Coal India Directors Report, Coal India Reports by Directors

Coal India

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Directors Report Year End : Mar '17    Mar 15
Ladies and Gentlemen,
 The behalf of the Board of Directors, I have great pleasure in presenting to you, the 43rd Annual Report of
Coal India Limited (CIL) and Audited Accounts for the year ended 31st March, 2017 together with the reports
of Statutory Auditors and Comptroller and Auditor General of India thereon.
 Coal India Limited (CIL) is a 'Maharatna' company under the Ministry of Coal, Government of India with
headquarters at Kolkata, West Bengal. CIL is the single largest coal producing company in the world and one
of the largest corporate employers with manpower of 3,10,016 (as on 1st April, 2017). CIL operates through 82
mining areas spread over eight provincial states of India. Coal India Limited has 394 mines (as on 1st April,
2017) of which 193 are underground, 177 opencast and 24 mixed mines. CIL further operates 15 coal washeries,
(12 coking coal and 3 non-coking coal) and also manages other establishments like workshops, hospitals, and
so on. CIL has 27 training Institutes. Indian Institute of Coal Management (IICM) is an excellent training
centre operates under CIL and imparts multidisciplinary management development programmes to the executives.
Coal India's major consumers are Power and Steel sectors. Others include cement, fertilizer, brick kilns and
a host of other industries.
 CIL has eight fully owned Indian subsidiary companies:
 -    Eastern Coalfields Limited (ECL),
 -    Bharat Coking Coal Limited (BCCL),
 -    Central Coalfields Limited(CCL),
 -    Western Coalfields Limited (WCL),
 -    South Eastern Coalfields Limited (SECL),
 -    Northern Coalfields Limited (NCL),
 -    Mahanadi Coalfields Limited (MCL) and
 -    Central Mine Planning & Design Institute Limited (CMPDIL).
 In addition, CIL has a foreign subsidiary in Mozambique namely Coal India Africana Limitada (CIAL).
 The mines in Assam i.e. North Eastern Coalfields is managed directly by CIL.
 Mahanadi Coalfields Limited, a subsidiary of Coal India Ltd is having four (4) Subsidiaries and one(1) Joint
Venture, SECL has two(2) Subsidiaries and CCL has one (1) subsidiary.
 A) Subsidiaries of MCL
 1.    MJSJ Coal Ltd.
 MJSJ Coal Ltd was incorporated on 13th August, 2008 as a Joint Venture Company of MCL. MJSJ Coal Ltd has
been formed for Gopalprasad OCP where MCL is having 60% shares, JSW Steel Limited and JSW Energy Limited
having 11% share each and Shyam Metalics and Energy Ltd (formerly known as Shyam DRI Power Limited) and
Jindal Stainless Limited having 9% shares each. The paid up Share Capital of MJSJ Coal Ltd as on 31st
Mar2017 was Rs.95.10 Crore. The Hon'ble Supreme Court of India in its judgement dated 25th Aug'14 and order
dated 24th Sep'14 declared allocation of Utkal-A coal block allocated to MJSJ Coal Ltd. as illegal and has
quashed the allocation.
 2.    MNH Shakti Ltd.
 MNH Shakti Ltd was incorporated on 16th July, 2008 as a Joint Venture Company of MCL. MNH Shakti Ltd has
been formed for Talabaria OCP where MCL is having 70% share, Neyveli Lignite Corporation Ltd having 15% share
and Hindalco Industries Ltd. having 15% share. The Paid up Share Capital of MNH Shakti Ltd as on 31st Mar2017
was Rs.85.10 Crore. The Hon'ble Supreme Court of India in its judgement dated 25th Aug'14 and order dated 24th
Sep'14 declared allocation of Talabira - II and Talabira - III coal blocks allocated to MNH Shakti Ltd. as
illegal and has quashed the allocation.
 3.    Mahanadi Basin Power Limited.
 Another Company Mahanadi Basin Power Limited(MBPL) was incorporated on 2nd December, 2011 and certificate
for commencement of business, issued by ROC on 6th Feb'2012. MBPL has been formed as an SPV with 100% shares
held by Mahanadi Coalfields Ltd for power generation of 2x800 MW through Pit Head Power plant at Basundhara
Coalfields. It is a wholly owned subsidiary of Mahanadi Coalfields Ltd (MCL) having its Registered Office at
Bhubaneswar. The Paid-up Share Capital of Mahanadi Basin Power Limited as on 31st Mar'17 was Rs.5 lakh.
 4.    Mahanadi Coal Railway Limited
 Pursuant to MoU signed between IDCO, MCL and IRCON on 20th May, 2015, a Joint venture Company namely,
Mahanadi Coal Railway Limited was formed on 31st August, 2015 with a equity participation in the ratio of
64:26:10 between MCL, IRCON and IDCO to build, construct, operate and maintain identified rail corridor
projects including doubling, third line, traffic facility projects important for coal connectivity that are
critical for evacuation of coal from mines, in the state of Odisha. The Share Capital of Mahanadi Coal
Railway Limited as on 31st Mar'17 was Rs.5 Lakh.
 Neelanchal Power Transmission Company Private Limited -A joint venture of MCL
 MCL has ventured into Power Transmission Business in the State of Odisha for better utilisation of surplus
funds along with development of infrastructure in the State of Odisha. Accordingly, on 8th January, 2013
another joint Venture Company namely Neelanchal Power Transmission Company Private Limited (NPTCPL) was
incorporated in partnership with Odisha Power Transmission Company Ltd (OPTCL) having 50:50 equity
participation by virtue of a Joint Venture Agreement.
 (B)    Subsidiaries of SECL
 1.    M/s Chhattisgarh East Railway Ltd(CERL)
 CERL is a joint venture Company among South Eastern Coalfields Limited, M/s IRCON International Limited and
Chhattisgarh State Industrial Development Corporation incorporated on 12th Mar'13 for construction of railway
lines for evacuation of coal with 64% shareholding of SECL. During the year 2016-17, the Paid up Capital of
the company increased from Rs.139.05 Crores to Rs.166.95 Crores and debt from Rs.150 Crores to Rs.300
 2.    M/s Chhattisgarh East- West Railway Ltd(CEWRL)
 CEWRL is a joint venture Company among South Eastern Coalfields Limited, M/s IRCON International Limited and
Chhattisgarh State Industrial Development Corporation incorporated on 25th Mar'13 for construction of railway
lines for evacuation of coal with 64% shareholding of SECL. During the year 2016-17, the Paid up Capital of
the company increased from Rs.4.05 Crores to Rs.500 Crores and debt at Rs.75 Crores
 (C)    Subsidiary of CCL
 Jharkhand Central Railway Limited is a Joint Venture Company among Central Coalfields Limited, M/s IRCON
International Limited and Govt. of Jharkhand incorporated on 31st August' 2015 for evacuation of Coal in
which CCL holds 64% shares. During the year 2016-17, the Authorised Capital of the company increased from
Rs.5 Crores to Rs.100 Crores.
 The Project Implementation Agreement between JCRL and IRCON International Limited as project management &
implementing agency was finalized. The Detailed Project Report has been deliberated in the JCRL Board
meetings. IRCON has been directed for submission of modified DPR with various options considering the
technical requirements and financial viability of the project. The investment decision shall be taken by JCRL
Board after submission of final DPR by M/s IRCON with various options.
 1) Company & its subsidiaries produced 554.14 MT. of coal with a growth of 2.85% compared to the last year
same period.
 2)    Company achieved an off-take of 543.32 MT. with a growth of 1.7% compared to the last year same
 3)    CIL has acheived a gross sales of Rs.1,22,294.46 crores, a landmark achievement.
 4)    Not a single power-utility was in critical or super-critical condition for want of coal during
 5)    Due to the improved despatch and better quality of coal, import of coal to India had reduced during
 1.    Sri S. Bhattacharya, Chairman, Coal India Limited was conferred with 'Best CEO -PSU' Award in the
Sixth edition of the prestigious 'Forbes India Leadership Awards - 2016' in a function held on 8 November in
 2.    Sri S. Bhattacharya, Chairman, Coal India Limited was conferred with 'g-files Governance Award 2016',
the award was presented, on 26th November 2016 in New Delhi, by Shri Chaudhary Birender Singh, Hon'ble Union
Minister for Steel, Government of India and Shri Ram Bilas Sharma, Hon'ble Minister, Education and Tourism,
Government of Haryana in an event.
 3.    CIL was conferred with the following awards:
 a.    Coal & Coal Products by Dun & Bradstreet in 2017.
 b.    Best Implementation of Corporate Social Responsibility by ABP News in 2017.
 c.    Most Efficient & Fast Growing Maharatna by Dalal Street Investment Journal Award in Best Maharatna
Category by Hindustan PSU Awards in 2016.
 d.    Best CFO Award by Financial Express
 2.1 Financial Results (CIL Consolidated)
 CIL is one of the largest profit making and tax & dividend paying enterprises in India. CIL and its
subsidiaries have achieved an aggregate Pre-Tax Profit of Rs.14,433.71 crores for the year 2016-17 against a
pre-tax profit of Rs.21439.80 crores for the year 2015-16. CIL as a group had achieved a post tax profit of
Rs.9265.98 crores in 2016-17 compared to Rs.14266.78 crores in 2015-16. Total comprehensive income of
Rs.9347.98 crores in 2016-17 as compared to Rs.14,561.19 crores in 2015-16 (excluding share of
non-controlling interest of Rs.0.25 crore, previous year: Rs.0.04 crore). The subsidiary wise details of
Pretax Profit of CIL are given in Annexure 1.
 Highlights of performance
 The highlights of performance of Coal India Limited Consolidated for the year 2016-17 compared to previous
year are shown in the table below:
 PARTICULARS	2016-17	2015-16	
 Production of Coal (in million tonnes)	554.14	538.75*	
 Off-take of Coal (in million tonnes)	543.32	534.50*	
 Sales (Gross) (Rs./Crores)	122294.46	108147.54	
 Capital Employed (Rs/Crores) Note- 1	58428.87	67608.07	
 Capital Employed (Rs./Crores)-excluding capital work in progress and intangible assets under
development	48063.28	61634.91	
 Net Worth (Rs./Crores)	24506.97	34814.98	
 Profit Before Tax (Rs./Crores)	14433.71	21439.80	
 Profit for the Period(Rs./Crores)	9265.98	14266.78	
 Total Comprehensive Income attributable to the Owners of the company(Rs./Crores)	9347.98	14561.19	
 PAT / Capital Employed (in %)	15.86	21.10	
 Profit before Tax / Net Worth (in %)	58.90	61.58	
 Profit after Tax / Net Worth (in %)	37.81	40.98	
 Earning Per Share (Rs.)			
 (Considering Face Value of Rs.10 per share)	14.78	22.59	
 Dividend per Share (Rs.)			
 (Considering Face Value of Rs.10 per share)	19.90	27.40	
 Coal Stock (Net) (in terms of No. of months Net Sales)	1.18	0.98	
 Trade Receivables (Net) (in terms of No of Months Gross Sales)	1.05	1.27	
 *Production and Offtake of Coal for FY 2016-17 includes 5.324 MT and 4.118MT (FY 2015-16 2.28 MT & 2.15 MT)
of Gare Palma IV/2&3 Mine for which Coal India Ltd. has been appointed akin to a designated custodian w.e.f
01.04.2015(through SECL)
 Note-1: Capital employed = Gross Block of Fixed assets (including capital work in progress and intangible
assets under development) less accumulated depreciation plus current assets minus current liabilities.
 Transfer to Reserves
 During the year 2016-17, a sum of Rs.510.75 crores was transferred to General Reserves out of CIL
Consolidated profits and amount of Rs.3650 crores was utilized for buyback of shares. Above amount of
Rs.510.75 crores includes transfer of Rs.8.01 Crores transferred out of CIL Standalone profits.
 2.2 Dividend Income and Pay Outs (CIL Standalone)
 While the financial statements of both CIL Standalone and Consolidated are presented separately, only CIL
Standalone is listed and relevant for dividend payment to its shareholders The dividend to its shareholders
are paid out of CILs Standalone income, the major part of which constitutes the dividend income received from
its four profit making subsidiaries i.e. CCL, NCL, SECL and MCL. The breakup of such dividend (Interim +
Final) received and accounted for during the year from different subsidiaries are given in Annexure 2.
 During the year, CIL Standalone has paid a total dividend (by way of interim dividend) of Rs.12352.76 crores
@ Rs.19.90 per share on 620,74,09,177 number of Equity Shares of Rs.10/- each fully paid up. Out of above
total dividend, the share of Govt of India was Rs.9736.40 crores and for other shareholders, Rs.2616.36
crores. (In 2015-16 - Govt of India - Rs.13,784.86 crores and Other shareholders - Rs.3,521.98 crores)
 2.3    Supplementary Audit of Financial Statements by Comptroller and Auditor General of India (C&AG)
 There are no comments issued by the office of the C&AG either on Standalone or Consolidated Financial
Statements of the company for the year 2016-17 on supplementary audit conducted under section 143(6)(a)[and
also read with Sec 129(4)] of the Companies Act, 2013. The comments on supplementary audit of Standalone and
Consolidated Financial Statements are enclosed as Annexure 3 and Annexure 4 respectively.
 2.4    Management Explanation on Statutory Auditor's Report
 The Statutory Auditors of the company have given an unqualified report [Annexure 3(A) and Annexure 4(A)] on
the Standalone Financial Statements and Consolidated Financial Statements respectively of the company for the
financial year 2016-17. However, they have drawn attention under 'Emphasis of Matter' on certain issues. These
issues under 'Emphasis of Matter' along with observations of the Auditors elswhere in the annexures of the
Audit Report are enclosed as Annexure 5 & Annexure 5(A) respectively with Management explanations thereto.
 3.1 (a) Off-take of Raw Coal
 Off-take of raw coal continued to maintain its upward trend and reached 543.32 million tonnes for fiscal
ended March 2017, surpassing previous highest figure of 534.50 million tonnes achieved during the last year,
i.e., an increase of 1.7 % over the last year. The overall raw coal off-take achieved was 90.8 % of the
Annual Action Plan Target. In the year 2016-17, ECL, CCL, NCL, MCL and NEC outperformed their achievement
during the last year. NCL had exceeded its target for 2016-17.
 Company-wise target vis-a-vis actual off-take for 2016-17 and 2015-16 are shown under Annexure 6.
 Offtake could have been more, but for the following reasons:
 Power houses started the year with huge stock of 38.7 Mt and regulated intake and preferred to consume from
stock. Almost 12 Mt stock consumed from the stock by the power stations during the year. Wagon availability
also sporadically affected off-take at different subsidiaries.
 ECL: Production and dispatch of coal from Rajmahal OCP was adversely affected due to fatal accident. Less
demand of higher grade coal from the Power Houses.
 CCL: Intermittent Law & Order problem. Logistics bottleneck at Amrapali-Magadh Mines had also come in the
way of augmenting off-take.
 WCL: TPPs were particularly reluctant to take coal from Cost Plus Sources.
 SECL:Less demand of higher grades of Korea Rewa coal.
 MCL: Sporadic incidence of law and order problem & less supply of wagons against their indents affected MCL
despatch. Less movement through MGR mode also affected overall dispatch.
 Initiatives taken for enhancing off-take:
 -    Regular co-ordination with Railway Board to optimize use of logistics resources available in the
subsidiary coal companies, analyzing inputs of the subsidiaries to identify alternate source for coal
movement wherever and whenever required to achieve overall sectoral targets and mitigating critical fuel
requirement of consuming sectors, particularly power stations.
 -    Coordination with MOC for various long and short-term policy decisions to overcome coal movement
constraints for power and non-power sector consumers and taking operational decisions for moving coal from
various sources on contingent situations to meet critical requirements of consuming sectors, particularly
power utilities etc.
 -    Periodic Meetings and follow up with Power producers in addressing issues relating to coal movement.
 -    Source Rationalization of coal linkage for optimizing coal movement as per the requirement of the
consumers and logistics.
 -    Logistics is one of the major hurdles in reaching coal to the consumers. Capacity constraints both in
terms of track and rolling stock are coming in the way for achieving the requisite growth. In order to
boost-up the rail transport system, following initiatives have been taken:
 - SPVs by the coal companies with the State Governments and Railways for creating rail infrastructure - two
SPVs have already been formed at Chhattisgarh for creating rail connectivity at Korba/ Raigarh. Similarly,
SPVs were also incorporated at Jharkhand and Odisha for similar initiatives.
 - Three major last mile rail connectivity projects at Jharkhand, Odisha and Chhattisgarh have been brought
under PMO Monitoring Mechanism to ensure commissioning as per the schedule.
 - Special attention is given for improving coal distribution network for small and medium and other sector
consumers. CIL organized meeting with State Governments to streamline the process of nominating distribution
agencies by them.
 - Coal companies started supplying 100 mm crushed coal to its consumers w.e.f January'2016.
 -    Special E-Auction Schemes
 From the year 2015-16, Special Forward E-Auction scheme was introduced by MOC for meeting the coal
requirement of Power plants is being continued. During 2015-16 & 201617, around 13.8 Mill tons & 47 Mill tons
coal was booked by consumers under this scheme of e-auction respectively.
 A similar scheme for consumers in the non - power sector was also launched as Exclusive E-auction scheme for
non-power . During 2015-16 & 2016-17 , around 1.5 Mill tons & around 6.2 Mill tons coal was booked by non
power consumers under this e-auction respectively .
 Special Spot e-auction was also conducted once in 201617 with the objective for liquidating coal stock
especially from the high stock mines and to provide scope for procuring coal at a competitive price by the
consumers of non-specified end use. Around 6.2 Mill tons coal was booked in this e-auction.
 -    Web Portal for MSME Sector-
 The web portal Coal Allocation Monitoring System was launched on 17th March'2016 by Minister of State with
independent charge for Power, Coal and New & Renewable Energy along with the officials from Ministry of Coal
and Coal India Limited at New Delhi. The portal aims to ease the conduct of business for small and medium
sector consumers having annual requirement of less than 10,000 tonnes of coal. The portal will make the
system of distribution of coal to such consumers through State Nominated Agencies, more transparent. It has
the following advantages:
 a.    Ease of doing business for consumers
 b.    Accountability on the part of the Govt. and its enterprises
 c.    24 x 7 access of information on supply and distribution of coal in public domain
 d.    Online registration and feedback system for consumers for improving the system
 e.    Transparent coal distribution
 f.    State and consumer awareness
 g.    Peer audit among stakeholders
 (b) Sector-wise dispatch of coal & coal products:
 In the year 2016-17, CIL dispatched 542.494 MT of Coal & Coal Products against the AAP target of 598.031 MT
i.e., an achievement of 90.7%. CIL has dispatched 7.9 MT of coal and coal products more than last year with a
growth of 1.5%.
 425.397 MT of coal and coal products, including despatches under special forward e-auction to power was
despatched to the power utilities against the target of 450.990 MT i.e., an achievement of 94.3%. This is
12.3 MT more than last year's dispatch of 413.109 MT, which also includes despatches under special forward
e-auction to power, resulting in a growth of 3%.
 Sector-wise break-up of dispatch of coal & coal products for 2016-17 against the target and last year's
actual is disclosed in Annexure 7.
 3.2    Dispatches of coal and coal products by various modes:
 Dispatches of coal and coal products during 2016-17 went upto 542.494 million tonnes from 534.624 million
tonnes registering a growth of 1.5%. Overall dispatch by Non-Rail mode had been 91.9% of the target. Growth
in despatches via Rail mode was
 3.9 % whereas in the overall Non-Rail mode it decreased by 1.4 %. Road despatches decreased by 0.6% compared
to the previous year. Movement by MGR also decreased by 3.5% compared to last year. Despatches through other
modes, like belt & rope increased by 5.7 % compared to the last year.
 Dispatch of coal and coal products by various modes for the years 2016-17 and 2015-16 is disclosed in
Annexure 8.
 3.3    Wagon Loading
 Overall wagon loading materialization was 90.9 % of the target. This was achieved due to sustained efforts
and regular coordination with railways at different levels. The increase in loading over last year was of 9.1
rakes per day. Company wise performance showed that NCL exceeded its target. All the subsidiaries except BCCL
exceeded last year's level of loading.
 Wagon loading could have been even better but for the regulated lifting by Power Utilities almost in all the
subsidiaries; less demand for higher grade coal from ECL and SECL, intermittent law and order problem in CCL
and MCL also affected rail dispatch.
 Wagon loading performance of 2016-17 vis-a-vis 2015-16 is disclosed in Annexure 9.
 3.4    Consumer Satisfaction
 i.    For enhanced customer satisfaction, special emphasis given to Quality Management. Attuned to this
objective, it was decided that 2017-18 will be declared as 'Quality Year'.
 ii.    In order to monitor quality right at the coalface, Officer in charge of mining have been given target
to contain grade slippages within 10%.
 iii.    Another big step to ensure proper quality was independent assessment of grades of 871 mines/ loading
points/ fractions through various academic institutes of national repute by CCO. Based on the analysis reports
received from these institutions, CCO finalized the grades of different mines/sidings for the year 2017-18.
Although the results of re-gradation of about 49% mines/ loading points/ fractions were not encouraging,
correction would enhance the confidence of consumers.
 iv.    In order to monitor coal quality internally, a portal has been designed by CIL to capture entire life
cycle of sample. With the help of portal, analysis of coal quality on regular basis will be possible.
 v.    CIL has enhanced coal handling plant capacity of about 320 MT per annum so as to maximize dispatches
of crushed/ sized coal to Power sector. CIL is supplying (-) 100mm sized coal to all power plants w. e. f.
01.01.2016 except those at pit head. In addition, mobile crushers have been installed to meet the additional
crushing requirement.
 vi.    Emphasis has been given for maximum production through surface miners. For this, surface miners have
been deployed for production of coal in mines wherever technically / commercially feasible. About 50% of CILs
production is being mined through surface miners. Deployment of this technology at OCP mines is bound to
improve coal quality. At present 75 Surface Miners are working in opencast mines.
 vii.    In addition, the Washeries at BCCL, CCL, WCL and NCL have crushing/ sizing facilities to the tune of
about 36.8 million tonnes. 22 new coal washeries and renovation of 05 existing washeries combined capacity of
123.7 MTPA are in various stages of planning/ commissioning.
 viii.    Measures like picking of shale/stone, selective mining by conventional mode, adopting proper
blasting procedure/ technique for reducing the possibility of admixture of coal with over-burden material &
improved sizing of coal etc. are being taken. For those mines having large inter bands of shale/stone,
installation of deshaler has been planned.
 ix.    Joint/ Third Party sampling & analysis is in vogue for major consuming sectors e.g. power utilities,
steel, cement and sponge iron. Entire supplies to Power sector are covered under third party sampling /
analysis, large consumers having annual quantity of 0.4 MT or more and having FSA covered under sampling. For
the first time, sampling facility has been extended to consumers of Special e-Auction for power sector and
Linkage Auction through IIT-ISM and QCI. Consequent to issuance of Letter of Intent, these agencies have been
advised to enter into tripartite agreement with consumers and coal companies to start the process.
 x.    Area laboratories of subsidiary coal companies have been equipped with 121 Bomb Calorimeters for
accurate and transparent results of analysis of coal samples. 28 labs. across the subsidiary companies have
already got NABL accreditation and another 27 labs, accreditation process is underway. It is expected that
standardization of the process as per NABL standard will go in a long way to enhance customers' confidence
about the process of assessment of coal quality and facilitate quality monitoring.
 xi.    The guidelines/ SOP issued by MoC vide letter dated 26.11.2015 on third party sampling at loading
ends has already been implemented through Central Institute of Mining and Fuel Research (CIMFR). Sampling for
almost entire quantity covered under FSA is continuing across various loading points of coal companies.
 xii.    Electronic weighbridges with the facility of electronic printout have been installed at rail loading
points to ensure that coal dispatches are made only after proper weighment. For this purpose, Coal Companies
have installed 157 rail weighbridges in the Railway Sidings and 569 road weighbridges for weighment of
trucks. Coal Companies have also taken action for installation of standby weighbridges to ensure 100%
 xiii.    24 Auto Mechanical Samplers (AMS) are also working in subsidiary coal companies for coal sampling,
eliminating chances of biasness in sampling process. Procurement of further AMSs is under process. The
process has already been initiated to deploy Augur Sampling for drawing more representative samples. One
online analyzer in each subsidiary company has been envisaged on trial basis.
 xiv.    In order to ensure consumer satisfaction and resolve consumer complaints, special emphasis has been
given to quality management and redressal of consumer complaint. On-line filing and redressal of complaints
has been initiated. Percentage of consumer complaints resolved is 99.42 % during the year 2016-17.
