PSE Newsletter The Bi-Monthly Newsletter July 2012 • Vol 3 No 4 From the Chairman’s Desk . . . Dear Colleagues, The Bill, applicable for contracts over Rs 50 lakhs, seeks to . elcome to another promote competition and enhance efficiency & economy edition of the in the procurement process of Central Government and its newsletter of CII Council agencies including CPSEs. onW PSEs, at a time that is quite challenging for Indian businesses. While the proposed Bill envisages separate rules for CPS- has grown much slower than Es, these should be commensurate with commercial needs expected at 5.3% in the Jan – of the CPSEs to remain competitive meeting the expecta- Mar 2012 quarter pummelled by tions of the stakeholders. The rules for CPSEs in the pro- manufacturing which contracted posed Bill need to include enabling provisions for strategic 3.2% in March 2012. The Euro sourcing like long term rate contracts, business sharing zone debt crisis, a want of decisions agreement/consortia, joint venture and strategic tie-up etc, on key policy issues & investment rendering operational flexibility to take decisions based on proposals and high interest rates are apparently constricting market dynamics. India’s growth prospects. The Union Budget has estimated growth at 7.6% for this fiscal, but there are concerns that As a part of disinvestment program, 75 PSEs have been India’s growth may be less than 6.5% unless conducive slated for divestment, of which 15 are scheduled to be steps are taken to encourage capital investment. divested in in this fiscal. In a bid to secure true value of PSEs, government is proactively reaching out to global A shift in policy focus from subsidizing consumption, investors in the Gulf, Singapore, Hong Kong & Tokyo. such as on petro-products, to facilitating investment Investors there have shown keen interest in acquiring would benefit the economy all-round. While recent stake in the PSEs in view of their sound operational per- policy initiatives such as interest rate cut by 0.5%, ini- formance, robust order book & enviable growth poten- tiating development of Sovereign Wealth Fund from tial. Although disinvestment process will leave at least disinvestment proceeds and raising ECB limit to US$ 51% equity with Government, dispersed holding would 10 billion for manufacturing sector earning foreign ex- call for striking a balance by the management between change would spur investment, there is still more to be the objectives of high financial returns to meet share- done to kick start the projects which are on hold. holders’ expectation and the initiatives that prioritize societal development ahead of financial returns. A welcome step in promoting domestic industry has been the proposal moved by Government for imposition of duty As always we look forward to your suggestions and feed- on import of power equipment, which was first suggested back as we look to enhance synergy among the public in 2010 by a committee headed by Planning Commission sector enterprises as accorded by the CII Council on member Shri Arun Maira. At revenues of Rs 1,10,000 PSEs, and further the common good from the enter- crore in 2010-11, the Indian electrical equipment indus- prises that have been the bulwark of the Indian eco- try accounted for 10.5% of the manufacturing sector & nomic & social system for over half-a-century. 1.5% of the GDP. This step will not only assist in boosting domestic power equipment manufacturing base but also Sincerely, facilitate assured availability of power essential for overall development of infrastructure in the country. With an objective to regulate public procurement ensur- B Prasada Rao ing transparency, fairness and equity, government has in- Chairman, CII Council on PSEs troduced Public Procurement Bill 2012 in the Lok Sabha. & CMD, Bharat Heavy Electricals Ltd Inside this Issue From the Chairman’s Desk…...... 1 PSE News Update...... 3 Awards...... 8 CEO Speak...... 2 International Foray...... 6 Results...... 8 Investments...... 7 Appointments...... 9 CEO Speak

RK Gupta, CMD, WAPCOS to go to for total project solutions clear plants which represent 2.4% of for water, power & infrastructure the total installed electricity genera- development. We continue to earn tion capacity, and produced 32,455 our reputation through excellence million units of electricity in 2011- in execution, deployment of the 12. India targets to have 63,000 latest technical know-how, inno- MW of installed nuclear power gen- vation and addressing the needs of eration capacity by 2032.” communities.” Dr Nalin Shinghal, Director, KC Purohit, CMD, Nuclear Tourism & Marketing, IRCTC Power Corporation

The interview appeared in the June 25, 2012 edition of Hindustan Times. For complete text of the interview please visit www.hindustantimes.com

