - 15

(Qty in lakh tonnes) ( Value in crore Rs.)

Table-A
Reconciliation of closing stock adopted in
Account with Book stock as at the end of the period :
OVERALL STOCK

NON-VENDABLE STOCK

VENDABLE STOCK

Qty.

Value

Qty.

Value

Qty.

Value

61.07

484.64

61.07

484.64

Production for the period

724.84

8,901.82

724.84

8,901.82

3.

Sub-Total ( 1+2)

785.91

9,386.46

785.91

9,386.46

4.

Off- Take for the period :

1.

(A) Opening stock as on 01.04.14

2.

( B) Adjustment in Opening Stock

(A)

Outside Despatch

700.77

8,918.25

700.77

8,918.25

(B)

Coal feed to Washeries

36.16

88.67

36.16

88.67

(C)

Own Consumption

TOTAL(A)

736.93

9,006.92

736.93

9,006.92

5.

Derived Stock

48.98

379.54

48.98

379.54

6.

Measured Stock

48.41

375.12

48.41

375.12

7.

Difference (5-6)

0.57

4.42

0.57

4.42

8.

Break-up of Difference:
-

(B) Shortage within 5%

0.57

4.42

0.57

4.42

(C ) Excess beyond 5%

48.98

379.54

48.98

379.54

(A) Excess within 5%

(D ) Shortage beyond 5%
9. Closing stock adopted in A/c

Table-B
Summary of Closing Stock of Coal

Opening Stock (Audited)


Less: Non-vendable Coal
Adjusted Opening Stock ( Vendable)
Production
Offtake*
(A) Outside Despatch
(B) Coal feed to Washeries
(C) Own Consumption
Closing Stock **
Less: Shortage

Raw Coal
Coking
Non-Coking
Qty
Value
Qty
Value
61.07
484.64
61.07
484.64
724.84
8,901.82

Washed / Deshaled Coal


Coking
Non-Coking
Qty
Value
Qty
Value
-

Other
Rejects
Qty
Value
-

Total
Qty
61.07
61.07
724.84

Value
484.64
484.64
8,901.82

(700.77)

(8,918.25)

(34.41)

(523.09)

(1.50)

(11.24)

(736.68)

(9,452.58)

(36.16)
48.98

(88.67)
379.54

36.16
1.75

88.67
-

50.73

379.54

1.75

1.75

48.98

379.54

Closing Stock **
48.98
379.54

* Offtake includes outside despatch, Coal feed to washeries & own consumption.
** Excluding non-vendable Stock

117

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 16
TRADE RECEIVABLE
(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014

Debts outstanding for a period exceeding six months


from the due date


- Secured considered good
-

- Unsecured considered good**

292.16


- Doubtful

781.99

707.81

999.97

653.68

1,435.67

Less : Provision for bad & doubtful trade receivable*


707.81
653.68


292.16
781.99


Other Debts


- Secured considered good
-

- Unsecured considered good

328.98

173.95


- Doubtful

-

328.98

173.95

Less : Provision for bad & doubtful trade receivable*





Total

Classification:


Secured

-

328.98

621.14

173.95

955.94

621.14 955.94

Unsecured - Considered Good

707.81 653.68

- Considered Doubtful

Note :
CLOSING BALANCE
CURRENT
PERIOD

MAXIMUM AMOUNT DUE


AT ANY TIME DURING

PREVIOUS
PERIOD

CURRENT
PERIOD

PREVIOUS
PERIOD

Due by the Companies in which directors


of the company is also a director/ member
- Coal India Limited, the holding company

0.08

Due by the parties in which the Director(s)


of company is /are interested

118

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 16
TRADE RECEIVABLE (Contd.)
*PROVISION TOWARDS DEEMED LOWERING OF GRADE

With the introduction of Gross Calorific value (GCV) system of grading of coal w.e.f. 1st January 2012,
supply of coal to NTPC was billed at declared grade of coal corresponding to the GCV range of the
coal supplied. With effect from October 2012 NTPC released payment based on GCV determined
unilaterally at the receiving end, contrary to the provision of Fuel Supply Agreement which stipulates
that the GCV is to be determined at the loading end by joint collection, preparation, testing and analysis
of the coal being supplied.
As a result an amount of Rs. 669.89 Crore (Basic bill value Rs.643.88 crore and incentive for 2012-13
Rs.26.01 crore) was unilaterally withheld by NTPC for the period October, 2012 to September, 2013
as on 31.03.2015 from the bills of the Company in respect of supply of coal, which was against the
provision of FSA. The issue was taken up with the Ministry of Power through the Ministry of Coal for
resolution which resulted in incorporation of a provision for third party sample collection, preparation,
testing and analysis at the point of loading in the FSA. Such third party sampling/analysis was
implemented from October 2013.
For an appropriate resolution of the issue, the Govt. of India advised for extrapolation of the result
of the third party sampling/analysis during October December 2013 to the supplies during the past
period from October 2012 to September 2013. On the basis of this settlement formula an amount of
Rs. 669.89 crore (Basic bill value Rs. 643.88 crore and incentive for 2012-13 Rs. 26.01 crore) has
been provided in the Accounts upto 31.03.2015.
**It includes a sum of Rs. 3.34 crores recoverable from e-auction & road sale customers on account
of the supplementary bills raised for recovering the excise element on royalty and stowing excise duty
paid under protest by the Company for the period 1.03.2011 to 28.2.2013. The recoveries from the
customers to the extent of Rs. 1.74 crores , have been stayed by the courts. Further, the issue as to
the royalty to be a part of the transaction value is pending before the larger bench of the Supreme
Court. The Company has challenged the chargeability of the excise duty on royalty and stowing excise
duty before the CESTAT, New Delhi and the case is pending for hearing/ decision. In view of above,
no provision has been made against the same.
Total provision of Rs. 707.81 Crores for Bad & Doubtful Debts is considered adequate as at 31.03.2015
(As at 31.03.2014 Rs. 653.68 Crores).

119

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 17
CASH & BANK BALANCE

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014

Cash & Cash Equivalents



Balances with Scheduled Banks


- In Deposit Accounts with maturity upto 3 months
-
-

- In Current Accounts*
110.19
20.38

- In Cash Credit Accounts
-
-


Balances with Non - Scheduled Banks
-
-


Remittance - in transit
-
-

Cheques, Drafts and Stamps on hand
-
-

Cash in hand
0.02
0.02


Other Bank Balances

Balances with Scheduled Banks


- In Deposit Accounts with maturity between 3-12 months**
6,705.45
7,169.47

- In Deposit maturing in more than 12 months
-
-



Term Deposit with Scheduled Banks under Escrow Account

with maturity more than 12 months
449.44
253.92

Total
7,265.10
7,443.79




Maximum amount outstanding with Banks other than
Scheduled Banks at any time during the year
-
-


Note:
*

Includes an amount of Rs. 19.08 crores (Rs. 13.69 crores as on 31.03.2014) in sweep account with Banks and lien of Rs. 5.33 crores
& Rs. 7.39 crores for Jayant & Amlohri Projects respectively, has been created on the notice of DCIT (TDS), Jabalpur.

**

Deposit with Banks includes fixed deposit of Rs. 1.62 cr (Rs. 1.65 crores as on 31.03.2014) pledged with Bank as margin money for
B. G. Interest accrued thereon is Rs. 0.19 crores (Rs. 0.18 crores as on 31.03.2014).

Deposit with Banks includes fixed deposit of Rs. 339 Cr lien marked with Bank against Bank Guarantee of Rs. 337 Cr. to UP Forest
Department against Transit Fees.

**

Deposits with Bank includes Rs. 4.83 Crores (Rs. 4.47 crores as on 31.03.2014) as per the order of Honble High Court, Kolkata,
has been kept in separate interest bearing account. Interest accrued on these deposit are Rs. 0.11 Crores (Previous Year Rs. 0.10
Crores).

120

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note - 18
SHORT TERM LOANS & ADVANCES
(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014


LOANS
-
-
ADVANCE
(Recoverable in cash or in kind or for value to be received)
ADVANCE TO SUPPLIERS

For Revenue

- Secured considered good
-

- Unsecured considered good
50.85
5.03

- Doubtful
0.73
1.24


51.58
6.27
Less : Provision for Bad & Doubtful Advances*
0.73
1.24


Sub total
50.85
5.03

ADVANCE PAYMENT OF STATUTORY DUES


Excise Duty

- Secured considered good
-

- Unsecured considered good
21.48
20.68

- Doubtful
-


21.48
20.68
Less : Provision for Bad & Doubtful Advances*
-


Sub total
21.48
20.68

Advance Income Tax / Tax Deducted at Source


1,695.72
1,728.84
Less : Provision for Income Tax
1,646.00
1,649.70


Sub total
49.72
79.14

Others

- Secured considered good

- Unsecured considered good
-
0.02

- Doubtful
-


-
0.02
Less : Provision for Bad & Doubtful Advances*
-


Sub total
-
0.02


ADVANCE TO EMPLOYEES

- Secured considered good
-

- Unsecured considered good
3.31
1.91

- Doubtful
0.00


3.31
1.91
Less : Provision for Bad & Doubtful Advances*
0.00


Sub total
3.31
1.91


Current Account with Coal India Limited (Holding Co.) &
other Subsidiaries of Coal India Limited
-
1.59


Sub total
-
1.59

Continued

121

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note - 18 (Continued..)
SHORT TERM LOANS & ADVANCES
(Rs. in Crores)
As at
31-03-2015

As at
31-03-2014

Claims Receivables

- Secured considered good
-

- Unsecured considered good
13.29
5.42

- Doubtful
4.16
3.10


17.45
8.52

Less : Provision for Bad & Doubtful Advances*
4.16
3.10


Sub total
13.29
5.42



Prepaid Expenses
-
0.11



TOTAL
138.65
113.90

Classification:



Secured
-
Unsecured - Considered Good
138.65 113.90
- Considered Doubtful
4.90 4.34


Note:
CLOSING BALANCE

MAXIMUM AMOUNT DUE AT ANY TIME


DURING

CURRENT PERIOD

PREVIOUS YEAR

CURRENT PERIOD

PREVIOUS YEAR

1.59

1.59

Due by the Companies in which directors


of the company is also a director/ member
Coal India Limited (Holding Co.)& other
Subsidiaries of Coal India Limited

Due by the parties in which the Director(s)


of company is /are interested

*
Total Provision of Rs. 4.90 crores as on 31.03.2015 (as on 31.03.2014 Rs. 4.34 crores) on account of Doubtful Loans & Advances
is considered adequate.