 3.5 Marketing of Coal:
 Status of execution of Fuel Supply Agreements and performance of e-auction:
 Supply of coal was made to various consumers including Power Sector under the applicable provisions of New
Coal Distribution Policy. Due to overall deficit in availability of coal, considering the projected coal
production from domestic sources and commitments made through signing of FSAs/issuance of Letter of
Assurances (LOA), supplies under FSAs has been pegged at various level of commitments (trigger). Power sector
being the major consuming sector having significant importance in the economy, supplies to power sector has
been guided as per the various Government directives and polices.
 (i)    For power stations, commissioned on or before 31.03.2009, 306 million tonnes had been considered to
be supplied through bilateral legally enforceable Fuel Supply Agreements (FSA) with a trigger level of 90%.
The total quantity covered under FSA against the allocation as on March'17 was about 295 million tonnes.
 (ii)    Apart from the above, 180 Letter of Assurances have been issued to power plants by subsidiary
companies of CIL, as per the recommendations of various SLC (LT) Meetings about 433.80 Million tonnes.
Further, as per Presidential Directives dated 16th April'2012 and revised directive dated 17-7-2013, a list
of Power Plants having an aggregate capacity of 78535 MW was notified for signing of FSA. A total 173 TPPs,
149 cases having normal LOA and 24 cases having Tapering LOA (as per MOC OM dated 30.06.2015, tapering
linkages are not existent as on date), were listed. Till 31st March'2017,out of 149 regular LOAs146 FSAs have
been signed. The balance FSAs could not be signed for the reasons not attributable to CIL. However, out of the
above, 1 FSA have been transferred to SCCL and 2 FSAs became null and void since the plants have been
converted from IPP to CPP.
 For post-NCDP Plants (Plants commissioned after March 2009), total FSA commitment of CIL as on date is for
an Annual Contracted Quantity (ACQ) of about 216 Million tonnes for the aggregate capacity of about 56750 MW
which is backed by long term Power Purchase Agreement (PPA) and qualify for commencement of coal supply
subject to commissioning etc.
 (iii)    As on 1st April, 2017, 679 units other than power and steel plants have operative FSAs with
subsidiaries of CIL for about 48.9 million tonnes.
 (iv)    For supply of coal to Small and Medium Sector Consumers, 8 million tonnes was earmarked by CIL for
allocation to agencies nominated by the State Govt's/ UT's. 13 States sent their nomination of 19 State
Agencies for the year 2016-17 of which 11 State Agencies of 10 States have signed FSAs for 2.119 mill. tonnes
and drawing coal accordingly.
 (v)    After implementation of NCDP, 417 LOAs were also issued to consumers of sponge iron, CPP and cement
as per recommendations of various SLC (LT) meetings for a quantity of 63.95 Million tonnes per annum. Out of
these, 337 FSAs have been concluded till date for quantity of about 45.70 Million tonnes per annum. Out of
these, 157 FSAs are active as on date with a quantity of 19 Million tonnes per annum.
 (vi)    CIL conducted the Tranche-I of Auction of Coal Linkages for Sponge Iron, Cement, CPP and 'Others'
sub-sectors under Non-Regulated Sector during the period June to October 2016 in accordance with the policy
guidelines dated 15.02.2016 issued by Ministry of Coal. The auction has been envisaged as a transparent
system of linkage allocation which is based on competitive bidding. Various consumer friendly measures such
as 3rd party sampling, exit option, no performance incentive, delivery from specified mine/siding, back-up
mine in the event of Force Majeure, etc. have also been introduced. A total of 23.75 Mtpa was earmarked for
Tranche-I out of which 22.14 Mtpa has been booked. The auction is followed by signing of Fuel Supply
Agreements (FSA) for the booked quantity. The tenure of the FSA is 5 years which can be further extended by
another 5 years on mutual agreement.
 The Tranche-II of auctions was conducted during the period January to June 2017. Auctions for Sponge Iron,
Cement, Others and Steel (coking), Others (coking) and CPP sub-sectors have already been concluded. A total
of 14.50 Mtpa of non-coking coal and 0.26 Mtpa of coking coal have been booked under Tranche-II.
 (vi) Under Special Forward E Auction scheme during the year ended Mar'17, quantity allocated was around 47
mill tonnes as against 13.8 mill tonnes allocated in the last year. The premium gained through Special
Forward E-auction over & above the notified price was 16% during the year 2016-17. In Exclusive E Auction
scheme during 2016-17, quantity allocated was around 6.3 mill tonnes as against 1.5 mill tonnes allocated in
the last year. The premium gained through Exclusive E-auction over & above the notified price was around 9%
during the year 2016-17. During the period under review, around 53.6 mill. tonnes of coal was allocated under
Spot E- auction to the successful bidders as against 57.4 mill. tonnes of coal allocated during the 2015-16.
The notional gain through Spot E-auction over & above the notified price was 25% during the year 201617.
About 6.2 Mill tes coal booked under Special Spot E-Auction during 2016-17 with gain of 20% over notified
 3.6    Coal Beneficiation:
 Presently CIL is operating 15 Coal Washeries with a total coal washing capacity of 36.8 million tonnes per
year of which 12 are coking and the rest 3 are non-coking with capacity of 23.3 and 13.5 MTY respectively.
The total washed coal production from these existing washeries for the year 2016-17 was 17.04 Million
 In addition, CIL has planned to set up 22 new Washeries and renovate 5 existing coking coal washeries with
state-of-the-art technologies in the field of coal beneficiation with an aggregate throughput capacity of
123.68 MTY.
 Out of the 22 new washeries, 13 are planned to wash coking coal with a cumulative capacity of 41.35 Mty, 4
of which are at different stages of construction and LOI has been issued for one. For remaining 9 new
non-coking coal washeries with a total capacity of 75.5 MTY, LOA/LOIs has been issued for 3.
 The major bottlenecks for setting up of these washeries are mainly Forest, Environmental and other Statutory
Clearances, in addition to absence of firm commitment from the intended customers regarding acceptance of
washed coal at value added prices.
 3.7    Stock of Coal
 The stock of coal (net of provisions) at the close of the year 2016-17 was Rs.7412.79 Crores (earlier year
Rs.6162.54 crores), which was equivalent to 1.18 months value of net sales (previous year 0.98 months). The
company-wise position of stock held on 31st March 2016 & 31st March 2017 are given in Annexure 10.
 3.8    Trade Receivables
 Trade Receivables i.e. net coal sales dues outstanding as on 31.03.2017, after providing Rs.3782.82 crores
(previous year Rs.2220.20 crores) for bad and doubtful debts, was Rs.10735.85 crores (previous year
reinstated Rs.11447.61 crores) which is equivalent to 1.05 months gross sales of CIL as a whole (previous
year 1.27 months). Subsidiary-wise break-up of trade receivables outstanding as on 31st March 2017 as against
31st March 2016 are shown in Annexure 11..
 3.9    Payment of Royalty, Cess, Sales Tax, Stowing Excise Duty, Central Excise Duty, Clean Energy Cess,
Entry Tax & Others
 During the year 2016-17, CIL and its Subsidiaries paid/adjusted Rs.44,068.28 crores (previous year
Rs.29,084.11 crores) towards Royalty, Cess, Sales Tax and other levies as detailed below:-
                                                  Figures in Rs. Crores
 	2016-17	2015-16	
 Royalty	8745.84	8,209.25	
 Additional Royalty (MMDR Act)	-	434.42	
 DMF	3964.47	-	
 NMET	221.16	-	
 Cess on Coal	1706.37	1,590.67	
 State Sales Tax / VAT	2787.91	2,444.75	
 Central Sales Tax	1200.09	1,144.79	
 Stowing Excise Duty	538.00	525.67	
 Central Excise Duty	2617.39	3,647.00	
 Clean Energy Cess	21062.06	9,980.13	
 Entry Tax	283.82	259.37	
 Others	941.00	848.06	
 Total	44068.28	29,084.11	
 Subsidiary-wise, State wise details are given in Annexure 12.
 Raw coal production and production from underground and opencast mines.
 Production of raw coal during 2016-17 was 554.14 Mill Te against 538.754 Mill Te produced in 2015-16. Coal
production from underground mines in 2016-17 was 31.477 Mill Te compared to 33.786 Mill Te in 2015-16.
Production from opencast mines during 2016-17 was 94.32% of total raw coal production. Subsidiary wise
production, production from underground and opencast mines and coking and non-coking coal production are
disclosed in Annexure 13.
 Reasons for less production than the target 2016-17:
 Despite best and consistent efforts, constraints that have impeded the growth in coal production are as
 (i)    Major mishap at Rajmahal OC affected production at ECL.
 (ii)    Accumulation of high coal stock at many of the OC mines due to less lifting of coal by Cost Plus
consumers at WCL.
 (iii)    Delayed Stage-II forest clearance at Dhanpuri OC, Amlai OC and Jampali OC and also restricted
working space at Amgaon OC due to intervening forest land affected Coal Production at SECL
 (iv)    Scarcity of working space due to delay in handing over of forest land at Jagannath OC and Ananta OC,
delay in Stage II FC at Lajkura OC & R&R issues at Bharatpur OC and Kanhia OC and affected production at MCL.
 Washed Coal (Coking) Production
 Subsidiary-wise production of Washed Coal (Coking) is given in Annexure 13A.
 Overburden Removal
 The Company-wise overburden removal is disclosed in Annexure 13B. 
 Future Outlook
 CIL has envisaged a coal production of 908.10 Mt in the year 2019-20 with a CAGR of 12.98% with respect to
2014-15. In the year 2017-18, the target of coal production has been pegged at 600.00 Mt with an annualized
growth of about 8.3% over the achievement of last year. In 2018-19, the envisaged coal production projection
is 773.70 Mt with a growth of about 28.95 %.
 The capital expenditure for the year 2017-18 has been set at Rs.8500 crores. Further, Company has planned to
invest Rs.6500 crores in various projects viz. Super Critical Thermal Power Plant (STPP), Solar Power, Revival
of Fertilizer Plants, Coal Gasification, Acquisition of coal blocks in India & Abroad, CBM etc. during
 In the light of Paris Protocol and consequent changes in world energy scenario, CIL is looking forward to
diversify its operations towards Renewable energy like Solar Power and Clean Energy sources like CMM, CBM,
CTL, UCG etc following the directives of GoI. Following that mission, MoC/CIL is in the process of
formulating 'Vision Document 2030' to decide future course of operation for sustainable entity in the
nation's energy sector.
 Due to survey-off 5 Draglines at NCL and MCL in 2016-17 population of Dragline reduced to 35 as on 31st
Mar'17. There was a reduction of 39 Shovels due to survey off of old Shovels in ECL, BCCL, CCL, NCL, WCL &
SECL. CIL and its subsidiaries are planning to procure 87 shovel costing around Rs 1929 crores,515 Dumper
costing around Rs 3305 crores, 124 Dozers costing around Rs 314 crores,35 Drill costing around Rs 144 crores
& 6 Draglines costing around Rs 1176 crores in next 2/3 years.
 Performance of HEC Dragline at NCL was not satisfactory which affected availability & utilization. Matter
has been taken up with M/s HEC for improvement. Dragline of Sonepur Bazari Project, ECL was under breakdown
since June 16 due to nonsupply of imported spares, which is expected to start within next 2 months. Heavy
rainfall in NCL & MCL, Land and R&R problems in BCCL, MCL & SECL,were the major reasons for less HEMM
utilization. Efforts are being made to improve the availability & utilization.
 The population of Major Opencast Equipment (Heavy Earth Moving Machinery) as on 1st April, 16 & on 1st
April, 17 along with its performance in terms of availability & utilisation expressed as percentage of CMPDIL
norm is disclosed in Annexure 14.
 The overall system capacity utilization for the year 2016-17 was 84.51%.It was 99.87% during 2015-16.This
was mainly due to low system capacity utilization in ECL, BCCL, NCL, WCL, & MCL.
 Due to accident in Rajmahal OCP of ECL, both coal production & OB removal suffered in the last quarter of
2016-17.Due to unprecedented rainfall, OB removal suffered in BCCL & NCL. In WCL,due to exhaustion of
reserves in Ghughus OC, the dragline was shifted from Ghughus OC to Mungoli OC and other HEMM to different
mines, which affected OB removal. In Talcher coalfields of MCL, due to law & order issues, there was a
negative growth in coal production in 2016-17 compared to 2015-16.
 Necessary action has already been taken for improvement in capacity utilization in 2017-18 in all the
Subsidiaries of Coal India Ltd. Subsidiary wise details of capacity utilization for the year 2016-17
vis-a-vis 2015-16 are disclosed in Annexure 15.
 7.1    Preparation of Reports:
 As prioritized by subsidiary companies of Coal India Limited, preparation of Project Reports (PR) for
new/expansion/reorganization mines was carried out during the year 2016-17 for building additional coal
production capacity to the tune of 57.75 Mty. Revision of Project Reports/Cost Estimates for projects was
also taken up along with new PR. During the period, 249 reports were prepared including 16 Geological
Reports, 26 Projects Reports, 37 Draft EMPs (including 15 Form-I) and 170 Other Reports.
 7.2    Project Implementation:
 a) Projects Completed During the year 2016-17:
 The following 7 coal projects, each costing Rs 20 Crores and above, with an ultimate capacity of 24.20 Mty
and completion cost of Rs 1190.98 Crores have been completed during the year 2016 -17. The subsidiary-wise
details of project completed during 2016-17 are disclosed in Annexure 16.
 b)    Projects started Production during the Year 2016-17:
 4 projects have started coal production during the year 2016-17.The subsidiary-wise details are disclosed in
Annexure 16.
 c)    Status of Ongoing Projects:
 120 coal projects and 71 non mining projects costing Rs 20 Crores and above are in different stages of
implementation. Out of 120 coal projects, 58 projects are running on schedule and 62 are delayed. Out of 71
non mining projects, 27 are delayed.
 Status of Ongoing Projects Costing Rs 20 Crores and above
 Projects	Total Projects	Projects on Schedule	Projects Delayed	
 Mining	120	58	62	
 Non Mining	71	44	27	
 Total	191	102	89	
 Reasons for the Delay:
 Mining Projects:
 34 coal mining projects are running behind the schedule due to delay in obtaining forestry clearances and 17
are due to delay in acquisition of land and associated R&R issues. In addition, 7 projects are running behind
the schedule due to delay or discontinuance of work or non-participation in tender by contractor, 1 project
due to law and order problem and 3 projects due to lack of Railway Infrastructure facilities for coal
 Non Mining Projects:
 Non mining projects are running behind the schedule due to discontinuance of work by contractor, law and
order problem, acquisition of land and associated problems of rehabilitation and forestry clearances.
 7.3 Projects Sanctioned (Costing Rs 20 Crores & above):
 a)    Projects sanctioned by CIL Board
 8 coal mining projects for an ultimate capacity of 56.25 Mty and a total capital investment of Rs.8931.05
Crores have been sanctioned by CIL Board during the year 2016-17. The subsidiary-wise details of projects
sanctioned by CIL Board in 2016-17 is disclosed in Annexure 16.
 b)    Non Mining Projects Sanctioned by CIL & Subsidiaries Board:
 No Non-mining projects have been sanctioned by CIL & Subsidiaries Board during the year 2016-17.
 Sl. No.	Project	Subsidiary	Date of Approval	Sanctioned Capital (Rs. Crores)	
 c) Projects Sanctioned by Subsidiary Company Boards:
 11 coal mining projects for an ultimate capacity of 16.74 Mty and capital investment of Rs.3427.26 Crores
have been sanctioned by Subsidiary Coal Companies during the year 2016-17. The subsidiary-wise details of
projects sanctioned by their Board in 2016-17 are disclosed in Annexure 16.
 7.4 Revised Project/RCE Sanctioned by CIL Board:
 a) RCE/RPR/UCE sanctioned by the CIL Board during the year 2016-17: -
 Project	Subsidiary	Date of Approval (Mtpa)	Sanctioned Capacity	Sanctioned Capital (Rs. Crores)	
 Khottadih OCP	ECL	03.05.16	1.5	60.10	
 b) RCE/RPR/UCE sanctioned by the Subsidiary Boards:-
 Project	Subsidiary	Date of Approval (Mtpa)	Sanctioned Capacity	Sanctioned Capital (Rs. Crores)	
 Sarapali OC RCE	SECL	04.09.2016	1.40	143.63	
 Jaganathpur OC RCE	SECL	25.07.2016	3.00	459.59	
 Total		4.4	603.22	
 7.5 Key Strategies:
 (i)    Critical Railway Links:
 In order to achieve the planned growth in production and evacuation in future, CIL has undertaken three
major Railway Infrastructure Projects, implemented either by Railways or JV Companies formed with IRCON
representing Railways, Subsidiary Company representing CIL and concerned State Government.
 The three major Railway Infrastructure Projects are:
 1.    Tori- Shivpur-Kathotia New BG Line
 2.    Jharsuguda- Barpali- Sardega Rail Link
 3.    East Rail Corridor and East- West Rail Corridor
 Tori- Shivpur railway line is catering to North Karanpura Area of CCL. It is planned to evacuate about 32
MTY of coal. Jharsuguda-Barpali- Sardega Rail Link is Catering to the coalfields of MCL. This Rail line shall
evacuate 70 MTY of coal from the coalfields of MCL. The evacuation of coal of Mand- Raigarh and Korba - Gevra
Coalfields of SECL, shall be through East Rail Corridor and East- West Rail Corridor respectively. In all,
about 180 MTY of coal shall be evacuated through these two corridors.
 (ii)    Acquisition and Possession of land:
 In all subsidiaries of Coal India, the major portion of land is acquired under the Coal Bearing Areas
(Acquisition & Development) Act, 1957. During 2016-17, notification under section 9 (1) has been issued for
3086.69 Ha and notification under section 11 (1) has been issued for 4196.69 Ha.
 During 2016-17, 3826.19 Ha of land has been taken into possession in various subsidiaries of Coal India.
 (iii) WEB Based Online Monitoring System:
 Web based online monitoring of coal mining projects costing more than Rs 100 Crs has been introduced in Coal
India. Exercise for 69 projects costing more than Rs 150 Crs and capacity 3.0 Mty and above have so far been
completed during the year 2016-17.
 Additionally, monitoring of 67 coal mining projects costing more than Rs 150 Crores with Project monitoring
software MS Project has also been started in Coal India Limited during the year 2016-17.Crucial issues are
also being uploaded by CIL and its subsidiary companies on MOC e-CPMP portal and MOC is vigorously following
up with the state governments and other associated ministries by holding meetings with concerned officials to
expedite EC & FC approvals.
 One Billion Tonne (Bt) production essentially is a synergic effort with coal bearing states and railways to
access the resources and speed up logistics for coal evacuation.
 Coal India has decided to put its best foot forward with the help of all concerned agencies and take its
production into higher growth trajectory. Contribution from identified projects will be 908 Million Tonnes
(Mt) and identification of projects for the balance quantity is in progress.
 Group wise Production from Projects
 Existing coal projects are envisaged to contribute about 165 Mt, projects under implementation are likely to
contribute 561 Mt. Future projects are planned to produce 182 Mt during the year 2019-20.
 Contribution from Subsidiaries
 Projected contribution from MCL and SECL will be to the tune of 250 Mt and 240 Mt respectively during the
year 2019-20. Production contribution from the rest of the subsidiaries during the year 2019 - 20 have been
projected as under: -
 Eastern Coalfields Limited    - 62 Mt
 Bharat Coking Coal Limited    - 53 Mt
 Central Coalfields Limited    - 133 Mt
 Northern Coalfields Limited    - 110 Mt
 Western Coalfields Limited    - 60 Mt
 Major Challenges
 The dream of providing 1Bt of coal (qualitatively & quantitatively) to the Nation will be achieved only
through the concerted efforts of CIL, Railways and State Governments. Three critical railway lines,
mechanization through latest technology, upgrading skills of employees, speedy acquisition of land,
expeditious environmental and forest clearances and fast track state level clearances are crucial for
realization of 1 Bt coal production by CIL.
 Key Strategies
 (I)    Technology Development
 a.    Exploration capacity is planned to be augmented with more use of hydrostatic drills, geophysical
loggers, 2D/3D Seismic Survey Technology and Optimization of number of coring boreholes based on the
complexity of geology of the block.
 b.    Introduction of high capacity equipment, Operator Independent Truck Dispatch Systems, Vehicle Tracking
System using GPS/GPRS, CHP and SILOS for faster loading and monitoring using laser scanners have been planned
to augment coal production from opencast mines.
 c.    Introduction of Continuous Miner Technology on large scale, Long Wall Technology at selected places,
Man Riding system in major mines and Use of Tele - monitoring techniques have been envisaged to increase
production from underground mines.
 (II)    Role of HR
 Driving CIL Corporate Vision by building capabilities, creating performance culture & developing talent
 (III)    System Improvements
 Introduction of e-procurement of equipment and spares, e-tender of work and services, implementation of Coal
Net, establishment of connectivity, revision of guidelines and manuals, use of GPS for monitoring operational
efficiency in road transport of coal have been planned to improve the overall system.
 Conservation of energy always remains a priority area and CIL/Subsidiaries have undertaken various measures
towards reduction in specific energy consumption.
 Even though Coal Production had increased by 2.9% in 2016-17 compared to 2015-16, electricity consumption
has however reduced to 4886.83 Million Units vis-a-vis 4971.13 Million Units during 2015-16 with a reduction
of 1.7% in absolute terms. Specific Power Consumption (kWh/T) during 2016-17 is 8.82 kWh/T vis-a-vis 9.23
kWh/T during 2015-16 with a reduction of 4.42%. CIL/Subsidiaries endeavor to maintain this trend of reduction
in specific power consumption (kWh/T) every year with reference to previous year.
