PRE-FEASIBILITY REPORT

Of

GREEN FIELD CEMENT PLANT

PRODUCTION CAPACITIES OF

3.15 MILLION TPA CLINKER

2.0 MILLION TPA CEMENT PLANT

50 MW COAL BASED CAPTIVE THERMAL POWER PLANT

AT
ITIKYALA AND KOLIMIGUNDLA VILLAGES OF
KOLIMIGUNDLA MANDAL, KURNOOL DISTRICT,
ANDHRA PRADESH

BY

THE RAMCO CEMENTS LIMITED

 Table of Contents

1. Executive summary
2. Introduction of the project/ Background information
3 Project Description
4 Site Analysis
5. Planning Brief
6 Proposed Infrastructure
7. Rehabilitation and Resettlement (R & R) Plan
8. Project Schedule & Cost Estimates
9. Analysis of Proposal (Final Recommendations)
1.0 EXECUTIVE SUMMARY

THE RAMCO CEMENTS LIMITED (RCL) (formerly Madras Cements

Ltd.,) is the flagship company of RAMCO group whose diversified
industrial ventures cover wide span of industries, which include
manufacture of Cement, Ready Mix concrete, Research &
Development, Textiles, Cotton yarns, Information technology, Asbestos
sheets, Surgical cotton, Windmill farms, Thermal power plants, Bio-
Technology etc.,

The cement production capacity is 18 Million Tonne Per Annum

(MTPA). The company is the sixth largest cement producer in the
country and the second largest in South India. The company is having
cement plants at following locations:

 Ramasamy Raja Nagar (RR Nagar) near Virudhunagar, Tamil Nadu

(establishment in Year 1959), now with a production capacity of
2.0 MTPA.
 Jayanthipuram (KSR Nagar) near Jaggaiahpet, Krishna Dist.,
Andhra Pradesh (established in the Year 1986), now with a
production capacity of 3.65 MTPA.
 Alathiyur near Viridhachalam, Tamil Nadu (established in Year
2002), now with a production capacity of 3.0 MTPA.
 Mathodu near Chithradurga, Karnataka: 0.3 MTPA (since Year
2000) and expanded to 0.8 MTPA.
 Ariyalur : 5.0 MTPA capacity Cement Plant established in the year
2008.
 RCL has also set up the Cement Grinding Units near Fly Ash
sources viz. Kattuputtur (0.75 MTPA) near Chennai, Valapadi (2.0
MTPA) near Salem in Tamil Nadu, Kolaghat (0.95 MTPA) in West
Bengal and Gobburupalem (0.95 MTPA) near Anakapalli, AP.

RCL proposes to setup a Greenfield Cement Project of production 3.15

MTPA Clinker and 2.0 MTPA Cement Plant and 50MW (2 X 25 MW)
Coal Based Captive Thermal Power Plant, at Itikyala & Kolimigundla
villages of Kolimigundla Mandal of Kurnool district, Andhra Pradesh.
The limestone requirement of the plant will be 4.5 Million TPA which
will be met from the Captive Limestone Mining Leases located
adjacent. The primary markets of interest for RCL are AP, Karnataka,
Tamilnadu, Odisha, Maharashtra and Kerala.
The cement plant will be located in an area of 202.36 ha.

The principal raw materials are Limestone, iron ore, Coal and
Gypsum. The major raw material, limestone will be met from Captive
limestone mine.

The Captive Limestone mines spread over an area of 1957.36 Ha with

about 386.62 million tonnes of mineable reserves will meet the
limestone requirement for more than 86 years.

Indian Coal, Imported Coal and Pet Coke is required for Cement plant
Coal. Indian coal is sourced from Singareni Collieries Company
Limited (SCCL), and imported coal from South
Africa/Australia/Indonesia & USA. Petcoke will be sourced from
Indian Refineries.

Water requirement of the plant is 5500 m3/day and will be met from
Ground water/canal proposed to be laid by APIIC.

The project is based on Clinkerization factor of 1.5 (Raw meal to

clinker) with specific heat consumption of 720 Kcal/ kg clinker.