122

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note -19
OTHER CURRENT ASSETS

(Rs. in Crores)

As at
As at

31-03-2015
31-03-2014

Interest Accrued

- Investment
0.49
0.97

- Deposit with Banks
354.36
404.42

- Others
-


Sub Total
354.85
405.39

Ex Owners Account
-
Other Advances

- Secured considered good
-

- Unsecured considered good*
40.00
31.99

- Doubtful
6.85
7.48


46.85
39.47
6.85 7.48
Less: Provision for Bad & Doubtful Advances$


Sub Total
40.00
31.99

DEPOSITS

Deposit for Customs Duty, Port Charges etc.
-

Deposit with Coal India Limited
588.01
2,495.47

Deposit for Royalty, Cess & Sales Tax
-

Less: Provision
-


Sub Total
588.01
2,495.47


Others (Deposit under Protest)**
1,469.16
1,133.94
0.09 0.09

Less: Provision for Doubtful Deposits$

Sub Total
1,469.07
1,133.85




Other Receivables


VAT & CENVAT Receivable
120.49
121.67
Rent & Electricity Receivable
2.28
2.94


122.77
124.61
46.56 39.90
Less: Provision for Doubtful Recievable$

Sub Total
76.21
84.71

TOTAL
2,528.14
4,151.41



Classification:


Secured
-
Unsecured - Considered Good
2,528.14
4,154.56
- Considered Doubtful
53.50
47.47

continued

123

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO BALANCE SHEET


Note -19
OTHER CURRENT ASSETS

continued

Of the total actuarial liability of Rs. 646.90 crores and outstanding gratuity liability of Rs. 3.08
crores has been net-off with Rs. 688.40 crores deposited with LIC (Rs. 645.94 crores as on
31.03.2014) which includes interest amounting to Rs. 58.66 crores, Net of Insurance Premium
Rs. 1.9 Crore (Prev. year Rs. 56.69 crore, Net of Insurance Premium Rs. 1.61 Crore) @ 9.40%
pa. has been accounted for on accrual basis for the period ended on 31.03.2015.

**

Commercial Tax Department of M.P. and UP has raised a demand of Rs. 1040.06 Crores (As at
31.03.2014 Rs. 737.92 Crores) till 31.03.2015 for Sales Tax & Entry Tax, against which appeal
has been filed and Rs. 248.56 Crores (As at 31.03.2014 Rs. 120.23 Crores) has been deposited
under protest. However, the claim of Rs. 1040.06 Crores has been shown as Contingent Liability.

**

Singrauli Municipal Authority has claimed licence and composite fees for construction of building
of Rs. 9.87 Crores during 1999-2000 against which an amount of Rs. 6.00 Crores has been
deposited under protest in 2002-03. The matter is pending before Honble Supreme Court.
However, the claim of Rs. 9.87 Crores has been shown as Contingent Liability.

**

Govt. of Madhya Pradesh has claimed Land Revenue Premium for an amount of Rs. 117.05
Crores against which an amount of Rs. 3.00 Crores has been deposited under protest to
Honble High Court Jabalpur during the year 2004-05. However, the claim of Rs. 117.05 Crores
has been shown as Contingent Liability. The matter is pending before the Honble High Court,
Jabalpur.

**

Commissioner of Income tax, Jabalpur has demanded Rs. 13.12 crores against adhoc provion
of NCWA VII during A/Y 2002-03 & 2003-04 & on account of interest income on parking of
surplus fund with CIL for A/Y 2002-03 against which an amount of Rs. 13.12 crore has been
deposited with Income tax department under protest as the matter is pending before Honble
High Court, Jabalpur.

Furthermore, Assistant Commissioner of Income Tax, Jabalpur raised a demand for Assessment
Year 2010-11 Rs. 1004.00 crores at the time of assessment under section 143(3) by disallowing
various allowable expenses and demand is reduced to Rs. 990.76 crores under section 250
after giving appeal effect of CIT(A) against which an amount of Rs. 990.76 crores has been
deposited with Income Tax department under protest. Honble ITAT, Jabalpur is pleased to
pronounce the decision in favour of NCL vide order dated 05.05.2015. Thus, after the
appeal effect of ITAT Order NCL is eligible for the refund Rs. 990.76 crores alongwith interest.
And for Assessment year 2011-12 Assistant Commissioner of Income Tax, Jabalpur raised a
demand of Rs. 1018.65 crores at the time of assessment under section 143(3) by disallowing
various allowable expenses, subsequently demand was reduced to Rs. 910.99 crores under
124

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO BALANCE SHEET


Note -19
OTHER CURRENT ASSETS

continued

section 154 and 250 after rectification and appeal effect of CIT(A) against which an amount
of Rs. 164.14 crores (including Rs. 14.14 Crore as adjustment of Refund of earlier year) has
been deposited with Income Tax deptt. under protest as the matter is subjudice and pending
before Income Tax Appellate Tribunal, Jabalpur and for A/Y 2012-13 Assistant Commissioner
of Income Tax, Jabalpur raised a demand of Rs. 860.96 crores at the time of assessment
under section 143(3) by disallowing various allowable expenses, against which an amount of
Rs. 40.00 crores has been deposited with Income Tax department under protest as the matter
is subjudice and pending before commissioner of Income Tax (Appeal), Jabalpur

**

MPPKVVCL has raised a claim of Rs. 7.44 Crores (As at 31.03.2014 Rs. 7.44 Crores) till
31.12.2014. The matter was challenged before Electricity Ombudsman, Bhopal under case
no. L0024112 and Rs. 2.50 Crores (As at 31.03.2014 Rs. 2.50 Crores) has been deposited
under protest. However, the decision of the Ombudsman is awaited and the amount of Rs.
7.44 Crores has been shown as Contingent Liability.

Total Provision of Rs. 53.50 crores as on 31.03.2015 (as on 31.03.2014 Rs. 47.47 crores) on
account of Doubtful Loans & Advances is considered adequate.

125

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO STATEMENT OF PROFIT & LOSS


Note- 20
Revenue From Operations

( Rs. in Crores)

For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

A Sales of Coal*

13,161.25 12,400.42



Less: Excise Duty

657.22

649.45

Less : Other Levies



Royalty

1,208.42 1,184.37

Cess on Coal

10.82

13.25

Stowing Excise Duty

73.70

72.11

Central Sales Tax

131.56

104.69

Clean Energy Cess

716.91

361.97

State Sales Tax/ VAT

285.13

298.01

Others Levies**
624.91
412.69


TOTAL LEVIES
3,708.67
3,096.54


NET SALES* (A)
9,452.58
9,303.88

B Loading and Additional Transportation
Charges
222.99 213.66
Less- Excise Duty

12.50

11.86

Less:- Other Levies


Central Sales Tax

2.44

1.79

State Sales Tax/ VAT

4.61

4.98

Others Levies

0.43

0.57

Total Levies

19.98

19.20


Other Operating Revenue (B)

C Revenue From Operations (A+B)


203.01
194.46

9,655.59
9,498.34


*
includes incentive from customers Rs. 98.46 Crores for the year ended 31.03.2015 (Previous Year Rs. 134.76 Crores).
**

includes UP Transit Fees (including VAT & CST) for the period Jan. 1999 to March 2012 amounting to Rs. 384.29 Crores for which
bills are raised during current period and Rs.36.46 Crores against MPGATSVA by realising Bank Guarantee form M/s HINDALCO
Industries Limited.

126

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 21
OTHER INCOME
( Rs. in crores)

For the Year
For the Year

ended 31.03.2015
ended 31.03.2014



Income From Long Term Investments

Dividend from Joint Ventures

Interest from:
Government Securities ( 8.5% Tax Free Special Bonds)*

0.73

1.71

Income From Current Investments



Dividend from Mutual Fund Investments

0.98

Interest from:
Government Securities ( 8.5% Tax Free Special Bonds)*

0.97

0.97


Income From Others

Interest (Gross)
(TDS Rs. 100.98 Crores, Previous year Rs. 95.63 Crores)

From Deposit with Banks

From Loans and Advances to Employees

From Income Tax Refunds

From Parking of Surplus Fund with Coal India Ltd

Others

836.89

832.49

0.77

0.55

0.18

169.39

113.78

2.72

2.35


Profit on Sale of Assets

0.80

Gain on Foreign exchange Transactions

Exchange Rate Variance

2.88

3.09

Lease Rent
Liability write back

13.55

2.71

Other Non Operating Income

82.85

53.59

TOTAL

1,112.53 1,011.42


*
In terms of the Scheme of Securitisation, one-time settlement against past dues of UPSEB as on 30.09.2001 has been made by
executing an agreement. Accordingly 8.5% Tax Free Govt. of U.P. Special Bond amounting to Rs. 114.56 Crores have been issued
which are to be redeemed over a period of 15 years in 20 equal six monthly installments commencing from 01.10.2006. Interest
received from these bonds is Rs.1.70 Crores (Previous Year Rs.2.68 Crores.

127

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 22
COST OF MATERIAL CONSUMED

( Rs. in crores)


For the Year


For the Year
ended 31.03.2015
ended 31.03.2014


Explosives
408.73 353.21
Timber

- -

P O L

637.85

717.37

HEMM Spares

406.27

386.53

Other Consumable Stores & Spares

125.85

133.41


TOTAL


1,578.70

128

1,590.52

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 23
CHANGE IN INVENTORIES OF FINISHED GOODS,
WORK IN PROGRESS AND STOCK IN TRADE
( Rs. in crores)


For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

FINISHED GOODS

Opening Stock of Coal
484.64
629.32
Add: Adjustment of opening stock

Less: Deterioration of Coal
-




484.64
629.32

Less: Closing Stock of Coal
379.54
484.64
Less: Deterioration of Coal/Coke
-





379.54
484.64

A)
Change in Inventory of Coal
105.10
144.68

Opening Stock of Workshop made finished goods and WIP


-
-
Less: Provision
-



Less: Closing Stock of Workshop made finished goods and WIP
-
-
Less: Provision




B)
Change in Inventory of workshop
-
-


Change in Inventory of Stock in trade (A+B)


105.10
144.68
{Decretion / [Accretion]}

129

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 24

EMPLOYEE BENEFIT EXPENSES





Salary, Wages, Allowances & Benefits

( Rs. in crores)

For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

1,301.70
1,247.28



Ex-gratia*

68.49 53.22

PRP**

27.93 39.69

Contribution to P.F. & Other Funds

166.25

159.86

Gratuity***

31.05 -

Leave Encashment

61.94

VRS

53.65

Workmen Compensation

0.10

0.29


Medical Expenses
24.80
21.70
Medical Expenses for Retired Employees

0.37

9.73

Grants to Schools & Institutions

9.20

21.92

Sports & Recreation#

4.29 3.53

Canteen & Creche

0.89

0.84

Power - Township

68.16

69.30

Hire Charges of Bus, Ambulance etc.


