Summer Training Project On Ntpc 215d4m

A SUMMER TRAINING MADE ON A STUDY OF FUNCTIONAL AREAS OF

NTPC (NATIONAL THERMAL POWER CORPORATION) IN PARTIAL FULFILMENT OF REQUIREMENT OF DEGREE OF BACHELOR OF BUSINESS ISTRATION AWARDED BY VEER NARMAD SOUTH GUJARAT UNIVERSITY 2008-09 SUBMITTED TO:

SUBMITTED BY:

Miss. Namrata Mam Miss. Jueela Mam Miss. Manisha Mam

Gohil Saurav P (14) Parekh Chintan A (42) -1-

Gandhi Nikunj R (12)

Declaration

We the undersigned, hereby declare that this project report titled at NTPC-Kawas is an original and bonafide work carried out under the guidance of Mr. Akhil P. Pattnaik (Dy Mgr. H.R. Of NTPC-Kawas).The empirical findings in this report are based on the data

collected and \have not been taken from any other

report. This report does not form any basis for other degree or diploma. Date: 09/06/2009 Place: Surat

-2-

Acknowledgement

With great sense of gratitude and pleasure we would like to thank to Mr. Jha, Chief Manager (HR) for giving us the opportunity to undergo training at the Navratna of India, NATIONAL THERMAL POWER CORPORATION LTD., KAWAS. We, with reverence, record our sincere thanks to Mr. A.K.Jadli, Manager (HR) N.T.P.C – KGPP, who has provided us valuable guidance in successful completion of this project by sparing his valuable time and energy during the entire study period. We pay special thanks to Shri Akhil P. Pattnaik, Dy Manager (HR-EB & ED) who has also given valuable guidance in completion of this project. We are also grateful to all employees of Kawas Gas Power Project without whose co-operation; this project could not be completed. We would like to extend our deep sense of gratitude to Surat and who have also provided us valuable guidance for the successful of this project. Last, but not the least we would also like to thanks N.T.P.C. management for giving us an opportunity to undertake this study in Kawas Gas Power Project.

-3-

Executive Summery

The project basically deals with the recently customer of NATIONAL THERMAL POWER CORPORATION. The survey about the Customer satisfaction. In this project, we have covered four departments for the survey of services for the purpose of to identify about the Industry awareness, satisfaction of service, which were provided by the NATIONAL THERMAL POWER CORPORATION.

All the information is presented in simplified manner have been included wherever required.

-4-

INDEX No.

TOPIC

PG NO.

1 2 3

INDUSTRY PROFILE 6-13 COMPANY PROFILE 14-27 PRODUCTION 28-50

4

MANAGEMENT HUMAN RESOURCE 51-92

5

MANAGEMENT MARKETING

93-106

6

MANAGEMENT FINANCIAL

107-115

7

MANAGEMENT CONCLUSION

116-120

-5-

-6-

HISTORY From humble beginnings in the 1880s, the Indian Power Sector has come a long way From one small unit in 1880s to 1362 MW in 1947 to over 550 Billion Units in 2006-07 • 1880s – First electrification – small hydel in Darjeeling • 1889 – Commercial production & Distribution starts in Calcutta • Indian Electricity Act, 1910. • 1947 – Power generating capacity only 1,362 MW • The Electricity (Supply) Act, 1948 – SEB formation • Creation of central generation companies • CEA constituted • 1956 –

Industrial Policy Resolution reserves production of power for public

sector • 1960s and 70s – Impetus for expansion of rural electrification • 1975 –

NTPC and NHPC set up

• 1989 –

NPTC set up. Renamed POWER GRID in 1992.

-7-

• 1991 –

Liberalization; amendments in Electricity (Supply) Act

• 1992 –

Ministry of Power constituted

• 1995 –

Policy for Mega power projects introduced

• 1998 –

CERC and SERCs set up

• 2001 –

Energy Conservation Act

• 2003 –

New Electricity Act

• 2006-07 – Power generation capacity stands at 551.7 Billion Units

-8-

Power Supply Units India: Power is derived from various sources in India. These include thermal power, hydropower or hydroelectricity, solar power, biogas energy, wind power etc. the distribution of the power generated is undertaken by Rural Electrification Corporation for electricity power supply to the rural areas, North Eastern Electric Power Corporation for electricity supply to the North East India regions and the Power Grid Corporation of India Limited for an all India supply of electrical power in India. 

Thermal Power in India is mainly generated through coal, gas and oil. India coal power forms a majority share of the source of power supply in India. The electric power in India is generated at various thermal power stations in India. The power generated at these thermal power plants is then distributed all over India through a network of power grid at regional and national levels. The power ministry organization responsible for the thermal power management in India is the NTPC.



Hydropower in India is one of the mega power generators in India. Various hydropower projects and hydro power plants have been set up by the ministry of power for generation of hydro power in India. Various dams and reservoirs are constructed on major rivers and the kinetic energy of the flowing water is utilized to generate hydroelectricity. The power generator here is the running water. The hydroelectric power plants and the hydro power generation companies are managed by the National Hydro Electric Power Corporation (NHPC).



Wind Power in India is available in plenty as India witnesses high intensity winds in various regions due to the topographical diversity in India. Efforts have been made to utilize this natural source of energy available free of cost for wind power generation. Huge wind energy farms have been set up by the government for tapping the wind energy by using gigantic windmills and them -9-

Converting the kinetic energy of the wind into electricity by the use of power converters. The wind power advantages start with the very fact that a wind energy power plant does not require much infrastructure input and the raw material i.e. wind itself is available free of cost. 

Solar Power in India is being utilized to generate electricity on smaller scale by setting up massive solar s and capturing the solar power. Solar power India is also being utilized by the power companies in India to generate solar energy for domestic and small industrial uses.



Nuclear Power in India is generated at huge nuclear power plants and nuclear power stations in India. A nuclear power plant generates the electricity using nuclear energy. All the nuclear power plants in India are managed by the Nuclear Power Corp of India Ltd (NPCL). The electricity from all India nuclear plants is distributed by the NPCL as per the nuclear power project scheme.

- 10 -

GROWTH RATE 2009-02-29 01:18:25

Growth in electricity generation has decelerated to 6.6 per cent from 7.5 per cent in the corresponding period in 2008-09, the Economic Survey tabled in the Parliament by finance minister P. Chidambaram said. The government is expecting 9.5 per cent growth per annum in the power sector in the 11th Five Year Plan.

- 11 -

MARKET SHARE

While the majority of capital invested in these countries is domestic, the sovereign risk characteristics of these countries can differ significantly, which can influence the types of international lenders that are willing to invest in these markets. This aspect of investment risk, combined with the technological capacity of a country to deploy technologies, as well as the local policies and measures that govern them, can influence technology investment flows to Brazil, Russia, India, and China.

PLAYERS - 12 -

 Industry players and profile The power sector reveals that it can be largely segregated into four different categories on the basis of type of players in the industry. These include: 

Central Government Corporations: which consist of corporations like

the National Thermal Power Corporation (NTPC), Nuclear Power Corporation, National Hydro Electric Power Corporation (NHPC), and some other smaller players. 

State Government Corporations. Which consist of the various state

electricity boards and other corporations that have been promoted by the respective governments. Poor management, transmission and distribution (T&D) losses and poor recoveries of dues are some of the factors, which are responsible for the plight of these corporations. Currently, the financial health of many SEBs is precarious and their revenue-raising capabilities are more or less dependent on assured guarantees from the respective governments. 

Private Sector Licensees: In the private sector, some companies had

been given licenses to carry on generation and distribution activities. While some of these companies are generation and distribution companies, others like Surat Electricity are just distribution companies. 

Independent Power Producers: The Independent Power Producers

(IPPs) are the companies that have been given a nod to set up generation capacities. Finally, a look at the regulatory structure of the sector indicates that various Acts govern the power sector.

- 13 -

- 14 -

- 15 -

HISTORY

NTPC Limited is the largest power generating company of India. A public sector company, it was incorporated in the year 1975 to accelerate power development in the country as a wholly owned company of the Government of India. At present, Government of India holds 89.5% of the total equity shares of the company and the balance 10.5% is held by FIIs, Domestic Banks, Public and others. For shareholding pattern. Within a span of 32 years, NTPC has emerged as a truly national power company, with power generating facilities in all the major regions of the country.

- 16 -

VISION

“TO BE ONE OF THE WORLD'S LARGEST AND BEST POWER UTILITIES, POWERING INDIA'S GROWTH” - 17 -

MISSION

•

Make available reliable and quality power in increasingly large quantities at appropriate tariffs, and ensure timely realization of revenues.

•

Speedily plan and implement power projects, with contemporary technologies.

•

Implement strategic diversifications in the areas of R&M, Hydro, LNG and non-conventional and eco-friendly fuels and explore new areas like transmission, information technology etc.

•

Promote consultancy and make prudent acquisitions.

•

Continuously develop competent human resources to match world standards.

•

Be a responsible corporate citizen with thrust on environment protection, rehabilitation and ash utilization.

- 18 -

Core Values

C Customer’s Focus O Organizational Pride M Mutual Respect And Trust I Initiative And Speed T Total Quality - 19 -

BOARD OF DIRECTORS The Management of the Company is vested with the Board of Directors. In of the Articles of Association of the Company the Board of Directors can have minimum four Directors and maximum twenty Directors. The Composition of the Board of Directors is given below S.

Name

Designation

Date

No.