 Some of the salient measures taken by CIL/Subsidiaries for energy conservation are as under :-
 -    CMPDIL HQ has undertaken energy conservation studies in 2016-17 and carried out Diesel Audit &
Benchmarking of specific diesel consumption as well as Electrical Audit & Benchmarking of specific electrical
energy consumption in various opencast and underground mines situated in different subsidiaries of Coal India
Limited by Bureau of Energy Efficiency (BEE) accredited Energy Auditors.
 Diesel Audit and Benchmarking carried out by CMPDIL in 71 opencast mines in different subsidiary companies
revealed an aggregate saving of approximately 16750 kilo litre/year in diesel consumption.
 These 71 opencast mines are selected having composite capacity (Coal+OB) of 1.0 mill.cub.m or more in ECL,
2.0 mill.cub.m or more in BCCL, WCL, CCL and 5.0 mill.cub.m or more in NCL, SECL and MCL respectively.
 Likewise, Electrical Audit and Benchmarking carried out in 08 mines (07 opencast mines and 01 underground
mine) revealed an aggregate saving of approx. 110 million units/year.
 -    MoU has been signed between CIL (Coal India Limited) and EESL (Energy Efficiency Services Limited) on
08.02.2016 for implementation of Energy Efficiency Projects in CIL and its Subsidiaries.
 -    Accordingly, high watt luminaries / conventional light fittings are being replaced with low power
consuming LEDs (of appropriate wattage) in majority of the places for street lighting, Office and other work
places, townships etc., thereby creating huge saving potential in electricity consumption. Around 64000 LED
Lights have been fitted (new + replacement) in CIL/Subsidiaries for better conservation of energy.
 -    Air Conditioners (AC) and Refrigerators of 5 Star Rating are procured against replacement of old
conventional ACs and refrigerators. Use of Super Energy Efficient Air Conditioners (AC) are also being
explored at places having technical capability of saving energy 30% more than the 5 star-rated ACs.
 -    Energy audit of selected mines / office buildings conducted by CMPDIL / External Agency.
 -    Installation of power capacitors of appropriate kVAR rating to maintain higher power factor to avail
maximum benefit on power factor incentive from power supply agency as well as reduction in Maximum Demand.
Aggregate Power Factor maintained at CIL subsidiaries is as high as 95% during 2016-17.
 -    Auto timer based on-off switches in most of the street lighting / CHPs and township areas to ensure
avoiding unnecessary power consumption during odd hours thereby saving in electricity consumption.
 -    Construction of strata bunkers in underground (UG) mines to eliminate idle running of belt conveyors
thereby saving electricity.
 -    Re-organization of LT (Low Tension) overhead line by Aerial Bunched Cable to avoid unauthorized power
 -    Monitoring of load pattern and demand side management of supply points limiting maximum demand wherever
practicable by staggering avoidable load from peak hours to off-peak hours.
 -    Elimination or reduction of stage pumping as far as practicable.
 -    Re-organization of power distribution system.
 -    Power supply to underground mines by laying cables directly through bore holes wherever feasible.
 The above measures are indicative and not exhaustive.
 (ii) In addition to above, CIL / Subsidiary Companies are also pursuing use of alternative energy sources.
Various steps have been taken for utilizing solar power as alternate sources of energy, some of which are as
stated below :
 -    In kilo-watt scale, roof top solar plants are in successful operation at various places since their
commissioning. Such plants are in operation at Corporate Office of Coal India Ltd, New town, Kolkata (160
kWp), CMPDI HQ, Ranchi (190 kWp), CMPDIL RI-VI, Singrauli (50 kWp), CMPDIL RI-II, Dhanbad (50 kWp), Sodepur
(5 kWp) and Bankola (30 kWp) at ECL, Central Repair Shop, Barkakana (25 kWp) at CCL, Nagpur Area (80 kWp) and
Ballarpur area (60 kWp) at WCL respectively.
 -    In megawatt scale, one ground-mounted solar power plant (2.016 MWp) is in operation at MCL HQ since it
is commissioning on 13.10.2014.
 -    In CCL, work order for solar power plant of capacity 400 kWp on the roof top of Darbhanga House, CCL
HQ, Ranchi has already been issued to M/s BHEL. Another such plant of capacity 50 kWp has been approved for
Kathara Area on the roof top of Executive Hostel Building. Plant of capacity 80kwp has been aprroved for
CMPDIL RI-I office building at Asansol.
 -    In kilo-watt scale, roof top solar power plants have been identified for their commissioning at ECL
(aggregate capacity: 60 kWp), MCL (150 kWp) and CMPDIL RI-VII (60 kWp) respectively.
 -    In mega-watt scale, WCL has planning for installation of 1.257 MWp and 50 MWp solar power projects.
 Overall Capital Expenditure during 2016-17 was Rs.7700.06 crores as against Rs.6,123.03 crores in previous
year. Capital Expenditure incurred during 2016-17 is 99.16% of BE (102.21% in 2015-16). Subsidiary-wise
details of which are given in Annexure 17.
 The authorized share capital of the company as on 31.03.2017 was Rs.8904.18 crores, distributed between
Equity and Non-cumulative redeemable preference shares as under:
 (i)	800,00,00,000 Equity Shares of Rs.10/- each (Previous Year 800,00,00,000 Equity Shares of Rs.10/-
each)	Rs.8000.00 crores	
 (ii)	90,41,800 Non-cumulative 10% redeemable Preference Shares of Rs.1000/- each (Previous Year 90,41,800
Non-cumulative 10% Redeemable Preference Shares of Rs.1000/- each)	Rs.904.18 crores	
 	Total	Rs.8904.18 crores	
 Listing of shares of Coal India Limited in Stock Exchanges:
 The shares of Coal India Ltd. is listed in two major stock exchanges of India, viz. Bombay Stock Exchange
and National Stock Exchange on and from 4th November, 2010.
 The details of disinvestment of shares by Govt. of India is furnished below:
 Sl No	Financial Year of Disinvestment	% of shares disinvested	No. of shares disinvested	Mode	
 1	2010-11	10.00%	63,16,36,440	IPO	
 2	2013-14	0.35%	2,20,37,834	CPSE-ETF	
 3	2014-15	10.00%	63,16,36,440	OFS	
 4	2015-16	0.001%	83,104	CPSE-ETF	
 5	2016-17	1.248%	7,88,42,816	Buyback	
 6	2016-17	0.92%	5,71,56,437	CPSE-ETF	
 Hence, the number of shares held by Govt. of India as on 31.03.2017 is 4,89,49,71,329 i.e.78.857% of the
total 6,20,74,09,177 number of shares (earlier year 5,03,09,70,582 i.e. 79.649% of total number of shares).
 During the year the company has not issued any shares. However, pursuant to Public Announcement (PA)
published on August 30,2016 and letter of offer dated September 23,2016, the company has bought back its
10,89,55,223 number of equity shares of face value of Rs.10/- each fully paid up through tender offer route
under Stock Exchange mechanism and extinguished these shares on October 28,2016. Post such buyback, the
number of fully paid equity shares as on stands at 6,20,74,09,177.
 Pursuant to above, the shareholding pattern in CIL stood as follows:
 	As on 31.03.2017	As on 31.03.2016	
 	Shareholding Pattern (%)	Share Capital (Rs Crore)	Shareholding Pattern (%)	Share Capital (Rs Crore)	
 Government of India	78.857 %	4894.97	79.649 %	5030.97	
 Other Investors	21.143%	1312.44	20.351%	1285.39	
 Total	100.000%	6207.41	100.000%	6316.36	
 During the year 2016-17, three subsidiaries of CIL viz. NCL, SECL and MCL have bought back its shares from
CIL. The details of such buy back are as follows:-
 Name of the Subsidiary	NCL	SECL	MCL	
 No. of Shares brought back by subsidiary	411135	609250	451743	
 Buy back Price	Rs.30260.70	Rs.19699.47	Rs.35796.02	
 Consideration received by CIL	Rs.1244.12 crore	Rs.1200.19 crore	Rs.1617.06 crore	
 No. of Shares held by CIL post buy back	1365593	2987750	1412266	
 Aggregate borrowings including both current & non-current of CIL stood at Rs.410.77 crores in 2016-17 from
Rs.269.76 crores in 2015-16, as detailed below.
                                                                                       Figures in Rs. Crores
 Particulars	2016-17	2015-16	
 Foreign Loans including deferred credits			
 - EDC Canada	167.2	174.14	
 - Liebherr France SA., France	6.64	7.77	
 - IRCON International Ltd.	171.44	63.92	
 Chattisgarh State Infrastructure Development Corpn Ltd.	65.49	23.93	
 TOTAL	410.77	269.76	
 In addition to the above Short term Borrowings of CIL stood at Rs.2603.81 crores in 2016-17 from Rs.929.03
crores in 2015-16, as detailed below.
                                      Figures in Rs. Crores
 Particulars	2016-17	2015-16	
 Loan repayable on demand			
 - From Banks	2603.78	929.00	
 - From Other Parties	0.03	0.03	
 TOTAL	2603.81	929.03	
 The debt servicing has been duly met in case of the loans / deferred credits whenever due.
 The subsidiary companies of SECL M/s Chhattisgarh East Railway Limited (CERL) & M/s Chhattisgarh East-West
Railway Limited (CEWRL) have taken loan from IRCON International Ltd and Chhattisgarh State Infrastructure
Development Corpn Ltd. with repayment period of 5 years excluding moratorium period not exceeding 5 years
from the date of signing of Loan Agreement.
 Coal India is envisaged for foreign collaboration with a view to:
 - Bring in proven and advanced technologies and management skills for exploiting UG and OC mines, coal
preparation and related activities.
 -    Exploration and exploitation of Methane from Coal bed, abandoned mine, ventilation air, shale gas, coal
gasification, etc.
 -    Locating overseas countries interested in Joint Venture in the field of coal mining with special thrust
on coking coal mining.
 The priority areas included acquisition of modern and high productive underground mining technology,
introduction of high productive opencast mining technology, improvement in working in underground in
difficult geological conditions, fire control and mine safety, coal preparation, application of 3D seismic
survey for exploration , extraction of coal bed methane, coal gasification, application of Geographical
Information System, satellite surveillance, subsidence monitoring, environmental control, overseas ventures
in coal mining.
 CIL aims to acquire suitable technology through international bidding. Bilateral cooperation is also being
encouraged for locating availability of cost effective and latest technologies in the aforesaid areas. CIL,
therefore, has been following both the routes.
 Following are the details of activities that took place with various countries during 2016-17.
 FOREIGN COLLABORATION Indo-US Collaboration: Status of On-going Projects: a) Development of Coal Preparation
Plant Simulator
 M/s Sharpe International LLC, USA (SI) was awarded the work in October 2009 for development of a Coal
Preparation Plant Simulator. Total work was split into 18 activities out of which 11 activities were
completed and payment to the tune of 40% value had been released in line with provision of the contract.
Later in October 2013, SI expressed their inability to complete the work. US representatives were requested
to take up the matter with M/s Sharpe for a meaningful conclusion of the project. US side advised to contact
Mr. Carl Jacobson in this regard.
 Consequently, Mr. Carl Jacobson was contacted for submission of a proposal for execution of the project
within the framework of existing agreement. From perusal of the proposal submitted by him, it was noted that
M/s Coal Sim was responsible for the development of software based on the mining engineering expertise
provided by Mr. Mark Sharpe. The issue is being examined for meaningful conclusion.
 Further, Mr. Manoj Mohanty from Southern Illinois University Carbondale, USA vide his email dated 08.01.2016
expressed desire to complete the project that SI could not complete. Mr. Mohanty was requested to submit his
proposal through US DoE and MoC, as the project was identified under Indo-US Coal Working Group work plan.
Subsequently, a proposal from Mr. Mohanty was received through US DoE and MoC, GoI. Comments of CMPDI in this
regard were sent to Advisor (Projects), MoC on 03.10.16 and also to Mr. Smouse Scott of DoE on 27.10.2016.In
response to the queries raised by Dr. Mohanty of SIU (vide e-mail dated 07.11.2016 forwarded by Dr. Scott
Smouse of US DOE), suitable reply has been sent on 23.11.2016.
 On 22.12.2016, Dr. Scott Smouse of US DOE sent reply indicating project direct cost for the subject
assignment with Power Plant economics increased substantially to US$ 3,50,000 plus additional 47.5% charge on
the project direct cost as research overhead expenses.
 CMPDI vide email dated 09.01.2017 requested Dr. Scott Smouse to look into the matter and asked Dr. Mohanty
to respond accordingly so that the final proposal can be prepared and submitted at the earliest with due
consideration to fund limitation as the balance fund left in the project is US$ 225,000. Necessary reply in
this regard is awaited.
 b) Cost Effective Technology for Beneficiation and Recovery of Fine Coal
 US DOE had identified Virginia Tech University (VTU) for establishing an efficient technique for
beneficiation & dewatering of Indian coking coal mines through the testing of coal samples in lab and pilot
plants at VTU for identification of state-of-the-art technologies based on which a demonstration plant was to
be installed in Sudamdih Washery in BCCL. A joint project proposal was drawn and approved by CIL R&D Board in
Dec, 2010. The VTU, however, expressed its inability to sign an international agreement and as such the
project could not be started.
 During the 10th Indo-US CWG meeting in New Delhi on 10.03.2014, US representatives were requested to take up
the matter with VTU for meaningful conclusion of the project. US side had advised to contact Dr. Roe Hoan Yoon
of Virginia Tech for further discussion in this regard. Subsequently the issue was taken up with Dr. Roe Hoan
Yoon to obtain methodology for execution of the assignment.
 On perusal of the correspondences made with Dr. Yoon, it is observed that VTU is not in a position to
associate in the project in accordance with the methodology of the approved project. The issue is being
examined for meaningful conclusion.
 Further, Dr. Yoon vide e-mail dated 08.01.2016 informed that VTU had developed HHS process for fine Coal
Cleaning and would be submitting a proposal on the same. However, since the project was identified under
Indo-US Coal Working Group work plan, Dr. Yoon was requested to route his proposal through US DoE and MoC.
Further, the matter has been followed up from CMPDI's end. Reply is awaited from Dr. Yoon.
 Meanwhile, Shri R B Mathur, President, Business Development & Mining Strategy, Virginia Mining Resources
Pvt. Ltd. (VMR) submitted, vide his email dated 09.05.2016, that VMR is a sister concern of Minerals Refining
Company (MRC) which is associated with Dr. Yoon in development of Hydrophobic-Hydrophilic Separation (HHS)
Technology. He expressed to undertake a pilot project on HHS Technology under S&T Programme in India. He was
requested vide email dated 20.05.2016 that a proposal should be sent to this office with details of HHS
Technology, its availability and cost etc. for initiating appropriate action.
 Subsequently, a Proposal titled Application of the Hydrophobic-Hydrophilic Separation (HHS) Process for the
Beneficiation of Indian Coals from M/s MRC was received through US DoE and MoC, GoI. Comments of CMPDI in
this regard has been sent to Advisor (Projects), MoC on 07.10.16 and also to Mr. Smouse Scott of DoE on
27.10.2016 stating the following:
 -    The promotor of HHS technology may be requested to submit a project proposal for Design of a POC-Scale
Plant. The proposal would initially include the setting up of a POC-Scale Plant at CMPDI(HQ), Ranchi (in
Stage-I) to compare yield of different types of Indian coal in HHS process with that obtained through
conventional floatation scheme.
 -    Based on the findings of the study carried out in Stage-I, the technology may be implemented in
Stage-II for Conceptual Design of a Demonstration Plant.
 In the meantime, Shri R.B. Mathur, vide e-mail dated 21.11.2016, submitted a revised proposal with
incorporation of the PROPOSED BUDGET BY TASK, i.e. the total cost of involvement of US side is USD 1,508,312
as indicated earlier, has been split into different tasks which is related to lab scale testing and
consultancy services by the project proponent. It can be summarized from the revised proposal that
 - US Cost till Design of a POC-Scale Plant (as indicated under Task 1 to 3) is USD 923,104 and
 - US Cost for the Conceptual Design of a Demonstration Plant with retrofit (as indicated under Task 4 to 6)
is USD 585,208.
 On 02.12.2016, CMPDI responded to Dr. Scott Smouse that in addition to the reply made on 27.10.2016, it may
further be noted that the indicated cost mentioned above is towards Laboratory tests on coal samples (to be
transported by CMPDI to Virginia Tech Laboratory in USA), detailed characterization for pilot design, design
of a POC-scale plant, conceptual design of a Demonstration Plant and developing a flowsheet to Retrofit in
existing plant only. It does not include any supply item, not even the cost towards HHS set up required for
POC-scale plant, without which the objective of the HHS scheme cannot be accomplished.
 In the meantime, Shri R.B. Mathur, President (Business Development & Mining Strategy), Virginia Mining
Resources Private Ltd. (vide e-mail dated 16.02.2017) informed that comments on the observation of CMPDI
shall be provided through official channels. Accordingly, Dr. Scott Smouse vide email dated 23.03.2017 has
submitted a revised proposal as received from Virginia Minerals Refining Corp. Scrutiny of the proposal is
done at CMPDI.
 New Areas of Collaboration 
 a)    Underground Coal Gasification (UCG): UCG is one of the key areas under Indo-US collaboration. A
project brief for capacity building in the field of UCG development has been sent to MoC for consideration in
India-US Coal Working Group Meeting held on 16th Sept. 2015 at Washington, USA for the development of UCG in
CIL command area. Initially, DoE indicated that UC-CIEE (California Institute for Energy and Env.) can be
approached. Thereafter, Lawrence Livermore National Laboratory was requested to associate. US DoE agreed to
identify US Experts and will inform the Indian side for further course of direct action. Response from DoE is
 b)    Shale Gas: In the Indo US Working Group Meeting held on 16thSeptember, 2015 at Washington, USA, it has
been agreed that potential business collaboration will be identified for shale gas assessment in Barren
Measures above coal seams.
 c)    Coal Mine Methane (CMM): CMM blocks have been identified in and around active mining areas under CIL
command area for commercial exploitation of methane in Raniganj Coalfield (ECL command Area), Jharia
Coalfield (BCCL command Area). US Experts are requested to suggest suitable technology providers for
commercial extraction of CMM & its utilization.
 d)    Dynamic planning of large capacity opencast mines: The National Energy Technology Laboratory (NETL),
USA has been entrusted with the responsibility for identifying suitable US agencies for cooperation in this
area. As advised by US Side, M/s Norwest Corporation and M/s Art Sullivan Mine Services were contacted by
CMPDI. Finally, the subject of large capacity opencast mine planning, norms and standard, safe designs and
dump optimization was finalized with M/s Norwest Corporation.
 After many deliberations on the proposal, it was proposed by CMPDI to route the proposal through Indo-US CWG
platform prior to submission at the R&D Nodal Agency (i.e. CMPDI) for funding under CIL. A meeting was held at
CMPDI with officials from M/s Norwest Corporation on 20th July 2016 and a decision was taken to formulate the
proposal in two phases i.e. Phase-I: Study & Capacity Building, and Phase-II: Implementation in one of the
selected OC mines in CCL. (CCL has given consent for study and implementation of the proposal in Amrapali OCP
vide letter dated 29th Aug. 2016).
 Mr. Pat Akers, representative of Norwest Corporation, again visited CMPDI on 21stDecember 2016 for further
discussions and Mr. Akers agreed to reframe the scope of work as desired by CMPDI.
 A revised draft proposal was submitted by Mr. Akers on 17th January 2017 and scope of the project has been
finalized by CMPDI. A complete proposal with time and cost estimates is expected to be submitted by Mr.
Akers. Reminders were sent through e-mails dated 23.02.2017 and 20.03.2017 by CMPDI. In response, a few
queries/clarifications were sought by Mr. Akers on 22.03.2017. Subsequently, query-wise clarification was
e-mailed to Mr. Akers on 23.03.2017 for incorporation in the proposal. Detailed proposal is awaited.
 e)    Mine Rehabilitation & Reclamation of Indian coal mines:
 Projects on sustainable mine closure activities and mining wasteland to be utilized as a source of
livelihood for local community were proposed to be carried out with the help of US agencies. In this regard,
a proposal was received from M/s Norwest Corporation on 15th Dec, 2015.
 After many deliberations on the proposal, CMPDI advised to route the proposal through Indo-US CWG platform
prior to its submission to R&D Nodal Agency (i.e. CMPDI) for funding under CIL. Subsequently, a meeting was
held at CMPDI with officials from M/s Norwest Corporation on 20th July 2016 and a decision was taken to
formulate the proposal in two phases i.e. Phase-I: Study & Capacity Building and Phase-II: Implementation in
one of the selected OC mines in CCL (CCL has given consent for study and implementation of the proposal in
Amrapali OCP vide letter dated 29th Aug. 2016). M/s Norwest Corporation has prepared the revised draft
proposal and sent to CMPDI (HQ), Ranchi (Implementing Agency) on 06.09.2016 for necessary scrutiny. The
proposal was vetted and the observation received on 30.12.2016.
 In the meantime, CMPDI has forwarded the same to M/s Norwest Corporation vide email dated 28.11.2016 for
incorporating their input before submission of the proposal.
 Mr. Pat Akers, representative of M/s Norwest Corporation, had a meeting with CMPDI officials on 20th
December 2016 at New Delhi. After detailed discussions on issues raised by CMPDI, Mr. Akers agreed to
incorporate the points raised by CMPDI and agreed to submit the revised proposal by January 2017.
 The revised draft proposal was submitted by Mr. Akers on 10th January 2017. Reply has been sent by CMPDI on
1st February 2017 for submission of revised proposal incorporating the suggestions made by CMPDI. In response
to the email dated 09.03.2017 by Norwest Corporation regarding some issues of service tax, necessary reply has
been sent by CMPDI vide e-mail dated 22.03.2017. The revised proposal is awaited.
 f)    Advanced Dry Coal Beneficiation technology: Dry Coal beneficiation is a priority area identified under
Indo-US CWG. Mr. Manoj Mohanty of Southern Illinois University Carbondale submitted a short proposal on DryJet
Sorting Technologies through US DOE in Aug. 2014, which is based on X-Ray detection and pneumatic sorting
technology, similar to Ardee Sort, CMPDI is already trying under R&D Project at Madhub washery, BCCL. During
the last CWG meet held in USA on 16th Sept. 2015 at Washington DC, Mr. Manoj Mohanty was contacted to submit
a proposal on FGX Dry Coal separator, which he also confirmed through email dated 08.01.2016. The proposal is
 Visit of US delegation at CMPDI(HQ), Ranchi
 A delegation from US Consulate (lead by Sri Prasenjit Gupta, US Consul for Political and Economic Affairs)
visited CMPDI on 15.02.2017 to discuss Indo-US collaborative projects, CBM/ CMM Clearing House functioning
and the possibility of future collaboration.
 Indo-EU Collaboration: 
 Status of On-going Project: 
 a) Introduction of a new underground mining technology at North-Eastern Coalfields in Assam
 A proposal titled Introduction of a new underground mining technology at North-East Coalfields in Assam,
India was put forward to the Indo-EU Working Group on clean coal technology for consideration in 2012. The
feasibility study to design a suitable mining technology and operation was awarded to Spanish Consortium led
by AITEMIN. AITEMIN has already started their work since December 2013. The members from Spanish Consortium
visited Tipong UG mine of NEC, Assam during 10th - 14th Feb 2014. During the visit, they had detailed
discussion with concerned CMPDI & NEC authorities and collected necessary data/information regarding the
aforesaid work. The Feasibility Study Report, as reported by AITEMIN, has already been submitted to the
European Commission on 10th Oct.Rs.14 according to the contract terms and recently, the same has been
received through M/s AITEMIN. However, the feasibility study report is yet to be made available to CIL/ CMPDI
by the European Commission.