Other Employee Benefits

5.28

4.99

30.02

25.24

TOTAL

1,800.47 1,711.24


* Rs. 68.49 Crores (Previous year Rs. 53.22 Crores) provision has been made during the year ended 31.03.2015 in respect of
Ex-gratia to the Employees (Non-Executives) on the basis of Ex-gratia declared for the year 2013-14.
** Refer Note no. 09
*** Interest Received from LIC on Gratuity Fund - Rs. 58.66 crores, is net of Insurance Premium Rs. 1.90 crores (Prev. year - Rs. 56.69
Crores, Net of Insurance Premium Rs. 1.61 Crore) & Gratuity Expenses - Rs. 89.71 Crores (Prev. Year - Rs. 53.98 Crores).
# includes an amount of Rs. 1.72 crores towards contribution to Coal India Sports Promotion Association (CISPA) @ Rs. 0.25/- per
tonne of coal produced in the previous year, as decided in 296th CIL Board Meeting.

Note 25
CORPORATE SOCIAL RESPONSIBILITY EXPENSES

( Rs. in crores)





CSR Expenses

For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

61.77


TOTAL

39.72



61.77 39.72

130

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 26

REPAIRS
( Rs. in crores)




Building

For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

Plant & Machinery

83.38

60.80

128.34

126.45

5.79

5.44

Others

TOTAL

217.51

192.69

Note - 27
CONTRACTUAL EXPENSES
( Rs. in crores)


For the Year


For the Year
ended 31.03.2015
ended 31.03.2014


Transportation Charges :
- Sand
- Coal & Coke
- Stores & Others etc.

99.93

96.15


Wagon Loading
Hiring of P&M
Other Contractual Work

TOTAL

1,036.54

875.04

74.84

69.14


1,211.31
1,040.33

131

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 28
FINANCE COSTS
( Rs. in crores)

For the Year
For the Year

ended 31.03.2015
ended 31.03.2014


INTEREST EXPENSES



Deferred Payments
-
-
Bank Overdraft / Cash Credit

Interest on IBRD & JBIC Loan *

CIL Fund Loan Interest

Others

0.26

-
4.97
0.25


TOTAL(A)


0.26


5.22



OTHER BORROWING COST


Guarantee Fees on (IBRD & JBIC) Loan
Other Expenses / Bank Charges

8.74

1.49

TOTAL(B)

10.23




TOTAL (A+B)

0.26

15.45

132

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 29
PROVISIONS
( Rs. in crores)

For the Year
For the Year

ended 31.03.2015
ended 31.03.2014


(A) PROVISION MADE FOR

Doubtful debts
60.11
650.69

Doubtful advances & Claims
12.00
15.53

Foreign exchange Transaction
-

Stores & Spares
3.33
1.33

Reclamation of Land/ Mine Closure Expenses*
118.91
110.02

Surveyed of Fixed Assets/Capital WIP
2.22
3.78
Others
-


TOTAL (A)
196.57
781.35


(B) PROVISION WRITTEN BACK

Doubtful debts
5.98
0.08

Doubtful advances & Claims
5.39
2.08

Foreign exchange Transaction
-

Stores & Spares
0.35
1.08

Reclamation of Land/ Mine Closure Expenses
-
2.39

Surveyed of Fixed Assets/Capital WIP
16.69
1.38
Others
-


TOTAL (B)
28.41
7.01


TOTAL ( A-B )
168.16
774.34

Provision of Rs. 118.91 Crores( Prev. Year Rs. 107.63 Crores) net of interest received Rs. 25.96 crores from Escrow Account (
Prev. Year Rs. 8.10 Crores) has been made during the year ended 31.03.2015 (Refer Note-5).

Note - 30
WRITE OFF
( Rs. in crores)

For the Year
For the Year

ended 31.03.2015
ended 31.03.2014




Doubtful debts
-

Doubtful advances

Others


TOTAL

133

ANNUAL REPORT 2014-15__________________________________________________________

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 31
OTHER EXPENDITURE
( Rs. in crores)


For the Year


For the Year
ended 31.03.2015
ended 31.03.2014

Travelling expenses
- Domestic
10.50
10.22
- Foreign
0.01
0.08
Training Expenses*
4.48
4.73
Telephone & Postage
4.50
4.77
Advertisement & Publicity
5.02
4.79
Freight Charges
0.69
0.28
Demurrage
-
0.06
Donation/ Subscription
-
Security Expenses
23.55
19.99
Service Charges of CIL**
36.24
34.32
Hire Charges
15.26
14.14
CMPDI Expenses
37.16
28.69
Legal Expenses
1.05
0.46
Bank Charges****
0.55
0.05
Guest House Expenses
0.67
0.69
Consultancy Charges
0.07
0.81
Under Loading Charges
10.10
10.35
Loss on Sale/Discard/Surveyed of Assets
-
2.12
Auditors Remuneration & Expenses
- For Audit Fees
0.08
0.08
- For Taxation Matters
0.01
0.01
- For Company Law Matters
-
- For Management Services
-
- For Other Services
0.15
0.09
- For Reimbursement of Expenses
0.12
0.08
- For Cost Audit
0.05
0.05
Internal Audit & Other Management Expenses
1.67
0.79
Rehabilitation Charges***
44.21
43.27
Royalty & Cess on Coal
80.87
71.31
Central Excise Duty
(12.73)
(22.24)
Rent

-
Rates & Taxes
11.01
7.48
Wealth Tax
1.25
(0.05)
Insurance
0.52
0.47
Loss on Exchange Rate Variance
-
R & D Expenses
14.15
0.24
Lease Rent
0.02
0.19
Rescue/Safety Expenses
10.65
8.04
Dead Rent/Surface Rent
-
Siding Maintenance charges
2.09
1.06
Land/Crops Compensation
-
Environmental Expenses
6.42
6.75
Tree Plantation
4.81
3.97
Misc. Expenses
11.66
11.97

TOTAL
326.86
270.11


*
As per advice received from Coal India Limited, Holding Company, training expenses @ Rs. 0.50 per tonne of production during the
period ended on 31.03.2015 amounting to Rs. 3.62 Crores (Previous year Rs. 3.43 Crores), towards contribution to Indian Institute
of Coal Management (IICM) has been included in Training Expenses.
** As per advice received from Coal India Limited, Holding Company, the service charges @ Rs. 5/- per tonne of production of Coal
has been charged.
*** As per advice received from Coal India Limited, Holding Company, the rehabilitation charges @ Rs. 6/- per tonne of dispatch has
been charged.
**** Bank Charges includes Rs. 3934/- incurred on account of 8.5% Tax Free U P Special Bond .

134

__________________________________________________ NORTHERN COALFIELDS LIMITED

NOTES TO STATEMENT OF PROFIT & LOSS


Note - 32
PRIOR PERIOD ADJUSTMENTS
( Rs. in crores)

For the Year
For the Year

ended 31.03.2015
ended 31.03.2014


(A) Charges

Consumption of Stores & Spares

2.43

1.91

Employees Remuneration & Benefits

3.74

Power & Fuel

8.27

Welfare Expenses

(0.65)

Repairs

Contractual Expenses

Other Expenditure

0.84

(1.89)

Interest and other financial charges

3.82

0.89

Depreciation

TOTAL (A)

(10.29)

(3.20)

12.27

(B) Income

Sale of Coal & Coke

Stock of Coal & Coke

Other Income

TOTAL (B)

TOTAL ( A-B )

21.59

0.43

(0.32)

21.27

0.43

(24.47)

135

11.84

ANNUAL REPORT 2014-15__________________________________________________________


NOTE 33

SIGNIFICANT ACCOUNTING POLICIES FORMING PART OF THE


BALANCE SHEET AS AT MARCH 31, 2015 AND STATEMENT OF
PROFIT & LOSS FOR THE PERIOD ENDED ON THAT DATE
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, 2013 including accounting
standards notified there under, except
otherwise stated.

2.3

2.3.1 Certain Grant / Funds received under


S&T, PRE, EMSC, CCDA etc. as an
implementing agency and used for creation
of assets are treated as Capital Reserve
and depreciation thereon is debited to
Capital Reserve Account. The ownership
of the asset created through grants lies
with the authority from whom the grant is
received.

1.1

Use of estimate

In preparing the financial statements in


conformity with Accounting Principles
generally accepted in India, management
is sometimes required to make estimates
and assumptions that affect the reported
amounts of assets and liabilities and the
disclosures of contingent liability as at
the date of financial statements and the
amount of revenue and expenses during
the reported period. Actual results may
differ from those estimates. Any revision to
such estimate is recognized in the period
in which the same is determined.

2.0

Subsidies/ Grants from Govt. :

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.

Subsidies / Grants from Government


received as an implementing agency

2.3.2 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,


cash rehabilitation expenses, resettlement
cost and compensation in lieu of
employment incurred for concerned
displaced persons.

3.2 Plant & Machinery:


2.2 Subsidies / Grants on revenue account


are credited to Statement of Profit & Loss
as income and the relevant expenses
are debited to the respective heads of
expenses. The unspent amount at the
Balance Sheet date, if any, is shown as
current liabilities.

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:


136

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.

__________________________________________________ NORTHERN COALFIELDS LIMITED


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:

Investments in mutual fund are considered


as current investments.

Non-Current investments are valued at


cost. However, when there is a decline,
other than temporary, in the value of the
long term investment, the carrying amount
is reduced to recognize the decline

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 (coking & semi-coking), 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.

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:

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. Similarly stock of
stationary at printing press and medicines
at central hospital are valued at cost.

Current investments are valued at the


lower of cost and fair value as at the
Balance Sheet date.

