gtg-hrsg project under energy reduction...

PRE-FEASIBILITY R E P O R T

ON

GTG-HRSG PROJECT UNDER ENERGY REDUCTION SCHEME

FOR

ENVIRONMENTAL CLEARANCE

(VIDE MOEF GUIDELINES NO. J-11013/41/2006-IA.II(I) DATED 30TH

DECEMBER 2010)

AT

TROMBAY UNIT

OF

RASHTRIYA CHEMICALS & FERTILIZER LIMITED

Prepared By

PROJECTS & DEVELOPMENT INDIA LIMITED

(A Govt. of India Undertaking) PO: Sindri - 828122, Dist: Dhanbad (Jharkhand)

QCI - NABET ACCREDITATION NO. 94 AS ON 11TH JULY 2016

AUGUST 2016

PRE FEASIBILITY REPORT ON GT-HRSG PROJECT OF RCF, TROMBAY

CONTENTS

CHAPTER DESCRIPTION Page No.

1.0 Executive Summary 1 – 5

2.0 Introduction 6 – 9

3.0 Proposed Scheme 9 - 10

4.0 Project Description 10 - 12

5.0 Planning Brief 12 – 13

6.0 Environment & Safety 13 - 16

7.0 Proposed Infrastructure 16 - 16

8.0 Rehabilitation & Re-settlement Plan 16 - 16

9.0 Project Schedule & Cost Estimates 16 - 17

10.0 Project Economics 17 - 17

11.0 Conclusion & Recommendation 17 - 18

LIST OF TABLES

Table Name of the Table Page No.

1 Steam Balance of RCF, Trombay 19 2 Power Balance of RCF, Trombay 20

LIST OF PLATES

Plate No. Name of the Plate Page No.

1 Location of RCF Trombay Fertilizer Complex in Google Map 21

2 Topo-map of 10 Km radius around RCF Trombay 22

3A Block Diagram of GT - HRSG 23

3B Block Diagram of GT - HRSG 24

4 Layout plant of GTG-HRSG 25

PROJECTS & DEVELOPMENT INDIA LIMITED, SINDRI 1 OF 25


1.0 EXECUTIVE SUMMARY

1.1 Rashtriya Chemicals & Fertilizers Limited (RCF) is one of the most revered Public

Sector Undertaking (PSU) of the Ministry of Fertilizers of Government of India.

GoI has accorded Mini Ratna Status to RCF. It was established in 1978 after re-

organization of Fertilizer Corporation of India (FCI). RCF manufactures Urea and

complex fertilizer (NPK) along with variety of industrial chemicals that are

important for manufacture of dyes, leather, pharmaceutical intermediates etc. It is

one of the largest manufacturing units in India.

RCF, Trombay is commonly known as fertilizer process and chemical factory

which is spread over an area of 765 acres including township. The company has

acquired various accreditations like ISO 14001, OHSAS 18001, ISO 9001, ISO

50001, PSM, Protect & Sustain Protocol of Product Stewardship etc. During

identification of critically polluted industrial areas by CPCB in December 2009, the

CEPI Index of Chembur Industrial Area has been calculated equivalent to 69.19

(less than 70) and as such does not fall under critically polluted industrial zone. The

individual pollution index for Air has been calculated equivalent 59.75, just below

the critical limit of 60. Similarly, the pollution index for water has been calculated

equivalent to 50.75 and for land it is 46.00.

RCF manufactures Urea, Complex Fertilizers, Bio-fertilizers, Micro-nutrients,

100% water soluble fertilizers, soil conditioners and a wide range of Industrial

Chemicals. It produces 25 lakh MT Urea, 6 lakh MT Complex fertilizers and 1.6

lakh MT of Industrial Chemicals every year. The company is a household name in

rural India with brands "Ujjwala" (urea) and "Suphala" (complex fertilizers) and has

countrywide marketing network in all major states. Apart from the own

manufactured products, the Company is also engaged in marketing of SSP and

imported fertilizer inputs like, DAP, MOP & NPK fertilizers. Besides fertilizer

products, RCF also produces almost twenty industrial chemicals that are important

for the manufacture of dyes, solvents, leather, pharmaceuticals and a host of other

industrial products.

RCF always keep itself up-to-date by adopting the mantra ‘renovate, modernize and

upgrade’. Wherever energy becomes part of the manufacturing facilities, one has to



keep pace with the emerging technologies. RCF as a whole is committed to use the

energy in the most efficient way. "Energy Conservation" is a major objective for RCF

as such, and more so, for Trombay Unit.