“WAPCOS offers the entire spec- trum of services from concept to commissioning of water, power & infrastructure development proj- ects. The services include feasibility The interview appeared in the June 14, studies, project simulation stud- The interview appeared in the June 29, 2012 edition of Mint. For complete text ies, socio-economic impact assess- 2012 edition of Business Standard. For of the interview please visit www.livem- ment, field investigations, detailed complete text of the interview please visit int.com engineering reports including de- www.business-standard.com sign& specifications, contract & “Indian Railway Catering & Tour- construction management, quality “Under the 12th Plan, 2012 – 17, ism Corporation Ltd, IRCTC, has assurance, testing & commission- nuclear projects of 16,100 MW will pioneered internet based rail ticket ing and operations & maintenance be launched, of which 4,800 MW will booking, which has become so consultancy. be completed within the Plan period. commonplace that it is now taken This will raise the operational nuclear for granted. IRCTC plans to lever- Other than projects in India, WAP- power generation capacity to 10,080 age this expertise to become a full- COS participates in projects funded MW from the present 4,780 MW. fledged online travel agency, offer- by international lending agencies like ing bookings for air & train travel, the World Bank. WAPCOS has com- Safety in all aspects of nuclear plants hotel stay, car rentals and travel & pleted consultancy assignments in is the highest priority, and NPCIL tour packages. over 50 countries spread across South is going to maintain the impeccable Asia, Africa & the Middle East. record of safety which has been dem- IRCTC has a customer base of onstrated over the 42 years of com- around 20 million for online The strength of WAPCOS is its mercial nuclear power generation train ticketing. IRCTC did 5.56 human resource, which has con- in India. Excellent corporate gov- million bookings in April 2012, sistently pushed the limits of en- ernance with overriding priority on versus 2.26 million bookings in deavour to execute projects in nuclear safety, transparency and un- April 2011, a 146% increase in challenging climatic & geographic matched human resource has been one year. IRCTC’s railway cater- conditions. WAPCOS has come to the backbone of our performance. ing division used to account for be recognized as the consultancy Currently, NPCIL operates 19 nu- 70 to 80% of revenue, and it has

2 PSE Newsletter PSE news update now come down to 50%. We have tor enterprises. In the current fis- PSEs rationalize employee now moved into non-railway ca- cal, government stake in 15 PSEs cost tering, which accounts for more would be divested. The govern- Major PSEs have substantially ra- than half of revenues for the ca- ment is reaching out to investors tionalized their employee costs over tering division. Currently, online abroad, including in the Middle- the last year, while increasing their ticketing accounts for about 35% East, Singapore, Hong Kong & sales revenue at the same time. For of revenues and tourism division Tokyo, to facilitate their par- instance, for GAIL between 2010- 15%. ticipation in the divestment pro- 11 & 2011-12 employee costs have gram. These investors, including reduced 13% while revenues have Although IRCTC has seen a decline Sovereign Wealth Funds of these increased 26%. in revenues from 2009-10 to 2011- countries, have taken keen inter- est in acquiring stake in the In- 12, we expect revenues to pick up The table as follows shows this dian PSEs. again. We are looking at major ex- trend for some of the PSEs. The re- pansion in tourism & ticketing busi- duced employee cost represents deft The government is targeting Rs nesses, and as these divisions grow, management of resources through 30,000 crore from disinvestment we will be able to reach our earlier measures such as outsourcing of in the current fiscal, both through revenue levels. The other potential short-term project management as- initial public issues & follow-on growth areas that IRCTC is looking signments, increasing the sphere issues. On the anvil for divest- at are online bookings for corporate of responsibility of employees and ment this fiscal are Rashtriya Is- travel & educational tour packages empowering them to take decisions, pat Nigam Ltd, BHEL, Nalco, for children & teachers, catering for which has also yielded increased NMDC, SAIL & Hindustan Cop- public institutions & ministries and sales revenue with fewer human re- food lounges at railway stations.” per. In some PSEs, like SAIL & , a fresh issue sources. of shares is planned to help fund PSE news update expansion. PSE investment boosts local economy Govt to divest stake in 75 There are currently 250 PSEs un- The founding charter of PSEs has PSEs der the administrative control of given them the responsibility of not The government is planning to the central government, of which only driving industrial development divest its stake in 75 public sec- 50 are currently Listed. of India but also addressing regional

2011-12 2010-11 Decrease in Increase PSE Employee Employee Cost Sales Employee Cost Sales in Sales Cost Rs4,08,924 Rs 3,09,797 Indian Oil Rs 5,300 crore Rs 6,734 crore 21% 32% crore crore Hindustan Rs 1,85,087 Rs 1,38,567 Rs 1,643 crore Rs 2,028 crore 19% 33% Petroleum crore crore Bharat Rs 2,12,139 Rs 1,53,764 Rs 2,428 crore Rs 2,905 crore 16% 38% Petroleum crore crore GAIL Rs 655 crore Rs 44,182 crore Rs 759 crore Rs 35,191 crore 13% 26%