6.2.3 Stock of stationery (other than lying at


printing press), bricks, sand, medicine
(except at Central Hospitals), aircraft

137

ANNUAL REPORT 2014-15__________________________________________________________


spares and scraps are not considered in
inventory.
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.
7.0

Depreciation:

7.1

Depreciation on fixed assets is provided on


straight line method on the basis of useful
life specified in Schedule II of Companies
Act, 2013 except for assets mentioned
below, for which depreciation is provided
on the basis of technically estimated useful
life which are lower than that envisaged as
per schedule II of Companies Act, 2013 to
reflect/ depict a more true and fair useful
life of these assets :

Telecommunication Equipment
Photocopying Machine

year with a nil residual value.


7.4

Depreciation on the assets added/


disposed of during the year is provided
on prorata basis with reference to the
month of addition/ disposal, except on
those assets with one year useful life and
nil residual value as mentioned under para
7.3, which are fully depreciated in the year
of their addition. These assets are taken
out from the assets after expiry of two
years following the year in which these are
fully depreciated.

7.5

Value of Land acquired under Coal


Bearing Area (Acquisition & Development)
Act, 1957 is amortized on the basis of
the balance life of the project. Value of
leasehold land is amortized on the basis of
lease period or balance life of the project
whichever is earlier.

7.6

Prospecting, Boring and Development


expenditure are amortized from the year
when the mine is brought under revenue
in 20 years or working life of the project,
whichever is less.

7.7

Cost of Software recognized as intangible


asset, is amortised on straight line method
over a period of legal right to use or three
years, whichever is less; with a nil residual
value.

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.

: 6 & 9 years
: 4 years

Fax Machine

: 3 years

Mobile Phone

: 3 years

Digitally Enhance Cordless Telephone: 3 years


Printer & Scanner
Earth Science Museum

: 3 years
: 19 years

High volume respiratory dust samplers: 3 yrs.


Certain equipment/ HEMM : 7 years and 6 years
as applicable
SDL (equipment)

: 5 years

LHD (equipment)

: 6 years

7.2

7.3

The residual value of all assets for


depreciation purpose is considered as
5% of the original cost of the asset except
those item of assets covered under para
7.3
In case of assets namely Coal tub, winding
ropes, haulage ropes, stowing pipes &
safety lamps the technically estimated
useful life has been determined to be one

138

__________________________________________________ NORTHERN COALFIELDS LIMITED


9.0

Foreign Currency Transactions:

c) Other employee benefits:

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 period
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:

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.

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) 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.

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.

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.

11.2 Dividend

12.0

139

Dividend income is recognised when right


to receive is established.
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.

ANNUAL REPORT 2014-15__________________________________________________________


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.

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

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 :

140

Income / expenditures relating to prior


period and prepaid expenses, which do
not exceed Rs. 0.10 crore in each case,
are treated as income /expenditure of
current year.

__________________________________________________ NORTHERN COALFIELDS LIMITED


NOTE 34

ADDITIONAL NOTES ON ACCOUNTS FORMING PART OF THE


BALANCE SHEET AS AT 31st MARCH, 2015 & STATEMENT OF
PROFIT & LOSS FOR THE YEAR ENDED ON THAT DATE
such accumulated leaves using the
Projected Accrued Benefits Method
with actuarial valuations being carried
out at each Balance Sheet date.

1. BACKGROUND

2.
I.

Assets & Liabilities of Singrauli Division


of Central Coalfields Ltd. (CCL) as on
01.04.1986 have been transferred to
Northern Coalfields Ltd., pursuant to the
directives issued by Govt. of India, Ministry
of Energy, Deptt. of Coal vide letter no.
38011-1/83_CA dated 01.11.1985 by way
of bifurcation from CCL.

(4) Terminal benefits: VRS benefits are


recognized in the books in the year of
occurrence.
D E TA I L S O F G R AT U I T Y, L E AV E
ENCASHMENT AND OTHER EMPLOYEE
BENEFITS:

COMPLIANCE WITH OTHER


ACCOUNTING STANDARDS

(Rs. In Crores)

AS-15 Accounting for Retirement


Benefits: The Company has adopted
AS 15 (Revised) Employee benefits with
effect from 1st April, 2007, as under.

PARTICULARS

(1) Short-term employee benefits:


The Company recognizes the
undiscounted amount of short-term
employee benefits expected to be paid
in exchange for services rendered as
a liability (accrued expense) after
deducting any amount already paid.
(2) P o s t - e m p l o y m e n t b e n e f i t s :
The Company operates defined
contribution plans pertaining to Coal
Mines Provident Fund schemes for all
employees.
(3) Other long-term employee benefits:
Entitlements to annual leave and
sick leave are recognized when they
accrue to employees. Sick Leave
can only be availed during service
period while annual leave can either
be availed or encashed subject to
leave rules of the Company. The
Company determines the liability for

GRATUITY
(FUNDED)

LEAVE
ENCASHMENT
(UNFUNDED)

OTHER
EMPLOYEE
BENEFIT
(UNFUNDED)

Actuarial
Valuation as on
31.03.2015

646.90

234.76

115.49

Actuarial
Valuation as on
31.03.2014

618.37

214.04

109.84

Net
Incremental
Liability for
Current period

28.53

20.72

5.65

Other Employee Benefit includes LLTC/


LTA, Life Cover, Settlement Allowance
& Accidental Insurance, Fatal Mine
Accidental Benefit and Post-Retirement
Medical Benefit.

The following disclosures are made


in accordance with AS-15 (Revised)
pertaining to the Gratuity (Funded Plan):

141

ANNUAL REPORT 2014-15__________________________________________________________


Table 4: Disclosure Item 120 (g)

Table 1: Disclosure Item 120 (c)


Table Showing Changes in Present


Value of Obligations :

Table showing Expense Recognized in


Statement of Profit and Loss :

(Rs. In Crores)
Particulars

As at
31/03/2015

As at
31/03/2014

34.30

31.48

NIL

NIL

Interest Cost

47.02

50.25

Expected Return on Plan Asset

51.68

53.99

Curtailment Cost

NIL

NIL

(27.76)

Settlement Cost

NIL

NIL

618.37

Actuarial gain/loss recognized in


the year

1.41

(30.45)

Expense Recognized in Statement


of Profit/Loss

31.05

(2.71)

As at 31/03/2015

As at 31/03/2014

P r e s e n t Va l u e o f
Obligation at Beginning
of year

618.37

617.95

Interest Cost

47.02

50.25

Current Service Cost

34.30

31.48

Benefits Paid

61.19

53.55

Actuarial gain/loss on
Obligations

8.40

P r e s e n t Va l u e o f
Obligation at end of Year

646.90

(Rs. In Crores)
Particulars
Current Service Cost
Past Service Cost

Table 2: Disclosure Item 120 (e)


Table Showing Changes in Fair Value


of Plan Assets :

(Rs. In Crores)
Particulars

As at 31/03/2015

As at 31/03/2014

Fair Value of Plan Asset


at Beginning of year

645.94

635.15

Acquisition Adjustment

NIL

NIL

Expected Return on
Plan Asset

51.68

53.99

Contributions

45.00

7.66

Benefits Paid

61.19

53.55

Actuarial gain/ loss on


Plan Asset

6.97

2.70

Fair Value of Plan Asset


at End of year

688.40

Table 5: Disclosure Item 120 (l)


Table showing Actuarial Assumptions :
Particulars

As at 31/03/2015

Mortality Table

IALM (2006-08) ULT IALM (2006-08) ULT

Superannuation
Age

645.94

618.37

Fair Value of Plan


Asset at end year

688.40

645.94

Funded Status

41.51

27.57

Unrecognized
actuarial gain/ loss
at end of the year

NIL

NIL

Net Asset (Liability)


Recognized in
Balance Sheet

41.51

3 between 29 and 45

3 between 29 and
45

1 below age 29

1 below age 29

Inflation Rate

6.25

6.25

Return on Asset

8.50

8.50

12

12

(Rs. In Crores)

646.90

6 above age 45

8.50

FORMULA USED

Present Value of
Obligation at end
year

6 above age 45

8.50

Table showing Funded Status


As at 31/03/2014

60

Discount Rate

Remaining Working
Life

As at 31/03/2015

60

Early Retirement & 10 PER THOUSAND 10 PER THOUSAND


Disablement
P.A.
P.A.

Table 3: Disclosure Item 120 (f)

Particulars

As at 31/03/2014

PROJECTED UNIT PROJECTED UNIT


CREDIT METHOD
CREDIT METHOD

Table 6: Disclosure Item 120 (o)


Movements in the Liability Recognized
in Balance Sheet
(Rs. In Crores)

Particulars
Opening
Liability

Net

Expenses as above
Contributions

27.57

142

As at 31/03/2015

As at 31/03/2014

(27.57)

(17.20)

31.06

(2.71)

44.5

7.66

Closing Net Liability

(41.51)

(27.57)

Closing Fund/
Provision at end of
Year

646.90

618.37

__________________________________________________ NORTHERN COALFIELDS LIMITED


The following disclosures are made


in accordance with AS-15 (Revised)
pertaining to the Leave Encashment
Benefit (EL/HPL) (Unfunded Plan):

(Rs. In Crores)

Table 1: Disclosure Item 120 (c):


Table Showing Changes in Present
Value of Obligations

Particulars

(Rs. In Crores)
Particulars
P r e s e n t Va l u e
of Obligation at
Beginning of year
Interest Cost
Current Service
Cost
Benefits Paid
Actuarial gain/loss
on Obligations
Present Value of
Obligation at end
of Year

Table 4: Disclosure Item 120 (o):


Movements in the Liability Recognized
in Balance Sheet

As at 31/03/2015

As at 31/03/2014

Expenses as above

61.94

53.66

As at 31/03/2015

As at 31/03/2014

Closing Net Liability

61.94

53.66

214.04

194.80

15.47

15.10

Closing Fund/
Provision at end of
Year

234.76

214.04

22.75

30.05

41.22

34.42

23.72

8.51

234.76

214.04

Table 2: Disclosure Item 120 (g):


Table showing Expense Recognized in
Statement of Profit/Loss:

II.

AS-17 Segment Reporting: The


Company is primarily engaged in a single
segment business of production and sale of
Coal. There is no other reportable primary
segment identifiable in accordance with
AS-17.

III.