With a view to reduce energy consumption, RCF intends to install Gas Turbine

Generator (GTG) and Heat Recovery Steam Generation (HRSG) at RCF, Trombay

Unit. Total power requirement of RCF Trombay at present is 40.7 MW (approx.)

and average steam requirement is about 184 MT/hr (approx.). The total power

required is supplied by TATA power and steam required for the complex is

generated in the existing gas fired boilers. RCF had appointed Projects &

Development India Limited (PDIL) to conduct a Techno- Economic Feasibility

Study for installation of GTG for power generation, HRSG for part steam

generation and balance steam from gas fired boiler.

The basic objective of the study was to find out the reduction in Energy

Consumption of RCF Trombay Unit especially specific energy consumption of

Ammonia-V and Urea plant and find out the possible economics of installing GTG

at RCF, Trombay complex. To meet the objective of the study, PDIL has prepared

the TEFR for installation of GT-HRSG and submitted the same to RCF.

1.2 Project Location

RCF Trombay Unit is located in Chembur Industrial Area in Mumbai, Maharashtra.

Geographically, Trombay unit is located at geo-coordinates of 19002'10.579" North

and 72053'19.233" East at an altitude of about 6m from MSL. Eastern Express

Highway is located at a distance of about 1 km from the unit. Chhatrapati Shivaji

International Airport is located in north direction at a distance of about 6 km from

Trombay Unit.

1.3 Scope of Study

The basic objective of Pre-Feasibility Study is to reduce the Sp. energy consumption

of Ammonia-V plant from 8.73 GCal/MT to about 8.40 GCal/MT and Sp. Energy

consumption of Urea from 6.75 GCal/MT to about 6.45GCal/MT. In order to

achieve the desired target, it is proposed to install 02 nos. of GTG of 32 MW ISO

rating (2×32 MW) and 02 nos. of HRSG units of 65 MTPH capacity each (2x65

MTPH).



1.4 Energy Saving

There shall be no power import from TATA, which shall result in effective energy

saving but increase in natural gas import. The overall energy saving is summarized

below:

Sl.

No. Item Savings Energy Saving

Natural Gas

Steam Generation in NSGP 9212 Sm3/Hr 76.0 GCal/Hr

GTG & HRSG -12900 Sm3/Hr -106.43 GCal/Hr

Power

Power 40727 KWh/hr 116.48 GCal/Hr

Energy saving of overall Trombay complex shall be 86.05 GCal/Hr.

1.5 Saving of Natural Resource

After implementation of proposed energy saving scheme, there will be reduction in

steam consumption compared to existing system. The lower the steam generation,

more is the saving in water consumption. At the same time, due to changeover from

steam turbine drive to motor driven generator, there shall be reduction in cooling

water circulation to the extent reduction of steam going through condensing type

steam turbine. The reduction in cooling water circulation will certainly decrease the

make-up water requirement.

The reduction in make-up water due to above is given below:

Sl. No. Item (m3/hr)

1. Due to reduction in steam 27.03

2. Due to reduction in CW Circulation 25.85

Total reduction in make-up water(m3/hr) 52.88

Total reduction in make-up water(m3/day) ≈ 1270

Hence, about 1270 m3 of process water shall be saved per day after implementation

of the proposed energy saving scheme.

1.6 Annual Savings

The total annual savings, likely to be achieved after implementation of proposed

changeover scheme, is expected to be around Rs. 213.45crore. The net annual

savings due to stoppage of external power has been worked to Rs. 268.17 crore and

Rs. 2.30 crore for saving in Water. However, for natural gas, additional cost of Rs.

57.02 crore will be incurred. Besides above, RCF Trombay unit has to retain the



power demand agreement with TATA Power for at least half of the total

consumption. For that, it is envisaged that RCF has to pay around Rs 50 lakh per

month to TATA Power. All above mentioned savings and costs are against total

investment of Rs. 481.61 Crore.

1.7 Estimated Cost of Project

The estimated cost for the facilities installed for the proposed changeover scheme

has been worked out to Rs. 481.61Crore.

1.8 Project Implementation Schedule

The total time schedule for completion of project would be about 24 months after

receipt of approval from concerned authorities & statutory body.

1.9 Need & Justification

The need and justification of the proposed project is summarized as under:

It will reduce overall energy consumption leading to a substantial reduction in

pollution load.

It will totally stop the dependency of RCF Trombay Unit over TATA Power

with regard to power supply of about 40 MW.

The 40 MW power from TATA will be available for national grid.

It will reduce the consumption of natural resource like water which in turn will

have positive impact on environment

It will impose positive impact on the consumption pattern of electricity in near-

by area

It will reduce the subsidy burden of Government of India (GoI).

It will maintain the profitability of RCF.

It will maintain stability in indigenous / domestic market for Urea.

It will check the import possibility of fertilizers to some extent and yield

national savings

There will be temporary employment generation during construction period.



1.10 Conclusion & Recommendation

Conclusion

The proposed project is limited only to installation of GT-HRSG to get self reliance

to meet power requirement without any change in the production rate of final

product Urea & Ammonia.