Appointment

Functional Directors 1

Shri R.S.Sharma Chairman

&

Managing 01.04.2008

Director 2

Shri

Chandan Director (Operations)

01.01.2009

Roy 3

Shri I J Kapoor

Director (Commercial)

08.10.2008

4

Shri R.K. Jain

Director (Technical)

05.05.2008

5

Shri A.K. Singhal Director (Finance)

01.08.2007

Part-Time Official Directors 1

Shri M. Sahoo

t Secretary and Financial 11.07.2007 Advisor Ministry

of

Power,

Government of India 2

Shri Chandra

Harish t

Secretary

Ministry

of

(Thermal) 11.07.2008 Power,

Government of India

- 20 -

of

CORPORATE AND REGIONAL HEADQUARTERS

CORPORATE OFFICE: NTPC BHAWAN CORE-7, SCOPE COMPLEX, 7 INSTITUTIONAL AREA, LODI ROAD, NEW DELHI-110003

REGIONAL HEADQUARTERS: EASTERN REGION LOKNAYAK JAIPRAKASH BHAWAN 2ND FLOOR, DAK BUNGALOW CHOWK PATNA – 800001 BIHAR

- 21 -

- 22 -

COMPETITION NTPC Kawas is an important partner of western regional grid which has a total installed capacity of 32,179 MW comprising of thermal, hydro, nuclear, wind and gas. NTPC Kawas has 656.2 MW gas turbine based generation capacity. Mix-fuel firing facility in gas turbine and a black start facility of 2.85MW to provide essential power during the grid failure and help in power restoration during major grid collapses are its unique technical features and competitive advantages. With this facility, Kawas have come forward to restore the grid on many major failures in western region. The high availability, quick starts up and fast loading capability, strong dispatch network ensures the demand for generation by NTPC Kawas in various normal as well as in emergency situations. With the age of electricity bill and successful conclusion of tri-partile agreement at govt. of India level, the receivable position has improved. To maintain the competitive edge, NTPC Kawas has sourced spot R-LNG from HP, GSPC & GAIL since year 2006. NTPC Kawas regularly participates in the various operational and policy review meetings conducted by WRPC where regular exchange of industry statistical data and issues for generation, transmission and realization are discussed and applicably resolved.

- 23 -

COMPETITORS

Torrent Power Entered the power sector by acquiring two old state owned electricity companies and turned them into power utilities comparable with the best.

BHEL •

14 Manufacturing plants

•

279 Coal based Thermal Utility Sets of BHEL, including 29 Sets of 500 MW and 157 Sets of 195-250 MW installed in the Country (As on 31.03.07)

•

During 2006-07, out of 279 Coal based Thermal Utility Sets of BHEL in the Country, 77 sets operated at PLF > 90% (6 sets at 100%; 18 sets at 95 – 100% and 53 sets at 90-95%)

- 24 -

Foreign players entered to India

AES Corporation

CLP Power

- 25 -

GROWTH RATE

NTPC's share on 31 Mar 2008 in the total installed capacity of the country was 19.1% and it contributed 28.50% of the total power generation of the country during 2007-08.

- 26 -

ORGANISATIONAL STRUCTURE

- 27 -

- 28 -

CONSTRUCTION AT NTPC KAWAS

- 29 -

PLANT LOCATION  INTRODUCTION: Kawas combined cycle Gas Power Project situated on the western seacoast around 15kms. From “Silk City” Surat in the state of Gujarat, is one of the prestigious combined cycle gas power station of its kind both within NTPC and in the country. The unique features of the power station are multi fuel firing facility in the Gas Turbine, a black start facility of 2.85 MW operational on HSD for start-up of the plant and maintaining the plant mandatory systems in case of grid failure and a simulator complex for the combined cycle plant to train power engineers. After striking of natural gas in a large amount in the Western off shore and the decision of the Central Government to lay HBJ pipeline to feed natural gas to different Fertilizer Plants and Petrochemical units, it was found that sufficient gas could be made available for power generation also at a few locations. The Ministry of Energy, rightly recognizing the performance of NTPC in setting up and successfully operating the coal based power stations directed NTPC to prepare feasibility report for gas based combined cycle power plants to be developed along the HBJ pipe line in three states Gujarat, Rajasthan and Uttar Pradesh. Accordingly feasibility report was prepared for the Gas based projects at Kawas, Anta, and Auraiya and submitted to CEA by July ’85. Recognizing the role of Gas based power plants in helping to quickly bridge the gap of energy shortage of 1015% anticipated through out the 7th plan period, due to its low gestation period, high efficiency, quick start and quick loading facility with multi fuel flexibility and low pollution impact, it did not take much time for CEA to approve the Project, in sept.’85.

- 30 -

 LOCATION: Plant is located in the village Mora which falls in the western outskirt of Surat city at Latitude 21 10’ N and Longitude 72 41’ E. The site is around 19kms. away from the Surat Railway Station. The site is close to Hazira a small coastal port at the mouth of River Tapi. It is having KRIBHCO Fertilizer plant on the eastern side, River Tapi on its southern side, Hazira-Surat road and Hazira branch canal on northern boundary and Reliance Industry Ltd. on western boundary.

 SITE SELECTION: Two vacant plots, adjacent to the Hazira Branch canal, on the south of SuratHazira roads were examined as alternate sites. The first site identified for power plant was adjacent to Hazira Branch canal running along the Surat-Hazira road and to east of ONGC complex. The land being under cultivation would have been difficult to acquire. The land also feels within the Surat Municipal limits and finding a corridor for power evacuation was also difficult. T he present site is having a locational advantage. About 60% of the land was government land. The rest was private land with inferior agriculture quality. The land varied from3.0 m above MSL in the higher portion of land. The creeks and low lying portion of the field used to get filled up with water during high tide. Therefore a safe level of 5.5 m was considered for the power plant. The soil consists of a top stratum of moderately expensive silt clay. The ground water table in the rainy season was found to be 2.75 m below MSL. The sub soil as well as ground water has been found to be alkaline with a Ph value of around 7.0 to 8.0.

- 31 -

 LAND ACQUISITION:

Land acquisition work for the plant as well as township area started in Feb 1986 and a total of 568 acres of land was acquired in June 1986. (523 acres for the plant and 45 acres for the township). Only one Village ‘MORA’ was affected with 51 nos. of “Khatedars”. Most of them were suitably rehabilitated by providing jobs in NTPC and some were allotted shops in the townships in addition to the compensation.

- 32 -

FACTORS AFFECTING PLANT LOCATION: ⇒ FUEL LINKAGES: Initially ONGC had informed that NGL a by-product at their Hazira works would be made available and supplied through pipe line and the gas would be supplied to NTPC, on fall back basis from Hazira till March 1990. According, a provision for handling, storing and firing NGL was maintained under the scope of Main Plant in the initial LOA. However, in Sept 1990 the department of Petroleum and Natural Gas communicated allocation of 2.25 MCMD of Gas for the projects, which made NTPC to revise the scope of Main plant and delete all the off base facilities for liquid fuel handling. However, the scopes of on base facilities for multi fuel firing were retained. The gas from Western offshore fields is coming through under sea pipeline upto ONGC terminal where it is sweetened amd transferred to GAIL for further marketing/distribution. The sweetened natural gas comes to the plant through pipeline laid by GAIL, while the liquid fuels are supplied by HPCL through separate pipeline and supply provision through road tankers has also been made.

⇒ WATER AVAILABILITY: Make Up water was being drawn from Suvali minor canal Kakrapar right bank canal network, taking off from Kakrapar reservoir on river Tapi. To meet the water requirements during shut down of Hazira branch canal for annual inspection and shut down reservoirs were constructed with total capacity of 10.9 lac cu.m.

- 33 -

Though the Govt. of Gujarat, Irrigation Dept. had granted an allocation of 10.8MGD (20 cusecs) of water at the inception stages of this project based on which the feasibility report was approved by Central Electricity Authority, later on sanction was withdrawn by the Govt. of Gujarat, and all the Hazira based industries, along with NTPC, were asked to make own arrangement to draw water directly from the Ukai Dam, an approximately 87 km distance from the project site. After a series of discussion between the authorities of NTPC and Government of Gujarat the conditions were relaxed and drawl of water from the canal was permitted till NTPC makes its own other alternate arrangements.

⇒ MULTIFUEL FIRING FACILITY: From the very beginning, Kawas was not able to get earlier committed supply of 2.25 MCMD gas by the Ministry of Petroleum and Natural Gas, from the HBJ pipeline. This had adversely affected the plant load factor in the initial years. Thus, in order to overcome the situation, arrangements for the off- base liquid fuel handling facility to make the plant operational on multifuels was decided. A separate contract was awarded for creating the liquid fuel storage, fuel unloading and transferring facilities up to gas turbines. Major pumping and filtering skids were supplied by AEX and the commissioning work of all the units were done under the supervision of AEX. Ministry of petroleum .the multi fuel facilities were commissioned for all the gas turbine units by Dec’97.

- 34 -

⇒ AFFORESTATION: On the front of maintaining ecological balance, the project had taken extensive afforestation in the plant area, township and surroundings villages. Nearly 1.7 lakh plants of different varieties are surviving in these areas. This report is an endeavor to share the experiences of the different stages of these project activities like design, construction, erection and commissioning in completion of this project. It describes the design, construction, erection and commissioning of 2 GT s and 1 ST with associated system and offsite facilities of KAWAS gas power project. A section highlights Quality Management during construction with exhibits of selected drawings has also been incorporated.