AS-18 Related Party Disclosure:


In view of the exemption granted to
state controlled enterprises as regards
related party relationship with other state
controlled enterprises and transactions
with such enterprises; no disclosure under
the AS-18 is required.

(Rs. In Crores)
Particulars
Current Service Cost
Interest Cost
Actuarial gain/loss recognized
in the year
Expense Recognized in
Statement of Profit/Loss

As at
31/03/2015
22.75
15.47

As at
31/03/2014
30.05
15.10

23.72

8.51

61.94

53.66

Table 3: Disclosure Item 120 (l):


Table showing Actuarial Assumptions
As at 31/03/2015

Mortality Table

IALM (2006-08) IALM (2006-08)


ULT.
ULT.

As at 31/03/2014

Superannuation Age

60

60

Early Retirement &


Disablement

10 PER THOUSAND
P.A

10 PER THOUSAND
P.A

6 above age 45

6 above age 45

3 between 29 and
45

3 between 29 and
45

1 below age 29

1 below age 29

Discount Rate

8.50

8.50

Inflation Rate

6.25

6.25

Remaining Working
Life
FORMULA USED

(Rs. In Crores)
Particulars

Particulars

Return on Asset

Directors Remuneration:
Chairman-cumManaging Director

Functional Directors

Part time Non Official


Directors

31.03.2015 31.03.2014 31.03.2015 31.03.2014 31.03.2015 31.03.2014


Salary &
Allowance

0.10

0.07

0.61

0.86

Provident
Fund

0.01

0.01

0.07

0.09

Perquisites

0.06

0.07

PRP

12

12

Retirement
Benefits

0.20

PROJECTED UNIT PROJECTED UNIT


CREDIT METHOD CREDIT METHOD

Sitting fees

0.07

0.10

143

ANNUAL REPORT 2014-15__________________________________________________________


IV.

AS-22 Accounting for Taxes on Income:


The details of deferred tax asset and
liabilities are as under (Rs. In Crores)

Deferred Tax Liability

As on
31.03.2015

As on
31.03.2014

Related to Fixed Assets

114.13

108.46

Related to Development Expenses

64.00

61.51

Total

178.13

169.97

Related to Disallowances under I.T Act


1961

325.58

186.83

Related to Provision for current assets/


loans & advances/fixed assets/others

266.02

325.15

Total

591.60

511.98

Deferred tax Assets/ Liabilities (Net)

413.47

342.01

Contingent Liabilities and Commitments (to


the extent not provided for)
1.

Estimated amount of contract remaining


to be executed on Capital account
and not provided for amounting to Rs.
524.49 Crores (Rs. 622.22 Crores as on
31.03.2014) and on Revenue account
and not provided for amounting to Rs.
4176.86 Crores (Rs. 2153.56 Crores as
on 31.03.2014)

2.

Claims against the Company not


acknowledged as debts as under.

Deferred Tax Assets

V.

VI.

(Rs. In Crores)
Particulars

AS-28 Impairment of Assets:


In the opinion of the management, there
are no external circumstances indicating
impairment loss of cash generating units.

For Corporate Dividend Tax


For Gratuity

4,563.99

4,563.99

912.53

912.53

618.37

89.71

61.18

646.90

737.92

Local Body Tax

165.27

164.81

Land Revenue

117.05

117.05

For Leave Encashment

214.04

61.94

41.22

234.76

109.84

30.39

24.74

115.49

1,646.00

1,646.00

Wealth Tax

0.50

1.25

0.50

1.25

PPLB (Ex gratia)

48.60

68.49

55.62

61.47

Performance Related Pay

162.28

27.93

(4.33)

194.54

Excise Duty on Closing Stock of Coal

51.44

11.67

39.77
5,405.14

2.07

2.07

24.05

24.05

MPGATSVA & Sales Tax thereon*

40.34

325.54

2.78

Others*
Total

Pending litigations as stated above would


have no impact on the financial position in
the financial statement for the year ended
31.03.2015.

977.03

327.56

118.91

(25.96)

472.43

Bad & Doubtful debts

653.68

60.11

5.98

707.81

Provision for Doubtful Advances &


Other current/non current assets

52.57

12.00

5.39

59.18

3. GENERAL

CWIP

1.41

2.22

0.04

3.59

Surveyed off F/Assets

17.00

16.65

0.35

(A)

Other Provisions-Fixed Assets

0.12

0.12

27.12

Stock of Stores & Spares

3.33

0.35

46.64

43.66

9.43
3193.68

Includes SSADA Cess on sale of Coal


has not been collected from a few parties
after the stay obtained by the respective
parties from Honble High court, Allahabad.
The amount not collected on this account
amounts to Rs. 0.34 Crores upto
31.03.2015 (As at 31.03.2014 Rs. 2.99
Crores) has been shown as Contingent
Liability.

4,428.11

6.46
5012.38

OBR Adjustment Account

2.25

72.69
2022.54

Claim of UPRVUNL for Incentives

Mine Closure Expense

Other Provisions-CMPF & PF on LE 24.87

64.67
3267.21

Claim of UPCCL (UPSEB)

For Other Employee Benefits


For Income Tax

1040.06

Excise and Service Tax, Interest and


Penalty.

(Rs. In Crores)

For Proposed/Interim Dividend

Sales Tax & Entry Tax

Income Tax

The position of the various Provisions as


on 31.03.2015 is given below :
Opening Addition Write back/ Closing
Balance during Adj./Pymt. Balance
as on
the
During the as on
01.04.2014 period
period 31.03.2015

As on
31.03.2014

Contractual Works

AS-29 Provisions, Contingent


Liabilities and Contingent Assets :

Provision

As on
31.03.2015

144

The Company has executed collateral


security by creating hypothecation charge
over its present and future current assets
comprising of Book Debts, Stock of Raw
Materials, Semi Finished and Finished

__________________________________________________ NORTHERN COALFIELDS LIMITED


Goods, Stores & Spares not relating to
Plant & Machinery (Consumable Store &
Spares) for a sum of Rs. 165.00 Crores
(Previous year Rs. 165.00 Crores) for
working capital facility drawn and to be
drawn by Coal India Ltd., from the State
Bank of India Consortium Banks.
(B)

(C)

A sum of Rs. 9.06 crores (as on 31.03.2014


Rs. 5.11 crores) are kept in the Companys
custody as Securities by way of deposits
in the form of Fixed Deposit Receipt and
National Savings Certificate received from
the suppliers, contractors etc.

(D)

All current assets including loans and


advances have realizable value in the
ordinary course of business at least equal
to the amount at which they are stated.
Further adequate provision has also been
made in respect of all known liabilities.

(E)

Letters of confirmation of Account Balance


have been sent to all the creditors/
suppliers/ Sundry Debtors/ Advances/
Deposits on balances appeared in our
books as on 31.03.2015.

(F)

Basic Criteria for identifying the Current/


Non Current Assets/Liabilities:

Further, Bank Guarantees worth Rs.


402.39 crores (as on 31.03.2014 Rs.
295.52 crores) have also taken from
suppliers & contractors on account of
execution of works/ supply etc. which have
not been accounted for.

1. An asset has been classified as


current when it satisfies any of the
following criteria:
(a) It is expected to be realized
in, or is intended for sale or
consumption in, the companys
normal operating cycle;

Micro and small enterprises under the


Micro, Small and Medium Enterprises
Development Act, 2006 have been
determined based on the information
available with the Company and the
required disclosures are given below:

(b) It is held primarily for the


purpose of being traded;

(Rs. in Crores)
As on
31.03.15

As on
31.03.14

0.40

0.49

(a)

Principal amount remaining unpaid

(b)

Interest due thereon

(c)

Interest paid by the Company


in terms of Section 16 of Micro,
Small and Medium Enterprises
Development Act, 2006, along
with the amount of the payment
made to the supplier beyond the
appointed day during the year

Interest due and payable for the


period of delay in making payment
(which have been paid but beyond
the appointed day during the year)
but without adding the interest
specified under Micro, Small and
Medium Enterprises Development
Act, 2006

(e)

Interest accrued and remaining


unpaid

(f)

Further Interest remaining due and


payable even in the succeeding
year, until such date when the
interest dues as above are actually
paid to the small enterprise

(d)

(c) It is expected to be realized


within twelve months after the
reporting date; or
(d) It is cash or cash equivalent
unless it is restricted from
being exchanged or used to
settle liability for at least twelve
months after the reporting date.
All other assets have been classified as
non-current.
2. An operating cycle is the time
between the acquisition of assets
for processing and their realization
in cash or cash equivalents. Where
the normal operating cycle cannot
be identified, it is assumed to have
duration of 12 months.
3. A liability has been classified as
current when it satisfies any of the
following criteria:
145

ANNUAL REPORT 2014-15__________________________________________________________


a)

It is expected to be settled in the


companys normal operating
cycle;

b)

It is held primarily for the


purpose of being traded;

c)

It is due to be settled within


twelve months after the
reporting date; or

d)

The company does not have


an unconditional right to defer
settlement of the liability for
at least twelve months after
the reporting date. Terms of a
liability that could, at the option
of the counterparty, result in its
settlement by the issue of equity
instruments do not affect its
classification.

(L)

The difference in exchange rates on


account of principle amount of loan is
capitalized except where the assets
surveyed off due to damage / fire which
are charged to revenue .The difference in
exchange rates on account of payment of
interest is charged to revenue.

(M)

The company has no amount, which is


required to be transferred to the Investors
Education and Protection Fund.

(N)

In the absence of notification of rules by the


Central/ State Governments, the effects
of the provisions of the The Mines and
Minerals (Development and Regulations)
Amendment Act, 2015 has not been
considered in the Accounts.

(O)

All other liabilities have been classified as


non-current.
(G)

(H)

(I)

(J)

(K)

Interest received on Income Tax Refunds


are accounted for as & when refund orders
are received from Income Tax Department.
Roads and Culverts situated in the
residential / official areas are classified
under Buildings and those in mining areas
are classified under Mines Development.

(i)

Licensed Capacity

Not applicable

(ii)

Installed Capacity

Could not be assessed due to


diversity.

(iii)

Production of Coal.

724.84Lakh tonnes during year


ended 31.03.2015 (Previous
year 686.39 Lakh tonnes).

(iv)

Production of
deshaled Coal.
(Included in (iii)
above)

34.41 Lakh tonnes during year


ended 31.03.2015 (Previous
year 37.78 Lakh tonnes).