No solid waste generation from the plant.

Wastewater generation is only from domestic use and the same is

treated in Sewage Treatment Plant.

There are no wild life sanctuaries, national parks, elephant/tiger

reserves within 10km radius of the study area.

Infrastructure include railway siding, roads, storm water drains with

adequate storage space for clinker and flyash and parking area will be
developed.

Housing Colony with about 400 houses is proposed.

Greenbelt will be developed in about 66.8 Ha.

The total power requirement of the cement plant including colony is

estimated to be about 45 MW which will be met from the proposed 50
MW Coal Based Captive Power Plant.
2 x 1250 KVA DG sets will be installed as standby power supply units.
These DG sets will be operated only when there is a normal power
supply failure.

Plant expected to be commissioned by November 2019.

Total capital Investment Cost is Rs. 1500 crores in 2 phases and Rs.
120 crores will be spent for Environmental Management Plan.

The project exhibits a good Internal Rate of Return of 17.2% on total

Investment. The IRR on equity is calculated to be 13.36 % (after tax).

Various sensitivity analysis indicate reasonable project and cash

break- even percentages. In view of the acceptable level of returns, the
project is financially feasible.
2.0 INTRODUCTION OF THE PROJECT/ BACKGROUND
INFORMATION

(I) IDENTIFICATION OF PROJECT AND PROJECT PROPONENT

THE RAMCO CEMENTS LIMITED (RCL) (formerly MADRAS

CEMENTS LTD.,) is the flagship company of RAMCO group whose
diversified industrial ventures cover wide span of industries, which
include manufacture of Cement, Ready Mix concrete, Research &
Development, Textiles, Cotton Yarns, Information Technology,
Asbestos Sheets, Surgical Cotton, Windmill Farms, Thermal Power
Plants, Bio-Technology etc.,

The cement production capacity is 18 Million Tonne Per Annum

(MTPA). The company is the sixth largest cement producer in the
country and the second largest in South India. The company is having
cement plants at following locations:

 Ramasamy Raja Nagar (RR Nagar) near Virudhunagar, Tamil Nadu

(establishment in Year 1959), now with a production capacity of
2.0 MTPA.
 Jayanthipuram (KSR Nagar) near Jaggaiahpet, Krishna Dist.,
Andhra Pradesh (established in the Year 1986), now with a
production capacity of 3.65 MTPA.
 Alathiyur near Viridhachalam, Tamil Nadu (established in Year
2002), now with a production capacity of 3.0 MTPA.
 Mathodu near Chithradurga, Karnataka: 0.3 MTPA (since Year
2000) and expanded to 0.8 MTPA.
 Ariyalur : 5.0 MTPA capacity Cement Plant established in the year
2008.
 RCL has also set up the Cement Grinding Units near Fly Ash
sources viz. Kattuputtur (0.75 MTPA) near Chennai, Valapadi (2.0
MTPA) near Salem in Tamil Nadu, Kolaghat (0.95 MTPA) in West
Bengal and Gobburupalem (0.95 MTPA) near Anakapalli, AP.

RCL is producing Ordinary Portland Cement (OPC), Portland

Pozzolana Cement (PPC), Portland Slag Cement (PSC) etc. The cement
produced by RCL is marketed in the brand name of ‘RAMCO’. The
brand name RAMCO SUPER GRADE is very popular PPC and RAMCO
SUPER STEEL is the slag cement. RCL, which has always been
striving for Total Quality, possesses International Certificates Quality
 Management System - IS / ISO 9001:2008, Environment Management
System - IS / ISO 14001:2004, Occupational Health & Safety
Management System - IS 18001:2007, Energy Management System -
ISO 50001:2011 and Work Place Management System - 5-S.

(ii) BRIEF DESCRIPTION OF NATURE OF THE PROJECT.