- 35 -

PLANT LAYOUT

- 36 -

- 37 -

MANUFACTURING PROCESS STEP-1: STORAGE AND HANDLING OF HSD/ARN/NGL HSD that is coming by tankers to the LFHS is manually measured and unloaded through pipeline by a set of pumps and stored in HSD storage tank ARN/NGL that is transported from ONGC/HPCL depot through pipeline. HPCL is received directly in the Naptha storage tanks. Measurement is done by fliw meters installed in the line. In the case of emergency, ARN/NGL through road tankers is unloaded in LFHS unloading bay using unloading pumps. STEP-2: SUPPLY OF HSD/ARN.NGL TO GAS TURBINES HSD and ARN/NGL are stored in storage tanks in the tank farm area. HSD is supplied to the units by 2 nos. forwarding pumps provided in LFHS pump house. Whenever there is a demand in HSD the forwarding pump will start and the filtered and metered HSD is sent to the on-base system through a 3-way valve. If any of the unit is running on the HSD/ARN/NGL the forwarding pump will be running. Naptha /NGL are supplied to the units by 3 nos. Naptha /NGL/HSD is received and stored in liquid fuel handling station and is pumped to the unit through a pipeline. STEP- 3: SUPPLY OF RAW WATER TO RESERVOIR AND PT PLANT 2 Kiroskar make pumps are provided at the various pumping station of NTPC, KAWAS, for the supply of raw water from the Tapti River through pipeline to NTPC plant site. Raw water can also be taken from Gujarat state irrigation canal in case of emergency or availability. Raw water from the dead reservoir after setting goes to live reservoir from where the 3 raw water pumps take section. The discharge from raw water pumps is given to PT plant.

- 38 -

STEP- 4: GENERATION OF ELECTRICITY BY THE OPERATION AND CONTROL OF GAS TURBINE WITH GAS/ LIQUID FUEL There are 4 gas turbines (GT’s) that can be operated either on gas or on liquid fuel for the purpose of generation of electricity. Each GT has a compressor, combustors, gas turbine, a generator and some auxiliaries coupled to it. Filtered air form atmosphere is compressed in the compressor and sent to combustors. STEP- 5: MONITORING AND MEASUREMENT OF COMBUSTION OF FUEL IN GT There are 4 gas turbines (GT’s) that can be operated either on gas or on liquid fuel. . Each GT has a compressor, combustors, gas turbine, a generator and some auxiliaries coupled to it. The fuel gas from the gas turbine outlet is delivered through the duct into the by stack during open cycle generation, which is let out to the atmosphere at a height of 55mtr. In the case of combined cycle generation the fuel gas instead of ing through the by stack is diverted through a diverter assembly into waste heat recovery boiler.

- 39 -

STEP- 6: GENERATION OF STEAM IN WHRB AND SUPPLY OF STEAM TO STEAM TURBINE: The exhaust of gas turbine is diverted to the Waste Heat Recovery Boiler (WHRB) to recover the heat through steam generation. The fuel gas es through the vertical type boiler thereby transferring its heat content to DM water and transforming it into superheated steam. - 40 -

STEP- 7: MONITORING AND MEASUREMENT OF STEAM AND WATER CYCLE: The DM water from DM plant is taken in the condenser. The DM water required for the boiler is supplied from DM plant which is taken in condenser. The condensate is pumped through the pre heated circuit into the de-aerator wherein the dissolved oxygen is removed to the desire level. The de-aerated water is sent through the HP and LP economizer into the respective drums of a boiler by two different sets of pumps taking from deaerator. The HP and LP drum water are circulated through the evaporators by HP and LP circulation pumps whereby water is converted into steam and is collected in the respective drums. - 41 -

The saturated steam from the drums are ed through the super heaters and then sent into the steam turbine to generate motive power for a generator. HP steam enters the HP turbine, after expansion mixes up with the LP steam, and enters the LP turbine. The steam turbine is rated to generate 116.1 MW. Since total heat cannot be converted into mechanical power, large quantity of water is needed to cool the residual steam. This cooling water, after becoming hot, is cooled in cooling towers. STEP- 8: SUPPLY OF GENERATED ELECTRICITY TO WRLDC Power generated in all the six units is supplied to western region grid through 220 KV transmission lines. Name of the transmission lines are given below a) Kawas- Navsari line 1 b) Kawas- Navsari line 2 c) Kawas- Valthan single line d) Kawas- Ichhapore single line e) Kawas- Haldarva line 1 f) Kawas- Haldarva line 2

- 42 -

SWITCHYARD ROOM

- 43 -

INVENTORY CONTROL Material Management is one of the critical and crucial part of every organization involved in manufacturing process. Bad Management of inventory has lead to fall of organizations all over the world, because of the carry over cost. Total number of Spares varies from Organization to Organization. An Efficient and Effective Material Management System is important in the inventory and for Effective Cost Control.

 INVENTORY CONTROL - SPARES  OBJECTIVES; •To minimize the capital blocked up in inventory or in other words maintain optimum level of inventory. •To strike a balance between production costs and operating and maintenance costs. •To avoid wastages, losses and optimum utilization.

 FUNCTIONS: • Identify the spares required for maintaining the equipments. • Asses annual requirements. • Determine how-much to procure and when. • Standardization of spares. • Identify slow moving, obsolete, defective or damaged items and life of spares where ever it is applicable. • Preparation of policies and procedures to suit to the organization. • Prepare spare parts specifications. • Auditing of Inventories regularly. - 44 -

 SPARES CLASSIFICATION Identification of spares of common in nature for the equipments and allocation of material codification number accordingly. A detailed analysis of Spare Parts and procurement action depends upon. (1) Consumption History (2) Fast moving spares (3) Slow moving spares (4) Procurement practices (5) Lead time (6) Price discounts and bulk purchases.  INVENTORY ANALYSIS: • For inventory control a selective approach for each item according to its importance is to be chosen. • Most important analysis are: (1) A B C Analysis (2) V E D Analysis (3) F S N Analysis ABC: Annual consumption in of money value. A = Annual consumption on value very high. B = Annual consumption on value medium. C = Annual consumption on value low. VED: VITAL ESSENTIAL DESIRABLE FSN: Fast Moving Slow Moving - 45 -

None Moving

 ORDER QUANTITY To determine the quantity of spares to be ordered for each of the item, the following are kept in mind. (1) Order cost – Cost due to processing of purchase order. (2) Inventory carrying cost – Interest on capital, storage cost insurance, maintenance cost. (3) Economic order quantity is the one which considers the cost of ordering and inventory carrying cost.

 REPLENISHING SYSTEM The following procedures are followed. • STOCK ITEM: Automatic replenishing system (ARS Items by purchase department/Stores. • NON-STOCK ITEM: Indenting by department. While ordering/replenishing the points to be considered are. 1) Re order time/levels. 2) Quantity to be procured. 3) Quantity of safety stock to be maintained. 4) Lead time to be considered. 5) Inventory carrying cost.

- 46 -

 SPARE PARTS DEVELOPMENT Development of alternate source of supply of spares for station to build up a competitive atmosphere among the vendors. The objectives are i) To optimize the spares cost. ii) Reduction in lead time. iii) Foreign Exchange savings

 IDENTIFICATION PROCESS 1) High value critical spares of imported origins. 2) Spares whose manufacturing has been discontinued or spares for which poor response from the manufacturers. 3) Spares of Indigenous proprietary origin.

- 47 -

QUALITY CONTROL

 QUALITY POLICY Generating reliable and economic electric power from Kawas by: 1) Teamwork 2) Efficient and eco-friendly operation of each unit 3) Maintaining the declared availability 4) Striving for continual improvement in all aspects associated with operation  QUALITY OBJECTIVES •

To generate power as per MOU between NTPC-Kawas and WRLDC

•

To consistently strive to improve upon the operational performance by reducing heat rate as per MOU

•

Meet customer requirements as expressed through generation schedule from WRLDC  SCOPE

•

The quality system procedure covers the operation of the main power plant and related offsite equipments. Process wise, the scope of the manual covers:

•

Storage and handling of HSD/ ARN/ NGL

•

Filtering and supply of HSD/ARN/NGL to gas turbines

•

Handling of GAS from GAIL terminal and inside plant premises Supply of raw water to reservoir PT plant

Generation of electricity by the Operation and Control of GT with GAS/LF.

- 48 -

Kawas Gas Power Project

⇒

Personal Protective Equipment

PPE is a second line of defense for employee protection. The first line of defense is to eliminate accident-causing situations in work place by effective engineering measures. But it is not always practical, so sometime use of PPEs become inevitable. The same time it is borne in mind that PPE does not eliminate the hazard. It is just barrier between the hazard and the worker. PPE can help eliminate an injury or reduce its severity. PPE should be resorted to only if absolute removal of hazard is impossible or impractical. PPE relevant to the hazard should be selected and used. Wearing of Safety Helmet & Safety Shoes is compulsory in plant area.

Description

Material Code

Industrial Safety Shoe with Steel Toe cap

2732550141

Industrial Electrical Safety Shoe

2732559573

Safety Helmet

2725222635

Ear Plug

2798252801

Ear Muff

2798252810

Safety Goggle

2798250018

Safety Belt

2725220295 - 49 -

Chemical Splash Protective Goggles

2725224729

•

- 50 -

- 51 -

- 52 -

HR VISION

“TO ENABLE OUR PEOPLE TO BE A FAMILY OF COMMITTED WORLD CLASS PROFESSIONALS, MAKING NTPC A LEARNING ORGANISATION.”

- 53 -

Manpower Planning and Budgeting In all Divisions and Projects of the Company, before the end of August every year, each Department will review the adequacy or otherwise of the available manpower with reference to the tasks and targets and determine the additional requirements of manpower in qualitative and quantitative for the immediately following financial year. Based on the requirements of additional manpower of the individual departments, the detailed manpower plan for the financial year will be prepared tly by the Planning and Personnel Departments for the Division as a whole giving specific details of each new posts other than casual posts and justification therefore and this manpower plan containing details of expenditure involved will form a part of the overall Manpower Budget of the Division. The requirements of casual and other contingent staff will not form a part of the Manpower Budget as the same will be shown only in of estimate of expenditure to be incurred in respect thereof as a part of the Works Budget. Annual manpower plans including the additional manpower requirements along with all relevant details and estimated cost involved for all the Divisions/ Projects will be consolidated into an integrated Company Manpower Plan which will form a part of the annual budget to be submitted for approval of the Board of Directors. On approval by the Board, these manpower plans will constitute sanction for creation of posts including posts of trainees and form the general basis of recruitment during the financial year.