The EIA notification of 14th September 2006 related to the proposed project is silent

on the accords of EC for modernisation without change in the rate of

product/product mix. As per Clause 7 (II), the project requires a critical review and

due diligence to fix the methodology of EIA study.

Further, as per CPCB (report published in December, 2009), the proposed project

area (Chembur Industrial Area) does not fall in critically polluted zone and have

CEPI index of 69.19 (< 70). Hence, it does not require validation of environmental

report by RO, MoEF. However, the environmental report is being submitted in

every six months to RO, MoEF Bhopal as per relevant notification and no adverse

comment is received so far.

Recommendation

The proposed project fulfills the aims & objectives of EIA by reducing energy

consumption, waste generation and exploitation of natural resources. The adoption

of the proposed project is essential keeping in view the survival of industries and

implementation of new techno-economical feasible process of production.

Considering the status of environment around Chembur Industrial Area and results

of financial study, it is strongly recommended that the proposed modifications may

be implemented at the earliest in the interest of nation as well as RCF.



2.0 INTRODUCTION

2.1 RCF is one of the most revered Public Sector Undertaking (PSU) of the Ministry of

Fertilizers of Government of India. It falls under Mini Ratna category of central

public sector undertaking. It was established in 1978 after re-organization of

Fertilizer Corporation of India (FCI). RCF manufactures Urea and complex

fertilizer (NPK) along with variety of industrial chemicals that are important for

manufacture of dyes, leather, pharmaceutical intermediates etc. It is one of the

largest manufacturing units in India. RCF has two operating units, one at Trombay

in Mumbai and the other at Thal, Raigad district, about 100 km from Mumbai.

2.2 RCF is one of the oldest units set up in the country with a vision of growth in

fertilizer production for food security. It manufactures Urea, Complex Fertilizers,

Bio-fertilizers, Micro-nutrients, 100 per cent water soluble fertilizers, soil

conditioners and a wide range of Industrial Chemicals. It produces 25 lakhs MT

Urea, 6 lakhs MT Complex fertilizers and 1.6 lakhs MT of Industrial Chemicals

every year. The company is a household name in rural India with brands "Ujjwala"

(urea) and "Suphala" (complex fertilizers) which carry high brand equity. RCF has

countrywide marketing network in all major states. Apart from the own

manufactured products, the Company is also engaged in marketing of SSP and

imported fertilizer inputs like, DAP, MOP & NPK fertilizers. Besides fertilizer

products, RCF also produces almost twenty industrial chemicals that are important

for the manufacture of dyes, solvents, leather, pharmaceuticals and a host of other

industrial products.

2.3 Chemicals essential for every industry from food and drugs to synthetic fibres, from

textiles and cement to pesticides and paints; from explosives to specialty solvents

and dye stock are produced by RCF. RCF also pioneered the manufacture of basic

chemicals such a Methanol, Ammonia, Ammonium Nitrate Melt, Sodium Nitrate,

Sodium Nitrite, Ammonium Bicarbonate, Methylamines and Argon in India.

2.4 RCF has always striven for upkeep of the plants through modernizing and upgrading

technology. Various improvement schemes implemented by RCF have kept the

company thriving for five decades. This has facilitated plants to sustain operations

and meet technological challenges of improved efficiency, lower energy



consumption and maintain environmental norms. It has also resulted in achieving

the highest standards of safety and product quality.

2.5 Safety is paramount important factor of RCF work culture. Safe work culture is

always practiced in RCF. Depending upon the job scope and sensitivity of job,

Safety Work Permits (Class I and Class II) are issued for carrying out the job.

Training of safety practices, use of PPE, rescue operations, fire-fighting methods are

imparted not only to RCF personnel but also to the contractor personnel in various

training sessions including refresher courses. RCF also has a disaster management

plan in place in case of exigencies.

2.6 Since inception, RCF has successfully and safely operated two dozen chemical and

fertilizer plants. The company has operated plants at Trombay for last fifty years

and maintained the quality of environment. This itself has been a huge challenge

and demonstrates company's commitment towards environment and concern about

the neighbourhood. RCF has spent more than Rs. 400 crore over the years in

pollution abatement and environment improvement schemes. This also includes

massive drive for tree plantation under "Chembur Green" Project. Complete

transparency is maintained by the Company in dissemination of environment related

data and information through four dedicated continuous Ambient Air Monitoring

Systems installed around the factory boundary and continuous online stack

monitoring. Real time emission levels are displayed through an illuminated board

placed at the entrance of the factory for public viewing. No wonder that the

company is maintaining ISO 14000 accreditation for environment since fifteen

years. Both the manufacturing units are accredited with ISO 9000 for quality and

OHSAS 18000 for Occupational Health and Safety. RCF Trombay Unit has recently

got certified for ISO 50001:2011 for Energy Management System, PSM, Protect &

Sustain Protocol of Product Stewardship certification from International Fertilizer

Association (IFA).