The Ramco Cements Limited (RCL) is now proposed to setup a green

field Integrated Cement Plant with state-of-the-art technology at
Itikyala and Kolimigundla Villages of Kolimigundla Mandal, Kurnool
District, Andhra Pradesh. The production capacity of the proposed
plant will be as follows:

 3.15 MILLION TPA OF CLINKER (IN 2 PHASES)

 2.0 MILLION TPA OF CEMENT
 50 MW (2 X 25 MW) COAL BASED CAPTIVE THERMAL
POWER

To meet the power requirement of the cement plant, RCL proposes to

install a 50 MW (2 x 25 MW) Coal based Thermal Power Plant within
the Cement plant complex.

POWER

The total power requirement of the cement plant including the

requirement of the colony is estimated to be about 45 MW. This
requirement will be met from the proposed 50 MW Coal Based Captive
Power Plant.

2 x 1250 KVA DG sets will be installed as standby power supply units.

These DG sets will be operated only when there is a normal power
supply failure.

(iii) NEED FOR THE PROJECT AND ITS IMPORTANCE TO THE

COUNTRY AND OR REGION

It is expected that, the Cement demand will grow at much higher rate
than the national average. The bulk distribution of cement in the
region is likely to see a high growth due to a number of new Ready Mix
concrete plants and projects. Considering this, RCL proposes to
produce Cement with installation of this new plant.
 Opportunities for the Industry

Though India ranks second in the world in cement production, its per
capita annual consumption is very low. Per capita consumption in
India has grown from a low level of 70 Kg to around 110 kg over the
last 8 years, which is still way behind the world per capita
consumption of 307 Kg (as of 2003). Cement Industry has growth
potential not only within the country but also for exports to the
neighbouring countries. With Indian growth rate rising, the
opportunities for the industry seem to be large.

Cement consumption in the coming years is likely to get a fillip from

Government initiatives for housing and infrastructure:
o State highway development projects being undertaken by some
states
o 10,000 kms of additional highways (25% concrete)
o Rural roads construction
o Housing finance growing by over 25-30% annually
o IT parks and SEZ zones development in proximity to metros

(iv) DEMAND- SUPPLY GAP.

Market demand and projections

Cement growth is expected to be above the GDP growth of the

country, which is expected to be around 8% for the coming years. The
Indian cement Industry is poised for a period of significant growth and
the demand for cement is expected to match the current availability
by the end of the current fiscal. Cement demand has registered a
CAGR of about 8.5% over the last decade. In fact, at the current levels
of growth, the cement industry may have to add over 90 Million Tons
of cement capacity to meet the demand for cement over the next 5
years.

The industry performance during 2009-10 was characterized by

volume growth, stable to better cement prices and favorable demand-
supply balance in certain regions.

Cement companies were operating at levels below capacity in the past

but with the demand and supply reaching equilibrium almost all
plants are working at above 90% capacity. This will improve the
realizations of the industry in the coming year.
(v) IMPORTS Vs INDIGENOUS PRODUCTION

India is self sufficient to meet the demands of the market with the
GDP projected at 10 % in the coming decades and in view of the
infrastructure.

The project proposed is the integrated project and the end product
being cement, the importance of the project is detailed below with
respect to cement demand. No import of limestone is planned

India is self sufficient to meet the demands of the market with the
GDP projected at 10% in the coming decades and in view of the
infrastructure.

i. Export possibility

The project proposed is the integrated project and the end product
being cement, the importance of the project is detailed below with
respect to cement demand. No import is planned.

Since the plant is located in the landlocked area and away from the
coast and the neighbouring countries, the logistic cost involved for
transporting good, it will not be economically viable export of cement.

ii. Domestic / Export markets

The project proposed is the integrated project and the end product
being cement, the importance of the project is detailed below with
respect to cement demand. The entire production is envisaged for the
domestic market.

Employment generation (direct and indirect) due to the project

The project will create the direct employment of 300 People during the
operation phase of the project. During the construction phase, 300
people on daily average will be employed for a period of 18 months.
RCL will give preference to the local people during construction and
operation phase of the project depending upon the skill, job
requirement and capability. Several other indirect employment
opportunities will be created in the surrounding areas. Transport,
business, vehicle drivers and attendants, workshops, grocery and
retails, medical, etc.
3 PROJECT DESCRIPTION.

i. Type of project including interlinked and interdependent projects,

if any.