ONGC Rs 1,695 crore Rs 76,130 crore Rs 1,714 crore Rs 66,152 crore 1% 15%

PSE Newsletter 3 PSE news update imbalances in growth. In keeping India’s savings rate is projected at HPCL may get a woman head with that spirit ONGC initiated about 39% of GDP by the end of Ms Nishi Vasudeva, Director Mar- development of a power project in 12th Five Year Plan, 2017, assuming keting & member of the Board of Tripura in 2005, not only to opti- a sustained 8% growth in the econo- HPCL is a strong contender to be- mally utilize the natural gas reserves my. Of this PSE savings are expected come the CMD in near future. Ms there but also to cater to the power- to be about 5 % of GDP & private Vasudeva began her career in the oil deficit areas of the North East. corporate savings about 8.4% of & energy industry with Engineers GDP. India’s savings rate was 33% India, and now has more than 34 ONGC is investing Rs 3,500 crore of GDP at the end of 11th Five Year years of experience across Market- to set up a 726 MW gas-based pow- Plan, 2012. ing, Strategy & Planning and Infor- er plant. For creating infrastructure mation Systems in the oil sector. for transmission of power it is in- In India household sector savings vesting another Rs 1,800 through a rate has stabilised, and increase Among other initiatives, Ms Vasude- JV. The investment in supplying gas in public sector savings & private va has implemented an ERP plat- and attendant infrastructure has also corporate sector savings can in- form at HPCL which has increased facilitated development of another crease the domestic savings rate in synergies among its divisions, there- 100 MW power project of North India. by increasing productivity. Women Eastern Electric Power Company. currently constitute 5 to 7% of the Employee suggestions in- workforce of oil companies, primar- Total investments in the region, in- crease efficiency ily in non-core activities. There is cluding for upstream gas project, Steel Plant has instituted an only one woman head of an energy will reach Rs 9,000 crore giving a innovative scheme, “Srujani Creativ- company in India currently, Ms Yas- fillip to economic development of ity Scheme” which invites suggestions mine Hilton of Shell. the region. The investment has al- from employees on increasing plant ef- ready brought about visible socio- ficiency. For 2011-12, Rourkela Steel Ms Vasudeva holds an MBA from economic changes. Tripura’s capital Plant achieved a one-time saving of Rs IIM Kolkata, graduating in 1977. Agartala, which was about as large 4.42 crores and recurring saving of Rs She is also a member of the Execu- as Dalhousie Square of Kolkata, had 10.30 crores through suggestions re- tive Committee of World Petroleum grown in population associated with ceived under the scheme. Council, as Vice President Youth area expansion and a number of new & Gender. In this role, she is re- banks, hotels & automobile show- The scheme was implemented in sponsible for harnessing the active rooms have developed in the area. 1989-90, and is extended to employees thinking of the youth & promoting in production, safety, housekeeping & gender diversity in the petroleum PSEs to bolster India’s sav- environment protection, among other industry across the world. ings divisions. The scheme brings to the Savings help provide the capital fore the premise that employees are Under-recoveries by oil cos required to boost investment ex- best placed to bring about improve- substantial penditure in the economy. Hence ments in their area of working. Release of Government subsidy domestic savings play a signifi- & subsidy sharing by upstream cant role in sustaining the envi- During 2011-12, the Rourkela oil companies helped the oil mar- sioned growth rate, and PSEs have Steel Plant employees made about keting companies like Indian Oil, emerged as a significant contribu- 12,000 suggestions, of which 4,163 & Bharat Pe- tor to gross domestic savings in In- have already been implemented. In troleum report a net profit, which dia. The increase in public sector recognition to their initiative, the is incidentally less than 1% of their savings has been a result of their employees were presented with cash turnover for 2011-12. Rs 83,500 higher earnings. awards, totalling Rs 10.80 lakh. crore was paid by the government

4 PSE Newsletter PSE news update

& Rs 55,000 crore by upstream BSNL to leverage its land BSNL will be about Rs 29,000 crore oil companies (viz: ONGC, OIL bank to raise capital and a loss of about Rs 7,000 crore. & GAIL) totalling Rs 1,38,500 BSNL has created a new division to crore. Without this the oil market- leverage its land bank to not only raise to develop natural ing companies would have report- capital but also to promote its telecom gas from coal ed a combined loss of Rs 1,32,000 services. BSNL’s land bank is spread Coal India is looking to develop coal crore. across 3,500 towns. To start with, the bed methane which is a form of natu- new business division will create IT ral gas extracted from coal beds. Of Under-recoveries have been strain- parks at about eight locations where late, it has become a significant source ing the liquidity of oil compa- the land has prime city location. of energy in the West, especially North nies, and they have had to resort America. India has large coal reserves to short-term borrowings to meet BSNL would lease the land to de- from which coal bed methane can be working capital requirements. A velopers to build the IT parks and extracted, and thereby increase energy company being a commercial en- itself would not invest in construct- supply for the country. tity needs to make profit to main- ing any office buildings or physical tain creditworthiness. infrastructure. Once the offices are Coal bed methane production in built, the space in these parks will India was 0.23 million standard cu- SAIL to continue capacity be leased out to companies. As IT bic meter per day (mmscmd), and hike this fiscal parks have substantial communica- is estimated to reach 4 mmscmd by SAIL is expanding & modernizing tion requirements, these companies 2016-17. 1mmscmd can fire a 220 all its five integrated steel plants & would be a captive audience for MW power plant for a day. three alloy steel making facilities. BSNL landline, broadband & wire- India’s per capita consumption of less connectivity services. GRSE commissions petrol steel was 55 kg in urban areas versus vessel the global average of 200 kg. BSNL expects around Rs 500 crore in An indigenously built onshore pet- revenue annually from this division. rol vessel made by Garden Reach SAIL, as part of its capacity expan- For FY 2011-12, the likely revenue of Shipbuilders & Engineers was sion & modernization program, will commission two blast furnaces in the current fiscal. SAIL commenced Rs 72,000-crore expansion & modern- ization program in 2009 to increase capacity. SAIL’s production in 2011- 12 was 40.7 million tonnes per an- num (mtpa) across hot metal, crude & saleable steel. Following comple- tion of the expansion program, its capacity will rise to 73.9 mtpa. In the last fiscal, SAIL’s capacity utiliza- tion was over 100%.