 New Areas of Collaboration
 During 8th India-EU CWG meeting held in Chennai from 28th -29th Nov. 2013, a presentation was made by CMPDI
on reclamation practices, land management and utilization of mine voids for storage of mine water which is
generally of good quality. Technical knowhow from EU was sought to bring back the post-mining land use
pattern as existing before the mining and utilization of the same for income generation for the local
community. A presentation on the requirement of the technical assistance was made by CMD, CMPDI during 9th
India-EU CWG meeting held in Germany from 10th - 11th Sept. 2014. However, offer of assistance is still
awaited from EU side.
 Indo-Australian Collaboration Status of On-going Projects:
 CMPDI has a Memorandum of Understanding (MoU) with Commonwealth Scientific and Industrial Research
Organisation (CSIRO) signed on 12th June, 2013 for a period of five years for furthering scientific
cooperation. A team from CMPDI visited CSIRO, Australia in July 2015 for identifying possible collaborative
areas in the field of clean coal technologies.
 a)    Capacity Building for CMPDI Lab
 - CMPDI has established a state of the art Coal Bed Methane (CBM) lab that can carry out parametric studies
for resource estimation and reservoir characterization for CBM and Shale gas.
 - In March 2016, S&T Project titled Capacity building for extraction of CMM Resource within CIL Command
areas was approved by Ministry of Coal (MoC) under Govt. of India S&T funding which is jointly implemented
by CMPDI and CSIRO. The project is of three (03) years project duration. A Collaborative Understanding
agreement for execution of the Project has been signed between CSIRO and CMPDI on 22nd December, 2016.
 - In February, 2017, CMPDI organised a thorough discussion on lab equipment in CBM lab with CSIRO and GEOGAS
representatives. The later visited CBM Lab and emphasized on planning scientifically correct methodology and
implementation of new technology driven equipment to be covered under the above S&T project. The team also
visited four drilling sites of CMPDI. One of the boreholes had been selected for desorption studies. The team
discussed methodology of desorption studies carried out by CMPDI team at site.
 b)    Ventilation Air Methane (VAM)
 - CMPDI has formulated a project jointly with CSIRO titled Abatement and utilization of Ventilation Air
Methane (VAM) from working underground degree-III coal mine in India. The implementing agencies for the
project will be CSIRO and CMPDI with BCCL as a sub-implementing agency. Identified project mine is Moonidih
Underground Mine in Jharia coalfield of Bharat Coking Coal Ltd. (BCCL).
 - CIL R&D Board has approved the project in principle with 100% retroactive funding at present and in due
course 40% should be reimbursed from National Clean Energy Fund (NCEF) with a directive to reduce duration of
project from 42 to 30 months in consultation with CSIRO. CSIRO has agreed to reduce the project duration to 36
 - The revised proposal was placed in the 26th Meeting of R&D Board of CIL held on 27.12.2016 and the Board
advised to place the proposal before the Apex Committee with certain modification.
 c)    SIMTARS engagement in Mining simulation, Explosion testing and Mining safety training
 - SIMTARS in collaboration with ISM & CIMFR, Dhanbad has been engaged in mining simulation, explosion
testing and mining safety training for Indian coal mines through purchase of mining simulators through an R&D
Project funded by CIL.
 - For setting up Virtual Reality Centre (VRS) at ISM, a meeting was held on 23.02.2016 which was attended by
Additional Secretary, MHRD and Chairman, CIL. ISM in association with SIMTARS formulated a proposal for
setting up VRS at ISM, Dhanbad.
 - SIMTARS agreed to give details about their requirement, financial involvement, component wise details for
different modules for training based on some need analysis in Indian scenario, for establishing the Centre
for imparting training of trainers etc. SIMTARS proposal included the following:
 -    Identification of training requirements
 -    Location, site and building work requirements
 -    Mine and infrastructure modelling requirements
 -    Immersive display system requirements
 -    Implementation of logistic requirements
 -    Support requirements
 - A space for establishing the Centre has been identified by ISM under the Centre of Excellence in Mining
 New Areas of Collaboration
 a)    Underground Coal Gasification (UCG): In the India - Australia Energy Security Dialogues held during
8th - 11th February 2016 at Brisbane, for the development of Underground Coal Gasification (UCG), Australian
companies like M/s Carbon Energy Limited was asked to look forward for the opportunities coming up in India
in view of the recent UCG policy of Government of India. A meeting via Conferencing (Video/Tele) was
organized by Austrade / Delhi on 31st May 2016 where M/s Carbon Energy Ltd shared their outcome of Key Seam
UCG Technology developed at the Bloodwood Creek UCG Trial Project at QLD in Australia.
 It was agreed that in view of constitution of Inter-Ministerial Committee (IMC) for the development of UCG
blocks, the proponent may approach to the developer to extend technology to them after the awarding of
 b)    CBM/CMM Development in CIL Command Area: In the India - Australia Energy Security Dialogues held
during 8th - 11th February 2016 at Brisbane the Australian technology providers and experts from the
Australian Universities came forward for participation in developing CBM/CMM areas under the leasehold of CIL
in view of new policy of Government of India permitting CIL to explore and exploit CBM/CMM on commercial
lines. University of New South Wales (UNSW) has been requested to provide list of experts and technology
 c)    Review Mining Simulation technologies from Immersive Technologies, Australia: This is technology based
software for simulation based training of HEMM. The Immersive Technologies Pty Limited, Australia presented
the same at the IMME 2016 in Kolkata.
 India-Australia Round table Meeting at CIL(HQ), Kolkata
 On the request of Australian High Commission, a round table meeting was jointly organized by IIT-ISM and CIL
at CIL (HQ), Kolkata on 19.11.2016 to enhance Indo-Australian collaboration opportunities on coal mining
technology, safety, clean-coal technology etc. with the help of Australian Universities and Institutions. The
meeting was attended by a number of Australian firms to showcase their technologies and services for possible
future collaboration.
 Indo-Poland Collaboration 
 New Areas of Collaboration
 Secretary (Coal), Govt. of India led a delegation comprising of Chairman, CIL, Joint Secretary (JS), MoC,
and Adviser, MoC to Poland during 6th to 9th June, 2016 to understand the energy policy of Republic of Poland
with particular reference to development of coal, coal mining technologies, reclamation of mined-out areas,
capture and uses of Coal Mine Methane (CMM) and technologies for development of underground (UG) mines etc.
 A 5-membered team of Polish Experts (3 from AGH University, Krakow, Poland & 2 from GIG, Katowice, Poland)
visited MoC, CIL (HQ), ECL, BCCL and CMPDI (HQ) along with a team of 4 members from manufacturers of Poland.
This visit (4th-7th July 2016) was made by Polish Expert as a sequel to the visit made by an Indian
delegation led by the Secretary (Coal) to Poland in the month of June, 2016. In view of the above, a Poland
Technology Group (PTG) has been constituted and some of the areas was identified such as Slope stability of
overburden dump (using advanced modelling technique), Dry Coal beneficiation, Extraction of remnant coal
pillars with surface protection, Pre-drainage of coal mine methane (CMM) and commercial recovery of coal bed
methane (CBM) and Control measures for mine fires of Jharia for obtaining the solutions from Polish side. A
detailed discussion was held on the identified areas at CMPDI (HQ), Ranchi between Polish Experts and
Officials of PTG & other officials of MoC, Coal India Limited/CMPDI, wherein technical co-operation was
sought on the identified areas from Polish Experts. A data dossier on the above identified areas has been
prepared by CMPDI with necessary technical help from different subsidiaries of CIL and the matter is being
taken up at CIL level.
 In continuation of the collaborative studies, a team of 4 officers (2 from CMPDI and 1 each from CCL & BCCL)
visited Poland from 13th -17th February, 2017 to enhance skill in the field of methane extraction and dry coal
 Indo-Japan Collaboration
 New Areas of Collaboration
 a)    Dry Coal Beneficiation: M/s Nagata Engg. Co. Ltd. has been requested to provide the detail technology
including specification and performance data, commercial availability of the separator and cost thereof with
other supports (if any). The response is awaited.
 b)    Slope Stability Monitoring: Dr. Hideki Shimanda of Kyushu University, Japan has been requested to
share their technical expertise and valued opinion for Indian geo-mining conditions. Reply is awaited.
 c) Subsidence Measurement & monitoring using DINSAR Technology: J-Coal delegation led by Mr. Masafumi Uehara
visited CMPDI in August 2016 and presented the possible use of DINSAR technology for subsidence monitoring in
Jharia Coalfield. The delegation also visited the subsidence sites at BCCL. On query whether a real time
monitoring and subsidence prediction was possible through this technology, Mr. Uehara informed that real time
monitoring, at present, was not possible through this study as the minimum interval for this study can be one
and half months, which is the re-visit time of the satellite to acquire the data and they do not have
expertise in subsidence prediction presently. Under such circumstances, the project is kept in abeyance.
 Indo-Russian Collaboration
 The 21st Meeting of India-Russia Joint Working Group on Energy and Energy Efficiency was held on 7th
September 2016 at Delhi. Indian side expressed its interest in technical cooperation with Russian companies
in the field of Underground Coal Gasification (UCG) and resource assessment of Coalbed Methane (CBM) in
distressed conditions. Russian side agreed to pass on the information to concerned Russian companies.
 Indo-Belarus Collaboration
 Two proposals regarding trial run of 350 Tonne dump trucks of Belaz make and technology for North Eastern
Coalfields by M/s NIVA of Belarus were received from Ministry of Coal through CIL on 14.03.2017. Necessary
comments of CMPDI on the above proposals have been sent to CIL on 20.03.2017 for onward communication.
 (A) Activities of Coal India Africana Limitada (CIAL), Mozambique
 Coal India Africana Limitada (CIAL), a wholly owned subsidiary of CIL was granted prospecting licenses for
two leaseholds, covering a total area of 224 sq. km. by the Ministry of Mineral resources, Government of
Mozambique. Based on exploration activities carried out in the license areas from 2012 to 2014, 170
area having no occurrence of coaly horizons till a depth of 500m, was surrendered to the Government of
Mozambique. The remaining 54 area was retained for which new licenses were issued. Based on Geological
Report of the license areas, Mineability Study to assess the techno-economic viability of mining of the
remaining 54 sq. km. was conducted in 2015-16. The Mineability Study revealed that the leasehold areas are
not techno-economically viable for commercial mining. Based on this outcome of the study, CIL Board approved
complete surrendering of the prospecting licenses. Pursuant to these directives of the Board, applications
for surrendering the remaining 54 of the leasehold area for prospecting was submitted to the National
Institute of Mines (INAMI), Government of Mozambique. The Government of Mozambique vide their letter dated
16th August 2016 accepted the application for relinquishment of the said licenses.
 (B) Acquisition of coking coal assets abroad
 Pursuant to the directives of the CIL Board, initiatives for acquisition of coking coal assets, with
particular focus on Australia being the prime destination for sourcing coking coal to India, are in process.
As part of the preparedness towards acquisition initiatives, empanelment of Merchant Banker (MB)/ Investment
Banker (IB) has been done to render assistance in acquisition process.
 (A)    Setting up of natural gas based ammonia-urea complex at Gorakhpur, Sindri and Barauni
 In line with the decision in a meeting at PMO on 07.04.2016, a Joint Venture Agreement was signed on 16th
May 2016 between CIL and NTPC (shareholding 50:50), to set up new natural gas based ammonia-urea complexes at
the premises of closed fertilizer units at Gorakhpur & Sindri of FCIL and HFCL at Barauni. Hindustan Urvarak &
Rasayan Limited (HURL) was registered on 15th June 2016 as a Joint Venture Company of NTPC and CIL, with IOCL
to join subsequently. The Supplementary Agreement to the JVA was signed amongst CIL, IOCL, NTPC, FCIL and
HFCL on 31st Oct, 2016 with shareholding of CIL - 29.67%,NTPC - 29.67%,IOCL - 29.67% and FCIL/HFCL(combined)
- 10.99%.The Pre-Feasibility Report for Gorakhpur and Sindri was prepared by Engineers India Limited(EIL) and
that for Barauni was prepared by Projects Development India Ltd(PDIL). The Board of Directors of HURL decided
to set up ammonia-urea complexes at aforementioned sites through Lump-Sum Turnkey (LSTK) mode and PDIL was
appointed as consultant for rendering assistance in the entire process. The pre-qualification process for
LSTK contractors has been completed through a global EOI process. Thereafter, NIT for selection of LSTK
Contractors for setting up of the ammonia-urea plant at each site was prepared and issued after due approval
of the HURL Board to the pre-qualified LSTK contractors for each site. Concurrently, pre-project activities
are in progress in all the three sites. Geotechnical investigation, topographic survey, water availability
studies and EIA/EMP preparation have been carried out. The Hon'ble Prime Minister has laid the foundation
stone at Gorakhpur plant site on 22nd July, 2016.
 (B)    Setting up of coal based ammonia-urea complex at Talcher
 In line with the CCEA decision of August 2011, a Joint Venture company of RCF, GAIL, CIL and FCIL, named
Talcher Fertilizers Limited (TFL),has been formed to set up an Ammonia-Urea plant at the site of the defunct
fertilizer plant of FCIL at Talcher through Surface Coal Gasification technology. The shareholding of the
Promoter companies is RCF - 29.67%, CIL -29.67%, GAIL - 29.67% and FCIL - 10.99%.
 After extensive deliberations for selection of coal gasification technology licensors at PMO, NITI Aayog,
Dept. of Fertilizers, etc., it was decided in a meeting chaired by Hon'ble Minister (Chemicals and
Fertilizers) on 31.08.2016 to float a fresh Expression of Interest (EOI) for pre-qualification of technology
licensors for coal gasification technology. The consultant, PDIL, floated EOI on behalf of TFL on 14th
September, 2016 and responses received were evaluated and recommendations placed for approval of TFL Board.
As on date, the TFL Board has accorded 'in principle' approval to the Techno-Economic Feasibility Report
(TEFR) with the stipulation that investment decision would be taken after establishment of financial
viability through a Detailed Feasibility Report (DFR) after due approval of promoting companies.
 The Master Plan for dealing with fire, subsidence and rehabilitation in the lease hold of Bharat Coking Coal
Limited (BCCL) and Eastern Coalfields Limited (ECL) was approved on 12th August 2009 by Govt. of India with an
estimated investment of Rs.7,112.11 crores for Jharia Coalfields and Rs.2661.73 crore for Raniganj Coalfields.
Implementation period has been delineated as 10+2 years.
 High Powered Central Committee meetings were conducted under the chairmanship of Secretary (Coal), MoC to
review the activities of implementation of Master Plan. Fourteen meetings were conducted so far; last meeting
was held on 13/02/2017.
 Jharia Rehabilitation and Development Authority (JRDA) is the implementing agency for rehabilitation of
non-BCCL people under Master Plan whereas Asansol Durgapur Development Authority (ADDA) a state Govt.
organization has been identified as implementing agency for Rehabilitation of Non-ECL houses.
 A. Summarized Status of Implementations of Master Plan in the lease hold of Eastern Coalfields Ltd.
 Seven Surface Fires were identified in the approved Master Plan have been doused by blanketing with thick
layers of earth to save the life and properties of the inhabitants.
 Demographic Survey work has been completed for all 126 locations out of 141 identified locations as 10
locations having no habitation and 3 locations have only ECL population. In 2 locations survey work could not
be completed due to public agitation. The final list has already been published which contains 44598
households. Photo Identity Card (PIC) has been distributed to 43087 persons out of total 44598 persons. Most
of the ECL employees residing in 3 endangered locations have been shifted and remaining persons were allotted
quarters and are in the process of shifting. Chief Secretary, Govt. of W.B. in a meeting with Secretary, MOC
on 24.03.2017 advised ADDA to take necessary action to finalize the Demographic Survey and valuation latest
by 23/05/2017.According to the approved Master plan, about 896.29 ha. (2214 Acres) land would be required for
resettlement of non-ECL families.
 In the meeting held on 24.03.2017 at Nabanna under the Chairmanship of Chief Secretary, Govt. of WB where in
it was decided that ADDA, ECL & CMPDIL will jointly find out the possibilities of large chunk of land to be
used for rehabilitation purpose within a month time. It was also discussed that 15% of population under
rehabilitation scheme are to be accommodated in Durgapur for which Bengal Aerotropolis Limited (BAPL) land
would be made available. For rest 85% who are to be rehabilitated in Jamuria, Ranigunj, Asansol and Baraboni
blocks land in big chunks has to be identified.
 W.B. Housing Board (State Government of West Bengal has now approached to the MOC to accord permission to
change the responsibility to Housing Dept, Govt. of W.B. in place of ADDA) issued work order for construction
of 160 flats on 27/02/2017 for an amount of Rs.8,83,49,173.00 (' Eight Crores Eighty-Three Lakh Forty-Nine
Thousand One Hundred Seventy-Three only) at Bijoynagar Mouza of Jamuria Block. Construction of houses has
already been started from 10.03.2017.
 DPR for construction of 2144 flats (which includes earlier floated tenders for construction of 160 houses)
on a land of 26.08 Acres at Bijoynagar Mouza, comprising 16 flats in each block having built up area of 39.13
Sq m per flat has been prepared by Housing Board on 08/03/2017 with an estimated cost of Rs.164.47 Crores.
Housing Board has also planned to construct 7000, 10000, 13000 and 16000 houses in the years 2017, 2018, 2019
& 2020 respectively for implementation of the Rehabilitation Project for shifting of people residing in the
unstable locations, within the prescribed time schedule.
 i). Diversion of National Highway(NH-2):
 National Highway Authority of India (NHAI) suggested for stability test to be carried out for the unstable
part of NH-2 by other agency. Work for Geotechnical investigation for stability analysis has been awarded to
CIMFR, Dhanbad in March 2016.
 In the 14th HPCC meeting ECL informed that about 300m Stretch of NH-2 is under unstable area and therefore,
unsafe. Further a study was carried out by CIMFR in which voids were found at a low depth that may cause
occurrence of potholes. The report has been sent to NHAI on 07.02.2017 as well as forwarded to DY. DG(EZ),
Sitarampur on 23.02.2017 for information.
 In the 14 th HPCC meeting it was decided to constitute a committee under the Chairmanship of DGMS with
representatives from NHAI, CIMFR, ECL and ADDA to examine and recommend action to be taken by NHAI.
 Accordingly, on 20.03.2017 a meeting was held at DGMS, Office Sitarampur under the Chairmanship of Dy.
DG(EZ) where representatives of ECL, CMPDIL, NHAI and ADDA were present. It was further suggested that NHAI
should approach CIMFR to get idea of blind backfilling and certification of action required for proper
stability from CIMFR.
 (ii). Diversion of District Board (DB) Roads.
 The diversion of DB Road at Mohanpur Colliery of Salanpur area is not required, as the proposed route is
coming under mining operations. The existing road between Amdiha and Samdih via Lalgunj will serve the
purpose of connection.
 In the proposed diversion route of Gorangdih Begunia colliery 3.512 acres of land is required out of which
3.040 acres is Raiyati land and 0.472 acres being WB Govt. vested land. For diversion of this DB road at
Jamgram mouza under Barabani PS, public notice has been issued. The District Level Purchase Committee has
taken up the issue regarding purchasing of Raiyati land.
 For diversion of DB road at Ratibati colliery 4.847 acres land is required (1.207 acres of ECL land+ 0.370
acres of Raiyati + 3.270 acres of DGCA land). NOC for ECL land was placed in the 295th meeting of Board of
Directors held on 01.02.17 for according approval. Board directed to obtain NOC from MOC. Proposal to obtain
clearance from MOC has been sent on 22.02.2017.
 iii)    Diversion of Railway line:
 Andal-Sitarampur Railway line:
 RITES has submitted the 'Revised FSR' to Eastern Railway authority for in- principle approval of the same.
 In 14th HPCC meeting representatives of Railways were asked to direct concerned officers of Eastern Railways
to examine the revised FSR submitted by RITES on 10.01.2017 for taking further necessary action.
 Sr. Divn. Operation Manager, Asansol has informed that the revised FSR has been examined and found the same
would be acceptable subject to compliance of certain conditions.
 ECL has suggested some amendments in the Revised FSR. The suggested amendments of ECL was submitted
separately by M/s RITES to Eastern Railway authority on 01.03.2017 for consideration.
 iv).    Diversion of Indian Oil Corporation Limited (IOCL) pipeline:
 IOCL informed that second tier survey report has been submitted by National Institute of Rock Mechanics
(NIRM), Bangalore which is under examination. IOCL informed that regular monitoring is being done by them to
detect any deflection of pipe line due to subsidence.
 B. Summarized Status of Implementations of Master Plan in the lease hold of Bharat Coking Coal Ltd.
 Reduction in Fire area: The coal mine fire survey/ study was instituted by BCCL through National Remote
Sensing Centre (NRSC), ISRO, Department of Space, Hyderabad for delineation of surface coal fires in Jharia
Coalfield. NRSC has submitted their report in which they have concluded that the present fire area in the
coalfield is only 2.18 which includes both over burden dump fire and active fire. In Master Plan total
surface area affected by fire described as 8.9 NRSC has deduced these findings from the State of Art,
Satellite based technology. Action is being taken by BCCL for dealing with fire as stipulated in the Approved
Master Plan.
 NRSC has been requested to repeat the satellite TIR survey. NRSC has confirmed for the survey in 2017. The
finding of NRSC will be submitted after the survey is completed. BCCL would improvise the fire action plan
for speedier liquidation of fire area. BCCL has signed the MOU and sent to NRSC.Work order has been given to
 As per Master Plan total 54159 families' in 595 nos. sites to be surveyed. CIMFR, ISM, whiz Mantra and JRDA
has completed survey of 595 sites for 91879 families of encroachers, survey of private houses to be started.
 3360 houses have been constructed in Belgoria Rehabilitation TownshipJhariaVihaf in which 1923 non
-families(encroachers) are shifted from affected areas. Construction of 6992 units are in progress out of
which 992 units are in completion stage.
 In order to shift BCCL employees residing in fire affected areas 6668 houses have been built by BCCL in
non-coal bearing zone and 2852 families from fire & subsidence places have been shifted to these houses.
Further construction of 9184 units by BCCL is under progress and in different stages of completion.
 As per Master Plan 2730 Acres of land would be required for resettlement of non-BCCL families for which JRDA
is pursuing for acquisition of land and proposals are now at different stages. NOC of 86.44 acres of vacant
land in Bhuli Township and 849.68 acres of non-coal bearing land in and around Belgoria Township belonging to
BCCL has been given by MoC which has been communicated to JRDA along with all the required mouza plans for
developing new Townships by JRDA.
 Coal India Ltd has infused Rs.161.62 crores to ECL and Rs.1089 crs to BCCL till March 2017 for
implementation of Master Plan.