2.7 RCF also strongly believes in discharging its Corporate Social Responsibility

diligently with an objective to benefit the needy and for general good of the society.

A host of CSR activities are undertaken by the company which includes adoption of

villages, providing drinking water, schooling facilities and scholarship, Mid-day

meal, special coaching facilities to poor students to enable them get admission in



IITs and NITs, Community Medical facility through Mobile Medical Vans, special

measures for SC/ST and underprivileged, training to farmers etc. As a part of its

social efforts, the company has adopted 63 villages in Maharashtra, Karnataka and

Andhra Pradesh for overall development.

2.8 RCF believes in providing one stop shop to farmers by marketing its own products

and procuring other products for farmers through imports or tie-ups with other

manufacturers. Though the manufacturing plants are distributed in two locations

within Maharashtra, RCF markets its products throughout the length and breadth of

the country with its products reaching even the far off north-eastern states of India.

2.9 To promote balanced use of fertilizers for improving the farm productivity and also

to help maintaining soil health, RCF has established 12 (twelve) static Soil Testing

Laboratories (STL) in the country at strategic locations, namely Mumbai, Kolhapur,

Nagpur, Ahmednagar, Hassan, Vijaywada, Chandikhole, Kolar, Suryapet, Raipur,

Nanded and Satara, covering the soil testing activity in the districts around these

STLs. In addition to the static STLs, the Company also operates 6 (six) Mobile Soil

Testing Labs. This service is rendered free of cost to farmers. Since last 40 years,

RCF has analysed more than 50 lakh soil samples.

2.10 RCF does what it commits. The commitment is translated in a written document –

the Memorandum of Understanding (MOU) with Government of India. The

performance is evaluated independently by the Department of Public Enterprises.

RCF has been consistently achieving best rating of "Excellent" for past several

years. Having accredited with "Mini-Ratna" status by the Government of India, it is

now poised to get "Navratna" status. RCF has maintained a good financial position.

2.11 RCF always keeps itself up-to-date by adopting the mantra ‘renovate, modernize

and upgrade’. Keeping this in view, RCF proposes to install Gas Turbines (GT) at

RCF, Trombay. Total power requirement is of 42 MW (approx.) and average steam

requirement is of about 210 MT/hr (approx.). The total power requirement of the

unit is presently met through TATA power and steam required to the complex is

generated in the existing gas fired boilers. The basic purpose of installation of GTG

is reduction of the Sp. Energy Consumption of RCF Trombay Unit and at the same

time, getting self-sufficient in power production.



2.12 Projects & Development India Limited (PDIL), a premier consultancy

engineering and NABET accredited EIA consultancy organization (Sl. No.94 as on

11.07.2016), have been retained as Consultant by RCF for preparation of Pre-

Feasibility Report (PFR), online submission of Form-I and obtaining environmental

clearance from MoEF&CC for installation of GTG and HRSG at RCF Trombay.

3.0 PROPOSED SCHEME / MODIFICATIONS

To meet the steam and power requirement of RCF Trombay complex, steam is

generated through NG fired boiler and power is imported from TATA Power.

Though, on technical front, continuing the existing steam and power system do not

have any problem but, on energy front, prima-facie it looks to have opportunity for

improvement. It is felt that, modification in the existing system of steam and power

may be beneficial in the long run. With a view to reduce the overall energy

consumption of the complex, it is proposed that steam and power system have to be

modified in such a way that both steam and power shall be adequate to run the main

plants and auxiliaries un-interrupted.

For the proposed modification, there is a change in the steam and power production.

The existing arrangement of power import shall be discontinued and it is proposed

to install GT of 2x32 MW ISO and HRSG of 2x65 MTPH capacities. However, in

normal operation, steam shall be generated without additional firing in both HRSG.

In each HRSG, there shall be independent De-aerator and BFW Pump-Motor set (1

working +1 stand-by).With the addition of GTG and HRSG, steam load to the

service boiler shall be reduced to the extent of steam available from HRSGs. In the

modification scheme, the steam requirement has been so balanced that minimum let

down of steam shall be required. One existing boiler shall be kept in line to produce

balance HP superheated steam. HRSG shall be provided with one common Cooling

Tower and Cooling Water pumps (1working +1stand-by). The total power

requirement of the complex will be met from the power generation in GTG.

Finally the changes required for the modification are:

GTG ( 2×32 MW) ISO Rating

HRSG ( 2×65 TPH)

Replacement of turbine for Benfield Solution Pump in Ammonia-V with new

motor.



