ADMINISTRATION REPORT 2015-16 Visakhapatnam Port Trust ISO 9001 ISO 14001 & OHSAS 18001 OUR VISION To be the most preferred port in South Asia offering services of global standards OUR MISSION To be a major partner in meeting the logistics requirements of the Importers and Exporters of the region Board of Trustees . i Principal Officers of the Port . iii Year at a glance . iv Balance Sheet at a glance . vi Trustees’ Report . vii Vital port statistics . 1 Operational performance . 2 Financial performance . 14 Capital expenditure . 18 Human Resource Development . 20 Safety Measures . 22 Environment Management . 23 Other events . 27 CONTENTS Annexures . 31 Annual Accounts . 145 Note on Accounts . 165 Board of Trustees VISAKHAPATNAM PORT TRUST BOARD OF TRUSTEES 2015-16 1. Shri M.T. Krishna Babu, IAS Chairman 2. Shri P.L. Haranadh, IRTS, Dy. Chairman (From 10-08-2015) 3. Shri C. Rajendiran, IRS. Principal Commissioner of Customs, Department of Customs, Port Area, Visakhapatnam - 530 035. 4. Shri Ajay Jain, IAS., Principal Secretary Energy, Infrastructure & Investment Department, Secretariat, Govt. of Andhra Pradesh Hyderabad - 500 022. 5. Shri Dinesh Kumar, IAS., Deputy Secretary, (Upto 19.07.2015) Ministry of Shipping, Government of India, Shri D.C.Singh, 1, Parliament Street, (From 20-07-2015 to 26.01.2016) New Delhi – 110 001. Shri M.M. Hasija, Advisor, (From 27-01-2016) Ministry of Shipping, 1, Parliament Street, New Delhi – 110 001. 6. D I G J.S. Sabharwal, Commander, (Upto 20-12-2015) Coast Guard, (A.P.), District Headquarters No.6, D I G A.K.Harbola, T M Post Box No.1128, (From 21-12-2015) Visakhapatnam - 530 011. 7. Cmde K.A.Baponna, Naval Officer-in-charge (A.P.), (Upto 31-03-2016) Naval Base, Fleet Mail Office, Eastern Naval Command, Visakhapatnam – 530 014. 8. Shri Rinkesh Roy, IRTS, Chief Freight Transportation Manager (Upto 31-03-2015) East Coast Railway, RAIL Sadan HQrs Building, Shri Sanjay Kumar Mishra, IRTS, Operating Department, (From 01-04-2015) Ground Floor,Chandra Sekarpur, Bhubaneswar – 751 017. 9. Shri J. Mukhopadhaya Engineer Ship Surveyor, Mercantile Marine Department, 7-8-26/A, Harbour Park Down, Beside R.K. Mission, Visakhapatnam - 530 003. Administration Report 2015 - 16 i Board of Trustees VISAKHAPATNAM PORT TRUST BOARD OF TRUSTEES 2015-16 10. Shri V.V. Rama Rao Hony. President, V.H. & P.W. Union, D.No.26-26-27, Harbour Approach Road, Visakhapatnam - 530 001. 11. Shri D. K. Sarma General Secretary, V.P.E. Union, D.No.26-15-204, Dharmasakthi Bhavan, Main Road, Visakhapatnam - 530 001. 12. Shri K.S. Reddy, IFS Regional Officer, (From 27-10-2014 to 30-03-2015) Regional Office, South Eastern Zone, Shri Amarnath Shetty Ministry of Environment, (From 31-03-2015 to 30-06-2015) Forests and Climate Change, 1st and 2nd Floor, HEPC Building, Shri M.R.G.Reddy, IFS No. 34, Cathedral Garden Road (From 01-07-2015) Nunagambakkam, Chennai - 600 034. 13. Shri Tatiparti Subbarami Reddy D.No.49-18-11,Sri Sadan, (From 29-04-2015 to 31-03-2016) Lalitha Nagar,Visakhapatnam - 530 016. 