SAIL’s outlay this year for expansion is Rs 12,000 crore. The outlay has been Rs 11,000 crore in 2011-12, Rs 11,000 crore in 2010-11 & Rs 10,000 crore in 2009-10. MM PallamRaju (centre) at commissioning of ICGS Rajtarang

PSE Newsletter 5 International Foray commissioned by Raksha Mantri while its domestic production was Power Grid to distribute Dr MM PallamRaju. at Chennai. 5.3 million tonnes. The steel plant power abroad The vessel, christened “ICGS Ra- will be gas-based, and will go on Power Grid Corporation is plan- jtarang”, was delivered to the In- steam in about five years. The plant ning to diversify its foray abroad dian Coast Guard. Present on the will produce both long and flat steel into engineering, procurement & occasion were Vice Admiral MP products. Investment in the plant construction and power distri- Muralidharan, Director General, will be made by both partners ac- bution. Power Grid is currently Indian Coast Guard & Rear Ad- cording to their shareholding, which executing consultancy projects miral (Retd) AK Verma, CMD, is in the process of being finalized. abroad in power transmission, GRSE among other dignitaries. and its 19 projects currently un- RINL is the second largest steel derway are valued at over Rs The ship can achieve 34.88 knots in producer in India. It has a single 10,500 crore. speed and is well suited for patrolling, production facility at Vishakhap- anti- smuggling, anti-poaching & atnam, with production capacity Power Grid offers consultancy rescue operations. The ship was built of 3 million tonnes per annum services in Nepal, Bangladesh, Sri at the Rajabagan Dockyard, Kolkata. (mtpa). This capacity is being Lanka, Afghanistan, Nigeria & Integrated construction technology raised to 6.3 mtpa in the current Bhutan, among other countries. It was adopted during construction of fiscal, which would likely be fur- is now looking to expand into Af- the ship, with the result that the ship ther enhanced to 12 mtpa. rica & Gulf countries. The num- was commissioned within a span of ber of orders from international 18 months of Keel Laying. ONGC, China Petroleum to sector increased to nine in FY12 jointly bid for assets from six in FY11. The ship is 2nd in the series of 8 Oil & Natural Gas Corp (ONGC) ships being delivered to the Indian & China National Petroleum The consultancy business con- Coast Guard. These classes of ships Corp (CNPC) have entered into tributes about Rs 290 crore to the are cost effective, fuel efficient and an agreement to jointly bid for en- company’s overall income of Rs powerful. The ship is fully air con- ergy assets across the world. The 10,785 crore for the financial year ditioned, with improved habitabil- agreement entails cooperation in- 2011-12. ity for the crew. The ship can have ternationally on hydrocarbon ex- 40 personnel on board. ploration, crude oil refining, distri- BPCL’s Africa assets yield bution of petroleum products and rich gas reserves International Foray in building oil & gas pipelines. Corporation, BPCL & Videocon Industries’ RINL to set up facility in There has been initial collabora- Mozambique block would likely Saudi Arabia tion, in Syria & Sudan, between have up to 100 trillion cubic feet RashtriyaIspat Nigam Ltd, RINL is both companies and this agree- (tcf) of in-place gas reserves. The looking to set up a 3 million tonne ment will broaden their collabora- reserves are more than the 11 tcf per annum, mtpa, steel plant in tion in developing energy assets, of resources in the KG D6 fields. Saudi Arbia. The plant will be set and serve their mutual interest. up as a joint venture with the local Bharat Petro Resources, a wholly- manufacturer Rajhi Steel, and will China & India would be the owned subsidiary of BPCL & Vid- entail an investment of about Rs world’s largest & third largest eocon Hydrocarbon Holdings, a 20,000 crore. economies and energy consumers, wholly-owned subsidiary of Vid- respectively, by 2030, accounting eocon Industries, hold 10% stake Steel consumption in Saudi Arabia for about 35% of the global popu- each in the Mozambique block. was over 12 million tonnes in 2011, lation, GDP and energy demand.

