Steel Authority of India


Steel Authority of India Limited is an Indian state-owned steel making company based in New Delhi, India. It is a public sector undertaking, owned and operated by the Government of India with an annual turnover of INR 66,267 Crore for fiscal year 2018-19. Incorporated on 24 January 1974, SAIL has 68,742 employees. With an annual production of 16.30 million metric tons, SAIL is the 20th largest steel producer in the world and the 3rd largest in India. The Hot Metal production capacity of the company will further increase and is expected to reach a level of 50 million tonnes per annum by 2025. Sri Anil Kumar Chaudhary is the current Chairman of SAIL.
SAIL operates and owns 5 integrated steel plants at Bhilai, Rourkela, Durgapur, Bokaro and Burnpur and 3 special steel plants at Salem, Durgapur and Bhadravathi. It also owns a Ferro Alloy plant at Chandrapur. As a part of its global ambition, the company is undergoing a massive expansion and modernisation programme involving upgrading and building new facilities with emphasis on state of the art green technology. According to a recent survey, SAIL is one of India's fastest growing Public Sector Units. Besides, it has R&D centre for Iron & Steel, centre for Engineering in Ranchi, Jharkhand.

History

1959–1973

SAIL traces its origin to the Hindustan Steel Limited which was set up on 19 January 1954. HSL was initially designed to manage only one plant that was coming up at Rourkela.
For Bhilai and Durgapur Steel Plants, the preliminary work was done by the Iron and Steel Ministry. From April 1957, the supervision and control of these two steel plants were also transferred to Hindustan Steel. The registered office was originally in New Delhi. It moved to Calcutta in July 1956, and ultimately to Ranchi in December 1959.
A new steel company, Bokaro Steel Limited, was incorporated on 29 January 1964 to construct and operate the steel plant at Bokaro. The 1 MT phases of Bhilai and Rourkela Steel Plants were completed by the end of December 1961. The 1 MT phase of Durgapur Steel Plant was completed in January 1962 after commissioning of the Wheel and Axle plant. The crude steel production of HSL went up from 1.58 MT to 1.6 MT. The second phase of Bhilai Steel Plant was completed in September 1967 after commissioning of the Wire Rod Mill. The last unit of the 1.8 MT phase of Rourkela – the Tandem Mill – was commissioned in February 1968, and the 1.6 MT stage of Durgapur Steel Plant was completed in August 1969 after commissioning of the Furnace in SMS. Thus, with the completion of the 2.5 MT stage at Bhilai, 1.8 MT at Rourkela and 1.6 MT at Durgapur, the total crude steel production capacity of HSL was raised to 3.7 MT in 1968–69 and subsequently to 4 MT in 1972–73. IISCO was taken over as a subsidiary in 1978 and later merged in 2006.

Holding Company

The Ministry of Steel and Mines drafted a policy statement to evolve a new model for managing industry. The policy statement was presented to the Parliament on 2 December 1972. On this basis the concept of creating a holding company to manage inputs and outputs under one roof was mooted. This led to the formation of The Steel Authority of India Ltd. The company, incorporated on 24 January 1973 with an authorised capital of, was made responsible for managing five integrated steel Plants at Bhilai, Bokaro, Durgapur, Rourkela and Burnpur, the Alloy Steel Plant and the Salem Steel Plant. In 1978 SAIL was restructured as an operating Company.
See since 1954.

Major Units

SAIL Integrated Steel Plants
  1. Rourkela Steel Plant in Odisha set up with German collaboration
  2. Bhilai Steel Plant in Chhattisgarh set up with Soviet collaboration
  3. Durgapur Steel Plant at Durgapur, West Bengal set up with British collaboration
  4. Bokaro Steel Plant in Jharkhand set up with Soviet collaboration
  5. IISCO Steel Plant at Burnpur in Asansol, West Bengal
Special Steel Plants
  1. Alloy Steel Plant, Durgapur, West Bengal supplies to the Indian Ordnance Factories
  2. Salem Steel Plant, Maramangalathupatti, at Salem, Tamil Nadu
  3. Visvesvaraya Iron and Steel Limited, at Bhadravathi, Karnataka
Ferro Alloy Plant
  1. Chandrapur Ferro Alloy Plant in Maharashtra
Refractory Plants - SAIL Refractory Unit
  1. SAIL Refractory Unit, Bhandaridah in Jharkhand
  2. SAIL Refractory Unit, Bhilai in Chhattisgarh
  3. SAIL Refractory Unit, IFICO, Ramgarh in Jharkhand
  4. SAIL Refractory Unit, Ranchi Road in Jharkhand