(P)

Earning in Foreign Exchange:


(Rs. In Crores)

Buildings include cost of electrical fittings,


water supply arrangements and sanitary
fittings.
Departmental expenses are not capitalized
on Fixed Assets except in cases of dragline
and high capacity shovel on consideration
of its materiality.

Capacity & Production:

Current year

Previous year

NIL

NIL

(Q) Expenditure in Foreign Currency:

Gross block as well as depreciation on


surveyed off assets are taken out of natural
heads of fixed assets and provision for
depreciation respectively and residual
value at 5% of Book Value are transferred
to Surveyed off Assets. The residual
value and the estimated net realizable
value, whichever is lower, is separately
shown in Surveyed off Asset under Fixed
Assets (Note 10A).
146

(Rs. In Crores)
S.
No.

For the
year ended
31.03.2015

For the
year ended
31.03.2014

92.26

126.80

Capital Goods

1.83

ii)

Repayment of JBIC Loan

322.72

iii)

Repayment of IBRD Loan

355.19

iv)

Travelling Expenses

0.01

0.08

v)

Interest/Commitment/
Agency charges etc. of
IBRD/JBIC

8.33

i)

Particulars

C.I.F. Value of Imports:


Raw materials
Components, Stores &
Spare Parts

__________________________________________________ NORTHERN COALFIELDS LIMITED


(R)

Impact on Profit due to treatment of


Depreciation as per Companies Act,
2013
Effective from April 1, 2014, the Company
has charged depreciation based on the
revised remaining useful life of the assets
as per the requirement of Schedule II
of Companies Act, 2013. Due to above
changes, profit for the period ended 31st
March, 2015 and fixed assets decreased
by Rs. 51.92 Crores.
Further, based on transitional provision
provided in Note 7(b) of Part C of Schedule
II of Companies Act, 2013, an amount
of Rs. 34.38 Crores has been adjusted

(reduced) with retained earnings/ fixed


assets.
(S)

Impact on Profit, Assets and liabilities


due to change in Accounting Policies
Point No. 2.2, 3.1, 6.2.2, 7.7 of Note 33
(Accounting Policies)

There is no impact due to change


in Accounting Policies in Profit in the
Statement of Profit and Loss and in assets
and liabilities in the Balance Sheet.

(T)

PREVIOUS PERIOD/ YEARS FIGURES


Previous period/ years figures have
been re-arranged/ re-grouped wherever
considered necessary to make them
comparable with those of current year.


(D.K.Sharma)
(P.J.Mohan Rao)
Company Secetary
General Manager(Fin)

(P.S.R.K.Sastry)
Director (Fin) & CFO
DIN-07163164

(T.K.Nag)
Chairman-cum-Managing Director
DIN 02219348

In terms of our separate report of even date

For Prakash & Santosh


Chartered Accountants
Firm Regn. No. 000454C




Dated : 25.05.2015
Place : Varanasi.

147

(CA. Santosh Gupta)


Partner,
M. No.- 016304

ANNUAL REPORT 2014-15__________________________________________________________

ADDENDUM TO DIRECTORS REPORT (UNDER SECTION 134(3) OF


THE COMPANIES ACT) INDEPENDENT AUDITORS REPORT

To
The Members of
Northern Coalfields Limited,
Singrauli M.P.
This audit report supersedes the earlier report
dated 25.05.2015 and is being revised in the new
format as per the directions of the Controller &
Auditor General of India vide their letter no 72/
Accts/CIL and its Subsidiary/Third Phase/2014-15
dated 03.06.2015.
Report on the Financial Statements
We have audited the accompanying financial
statements of Northern Coalfields Limited (the
Company), which comprise the Balance Sheet as
at March 31, 2015, 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 in
which are incorporated the accounts of 6 Projects/
Units Viz Kakri ,Bina & Krishnashila, Khadia,
Nigahi,Jayant, Cental Workshop Jayant, audited
by Branch Auditors.
Managements Responsibility for
the Financial Statements
The Companys Board of Directors is responsible
for the matters in section 134(5) of the Companies
Act, 2013 (the Act) with respect to 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 principles
generally accepted in India, including the
Accounting Standards specified under Section
133 of the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014. This responsibility also
includes the maintenance of adequate accounting
records in accordance with the provision of the
Act for safeguarding of the assets of the Company
and for preventing and detecting the frauds and
other irregularities; selection and application
of appropriate accounting policies; making
judgments and estimates that are reasonable

and prudent; and design, implementation and


maintenance of internal financial control, that were
operating effectively for ensuring the accuracy and
completeness of the accounting records, 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.
Auditors Responsibility
Our responsibility is to express an opinion on
these financial statements based on our audit.
We have taken into account the provisions of the
Act, the accounting and auditing standards and
matters which are required to be included in the
audit report under the provisions of the Act and
the Rules made there under.
We conducted our audit in accordance with the
Standards on Auditing specified under section
143(10) of the Act. 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 auditors
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 financial control relevant to the
Companys preparation of the financial statements
that give true and fair view 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 Companys Directors, as
well as evaluating the overall presentation of the
financial statements.

148

__________________________________________________ NORTHERN COALFIELDS LIMITED


We believe that the audit evidence we have
obtained is sufficient and appropriate to provide
a basis for our audit opinion on the financial
statements.

(a) in the case of the Balance Sheet, of


the state of affairs of the Company as
at March 31, 2015;
(b) in the case of the Statement of Profit
and Loss, of the profit for the year
ended on that date; and

Opinion
In our opinion and to the best of our information
and according to the explanations given to us,
the aforesaid financial statements, 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;

(c) in the case of the Cash Flow


Statement, of the cash flows for the
year ended on that date.
Emphasis of Matters
We draw attention to the following matters in the
Notes to the financial statements:

149

ANNUAL REPORT 2014-15__________________________________________________________


AUDITORS REPORT
I. NON CURRENT ASSETS (FIXED ASSETS)

MANAGEMENTS REPLY

During the year a provision equivalent to


depreciation of Rs. 2.18 Crores has been made
in respect of assets (Capital WIP) which could
not be put to use for more than 3 years from
the date of purchase/acquisition/construction.
We are unable to comment on the adequacy
or otherwise of such provision (Refer foot note
to Note No.10 B).
II. CURRENT AND NON CURRENT ASSETS
(OTHER THAN FIXED ASSETS)
A)

B).
a)

Assets (Capital WIP), which could not be put


to use for more than 3 years from the date of
purchase /acquisition /construction, a provision,
equivalent to depreciation from the fourth year
and onwards has been made (Refer footnote
of Note - 10B of Balance Sheet).

100% provision have been made against


doubtful loans and advances, receivables and
other current assets as on 31st March, 2015.

Loans & Advances and Other Current


and Non Current Assets: Provision of
Rs. 59.18 crores have been made for
Loans & Advances and Other Current
Assets as on 31st March, 2015. We are
unable to comment upon the adequacy
or otherwise of such provision. (Refer
Note No. 2 (vi) of Additional Notes on
Accounts - Note 34).
Inventories:

(Refer Foot Note of Note No. 12, 18, 19 of


Balance Sheet)

Provision of Rs. 25.02Crores has


been made in respect of stores and
spare parts, unmoved for 5 years upto
31.03.2015. We are unable to comment
on the adequacy or otherwise of such
provision (Refer foot note to Note No.
15).

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 (as per Accounting Policy
Note- 33 Para no. 6.2.4).

Provision of Rs.20.08 Crores has been


made in respect of obsolete/damaged/
unserviceable stores and spare parts
upto 31.03.2015. We are unable to
comment on the adequacy or otherwise
of such provision (Refer foot note to Note
No.15).
C). Trade Receivables:

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 (As per Accounting Policy
Note- 33 Para no. 6.2.4).

a).

This is a statement of fact, calls for no comments


separtely

b)

Provision of Rs. 54.13 Crores has


beens made during the year under
consideration against disputed debts
with NTPC of Rs. 84.58 Crores , due
for a period exceeding six months on
account of GCV analysis/ grade slippage
(Refer foot note to Note No.16).
150

__________________________________________________ NORTHERN COALFIELDS LIMITED


III. LIABILITIES & PROVISIONS:
Provision of Rs. 449.43 Crores has been
made for Mine Closure Expenses pursuant
to Guidelines issued by Ministry of Coal up to
31.03.2015. We are unable to comment on
adequacy or otherwise of such provision.(Refer
foot note to Note No. 5).

In accordance with guidelines issued by Ministry


of Coal on 27th August, 2009 & subsequent
guidelines, Mine Closure Plan has been
prepared by CMPDIL and approved by NCL
Board for the Projects Jhingurda, Block B,
Bina, Krishanshilla, Jayant, Khadia, Amlohri,
Dudhichua, Kakri and Nigahi Project . Based
on the approved Mine Closure Plan, provision
has been made in the accounts for Rs. 449.43
crores upto 31.03.2015. (Refer foot note of Note
- 5 of Balance Sheet)

IV.PROFIT & LOSS STATEMENT :


Overburden Removal (OBR)Adjustment are
accounted for as per the accounnting policy
as disclosed under Note 33- Accounting Policy
16.0

We have relied upon technical data submitted


by the management in respect of Advance
Stripping, Coal Exposed, Over Burden Removal
(OBR), Current and Average Ratio etc. in the
matter of OBR accounting including adjustments
for substantial variation between Standard
Ratio and Current Ratio of OBR. Since OBR
calculation is a technical assessment, we are
unable to express our opinion on adequacy or
correctness of the same (Refer Note. No. 5).
V-Change in Accounting Policies
During the year under consideration certain
Accounting Policies of the Company as
mentioned in S.No. 3(S) of Additional note No.
34 have been changed, however due to change
in those policies there would be no impact in
profit in the Statement of Profit & Loss and
assets and liabilities in the Balance Sheet.

This is a statement of fact, calls for no comments


separtely

VI. GENERAL
Letters of confirmation of Balance have been
sent to creditors/ suppliers/ Sundry Debtors on
balances appeared in our books.