- 54 -

LEVEL AND DESIGNATIONS IN NTPC LIMITED

Level

Designation

E1 E2 E2A E3 E4

Assistant Officer Senior Assistant Officer Engineer/Officer Senior Officer/Engineer Deputy Manager/Deputy

E5 E6 E7 E7A E8 S3 S4 W1 W2 W3 W4 W5 W6 W7 W8 W9

Superintendent Manager/Superintendent Senior Manager/Senior Superintendent Deputy General Manager Assistant General Manager General Manager Supervisor Senior Supervisor Attendant Senior Attendant Senior Assistant/Junior Operator Assistant Assistant Grade-3 Senior Assistant Grade-2 Steno Grade-1 Senior Assistant Grade-3 Senior Assistant Grade-4

- 55 -

Recruitment Policy and Procedures

◊

Preamble

NTPC subscribes to the belief that efficiency, effectiveness and success of the organization depends largely on the skills, abilities and commitment of the employees who constitute the most important asset of the organization. NTPC is therefore resolved to provide a framework of policies which will enable the Organization to attract the right talent for the jobs and make it available at the right time and in right number with the ultimate objective of ensuring optimum and effective utilization of the human resources in a climate of satisfaction, development and growth. In pursuance of the above objectives and consistent with the Company's social and national obligations, NTPC hereby makes the following policy statement to be called NTPC RECRUITMENT POLICY AND PROCEDURES to govern, regulate and generally facilitate recruitment of personnel in the Projects, Offices and Establishments of the Company.

- 56 -

RECRUITMENT AND SELECTION •

Preliminary The policy statement and the rules and procedures made

hereunder will be applicable to recruitment and selection of employee of all classes and categories irrespective of whether they are against regular, temporary, casual, or trainee posts, unless specifically stated otherwise.

•

Manpower Planning and Budgeting Based on the requirements of additional manpower of the

individual departments, the detailed manpower plan for the financial year will be prepared tly by the Planning and Personnel Departments for the Division as a whole giving specific details of each new posts other than casual posts and justification therefore and this manpower plan containing details of expenditure involved will form a part of the overall Manpower Budget of the Division.

• Creation of Posts For the purpose of according sanction to the creation of regular, trainee and temporary posts in different categories within the approved budget provisions and approving appointments to such posts, the following will be the competent authorities to be referred to hereinafter as the Appointing Authority

- 57 -

• Job Title, job Specifications, Role Outline and Pay scales Job specifications indicating the eligibility requirements in of minimum educational and/or professional qualifications, length, nature of quality of experience, upper age limit etc. and a general outline of the role and responsibilities will be laid down in respect of each job title along with the pay scale or consolidated daily/monthly wage rate in which the posts in the category will be operated.

Non-Executives Unskilled Group

W 0 levels

Skilled Group & equivalent Secretarial and Clerical Staff

W3 & W4 levels

Supervisor Supervisory & equivalent Categories

SI & W7 levels

Executives Executive

E1 / E 2 level

Infusion of new blood to the executive and supervisory cadres will be through the Executive Trainee and Diploma Trainee Schemes under which training based on specific requirements of the Company will be imparted to the fresh professional graduates and diploma holders to be recruited on a regular annual basis. - 58 -

• Agencies for Recruitment All recruitment to the executive cadres inclusive of executive trainees for all Divisions and Projects of the company will be centralized in the Corporate Center and dealt with by the Corporate HR Division. Until such time as the Company's Projects do not have their separate training facilities, all recruitments of Diploma training scheme will be done by the Corporate HR Division In respect of all other non-executive personnel, recruitments will be done by the HR Department of the Division/Project concerned.

• Sources and Modes of Recruitment For recruitment of professional personnel in Company's executive cadre including executive trainees, selection, will be made on all India basis and for this purpose, the posts to be filled will be duly notified through press ments and Company Notice Boards and/or through circulars issued to Government Departments and Public Sector Undertaking where suitable candidates of the required expertise are expected to be available. In respect of recruitment to non-executive posts carrying a maximum basic pay of Rs. 1250/- per month and below all vacancies will be notified to the Employment Exchanges in of Employment Exchanges (Compulsory Notification of Vacancies) Act. 1959. Provided that notifications for recruitment to reserved vacancies will also be issued to Association concerned. Copies of notification may also be sent simultaneously to the Central Employment Exchange and other employment exchanges in the neighboring district within the state and Government and Semi- government organizations and/or the positions may be d in the - 59 -

local press subject, however, to the condition that all things being equal, preference will be given to suitable candidates sponsored by the concerned Employment Exchange. In respect of recruitment to non-executive posts carrying a basic pay of above Rs. 2500/- per month, recruitment will be made from the region comprising the State in which the Division/Project/Establishment concerned is located and the neighboring States and for this purpose notification for filling the vacancies will be issued in the newspapers and also to the employment exchanges of the region through the Central Employment Exchange in addition to the Notice Board in the Company's premises. Provided that recruitment may be made to such posts from outside the region where the appointing authority is satisfied that suitable candidates in adequate number may not be available within the region. Provided that to facilitate recruitment to the reserved vacancies, copies of such notifications will also be issued to the various agencies and associations as stated above.

In addition to the above induction of executive and specialist non-executive personnel may be made as deemed necessary and appropriate by the authority competent to create the posts from one or more of the following sources: (a)

deputation from Central/State Governments/ Electricity Boards and

Public Sector Organizations where suitable personnel on offered by the Company may not be available at the right time from other sources where the time

and

cost

involved

in

processing

recruitments

through

open

ments may not be justified in view of the number or nature of posts to be filled. (b)

Campus interview and recruitment to the posts in the grade of

Rs.12000-

12500

and

Executive

Trainees

engineering/management institutions to be specified. - 60 -

from

reputed

(c)

Candidates located through personal s and talent survey, only in

respect of posts requiring specialist knowledge and expertise and/or exceptional qualification and merit subject to approval by the Appointing Authority.

• To fill Job Openings by Selection from within The internal candidates who fulfill all eligibility requirements may be considered along with other candidates. Subject to fulfillment of minimum eligibility requirements and other prescribed criteria, directly recruited regular employees including deputationists will be considered eligible for selection to a post in open competition with external candidates Applications of all internal candidates will be forwarded to the HR Department by the Head of the Department who should give in his forwarding statement: (a)

Comments on the suitability of the candidates for the post applied for.

(b)

Assessment of the performance of the candidate.

(c)

Remarks whether or not candidate can be released in case he is

selected without detriment to the job currently being handled by him.

•

Preference

for

Candidates

Belonging

to

Scheduled

Castes/

Scheduled Tribes/Other backward Classes/Ex-Servicemen, Displaced Persons etc.

- 61 -

Towards the fulfillment of the Company's social and national obligations it will always be NTPC's Endeavour to provide gainful employment on a preferential basis to the of the economically backward classes, ex- servicemen, persons uprooted from the project areas and other unfortunate sections of the society and for this purpose the directives of the Government concerning reservation of vacancies and special concession to be allowed to such candidates will be most strictly and conscientiously adhered to.

• Application Formalities Unless specifically exempted by the appointing authority, all applications for job positions in the Company will be accompanied by a Demand Draft of the value of Rs.50/- for executive posts, Rs.250/- for the posts of executive trainees and Rs. 10/- for non-executive posts other than those covered by the Employment

Exchanges

(compulsory

Notification

of

Vacancies)

Act,

1959.Provided that candidates belonging to Scheduled Castes and Scheduled Tribes and Ex- servicemen will be exempted from the payment of application fees.

• Forwarding

of

Applications

of

Candidates

from

Government and Public Undertakings In respect of candidates from Government and public sector organizations who apply through proper channel, HR department will obtain copies of the annual appraisal reports or their abstracts in NTPC's reference check forms which will be placed before the Selection Board during or after interview but before the finalization of the of selected candidates.

•

Requisition of Manpower

The respective departments will forward their manpower requirements in prescribed requisition forms to the HR Department through the respective - 62 -

Appointing Authority competent to sanction creation of posts indicating therein the last dates by which placement of personnel is desired for different posts keeping in view the normal lead time for recruitment.

• Processing of Applications All applications received against a specific notification/ ment will be subjected to a preliminary scrutiny by the HR Department

•

Interviews and Role of Selection Board

The candidates included in the short-list of rated applications referred to THE above will be called upon to undergo a prescribed selection process which may consist of: •

an interview before the Selection Board, or

•

a test and/or group discussion followed by an interview of all candidates

before the Selection Board, or •

An elimination test and/or group discussion followed by an interview

before the Selection Board of only those who qualify in the test and/or group discussion.

• Operation of of Selected Candidates The Central Selection Board, based on the merit and performance of the candidate during the interview, awards marks to them by consensus. Based on fulfilling the criteria for length of service d for each level and also on the marks awarded by the CSB, the candidates are placed on the at appropriate level, Separate s are drawn for General, SC/ST and OBC - 63 -

categories. The minimum qualifying marks required for placement in for different categories of candidates are : General Category

55%

OBC Category

50%

SC/ST Categories

45%

• Offers of Appointment Upon approval by the competent authority, offers of appointments are sent by ed Post giving 30 days time for ing. However, extension in ing upto four months based on the merit of the case, after approval of the competent authorities, is also allowed.

• Medical Fitness Nobody will be appointed to any post in the Company whether regular, temporary, trainee or casual unless he is declared physically fit as per the medical fitness standards prescribed for the post after a medical examination by the Company's authorized medical officer/officers at the time of appointment in the Company's service.

•

ing Formalities

In case of recruitment to executive and supervisory posts, prescribed application blanks will include a column for the candidates to give names of two references to whom, in the event of selection of the candidate, reference will be made in the prescribed form for eliciting their views and opinions on the suitability of the candidate for employment in the Company.

- 64 -

TRAINING

Training shall include a training programme, seminar, convention, workshop, symposium or any other structured learning or developmental programme, based on organizational needs and/or Training Need Analysis.