 15.1 Environmental Impact Assessment (EIA)/Environmental Management Plan (EMP)
 EIA/EMPs for all the new and expansion projects as per EIA Notification SO 1533 dated 14th September, 2006
of MoEF are prepared for peak and normative capacities and environmental clearance is obtained. During the
year 2016-17, CMPDI has prepared a total of 15 Form-I and formulated 22 Draft EIA/ EMPs. 17environmental
clearances were also obtained from MoEF for different Projects/Group of Mines, Washeries and Sand mining
projects of CIL during the year 2016-17.
 15.2Pollution Control Measures and Their Efficacy
 Coal India has been keeping utmost importance in protecting environment by practicing and following
sustainable mining so as to ensure that the mining operations has least impact on environment. The various
Pollution control measures and initiatives are taken up concurrently with mining operations for maintaining
acceptable/permissible limits of major physical and chemical attributes of environment namely air, water,
hydrogeology, ground vibrations, noise, land & nearby population.
 (A) Air Pollution Control Measures:
 To control and reduce dust generation during drilling, blasting, loading and Coal transportation, Coal India
Ltd. has taken up various initiatives based on the Environmental Management Plans (EMP) which were already
prepared before commencement /enhancement of production of coal mines. This EMP is prepared keeping in mind
the impact on existing environment and forest due to coal mining projects through Environment Impact
Assessment (EIA) study of each project.
 Suitable water spraying systems for arresting fugitive dust in roads, washeries, CHPs, Feeder Breakers,
Crushers, coal transfer points and coal stock areas are being installed. Mist spray systems have been
introduced along conveyor routes, transfer points and on bunkers. Mobile water sprinkling has been provided
in all the haul roads of OC mines. In addition to these, the projects are enhancing the water sprinkling
through engagement of contractual water tankers. Automatic sprinklers have also been installed in CHPs. Some
of the important initiatives are also mentioned below:
 a)    Mobile sprinklers have been installed along haul roads to control dust generated by truck and dumpers
 b)    Optimum level of loading of coal in trucks and railway wagons to avoid spillage on roads and rail.
 c)    Covering of coal trucks by tarpaulin is being followed to avoid spillage of coal particles during
 d)    Blacktopping, repairing and strengthening of haul roads are regularly and scientifically carried out.
 e)    Plantation in surroundings of active mining areas and along the hauls roads are carried out to create
green buffers/ green belts in and around the mines.
 f)    In order to reduce the dust pollution due to road transportation eco-friendly mode of transport are
being introduced. Transportation to thermal power stations, who consume more than 80% of thermal coal are
carried out by rail / series of belt conveyors. Rail heads are constructed and made available nearer to mine
so as to reduce road transportation. CIL have constructed / are constructing integrated CHP for rapid loading
of wagons and trucks.
 g)    Tube conveyors mode of transportation is also being introduced in some mines for transportation of
coal to thermal power plants. The wall/sides of CHPs are also covered by side cladding with GI Sheet to
control pollution at source.
 h)    To contain dust emission at source itself, dust extractors / wet drilling systems are being
 i)    Controlled blasting and habitation away from the mines have been introduced as far as possible.
 j) Modern technologies like Surface Miners and Continuous Miner at different subsidiaries of CIL which
generates lesser air borne pollution as compared to conventional mining have been introduced to the system.
During the year 2016-17, CIL has produced about 48.89% (i.e. 255.027 MT) of its production from open cast
mines through Surface miners. Continuous miners contributed about 4.689 MT in the production from underground
 k) The quality of Ambient air in and around the mine site is being monitored fortnightly. The required and
stipulated numbers of ambient air quality monitoring stations are maintained, as per environmental rules and
regulations of Environment (Protection) Act, 2006, and its reports are regularly submitted to SPCBs and
 l) The concept of 'Continuous Ambient Air Quality Monitoring Stations' (CAAQMS) are being introduced and are
installed / being installed in large mines of CIL. Continuous Ambient Air Quality Monitoring Stations have
been installed at 4 locations in SECL and 01 location of WCL.
 (B) Mine Water Management:
 Water which pumped out from the underground and open cast mines are being contaminated with suspended
particles. Some small quantity of water being contaminated during washing and cleaning of HEMM. CIL also
takes initiative by treating this water. The treated water is being supplied to the local villages after mine
consumption. Quality of the final effluent is monitored in terms of the relevant Indian standards.
 -    Domestic Effluent Treatment Plant (DETP): The domestic effluent from major residential colonies is
treated in DETP either by activated sludge method or by extended aerated lagoons.
 -    Mine Discharge Treatment Plants (MDTP) are installed in mines for treatment of mine water. Strata
seepage water in mines first gets accumulated in the mine sump which provides for initial settlement of
suspended particles. The supernatant water from the sump is then pumped out on surface and treated in surface
sedimentation tank, which provides for second stage settlement. The treated mine water is then used partly
within the mine premises for dust suppression, fire fighting, plantation, washing and further treated as per
drinking water standard for supply to company township and nearby villages through pressure filter / RO, etc.
After ensuring maximum re-use within and around mine premises the excess treated mine pumped out water is
released onto local nalla / streams which is used by the surrounding local population specially for
agricultural use.
 -    In order to assess the impact of mining activities on ground water, quarterly monitoring of ground
water levels is being carried out in and around the coal mines covering the buffer zone (i.e.10 Kms radius).
Further, recharging of ground water is also taken up within mine premises as well as in nearby villages
through rainwater harvesting, digging of ponds/development of lagoons, de-silting of existing ponds/tanks
 -    Regular monitoring of mine effluent, workshop effluent, and domestic effluent is carried out every
fortnight as per Environment (Protection) Rule - 2006. Reports of the same are regularly submitted to SPCBs
and MOEF.
 (C)    Noise Pollution Control Measure:
 For control of noise pollution, following measures are adopted:
 i)    Proper maintenance of equipment to minimize vibration
 ii)    Green belt provided around the mine as well as residential area.
 iii)    Controlled Blasting & blasting in only day time.
 iv)    Use of Surface Miner, Continuous Miner & High Wall mining which extract coal without blasting.
 v)    Ear Muff or Ear Plugs provided to Workers at highly noisy areas
 (D)    Land Reclamation:
 Reclamation of the mined out areas and the external OB dumps is a major environmental mitigatory activity
taken up by Coal India. In all new mines reclamation of mined out areas are being done as per the
Environmental Management Plan and Mine closer plan which are approved by MoEF&CC. Back filling of the OB
material in the mine voids is part of the mining operation cycle. Topsoil preservation, storing and use in
the plantation areas of the reclaimed areas are being done in the opencast mines wherever necessary.
Concurrent reclamation and rehabilitation of mined out areas (subject to technical feasibility as per
geo-mining conditions) are taken for gainful land use. Opencast mines are filled up with overburden extracted
during the process of extraction of coal and after technical reclamation is completed plantation is carried
out which is termed as biological reclamation.
 -    Eco-restoration: For effective Bio- reclamation of disturbed land, scientific studies are carried out
to select suitable species of plants for each coalfield and sustainable sequence of reclamation from grass to
shrubs, to trees. Forest Research Institute (FRI) have been engaged by CIL for sharing their expertise in the
field of eco-restoration in the reclaimed areas. ECO restoration sites are developed in Damoda, Tetulmari of
BCCL, with technical guidance of FRI.
 -    Eco-park in Reclaimed land: Eco Parks have been developed in many of the mined out areas of CIL like
Gunjan Park of ECL, Ananya Vatika of SECL, Nigahi of NCL, Saoner of WCL, Kayakalp Vatika, Rajarappa Eco Park
in CCL etc.
 -    Tree plantation: Green belt is developed through extensive tree plantation programme every year by the
subsidiaries of Coal India Ltd. Avenue plantation, plantation on the OB dumps, plantation around mines,
residential colonies, and available land is undertaken in existing as well as new projects. The subsidiaries
of CIL have planted around 94.015 million of trees covering an area over 37557.458 Ha. till March 2017.
 -    Monitoring of Reclamation: CIL introduced state-of-the-art Satellite Surveillance to monitor land
reclamation and restoration for all opencast projects. The land reclamation and rehabilitation operations are
being monitored by Satellite Surveillance. 50 major OCPs excavating more than 5 Mm (Coal+OB) per annum are
being monitored every year while remaining OCPs excavating less than 5    Mm (Coal+OB) per annum are being
monitored every 3rd year. This gives a clear picture of reclamation, which otherwise is difficult to
accurately estimate. The study during 2016-17 shows that all the major OCPs (excavating > 5 Mm (Coal+OB) per
annum) have reclaimed area of 77.59% and active mining area is only 22.41% of the total excavated area. In
addition, CIL is conducting vegetation cover mapping through satellite surveillance in every 3 years.
 -    Mine Closer Plan (MCP): Mine closure plan is an integral part of the project report prepared by CMPDIL
for coalmines. This progressive mine closure plan also forms a part of the EIA/EMP prepared and submitted to
MOEF for Environmental Clearance. The progressive reclamation of mined out areas inbuilt in the project cost
is implemented accordingly. After exhaustion of reserves, statutory obligations in respect of closure are
also followed. CIL is practicing mine closure very effectively. CIL is committed for restoration of abandoned
/ mined out areas in a socially acceptable & environment friendly manner. As on March 2017, out of 454
identified mines for 453 mines were prepared, 445 MCP were approved by concerned Subsidiary board, 422
numbers of Escrow account were opened and an amount of Rs 5487.13 Cr deposited in this account.
 -    Strive for continual improvement in environmental performance by setting targets, measuring progress
and taking corrective action.
 CIL has engaged Indian Council of Forestry Research &  Education (ICFRE), Dehradun for Environmental Audit
of 20 no. OC Mines of CIL which is intended for third party inspection, verification of the existing levels
of pollution vis-a-vis the laid down standards and to delineate the compliance status of major projects in
addition to the inspection carried out by the statutory authorities like CPCB/SPCB etc. ICFRE has submitted
final report for 3 mines of MCL and 01 mine of BCCL. ICFRE is conducting study for the remaining mines.
 CIL has also engaged Rain Forest Research Institute for preparation of Bio -diversity Management Plan,
Regional Wild life plan and carrying capacity study for Makum coalfields of Assam.
 CIL has signed MoU with National Environmental Research Institute(NEERI), Nagpur to carry out studies,
monitoring and collaborative research work for Sustainable Coal Mining in CIL'. NEERI is also studying on
the effectiveness of supplying de-shaled/dry-beneficiated / washed coal (reduction in ash content by 5-6%) to
power plants following all pollution control measures. NEERI will submit environment management plan for
mitigation of impact on regional environmental quality due to supply of deshaled / dry -beneficiated coal to
power plants in context of prevailing pollution control practices.
 (F) Solar Energy/ Energy efficient Initiative by Coal India Ltd:
 CIL has signed MoU with Energy Efficiency Services Limited (EESL) to promote energy efficiency provisions in
CIL and its subsidiary companies. CIL has taken steps for using LED lights substituting CFL lights
 To promote, Green Initiatives taken by GoI, CIL has submitted Green Energy Commitment letter to MNRE for
developing 1000 MW Solar Power Projects. For implementation of these projects, CIL has signed MoU with Solar
Energy Corporation of India (SECI).
 In the 1st phase, tender was floated for setting up of 2x100 MW Solar PV Project in the state of Madhya
Pradesh. But, due to current downward trend in prices of solar projects and availability of land in Madhya
Pradesh for Solar park the tenders were cancelled and SECI was advised to go for retendering of above
 CIL's initiatives has resulted in installation of 3 MW(Approx) capacity in CIL HQ and its Subsidiary
 15.3    Management System Standards
 CIL HQ has got certification against ISO 9001 and ISO 50001 (Quality Management System and Energy Management
System) from Bureau of Indian Standards and implementation / integration of Environment Management System (ISO
14001) is under progress. As on 31st March'2017 two of our subsidiaries, NCL and MCL are certified for their
companywide Integrated Management System (ISO 9001, ISO14001 and OHSAS 18001) and ECL is likely to be
certified shortly. CCL, BCCL and WCL are in the process for implementation of company wide Integrated
Management System (ISO 9001, ISO 14001 and OHSAS 18001). CMPDIL HQ and its seven RIs are certified for ISO
 15.4    Assessment of Impact of Coal Mining in different coalfields
 Vegetation cover mapping of 6 coalfields viz. Jharia, Talcher, Bishrampur, Wardha, Kamptee and Makum have
been completed during the year 2016-17 for assessing the regional impact of coal mining on land/vegetation
cover in the span of 3 years to take remedial measures required, if any.
 15.5    R&R Policy of CIL, 2012.
 With changing aspirations of Project Affected Persons (PAPs) and for faster acquisition of land,
Resettlement & Rehabilitation Policy of CIL was revised in 2012 making it liberal and PAP friendly with more
flexibility to the Board of Subsidiary Companies.
 The Policy provides for conducting baseline socio- economic survey to identify PAPs enlisted to receive R&R
benefits as well as to formulate Rehabilitation Action Plan (RAP) in consultation with PAPs and State Govt.
 The R&R Policy of Coal India Ltd., provides for payment of land compensation and solatium, employment or
lump sum monetary compensation and annuity, compensation for homestead, lump sum payment in lieu of alternate
house site, subsistence allowance to each affected displaced family etc.
 R&R Policy of CIL is being revised specifically in background of the RFCTLARR Act of 2013.
 16.1    Collaborative commercial development of CBM in Jharia&Raniganj coalfields by the consortium of CIL &
 The Govt. has allotted two CBM blocks in 2002 namely Raniganj North CBM Block in Raniganj Coalfield and
Jharia CBM Block in Jharia Coalfield to the consortium of ONGC-CIL on nomination basis for commercial
development of CBM. CMPDI is implementing the projects on behalf of CIL. ONGC is the Operator for both CBM
blocks and carrying out the jobs as per contractual agreement with the Govt. of India. On completion of CIL
part of work programme by CMPDI and supplemented by appraisal activity by ONGC has resulted in formulation of
Field Development Plan (FDP) by the Operator i.e. ONGC.
 The FDPs for both the CBM blocks were approved by the Government of India in July, 2013. Petroleum Mining
Lease (PML) for Jharia CBM block has been granted by Govt. of Jharkhand in July'2015, and environment
clearance for Jharia Block is likely to be granted soon.
 Model Co-development Agreement for Simultaneous Coal Mining and Coalbed Methane (CBM) Operations in the
Overlapping Areas has been issued by MoP&NG in February, 2017. Matter of Co-development agreement in regard
to Jharia CBM Block in Parbatpur Central Coal Block overlapping for optimum exploitation of coal by SAIL and
CBM by ONGC (operator of the CBM block) is under deliberation between SAIL and ONGC. In the Steering
Committee meeting held on 30th March, 2017 at DGH it has been agreed that ONGC will submit revised FDP and
cost estimate taking in account all constraints and accordingly in the Operating committee, it will be
deliberated for consideration and further perusal for competent approval.
 16.2    CBM related studies:
 CMPDI and GSI are carrying out studies related to Assessment of Coalbed Methane Gas-in-Place Resource of
Indian Coalfields/Lignite fields in selected boreholes being drilled under Promotional Regional exploration
since X Plan period and XI Plan period respectively under Promotional Regional Exploration (PRE) funding. A
total of 60 boreholes (40 by CMPDI and 20 by GSI) have been taken up for CBM specific data generation during
the XII Plan. Studies have been completed in forty (40) boreholes by CMPDI and in Nineteen (19) boreholes by
GSI. During the year 2016-17, studies has been done in eight (8) boreholes by CMPDI. CMPDI & GSI have
completed CBM specific studies in 130 boreholes (92 by CMPDI & 38 by GSI) since commencement of the work.
 During the year, one report based on CBM related studies has been submitted by CMPDI for Gondbahera Ujheni
block, Singrauli Coalfield.
 16.2.1S&T Project on CBM Reserve Estimation for Indian coalfields
 S&T project on CBM Reserve Estimation for Indian Coalfields has been approved under EoI of Coal S&T
project in Feb.Rs.14. The project is of 3 years duration with completion schedule of March, 2017 for which
time extension has been considered in SSRC meeting held on 23rd Mar.Rs.17. IIEST (BESU), Shibpur is the main
implementing agency and NGRI, Hyderabad; TCE, Kolkata and CMPDI are co-implementing agencies. An area in
South Karanpura Coalfield has been taken-up for 2D/3D Seismic survey by NGRI. 75% of study area has been
covered by 2D Seismic survey in South Karanpura Coalfield and balance work was taken up by NGRI in January,
2017. 3D Seismic survey is likely to be undertaken in May, 2017.
 16.3 Shale gas related studies:
 CMPDI is carrying out studies related to Assessment of Shale Gas-in-Place Resource of Indian Coalfields/
Lignite fields through boreholes being drilled under promotional exploration since XII Plan period under PRE
funding of Ministry of Coal. This study create the database for assessment of shale gas potentiality and
facilitate delineation of more blocks for Shale Gas development.
 CMPDI was to carry out shale gas specific data generation in 25 boreholes during XII Plan period under PRE
funding. For the plan period shale gas studies have been completed by CMPDI in twenty five (25) boreholes.
During the year 2016-17, target has been achieved by completing the studies in five boreholes by CMPDI.
 16.3.1S&T Project on Shale gas potentiality of Damodar Valley basins of India
 S&T project on Shale gas potentiality of Damodar basin of India is under implementation by NGRI, Hyderabad
as the principal implementing agency and CMPDI, Ranchi & CIMFR, Dhanbad as sub implementing agencies. The
project completion schedule has been revised to May, 2017 with total project cost of Rs.20.38 crore. The
project objective is to evaluate potentiality of Shale gas in Damodar basin through integrated geophysical,
geological, geo-chemical and petro-physical investigations.Automatic Porosimeter cum Permeametef instrument
supplied by M/s Vincy Technologies Inc., France has been commissioned at CBM, Laboratory, CMPDI.
 NGRI along with CMPDI & CIMFR selected Rangamati B block (Tumni & Kanchanpur Sector), Raniganj Coalfied and
3D seismic survey in 2.4 sq km out of total 3.2 sq km area has been completed. Interpretation of captured
data is in progress. Balance 3D Seismic survey work is likely to be taken up by NGRI. On the findings from 3D
seismic survey, CMPDI will take up its part of committed activities i.e. drilling of boreholes.
 16.4 Commercial development of Coal Mine Methane (CMM)
 Ministry of Coal vide Office Memorandum dated 29th July, 2015 has permitted CIL to explore and exploit CBM
from its areas under coal mining lease allotted to Coal India Limited (CIL). Earlier, MoC has appointed CMPDI
as Nodal Agency for development of CMM in India. Successful implementation of the Demonstration Project at
Moonidih (Jharia Coalfield) of BCCL has already proved the efficacy of the process and to expand the scope of
development of CBM in CIL areas. Further studies for Assessment of CMM Potentiality in CIL Command Area have
been undertaken.
 MoP&NG vide notification dated 3rd November, 2015 has issued guidelines for exploration and exploitation of
CBM by CIL and its subsidiaries on nomination basis from coal bearing areas for which they possess mining
lease. It is under modification by MoP&NG considering applicability of the ORD Act and PNG Rules within coal
mining leasehold areas. Assessment exercise for ECL command area and BCCL has been undertaken. These
prospective CMM blocks are:
 1)    Raniganj CMM Block (ECL Area): An area of about 57 Sq.Km. under mining leaseholds of Sripur, Satgram
and Kunustoria Areas has been delineated for commercial development of CMM for which collateral activities
have been initiated by CIL/CMPDI/ECL. A prognosticated resource of CMM around 1.17 BCM may be available for
extraction. Techno-economic studies have been undertaken by International Expert. Based on this, detailed
project report will be prepared.
 2)    Jharia CMM Block (BCCL Area): A block of about 25 Sq.Km. under mining leaseholds of Kapuria, Moonidih,
Jarma, Singra blocks has been delineated for commercial development. A prognosticated resource of CMM resource
of around 4 BCM may be available for extraction. Techno-economic studies have been undertaken by International
Expert. Based on this, detailed project report will be prepared.
 Reservoir Modeling & Techno-Economic Feasibility Study for Commercial Development of Coal Mine Methane
(CMM)/Coalbed Methane (CBM) within mining leasehold areas for CMM blocks in (a) Raniganj Coalfield (ECL
areas) and (b) Jharia Coalfield (BCCL areas) have been awarded to M/s Advance Resources International Inc.,
USA in January, 2017 and work is in progress.
 It is proposed to consider available drilling technologies (vertical drilling, directional, horizontal & its
combination on case to case basis) and completion methods in such a way that the CBM operation can also be
simultaneously taken up with the coal mining operation within overlying seam.
 3) Pre-drainage of methane at Moonidih mine (BCCL), Jharia Coalfield
 Pre-drainage of methane at Moonidih mine (BCCL) in working Seam XVI has been proposed to recover methane to
enhance production and safety. Recovered gas will also be gainfully utilized. Expression of Interest (EoI)
has been invited to identify suitable technology provider consultancy organization having experience in
development of CBM & CMM for successful implementation of gas drainage from gassy coal seams from concept to
commissioning and its utilization on Turn Key Basis i.e. Built Own Operate model or other applicable model
against which 15 EoIs were received which is under evaluation.
 16.4.1S&T Project on Capacity Building for Extraction of CMM Resource within CIL Command Areas
 S&T project on Capacity Building for Extraction of CMM Resource within CIL Command Areas, being jointly
implemented by CMPDI and CSIRO, has been approved under Coal S&T project of MoC. The project is of 3 years
duration with effect from 23rdMarch, 2016.
 The Collaborative Understanding for execution of the Project has been signed between CSIRO and CMPDI on 22nd
December, 2016. CSIRO team visited CMPDI from 8th to 13th Feb.Rs.17 and again on 15th to 17th Mar'17. They
will be visiting again in JulRs.17. Desk study is in progress.
 16.5    Project on VAM
 A project proposal on mitigation/utilization of Ventilation Air Methane (VAM) to be taken up at Moonidih
(Jharia coalfield) under CIL R&D and National Clean Energy Fund (NCEF) of Government of India is under
consideration with CSIRO, Australia and CMPDI as the implementing agencies and BCCL as sub implementing
agency. The project has been approved in principle by CIL(R&D) Board and will be taken up upon competent
approval of the Government.
 16.6    CMM/CBM Clearing house in India
 A CMM/CBM clearing house was established at CMPDI, Ranchi under the aegis of Ministry of Coal and USEPA on
17th November, 2008. The clearing house is functioning as the nodal agency for collection and sharing of
information on CMM/CBM related data of the country and help in the commercial development of CMM Projects in
India by public/private participation, technological collaboration and bringing financial investment
 The clearing house has been established with financial support from Coal India Ltd. on behalf of Ministry of
Coal and US EPA. The website of India Clearinghouse,
, encompasses all the important information viz. EoI notifications,
newsletters in addition to information regarding opportunities existing for development of CMM, VAM, etc.
After completion of initial three years term it was extended for another three years. USEPA has further
granted extension of additional term i.e. three years till 2018.
 An International Workshop on Best Practices in Methane Drainage and Use in Coal Mines was jointly
organized by CIL-CMPDI, GMI-US EPA, UNECE under aegis of GoI-MoC from 9thto 10th March, 2017 at Ranchi.
Presentations are available at
 CBM Laboratory established at CMPDI has enhanced its capacity and added additional facility of Automatic
Porosimeter cum Permeameter (Make Vinci Technologies, France) to generate producibility data on CBM
 CBM Lab has carried out CBM specific data generation in 8 boreholes & Shale gas specific data generation in
5 boreholes during 2016-17.