The proposed project is a cement plant interlinked with the limestone

deposit. RCL has a captive limestone mining leases spread over an
area of 1957.36 Ha from the Government of Andhra Pradesh
Department of Mines and Geology.

The limestone excavated from the mine will be transported by tippers

to the crusher which is situated at plant area. After crushing, the
crushed limestone will be transported through belt conveyors.

The total mineable limestone reserves in the mining lease area are
estimated to be about 386.62 million tonnes.

Location (map showing general location, specific location, and

project boundary & project site layout) with coordinates

Fig – 1 shows the Location map of Plant site

Fig – 2 shows the Key Map of the RCL

Table – 1 gives the salient features of the project site.

Fig – 3 shows the plant layout of the project site.

ii. Details of alternate sites considered and the basis of selecting the
proposed site, particularly the environmental considerations
gone into should be highlighted.

Keeping in view of proximity to the Limestone deposit, the subject

cement plant site has been selected.

Following are the main criteria, considered for locating an integrated

unit/ unit of desired capacity:

The plant is close to limestone deposit.

 TABLE – 1 SALIENT FEATURES OF THE PLANT
Feature Details
Altitude 290 m above msl
15° 2'41.81"N - 15° 3'11.37"N Latitude
Latitude & Longitude
78° 6'0.66"E - 78° 7'11.78"E Longitude
Village, Tehsil, District, Itikyala & Kolimigundla Villages, Kolimigundla
State Mandal, Kurnool District, Andhra Pradesh.
Temp. 0C 6.7 - 45.6
Relative Humidity % 25-77
Annual rainfall 725 mm
IMD Station Kurnool - 87.9 km - N
Nearest water bodies Mada Vagu – 2.9 km – NE
Pedda Vanka – 4.9 km – NW
OWK Reservoir – 12.9 km - NNE
Nearest National Highway The National Highway (NH-18) connecting Kurnool –
Kadapa – 41.7 km – ENE
The National Highway (NH-7) connecting Kurnool –
Anantapur – 44.6 km – WNW
The State Highway (SH-57) connecting Kolimigundla –
Tadipatri – 2.2 km – NNE
Nearest Railway station Tadiptri RS – 20.1 km - SW
Nearest Industries & Ultratech Cements,Tadipatri - 8.3 km –WSW
Plants Ultratech Plant,Pettokota - 5.9 km –WNW
Penna cement ,Boyireddipalli – 8.4 km - SSW
Penna Talaricheruvu Plant – 7.1 km – SSW
Nearest Villages Itikyala – 0.6 km – W
Kolimigundla – 2.0 km – N
Nearest Town Kurnool - 87 km - N
District Head Quarter Kurnool - 87 km - N
Nearest Port Area Krishnapatnam Port – 231 km – SE
Inter State Boundary Telangana - Andhra Pradesh- 87 km – W
Nearest Air port Kadapa – 93.1 km – SE
Nearest Forest Dhodiyam RF – 8.3 km – SE
Dobbudapalle RF – 8.8 km - SE
Historical places None within 10 km radius
* All distances mentioned in the above table are aerial distances.
The site has sufficient undulating land, having good load bearing
capacity to minimize the construction cost, for accommodating plant,
railway siding, development of greenbelt and employees’ colony with
all the amenities prospects for the project capacity plant. Availability
of reliable power supply is envisaged with Captive Power Plant.

Proper connectivity of the unit with roads, rail and reliable transport
network. Proximity to rail head to optimize transporting costs.

iv. Size or magnitude of operation.