De-aerator (2 nos.) with HP BFW Pump motor set (2 x (1+1))

One PRDS system for 12 ata to 4.5 ata in Ammonia-V,

Modification in Power Distribution System

3.1 Project Proponent

RCF, the project proponent, is a leading fertilizer and chemical manufacturing

company. It has two operating units, one at Trombay in Mumbai and the other at

Thal, Raigad district, about 100 km from Mumbai. Government of India has

accorded "Mini-Ratna" status to RCF.

RCF is one of the oldest units set up in the country with a vision of growth in

fertilizer production for food security. It produces 25 lakhs MT Urea, 6 lakhs MT

Complex fertilizers and 1.6 lakhs MT of Industrial Chemicals every year. The

company is a household name in rural India with brands "Ujjwala" (urea) and

"Suphala" (complex fertilizers) which carry high brand equity.

4.0 PROJECT DESCRIPTION

4.1 Type of Project

The proposed project is a modernization project without any change in production

rate with an aim to reduce the energy consumption by adopting the modern proven,

best available technology through installation of GTG-HRSG. The project fulfils

aims and objective of environment by reduction in energy consumption and natural

resources i.e., water.

4.2 The proposed project is an independent project and not interlinked with any other

project. After implementation of proposed scheme, specific energy consumption of

Ammonia-V plant shall reduce from 8.73 GCal/MT to about 8.40 GCal/MT. Thus,

there will be energy saving of 0.33 GCal/MT in Ammonia Plant.

The specific energy consumption of Urea shall reduce from 6.75 GCal/MT to about

6.45GCal/MT. Thus, there will be energy saving of 0.30 GCal/MT in Urea Plant.

The overall energy saving of Trombay complex shall be 86.05 GCal/Hr. The saving

of natural resources like water has been estimated to be about 1270 m3/day.



4.3 Space Required for Location for Installation of Proposed Facilities

The project is limited to installation of 02 nos. of GTG of capacity 32 MW (2x32

MW) ISO Rating and 02 nos. of HRSG of capacity 65 MTPH (2x65 MTPH). A

number of locations were inspected within the existing complex and discussed for

installation of the above facilities. Finally, Ammonia-I old compressor house area,

which is presently redundant, looked to be adequate after combining the adjacent

vacant area. For each GTG-HRSG system, tentative area requirement is 45 m x 30

m. After dismantling the redundant Ammonia-I old compressor house and, if

required, relocation of some working pipelines, the area can be utilised for

installation of GTG and HRSG.

The location of the RCF Trombay Complex in Google Map has been presented in

Plate - 1 and Topo-Map has been presented in Plate - 2.

4.3.1 Geo-coordinates of the project

RCF Trombay unit is located at latitude 19002'10.579" North and at longitude

72053'19.233" East at an altitude of about 5m from MSL.

4.3.2 Details of Site

The choice for selection of alternate site is limited as the proposed GT-HRSG

project shall be located near Ammonia-I old compressor house area, which is

presently redundant. The project site is centrally located within the battery limit of

the complex and the same has been shown in the layout plan (Plate-4).

4.3.3 Size & Magnitude

The project is limited to installation of 02 nos. of GTG of capacity 32 MW (2x32

MW) ISO Rating and 02 nos. of HRSG of capacity 65 MTPH (2x65 MTPH). The

other modifications are as under:

Replacement of turbine for Benfield Solution Pump in Ammonia-V with new

motor.

De-aerator (2 nos.) with HP BFW Pump motor set (2 x (1+1))

One PRDS system of 12 ata to 4.5 ata in Ammonia-V,

Modification in Power Distribution System

BFW pump machine in Ammonia-V plant is already having spare motors which

can be taken in line. The steam turbine shall be kept as standby.



4.4 Resource Recycling / Reuse

The proposed project does not envisage resource recycling and reuse. However, there

will be reduction of about 1270 m3/day of water consumption.

4.5 Availability of Water, Energy & Power

The project proposal does not envisage additional water requirement. After

implementation of proposed scheme, there will reduction of about 1270 m3 / day of

water. Similarly, there will be reduction in energy consumption. After implementation

of proposed scheme, there will be energy saving of 0.33 GCal/MT in Ammonia plant

and 0.30 GCal/MT in Urea plant. The overall energy saving of Trombay complex

shall be 86.05 GCal/Hr equivalent to 2065 GCal/day.

Energy saving in terms of NG consumption shall be equivalent to 0.25 MMSCMD (at

8250 KCal / Sm3 LHV)

4.6 Quantity of Waste (Solid & Liquid)

The project proposal is limited to installation of 02 nos. of GTG as well 2 nos. of

HRSG. Due to reduction in water consumption, there will be substantial reduction of

about 620 m3/day of wastewater.