 Relevant studies like Adsorption Isotherm (AI) studies for 51 numbers of coal samples, Total Organic Carbon
(ToC) analysis for 66 number of Shale samples have been completed. Further, analysis of 1232 mine air samples
received from different collieries of CCL and 39 mine survey sample analysis of SECL have been completed and
results submitted.
 MoC has constituted Inter Ministerial Committee (IMC) for identification of areas for UCG on the line
broadly similar to the existing policy of CBM development. Potential blocks in coal and lignite were
identified and considered in the IMC for the commercial development of UCG preferably by PSUs. Identified
Coal blocks for UCG development are in Wardha Valley Coalfield (Jogapur-Sirsi), Sohagpur Coalfield (Maiki
(North)-Maiki-Merkhi, Pathora, Chainpa), Tatapani-Ramkola Coalfield (Reonti-West), Yellendu Dip,SCCL and
Bandha, Singrauli Main basin.
 A consultant has been engaged for Formulation of Bid Document & Model Contract Document for Development of
UCG. Draft documents were submitted and discussed in 3rd and 4th IMC meetings. In the 4th IMC meeting held
on 16th February, 2017 at MoC under Chairmanship of AS (Coal), the draft Bid Document and Model Contract
Documents were further deliberated and further modification were suggested. It was further considered that in
view of amendment in MMDR Act 1957, which was under process, several regulatory changes/ legal amendments are
required in lights of approved UCG policy which has been taken up by Ministry of Coal. Also on receipt of
comments from IMC members the modified draft document will be re-drafted for deliberation in the next IMC
 A Workshop was organized on 'Challenges and opportunities for Development of UCG (Deep Seated Coal) in
India' at Delhi on 23rd March, 2017.
 CMPDI has substantially improved the capacity of drilling during XI & XII plan periods. 39 new Mechanical
drills & 12 Hi-Tech Hydrostatic drills have been procured since 2008-09, out of which 12 have been deployed
as additional drills and 39 as replacement drills. In addition to this, 7 Hi-tech Hydrostatic drills have
been received and deployed in 2016-17.
 19.1    Drilling Performance in 2016-17
 CMPDI deployed its departmental resources for detailed exploration of CIL/Non-CIL blocks whereas State
Govts. of MP and Odisha carried out exploration in CIL blocks only. Besides, eight other contractual agencies
have also been engaged for detailed drilling/exploration in CIL/Non-CIL blocks. A total of 140 to 160 drills
were deployed in 2016-17, out of which, 64 were departmental drills.
 As against the achievement of 2.09 lakh metre in 2007-08, CMPDI has achieved 9.94 lakh meter in 2015-16
and11.26 lakh metre in 2016-17 through departmental resources and outsourcing, registering a Growth of 13%
over previous year.
 Apart from it, CMPDI continued the technical supervision of Promotional Exploration work undertaken by MECL
in coal sector on behalf of MoC. A total of 1.045 lakh metre of promotional drilling has been carried out in
Coal (0.490 lakh metre) & Lignite (0.555 lakh metre) during 2016-17.
 In 2016-17, CMPDI and its contractual agencies took up exploratory drilling in 122 blocks/mines of 22
coalfields situated in 6 States. Out of 122 blocks/mines, 35 were Non-CIL/Captive blocks and 87 CIL
blocks/mines. Departmental drills of CMPDI took up exploratory drilling in 56 blocks/mines whereas
contractual agencies drilled in 66 blocks/mines.
 Due to non-availability of forest clearance, work was stopped in 29 blocks. Due to lack of forest clearance
and adverse law & order problem, about 2.91 lakh metre of drilling could not be carried out in departmental
and outsourced blocks in 2016-17.
 19.2    Geological Reports:
 In 2016-17, 16 Geological Reports were prepared on the basis of detailed exploration conducted in previous
years. In addition, 2 IGRs/Geological Notes were also prepared. The prepared Geological Reports have brought
about 4.6 billion tonnes of additional coal resources under 'Measured(Proved) category.
 Under Promotional Exploration Programme, GSI and MECL have submitted 9 Geological Reports on coal blocks
estimating about 1.04 billion tonnes of coal resources, in 'Indicated' &'Inferred categories', above the
specified thickness.
 19.3    Hydrogeology
 Hydro-geological studies of a number of mining projects/ mines were taken up for preparation of 'Groundwater
Clearance Application' for CGWA approval and EMP clearance. Hydro geological studies for 17 mining projects of
BCCL, CCL, WCL, SECL, NCL, ECL and MCL were completed during 2016-17.
 Total 53 nos. of Hydrogeological studies on GR/PR and others have been completed during this period for WCL,
SECL, MCL, ECL, BCCL, NCL and1 outside consultancy job for DVC.
 Total 8 nos. of Hydrogeological reports on Location and Design of Piezometers have been prepared during this
period for ECL, SECL and CCL.40 Piezometers (23 of Talcher Coalfields and 17 in IB Valley) have also been
constructed under the technical supervision of Hydrogeologists of CMPDI. Long duration pumping test (1000
minutes cycle) and yield test were conducted by CMPDI during 2016-17.
 Hydro-geological studies in 6 projects of WCL, SECL, NCL and MCL have been carried out for water supply
arrangement to mines, colonies and villages. In total 45 nos. of Groundwater Applications have been prepared
and submitted online for WCL.
 CMPDI is also carrying out groundwater monitoring of MOEF cleared projects viz. 74 nos. of mines of WCL area
and 15 nos. Cluster of mines in BCCL area. Water level monitoring in other areas of ECL, CCL, SECL, NCL and
MCL were also carried out.
 19.4    Geophysical survey
 Geophysical Logging: Boreholes drilled for exploratory drilling were geophysically logged to get the in-situ
information of different strata encountered in the boreholes. During the year 2016-17, a total of 2,01,628
depth metre of geophysical logging has been carried out in CIL and Non-CIL projects with multi-parametric
geophysical logging equipment. Out of this, 1,02,703 depth metre of logging was done by 6 departmental
geophysical logging units and 98,925 depth metre of logging was carried out by contractual agencies.
 Surface Geophysical Surveys: CMPDI has also undertaken Electrical Resistivity & Magnetic Survey in CIL and
Non-CIL blocks for delineation of in-crop of coal seams, delineation of dykes and ground water investigation.
A total of 289.65 km of Resistivity profiling, 214 Vertical
 Electrical Sounding (VES) and 108 km of Magnetic survey have been carried out in 2016-17. With 48-Channel
signal enhancement Seismographs, a total of 105 km of High Resolution Shallow Seismic (HRSS) survey has been
carried out in Makri Barka block of Singrauli Coalfield and Kewai & Beharab and blocks of Sohagpur
 Reports: A total of 31 Geophysical reports have been submitted during the year 2016-17. It includes nine
reports on geophysical logging, thirteen on resistivity survey, six on magnetic survey and three on HRSS
 During the year 2016-17, 35 outside-CIL consultancy jobs were completed by CMPDI for 26 organisations
outside CIL. Some of the major clients/organizations are NMDC, MOIL Ltd., MAHAGENCO, Tata Steel, DVC, SAIL,
UCIL, West Bengal Power Development Corporation Limited (WBPDCL), Chhattisgarh State Power Generation Company
Limited (CSPGCL), etc.
 Presently, 25 outside-CIL consultancy jobs are being executed by CMPDI for 19 organisations like OCPL, NMDC,
NALCO, NTPC Ltd., MAHAGENCO, SAIL, Orissa Mining Corporation (OMC), PFC Consulting Limited (PFCCL), Gujarat
State Electricity Corporation Limited (GSECL),etc.
 During the year 2016-17, 43 outside-CIL consultancy jobs worth Rs.141.38 crores from 29 organizations were
procured by CMPDI. This is the highest ever value of jobs obtained in a year by CMPDI.
 One overseas assignment of Preparation of Feasibility Study for Benga Coal Project of M/s ICVL in Tete
Province of Mozambique has also been obtained from NMDC.
 21.1 R&D Projects under S&T Grant of Ministry of Coal
 The Research & Development (R&D) activity in Coal Sector is administered through an Apex Body namely,
Standing Scientific Research Committee (SSRC) with Secretary (Coal) as its Chairman. The other members of
this Apex Body include Chairman CIL, CMDs of CMPDI, SCCL and NLCIL, Director General of DGMS, Directors of
concerned CSIR Laboratories, representatives of Department of S&T, NITI Aayog and educational institutions,
amongst others. The main functions of SSRC are to plan, program, and budget and oversee the implementations
of research projects and seek application of the findings of the R&D work done.
 The SSRC is assisted by a Technical sub-committee headed by CMD, CMPDI. The committee deals with research
proposals related to production, productivity and safety in coal mines, coal beneficiation and utilization,
clean coal technologies, protection of environment and ecology etc.
 CMPDI acts as the Nodal Agency for co-ordination of research activities in the coal sector, which involves
identification of Thrust Areas for research activities, identification of agencies which can take up the
research work in the identified fields, scrutiny and processing the proposals for Government approval,
preparation of budget estimates, disbursement of fund, monitoring the progress of implementation of the
projects, etc.
 Total no. of S&T projects taken up (till 31.3.2017)	-	390	
 Total no. of S&T projects completed (till 31.3.2017)	-	320	
 21.2 Physical Performance
 The status of Coal S&T projects during 2016-17 is as under:
 i)	Projects on-going as on 1.4.2016	18	
 ii)	Projects approved/in-principle approved (sanction letter awaited)	03	
 iii)	Projects completed during 2016-17	06	
 iv)	Projects on-going as on 01.4.2017	12	
 Following S&T projects were approved (Sl.No.1) /inprinciple approved (Sl.No. 2 & 3)in 52nd meeting of SSRC
held on 15.3.2017. Sanction letter awaited:
 1.    Indigenous development of early warning radar system for predicting failures/slope instabilities in
open cast mines - SAMEER, Mumbai; ARDE, Pune; CSRE; IIT, Mumbai; CMPDI, Ranchi and NCL, Singrauli.
 2.    Design of water network to optimize water consumption in coal washeries for removal of impurities
from coal -IIT, Roorkee; CMPDI, Ranchi & CCL, Ranchi;
 3.    Electronification of ground water control and conveyor systems in mines - NLC India Ltd., Neyveli
and NITT, Tamil Nadu.
 Following Coal S&T projects were completed during 2016-17:
 1.    Development of tele robotics and remote operation technology for underground coal mines - CIMFR,
Durgapur; CIMFR, Dhanbad and CMPDI, Ranchi.
 2.    Development of indigenous catalyst through pilot scale studies of Coal-to-Liquid (CTL), conversion
technology - CIMFR, Dhanbad and CMPDI, Ranchi.
 3.    Enhancing life of de-watering pipes in coal/lignite mines by prevention of erosion-corrosion with
nano-crystalline surface Engineering Treatments
 4.    Blast design and fragmentation control-key to productivity - CIMFR, Dhanbad
 5.    Design and development of truck mounted mobile coal sampler for instant coal ash & moisture analyser
at site from railway Mechanics - CIMFR, Dhanbad; SCCL, Kothgudem and M/s Pranay Enterprises Pvt. Ltd.,
 6.    Optimization of various parameters of lab scale Coal Winnowing System (Phase-II) - CIMFR, Unit-I,
Nagpur and CMPDI, Ranchi
 21.3 Financial Status
 Budget provisions vis-a-vis actual fund disbursement during the period are given below:
                 (Rs in Crores)
 2015 -16	2016-17	
 RE	Actual	BE	Actual	
 18.0	17.59	9.0	10.38	
 21.4 CIL R&D Projects
 For in-house R&D work of CIL, R&D Board headed by Chairman, CIL is also functioning. CMPDI acts as the Nodal
Agency for processing the proposals for CIL approval, preparation of budget estimates, disbursement of fund,
monitoring the progress of implementation of the projects, etc.
 So far, 79 projects have been taken up under the fund of CIL R&D Board, out of which 61 projects have been
completed till March 2017.
 The status of CIL R&D Board Projects during 2016-17 is as follows:
 i)	Projects on-going as on 1.4.2016	10	
 ii)	Projects approved during 2016-17	06	
 iii)	Projects completed during 2016-17	03	
 iv)	Projects on-going as on 01.4.2017	13	
 Following new R&D projects were approved during 2016-17:
 1.    Development of guideline for prevention & mitigation of explosion hazard by risk assessment and
determination of explosibility of Indian coal incorporating risk based mine emergency evacuation and re-entry
protocol -IIT-ISM, Dhanbad; CIMFR, Dhanbad; S&R Division, CIL(HQ), Kolkata and SIMTARS, Australia.
 2.    Multiple layer trial blasting for better recovery with less diluted coal - IIT-ISM, Dhanbad and CMPDI,
Ranchi. Technical Participation - University of Queensland, Brisbane, Australia.
 3.    Studies on the Use of Coal and Petcoke as Fuel in the Cement Industry in India - IIT-ISM, Dhanbad and
CMPDI, Ranchi.
 4.    Indigenous Development of Through-The-Earth (TTE) Two-Way Voice Communication System for Underground
Mines - IIT, Bombay and CMPDI, Ranchi.
 5.    Requirement of air in mine for Mass Production Technology - CMPDI, Ranchi.
 6.    Development of a methodology for regional air quality monitoring in coalfield area using satellite
data and ground observations - CMPDI, Ranchi and National Remote Sensing Centre (NRSC), ISRO, Hyderabad.
 Following R&D projects were completed during 2016-17:
 1.    Demonstration of Coal Dry Beneficiation System using Radiometric Technique - CMPDI, Ranchi and Ardee
Hi-Tech Pvt. Ltd., Vishakhapatnam.
 2.    To find a methodology of safe liquidation in thick seams of Raniganj Coalfields: Design & Development
& showcasing demonstrative trials at Khottadih colliery, ECL - CIMFR, Dhanbad& ECL, Sanctoria.
 3.    Development of guidelines to predict distance between toe of the Shovel-Dumper dump and that of
Dragline dump with consideration of safety and economical design of both Shovel-Dumper dump and Dragline dump
- BIT, Mesra, Ranchi.
 CIL and its subsidiaries have utilized communication and Information technology and implemented many systems
to achieve faster strategic decision making and optimal utilization of available resources for enhancing
production and productivity. Systems have been introduced to minimize pilferage of coal and also to increase
transparency for the satisfaction of its stakeholders. In this regard, following key initiatives have been
 1.    E-office application for CIL and its Subsidiaries has been introduced from 1st JulyRs.17. The project
intends to enhance the business process management of the organization and aims to improve production,
productivity, and increase transparency by replacing the old manual process with an electronic file system.
 2.    The subsidiaries have Coal Net and other Information systems in place for obligatory accounting,
finance, payroll, material management system and other business functions.
 3.    Coal India is also in the process of implementation of ERP. The detailed project report for the same
is ready and steps are in progress for implementation.
 4.    GPS based Operator Independent Truck Dispatch System (OITDS) with high speed Data and Voice
communication is implemented in the targeted eleven Open cast projects to optimize operation of HEMM to
enhance the production and productivity of the mine.
 5.    GPS/GPRS based Vehicle Tracking System across all major mines of Coal India has been implemented at
different subsidiaries along with Geo-fencing, boom barriers and RF-ID system to monitor coal transportation
and to minimize pilferages.
 6.    Electronic Surveillance through CCTV at weighbridges, workshops, coal dumps and other strategic
locations has been implemented and process has been initiated to cover all projects.
 7.    In order to improve coal dispatch, electronic weighbridges are connected with Central Servers of
respective subsidiaries and initiatives have been taken for implementing online generation of
 8.    E-Auction of coal, E-procurement and Reverse auction systems for all goods, works and services have
been implemented to speed up procurement process and to achieve transparency in the system.
 9.    E-payment to employees and vendors, E-filing of grievances are in operation to embark upon the
business process through IT initiatives.
 10.    Corporate Mail Messaging System is in place for corporate email IDs to all the officers of Coal India
and its Subsidiaries.
 11.    In order to meet the demanding business process, state-of-art IP based EPABX with support of
convergent technology for voice and data, Radio communication System and UG communication system at different
locations of Coal India and its subsidiary companies are operational.
 12.    The Web Portal of Coal India is in place in English and Hindi encompassing the features like Tender
publication, Vigilance corner, Investor center, Customer corner, etc. to facilitate all stake holders.
 13.    Multi-Protocol Layered Switching (MPLS) based Video Conferencing between CIL, Subsidiaries, CIL HQ,
CIL Office, Delhi and MoC for enhancement of decision making process for better production and productivity
has been successfully implemented. CIL and subsidiaries have also implemented Video Conferencing connectivity
with External agencies across the globe.
 14.    CIL has implemented in-house online portals for Performance evaluation, quality analysis, Vigilance
clearance, Land Information System, filing of Annual Property Return through web enabled system. Mobile Apps
have been developed for public dissemination of information.
 15.    State-of-art Tier-III Data Center has been established in New building of the corporate office of
Coal India Limited for facilitating future IT applications.
 23.1 Statutory Frame-work for safety in coal mines:
 Coal mining world over is highly regulated industry due to presence of many inherent, operational and
occupational hazards and associated risks. Coal Mine Safety Legislation in India is one of the most
comprehensive and pervasive statutory framework for ensuring occupational health and safety (OHS). Compliance
of these safety statutes is mandatory.
 In India, the operations in coalmines are regulated by the Mines Act, 1952, Mine Rules -1955, Coal Mine
Regulation-1957 and several other statutes framed thereunder. Directorate-General of Mines Safety (DGMS)
under the Union Ministry of Labour & Employment (MOL&E) is entrusted to administer these statutes. The
following are the statutes that are applicable in coal mines for occupational health and safety (OHS).
 SN	Statute	
 1	The Mines Act -1952	
 2	The Mines Rules -1955	
 3	The Coal Mine Regulation -1957	
 4	The Mines Rescue Rules -1985	
 5	The Electricity Act- 2003	
 6	Central Electricity Authority (measures related to safety & supply) Regulations - 2010	
 7	The Mines Vocational Training Rules -1966	
 8	The Mines Creche Rules -1966	
 9	Indian Explosive Act, 1884	
 10	The Explosive Rules - 2008	
 11	Indian Boiler Act, 1923	
 12	Mines Maternity Benefit Act & Rules -1963	
 13	The Workmen Compensation Act - 2009	
 14	The Factories Act - 1948 Chapter -III & IV	
 23.2 Safety Policy of CIL: Safety is always given prime importance in the operations of CIL as embodied in
the mission statement of CIL. CIL has formulated a well-defined Safety Policy for ensuring safety in the
mines and implementation of the same is closely monitored at several levels.
 1)    Operations and system will be planned and designed to eliminate or materially reduce mining hazards.
 2)    Implement Statutory Rules and Regulations and strenuous efforts made for achieving superior standards
of safety;
 3)    To bring about improvement in working conditions by suitable changes in technology;
 4)    Provide material and monetary resources needed for the smooth and efficient execution of Safety
 5)    Deploy safety personnel wholly for accident prevention work;
 6)    Organize appropriate forums with employees' representatives for joint consultations on safety matters
and secure their motivation and commitment in Safety Management;
 7)    Prepare annual Safety Plan and long term Safety Plan at the beginning of every calendar year,
unit-wise and for the company, to ensure improved safety in operations as per prevailing geo-mining
conditions to prepare the units for onset of monsoon, to fulfill implementation of decisions taken by the
Committee on Safety in Mines and Safety Conferences and to take measures for overcoming accident proneness as
may be reflected through study of accident analysis, keeping priority in sensitive areas of roof-falls,
haulage, explosives, machinery etc.
 8)    Set up a frame work for execution of the Safety Policy and Plans through the General Managers of
Areas, Agents, Managers and other safety personnel of the units;
 9)    Multi-level monitoring of the implementation of the Safety Plans through Internal Safety Organization
at the Company Headquarters and Area Safety Officers at area level;
 10)    All senior executives at all levels of management will continue to inculcate a safety consciousness
and develop involvement in practicing safety towards accident prevention in their functioning;
 11)    Institute continuous education, training and retraining of all employees with the emphasis laid on
development of safety oriented skills;
 12)    Continue efforts to better the living conditions and help all the employees both in and outside the
 To implement CIL Safety Policy, the following are provided:
 1.    Provision of adequate funds for safety.
 2.    Deployment of adequate numbers of trained manpower for ensuring safety in mining operations.
 3.    A well-structured and multi-disciplinary Internal Safety Organization (ISO) established in all the
subsidiaries of CIL to monitor the implementation of CILs Safety Policy.
 4.    Continuous and sustained improvement in technological inputs for mining operation.
 5.    Support of scientific planning and R&D activities made available through using in-house expertise of
CMPDIL and in collaboration with the other scientific agencies and reputed educational institutes.
 6. Ensuring workers' participation in every forum for monitoring safety status in mines.
 23.3 Accident Statistics
 Analysis of Accident Statistics in CIL - Accidents statistics is the relative indicator for safety status in
mines. Over the years, the safety performance of CIL in terms of accident has improved significantly.
 This improvement in mine safety in CIL is attributed to the following contributing factors:
 -    Collective commitment and synergetic collaboration of the Management, Employees, the regulator (DGMS)
and Trade Unions.
 -    Use of state-of-the-art technology in the field of Mining Methods, Mining Machineries and Safety
Monitoring Mechanism.
 -    Continuous improvement in knowledge, skill and responsiveness of workforce through imparting quality
safety training and relentless safety awareness drives.
 -    Constant vigil, round-the-clock supervision and assistances from various quarters.
 Salient features of continuous and sustained improvement in CILs safety performance is disclosed in Annexure
 23.4 Major Activities for Safety & Rescue Division of CIL:
 1.    Inspection of mines to review safety status & follow up action thereof.
 2.    Prima-facie fact finding enquiry into fatal accidents and major incidences such as mine fire,
subsidence, inrush of water, slope failure, explosion etc.
 3.    Organizing meeting of CIL Safety Board and monitoring recommendations / suggestions made during
 4.    Framing of internal technical circulars / guidelines related to safety issues and monitoring
implementation thereof.
 5.    Maintenance of accidents / major incidents statistics Database.
 6.    Publication of Safety Bulletin for disseminating and sharing of knowledge in order to promote safety
awareness and inculcate better safety culture.
 7.    Framing reply of different coal mine safety related parliamentary questions including queries raised
by different standing committees such as standing committee on Steel & Coal, standing committee on labour, as
well as questions raised by COPU, MOC, CA&G and VIPs.
 8.    Monitoring safety related R&D activities in CIL.
 9.    Imparting specialized training by SIMTARS accredited trainers to unit level and Area level executives
who are directly engaged in ensuring safety in mine.
 23.6 Measures taken for improvement of safety in 2016-17
 To improve safety standard, CIL and its subsidiaries have vigorously pursued several measures in the year
2016 along with on-going safety related initiatives apart from compliance of statutory requirements for
safety, which are given below.
 1. Internal Safety Organization (ISO): Continuous review of safety status of mines is being done by the
multidisciplinary Internal Safety Organization (ISO).
 2.    Training for preparation of Risk Assessment based SMP: Executives who have been trained by SIMTARS,
Australia are engaged for imparting training and upgrading the knowledge of mine level executives as well as
members of safety committee of mine to identify the hazards and evaluate the associated risks in the mines
and prepare Risk assessment based Safety Management Plans (SMPs).