 OBJECTIVES:

•

Make learning one of the fundamental values of the Company

•

Ensure value addition through training to the overall business process

•

Institutionalize learning opportunities that supplement work experience

•

Integrate organizational and individual developmental needs

•

Enable employees to keep abreast with the latest knowledge and skills and enable them to undertake current and future responsibilities in a more effective manner.

•

Provide linkages between the different functionaries of training activity

•

Provide linkages of training activity with overall Human Resource function.

TYPES OF TRAINING:

 In-house Training Programme: A training programme designed, developed and conducted within the Company, exclusively for the regular employees of the Company, with or without the assistance of external agency (ies). - 65 -

 External Training Programme: A training programme designed, developed and conducted within India, by an outside agency, not exclusively for the employees of the Company, and to which one or more employees of the Company may be nominated.  Planned Intervention: A grade/level/category-wise in-house training programme, normally based on a template course design, and conducted to improve competency base of employees as felt necessary by the organization. The List of current Planned Interventions is given in Annexure I.  Need-based Programme: A training programme, designed, developed and conducted on the basis of the developmental needs felt and identified for the employees concerned in the Training Needs Form.  Specified Intervention: An external training programme or an in-house training programme other than a Planned Intervention or a Need-based Programme, conducted to improve certain specified competencies, as felt necessary by the organization.

CLASSIFICATION OF TRAINING NEEDS: Essential: Developmental needs which, if not met, may affect job performance Desirable: Developmental needs which are necessary for personal development and growth. Short-term: Developmental needs which need to be fulfilled for immediate job performance.

- 66 -

Long-term: Developmental needs which need to be fulfilled for future job performance, in next two years or so.

AGENCIES OF TRAINING: The agencies that shall deal with the training function in the Company shall include:

•

Power Management Institute: PMI shall be the apex-training

institute and the nodal agency for Training for the Company. It shall cater to the advanced training needs of all executives of the Company. In case of employees of Corporate Centre, it shall cater to the training needs of both executives and non-executives. It shall specialize in Management Development and advanced technical areas including Information Technology and shall serve as knowledge dissemination centre for the Company as a whole. It will also engage in research and consultancy.

•

Unit Training Centers: Unit Training Centers shall cater to the training and development needs of the employees of the respective units.

•

Simulator Training Centers: The Simulator training centers at Korba & Kawas, designed to produce real time behavior of the Thermal and gas modules respectively, shall cater to the needs of the corporation. In addition, depending on the availability of resources, the Simulator training centers would also provide training - 67 -

to external agencies / organizations, on commercial .

•

Regional HR group: The Regional HR group shall cater to the training and development needs of the employees of the respective region. Wherever it is not feasible

for the Unit Training Centers to

organize a specific programme, Regional HR group would organize such a programme for the employees in the entire region. It would also take an active and proactive part in finalization of the training calendars of each unit within the region. •

Corporate HR Group: HR Group shall co-ordinate external training programmes for all the employees of Corporate Centre. It would also co-ordinate specified interventions for targetted groups.

•

Departmental

Training

Co-ordinator:

The

Head

of each

Department shall nominate an executive who shall, besides his normal functional assignment, co-ordinate the training and related matters for the employees of the department. It shall be the responsibility of the Departmental Training Co-ordinator for conducting Training Need Analysis and so ensuring nomination of the employees of the department concerned to training programmes that the Training Target of 7 mandays of training for every employee in a training year is achieved.

- 68 -

TRAINING NEED ANALYSIS: (TNA) The objectives of Training Need Analysis are to •

systematically identify developmental needs of employees

•

integrate so-identified individual needs with organizational needs

•

enhance relevance and acceptance of training programmes

•

Employees would identify their training needs once in two years.

This is as per the Training Plan implemented in 1998. Each employee will identify his/her training needs in a maximum of four areas in consultation with his reporting officer. The training needs expressed should be related to the employee’s present responsibilities and his likely areas of future assignments. Training Needs would be classified as Essential and Desirable along two time-frames of short-term (for immediate job performance) and long-term (for future job performance, in next two years or so ). The identified needs would be prioritised in the following manner and would be addressed accordingly: Priority A

Essential Short-term

Priority B

Desirable short-term

Priority C

Essential long-term

Priority D

Desirable long-term

Training needs identification in case of executives would be done by the executive concerned in consultation with his/her Reporting Officer in the Training - 69 -

Needs Form enclosed at Annexure II.

- 70 -

- 71 -

PROMOTION AND TRANSFER: Eligibility period is that minimum period in the existing grade on completion of which an employee is considered for promotion to the next higher grade on the standard date of promotion, subject to provision of promotion channel and availability of vacancies and other conditions.

General Principles: 1)

Promotion of executives to positions in next higher grades will be on the basis of merit, efficiency, grade service and suitability. In view of the fact that such merit, efficiency and suitability can be meaningfully determined on the basis of assessment of performance and potential over a reasonable period.

2)

Wherever limited applicability of seniority is provided in this policy, such seniority will be determined with reference to one or more of the following factors: •

Length of service in a grade from the date of ing inclusive of seniority weight age if any or from the date of promotion in NTPC.

•

Merit position in the selection where date of ing is the same or the merit position in Corporate Promotion Committee minutes where date of promotion is the same.

3)

Cases of eligible personnel in the executive cadre may be taken up for consideration for promotion at any time depending upon the availability of vacancies and exigencies of work.

4)

It would be essential to clear a departmental examination of standard equivalent to bachelor in engineering for any executive who possesses only diploma in engineering qualification, to be promoted beyond the grade of Deputy Manager. This condition will be relax able by CMD. - 72 -

TRANSFER  OBJECTIVES: i.

To cater to the changing needs of the organization

ii.

To ensure optimum utilization of manpower & their skills

iii.

To accomplish specific task/objectives with the available resources

iv.

Towards developmental needs of the employees

v.

To meet the individual employee needs matching it with organizational requirements

vi. The transfer of employees from one location to another becomes necessary to meet the organizational needs as well as employee developmental and personal needs. The various considerations could, broadly, be classified as under:

To meet organizational requirements, as envisaged in the manpower plan. To optimize appropriate placement. To meet exigencies of company’s work. To meet the needs at a particular location requiring specialized knowledge/experience.



istrative grounds and/or effective deployment of manpower.



Towards career development of employees through job-rotation.



To take care of pressing personal problems of employees, to the extent feasible and subject to Organization requirements.

The following procedure will be observed while deciding transfers. 

The transfer of Head of Project/Station will be affected in consultation with all the concerned Functional Directors. - 73 -



Transfers of DGMs/AGMs (where DGM/AGM is not Head of the Project/unit) will be affected in consultation with the Concerned ED/Functional Director.



Transfer of Head of Department within the Project/Station shall not be done by the Head of the Project/Regional ED, unless approved by D(HR) (upto E7 level) and CMD (E7A & above)



Inter functional/department shifting of personnel at E6 and above within a Project/Station shall be done with approval of D (HR).



No structural change in the approved manpower module should be carried out by the Project Heads/EDs excepting with the approval of D (HR).



In situation involving istrative exigencies where consultations as above (clause 4.0 (i & ii)) with Concerned Functional Director/ED is not possible, the Competent Authority may order such transfer after recording reasons for not consulting the Functional Director/ED.

The project/controlling officer will release all employees in respect of whom orders of transfer are issued promptly. However, in case it is not done the executive will automatically stand released on completion of 2 months from the date of issue of the transfer order. The concerned executive will draw wages only from the new place of posting after expiry of two months from the date of issue of transfer order.

- 74 -

PERFORMANCE APPRAISAL: Performance appraisal is a process for bringing out the best in employees and developing than for facing new challenges through close relationship and understanding between them, the employee and his supervisor. It also helps in understanding the employee’s aspiration, identifying his developments, needs and fulfilling them through job rotation/re-assessment and other measures. The performance Appraisal System in NTPC has been evolved after wide ranging discussions and participation of all concerned at various stages. With a view to meeting the individual and organizational needs. The system is an outcome of these deliberations on the objectives, forms and the process of the appraisal

 Objectives Performance appraisal system has following objectives:

1. Effective Work system To set Targets and Performance norms, monitor work progress and plan for improved performance 2. Training and Development To understand the gaps in knowledge, skills and attitudes that exists and see how these can be filled by planned guidance and training. 3. Placement To consider an employee’s suitability of different types of assignments and matching the abilities and expertise of the existing personnel with the job requirements.

- 75 -

4. Promotion To provide the basis for determination of merit, efficiency and suitability for purposes of promotion.

Evaluation In performance appraisal system following is being evaluated:  Evaluations of work performance on the present job i.e. the extent to which performance norms and targets have been met quantitatively and qualitatively.  The evaluation of behavioral attributes attitudes and executive abilities.  The extent of development achieved by the employee during the period under review.  Evaluation for potential for assuming higher responsibilities.  Alternatives roles/functions into which the executives can move.  Overall assessment of the employee.  Assessment of training needs.

Coverage

Performance appraisal for executive:  The appraisal will cover performance during the financial year. The format and process of appraisal will be the same for all functions and similar for all levels of executives.  The appraisals form is to be filled by all executives who have served for period of at least 3 months in the organization during the financial year.

- 76 -

Performance appraisal for non-executive:

There will be different formats for assessment as per the following board categories:  Supervisory  Secretarial & Office Personnel  Workmen  Workmen: Unskilled Personnel

- 77 -

INDUCTION

Induction program plays an essential role to orient the employee as soon as he s the company. It helps to orient the employee to the company and its tasks, to understand his/her role with other roles in the company. To help him understand the expectations of other employees from him anted to give him a feel of good organization and feel a part of it. It focuses on understanding of organizations, its vision and mission, the place of his role in the organization’s mission etc. NTPC has its own culture, norms, and value system. It is one way in such culture and traditions are established and maintained through socialization of new employees in to the culture of the company. Orientation Programme

After completing all the formalities of the recruitment formalities, the trainees report at the Power Management Institute and on ing they will be given a detailed briefing about the training plan. Training Kits, ties/scarves will also be distributed.  Induction Programme The training programme will commence with a formal inauguration by the Honorable Minister of Power followed by one week of Induction and Orientation module at Corporate Center to acquaint the trainees about the corporation’s aims, objectives, plans and functions of various departments.

