THE MINISTER OF STATE FOR MINES & MINERALS (SMT. RITA VERMA)
(a) & (b): Draglines designed and manufactured by M/s.
Bucyrus, U.K. have been supplied by M/s. HEC. NCL is
procuring spares both from Bucyrus and HEC. The critical
spares originally manufactured by Bucyrus are being
procured from them directly. The two draglines which
were received during 1981-82 had indigenous components of
less than 10 percent. The draglines received
subsequently had indigenous components progressively
increasing up to 72 percent. The performance of the first
lot of draglines received with higher percentage of
imported components was better compared to draglines with
higher percentage of indigenous components. The critical
items of the draglines, therefore had to be imported from the OEM M/s. bucyrus
due to poor performance of the indigenously
developed/manufactured spares supplied by HEC in order to
improve the reliability of the dragline and also to
minimise the down time of the dragline. As the down time
cost particularly for the dragline is very high.
(c): In December, 1997 HEC offered a proposal to
undertake refurbishment of draglines in collaboration
with OEM M/s. bucyrus indicating that they had entered
into an MOU with M/s. Bucyrus to refurbish the draglines
based on a joint working proposal to be drawn up by M/s.
Bucyrus Europe Ltd., U.K. and HEC. NCL board of
directors approved this arrangement for refurbishment of
draglines by M/s. Bucyrus/HEC. Subsequently HEC vide
their letter dated 17-02-1998 withdrew the aforesaid
offer. M/s. bucyrus also intimated that the MOU with
M/s. HEC has expired in February, 98 and has not been
renewed. As per the decision taken in the review meeting
of NCL by the Ministry of Coal on 23-12-1997, NCL was to
take up rehabilitation of equipment where possible in the
form of life extension programme with the help of
original equipment manufactures. The OEM M/s Bucyrus
was invited to submit their offers for refurbishment of
the draglines in August, 1998. Their offer (including
technical & service facilities by BEML, their
manufacturing partner in India and a public sector
undertaking of Government of India) was subsequently
approved by NCL board. M/s. HEC of their own sent out a
letter in September, 1998 indicating that HEC is prepared
to undertake the job at a price 5% lower than any other
bidder. No techno-commercial offer was submitted by
them. Since their collaboration agreement with OEM M/s.
Bucyrus had expired and HEC did not have any commitment
for technical upgradation, their letter was considered
as an un-solicited and un-qualified one.
(d): The quality of spares manufactured and supplied by
HEChas been very disappointing. This is evident from the
fact that the life of spares manufactured and supplied by
HEC is much less than that of imported spares
manufactured and supplied by M/s. Bucyrus. Performance
of imported spares manufactured and supplied by M/s.
Bucyrus is 150% to 1600% higher than those manufactured
by HEC. Further, there is a case of premature failure of
rails and rollers of 20/90 dragline at Nigahi procured
from HEC at a cost of more than Rs. one crore against
commitment of guaranteed life of 30,000 hours. The rail
failed after 1195 hours only. The latest dragline
supplied by HEC. i.e. ‘ JWALA’ dragline which has more
than 70% indigenously manufactured components was
erected, put on trial on 17-10-1999 and finally
commissioned on 15-01-2000. The dragline continues to
give troubles frequently because of the failures of
various items manufactured by HEC. In spite of the
failures as stated above, NCL is continuing to place
orders on M/s. HEC for supply of spares of non critical
nature regularly. Details of orders placed on HEC during
the last four years and in the current year is given at
Annexure ‘A’.
(e): Yes, the Minister of Industry has through a D.O.
letter requested the Minister of Mines & Minerals to
extend their support to HEC by favouring it with orders
from Companies under its command.
(f): The reference has been forwarded to Coal Companies.
Annexure-A
Annexure refer to in reply to part (d) of Lok Sabha Unstarred Q.No. 6127 for 5-5-2000.
ORDER PLACED ON HEC BY NCL FROM APRIL 95 TO APRIL 2000.
(Value in Rs.)
Sl. Name of 1995-96 1996-97 1997-98 1998-99 99-2000
No. Project (Till April 2000)
1 HQ 21609959.00 83255356.00 42984006.00 76352338.00 33427865.00
2 JHINGURDAH 5861688.00 858797.00 1469605.00 1208000.00 0.00
3 BINA 3761517.00 3695152.00 6006794.00 10832830.00 2809950.00
4 KAKRI 0.00 0.00 0.00 568759.00 594860.00
5 KHADIA 37859800.00 6584684.00 3933575.00 4073857.00 3984953.00
6 JAYANT 1758780.00 6080148.00 22347330.00 7730839.00 5962820.00
7 DUDHICHUA 0.00 0.00 1522750.00 1841330.00 292474.00
8 NIGAHI 0.00 1016124.00 1147440.00 0.00 0.00
9 AMLOHRI 0.00 83200.00 897208.00 273680.00 2374135.00
10 GORBI-B 0.00 468520.00 1125734.00 0.00 0.00
TOTAL 70851744.00 102041981.00 81434442.00 102881633.00 49447057.00
In addition, NCL has given an additional amount of Rs.3 crores as advance to M/s HEC to meet its financial crisis.