Clinker Production capacity of 3.15 Million Tonnes Per Annum (MTPA)

and 2.0 MTPA cement.

v. Project description with process details (a schematic diagram/

flow chart showing the project layout, components of the project
etc. should be given)

State-of-Art technology for manufacturing of the cement will be

adopted. The main features of the process are given hereunder. It is
proposed to install bag-filter system for cleaning of the kiln flue gas
and hence no gas - conditioning tower is envisaged. Various stages of
cement manufacture are given hereunder.
1. Raw material grinding
2. Blending of raw material
3. Coal grinding and handling
4. Preheating of coal in the six stage preheater
5. Pyro processing and calcination in the kiln
6. Clinker cooler and storage
7. Cement grinding & packing

DETAILS OF MAIN EQUIPMENT

Limestone crushing : 1600 TPH

Raw material grinding (VRM) : 2 x 500 TPH
Pyro processing : 2 x 4,500 TPD = 9,000 TPD clinker
Coal Mill (VRM) : 2 x 80 TPH
Cement grinding (Ball mills / : 250 TPH
VRPM / Roller Press)
Packing machines : 2 x 250 TPH
 i. Raw material required along with estimated quantity, likely
source, marketing area of final product/s, mode of transport of
raw material and finished product.

The source and requirement of raw material and fuel are given below
S.N Material Quantity( Source Approx. distance Remarks
o MTPA) Locality from plant ( km)
1 Limestone 4.50 Captive mines Less than 5 km Near to the plant
2. Laterite & 0.27 Veldurthi 300 Laterite is available in
Iron ore surroundings, various localities of
Bellary Kurnool District
4 Gypsum 0.08 Visakhapatnam 500 Chemical grade gypsum
from Vizag Coramandal
Fertilizers
5 Fly Ash 0.30 Rayalaseema 150 Fly ash is being
Thermal Power generated as waste at
Station, ( RTPS) Rayalaseema thermal
Muddanuru power plant.
6 Slag 0.50 JSW, 160 Slag is solid waste
Tornagallu generated at JSW steel
plant.
Coal Mix for cement plant:
7 100 % 0.47 SCCL 300
Indian
Coal
100% 0.38 Imported 280
Imported
Coal
100 % pet 0.30 Reliance 700
coke Refinery
8 Coal Mix 0.42 - -
for
thermal
power
plant

ii. Resource optimization / recycling and reuse envisaged in the

project, if any, should be briefly outlined.

The dust collected in the air pollution control equipment in the

cement plant will be recycled back to the process. No solid waste
which requires disposal is generated from the plant.

Refractory bricks are one of the solid wastes generated from the kiln
section. Due to wear and tear, RCL will replace the refractory bricks
 twice in a year. These bricks will be disposed to outside agencies due
to high recycling value will be disposed to outside agencies.

Solid waste generated from colony and sewage treatment plant will be
disposed after segregating the waste into bio-degradable and non –
degradable. Bio degradable waste will composted and non-degradable
wastes will be land filled at identified areas.

iii. Availability of water its source, energy /power requirement

Total water requirement of the integrated plant is estimated to be

about 5500 m3/day. Water demand will be met from Ground
water/Canal proposed to be laid by APIIC.

The total power requirement of the cement plant including the

requirement of the colony is estimated to be about 45 MW. This
requirement will be met from the proposed 50 MW Coal Based Captive
Power Plant.

2 x 1250 KVA DG sets will be installed as standby power supply units.

These DG sets will be operated only when there is a normal power
supply failure.

iv. Quantity of wastes to be generated (liquid and solid) and scheme

for their management / disposal.

The production of cement will be based on completely dry process;

hence no process waste water will be generated from the plant. Also
the cooling water will be through a closed circuit system. The
wastewater generated from the power plant will be recycled for reuse.
The only waste water generated will be domestic waste water from
residential township and the same will be treated in STP and will be
re-circulated for industrial use and gardening purpose.

v. Schematic representations of the feasibility drawing which give

information of EIA purpose.

Detailed schematic representations of the feasibility covering the

purpose of EIA will be given in the Environmental Impact Assessment
report.
4. SITE ANALYSIS

i. Connectivity

Nearest railway line connecting Nandyal – Proddutur (Yerraguntla) of

South Central Railway line is located at a distance of 24.3 km to ENE
direction from the site.

Nearest railway line connecting Gooty Junction– Kadapa of South

Central Railway line is located at a distance of 20.3 km to SW
direction from the site.