Balances in Trade Receivables/creditors/


suppliers/advances/deposits are subject to
confirmation/reconciliation and subsequent
adjustments, if any. However management has
sent letters to sundry creditors/debtors but in
few cases confirmations have been received
from them.
Our opinion is not modified in respect of these
matters.
151

ANNUAL REPORT 2014-15__________________________________________________________


Other Matters
We did not audit the financial statements/
information of 6 projects/units included in the
financial statements of the Company. The
financial statements/information of these
branches have been audited by the branch
auditors whose reports have been furnished to
us, and our opinion in so far as it relates to the
amounts and disclosures included in
respect of these branches, is based solely on
the report of such branch auditors.
Report on other Legal and Regulatory
Requirements
1. As required by the Companies (Auditors
Report ) Order, 2015 issued by the Central
Government of India in terms of sub-section
(11) of Sec 143 of the act, we give in the
Annexure - Statement on the matters specified
in the paragraphs 3 and 4 of the order
2. As required by section 143(3) of the Act,
we report that:
a)

We have sought and obtained all the


information and explanations which to
the best of our knowledge and belief
were necessary for the purposes 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 and proper
returns adequate for the purposes of
our audit have been received from the
projects/units not visited by us.

c)

The reports on the accounts of the


projects/units of the Company audited
under Section 143(8) of the Act by
branch auditors have been sent to us
and have been properly dealt by us in
preparing this report.

152

__________________________________________________ NORTHERN COALFIELDS LIMITED


d)

the Balance Sheet and the Statement


of Profit and Loss, and Cash Flow
Statement dealt with by this Report are
in agreement with the books of account
and the returns received from the
projects/units not visited by us.

e) In our opinion, the aforesaid financial


statements comply with the Accounting
Standards specified under Section
133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
f)

g)

On the basis of written representations


received from the directors as on 31st
March 2015, taken on record by the
Board of Directors, none of the directors
is disqualified as on 31st March, 2015,
from being appointed as a director in
terms of Section 164(2) of the Act.
With respect to the other matters
included in the Auditors Report and to
our best of our information and according
to the explanations given to us :
i) The Company has disclosed in
S.No.2 VI of note no.34 that pending
litigations as mentioned therein,
would not have any material impact
on its financial position.
ii) The company did not have any longterm contracts including derivative
contracts.
iii. As per information given to us
by the Company, there were no
amounts which were required to
be transferred to the Investors
Education and Protection Fund by
the Company.

Thanking you

Yours Faithfully
FOR PRAKASH & SANTOSH
Chartered Accountants
Sd/(CA Santosh Gupta)
Partner
Membership No. 016304
ICAI Firm Reg. No.000454C
Place: Kanpur
Date: 3rd June, 2015

(T. K. Nag)
Chairman-cum-Managing Director
DIN- 02219348
153

ANNUAL REPORT 2014-15__________________________________________________________

ANNEXURE A TO AUDITORS REPORT


Referred to in Paragraph Report on Legal and
Regulatory Requirements of our report of even date in respect of
Northern Coalfields Limited as at 31st March, 2015
AUDITORS REPORT
(i)(a) The company has maintained proper
records showing full particulars including
quantitative details and situation of Fixed
Assets in general. However, in the cases
of furniture and fixtures, light fittings and
office equipments, the same have not
been specifically linked up with the Fixed
Assets Register.

MANAGEMENTS REPLY
This is a statement of fact, calls for no comments
separately.

(b)

This is a statement of fact, calls for no comments


separately.

As explained to us, the physical


verification of all items of fixed assets
except overhead lines and underground
cables have been carried out by the
firms of Chartered Accountants during
the year. In our opinion, the frequency
of verifications of these assets is
reasonable in relation to the size and
operations of the company. No material
discrepancies have been noticed by the
management on such verification.
(ii) (a). The management has, at regular interval,
conducted the physical verification of
stock of coal. The physical verification of
stock of coal has also been conducted at
the end of the year by a team appointed
by Coal India Ltd.. Physical verification of
stores and spares has been conducted
during the year by the firms of Chartered
Accountants appointed for the purpose.
In our opinion, the frequency of such
physical verifications is reasonable.

(b).

The procedures of physical verification of


inventory followed by the management
are in general reasonable and adequate
in relation to the size of the company and
nature of its business.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

154

__________________________________________________ NORTHERN COALFIELDS LIMITED


The Company is maintaining proper
records of Inventory including stores and
spare items. No material discrepancy
was noticed on physical verification
of closing stock of coal except theft
of stores items worth Rs.56.44 lacs
for which FIR lodged on 27.11.2014.
The discrepancies noticed on physical
verification of stores and spares have
been adjusted and provided for in the
accounts pending further scrutiny/
enquiry.

This is a statement of fact, calls for no comments


separately.

(iii)(a). As informed to us, the Company has not


granted any secured or unsecured loans
to companies, firms or other parties
covered in the register maintained under
section 189 of the Companies Act 2013.

This is a statement of fact, calls for no comments


separately.

(b).

As the Company has not granted any


loan and as such clause (b) is not
applicable to the Company.

This is a statement of fact, calls for no comments


separately.

(iv). In our opinion the Internal Control


System with regard to purchase of
inventory and fixed assets and for sale
of coal needs to be strengthened to
make it commensurate with the size of
the Company and nature of its business
in view of the following:

This is a statement of fact, calls for no comments


separately.

a).

Time lag in adjustment of advances


after receipt of material, non-linking of
advances with corresponding liability,
thereby resulting in accumulation of
unadjusted advances and liabilities.

As a policy and practice, on receipt of materials


DRR are prepared and advances are adjusted/
liabilities are created wherever necessary.

b).

Non obtaining of periodic confirmation/


reconciliation of outstanding balances
appearing under Current and Non
Current Assets and Current and NonCurrent Liabilities.

Letters of confirmation of Outstanding Balance


have been sent to the creditors/ suppliers/
Sundry Debtors appeared in our books.

c).

Internal Control on purchases made


from/through the Holding Company on
behalf of the Company could not be
commented upon by us in the absence
of any detailed information of the same.

The Purchases are made by the Holding


Company on behalf of the company as per the
purchases manual after observing the laid down
policies/ guidelines/circulars etc. issued by the
CIL and government.

(c).

155

ANNUAL REPORT 2014-15__________________________________________________________


d).

Non follow up of advances to suppliers.


As per our test checks and as reported
by the Branch Auditors, we have not
observed any continuing failure to
correct major weaknesses in internal
control system during the course of our
audit.
(v). The company has not accepted deposit
from Public and directives issued by
Reserve Bank of India and the provisions
of sections 73 to 76 or any other relevant
provisions of the Companies Act 2013
and the rules framed there under are
not applicable.
(vi). The company has maintained cost
records as specified by the Central
Government under sub-section (l) of
section 148 of the Companies Act, 2013.
On review of books of account, we
noticed that these have been made and
maintained, however, we have not made
a detailed examination of such records
with a view to determine whether they
are accurate or complete.
(vii). (a). According to the information and
explanation given to us, the Company
is generally regular in depositing
undisputed statutory dues including
Income Tax, Sales Tax, Wealth Tax,
Service Tax, Custom duty, Excise Duty,
VAT and Cess and other statutory dues
as applicable to the Company with the
appropriate authorities. As informed to
us, the provision of Employees State
Insurance Act is not applicable to the
Company. Further as per information
and explanations given to us, no
undisputed amount payable in respect
of the aforesaid dues were outstanding
as at 31st March, 2015 for a period of
more than six months from the date they
became payable.
b)
According to information and explanations
given to us, the following dues in respect
of Income Tax, Sales Tax, Wealth Tax,
Service Tax, Custom duty, Excise duty,
VAT and Cess have not been deposited
on account of dispute:-

No Comments.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

156

__________________________________________________ NORTHERN COALFIELDS LIMITED


(Rs. in Crores)
Name
of the
Statute

Nature of
the Dues

Amount

Period to
which the
amount
Relates

Forum
where
dispute is
pending

Finance
Act, 1994

Interest
and Penalty on
Service
Tax

60.41

01.01.2005
to
29.02.2008

CESTAT,
New Delhi
& Commissioner
(Appeal)

Central
Excise
Act, 1994

Excise
Duty and
Penalty

265.13

2011-12 to
2014-15

CESTAT,
New Delhi
& Commissioner
(Appeal)

Central
Sales Tax
Act/MP
VAT Act/
UP VAT
Act/UP

Cental
Sales Tax/
State VAT

846.60

For Various
Years

At various
forums.

For Various
Years
For

At Various
Forums

A.Y.
2009-10 &
20012-13
A.Y. 201112
A.Y.
2002-03 to
2004-05,
1988, 89,
1990-91

CIT
(Appeals)
jabalpur
ITAT,
Jabalpur
Honble
High Court

MP Entry
Tax Act

193.46

Income
Tax Act
1961

2337.05
910.99
19.17

Total

c).

4632.81

As per information and explanations


given to us, no amount is required to be
transferred to Investors Education and
Protection Fund in accordance with the
provisions of Companies Act, 2013 and
rules framed thereunder.
(viii). The Company has no accumulated losses
as at 31st March, 2015 and has not incurred any
cash losses during the financial year covered
by our audit and in the immediately preceding
financial year.
(ix). As per the information and explanations
given to us, the Company has not defaulted
in repayment of debt dues to the financial
institutions or banks or debenture holders.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

This is a statement of fact, calls for no comments


separately.

157

ANNUAL REPORT 2014-15__________________________________________________________


(x). The Company has not given any guarantee
for loans taken by others from banks or financial
institutions

This is a statement of fact, calls for no comments


separately.

(xi). The company has not taken any term loan


during the year.
(xii). 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.

This is a statement of fact, calls for no comments


separately.
This is a statement of fact, calls for no comments
separately.



Thanking you

Yours Faithfully
FOR PRAKASH & SANTOSH
Chartered Accountants

Sd/(CA Santosh Gupta)


Partner
Membership No. 016304
ICAI Firm Reg. No.000454C
Place: Kanpur
Date: 3rd June, 2015

(T. K. Nag)
Chairman-cum-Managing Director
DIN- 02219348

158

__________________________________________________ NORTHERN COALFIELDS LIMITED

ANNEXURE TO AUDITORS REPORT


ANNEXURE B

Directions under section 143(5) of the Companies Act, 2013


In respect of NORTHERN COALFIELDS LIMITED,
Singrauli For the Year Ended 31st march 2015
Directions Issued

1. If the Company has been selected


for disinvestment, a complete status
report in terms of valuation of Assets
(including intangible assets and land) and
liabilities (included Committed & General
Reserves) may be examined including the
mode and present stage of disinvestment
process.
2. Please report whether there are any
cases of waiver/ write off of debts/ loans/
interest etc.
If yes, the reasons there for and the
amounts involved.
3. Whether proper records are maintained
for inventories lying with third parties and
assets received as gift from Government
or other authorities.
4. A report on age-wise analysis of
pending legal/ arbitration cases including
the reasons of pendency and existence/
effectiveness of a monitoring mechanism
for expenditure on the all legal cases
(foreign and local) may be given.