6 PSE Newsletter Investments

SAIL-RINL JV to acquire & commissioning of the electro- tonnes of propylene derivatives year- stake in Oman mine mechanical equipment for Bhu- ly, which are imported at present. The SAIL-RINL (SAIL, Rashtri- tan’s 1,020 MW Punatsangchhu- yaIspat Nigam Ltd) joint venture II hydroelectric project. LP Chemicals, headquartered in is looking to acquire 10% stake Winsford off Cheshire, manufac- in Oman-based limestone miner Investments tures & distributes laboratory & Majan Mining Company (MMC) veterinary chemicals. for around Rs 200 crore or US$ 30 Neyveli Lignite to invest Rs million. 90,000 crore Nalco to invest Rs 18,000 Neyveli Lignite Corporation is plan- crore SAIL & RINL had come together ning to add 15,000 MW of power Nalco has planned a greenfield alu- in 2008 to jointly explore & de- with an investment of around Rs minium smelting facility of 5,00,000 velop limestone mine in Oman. 90,000 crore. The proposed addition tonnes capacity & a 1,250 MW cap- will be completed before 2020-22. tive power plant in Orissa, at an out- MMC’s limestone mine has an lay of Rs 18,000 crore. estimated 350 million tonnes of For now Neyveli Lignite has reserves reserves. The deposits have low of Rs 6,000 crore and in the next Nalco also plans to set-up a 1 MTPA silica content and high reactivity 10 years Rs 30,000 crore will be in- capacity aluminia refinery in Gujarat making them ideal for usage in the fused as equity from its own reserves. at an investment of Rs 4,000 crore. steel industry. Neyveli Lignite will have 80% of the Nalco’s current capacity is 2.1 mil- upcoming projects based on coal. lion tonnes per annum, MTPA, for BHEL to supply locomotives aluminium refining & 4.6 MTPA for to Pakistan Besides, coal and lignite, the com- aluminium smelting. Bharat Heavy Electricals Ltd, pany is also looking at renewable BHEL, has offered to supply 100 energy sources, and will start with a NHPC to invest Rs 4,000 crore diesel locomotives to Pakistan as 50 MW wind farm & 10 MW solar National Hydro Power Corpora- part of a plan to modernize Paki- farm in Tamil Nadu. tion has made an investment outlay stan’s rail infrastructure. The value of Rs 4,000 crore for the current of the offer is around Rs 1,000 BPCL to invest Rs 40,000 fiscal to develop hydro power proj- crore. Indian Railways also sourc- crore ects. NHPC has targeted to bring es around 50% of the equipment Bharat Petroleum Corporation, on steam four projects translating from BHEL for diesel locomo- BPCL, plans to invest Rs 40,000 to capacity addition of 1,200 MW tives. crore in the next five years to set up within this year. a petrochemical plant at the Kochi Trade is being seen as the driver for refinery, expand the capacity of ex- NHPC had an investment outlay of improved relations between India isting refineries, gas marketing and Rs 3,546 crore in the last financial & Pakistan. Both countries have on exploration & production. year. also made an in-principle decision to allow banks to open branches in BPCL has finalised a joint ven- NMDC, RINL JV to invest Rs each other’s territory. ture agreement with UK-based LP 2,200 crore Chemicals for petrochemical busi- National Mineral Development Also, BHEL has won a contract ness. BPCL is likely to hold 49% in Corporation, NMDC & Rashtri- for supply of power equipment, the venture, and LP Chemicals the yaIspat Nigam Ltd, RINL, have valued at Rs 950 crore, for a proj- majority 51%. The project is sched- entered into an agreement to set ect in Bhutan. The work will en- uled for completion in 2015. The up a 336-km slurry pipeline from tail manufacture, supply, erection JV is looking at producing 500,000 Jagdalpur to Visakhapatnam and

