Download the Annual Report 2012-13. - kiocl limited

6.0 RATING OF KIOCL VIS-A-VIS MOU TARGETSExchanging of Memorandum of Understanding for the year 2013-14 between Secretary, Ministry of SteelShri DRS Chaudhary and Chairman-cum-Managing Director Shri Malay Chatterjee on 21.03.2013.Your Company has been signing the Memorandumof Understanding every year with its AdministrativeMinistry i.e., Ministry of Steel. MOU for the year 2013-14 was signed on 21.03.2013, with a productiontarget of 1.70 million tons of Pellets for achieving the“Good” rating along with thrust on holistic growthencompassing customer satisfaction, HRD, R&D,Corporate Social Responsibility and Sustainability.Performance of KIOCL for the year 2011-12 has beenrated as ‘Very Good’ in terms of MoU signed with theGovernment of India. KIOCL has been awarded theMoU Composite score of ‘2.22’.The MoU evaluation for 2012-13 is under finalisation.7.0 MODERNISATION & EXPANSIONPROGRAMMETechnological up-gradation and addition/modification/replacement of its capital assets are essential tomaintain market competitiveness and meet thechallenging need of customers. The market is becomingincreasingly competitive, making it imperative for theCompany to make determined efforts to bring aboutsubstantial improvement in production, technoeconomicparameter and profitability.In these directions, the following initiatives have beentaken:7.1 Construction of Storage Silos with handling facilitiesTo augment the Iron Ore handling system foruninterrupted supply of Iron Ore for the existing ballmills, 8000 Ton capacity RCC Silo and its associatedmaterial handling system along with screens inthe grinding circuit at Pellet Plant, Mangalore wascommissioned and is under operation.7.2 Switch over to low Sulphur Furnace Oil at CaptivePower Plant.7.2.1 The Captive Power Plant (CPP) of your Companyuses furnace oil (FO) having Sulphur content 3.2%(Maximum) for power generation. KSPCB normsspecify the Flue gas discharged from DGs using FOshould not have the sulphur content more than 2%.Hence the flue gas of CPP is treated in the FGD Plant(Flue Gas Desulphurisation Plant) to reduce the gaseousemissions below the permissible limits by the KSPCB.This FGD Plant generates Sulphate solution as effluent.7.2.2 According to KSPCB Norms, if the FO used is havingSulphur less than 2% then the flue gas generatedfrom such plants need not go through FGD Plant.Considering the associated advantages likea) Generation of flue gas with reduced SOx, NOx,SPM, conforming to KSPCB norms.37th Annual Report 2012 - 1323 KIOCL