 3.    Preparation and Implementation of Risk Assessment based Safety Management Plan (SMP): The Risk
assessment based Safety Management Plans (SMPs) have been prepared for all mines of CIL and control measures
suggested thereof in SMPs are being implemented. It is a continuous ongoing process.
 4.    Standard Operating Procedure (SOP): Risk assessment based site specific Standard Operating Procedures
(SOP) are formulated and being implemented for various mining and allied operations.
 5.    Safety Audit of all producing / operative mines have been conducted by multi-disciplinary
inter-company teams.
 6.    Assessment of OB dumps have been conducted by using expertise of CMPDIL and multi-disciplinary ISO
teams in most of opencast mines.
 7.    Guidelines on corrective measures: After analysis of fatal accidents which occurred at different point
of time in 2016, several directives / guidelines on corrective measures to be taken for prevention of
recurrence of similar type of accidents in future have been issued by the Safety & Rescue Division of CIL.
 8.    Adoption of the state-of-the art technology in suitable geo-mining locales.
 - Adoption of Mass Production Technology in more number of UG mines.
 - Deployment of more number of Surface Miners to eliminate blasting operation in OCPs.
 - Deployment of relatively higher capacity HEMM in more number of OCPs.
 - Mechanization of UG drilling.
 - Phasing out manual loading in UG mines.
 9.    Adoption of the state-of-the art mechanism for Strata Management
 - Scientifically determined Rock Mass Rating (RMR) based Support System.
 - Strata Control Cell for monitoring efficacy of strata support system.
 - Roof bolting by using mechanized Drilling for Roof Bolting.
 - Use of Resin capsules in place of Cement capsules.
 - Use of modern Strata Monitoring Instruments.
 - Imparting quality training to support crews & frontline mine officials.
 10.    Mechanism for monitoring of mine environment:
 - Detection of mine gases by using Methanometer, CO-detector, Multi-gas detector etc.
 - Continuous monitoring of mine environment by installing Environmental Tele Monitoring System (ETMS) &
Local Methane Detectors (LMD) etc.
 - Regular Mine Air Sampling and Analysis by Gas Chromatograph.
 - Personal Dust Sampler (PDS).
 - Use of Continuous Ambient Air Quality Monitoring System (CAAQMS) in large OCPs to assess the ambient dust
concentration and take suitable mitigation measures.
 11.    Underground Mine Ventilation:
 - Supply of sufficient quantity air by installing suitable Main Mechanical Ventilator (Surface), Auxiliary
Fans, Booster fans (UG), ventilation stoppings, air Crossings etc.
 - Conducting Pressure-Quantity Survey on regular basis.
 - Using Modern gadgets for air measurement.
 12.    Water Danger Management:
 - Conducting Check Survey to eliminate errors in mine survey.
 - Preparation and maintenance of seam-wise Water Danger Plan.
 - Preparation and implementation of Monsoon Preparation Plan.
 - Adequate Pumping Facilities & adequate capacity of sumps.
 - Liaison with the State Meteorological Dept. & Dam Authority, if any.
 - Construction of embankments with proper design against water bodies.
 - Advance borehole for locating water body in underground.
 - Inter-mine joint survey between adjoining mines to prove inter-mine barriers to prevent transference of
 13.    Steps for prevention accidents in OCPs:
 - Formulation and implementation of Mine-specific Traffic Rules.
 - Code of Practices for HEMM operators, Maintenance staff & others.
 - Training of Contractor's Workers involved in contractual jobs.
 - Training on Simulators to dumper operators.
 - Lighting arrangement using high mast towers for increasing level of illumination.
 - Eco-friendly Surface Miners for blast free mining and avoidance of associated risks.
 - Dumpers fitted with Proximity Warning Devices, Rear view mirrors and camera, Audio-Visual Alarm (AVA),
Automatic Fire Detection & Suppression system etc.
 - Ergonomically designed seats & AC Cabins for operators' comfort.
 - Wet Drilling & water Sprinklers for dust suppression.
 - Use of Shock Tubes & Electronic Detonators for control of ground vibration & fly rocks.
 - GPS based Operator Independent Truck Dispatch System (OITDS) in large OCPs for tracking movement of HEMMs
inside OC mine.
 14.    Mine Safety Inspection:
 - Round-the-clock Supervision of all mining operations by adequate number of competent & statutory
Supervisors and mine Officials.
 - Periodic mine Inspections by Head Quarter and Area level senior officials.
 - Surprise back shift mine Inspections by mine and area level officials.
 - Regular Inspection by Workmen Inspectors appointed in each mine.
 - Regular mine Inspection by officials of Internal Safety Organization.
 15.    Safety Training:
 - Risk Management and preparation of Safety Management Plan.
 - Initial and Refresher training & On-the-Job Training as per statute.
 - Training on Simulators to dumper operators.
 - Skill up-gradation of frontline mining officials.
 - Sensitization of all employees including members of Safety Committees and contractual workers.
 16. Emergency Response System:
 - Emergency Action Plans prepared for each mine.
 - Mock Rehearsals for examining the efficacy of Emergency Action Plan.
 - Demarcating Emergency Escape Routes in belowground.
 - Check list prepared for dealing with an emergency in mine.
 - Flow Chart prepared for sending information regarding crisis / disaster in mines from site of accident to
the Ministry of Coal, New Delhi.
 24.    Mine Rescue Services in CIL:
 -    CIL is maintaining well established and structured organizations comprising of 6 Mine Rescue Stations,
14 Rescue Rooms-with-Refresher Training facilities (RRRT) and 17 Rescue Rooms to cater the need of mine
rescue services as per statute.
 -    All Mine Rescue Stations / Rescue Rooms are fully equipped with adequate numbers of rescue apparatus as
per the Mine Rescue Rules (MRR) - 1985.
 -    All mine rescue organizations are manned by adequate numbers of Rescue Trained Personnel (RTP)s as per
the MRR-1985.
 -    All RTPs are being periodically retrained to conduct rescue operations in hot, humid and irrespirable
atmospheres in modern training galleries as well as challenging conditions in underground mines.
 -    Permanent Brigade Members and RTPs who are on call 24x7 for rescue & recovery operation.
 -    The Mine Rescue Station and Rescue Rooms are established at strategic locations spreading across
different subsidiaries to cater to the emergencies in their command Area. The details are given in Annexure
 25.    Safety Monitoring Agencies in CIL:
 The implementation and monitoring of safety norms stipulated as per statute are being done on constant basis
both by the line management as well as ISO officials. Apart from the above, there are several other agencies
for monitoring safety, these are as under:
 At Mine Level	- Workman inspectors: as per Mines Rule-1955	
 	- Safety Committee: constituted as per Mines Rule-1955	
 At Area Level	- Bipartite/Tripartite Safety Committee Meeting	
 	- Safety Officers' Coordination Meeting	
 At Subsidiary HQ Level	- Bipartite/Tripartite safety Committee Meeting	
 	- Area Safety Officers' Coordination Meeting	
 	- Inspections by ISO Officials	
 At CIL (HQ) / Corporate Level	- CIL Safety Board.	
 	- CMD's meet.	
 	- Director(Tech)'s Co-ordination Meeting.	
 	- National Dust Prevention Committee Meeting.	
 At Ministerial / National Level	- Standing Committee on Safety in Coal Mines.	
 	- National Conference on Safety in mines.	
 	- Various Parliamentary Standing committees.	
 Coal India Limited has made optimum utilization of the resources and technology both existing and new and
also used advanced methods and technology for the enhancement of efficiency and productivity in the company.
HRD has been developing new techniques and creating opportunities for employee's selfdevelopment which in
turn proved to be favouring the company as a whole.
 26.1    Overall Performance
 In CIL and its subsidiaries, 140490 employees have been trained during 2016-17. Out of which 18757 were
executives and 121733 non-executives. These trainings include in- house training (training at subsidiary
training centers, VTCs and also at IICM), training in other reputed institutes outside the company and
training abroad.
 26.2    Trainings
 i) In-house Training
 The In-house trainings were organized at subsidiary HQs, 27 Training Centers and also 102 VT Centers across
Coal India and also at IICM. Respective HRD Divisions organized these trainings after assessing the training
need in the respective category of employees within the subsidiary. Special attention was given for improving
skill of the employees keeping in mind the need of Industry. Details of in-house Training imparted during
2016-17 are listed below:-
 	Training	Short Training	Workshop/ Seminar	Total	
 Executive	5060	6877	1800	13737	
 Non executive	98567	21837	379	120783	
 Total	103627	28714	2179	134520	
 ii) Training Outside Company (Within the Country)
 Besides in-house training at our Training Institutes, VT centers and IICM, employees were trained within the
country at reputed training institutes, in their respective field of operations and also for supplementing our
inhouse training efforts. Employees from eight subsidiary companies and from CIL (HQ) have been trained in
those reputed institutes. The break-up is given below:-
 	Training	Short Training	Workshop/Seminar	Total	
 Executive	1684	2532	683	4899	
 Non executive	690	113	147	950	
 Total	2374	2645	830	5849	
 iii) Training Abroad
 Coal India has sent 121 employees to different countries from all the subsidiary companies and CIL (HQ)
during the year 2016-17.
 	Training	W/Shop/ Seminar/ Conference	Total	
 Executive	120	1	121	
 Non-executive	0	0	0	
 Total	120	1	121	
 iv) Initiatives
 -    CIL has been recruiting fresh and dynamic young bloods in different disciplines for the last few years
consistently. A special attention has been given in grooming these young and energetic persons in their
respective fields throughout the year. In addition to the introductory concept on Coal Industry, they have
been trained on basic Management Techniques (MAP) and also in their respective Technical fields (TAP) through
regular courses organized at IICM with the reputed faculties. Special attention has also been given in tuning
them in their respective specialized working areas by on-the-job training throughout the year.
 -    As MTs of Excavation and E&M disciplines are posted in different Coal Mines, in order to provide them
proper exposure to Mining Operations as well as Mining Equipment (both surface and underground) and to make
them conversant with the Mining activities, 5 weeks intensive training for 168 AMs/MTs was organized at
Indian School of Mines, Dhanbad, the premier Mining Institute of our country during the year 2016-17.
 -    Training program on General Management for Middle level Executives of Coal India Limited for two weeks
is done by making a tie up with Administrative College of India (ASCI), Hyderabad to develop Executives to
take up higher responsibilities and occupy senior positions.189 Participants have attended the course for the
financial year 2016-17.
 -    Training program on Executive Development for E4/ E5 executives of Coal India Limited is done by making
a tie up with Indian Institute of Management, Lucknow. 126 Participants have attended the course for the
financial year 2016-17.
 -    One Batch consisting of 15 members comprising Mining, E&M are trained in AGH University, Poland.
 -    A Tripartite MoU has been entered into among National Skill Development Fund(NSDF), National Skill
Development Corporation(NSDC) and CIL on 3rd May,2015 to provide training and undertake Recognition of Prior
Learning to around 2.7 Lakh persons over a period of 2 years as per National Skills Qualification Framework
in CIL's operational areas and neighboring regions.
 -    For the Year 2016-17, Under RPL(Recognition of Prior Learning) 38,833 employees are trained .
 26.3 Recruitment
 During FY 2016-17, 38 Medical Specialists and Medical officers joined the Company. CIL also inducted fresh
talent into the organization, at the entry level 438 Management Trainees who are selected through campuses
have joined. They have been imparted induction training and posted to different subsidiaries based on
manpower requirement.
 Further, CIL has also promoted 175 non-executives level employees into Executive cadre through departmental
selection/promotion process.
 27. Manpower
 27.1    The total manpower of the Company including its subsidiaries as on 31.03.2017 is 310016 against
3,22,404 as on 31.03.2016. Subsidiary company wise position of manpower is disclosed in Annexure 19.
 27.2    The Presidential directives for Scheduled Caste/Scheduled Tribes/OBC have been implemented in all
the subsidiaries/ units of Coal India Limited.
 The representation of SC/ST employees in total manpower of CIL and its Subsidiary Companies as on
01.01.2015, 01.01.2016 and 01.04.2017 is given below:-
 As on	Total	Scheduled Caste	Scheduled Tribe	
 	Manpower	Nos.	Percentage	Nos.	Percentage	
 1.1.2015	336675	73527	21.84	41212	12.24	
 1.1.2016	326032	70502	21.62	39669	12.17	
 1.4.2017	310016	70513	22.74	39721	12.81	
 The Industrial Relations scenario in CIL & its subsidiaries during the financial year remained cordial. JCCs
and different Bipartite Committees at Unit/Area levels and Subsidiary (HQ) levels continued to function
normally. Meetings of Standardisation Committee were held at regular intervals at CIL.
 Strikes and Bandhs:
 During 2016-17, a one day Nation-wide General Strike was called by Four Central Trade Unions on 2nd
September, 2016 due to which company lost 83368 Man-days and 443834 tonnes of production. There were total 5
instances of Bandh called by regional parties in the area of operation of subsidiary companies viz. MCL, CCL
& CMPDIL, where normal working was affected.
 Subsidiary wise details of strikes, man-days lost and production lost and other incidents for the year
2015-16 and 2016-17 are furnished in Annexure 19.
 1)    HOUSING:
 At the time of Nationalisation, there were only 1,18,366 houses including sub-standard houses. The
availability of these houses has increased to 3,97,379. The percentage of housing satisfaction has now
reached 100%.
 As against 2.27 Lakhs population having access to potable water at the time of Nationalisation in 1973,
presently a populace of 19,61,547 has been covered under water supply scheme.
 Coal India Ltd and its subsidiaries are extending medical facilities to its employees and their families
through various medical establishments from the Dispensary level to the Central and Apex Hospitals in
different parts of the coalfields.
 There are 80 Hospitals with 4938 Beds, 376 Dispensaries, 541 Ambulance and 1150 Doctors including
Specialists in CIL and its subsidiaries to provide medical services to the employees. Besides 05 Ayurvedic
Dispensaries are also being run in the Subsidiaries of Coal India Limited to provide indigenous system of
treatment to workers.
 In addition, subsidiary companies have also been organizing different medical camps for the benefit of the
villagers/community. Special emphasis has also been given on Occupational Health, HIV/AIDS awareness
programme for the employees and their families.
 Moreover, medical facilities are provided to the peoples residing in and around mines premises of the
subsidiary companies of CIL.
 The subsidiary companies of CIL have been providing financial assistance by way of deficit grant and
infrastructure facilities to certain renowned schools viz. 43 nos.- DAV Public Schools , 14 Nos.-
KendriyaVidyalaya, 01 No.- Delhi Public School, 02 Nos. Saraswati Vidya Mandir, 01No. Ram Krishna Vivekanand
Vidyapith, 01No. Vivekanand Kendriya Vidyalaya to impart quality education.
 In addition to above, grant - in -aid is provided to Privately Managed school in ECL, BCCL & CCL to
encourage education in the operational areas of subsidiaries.
 Coal India Scholarship Scheme
 In order to encourage the Sons and Daughters of the employees of Coal India Limited, two types of
Scholarship, viz. Merit and General Scholarship, are being provided every year under prescribed terms and
 In total 7170 scholarships were awarded and tuition fees & hostel charges were reimbursed to 1142 students.
The details of Scholarship and Reimbursement of tuition fees and Hostel charges for studying in Government
Engg. & Medical Colleges, IITs & NITs as well as the details of Grant sanctioned for Schools including
privately managed school are disclosed in Annexure 20.
 5)    Statutory Welfare Measures:-
 In accordance with the provisions of the Mines Act 1952 and Rules and Regulations framed there-under,
subsidiaries of Coal India Limited are maintaining various statutory welfare facilities for the coal miners
such as Canteen, Rest Shelters and Pit Head Baths etc.
 6)    Non-statutory Welfare Measures:-
 Co-operative Stores and Credit Societies:
 In order to supply essential commodities and Consumer goods at a cheaper rate in the Collieries. 16 Central
Co-operatives and 99 Primary Co-operative Stores are functioning in the Coalfield areas of CIL. In addition,
158 Co-operative Credit Societies are also functioning in the Coal Companies.
 7)    Banking Facilities:-
 The Management of Coal Companies are providing infrastructure facilities to the various Nationalised Banks
for opening their Branches and Extension Counters in the coalfields for the benefit of their workers. Workers
are educated to draw their salaries through 427 Bank Branches and 48 Extension Counters and they are also
encouraged to practice thrift for the benefit of their families.
 8)    Sports:-
 Structured sports policy of CIL and its subsidiaries was approved by CIL Board its 296th Meeting held on
25th March,2013. As per the Sports Policy Coal India Sports Promotion Association (CISPA) has been registered
under West Bengal Societies Registration Act, 1961. CISPA has undertaken several sports activities at National
Level and International Level.
 9)    Welfare, Development and Empowerment of Women
 In Coal India Limited there is a Forum for Women in Public Sector Cell at Company Headquarter- Kolkata and
subsidiary companies. Each WIPS Cell is headed by a Coordinator who plans and executes various activities of
the Forum with the help of a duly appointed Executive Committee. The company extends active support to the
various activities of WIPS comprising of welfare activities, training & development activities, seminars,
cultural programme, industrial awareness visits, health awareness programme, etc for the WIPS members, women
workers, their families and society at large.
 Coal India Ltd and its subsidiary companies are extending full fledged support and patronage to the National
Conference of Forum of WIPS held every year in February. In recent years, the WIPS cell have done commendable
work in reaching out to the grass root level women employees, empowering them by suggesting gainful
redeployment, training and uplifting their morale by recognizing outstanding achievement, recognizing and
honouring the exceptional talent.
 10)  Special Cash Award:-
 During 2016-17, an amount of Rs.1,46,000/-has been provided as Special Cash Award to 26 meritorious Sons and
Daughters of employees of CIL(Hqrs.), Kolkata Desk Offices of subsidiary companies @Rs.7,000/- for 08 (Eight)
students who have secured 90% or above marks in the Class-XII Board level examination and @Rs.5,000/- for
18(Eighteen) students who have secured 90% or above marks in the Class-X Board level examination.
 11)    Recreational facilities:-
 At present there are eight Holiday homes in following places.
 (a)    Puri 
 (b)    Digha 
 (c)    Goa 
 (d)    Manali
 (e)    Katra 
 (f)    Ajmer 
 (g)    Darjeeling
 (h)    Haridwar
 Efforts are on to include more holiday home in the other important tourist spots in the country.
 12) CIL Welfare Board Meeting:-
 Coal India Welfare Board is the decision making forum regarding welfare policies for betterment and
improvement of living condition of employees.
 The members of CIL welfare board comprising of Central Trade Union representative and representation of
Managements meet regularly to discuss on the welfare measures and review the implantation of different
welfare scheme.
 Plantation and Green belt are developed through extensive tree plantation programme every year by the
subsidiaries of Coal India Ltd. Avenue plantation, plantation on the OB dumps, plantation around mines,
residential colonies, and available land is undertaken in the existing as well as the new projects.
 The subsidiaries of CIL have planted around 94.015 million of trees covering an area over 37557.458 Ha. till
March 2017.
 Keeping with the spirit of the constitution of India, Coal India Limited continued its efforts to propagate
and spread the progressive use of Official Language Hindi during the period under review. The management of
Coal India Limited is committed to implement the provisions of the Official Languages Act, Rules and
Regulations. For this purpose, periodical meetings and reviews are done regularly by the top officials.
 A brief description of the works done during the year under review towards implementation of Rajbhasha is
appended below:-
 Workshops were organized regularly with a view to create working atmosphere of Rajbhasha and to remove
hesitation of officers & employees to work in Hindi. During the year, large number of officers &employees
participated in such workshops to refresh their knowledge of Hindi words, Hindi noting & drafting in regular
Official works.
 In order to promote Hindi as Official Language a Grand Hasya Kavi Sammelan was organized on 30.04.2016 in
the auditorium of Coal India Ltd., Kolkata where a large number of audiences were present.
 With the aim to promote Official language and to foster interest in Official Language among officers and
employees, Publication of Hindi Magazine namely Koyala Darpan has been started from Coal India
headquarters. During the year 2016-17, its second & third issue has been published. The purpose of publishing
the magazine is to provide a platform to the creative potential of employees and to inform all about the
activities of Coal India.
 With a view to create conducive atmosphere for working in Hindi and accelerating the use of Hindi as
Official Language among officials, 'Hindi Fortnight' was observed in all offices of Coal India Ltd. in the
month of September, 2016. During the Hindi Fortnight various Hindi Competitions such as Hindi noting and
drafting, Hindi Self writing, Hindi Dictation, Hindi Translation, Hindi typing and Lectures competition were
organized where a large numbers of employees participated enthusiastically. The winners were honoured with
Cash Awards & Certificates. This creates a consciousness among employees to use Rajbhasha in official Work.
It is notable that Regional Sales Office, CIL situated at different cities were granted sufficient fund as
per their sizes to celebrate Hindi Diwas & Hindi week/fortnight as per the practice.
 Supportive literature and dictionaries were provided to the departments on their demand. 'Today's Word' and
'Today's Thought' are displayed on all the signage at the New Office Complex, Rajarhat.
 Coal India always lays emphasis on imparting training of Hindi Language under Hindi teaching scheme of Govt.
of India by nominating the employees in Hindi Praveen & Pragya classes. For the session starting from January,
2017, sixteen (16) employees have been nominated for attaining working knowledge of Hindi. Further, to promote
Hindi, number of employees were also nominated in Hindi Workshop/Training camps organized by certain
prestigious institutions.
 Different organizations of Govt. of India recognize the best performers by awarding prizes. During the year,
Coal India Ltd. was conferred with following Awards:-
 A)    1st Prize of TOLIC(PSUs), Kolkata: Under the Rajbhasha Award Scheme of the Govt. of India, Honourable
Governor of West Bengal Shri Kesharinath Tripathi awarded TOLIC (PSUs) Kolkata Sheild - 1st Prize to Coal
India Ltd. in the Corporate Offices category for the best implementation of Official Language Policy of the
Union on 11.8.2016.
 B)    Award to CIL's Hindi magazine 'KoyalaDarpan':On 3rdJune, 2016 Coal India headquarter's Hindi magazine
'Koyala Darpan' was awarded first prize in the category for the best Hindi magazine by Rajbhasha Seva
Sanshthan, New Delhi.
 Inspection of offices is a part of the implementation. During the year Officials of Rajbhasha department,
CIL (HQ) reviewed the status of implementation of the Official Language of RSO Delhi & Lucknow and suggested
remedial measures.
 To observe the status of the use of Hindi in official work and to ensure that the provisions of Official
Languages Act and Rules made there under are properly complied with, the 3rd subcommittee of Parliament on
official Language inspected Delhi office, Regional Sales Office Jaipur & Ahmedabad as well as Coal India
Headquarter, Kolkata.
 The anti-corruption activities in CIL and its Subsidiary Companies have been institutionalized by setting up
of Vigilance Departments headed by a Chief Vigilance Officer (CVO), appointed by the Govt. of India in
consultation with Central Vigilance Commission (CVC) on tenure basis, drawn from various government
 During the year 2016-17, 49 Intensive Examination of Works/ Contracts (Major works) were undertaken by
CIL(HQ) and its subsidiary companies. In addition,379 Surprise checks were carried out. Besides, 68
Departmental Inquiries were disposed of which resulted in punitive action against 185 officials. Such
examinations/investigations have resulted into initiation of various system improvement measures.