Statutory Auditors Commernts

Managements Reply

This clause not applicable to the This is a statement of fact,


Company as it has not been selected calls for no comments
for disinvestment.
separately.

There has been no case of waiver, This is a statement of fact,


write-off of debts, loans etc.
calls for no comments
separately.

There is no inventory lying with third


parties and no assets have been
received as gift from Government or
other authorities.
The details of pending legal cases
in various courts and also arbitration
proceeding before the arbitrator are
annexed as Annexure-I , based as per
information and explaination given by
the management and have been test
examined by us. In most of the cases
pleadings have been exchanged
between parties and pending for final
hearing.

This is a statement of fact,


calls for no comments
separately.
This is a statement of fact,
calls for no comments
separately.

The expenditure in defending the cases


is monitored by the Legal Department
of the Company and system prevailing
seems to be effective.

FOR PRAKASH & SANTOSH


Chartered Accountants

Sd/(CA Santosh Gupta)


Partner
Membership No. 016304
ICAI Firm Reg. No.000454C
Place: Kanpur
Date: 3rd June, 2015

(T. K. Nag)
Chairman-cum-Managing Director
DIN- 02219348
159

ANNUAL REPORT 2014-15__________________________________________________________

ANNEXURE TO AUDITORS REPORT


ANNEXURE B
Sub-Direction for audit of companies engaged in coal mining
In respect of NORTHERN COALFIELDS LIMITED
For the Year Ended 31st march 2015

Directions Issued
1. Provisioning done in case
of unpaid amount on GCV
issues may be examined.
Latest GCV dues position of
concerned subsidiaries of CIL
as on 31.03.2015 is required
to be examined.

Statutory Auditor's Commernts

Management's Reply

With the introduction of Gross Calorific value (GCV) This is a statement of fact, calls
system of grading of coal w.e.f. 1st January 2012, for no comments separately.
supply of coal to NTPC was billed at declared
grade of coal corresponding to the GCV range of
the coal supplied. With effect from October 2012
NTPC released payment based on GCV determined
unilaterally at the receiving end, contrary to the
provision of Fuel Supply Agreement which stipulates
that the GCV is to be determined at the loading end
by joint collection, preparation, testing and analysis
of the coal being supplied.
As a result an amount of Rs. 669.89 Crore (Basic
bill value Rs.643.88 crore and incentive for 2012-13
Rs.26.01 crore) was unilaterally withheld by NTPC for
the period October, 2012 to September, 2013 as on
31.03.2015 from the bills of the Company in respect
of supply of coal, which was against the provision
of FSA. The issue was taken up with the Ministry
of Power through the Ministry of Coal for resolution
which resulted in incorporation of a provision for
third party sample collection, preparation, testing
and analysis at the point of loading in the FSA. Such
third party sampling/analysis was implemented from
October 2013.
For an appropriate resolution of the issue, the Govt.
of India advised for extrapolation of the result of
the third party sampling/analysis during October
December 2013 to the supplies during the past
period from October 2012 to September 2013. On
the basis of this settlement formula an amount of
Rs. 669.89 crore (Basic bill value Rs. 643.88 crore
and incentive for 2012-13 Rs. 26.01 crore) has been
provided in the Accounts upto 31.03.2015.

It may also be confirmed We confirm that annual accounts have been prepared
whether the annual accounts as per the New Companies Act, 2013.
have
been
prepared/
maintained as per the New
Companies Act 2013.
2. Valuation of inventories Inventories have been valued as per AS-2.
with compliance to Accounting
Standard-2 in entirety.

160

This is a statement of fact, calls


for no comments separately.

__________________________________________________ NORTHERN COALFIELDS LIMITED


a)
Whether
stock
measurement was done
keeping in view the contour
map. Whether physical stock
measurement reports are
accompanied by contour map
in all cases? Whether new
heap, if any, created during
the year has got the approval
of the competent authority?

Stock measurement has been done keeping in view This is a statement of fact, calls
the contour map and PV of stock measurement for no comments separately.
reports are accompanied by contour map. We have
been explained that new heap wherever created has
got the approval of competent authority.

b) Whether there is age wise Not applicable because non-vendable stock is NIL
analysis of non-vendable
stock of coal? Is there any
substantial variance (beyond
+/- 5%) found on measurement
of non-vendable stock of coal?
If yes, has it been properly
recorded
with
reasons?
Whether valuation of such
stock was as per the laid down
accounting practice by the
competent authority.
c) As per the new policy
adopted by CIL as well as
Government of India, HSD is
to be procured at the projects/
mines at bulk rate. Whether
the contractors who are
purchasing diesel at bulk rate
are allowed price escalation at
bulk rate instead of retail rate.

This is a statement of fact, calls


for no comments separately.

For new contracts having provision for procurement This is a statement of fact, calls
of HSD at bulk rate, escalation/ descalation is for no comments separately.
provided/ recovered on bulk rate. However, other
older contracts are being governed as per NIT
provisions of retail rate.

d) Whether provisions in Not applicable.


Consolidated
Financial
Statement (CFS) under the
New Companies Act 2013
are made with a view to
representing true and fair
view of financial condition
and operating result of the
business entity.

This is a statement of fact, calls


for no comments separately.

e) Special emphasis should Not applicable.


be given to satisfy that the
CFS has been prepared in
accordance with the AS 21. 23
and 27.

This is a statement of fact, calls


for no comments separately.

3. It may be verified that the Yes, no capital expenditure incurred during the year This is a statement of fact, calls
capital expenditure incurred 2014-15 on assets not belonging to the company.
for no comments separately.
on assets not belonging to the
company has been properly
identified and accounted for
as per established accounting
principles.

161

ANNUAL REPORT 2014-15__________________________________________________________


4.Special
emphasis
on Necessary compliance has been done.
compliance with respect to
observations / comments
raised by Statutory Auditors/
Govt. Auditors in 2013-14 and
also in the Review Report on
Half Yearly Accounts for the
year 2014-15.
5 It may be verified that the
third party confirmation on
debtors,
creditors,
bank
balances, account receivable,
account payable and loans
and advances have been
done in full? If not, party-wise
including percentage of such
unconfirmed amount may also
be reported. Similarly, whether
separate
Escrow
Fund
Accounts have been opened/
maintained or earmarked
in the Bank in CIL and its
subsidiaries, for the specific
purpose.

This is a statement of fact, calls


for no comments separately.

Letter of confirmation in respect of S/debtors, S/ This is a statement of fact, calls


Creditors have been sent half yearly and in few for no comments separately.
cases confirmation from them were received.
Wherever there is any difference, the matter taken up
for reconciliation. Party wise quantum of uncofimed/
unrecon-ciled balances are not made available by
the company.
Escrow A/c with UBI, Morwa branch for mine closure
plan has been opened for all the projects.

FOR PRAKASH & SANTOSH


Chartered Accountants
Sd/(CA Santosh Gupta)
Partner
Membership No. 016304
ICAI Firm Reg. No.000454C
Place: Kanpur
Date: 3rd June, 2015

(T. K. Nag)
Chairman-cum-Managing Director
DIN- 02219348

162

__________________________________________________ NORTHERN COALFIELDS LIMITED


As on 31.03.2015
SI.
No.

Courts Name

ANNEXURE I

Number of
Cases

01.

Supreme Court

30

02.

High Court of MP at Jabalpur (Including IR & R&R)

306

03.

High Court of UP at Allahabad (Including IR & R&R)

101

04.

High Court Delhi

07

05.

High Court Calcutta

45

06.

Others High Court (Rajasthan, Lucknow bench, Ernakulam, Indore bench,


Jharkhand, C.G., Bombay & Gujarat.

20

07.

(i) Dist. Court of Singrauli (MP)


(ii) Dist. Court of Sonebhadra (UP)

88
39

(iii) Others Dist. Court/ADJ Court, Chandauli, Varanasi, Jamshedpur, Rewa, Ambikapur, Ahmadabad, Allahabad, Deosar, State Forum Lucknow & ALC (c) Satna.

13

(iv) Other Court (Dist. Court Sidhi & Collector of Stamp Duty.)

06

(v) NGT, Bhopal

01

08.

Tribunal Under (A&D) Act. 1957 & Various Court relating to R & R Cases

378

09.

CGIT

31

10.

Arbitration Proceeding before Arbitrators

21

Total

1086

163

ANNUAL REPORT 2014-15__________________________________________________________

COMMENTS OF THE COMPTROLLER AND AUDITOR GENERAL OF INDIA


UNDER SECTION 143(6)(b) OF THE COMPANIES ACT, 2013
ON THE FINANCIAL STATEMENTS OF NORTHERN COALFIELDS LTD.
FOR THE YEAR ENDED 31 MARCH 2015
The preparation of financial statements of Northern Coalfields Limited for the year ended 31st March
2015 in accordance with the financial reporting framework prescribed under the Companies Act, 2013
is the responsibility of the management of the company. The statutory auditor/auditors appointed by
the Comptroller and Auditor General of India under Section 139(5) of the Act is/are responsible for
expressing opinion on the financial statements under section 143 of the Act based on independent
audit in accordance with the standards on auditing prescribed under section 143(10) of the Act. This
is stated to have been done by them vide their Audit Report dated 03.06.2015.
I, on behalf of the Comptroller and Auditor General of India have conducted a supplementary audit
under section 143(6)(a) of the Act of the financial statements of Northern Coalfields Limited for the
year ended 31st March 2015. This supplementary audit has been carried out independently without
access to the working papers of the statutory auditors and is limited primarily to inquiries of the statutory
auditors and company personnel and a selective examination of some of the accounting records.
On the basis of my audit nothing significant has come to my knowledge which would give rise to any
comment upon or supplement to Statutory Auditors report.

For and on behalf of the


Comptroller & Auditor General of India


Sd/Place : Kolkata
( Yashodhara Ray Chaudhuri )
Dated: 09/06/2015
Pr. Director of Commercial Audit &

Ex-officio Member, Audit board-II
Kolkata

164