- 78 -

On completion of Induction and Orientation programme, trainees will be divided in small groups based on the total ed to undergo further training at various Project Training Institutes like Singrauli, Korba, Ramagundam, Farraka, Vindhyachal and PMI which are fully equipped with necessary infrastructure for training. Induction Manual Induction manual is handed over to all new recruits for better adjustments to new environment. It contains information of all departments to new environment, groups of NTPC. A brief history, financial highlights of Board of Directors.

- 79 -

WELFARE Labour welfare activities include anything done for the intellectual, physical, moral, economic and social betterment of employees. The activities includes nutrition, medical, housing, education, co-operative society, rest and recreation, washing facilities, clock rooms, cultural activities, sports facilities, picnic, holiday fares, transport, family welfare, coaching classes, regional / cultural meets and community development etc. Kawas Employee Welfare Association (KEWA) provides welfare facilities to its employee through various agencies.  Sangam Club  Swati Ladies Club  Women Cell  Sports Council

1)

Recreational and Cultural Activities: a leisure time activity, which is a

healthy diversion and spare time occupation. It refreshes and individual mentally, lessens the monotony and drudgery of this every day work, and develops his personality on a wholesome bases.  Annual social gathering:

In Kawas, annual social gathering is a much looked forward to event, as it provide an opportunity to families of employees to meet one another. The program consists of drama, group song and other variety of programmes by employees and their family tly.

- 80 -

 Sports: For the entertainment of employees indoor and outdoor games are organized during the calendar year. Various coaching are given to employees and their family such as Bton, Table Tennis, Carrom, Skitting, Swimming and Cricket etc. Every year the company celebrates its annual Sports day and organize various competitions.  Picnic:

Each department is encouraged to go to a picnic on a holiday. The main objective behind this is to give an opportunity to the employees to meet each other along with their family and to help them to come closer and to break the social barrier.

2) Counseling and Other Activities: Counseling is done by the welfare office in cases of absenteeism, indebtedness, alcoholism etc. The company also has to contract with some schools in Surat city. The welfare office also helps the employees in getting ission in various schools for their children.

- 81 -

HUMAN RESOURCE AUDIT SUMMARY Title Objectives

HR Audit system To help in conduct of audit of HR functions across NTPC to understand the effectiveness of HR system

Salient Features

1. To be done by a team of: -

Regional Officer-Corporate HR

-

Regional HR head

-

Representative

from

Unit

Technical

Services Department 2. Audit will be conducted at each station/ project once in 3 years 3. The audit team will visit the station/ projects and interact with various stakeholders 4. Salient points emerging from the audit will be implemented

suitably

to

ensure

effectiveness of HR system Effective Data

HR Audit at units to commence from year 2007

- 82 -

the

ELEMENTS OF HR AUDIT The HR audit shall be undertaken by personal interactions/discussion with HR executives, HOHR, scrutiny of documents/records, personal interactions with HODs/site Management Committee , interaction with office bearers of Unions/Associations,

visit

to

important

offices/locations

and

personal

observations. The following tools would be referred and used by auditors for conducting the audit: I.

Check-list: The check list is a comprehensive compilation of various dimensions of various activities of HR. It highlights some questions pertaining to an area having critical importance and also data and documents required to be furnished by the respective unit against each question. The check-list is an illustrative guide to the auditors for conducting the audit in a structured manner. However, the auditors may explore any other areas relevant for understanding the uniform implementation of policies, effectiveness of HR system and processes and service delivery of HR.

II.

Guideline for the auditors: The guideline enclosed, would be used as a reference by the auditors for the scrutiny of documents, records and interaction with HOD/ Unions and Association.

III.

Visits: The auditors must visit record rooms of HR, key locations in the offices, facilities such as canteens, recreation, rooms, executive clubs, BAL Bhawan, ladies club and other facilities of township.

IV.

Report Preparation:

A sample report format is enclosed as

Annexure-III - 83 -

V.

Duration: The HR audit team should spend at least 2/3 days for conducting the audit. However, based on the size of unit and the issues involved, the HR audit team may spend 1-2 days more to make in depth assessment and bring out the local issues foe effectiveness as per the spirit and intent of the system.

PROCESS: A) The Regional Nodal officer of corporate HR will firm up the dates of

audit

and intimate to all the concerned. The Nodal Officer of Corporate Center before audit shall obtain the following documents: I.

A copy of HR Audit System

II.

All relevant papers, documents: Annexure III, Checklist, Guideline, Report Format

III.

Findings of surveys, areas of concern with action plan

IV.

MOU, HR Score card initiatives and targets for relevant period.

B) The concerned Nodal Officer shall forward a copy of check list to the unit at least 3 weeks in advance for preparation. The unit would compile all such data and keep ready for handing over to the audit team.

- 84 -

C)

After completion of the audit, the report must be submitted as per the schedule and timeline of system in the prescribed format with a brief summary of the findings indicating the good work/achievement, the areas of improvement and suggestions .

D)

HRD group would compile the audit report of all the units covered in the year and make a presentation on findings with brief draft action plan for redressal unit wise and organizational level. The final action plan as approved would be drawn and circulated for implementation.

HRD group shall put up the quarterly progress and status report to director (HR) on the areas of audit.

WAGE & SALARY ISTRATION: Wage is the remuneration paid for the service of labour in production periodically to an employee/worker. “Wages” usually refers to the hourly rate paid to such group as production and maintenance employees (Blue collar). On the other hand, “Salary” normally refers to the weekly or monthly rates paid to electrical, istrative or professional employee (white collar). Wage and Salary istration refers to implementation of sound policy and practices of employee compensation. Wage and Salary istration is concerned with the financial aspects of needs, motivation and rewards. Managers, therefore, analyse and interpret the needs of their employees so that reward can be individually designed to satisfy these needs. It has been rightly said “People do what they do to satisfy some need, before they do anything they look for a reward or pay - 85 -

SCALES OF PAY Pay Scales of Executives (Effective from 1.1.97). Scale Pay Scale (Rs.)

Representative Designation

Code

El E2

10750-16750

Asstt.

Engineer/Asst.

11225-17250

Officer Executive

Trainee/Sr.

Astt.

Engineer/ Sr. Asstt Officer E2A

12000-17500

Engineer/Officer

E3

13750-18700

Senior Engineer/Sr. Officer

E4

16000-20800

Deputy Manager/ACDE/Deputy Supdt.

E5

17500-22300

Manager/DCDE /Supdt.

E6

18500-23900

Senior

Manager/Chief

Manager/CDE/Sr.Supdt. E7

19000-24750

Deputy General Manager

E7A

19500-25600

Addl. General Manager

E8

20500-26500

General Manager

E9

23750-28550

Executive Director

- 86 -

Pay Scales of Supervisors (Effective from 1.1.1997)

Scale Pay Scale (Rs.)

Representative Designation

Code

SI

7300-12660

Jr. Controller/Jr. Foreman/ Jr. Supervisor/Jr. ant

S2

7900-13700

Assistant Controller Gr.II/ Foreman Gr.II/Supervisor Gr. II ant Gr.II/Private Secretary Gr II

S3

8600-14920

Assistant Controller Gr.I/ Foreman Gr. I/Supervisor Gr.I/ ant Gr. I/Private Secretary Gr.I

S4

9300-15590

Sr. Asst. Controller/Sr. Foreman/Sr. Supervisor/Sr. ant/Sr. Private Secretary

SG

10000-16000

Selection Grade* (w.e.f 25.1.2001)

Pay Scales of Workmen (Effective from 1.1.1997) (NON EXECUTIVES)

- 87 -

Scale

Pay Scale (Rs.)

Representative Designation

W0

3750-5450

Unskilled

W1

4400-8430

Unskilled/Gangman/Mazdoor/

Code

Attendant/Security Guard W2

4700-9010

Semi-skilled/Keyman/Sr.Attendant/Sr.Mazdoor/Dresser-cum-First Aider

W3

5000-9590

Jr.Operator/Jr.Technician/ Artisan/Jr. Draughtsman/

W4

5400-10350

Jr. Assistant/Cook. Operator Gr.IV/Technician Gr.IV/Draughtsman Assistant Gr.IV/Steno-Typist.

W5

5800-10790

Operator Gr.III/Technician Gr.Ill/Draughtsman

/

Assistant Gr. Ill/Stenographer.

W6

6200-11200

Operator Gr.II/Technician Gr.II/Draughtsman

/

Assistant Gr.II/Sr. Stenographer. W7

6700-11750

OperatorGr.I/Technician

/

Draughtsman Gr.I/Asstt. Gr.I W8

7300-12660

Sr.

Technician/Sr

Sr.Assistant. W9

7900-13700

Master Technician Gr.II

- 88 -

.Draughtsman

W10

8600-14920

W11

9300-15590

SG

10000-16000

Master Technician Gr.I

Selection Grade**(** the selection grade has

come into force with effect from 25.1.2001) The Grade of W11 has come into operation w.e.f. 7.4.1989.

THE RATE OF INCREMENT

Sl.

Grade

Rate of Increment

1.

W0

2.5

2.

W1-W7

3.0

3.

Supervisors/W8-

3.5

No.

W11 4.

Executives/Selection 4.0 Grade

ALLOWANCES:

DEARNESS ALLOWANCE: - 89 -

Quarterly: 1st January, 1st April, 1st

 Periodicity of Revision: July.