4.7 Site Analysis

The proposed facilities i.e., 02 nos. of GTG of 32 MW and 02 nos. of GTG of 65

MTPH shall be installed within plant premises of existing RCF Trombay fertilizer

complex. For each GTG-HRSG system, tentative area requirement is 45 m x 30 m.

Since, the project shall be implemented within existing plant premises, hence no

change in existing land use pattern is envisaged.

4.8 Eco-sensitive Areas

The project is limited to installation of GT & HRSG within the existing RCF

premises without any change in production profile. There is no Wild Life Sanctuary,

National Park and Reserved Forest within 10 km radius of the project area.

5.0 PLANNING BRIEF

RCF is one of the earliest units set up in the country with a vision of growth in

fertilizer production for food security. Trombay fertilizer complex is a well-

established unit having a modern township with all modern amenities.



Since the proposed project is limited to installation of GT – HRSG related facilities

in the existing plant premises, minor planning limited to the proposed project is

envisaged.

5.1 Population Projection

The project proposal is limited to installation of GTG and HRSG. There would be

minor influx of manpower during construction. However, it is envisaged that local

workers of adjoining area shall be engaged during construction. The experts visiting

during project execution period will be accommodated by RCF. Existing manpower

will be utilised for operation and maintenance of proposed GTG-HRSG.

As there will be neither influx of population nor there would be any fresh

appointment, no population projection has been envisaged due to the proposed

project.

5.2 Land Use Planning

As the project proposal is limited to installation of GTG and HRSG within the

existing plant premises, hence, additional land use planning is not envisaged.

5.3 Assessment of Infrastructure Demand

The existing infrastructural facilities like buildings, roads, utilities, etc. available at

RCF Trombay is adequate to meet the infrastructural demand.

5.4 Assessment of Amenities/ Facilities

RCF Trombay is having all the required amenities and facilities. Safety, first aid,

fire station, health centre, environmental, social, cultural requirements are

periodically assessed and upgraded as per requirements.

6.0 ENVIRONMENT AND SAFETY

Since inception, RCF has successfully and safely operated two dozen chemical &

fertilizer plants for the past five decades at Trombay and maintained the quality of

environment. This itself has been a huge challenge and demonstrates company's

commitment towards environment and concern about the neighbourhood. RCF has

spent more than Rs. 400 crore over the years in pollution abatement and

environment improvement schemes. This includes massive drive for tree plantation

under "Chembur Green" Project. Complete transparency is maintained by the

company in dissemination of environment related data and information through



online stack & effluent monitoring system and four dedicated continuous Ambient

Air Monitoring Stations located around the boundary of the factory. Real time

emission levels are displayed through an illuminated board placed at the entrance of

the factory for public viewing.

No wonder that the company is maintaining ISO 14000 accreditation for

environment since fifteen years. Both the manufacturing units are accredited with

ISO 9000 for quality and OHSAS 18000 for Occupational Health and Safety. RCF

Trombay Unit has recently got certified for ISO 50001:2011 for Energy

Management System, PSM, Protect & Sustain Protocol of Product Stewardship

certification from International Fertilizer Association (IFA).

6.1 Status of Environment

During identification of critically polluted industrial areas by CPCB in December

2009, the CEPI Index of Chembur Industrial area has been calculated equivalent

69.19 (less than 70) and as such does not fall under critically polluted industrial

zone. The individual pollution index for Air has been calculated equivalent 59.75

just below the critical limit of 60. Similarly, the pollution index for water has been

calculated equivalent to 50.75 and for land it is 46.00. The area falls in low to

moderate pollution zone as specified by CPCB’s calculation of exceedence factor

for air quality (SO2, NOx, NH3, PM2.5)

6.2 Assessment of Impact due to proposed scheme

It is envisaged that there would be no adverse impact on various component of

environment due to proposed energy saving scheme.

6.2.1 Land Environment

The proposed project is limited to changeover scheme from steam generation

through existing 01 no. of boiler to GT - HRSG and power generation in place of

importing electrical power from external sources (TATA) with minor modification

in the existing Ammonia-V plant. Due to changeover scheme, no additional land is

required and activity shall be confined to the existing plant area. No major levelling

and grading activities are anticipated. Hence, due to proposed project, no change in

land use pattern is envisaged.



The proposed changeover scheme will generate marginal construction waste like

civil debris, metal scrap, lube oil etc. The solid waste generated due to

construction/demolition activities with respect to civil debris will be used for filling

low lying areas. Metal scraps and lube oil shall be stored at one place and sold to

outside agencies. As such there will be no adverse impact on the land environment

due to proposed scheme.

During operation phase, nature and quantity of solid waste shall be reduced in

comparison to the existing system which shall be handled, stored and disposed off

as per existing rules.