PSE Newsletter 7 Awards & Results a 4-mtpa pellet plant in Visakha- stitute of Industrial Engineering these vehicles, and impacts both patnam. (IIIE). the security as well as utilization of the vehicles and their contents. The total investment outlay for the Javed Reyaz, DGM (IE), received Pilferage, hijacking & adultera- project would be Rs 2,200 crore. the award from Arun Balakrishnan, tion of the deliveries from the former CMD, HPCL. petrol tankers, terminals & refin- Awards eries have been a concern of high- IOC’s fuel pilferage system est priority. Hindustan Copper to receive receives award turnaround PSE award ‘Fuel Pilferage Prevention System’ EIL receives PSE Excellence The Board of Reconstruction of at Limit- award Public Sector Enterprises has ad- ed (IOCL) has won eWorld 2012, Limited (EIL) has judged Hindustan Copper as the Jury Choice Awards for ‘Best use of been conferred with the Bureau- best turnaround story for 2011-12. ICT for Public Sector Units’. The cracy Today’s Star PSU excellence HCL posted net profit of Rs 323 system helps Indian Oil deter fuel Award 2012 for excellence in Hu- crore on a turnover of Rs 1,638 theft & adulteration. The project man Resource Management. A K crore for FY 2011-12. was envisaged in 2006-2007. Purwaha, CMD, EIL and P K Ras- togi, Director (HR), EIL received HCL has also rationalized its work- The eWorld 2012 awards recog- the award from Oscar Fernandes, force from 5,440 on March 31, 2009 nize excellence in adoption of Hon’ble Member, Rajya Sabha at a to 4,810 on March 31, 2012 to 4,760 technology in the processes of ceremony held in New Delhi. now. governance, thereby showcas- ing noteworthy innovations. The EIL is a consultancy & EPC con- Nalco receives IIIE perfor- winners were announced in the tractor for Petroleum Refining, Pet- eWorld Forum held on 15-16 rochemicals, Pipelines, Oil & Gas mance excellence award June 2012 in New Delhi. Terminal & Storages, Mining & Met- National Aluminium Company allurgy and Infrastructure projects. Limited (NALCO) has received The system enables real-time EIL has now diversified into Nuclear, the Performance Excellence Award tracking & command control of Solar & Thermal Power, Water & for 2010-11 from the Indian In- Solid Waste Management, City Gas Distribution and Fertilizers.

Results

Satluj Jal Vidyut Nigam SJVN registered 5% increase in revenues to Rs 1,927 crore (US$ 385 million) during 2011-12. Net profit for the period increased 17% to Rs 1,068 crore against Rs 912 crore last year.

Balmer Lawrie registered revenues of Rs 2,671 crore (US$ 535 mil- Javed Reyaz (extreme right) receiving the award from Arun Balakrishnan (extreme left) lion) for FY 2011-12, a 12% in-

8 PSE Newsletter Appointments crease from Rs 2,387 crore last year. BHEL Managing Director of the Nucle- Net profit for the period was Rs 148 BHEL registered revenues of Rs ar Power Corporation of India crore, a 16% increase from Rs 128 49,510 crore (US$ 9.9 billion) for Ltd, NPCIL. He was previously crore last year. FY 2011-12, a 14% increase from Director Projects responsible for Rs 43,337 crore last year. Net profit implementing all new projects Engineers India for the period was Rs 7,040 crore, a at NPCIL and a member of the Engineers India registered rev- 17% increase from Rs 6,011 crore Board of Directors of NPCIL enues of Rs 3,723 crore (US$ 745 last year. since 2009. million) for FY 2011-12, a 31% increase from Rs 2,848 crore last Mangalore Refinery & Petro- He started his career in operation year. Net profit for the period was of the nuclear power plants at Raw- chemicals atbhata, Kota, in Rajasthan. Over a Rs 643 crore, a 21% increase from MRPL registered revenues of Rs career spanning 38 years, Mr Puro- Rs 531 crore last year. 57,206 crore (US$ 11.5 billion) for hit has made significant contribu- FY 2011-12, a 31% increase from Rs tions to construction, commission- 43,723 crore last year. Net profit for ing, operation as well as renovation Oil India registered revenues of Rs the period was Rs 908 crore, about and modernisation of nuclear pow- 9,863 crore (US$ 1.9 billion) for FY the same as last year. 2011-12, a 19% increase from Rs er reactors across India. His experi- 8,320 crore last year. Net profit for ence facilitates overall project plan- Coal India ning, supply chain establishment the period was Rs 3,469 crore, a 20% Coal India registered revenues of Rs increase from Rs 2,883 last year. &manpower training to suit differ- 62,415 crore (US$ 12.5 billion) for ent technologies. FY 2011-12, a 24% increase over Rs Power Grid 50,299 crore last year. Net profit for Mr Purohit holds a Bachelor’s in Power Grid registered revenues of Rs the period was Rs 14,788 crore, a Engineering from HBTI, Kanpur, 10,311 crore (US$ 2 billion) for FY 36% increase from Rs 10,867 crore graduating in 1973. He thereafter 2011-12, a 20% increase from Rs last year. joined BARC Bhabha Atomic Re- 8,611 crore last year. Net profit for search Centre in its 17th batch of the period was Rs 3,302 crore, a 24% Appointments training school. increase from Rs 2,671 crore last year. Kailash Chandra Purohit Anil Srivastava takes charge NMDC NMDC registered revenues of Rs takes charge as CMD, as CMD 11,261 crore (US$ 2.2 billion) for Nuclear Power Corp FY 2011-12, about the same as last year. Net profit for the period was Rs 7,265 crore, a 12% increase from Rs 6,499 crore last year.