14. Shri K. Prabhakar Rao D. No. 45-57-17/6,Narasimhanagar, (From 29-04-2015 to 31-03-2016) Near Rythu Bazar, Akkayyapalem, Visakhapatnam - 530 024. 15. Shri Malla Venkata Rao D. No. 49-48-6/3.NGO’s Colony (From 29-04-2015 to 31-03-2016) Akkayapalem, Visahakapatnam - 530 016 16. Shri P.Vardarajan J- 80,1st Main Road, Anna Nagar East, (From 29-04-2015 to 31-03-2016) Chennai - 600 102. 17. Shri Ragam Kishore Director & CEO, (From 28-05-2015 to 31-03-2016) Vizag Sea Port Pvt. Ltd. Indian Private Ports & Terminals Association (IPPTA), S-4 Gallery, Port Area, Visakhapatnam - 530 035. 18. Shri A.V.Monish Row M/s. A.V.B.G.P.R & Co., (From 28-05-2015 to 31-03-2016) Vizagpatnam Chambers of Commerce & Industry, Next NMDC, Harbour Approach Road, Port Area,Visakhapatnam - 530 035 19. Shri K.V. Krishna Kumar Director, (From 28-05-2015 to 31-03-2016) K. Ramabrahmam & Sons (P) Ltd., Visakhapatnam Stevedores Association, Platinum House, 25-12-6,Godavari Street, Visakhapatnam – 530 001. ii Administration Report 2015 - 16 Principal Officers PRINCIPAL OFFICERS OF THE PORT TRUST (as on 31.03.2016) 1. Shri M.T. Krishna Babu, I.A.S Chairman 2. Shri P.L. Haranadh, I.R.T.S Dy.Chairman 3. Shri Mujib Pasha Shaik, I.T.S Chief Vigilance Officer 4. Shri R. Jayachandran Financial Advisor & Chief Accounts Officer 5. Shri Amal Kumar Mehera Chief Engineer 6. Shri Satish Honnakkatte Chief Mechanical Engineer 7. Capt. S.S. Tripathi Deputy Conservator 8. Dr. G. Bala Parameswara Rao Chief Medical Officer i/c 9. Dr. K.Satyanaryana Rao Traffic Manager i/c 10. Shri T. Venu Gopal Secretary i/c 11. Shri Jay Prakash Azad Commandant, CISF Administration Report 2015 - 16 iii Year at a Glance YEAR AT A GLANCE 2015-16 PHYSICAL INDICATORS Description Unit 2015-16 2014-15 Overseas Traffic Million tonnes 42.32 43.40 Coastal Traffic Million tonnes 14.71 14.60 Total Traffic Million tonnes 57.03 58.00 Container Traffic TEUs 292,539 248,163 Ships entered – Inner Harbour Nos. 1,147 1,112 Ships entered – Outer Harbour Nos. 897 866 Ships entered – Total Nos. 2,044 1,978 Average total Pre-berthing detention Days 1.47 2.59 Average total Turn Round Time Days 3.84 5.67 Output per Ship Berth Day Tonnes 12,802 10,638 Average parcel size Tonnes 28,446 29,718 Cargo moved by Port Railways Million tonnes 28.77 29.12 Cargo loaded at OHC Million tonnes 5.45 5.75 Quantity Tippled at OHC Million tonnes 3.04 4.24 Output per Gang Shift Tonnes 713 772 Persons employed as on 31st March(including Cargo Handling Division – erstwhile VDLB) Nos. 4,158 4,596 iv Administration Report 2015 - 16 Year at a Glance YEAR AT A GLANCE 2015-16 FINANCIAL INDICATORS Description Unit 2015-16 2014-15 Operating Income (Rs. in Lakhs) 90,753.39 80,984.83 Finance & Miscellaneous Income (Rs. in Lakhs) 34,191.15 15,237.45 Total Income (Rs. in Lakhs) 1,24,944.54 96,222.28 Operating Expenditure (Rs. in Lakhs) 36,801.85 33,653.94 Management & General Admn. Expenditure (Rs. in Lakhs) 18,366.92 15,730.30 Finance & Miscellaneous