 As per the directives of Central Vigilance Commission, Vigilance Awareness Week - 2016 has been observed in
Coal India Limited, IICM- Ranchi, North Eastern Coalfields-Margherita & Regional Sales Offices across the
country besides all the Subsidiary Companies w.e.f. 31.10.2016 TO 05.11.2016 emphasizing the theme of Public
participation in Promoting Integrity and Eradicating Corruption.
 During the week, in order to generate awareness, educate and discuss transparency among officials/stake
holders as well as general public to arrest the root cause & threat of corruption and to promote good
governance, various activities were organized.
 1.    Inauguration -
 The Vigilance Awareness Week was commenced with the administration of Pledge to the employees by Chairman,
CIL while inaugurating the week on 31st October 2016.
 2.    Wide Publicity -
 -    1000 pamphlets distributed to CIL HQ Employees, Visitors, Contractual Workers/ Drivers and Vendors with
Vigilance Message and they were requested to take e-pledge. Throughout the week 20 e-posters displayed in all
the digital signage in CIL HQ.
 -    The posters / banners / pamphlet / canter / 2D gate specially designed for VAW-2016 and events
organised during the week has been uploaded in Company's official Facebook page. Also the same has been
posted in CVO, CIL and CIL official twitter account.
 -    40 banners of 6 ftx 4 ft has been displayed in prominent places across Kolkata. One large size 16 ft x
10 ft banner has been displayed in busy VIP Road with message and request the citizens to take e-pledge.
 -    100 Posters with Anti-corruption and Vigilance Awareness message displayed across Kolkata in public
 - Through News Papers in 3000 Households, Shops and Offices in Salt-lake and Ultadanga Area. 6000 Nos
distributed through Canter Moving prominent places with signature campaign from 02.11.2016 to 05.11.2016 and
Flash mob performing skit on Anti-Corruption message on 04.11.2016.
 3.    Employees Competitions -
 ii.    Essay Competition for Employees of CIL HQ on TOPIC- CHALLENGES THE COUNTRY FACES IN 21st CENTURY IN
 iii.    Quiz Competition for Employees of CIL HQ on issues in Vigilance, CVC and other Anti-corruption Laws,
Policies, manuals and guidelines of CIL.
 iv.    System Improvement/New Initiatives Competition for Employees of CIL HQ.
 4.    Competitions for Wards and Spouses of Employees -
 i.    Elocution Competition for wards of Employees of CIL HQ studying in Class IX to X on topic Corruption
can be tackled only through improving ethical values in society
 ii.    Essay Competition for Spouses of Employees of CIL HQ on TOPIC- ROLE OF FAMILY IN ENHANCING ETHICAL
 5.    Training Program for Junior Level Managers of CIL - A one day orientation program for newly recruited
Junior Level Managers of CIL was organized in two batches focusing on Vigilance Administration in PSUs,
Conduct, Discipline & Appeal Rules of CIL and Common Irregularities.
 6.    Workshops / Sensitization programmes-500 Vigilance Case Studies Vol-2 unveiled during the Vigilance
Awareness Week Valedictory Function for distribution across CIL & Subsidiaries.
 7.    Organisation website
 Organisation website has been used to propagate the messages of CVC and encouraging citizens to take
 8.    Stake Holders Meet -
 1.    Stake Holders Meet organised with Vendors and Customers on 03.11.2016 at CIL HQ to redress their
 2.    Stake Holder's Online feeback survey conducted through CIL Website.
 9.    Workshops / Sensitization programmes
 1. Speech of Sadguru of Isha Foundation Coimbatore on topic  Inner Management  organized at CIL HQ.
 2. Seminar on CVC theme  Public participation in Promoting Integrity and Eradicating Corruption,
Concluding Ceremony and Prize distribution to winners of event organized during the week on 10.11.2016.
 Preventive Vigilance/ System Improvement
 1.    Personnel Division has been advised to create a central repository of service files of executives.
 2.    It is suggested to get the EIS database & applications tested, audited & certified by reputed
certification agency for security & complete database management.
 3.    CIL may explore the possibility to tie-up with reputed hospitals/Medical Institutes to provide HAT
training & qualification & the duration of the training should at least six months duration.
 4.    Online transfer of EMD amount directly to the dedicated account of Area/Subsidiary/CIL HQ through
E-tender portal and automatic refund of EMD to unsuccessful bidders. Alternatively, transfer of EMD amount
through RTGS/NEFT to dedicated account of Area/Subsidiary/CIL HQ and necessary information may be filled such
as transaction-id, transaction date and EMD amount in the corresponding field of EMD.
 -    System improvement suggestions:
 System improvement suggestions were made in many areas:
 a.    DPC for promotion
 b.    Procurement of explosives
 c.    Testing of explosives
 d.    Use of 3D TLS for survey of OB & Coal with phasing out of Theodolite.
 e.    Purchase Manual
 f.    Use of UAV & space technology for prevention of Coal pilferage & illegal mining and monitoring of
environment, plantation, vegetation & water bodies.
 -    System Improvement Studies - Studies were taken in the following areas
 Sl.	Subject of Study	
 1	Measurement of OB and Coal in outsourced patches	
 2	Recording of performance of tyres through maintenance Logbook as per international practices.	
 3	CSR Policy of CIL and monitoring of projects.	
 4	Inventory of Land Records	
 5	Losses due to excessive production of coal in mines having dispatch constraints.	
 6	RDA initiated on CBI Reports	
 7	E-surveillance through VTS, CCTV, Weigh-Bridge connectivity, RFID & other IT initiatives.	
 8	Promotion & Transfer Policy of CIL.	
 9	Investment of Surplus Fund.	
 10	Procurement of SDL & LDH machineries and their spare parts.	
 11	Policy issues in procurement , e-procurement & reverse auction.	
 12	Standardization of NITs.	
 13	Recruitment process in CIL & subsidiaries.	
 14	Standardization of Codes in procurement items.	
 15	Fixation of normative coal consumption for various noncode sectors as per new coal gradation policy based
on GCV system.	
 Employee received remuneration either equal to or in excess of limits prescribed under Rule 5(2) of
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 during 2016-17 is given in
Annexure 21. Details of Rule 5(1) of Companies (Appointment and Remuneration of Managerial Personnel) Rules,
2014 on disclosure in the Board Report with reference to remuneration of Managerial Personnel of Top 10
employees is annexed to the Report. (Annexure 21).
 Shri S. Bhattacharya continued as Chairman cum Managing Director throughout the year. Shri C.K. Dey Director
(Finance) and Shri S.N.Prasad, Director(Marketing) were on the Board throughout the year. Shri S. Saran, CMD,
CMPDIL has assumed the additional charge of Director(Technical), CIL from 31.10.2016 due to untimely demise
of N. Kumar, former Director(Technical), CIL on 18.10.2016. Government of India has terminated the services
of Shri R.Mohan Das w.e.f. 31.03.2017 and Shri S N Prasad has assumed the additional charge of Director
(Personnel) from that date & held the charge till 19.06.17 thereafter Sri R.R.Mishra, CMD, WCL took over the
charge from him.
 Dr A K Dubey, Special Secretary, MoC and Smt. Sujata Prasad, Joint Secretary & Financial Advisor, MoC
continued as part-time official Director on the Board till 05.08.2016 and 20.06.2016    respectively. Shri R
P Gupta, Joint Secretary, MoC was on board from 05.08.2016 till 29.08.2016. Shri R.K.Sinha, Joint Secretary,
MoC and Shri Vivek Bharadwaj, Joint Secretary, MoC were appointed w.e.f 05.08.2016 and 30.08.2016   
respectively and continued throughout the year. Mrs Reena Sinha Puri, JS &FA, MOC was appointed as official
part time Director vice Sri Vivek Bharadwaj from 9th Jun,17.
 Ms. Loretta Mary Vas, Dr S.B. Agnihotri, Dr D.C. Panigrahi, Dr. Khanindra Pathak and Shri Vinod Jain were
appointed as Independent Directors on the Board on 17/11/15 and continued throughout the year.
 Shri R.R. Mishra, CMD, WCL and Shri S. Saran, CMD, CMPDIL continued throughout the year as permanent
invitees. Shri A.K.Gupta Addl. Member (Traffic transportation), Railway Board has been appointed as permanent
invitee from 05.08.2016 and continued throughout the year.
 Your Directors wish to place on record their deep sense of appreciation for the valuable guidance and
services rendered by the directors during their tenure, who ceased to be Directors during the year.
 In terms of Article 39(j) of the Articles of Association of the Company, one third of retiring Directors are
liable to retire by rotation shall retire at the ensuing Annual General Meeting and they are eligible for
 The Board of Directors held 14 meetings during the year 2016-17.
 35.    Composition of Audit Committee
 CIL in pursuance of excellence in corporate governance formed an Audit Committee of its Board of Directors
w.e.f. 20-07-2001 and the present Audit Committee was re-constituted by the Board in its 323rd Meeting held
on 6th Jan'2016, consisted of four Independent Directors, one Functional Director(additional charge), one
Government Nominee Director and one permanent invitee. Details are disclosed in Corporate Governance Report
under point number 3.1.
 36.    Composition of CSR Committee
 Details are disclosed in Corporate Governance Report under point number 3.6.
 37.    Declaration given by independent directors under subsection (6) of Section 149.
 The following independent directors have given their consent during 2016-17 that they meet the criteria of
independence as stipulated in sub-section (6) of Section 149 of the Companies Act 2013.
 i.    Ms. Loretta M Vas
 ii.    Dr. S.B.Agnihotri
 iii.    Dr. D.C.Panigarhi
 iv.    Dr. Khanindra Pathak
 v.    Shri. Vinod Jain
 38.    Reappointment of Independent Directors- Section 149(10)
 No Director was reappointed in terms of section 149(10) of the Companies Act 2013.
 39.    Recommendation of Audit Committee by the Board.
 All the recommendations made by Audit Committee were accepted by the Board.
 40.    Company's policy on directors 'appointment and remuneration including criteria for determining
qualifications, positive attributes, independence of a director and other matters provided under sub-section
(3) of section 178.
 MCA vide Notification dated 5th June'2015 has exempted the above for Government companies.
 41.    Remuneration policy of directors, KMPs and Senior Management - Section 178(4).
 MCA vide Notification dated 5th June'2015 has exempted the above for directors of Government companies.
 42.    A statement indicating the manner in which formal annual evaluation has been made by the Board of its
own performance and that of its committees and individual directors.
 MCA vide Notification dated 5th June'2015 has exempted the above for Government companies.
 43.    Contracts or Arrangements with Related Parties
 Related party transactions made with the subsidiary companies and that all such transactions were exempted
under Regulation 23(5)(a) and (b) of Securities and Exchange Board of India (Listing Obligations and
Disclosure Requirements) Regulations, 2015 being transactions between two government companies and
transactions entered between a holding and its wholly owned subsidiaries whose accounts are consolidated with
holding company and placed before the shareholders at the general meeting for approval. However, the
remuneration paid to Key Managerial Personnel is being disclosed separately in point no VI of Annexure 22.
 44.    Loan, guarantees or investments by a company under section 186 of the Act
 Loan, guarantees and investments made by Coal India Limited in terms of section 186 is enclosed as Annexure
 45.    Familiarization programme of Board Members.
 Board of Directors are fully briefed on all business related matters, associated risk, new initiatives etc.
of the company. The Board of directors were also briefed about the provisions of Companies Act 2013,
(Prohibition of Insider Trading) Regulations, 2015 and SEBI (Listing Obligations and Disclosure Requirement)
Regulations, 2015. As per Regulation 25 of SEBI (Listing Obligations and Disclosure Requirement) Regulations,
2015, the listed entity shall familiarize the independent directors through various programmes about the
listed entity, including the following:
 (a)    Nature of the industry in which the listed entity operates;
 (b)    Business model of the listed entity;
 (c)    Roles, rights, responsibilities of independent directors; and
 (d)    Any other relevant information.
 As per regulation 46 of SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015 the details
of the familiarization programmes is to be disclosed on the website of the company. The same is disclosed on
company's website. In addition, Independent Directors were nominated to attend the trainings programmes
organized by SCOPE and DPE.
  documents/Details of Familiarization Programmes
imparted to the Independent Directors during 201617 & Cumulative till date 13062017.PDF
 46.    Sexual Harassment of Women at the Workplace
 The company has in Place an Anti-Sexual Harassment Policy in line with the requirements of The Sexual
Harassment of Women at the Workplace (Prevention, Prohibition & Redressal) Act, 2013. Internal Complaints
Committee (ICC) are working at every subsidiary and office of Coal India Limited to redress complaints
regarding sexual harassment. All women employees (permanent, contractual, temporary, trainees) are covered
under the said policy.
 No sexual harassment complaint was received during the year 2016-17.
 In terms of Section 134(3)(c) of the Companies Act, 2013, read with the Significant Accounting Policies at
Note-33 and Additional Notes on Accounts at Note-34 forming part of:
 1.    CIL (Standalone) Accounts
 2.    CIL (Consolidated) Accounts
 It is based on such confirmation obtained from eight Indian subsidiaries of CIL viz: Eastern Coalfields
Limited, Bharat Coking Coal Limited, Central Coalfields Limited, Northern Coalfields Limited, Western
Coalfields Limited, Mahanadi Coalfields Limited (consolidated), South Eastern Coalfields Limited
(consolidated) and Central Mine Planning & Design Institute Limited. However, for the overseas subsidiary
viz. Coal India Africana Limitada, which was incorporated under Mozambique Commercial Code and for Joint
Ventures viz. International Coal Ventures Private Limited, NTPC Urja Private Limited, Hindustan Urvarak &
Rasayan Limited and Talcher Fertilizers Limited where CIL is not the majority shareholder, such confirmation
have not been obtained.
 It is confirmed that:
 a)    In the preparation of the Annual Accounts, the applicable Accounting Standards have been followed and
that no material departures have been made from the same;
 b)    The Accounting Policies have been selected and applied consistently and judgements and estimates made
that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at
the end of the financial year and profit & loss of the company for that period;
 c)    Proper and sufficient care have been taken for maintenance of adequate accounting records in
accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and
detecting fraud and other irregularities;
 d)    The Annual Accounts have been prepared on a going concern basis;
 e)    Internal Financial Controls have been laid down and that such controls are adequate and were operating
effectively during the year ended 31st March'2017.
 f)    Proper systems have been devised to ensure compliance with the provisions of all applicable laws and
such systems were adequate and operating effectively.
 The statement containing the salient features of the financial statements of a company's subsidiaries,
associate companies and joint ventures under the first proviso to sub-section(3) of section 129 of Companies
Act,2013 is enclosed as AOC 1 in Annexure 24. In terms of General Circular No.2/2011 dated 8th Feb 2011 from
Ministry of Corporate Affairs, the Annual Accounts of subsidiary companies shall be made available to the
shareholders seeking such information.
 49.    COST AUDIT
 The Cost Audit of your company for the year 2015-16 was conducted by M/s Musib & Co and the Cost Audit
Report was approved by the Board of Directors in their 331st meeting held on 3rd August 2016. The Cost Audit
Report did not contain any adverse observation/comment or qualification from the Cost Auditor. The above
report was filed in XBRL mode with MCA on 29th Aug'.16.
 M/s. Balwinder & Associates was appointed as Cost auditor for CIL Standalone for the year 2016-17. E-form
CRA-2 has been filed with MCA portal vide SRN G10080166 dated 27th Aug'16
 In pursuance to Section 204 of Companies Act 2013, company had conducted Secretarial Audit for the year
201617 by a practicing Company Secretary M/s Vinod Kothari & Co, Practising Company Secretaries. Their
appointment was approved by the Board. The report of Secretarial Auditor is included in the Corporate
Governance Report. The observations of Secretarial Auditor and Management Explanation are enclosed in
Annexure 25.
 A Risk Management Charter has been approved by the CIL Board. It is being implemented in CIL HQ and its
Subsidiaries. Risk Mitigation Measures are under preparation.
 52.    WEBLINK
 The following policies may be accessed on the Company's website as under:-
 1.    Corporate Social Responsibility Policy: 
documents/CIL CSR Policy New Companies Act 2013 05022016.pdf
 2.    Vigil Mechanism: 
 3.    Policy for determining Material Subsidiary:
 4.    Related Party Transaction Policy: 
documents/Related Party Transaction PolicyRs.01122014(1). PDF
 5.    Policy on determination of Materiality under SEBI(LODR) Regulations,2015
 documents/Policy on determination of%20 Materiality
under SEBI LODR %20Regulations 2015 03042017.PDF
 6.    Policy on Preservation of documents including Archival Policy under SEBI(LODR) Regulations 2015
 documents/Policy on Preservation of documents
including Archival Policy under SEBI LODR Regulations 2015 17052017.pdf
 1.    None of the Directors are disqualified from appointment as per Section 164 of the Companies Act'2013.
 2.    Company has not issued any Equity shares with differential voting rights, Sweat Equity shares and
 3.    Since shares of CIL were issued in IPO in October'2010 and unclaimed dividend amount is less than
seven years, no amount has been transferred to IEPF.
 4.    No Secretarial, Statutory Auditor resigned during the year 2016-17.
 5.    No relative of director was appointed to place of profit.
 6.    As per Regulation 32(4) of SEBI (Listing Obligations and Disclosure Requirement) Regulations, 2015
deviation of Proceeds of Public issue is not applicable to the company.
 7.    There is no deposit covered under Chapter V of Companies Act 2013.
 8.    There is no deposit which is not under compliance of Chapter V of Companies Act 2013.
 9.    There is no change in the nature of business.
 10.    No Director is in receipt of any commission from the subsidiary companies in which he is a director.
 1.    Details in respect of frauds reported by Auditors under section 143(12) other than those which are
reportable to the Central Government. :
 No such reported frauds as per Audit Report of Standalone as well as Consolidated Accounts.
 2.    Material changes and commitments, if any, affecting the financial position of the company which have
occurred between the end of the FY and the date of the report :
 No such material changes and commitments occurred between the end of the Financial Year and the date of the
report which may affect the Standalone as well as consolidated financial position of the company.
 3.    The names of companies which have become or ceased to be its subsidiaries, joint ventures or associate
companies during the year.
 During the financial year 2016-17, a Joint Venture, Hindustan Urvarak & Rasayan Limited was incorporated..
The details of the subsidiaries, Joint Ventures or associates have been furnished under form AOC-1.During the
financial year no subsidiaries, Joint Ventures or associates have ceased to be subsidiaries, Joint Ventures or
 The Board of Directors of your Company wishes to record their deep sense of appreciation for the sincere
efforts put in by the employees of the Company and Trade Unions. Your Directors also gratefully acknowledges
the co-operation, support and guidance extended to the Company by various Ministries of the Government of
India in general and Ministry of Coal in particular, besides the State Governments. Your Directors also
acknowledge with thanks the assistance and guidance rendered by Statutory Auditors, the Comptroller and
Auditor General of India and Registrar of Companies, West Bengal, Secretarial Auditor and Cost Auditor and
wishes to place on record their sincere thanks to Consumers for their continued patronage.
 56.    ADDENDA
 The following are annexed.
 i) Pre-tax Profit of CIL & subsidiaries for 2016-17 vis-a-vis 2015-16 (Annexure 1).
 ii)    Subsidiary wise details of Dividend income of CIL Standalone (Annexure 2).
 iii)    The comments of the Comptroller and Auditor General of India on Standalone Financial Statements of
Coal India Limited (Annexure 3).
 iv)    Auditors Report on the Standalone Financial Statements for the year ended 31st March, 2017 including
Report on the Internal Financial Controls under Clause (i) of Subsection 3 of Section 143 of the Companies
Act, 2013 (the Act)[Annexure 3(A)].
 v)    The comments of the Comptroller and Auditor General of India on Consolidated Financial Statements of
Coal India Limited (Annexure 4).
 vi)    Auditors Report on the Consolidated Financial Statements for the year ended 31st March, 2017
including Report on the Internal Financial Controls under Clause (i) of Subsection 3 of Section 143 of the
Companies Act, 2013 (the Act)[Annexure 4(A)].
 vii)    Observations of Auditor on Standalone Financial Statements and Management Explanation. (Annexure
 viii)    Observations of Auditors on Consolidated Financial Statements and Management Explanation [Annexure
 ix)    Subsidiary wise Coal Off-take. (Annexure 6).
 x)    Sector-wise dispatch of coal & coal products. (Annexure 7).
 xi)    Dispatches of coal and coal products by various modes. (Annexure 8).
 xii)    Wagon Loading in 2016-17. (Annexure 9).
 xiii)    Subsidiary wise details of Stock of Coal. (Annexure 10)
 xiv)    Subsidiary wise details of Trade Receivables. (Annexure 11)
 xv)    Subsidiary-wise payment of Royalty, Cess, Sales Tax, Stowing Excise Duty, Central Excise Duty, Clean
Energy Cess, Entry Tax and Others. (Annexure 12).
 xvi)    Subsidiary-wise Coking & Non-coking production, Production from underground and opencast mines.
(Annexure 13).
 xvii)    Subsidiary-wise Washed Coal (Coking) Production. (Annexure 13A).
 xviii)    Subsidiary wise Overburden Removal. (Annexure 13B)
 xix)    Population of equipment. (Annexure 14).
 xx)    Subsidiary wise System Capacity Utilization. (Annexure 15).
 xxi)    Project Implementation. (Annexure 16).
 xxii)    Subsidiary wise details of Capital Expenditure. (Annexure 17).
 xxiii)    Salient features of continuous and sustained improvement in CILs safety performance. (Annexure
 xxiv)    Subsidiary wise position of manpower and strikes and bandhs. (Annexure 19).
 xxv)    Scholarship and Reimbursement of tuition fees and Hostel Charge and Grants sanctions to schools.
(Annexure 20)
 xxvi)    Disclosures under Rule 5(1) and Rule 5(2) of Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014. (Annexure 21).
 xxvii)    The extract of the annual return as provided under subsection (3) of Section 92 in Form No. MGT.9
(Annexure 22).
 xxviii)    Loan and Advances, Guarantees, Investments made by the company under Section 186(4) of the
Companies Act'2013 (Annexure 23).
 xxix)    Statement pursuant to first proviso to sub-section (3) of section 129 read with rule 5 of Companies
(Accounts) Rules, 2014) as at 31st March, 2017. (Annexure 24)
 xxx)    Secretarial Audit Report under Section 204 of Companies Act 2013 and Observation of Secretarial
Auditor & Management Explanation (Annexure 25).
 xxxi)    Foreign Exchange Earning and Outgo under Rule 8 of Companies (Accounts) Rules 2014(Annexure 26).
 xxxii)    Details about Research and Development of the Company (Annexure 27).
 xxxiii)    Disclosure as per Section 135 of Companies Act 2013 on Corporate Social Responsibility (Annexure
 xxxiv)    Significant and Material Orders passed by the Regulators or Courts.(Annexure 29).
 xxxv)    Corporate Governance Report.(Annexure 30).
                                                                                             For and on
behalf of the Board of Directors
 Kolkata, 12th August, 2017                                                                                  
         S. Bhattacharya
                  (DIN: 00423572)
Source : Dion Global Solutions Limited
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