 Period to which

September-November, December-

February,  Revision relates:

March-May, June-August

The percentage Neutralization would be 100% for all employees. The D.A. would be based on the percentage increase in the quarterly average of the AII for the quarters ending, February, May, August and November respectively over AII 1708 (Basis 1960 = 100).

HOUSE RENT ALLOWANCE: House Rent Allowance is payable to the eligible employees who are not provided with residential accommodation by the company at places where the company has its projects units / offices.

TRANSPORT SUBSIDY: Employees not in receipt of monthly reimbursement of conveyance expenditure are paid transport subsidy as under; Category of Employees

per Month

Executive

Rs.300/-

Supervisors

Rs.280/-

Workmen

Rs.190/-

SHIFT / NIGHT SHIFT ALLOWANCE: Executive normally rostered duly in three shifts throughout the month including Night Shift and Workmen/ supervisors working in Night shifts. - 90 -

(A) EXECUTIVES i) E1/E2/E3

Rs.900/- per month

ii) E3/E4

Rs.1200/- per month

iii) E5/E6

Rs.1500/- per month

(B) SUPERVISORS

Rs.520/- per month

(C) WORKMEN

Rs.320/- per month

WASHING ALLOWANCE: Employees in the workman, supervisory & Executive Categories who are provided with liveries / uniforms are entitled to washing allowance at the following rates:

Workmen & Supervisory staff in Rs. 128/- p.m. nursing, paramedical or fire service. Other

categories

of

workmen, Rs. 108/- p.m.

Supervisor & Executives.

CASH-CANTEEN-COMPENSATION INCLUDING TEA SUBSIDIES: Employees and trainees / apprentices posted at offices / establishments, where subsidized canteen facilities are not provided. For employees posted in the Amount (Rs. p.m.) establishment located at:

1.4.2001 - 91 -

w.e.f.

Project,

stations

and

in

the 225+200 = 425

establishments located in ‘C’ class cities.

Absenteeism Rate Number of man days lost due to absent * Number of man days schedule to work

= 75* 100 360 =20.83%

- 92 -

100

- 93 -

In Power Generating Sector, intangible good that is electricity produce rather than any tangible goods. The demand of this product is always greater than its supply. Hence NTPC Kawas has not adopted much marketing Strategy but it mainly focus on customers and their requirement.

CUSTOMER FOCUS

“Customer is the most important visitor On our premises, He is not dependent on us We are dependent on him He is not an interruption to our work He is the purpose of it. He is not an outsider in our business He is apart of it. We are not doing him a favour By serving him He is doing us a favour by giving us an Opportunity to do so”.

SUPPLIERS AND CUSTOMERS:

NTPC Kawas mainly purchase major raw material- FUEL like Gas and Naphtha from its surrounding. - 94 -

Main suppliers are: 1)

GAIL (Gas Authority of India Ltd.)

2)

HPCL (Hindustan Petroleum Corporation Limited)

3)

ONGC (Oil and Natural Gas corporation Limited)

4)

GSPL (Gujarat State Petronet ltd.) From these suppliers NTPC purchase Fuel on contract bases. The cost of fuel average 40 Crores per week, cost of Natural gas for producing 1 unit is around 1 Rs while Spot gas is around 4 Rs per unit. If gas is not available and customer is ready to pay high amount then NTPC go for NAPTHA, whose cost is 6 to 7 Rs.

Major Customers Are: 1) MSEB (Maharashtra State Electricity Board) 2) MPSEB (Madhya Pradesh State Electricity Board) 3) GSEB (Gujarat State Electricity Board)

PRODUCTS AND SERVICES: The delivery of product from NTPC Kawas has always been in line with the core value of the organization to meet customer requirements. WRLDC, the agency responsible for the grid management has included the views of NTPC Kawas in its recovery procedure for western region considering that NTPC Kawas station has a reliable black street facility. - 95 -

The overhauling schedules of the units are adjusted to meet customer’s seasonal power requirement. In the hours of crisis, beneficiaries rely on NTPC Kawas for extra power. We also have a major contribution in maintaining the quality of product. The number of messages as well as number of revisions in schedules received from WRLDC and the response of NTPC Kawas using the real time load management system is the clear indication that we are responsive to their messages and schedules. Also it is a measure of the contribution of NTPC Kawas in maintaining the quality of the product.

GATHERING AND MISUNDERSTANDING MARKET INFORMATION: NTPC’s business is divided into five regions and information in these regions are gathered by various groups keeping in view the regional current demand, future growth of population, industry expansion, agricultural growth, growing standard of living, etc. Based on these information 15year corporate plan, five year plan to coincide with GOI’S PLAN SND Annual plan are made, to have balanced growth of power sector in India.

COMPETITIVE ENVIRONMENT: NTPC Kawas is an important partner of western regional grid which has a total installed capacity of 32,179 MW comprising of thermal, hydro, nuclear, wind and gas. NTPC Kawas has 656.2 MW gas turbine based generation capacity. Mix-fuel firing facility in gas turbine and a black start facility of 2.85MW to provide essential power during the grid failure and help in power - 96 -

restoration during major grid collapses are its unique technical features and competitive advantages. With this facility, Kawas have come forward to restore the grid on many major failures in western region. The high availability, quick starts up and fast loading capability, strong dispatch network ensures the demand for generation by NTPC Kawas in various normal as well as in emergency situations. With the age of electricity bill and successful conclusion of tri-partile agreement at govt. of India level, the receivable position has improved. To maintain the competitive edge, NTPC Kawas has sourced spot R-LNG from HP, GSPC & GAIL since year 2006. NTPC Kawas regularly participates in the various operational and policy review meetings conducted by WRPC where regular exchange of industry statistical data and issues for generation, transmission and realization are discussed and applicably resolved.

EXTERNAL IMAGE AND BRANDAWARENESS: NTPC has been chosen as the pioneering company for APDRP, which helps in system strengthening and augmenting the dwindling resources of the customer’s of NTPC Kawas resulting into better power scenario in the country NTPC, being a member of world energy council is occupying an important position in India and effectively contributing for sustainable growth of power through review, research and adopting energy efficient technology. Besides these, NTPC Kawas actively associates itself for community development, participates

in

SGCCI

organized

industrial

exhibition,

holds

vendor

development programs to achieve its brand awareness through stakeholders.

- 97 -

PERFORMANCE OF COMPETITORS AND BEST IN CLASS: As a part of our strategy and NTPC Kawas being a SBU we try to capture the data related to our competitors activity. The performance data are analyzed systematically in various forums like ORT, RMCM, MCM wherein gaps are analyzed and tactics are chalked out to bridge them. NTPC Kawas has carried out many bench marking projects in comparison with competitors and best in class associates like BPCL, KRIBHCO,GNFC, GPEC, ESSAR and also with NTPC other station. The CRM Group at WRHQ also analyzes the performance of our competitors and the data is made available as guidance for review and updating policy and strategy of NTPC-Kawas.

ALIGNING WITH PARTNER CORE COMPETENCE: NTPC has been analyzing the core competencies of several associate companies like UPL, ABB, BHEL, SEB’s to form t venture and alliances in project management, consultancy, renovation and modernization and maintenance of power plant. Core competencies of this associates have been identified as power equipments technology, project management and information, world class operation standards, potential plant requiring renovation to augment capacity addition etc.

- 98 -

EXTERNAL PARTNERSHIP ARE MANAGED: NTPC Kawas is committed to the corporate mission of providing reliable and quality power at competitive prices as well as being a socially responsible corporate entity. We have mutually beneficial partnership on both the organizational And community fronts for realization of our mission and core values.

FORMING SUPPLY CHAIN PARTNERSHIP: The key requirement of our customers is supply of electricity at lower cost. Some examples of partnership resulting into substantial cost savings are supply of NGL through dedicated pipeline laid by HPCL, rate contracts for supply of bulk chemicals, etc. further we have developed alternate sources of repair of critical GT components and also in the process of developing of alternate sources for supply of critical components. In addition to this we have developed some alternate sources of materials of proprietary nature by which we have had cost advantage of Rs. 353.24 Lakhs during last four years.

- 99 -

4Ps Of Marketing

P P

R

R

I

O

C

D

E

P

U C

P

R

L

O

A

M

C

O

E

T I

T

O N - 100 -

PRODUCT Electricity is the flow of electrical power or charge. It is a secondary energy source which means that we get it from the conversion of other sources of energy, like coal, natural gas, oil, nuclear power and other natural sources, which are called primary sources. The energy sources we use to make electricity can be renewable or non-renewable, but electricity itself is neither renewable nor non-renewable. Electricity is a basic part of nature and it is one of our most widely used forms of energy. Many cities and towns were built alongside waterfalls (a primary source of mechanical energy) that turned water wheels to perform work. Before electricity generation began over 100 years ago, houses were lit with kerosene lamps, food was cooled in iceboxes, and rooms were warmed by wood-burning or coal-burning stoves. Electricity is measured in units of power called watts. It was named to honor James Watt, the inventor of the steam engine. One watt is a very small amount of power. It would require nearly 750 watts to equal one horsepower. A kilowatt represents 1,000 watts. A kilowatt-hour (kWh) is equal to the energy of 1,000 watts working for one hour. The amount of electricity a power plant generates or a customer uses over a period of time is measured in kilowatt-hours (kWh).

- 101 -

PRICE Electricity rates are set through a process called a General Rate Application. The Application is prepared by the Corporation and is considered and approved with or without amendments by the Public Utilities Board. The process of preparing and filing the Application involves considerable community and customer participation. Most communities are supplied with electricity which is generated using diesel fuel. The fuel cost represents about 33% of the total cost and is directly determined by world oil prices. The cost of operating and maintaining the generating power plant and the distribution system adds a further 47%. These are the major costs and because most communities have a small customer base there is little opportunity to drive costs down through economy of scale. Therefore the combination of the high fuel and operating expense, with high costs of facilities and fewer customers to share the costs, makes the cost of electricity higher and reverse is also true..