Expenditure (Rs. in Lakhs) 67,207.42 36,500.94 Total Expenditure (Rs.in Lakhs) 1,22,376.19 85,885.18 Operating Surplus (Rs. in Lakhs) 35,584.62 31,600.60 Net Surplus (Rs. in Lakhs) 2,568.35 10,337.11 Provision for Taxation (Rs. in Lakhs) (-) 2,438.04 1,170.49 Transfer to Reserve (Rs. in Lakhs) 3,854.34 7,726.69 Surplus after Appropriation (Rs. in Lakhs) 1,140.32 1,439.92 Total Wage Bill (Rs. in Lakhs) 27,592.11 26,453.09 Capital Expenditure (Rs. in Lakhs) 16,860.92 20,005.95 Net Capital Block (Rs. in Lakhs) 1,00,336.43 94,257.66 Total Reserves (Rs. in Lakhs) 2,00,429.73 1,95,457.78 Borrowings (Rs. in Lakhs) 9,350.91 10,000.00 Net worth (Rs. in Lakhs) 2,00,429.73 1,95,457.78 Total Capital employed (Rs. in Lakhs) 1,25,168.57 1,28,477.85 Operating Ratio (Percent) 60.79% 60.98% Return on Capital employed (Percent) 2.05% 8.05% Administration Report 2015 - 16 v Balance Sheet at a Glance BALANCE SHEET AT A GLANCE (` in Lakhs) Description As at 31st March 2016 2015 ASSETS CAPITAL ASSETS AT ORIGINAL COST 164,263.72 154,357.58 LESS: Depreciation Reserve 63,927.29 60,099.92 Net Capital Block 100,336.43 94,257.66 Capital Work in Progress 49,386.53 44,741.13 INVESTMENTS 19,020.99 17,412.24 CURRENT ASSETS 245,937.07 201,111.44 Less: Current Liabilities 221,104.93 24,832.14 166,891.25 Net Current Assets 34,220.19 DEFERRED REVENUE EXPENDITURE 17,264.61 14,826.57 TOTAL 210,840.70 205,457.78 LIABILITIES RESERVES AND SURPLUSES 200,429.73 195,457.78 GRANTS RECEIVED 9,350.91 -- CAPITAL DEBTS 1,060.06 10,000.00 DEFERRED TAX LIABILITY 0.00 0.00 TOTAL 210,840.70 205,457.78 vi Administration Report 2015 - 16 Trustees' Report TRUSTEES' REPORT The Board of Trustees takes privilege in presenting the 83rdAdministration Report of the Port of CARGO PROFILE (MILLION TONNES) Visakhapatnam for 2015-16. During the year, the Port handled a quantity of 57.03 million tonnes of cargo. The Port Railways handled traffic of 28.77 million tonnes during 2015-16. Some of the notable achievements during 2015-16 include: • The largest ever Cape vessel "m.v. HAN FUSTAR" with 291.80 mtrs., LOA and 1.75 lakh DWT carrying Steam Coal from Richards Bay, South Africa was berthed at M/s. Vizag General Cargo Berth in the outer harbur on 3.7.2015 • The longest ever container vessel "m.v. MAERSK SEBAROK" with 318 m LOA and beam of 40 m and parcel size of 6648 TEUs was berthed on 20.11.2015 at M/s. Visakha Container Terminal • A Panamax vessel "m.v. VISHVA PREETI" with highest ever draft of 14.5 m carrying steam coal from Indonesia was berthed at EQ-1 berth in inner harbour at M/s Adani Vizag Coal Terminal Pvt. Ltd., on 28.12.2015. • The Port was declared winner of Greentech Foundation Safety Award – 2015 – Platinum in the service sector for outstanding performance in safety management (July 2015) • Port has undertaken plantation, beautification, improvement to illumi-nation in harbour waters M.V.Vishva Preeti at EQ-1 with 14.5 m draft and channel as part of preparations for International Fleet Review.