Effective leadership of chief executive officer, P K Singh made Bokaro Steel Plant overcome from bad phase
In compare to the production of 3.41 million tonnes hot metal in 2016-17, BSL has achieved 4.05 million tonne hot metal in 2017-18. Similarly production of saleable steel increased to 3.50 million tonnes in 2017-18 from the previous year 3.37 million tonne in 2016-17.
By D K
Bokaro: Loss making Bokaro Steel Plant (BSL) has made a turnaround with rise in its production, and is expected to make profit in the financial year 2017-18. Concerted efforts at all levels under leadership of CEO, BSL, P K Singh have yielded encouraging results. There is a huge improvement in BSL’s overall performance. Against all odds, the BSL’s performance surpassed the achievement of past 10 years.
BSL production keeps huge importance in country steel market as it contributes one-third of the overall production of Steel Authourity of India Limited (SAIL). BSL is a unit of SAIL that keeps a lion share in domestic steel market.
BSL was facing loss since past four years due to worldwide recession in steel market and other internal and external factors. BSL performance had also affected SAIL’s profit. For the turnaround, SAIL and BSL management had adopted several new strategies which bore positive results. SAIL was more focused on improving BSL’s performance assessing its potential. The steel major had joined hands with consultants which come with action plans, awareness and approach for its revival. Chief of communication, BSL, Manikant Dhan said
“the financial year 2017-18 turned out to be a year of achievements. There was a significant improvement in parameters of productivity, techno-economic indices, and profitability in most of the areas of operation for BSL. Our Steel Melting Shop-2 registered best ever annual production of 32.76 Lakh Tonnes of Crude Steel”.
The transformation journey of BSL to attain better production and profitability in both short term and long term was not so easy. There was fire tragedy, rising coal price and other technical problems that affected its production and profitability. But BSL overcome the phase with cost control, improving techno-economic parameters and taking up other transformation initiatives.
BSL took very small-small steps like departments were made to implement cost control initiatives. CEO alongwith executive directors, general managers massively interacted with employees and asked them to improve production, reduce inventory and minimize delay. In areas of maintenance, thrust was given on better system for maintaining equipment and optimizing downtime. This also bag positive result. With consistent improvements in performance, casting of maximum number of 45 heats in a day was accomplished by Continuous Casting Shop.
Fourth Blast Furnace was started during August in 2017 which helped BSL reach different targets of production. Dhan said, Sinter Plant which caters sinter requirements of Blast Furnaces for production of Hot Metal also surpassed its best production.
“Against the earlier recorded best production of 50.62 Lakh tonnes sinter in 10 years, BSL during 2017-18 produced 56.07 Lakh tonnes of sinter which is remarkable. Saleable steel production also crossed the best production during ten years and produced 35.56 Lakh tonnes of saleable steel. Despite several operational constraints, Hot Strip Mill made 35.56 Lakh Tonnes of HR Coil which is also the best in last ten years,” said Dhan.
Techno-economic parameters viz blast furnace productivity, coke rate, energy consumption, water consumption, refractory consumption also exhibited commendable operational discipline and added to profitability. With record lining life of 5796 heats Converter-1 of SMS II advanced towards excellence in operating practices. As a result, Shell Change of Converter-2 of SMS-II was completed in record time of 36 days. Since the beginning of this financial year, scheduled projects and schemes like commissioning of ID fans in both the converters of SMS-II, revamped reheating furnace in Hot Strip Mill, Sulphuric Acid Plant in CO and BPP, starting production from Rebuilt Battery-7 augmented the capacity of the departments concerned and the plant as well.
With the approach to conserve water and check water pollution, zero- discharge project was started in Outfall-1B of the plant. BSL faces huge losses in 2015-16 and 2016-17. It is mentioned that BSL was observing steep fall in its profit since 2009. In 2013-14 BSL profit decreased to Rs 202 crores which was Rs 308 crores in 2012-13. It was more than half a less of what BSL earned Rs 703 crores in 2011-12. Earlier to it, BSL had earned profit of Rs 1260 crores in 2010-11 and Rs 2085 crores in 2009-10.