    Central Units

  5. Central Marketing Organisation
  6. Centre for Engineering and Technology
  7. Research and Development Centre for Iron and Steel
  8. SAIL Consultancy Organisation
  9. Environment Management Division
  10. Management Training Institute, Ranchi

    Joint ventures

NTPC SAIL Power Company Limited (NSPCL)

A 50:50 joint venture between Steel Authority of India Ltd. and National Thermal Power Corporation Ltd.. It manages the captive power plants at Rourkela, Durgapur and Bhilai with a combined capacity of 314 MW. It has installed additional capacity by implementation of 500 MW power plant at Bhilai. The commercial generation of Unit 1 commenced in April 2009 and the Unit 2 in October 2009.
During FY2013-14, NSPCL generated 6156.091 MU of electricity with a PLF of 86.33%

Bokaro Power Supply Company Pvt. Ltd. (BPSCL)

Established in 2001, A 50:50 joint venture between Steel Authority of India Ltd. ' and Damodar Valley Corporation ' and is engaged in power and steam generation and supplies power and steam to SAIL's Bokaro Steel Plant located at Bokaro for meeting the process requirement of BSL.
The plant has 9 boilers and 7 turbine generators, 2 TGs each of 55MW capacity, 3 TGs each of 60 MW capacity and one 36 MW back Pressure Turbine Generator. Gg
TPPBOILERCAPACITYDATE OF COMMISSIONINGMAKETYPE
TPP122017.04.1972Kransy Kotelsic, RussiaTπ-156
TPP222014.07.1972Kransy Kotelsic, RussiaTπ-156
TPP322006.04.1974Kransy Kotelsic, RussiaTπ-156
TPP422015.07.1980Kransy Kotelsic, RussiaTπ-156
TPP522023.06.1980Kransy Kotelsic, RussiaTπ-156
TOTAL1100
CPP626014.11.1985Rafaco, PolandOPG-260
CPP726030.07.1988Rafaco, PolandOPG-260
CPP826019.02.1989Rafaco, PolandOPG-260
TOTAL780
UNIT 9930002.09.2014Alstom IndiaPCSM00 6071
TOTAL2180

Mjunction services limited

Mjunction services limited operating in Information Technology and the Internet, is a 50:50 venture promoted by SAIL and TATA Steel. Founded in February 2001, it is today not only India's largest eCommerce company but also runs the world's largest eMarketplace for steel.

Bhilai JP Cement Ltd

SAIL has incorporated a joint venture company with M/s Jaiprakash Associates Ltd to set up a 2.2 MT slag based cement plant at Bhilai. The company shall commence cement production at Bhilai by March'2010, whereas clinker production at Satna shall start within 2009.

Bokaro JP Cement Ltd

SAIL has incorporated another joint venture company with M/s JaiPrakash Associates Ltd to set up a 2.1 MT cement plant at Bokaro utilising slag from BSL. The project implementation is under progress with commencement of cement production likely by July 2011. Bokaro Jaypee cement plant opening ceremony was held by the chief minister of Jharkhand shri. Arjun Munda in 2012.

SAIL&MOIL Ferro Alloys (Pvt.) Limited

SAIL has incorporated a joint venture company with Manganese Ore Ltd on 50:50 basis to produce ferro-manganese and silico-manganese required for production of steel.

S&T Mining Company Pvt. Ltd

SAIL has incorporated a joint venture company with TATA Steel for joint acquisition and development of coal blocks/mines. New indigenous opportunities for coking coal development are being explored by the joint venture company for securing coking coal supplies.

International Coal Ventures Pvt. Limited

International Coal Ventures Private Limited is a special purpose vehicle set up to achieve the target of making steel PSUs self-reliant in the area of coking coal, a joint venture company has been incorporated composed of five central PSU companies i.e. SAIL, Rashtriya Ispat Nigam Limited, Coal India Limited and other target countries.

Development of Hajigak iron ore mines in Afghanistan

A consortium comprising state-owned NMDC and RINL and private sector steel players—JSW, JSW Ispat, Jindal Steel and Power, and Monnet Ispat and Energy and led by SAIL, plan to invest USD 75 million in first phase for the development of Hajigak iron ore mines in Afghanistan. The consortium, in November 2011, had won the mining rights for three iron ore mines which are said to contain 1.28 billion tonnes of rich reserves.

Development of mines through outsourcing

SAIL has decided to outsource development of two virgin iron ore mines at Rowghat in Chhattisgarh and Chiria in Jharkhand with an annual capacity of 14 and 15 million tonnes, respectively. The development of each mine is likely to cost between –.

SAIL SCL Limited

A 50:50 JV with Government of Kerala where SAIL has management control to revive the existing facilities at Steel Complex Ltd, Calicut and also to set up, develop and manage a TMT rolling mill of 65,000 MT capacity along with balancing facilities and auxiliaries.