GAIL GAIL registered revenues of Rs 44,057 crore (US$ 8.8 billion) for FY 2011-12, a 25% increase from Rs 35,106 crore last year. Net profit Mr Anil Srivastava has taken charge for the period was Rs 4,400 crore, a Mr Kailash Chandra Purohit as CMD, Pawan Hans with effect 10% increase from Rs 3,980 crore has taken charge as Chairman & from Mar 1, 2012. last year.

PSE Newsletter 9 Appointments

Mr Srivastava has previously oil from alternative sources. mechanized captive iron ore mine served as Principal Secretary to the of , in Orissa, Government of Madhya Pradesh, Mr Upadhya holds a Bachelor’s and subsequently served Rashtri- serving in the Department of Ru- in Chemical Engineering from yaIspat Nigam Ltd. ral Industries, Horticulture & National Institute of Technology, Food Processing industries. He Karnataka. Mr Mohan holds a Bachelor’s in has also served as Managing Di- Mining Engineering from Osmania rector MP State Electronics De- B Surender Mohan takes University, Hyderabad. velopment Corporation. charge as CMD, Neyveli Lignite Anutosh Maitra takes charge He is an IAS officer of 1985 batch, as CEO, Steel Plant of Madhya Pradesh cadre. He Mr Anutosh Maitra has taken also holds a Bachelor’s in Electri- charge as Chief Executive Officer cal Engineering from IIT Kanpur, of of Steel Au- graduating in 1981 and an MBA thority of India Ltd, SAIL. Previ- from IIM Bangalore, graduating ously, he was with the Chairman’s in 1984. Secretariat of SAIL in New Delhi, since Sept 2010. PP Upadhya takes charge as MD, MRPL Mr Maitra has had a 30 year career at Rourkela Steel Plant, rising to Mr B Surender Mohan has taken the position of General Manager charge as Chairman & Managing in 2007. He subsequently served Director, Neyveli Lignite Corpo- as GM Quality & GM Services of ration, NLC. Previously he was the Rourkela Steel Plant. Director Mines with Neyveli Lig- nite, since May 2008. Mr Maitra has articulated a focus on optimum utilisation of avail- Mr Mohan has been in-charge able human resources and latest of various divisions of NLC in- technology, under the proposed cluding production, operation & modernization plan of Bokaro Mr P P Upadhya has taken charge mine planning. During his tenure Steel Plant. Inadequate mainte- as Managing Director, Mangalore as head of Mine I & I-A of NLC, nance of the plant, which com- Refinery & Petrochemicals Ltd. both mines exceeded the installed menced production back in 1972 capacity of 10.5 million tonnes based on Russian technology, and Mr Upadhya has more than three per annum (MTPA) and three delay in modernisation and ex- decades of experience in the petro- MTPA respectively. He also over- pansion have taken a toll on pro- leum refining industry. He started saw expansion of Mine-II, from duction. his career with Indian Oil Cor- 10.5 MTPA to 15 MTPA, and poration and has worked across setting-up of 2.1 MTPA lignite Mr Maitra holds a Bachelor’s in planning, development & human mine project at Rajasthan, within Metallurgical Engineering from resource management. He has ar- the stipulated time & budget. National Institute of Technology, ticulated a focus on completion Rourkela. He started his career of phase III facilities at MRPL, Mr Mohan has worked for over with SAIL in 1980 as a Graduate improving energy performance, three decades in the mining in- Engineer at Rourkela Steel Plant. safety and procurement of crude dustry. He started his career at the

10 PSE Newsletter Appointments

R Mishra takes charge as Shyamal Bhattachaya takes HS Pati takes charge as CMD, Heavy Engineering Corp charge as Director Opera- Director Personnel, tions, ONGC Videsh