The National Highway (NH-18) connecting Kurnool – Kadapa is located

at a distance of about 41.7 km in ENE direction,

The National Highway (NH-7) connecting Kurnool – Anantapur is

located at a distance of about 44.6 km in WNW direction,

The State Highway (SH-57) connecting Kolimigundla – Tadipatri is

located at a distance of 2.2 km – NNE direction, The nearest railway
station is located at Tadiptri RS which 20.1 km in SW direction.

The nearest railway station is Sanjamala Railway Station (on Nandyal

– Yerraguntla New BG Line) located at 19 km from the plant site. A
loop line is proposed to be laid from this BG Line. An independent
yard will be constructed within the plant premises for handling full
rake load of the material.

ii. Land form, land use and land ownership

The land for setting up the cement plant including railway siding of
RCL works out to about 26.3 Ha.

TOPOGRAPHY (ALONG WITH MAP)

It is an undulating land. Fig – 4 shows the 10 km radius around the

plant site
iii. Existing land use pattern (agriculture, non-agriculture, forest,
water bodies (including area under CRZ), shortest distances from
the periphery of the project to periphery of the forests, national
park, wild life sanctuary, eco sensitive areas, water bodies
(distance from the HFL of the river), CRZ, in case of notified
industrial area, a copy of the Gazette notification should be
given.

Mada vagu is at 2.9 km in NE, Pedda Vanka is at 4.9 km in NW and

Owk Reservoir is at 12.9 km in NNE direction from the plant site.

There are no wild life sanctuaries, national parks, elephant/tiger

reserves within 10 km radius of the study area.

Nearest Settlements from the Plant site

 Itikyala – 0.6 km – W
 Kalvatala – 2.2 km - E
 Kolimigundla – 2.0 km – N

Nearest Reserved Forests from the site

 Dhodiyam RF – 8.3 km – SE
 Dobbudapalle RF – 8.8 km - SE

The nearest industries to the site are

 Ultratech cements - 8.3 km – WSW

 Ultratech Plant - 5.9 km – WNW
 Penna cement - 8.4 km - SSW
 Penna talaricheruvu Plant - 7.1 km – SSW

iv. Existing infrastructure

Land

The land for setting up the cement plant including railway siding
works out to about 163.91 hectares. Residential colony will be setup
in an area of 38.45 ha.
Power

The total power requirement of the cement plant including the

requirement of the colony is estimated to be about 45 MW. This
requirement will be met from the proposed 50 MW Coal Based Captive
Power Plant.

2 x 1250 KVA DG sets will be installed as standby power supply units.

These DG sets will be operated only when there is a normal power
supply failure.

Water

The water requirement for the integrated unit and colony has been
estimated as about 5,500 m3/day. Water is required for equipment
cooling, drinking, sanitation, horticulture, etc.

Water demand will be met from Ground water/Canal proposed to be

laid by APIIC.

Depending upon the quality, water will be treated to remove impurities

and minerals to make it suitable for plant use. A suitably designed
water treatment and chlorination plant will be installed.

Water will be stored in a tank for plant and/or an overhead tank for
drinking purpose. Overhead tanks for process water will be provided
on respective plant buildings. For plant equipment, water will be
recirculated after cooling to avoid any wastage and only losses will be
made up from fresh water. Roof tanks of smaller capacity will be
utilized for storing and supplying water to the non-plant buildings.

Fuel

Coal will be sourced from coal fields of Singareni Colleries Company

Limited (SCCL), a subsidiary company of Coal India Limited. These
collieries are located at a distance of about 300-350 km from the
proposed plant site.

The coal transport to the proposed plant site has been considered by
rail/road.
Airport

The nearest Air Port is at Kadapa in SE at a distance of 93.1 km.

Rail

Nearest railway line connecting Nandyal – Proddutur (Yerraguntla) of

South Central Railway line is located at a distance of 24.3 km to ENE
direction from the site.

Nearest railway line connecting Gooty Junction– Kadapa of South

Central Railway line is located at a distance of 20.3 km to SW
direction from the site.

Rail siding will be laid for transportation of Coal and cement /clinker
out.