- 102 -

PLACE

To solve the problem of sending electricity over long distances, William Stanley developed a device called a transformer. The transformer allowed electricity to be efficiently transmitted over long distances. This made it possible to supply electricity to homes and businesses located far from the electric generating plant. The electricity produced by a generator travels along cables to a transformer, which changes electricity from low voltage to high voltage. Electricity can be moved long distances more efficiently using high voltage. Transmission lines are used to carry the electricity to a substation. Substations have transformers that change the high voltage electricity into lower voltage electricity. From the substation, distribution lines carry the electricity to homes, offices and factories, which require low voltage electricity.

- 103 -

Power market structure

- 104 -

MARKETING ENVIRONMENT 1) THE DEMOGRAPHIC ENVIRONMENT * WORLDWIDE POPULATION GROWTH The world population is showing explosive growth: It totaled 6.1 billion in 2000 and will exceed 7.9 billion by the year 2025. It will effect directly on the demand of electricity. As the population increases the consumption of power supplied by companies also swelled up.

2) ECONOMIC ENVIRONMENT * DIESEL FUEL: Prices have increased dramatically, as high as 75%. This is causing major rate pressures in communities that rely on diesel for their generation. NTPC has worked to minimize this impact to the extent possible (see sidebar); however, in many of the communities served by NTPC, similar to other remote parts of Canada, there are no practical alternatives to generating power with diesel fuel.

*

INCREASED

REGULATION

AND

TIGHT

LABOUR

AND

CONTRACTOR MARKETS: Safety, environment, human rights, access to information and fuel facility standards are just some of the areas where regulation has grown since the last rate application. Responding to changes in regulation requires both human and financial resources and NTPC’s 2006/08 rate application includes resources to help it meet its obligations under the new regulation regimes. Markets for labour are extremely tight today, with wages for skilled workers (and now contractors) at unprecedented levels. This reflects the labour markets in Alberta and BC for skilled workers for the oil patch and Olympics, as well as utility competition for workers such as line trades. As a recent example, - 105 -

one utility in Canada has a national line trades recruiting program underway, including major g bonuses. With respect to contractors, NTPC in many cases now has difficulty soliciting sufficient bids for many projects, and bids often contain constraints on timing or pricing that were unheard of until recent years.

3) NATURAL ENVIRONMENT * FUEL SUPPLY UNCERTAINTY The most significant issue is uncertainty about the availability of natural gas for electricity generation. Renewable energy sources and distributed generation, whilst making a contribution, are unlikely to obviate the need

for

additional

thermal

power

generating

plant

and

its

accompanying fuel requirements. Fossil fuels will be required to operate the thermal power plant needed to: Augment hydropower production during dry periods (hydro firming, particularly in late summer/autumn);

- 106 -

- 107 -

LAY OUT PLAN OF F&A RECORD ROOM A-18 A-17 A-16 A-15 A-14 A-13 A-12 A-11 R-27 R-26 R-25

A-19 R-22 R-21 R-20 R-19 R-18 R-17

A-20

R-23

R-12

R-13 R-14 R-15 R-16

A-21

A-10 A-9

R-24

A-22

R-1

R-11 R-10

R-2

R-3

R-9

R-8

R-7

R-4

R-5

R-6

A-23

A-8 A-7

A-24 A-25 A-26

A-1

- 108 -

A-2

A-3

A-4

A-5

A-6

- 109 -

ORGANIZATIONAL CHART

Mr. S K DAS, Chief Finance Manager

Mr. MVVS Prasad Sr. Manager

Mr.S.J.Patel Asst. Acct

Mr.B.Z.Patel Asst.Acct

Mr. Garde Manager finance

Mr.U.Chudhrary Dy.Manager

Mr.Jagdish Asst.Acct

- 110 -

Mr. Prabhakar Goal F.O. Books, Cash & Bank

Bhatt Mr.H.R. Asst. Acct

Mr.B.C.Joshi Asst.Acct

RATIO Classification of Ratios: A) Liquidity Ratios 1) Current Ratio: This Ratio shows short term financial soundness of the business. A higher ratio means better capacity to meet its current obligations. The ideal current ratio is 2:1. In case it is very high it shows the idealness of firms.

=

Current assets Current liabilities

=

Inventories + Sundry Debts + Cash & Bank Balance +Other Current Assets + Loans & advances Current Liab. + Provisions

- 111 -

=

25102 + 12523 + 133146 + 10580 + 40476 54221 + 16042

=

221827 70263

=

3.157: 1

2) Liquid Ratio: This liquid ratio is a fairly stringent measure of liquidity. it is based on those current assets which are highly liquid. Quick ratio of 1:1 is considered as ideal. Higher the quick ratio betters the short term financial position. =

Liquid Asset Current Liab.

=

Current Assets – Inventory – pre-paid expenses Current Liab.

=

221827 – 25102 70263

=

196725 70263

=

2.8: 1 - 112 -

B) Solvency Ratio:

1) Debt-equity Ratio: This ratio judges the long term financial position and soundness of the long term financial policies of the firm. In general lower the Debt-equity Ratio higher the degree of protection enjoyed by the lenders.

=

Long Term Loan Shareholder Fund

=

Secured Loans + Unsecured Loans Capital + reserves & surplus

=

68229 + 176615 82455 + 403513

=

244844 / 485968

=

0.504: 1

2) Total assets to Debt Ratio: This Ratio measures the safety margin available to the suppliers of long term debts. It measures the extent to which debt is being covered by assets.

=

Total Assets Long Term Debts

=

737380 / 244844

=

3.012: 1 - 113 -

C) Turnover Ratio: 1) Stock Turnover ratio: This ratio measures how fast the stock is moving through the firm and generating sales. Higher the ratio, the more efficient management of inventories and vice-versa. =

Cost of Goods Sold

Average Stock =

Purchases + Opening Stock – Closing Stock (Opening Stock + Closing Stock) / 2

=

198181 + 23405 – 25102 (23405 + 25102) / 2

=

196484 24253.5

=

8.101 Times

2) Working Capital Turnover Ratio: This ratio shows the number of times the working capital has been employed in the process of carrying on of business. Higher the ratio better the efficiency in the utilization of working capital. =

Sales Working Capital

=

325952 221827 – 70263

=

325952 / 151564

=

2.15 Times

D) Profitability Ratio: i. Gross Profit: This ratio indicates the relationship between gross profit and net sales. Higher ratio, low cost of good sold. =

Gross Profit * 100 Net Sales - 114 -

=

(325952 – 198181) * 100 325952

=

127771*100 / 325952

=

39.20 %

2) Net Profit Ratio: This ration indicates the overall efficiency of the business. Higher the net profit ratio, better the business. =

Net Profit *100 Net Sales

=

68647 * 100 325952

=

21.06 %

BUDGETING: There are three types of budgets NTPC use to prepare: 1) Direct Capital Outlay (DOC) / Construction / Capital Budget 2) Miscellaneous Bought out Assets (MBOA) Budget 3) Operation and Maintenance (O&M) Budget

1) CAPITAL BUDGET: The sum established by the owner as available for construction of the project, including contingencies for bidding to contractors and - 115 -

for changes during construction. Those investments which give us the benefits for 10 – 15 years are taken into consideration.

2)

MISCELLANEOUS

BOUGHT

OUT

ASSETS

(MBOA)

BUDGET: The nature of this budget is also capital but the duration of time is different from that. Those assets which have considerably frequent purchases and have 2 – 4 years life time are taken. EX. •

Air conditioner

•

Computer

•

Benches

•

Vehicles

3)

OPERATION AND MAINTENANCE BUDGET (O&M): Annual budget for activities related to controlling,

operating, managing and maintaining the sewer system. Those expenses which are recurring in nature are taken into this budget. EX. •

Employee cost

•

Training

•

Repair & Maintenance

•

Security charges

•

Power charges

•

Insurance from all Dept.

•

Chemical & water from Chemistry Dept.

- 116 -

- 117 -

Working at NTPC was a unique experience. The help provided by each and every person on every level was very appreciable. NTPC is having structured grading system. Candidates are put in specific grade based on qualification and experience. This decrease dissatisfaction as people having same qualification and experience are in to the same grade and structure which is common reason of dissatisfaction and turnover in most organization. During my training of 2 months, I have learnt all the aspects of all the departments of NTPC very clearly. This experience has certainly helped me in complementing my theoretical knowledge with a practical learning and ensures me a smooth transition into the professional world once I finish my post graduation. I would like to thank everyone for this experience.

BIBLIOGRAPHY:

- Personal interview:For Production Mgmt.:

Mr. K.L. Meena

For HR Mgmt.:

Mr. Akhil Pattnaik

For Marketing Dept.:

Mr. S.R. Singh

For Finance Dept.:

Mr. Prabhakar Goel - 118 -

-

www.ntpc.co.in

-

www.pmintpc.com

- www.wikipedia.com

Annexure:

Dear Respondent, We are the student of Department of B.B.A (Bachelor of business istration); Vivekanand College for B.B.A, Surat is conducting a summer training of for main department. We rest assure you that the information given by you will be used purely for academic purpose only and will not be misused and will be kept strictly confidential. This is our research project with an educational value so we seek your kind in spacing your valuable time to given us this information.

- 119 -

Thanking you

- 120 -

ACCOLADES FOR EXCELLENCE- ZERO ACCIDENT

Received Certificate of Appreciation By Gujarat Safety Council & Directorate of Industrial Safety & Health For “ZERO ACCIDENT” for the year 2005 On 15 Dec-06

- 121 -

ACCOLADES FOR EXCELLENCE

Won

CII

BE

Award

“Commendation

Commitment to Excel 2005”

- 122 -

for

Strong

Won

CII

BE

Commitment

Award

“Commendation

to

Excel

- 123 -

for

Strong 2007

- 124 -