Mr R Mishra has taken charge as HS Pati has taken charge as Director Chairman & Managing Director, Mr Shyamal Bhattacharya has tak- Personnel, SAIL and a member of Heavy Engineering Corporation, en charge as Director Operations, the company’s Board of Directors. HEC. Previously, he was Director ONGC Videsh. Previously he was General Manager Finance HEC. at Bokaro Steel Plant. Mr Bhattacharya has more than HEC has set a production target three decades of experience in ex- SS Mohanty takes charge as of Rs 1,000 crore& profit target ploration, development & pro- Director Technical, SAIL of Rs 41 crore for FY 2012-13. duction of hydrocarbon fields. He SS Mohanty has taken charge as Di- HEC had revenues of Rs 717 has been actively involved in oil & rector Technical, SAIL and a member crore & profit of Rs 5.9 crore in gas property evaluation of ONGC of the company’s Board of Directors FY 2011-12. Videsh. He follows a multi-disci- with effect from March 17, 2012. plinary team approach, reducing Previously, he was Managing Director NK Verma takes charge as the demarcation between explora- of Bokaro Steel Plant, since 2010. Director Explorations, ONGC tion, development & production. He has been an advocate of concur- Mr Mohanty is credited with driving Videsh R&D initiatives at Bokaro Steel Plant Mr N K Verma has taken charge rent exploration & development in high-end hydrocarbon projects. that won the plant the 2011 Golden as Director Explorations, ONGC Peacock Award for product innovation. Videsh, with effect from Jan 2 Mr Bhattacharya graduated in Pe- 2012. Mohanty started his career with troleum Engineering from ISM SAIL in at the Rourkela Steel Plant. Mr Verma takes charge when Dhanbad, and started his career He was elevated to the position of ONGC Videsh has a challeng- with ONGC in 1977. He has been General Manager in 2006 and trans- ing target of achieving 20 mil- conferred the National Mineral ferred to the (BSP). lion tonne oil & oil equivalent Award for 2003 by the Govern- In 2009 he was elevated further as gas, MTOE, by FY 2018 and 35 ment of India. He also has to his Executive Director and assigned to MTOE by FY 2030. This is essen- credit over 25 national & interna- new projects at Bhilai Steel Plant. tial to address the rising demand tional papers in technical journals Mr Mohanty holds a Master’s in for energy for a fast growing econ- and has collaborated internation- Mechanical Engineering, and a omy like India’s. ally in several technical commit- tees of the Society of Petroleum Post-Graduate Diploma in Indus- Engineers. trial Engineering,

PSE Newsletter 11 Appointments

AK Pandey takes charge TS Suresh has taken charge as Di- Mr Rao started his career at the Vi- as Director Raw Material & rector Projects & Business Planning, sakhapatnam Steel Plant as a Manage- SAIL and a member of the compa- ment Trainee in 1979, after completing

Logistics, SAIL ny’s Board of Directors. M Tech in Metallurgical Engineering.

NR Mohanty takes charge as S Venkateswar takes charge Director, Nalco as Director Finance, PDIL

Mr AK Pandey has taken charge as Director, Raw Material & Logistics, SAIL and a member of the compa- ny’s Board of Directors. Mr NR Mohanty has taken charge Mr Samudrala Venkateswar has taken Mr Pandey started his career with as Director Projects & Technical, charge as Director Finance, Projects & SAIL at its Donimalai, Karnataka National Aluminium Company Development India Ltd, with effect mine in 1976. Subsequently, he was Ltd and a member of the company’s from April 2, 2012. He was previously posted as Assistant Engineer in Kirib- Board of Directors with effect from DGM Finance with NMDC’s Baila- uru, iron ore mines and Feb 1, 2012. He was previously dila iron ore mining complex in Chat- then to Megahahatuburu, Jharkhand General Manager Smelter at the An- tisgarh. Mr Venkateswar has served iron ore mine of SAIL. In 1985, he gul, Orissa plant of Nalco. NMDC for over 19 years. moved to Centre for Raw Materials Mr Mohanty started his career with & Mines, where he looked after the Mr Venkateswar has been deeply in- Larsen & Toubro, and thereafter medium and long-term planning of volved in all the finance functions worked with Balco. He started with steel input minerals for SAIL. Nalco in 1986 and has held various especially Budgeting, Management responsibilities at Nalco’s Smelter Reporting, Costing, Periodical & He holds a Bachelor’s in Mechan- Plant and the Corporate Office. Annual Accounts, Project Finance ical Engineering and a Post-Grad- & Financial Concurrence, System uate Diploma in Management. Mr Mohanty holds a Bachelor’s in Development, among others. He has Mechanical Engineering from NIT been actively involved in establishing TS Suresh takes charge as Rourkela. NMDC’s gold mining operations in Director Projects & Business Tanzania and in the company’s disin- Planning, SAIL NS Rao takes charge as Di- vestment program. rector Projects, RINL Mr Nistala Sreenivasa Rao has taken Mr Venkateswar started his career charge as Director, Projects, Rashtri- with the Nagarjuna Group. He also yaIspat Nigam Ltd, RINL. He was served Fertilizer Corporation of In- previously Executive Director, Proj- dia before joining NMDC in 1993. ects & Commissioning, with RINL. Mr Venkateswar holds a Master’s Commerce and an MBA in Finance Mr Rao has an experience spanning from Osmania University. He is also over three decades in construction & commissioning of additional capacity an Associate Member of the Insti- and in operations of the steel plant. tute of Cost Accountants of India. For comments/suggestions, please write to Nita Karmakar, Director, CII at [email protected] Disclaimer: This document is being shared for information purposes only and is therefore not intended to substitute for formal professional advice. All information in this document has been compiled and/ or arrived at from various sources available in the public domain. Published by Confederation of Indian Industry (CII) The Mantosh Sondhi Centre; 23, Institutional Area, Lodi Road, New Delhi-110003 (INDIA) Tel: +91-11-24629994-7 • Fax: +91-11-24626149 • Email: [email protected] • Web: www.cii.in