Communication

Communication facilities such as telephone, tel-fax and internet are

available in vicinity of the proposed plant site location.

v. Soil Classification

The top soil (1- 6 m thickness) is black in colour, fine to medium

grained.

vi. Climatic data from secondary sources

The tropical climate of the region is manifested in hot and humid

summer, moderately monsoon and mild winter seasons. May is the
hottest month in the year. The maximum temperature during the day
time was recorded as 45.60C and December the coldest with the
temperature during the day time falling down to about 6.70C. The
months of December, January & February are considered to have
pleasant climate.

The rainy season is generally from June to September represented by

South West Monsoon. The rainfall during last year in the subject area
is around 726 mm.
vii. Social infrastructure available

Itikyala is the nearest habitation situated at about 0.6 km on western

side of plant site and is well connected to all major cities by road. All
basic amenities such as school, hospital, market, etc. are available
here. Kurnool is major city and administrative headquarters around
87.9 km from plant site.

A residential colony to provide accommodation for about 400

personnel is proposed in proximity to the plant site. The colony will
have facilities like dispensary, shopping complex, guesthouse etc.
5. Planning Brief

i. Planning concept (type of industries, facilities transportation

etc.,) town and country planning/ development authority
classification.

ii. Population projection

The establishment of the Cement Plant would aid in the overall social
and economic development of the region. The plant and mine will give
employment to about 1300 people (300 direct and 1000 indirect), in
addition there will be indirect employment to many more people, in
the form of contractual jobs, business opportunities, service facilities
etc. The will enhance the economic status.

Apart from the jobs, the company will provide medical and educational
facilities to the employees which can also be availed by the people
around the plant. The company also proposes to construct a full –
fledged colony comprising 400 quarters. Adequate recreational
facilities for the staff of the company and the local people will be
created.

iii. Land use planning ( breakup along with greenbelt etc.,)

The plant will come up in about 202.36 Ha and 33% of the area (68.8
Ha)will be developed for Greenbelt. The areas which can be developed
under greenbelt will be finalized while preparing the EIA Report.

Assessment of infrastructure demand (physical & social)

iv. Amenities / Facilities

All infrastructure facilities such as education, health facilities and

other social facilities are adequate at district headquarter which site
makes the region adequate in amenities.
6. Proposed infrastructure

i. Industrial area ( processing area)

The following are the major equipment proposed

 Raw mill
 Rotary Kiln in conjunction with preheater - precalciner and
grate cooler
 Coal Mill
 Raw meal blending silo- continuous flow
 Clinker silo
 Coal crusher
 Limestone blending stockpile
 Reclaimer
 Stacker
 Gypsum storage- Covered Shed

ii. Residential area ( non-processing area)

Residential colony will be located nearer to the plant with about 400
houses. The Waste water from colony and plant will be treated in the
Sewage Treatment Plants.

iii. Green belt.

Adequate green belt will be developed inside the plant as per statutory
norms, developing 33% of the area. Native species will be planted. The
areas which can be developed under greenbelt will be finalized in the
EIA Report.

iv. Social infrastructure

RCL has well defined CSR policy to Carryout social development and
welfare measures in the surrounding villages. Under CSR activity RCL
will initiate community development projects, in the fields of health,
education and environmental preservation, in the study area around
the plant as is done in their existing other units.
v. Connectivity ( traffic and transportation road / rail/ metro/
water ways etc.,)

Nearest railway line connecting Nandyal – Proddutur (Yerraguntla) of

South Central Railway line is located at a distance of 24.3 km to ENE
direction from the site.

Nearest railway line connecting Gooty Junction– Kadapa of South

Central Railway line is located at a distance of 20.3 km to SW
direction from the site.

The National Highway (NH-18) connecting Kurnool – Kadapa is located

at a distance of about 41.7 km in ENE direction,

The National Highway (NH-7) connecting Kurnool – Anantapur is

located at a distance of about 44.6 km in WNW direction,

The State Highway (SH-57) connecting Kolimigundla – Tadipatri is

located at a distance of 2.2 km – NNE direction, The nearest railway
station is located at Tadiptri RS which 20.1 km in SW direction.