International Coal Ventures Private Limited

ICVL is a joint venture of five companies owned by the Indian government. Aside from Steel Authority of India Limited, the other venturers are Coal India, Rashtriya Ispat Nigam, National Minerals Development Corporation and National Thermal Power Corporation. ICVL acquired a 65 percent stake in the Benga coal mine from the Rio Tinto Group in July 2014.

SAIL RITES Bengal Alloy Casting Pvt. Limited

SAIL has signed a 50:50 joint venture with Burn Standard Company Limited for setting up a wagon components manufacturing facility at Jellingham in West Bengal's Purba Medinipur district. The total investment for this project would be in West Bengal, and commercial production would begin from 2014. It will manufacture, sell, market, distribute and export railway wagons, including high-end specialised wagons, wagon prototypes, fabricated components/parts of railway vehicles, rehabilitation of industrial locomotives, etc., for the domestic market.

Ownership and management

The Government of India owns about 75% of SAIL's equity and retains voting control of the company. However, SAIL, by virtue of its Maharatna status in May 2010, enjoys significant operational and financial autonomy.
Mr. Anil Kumar Chaudhary is the current chairman. He succeeded Shri Saraswati Prasad.

Operations

As of 31 March 2015, SAIL has 93,352 employees, as compared to 170,368. There has been a continuous reduction of headcount over the past few years due to enhanced productivity and rationalised manpower.
The total requirement of its main raw material, iron ore, is met through its captive mines. To meet its growing requirement, capacities of existing iron ore mines are being expanded and new iron ore mines are being developed. In addition, new iron ore deposits in the states of Rajasthan, Chhattisgarh, Madhya Pradesh, Maharashtra, Odisha and Karnataka are being explored. Around 24% of its coking coal
requirements are met from domestic sources, the remaining through imports. For improving coking coal security, the company is also making efforts for development of new coking coal blocks at Tasra and Sitanalla.
SAIL produced 13.9 million tonnes of crude steel by operating at 103% of its installed capacity, which is an increase of 1% over the previous year. It also generated 710 MW of electricity during FY2014-15.
-SAIL, a Public Sector Undertaking is India’s largest steel producer with around 15 MT of hot metal production & 14 MT of Crude steel. With an annual turnover of Rs 49,180 crore in FY 2016-17, the company is among the seven Maharatnas of the country's Central Public Sector Enterprises. It has five integrated steel plants at Bhilai, Durgapur, Rourkela, Bokaro & Burnpur ; three special steel plants at Salem, Durgapur and Bhadravati. It has separate units engaged in Research & Development, Engineering & Technology, Consultancy, Environment Management, Coal Supply, Logistics & Management Training.

Achievements

Source:
Of the 33 Prime Minister's Shram Awards announced for 2010 by the Ministry of Labour, Government of India,17 of which went to PSUs, SAIL employees won 11 awards. Of the total number of 76 awardees for the year, 45 belong to SAIL – a remarkable distinction for any organisation.
Maharatna SAIL has received the prestigious Golden Peacock Environment Management Award for the year 2011. The award, in recognition of SAIL's initiatives and achievements in the field of environment management, was presented by Union Minister for Home Affairs Shri P. Chidambaram on 24 June 2011
74 of a total of 128 awardees who have won the prestigious Vishwakarma Rashtriya Puraskar are from SAIL. The 15 out of 28 awards won by SAIL went to our 74 employees for the performance year 2008. Bhilai Steel Plant won 7 such awards involving 36 employees, Bokaro Steel Plant won 6 awards involving 29 employees. Durgapur Steel Plant
and Salem Steel Plant both won 1 award each involving five and four employees respectively. SAIL employees have won 4 out of 5 awards of Class A, which is the highest number of A Class awards won by any PSU in India.

Future Plans

SAIL is in the process of modernising and expanding its production units, raw material resources and other facilities to maintain its dominant position in the Indian steel market. The aim is to increase the production capacity from the base level production of 14.6 MT per annum to 26.2 MT per annum of hot metal.
The following table shows the increased production of various items prior to and post expansion.
On 25 May 2012, Steel Authority of India Limited entered into a Memorandum of Understanding with the Government of West Bengal and Burn Standard Company Ltd. for setting up of a Railway Wagon factory of approximately. This project will create an approximate 75,300 jobs.
The company also looking to establish one full capacity integrated plant in Andhra Pradesh or Telangana and surveying the possibilities to set up the plant. The plant, which was proposed to be the first steel plant of such scale in the state, was estimated to get an investment of Rs. 4,400 crore.