6.2.2 Air Environment

Sources of Air Pollution due to proposed changeover scheme:

Construction Phase

During construction phase, dust generation, if any, due to excavation work but for a

limited period only. Dust generation will be controlled by water sprinkling.

Operation Phase

In the proposed modification, there is absolutely no change in production quantity

and quality either in fertilizer or industrial chemicals. In ammonia production

process, there are minor modifications in moving machineries. The steam driven

turbines are being replaced with motor driven. In ammonia plants, the input steam is

replaced with electrical power.

Presently, steam is generated by direct firing of NG in SGP and further, this steam is

used in the complex either for driving turbines and other miscellaneous process use.

The electrical power requirement is met by importing from external source. After

changeover, external power import shall be totally stopped and equivalent amount

of power shall be generated through GTG and exhaust gas from GTG will be used

for generating the high pressure steam. Due to use of GTG system, it is likely that

with minor increase in NG consumption, it will be sufficient to generate both power

and steam and discontinue the use of external power thereby saving the national

energy. There will be 02 nos. of new stack for venting the flue gases from HRSGs.

The major pollutant in the exhaust gas will be NOx but the same will be controlled

by using dry low NOx burner to remain well within the applicable limits.



After implementation of the proposed project, it is envisaged to stop 01 no. of boiler

which in turn will reduce the emission from existing flue gas stack.

6.2.3 Water Environment

With the implementation of proposed scheme, water requirement for the plant shall

also be reduced by an amount of about 1270 m3/day due to reduction of steam and

cooling water circulation requirement. Hence, total quantity of effluent generation

after implementation of changeover scheme shall be reduced by an amount of about

620 m3/day.

6.2.4 Noise environment

After implementation of GTG - HRSG, one existing boiler shall be stopped which is

one of the major sources of noise generation. It is worth to mention here that during

the installation of GTGs, all necessary precautions shall be taken from design stage

itself so that noise level inside the plant as well as to factory boundary remains well

within the permissible limit.

7.0 PROPOSED INFRASTRUCTURE

The existing infrastructure of RCF Trombay with respect to residential colony,

green belt, social infrastructure, road facilities, supply of water, sewerage facilities,

power requirement etc. are working efficiently. In view of the size and magnitude of

proposed project, no additional infrastructure is envisaged.

8.0 REHABILITATION & RESETTLEMENT PLAN

The proposed project shall be established within existing plant premises of RCF

Trombay Fertilizer Complex. Hence, any planning with regard to rehabilitation &

resettlement is not applicable.

9.0 PROJECT SCHEDULE & COST ESTIMATES

9.1 Project Schedule

RCF shall implement the changeover scheme by entering into agreement with a

reputed Indian engineering consultant, who has been actively involved in the

implementation of similar type of projects.

The total time schedule for completion of project, especially GTG and HRSG would

be about 24 months from zero date after issuance of environmental clearance (EC).



9.2 Project Cost

The cost estimates for proposed project has been worked out to Rs.

481.61Crores.

10.0 PROJECT ECONOMICS

10.1 Annual Savings

The total annual savings, likely to be achieved after implementation of proposed

changeover scheme, is expected to be around Rs. 213.45crores. Considering

external power @ Rs 8.5/kWh and water price @ Rs. 55/m3, net annual savings has

been worked to Rs. 268.17 crores against power and Rs. 2.30 crores against water.

However, for NG, additional cost of Rs. 57.02crores will be incurred. Besides

above, RCF Trombay unit has to retain the power demand agreement with TATA

Power to at least meet half of the total consumption. It is envisaged that RCF has to

pay around Rs 50 lakhs per month to TATA Power. All above mentioned savings

and costs are against total investment of Rs. 481.61 Crores.

10.2 Pay Back Period

The additional capital investment will be paid back in about 2.26 years by annual

cash accruals including depreciation at nominal rated capacity of operation.

10.3 Internal Rate of Return (IRR)

The IRR is a discount rate at which the present worth of benefits and costs are

equal. The IRR calculation takes into account 24 months of construction period and

15 years of operating period of the project. On the basis of above, the IRR of change

over scheme is estimated to be 35.18%.

11.0 CONCLUSION & RECOMMENDATION

11.1 Conclusion

The proposed project is limited only to installation of GT-HRSG to get self reliance

to meet power requirement without any change in the production rate of final

product Urea & Ammonia.

The existing facilities have no technical problem in operation but on energy front, it

is consuming more energy in terms of steam and imported power. After

implementation of the proposed project, the total import of power (40.72 MW) shall

be stopped. The proposed GTG-HRSG project is based on one of the best available



technologies with high energy efficiency which will be able to cater to the demand

of both steam (partly) & power of the RCF complex. Though NG & power

consumption is slightly increasing (by 3688 Sm3/hr and 3.497 MW respectively)

after changeover but, in comparison to savings due to external power (@ Rs. 8.5 /

KWh), its cost is insignificant. The implementation of proposed project shall

significantly reduce the energy (by 2065 GCal/day) consumption of the entire

complex.