The nearest railway station is Sanjamala Railway Station (on Nandyal

– Yerraguntla New BG Line) located at 19 km from the plant site. A
loop line is proposed to be laid from this BG Line. An independent
yard will be constructed within the plant premises for handling full
rake load of the material.

vi. Drinking water management ( source & supply of water)

The water requirement for the integrated unit and colony has been
estimated as about 5,500 m3/day. Water is required for equipment
cooling, drinking, sanitation, horticulture, etc.

Water demand will be met from Ground water/Canal proposed to be

laid by APIIC.

Depending upon the quality, water will be treated to remove impurities

and minerals to make it suitable for plant use. A suitably designed
water treatment and chlorination plant will be installed.
Water will be stored in a tank for plant and/or an overhead tank for
drinking purpose. Overhead tanks for process water will be provided
on respective plant buildings. For plant equipment, water will be
recirculated after cooling to avoid any wastage and only losses will be
made up from fresh water. Roof tanks of smaller capacity will be
utilized for storing and supplying water to the non-plant buildings.

vii. Sewerage system

A sewage treatment plant will be installed to treat domestic waste

water. Appropriate facilities for the collection will be made.

The treated water quality will be such to allow for its re-use in the
clinker production process (water injection)/Greenbelt development.

viii. Industrial waste management

Cement Plant

The production of cement will be based on completely dry process;

hence no process waste water will be generated from the plant. Also
the cooling water will be through a closed circuit system. The only
waste water generated will be domestic waste water from residential
township and the same will be treated in STP and used for green belt
development.

Hazardous wastes like spent oil from construction equipment, DG sets

etc., generated in small quantities during construction and
operational phase would be appropriately stored & handled and
properly disposed off in accordance with the provisions of the
Hazardous Waste Management Rules, 2010.

ix. Solid waste management

The dust collected in the pollution control equipment will be recycled.

Refractory bricks will be disposed to licensed vendors.

x. Power requirement & supply / source

The total power requirement of the cement plant including the

requirement of the colony is estimated to be about 45 MW. This
 requirement will be met from the proposed 50 MW Coal Based Captive
Power Plant.

2 x 1250 KVA DG sets will be installed as standby power supply units.

These DG sets will be operated only when there is a normal power
supply failure.

7. Rehabilitation and resettlement (R & R) Plan

i. Policy to be adopted (central / state) in respect of the project

affected persons including home oustees, land oustees and
landless labourers (a brief out line to be given).

There will not be any home stead. For land oustees, Andhra Pradesh
State R&R policy will be honoured. However with a direct dialogue
with land owners and the consent of State government, the
compensation will be better than any other policy.

8. Project schedule & Cost Estimates

i. Likely date of start of construction and likely date of

completion.

The plant is scheduled to be on stream by November 2019.

ii. Estimated project cost along with analysis in terms of economic

viability of the project.

Total capital Investment Cost is Rs. 1500 Crores in 2 phases and Rs

120 crores will be spent for Environmental Management Plan.

The estimated investment Cost for the project has been based on the
requirement of fixed and non-fixed assets for both cement plant and
thermal power plant.

The financing of the project has been considered on the basis of

Equity and Term Loans from Financial Institutions. The debt: equity
ratio has been considered as 1: 0.2.
The project exhibits a good Internal Rate of Return of 17.2% on total
Investment. The IRR on equity is calculated to be 13.36 % (after tax).
9. Analysis of proposal (Final Recommendations)

i. Financial and social benefits with special emphasis on the

benefit to the local people including tribal population, if any, in
the area.

No tribals are residing or have lands at the proposed location.

Employment: Preference will be given for locals for employment

based on qualifications & requirement. 300 people will be directly
employed and another 1000 will be indirectly employed.

Medical facilities: Medical facilities will be provided for employees as

well as people of nearby villages through medical camps.

Educational facilities: Basic educational and vocational facilities will

be provided for the children of employees as well as nearby villages.

Infrastructure facilities: Approach roads will be developed at par

with plants roads.

Additional: The establishment of factory will facilitate additional

auxiliary facilities lime banking post office & recreation facilities.