The EIA notification of 14th September 2006 related to the proposed project is silent

on the accords of EC for modernisation without change in the rate of

product/product mix. As per Clause 7 (II), the project requires a critical review and

due diligence to fix the methodology of EIA study.

Further, as per CPCB (report published in December, 2009), the proposed project

area (Chembur Industrial Area) does not fall in critically polluted zone and have

CEPI index of 69.19 (< 70). Hence, it does not require validation of environmental

report by RO, MoEF. However, the environmental report is being submitted in

every six months to RO, MoEF Bhopal as per relevant notification and no adverse

comment is received so far.

The impact of proposed changeover scheme on land, air, water, noise and socio-

economic environment has been found to be predominantly positive.

11.2 Recommendation

The proposed project fulfills the aims & objectives of EIA by reducing energy

consumption, waste generation and exploitation of natural resources. The adaption

of the proposed project is essential keeping in view the survival of industries and

implementation of new techno-economical feasible process of production.

Considering the status of environment around Chembur Industrial Area and results

of financial study, wherein IRR and pay back is attractive (2.26 years), it is strongly

recommended that the proposed modifications may be implemented at the earliest in

the interest of nation as well as RCF.



Table-1

Steam Balance of RCF, Trombay

Figures in MT/hr

Sl. No.

Items Existing After modification

1.0 HP Steam production at 100 ata & 500 deg C

NSGP 184 85.5

HRSG 0 75

Sub-Total (1.0) 184 160.5

2.0 HP Steam consumption at 100 ata & 500 deg C

Ammonia-V Plant 132 109

PRDS (HP to MP) 2 0

To AGC 25 50

PRDS (HP to LP) 25 1.5

Sub-Total (2.0) 184 160.5

3.0 MP Steam Production at 40 ata & 375 deg C

From Methanol Plant 9 9

From MPNA 15 15

From HPNA 8 8

PRDS (HP to MP) 2 0

Sub-Total (3.0) 34 32

4.0 MP Steam consumption at 40 ata & 375 deg C

Ammonia -I plant 4 4

PRDS (MP to LP) 5 3

PRDS (MP to 20 ata header to ANP) 25 25

Sub-Total (4.0) 34 32

5.0 LP Steam Production at 12 ata & 210 deg C

PRDS (HP to LP) 25 1.5

From AGC to LP 25 50

PRDS (MP to LP) 5 3

From SAP Plan 9 9

Methanol 5 5

From HRSG 0 0

Sub-Total (5.0) 69 69

6.0 LP Steam consumption at 12 ata & 210 deg C

MPNA Plant 4 4

HPNA Plant 3 3

CNA Plant 2.5 2.5

Methyl Amine 5 5

AN Plant 10 10

SNNP Plant 2 2

ABC Plant 1.5 1.5

Suphala 3 3

NSGP 36 23

Ammonia-I Plant 2 2

Ammonia-V Plant 0 12.5

Sub-Total (6.0) 69 69



Table-2

Power Balance of RCF, Trombay

Figures in kW

Sl. No. Items Existing After modification

A TATA Power at 22/11 kV

1.0 Ammonia-V 4938 7428

2.0 Urea Plant 1697 1697

3.0 ABC Plant 300 300

4.0 ANP Plant 2996 2996

5.0 RWTP 447 447

6.0 MPNA 2258 2258

7.0 NSGP 3093 2300

8.0 ANP Granulation Plant 1532 1532

9.0 Methanol Plant 5800 5800

10.0 Methyl Amine Plant 166 166

11.0 GTG/HRSG - 1800

12.0 AGC - -

Sub-total (A) 23227 26724

B TATA Power at 11 kV

1.0 Ammonia-I 5250 5250

2.0 HPNA Plant 1000 1000

3.0 CNA Plant 150 150

4.0 SAP Plant 1000 1000

5.0 PAP Plant 2000 2000

6.0 SNNP Plant 150 150

7.0 Suphala Plant 3500 3500

8.0 ETP/ STP 1500 1500

9.0 Rapid Wall Plant 1300 1300

10.0 PGR & Storage 1500 1500

11.0 Bagging Plant & MH 150 150

Sub-total (B) 17500 17500

Total Power (A+B) 40727 44224



Plate-1

Location of RCF Trombay in Google Map

Proposed GTG-HRSG Project Site, RCF Trombay



Plate-2

Topo-Map



PLATE-3 (A)

BLOCK DIAGRAM of GT-HRSG



PLATE-3 (B)

BLOCK DIAGRAM of GT-HRSG



PLATE-4

Layout Plan of GT-HRSG

gtg-hrsg project under energy reduction...

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