Bhushan Steel Limited 1. Name & Address of the owner/occupier of the industry, operation or process

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Environment Audit Statement FORM V (See rule 14 of The Environment Protection Act, 1986) Environmental Audit Report for the financial year ending the 31st March 2017. PART A General Information Name of the Company Bhushan Steel Limited 1. Name & Address of the owner/occupier of the industry, operation or process Sri P.K. Aggarwal Occupier Bhushan Steel Limited At-Narendrapur PO Kusupanga Via- Meramandali Dist-Dhenkanal Pin -759121 Odisha 2. Industry Category Primary (STC Code), Secondary (AAACB1247MST006) Secondary(STC Code) 3. Production capacity-units 5.6 MTPA Steel 4. Year of establishment 2007 5. Date of last statement 29.06.2016 PART B Water & Raw material Consumption B-1 : Total Water Consumption (m 3 /d) Total Water Consumption (m 3 /d) Category 2015-16 2016-17 Process (m 3 /d) 5701 5946 Cooling (m 3 /d) 41266 50902 Domestic(m 3 /d) 3219 3710 B-2 : Water Consumption per unit of the product (m 3 /MT) Process Water Consumption per unit Name of the Products of product m3/mt) 2015-16 2016-17 1. Steel 0.68 0.62 It can be noted here that above data shows only process water consumption per ton of product. However in Charter on Corporate Responsibility for Environment Protection, limit for total water consumption (process as well as cooling) has been specified as 8 cum/ton of crude steel produced. We are regularly monitoring this specific water consumption and found that during 2016-17 our specific water consumption was 4.44 cum/tcs against the limit of 8 cum/tcs (Ton crude steel). 1

B-3 : Raw Material Consumption Name of Raw materials Name of Products Raw material Consumption per unit of product(mt/mt) 2015-16 2016-17 1. Iron ore 1. Steel 1.57 1.59 2. Iron Pellet 0.12 0.23 3. Lime stone & Dolomite 0.30 0.25 4. Quartz 0.05 0.25 5. Coking Coal 0.86 0.86 6. Non-Coking coal - 0.37 Total 2.9 3.55 PART C Pollution discharged to Environment per unit of Output ( Parameters as specified in the Consent issued) C-1 : Water Pollution Pollutant Prescribed Parameter Standard Quantity discharge (kg/d) Concentration discharge (mg/l) Percentage of variation from prescribed standards with reasons - - Nil Nil - It is to be noted that since we are maintaining zero discharge of effluent hence the above discharge load is also zero. We have achieved zero discharge by installing appropriate ETPs in each department for proper treatment of effluent and recycling back. Details of few specific ETPs is given below. 1. Common effluent treatment plant - The waste water generated from DRI process and Power plant is taken into Effluent treatment plant and the treated outlet is reused in Cooling towers, DRI process and also it is used as coal washery make up water. This ETP is consisting of settling tank, oil skimmer and dual media filter. Treated water is recycled back for cooling tower make up, coal washery make up, dust suppression and gardening purpose. Common Effluent Treatment Plant 2

2. Coke oven - The waste water generated from Coke-oven process is taken to specific effluent plant called Biological Oxidation and Dephenolisation plant. After treatment the water is reused in coke quenching. Biological Oxidation and Dephenolisation Plant (BOD) at Coke oven I & II 3. Blast furnace - Waste water generated from Gas Cleaning Plant is treated in effluent treatment plants and the treated water is recycled back to the Gas Cleaning Plant process. Effluent Treatment Plant in Blast Furnaces 3

4. Steel Melting Shop (SMS) - Waste water generated from process is treated in effluent treatment plants and the treated water is recycled back to the Steel Melting Shop process. Effluent Treatment Plant and Filter Press at Steel Melting Shop(SMS) 5. Cold Rolled Mill - Waste water generated from process is treated in effluent treatment plants and the treated water is recycled back to the process. Effluent Treatment Plant and Filter Press at Cold Rolling Mill (CRM) 4

6. Hot Strip Mill - Process waste water is skimmed for oil and scale and then recycled back to the HSM cooling process. Scale Pit near Water Complex 6. Sewage treatment plants (STP) We have total five nos. of sewage treatment plant in entire Bhushan steel complex. Sewage generated from Colony/office is treated in Sewage treatment plants and the treated water is 100% reused for horticulture and green cover. C-2 : Air Pollution Pollutant Parameter Sewage Treatment Plant at Blast Furnaces and Township Prescribed Standard (mg/nm 3 ) Quantity discharge (kg/d) Particulate matter Please Refer the Annexure 1 Concentration discharge (mg/nm 3 ) Percentage of variation from prescribed standards with reasons 5

Appropriate air pollution control technology has been adopted for minimizing air pollution at source itself. About 28 nos. of Electrostatic precipitator, 53 nos. of bag filter and 03 nos. of scrubbers, 43 nos. of DFS with 252 nos. of nozzles, 107 nos. of gun sprinklers have been installed in various departments which are keeping stack emission well within norms. Emission less Stack Bag Filter ESP Dry Fog System Gun Sprinkle 6

PART D Hazardous Wastes (As specified under The Hazardous Waste Management, Handling & Transboundary Movement Rules, 2008) D-1 : Generation from Process Name Total Quantity (MT/KL) 2015-16 2016-17 1. Used Oil 201.59 103.53 2. Waste residue containing oil 7.6 13.9 3. Spent Resin 0 0 4. Rejected Chemical Container 4747 nos. 6110 nos. 5. Insulation Material 12.79 48.78 6.Acid Residue 0 0 7. Alkali Residue 24.3 23.91 8. Flue gas cleaning residue 2000 25738 9.Oily Sludge 49 50.05 D-2 : Generation from Pollution Control Facilities Name Total Quantity (MT/KL) 2015-16 2016-17 1. BOD plant Sludge 244.35 294.37 2. Decanter Tar Sludge 541.1 528.5 3. ETP Sludge from CRM 938.23 1612.84 E-1 : Generation from Process Name PART E Solid Wastes Total Quantity (MT) 2015-16 2016-17 1. Char 0* 60136 2. Bottom Ash 30752 56505.12 3. BF Slag 1309870 1333611 4. SMS Slag 153980 601701 *DRI units not in operation E-2 : Generation from Pollution Control Facilities Name Total Quantity (MT) 2015-16 2016-17 1. Fly Ash 251615 446565.82 2. FES Dust 2241 20763 3. ESP Dust 48497 87207 4.Bag Filter Dust 18996.2 71419 5.Dedustting Dust 23272.1 61629 7

E-3 : Quantity Recycled/Reutilized within the Unit Name Total Quantity (MT) 2015-16 2016-17 1.BF Slag 1309870 33119 2.SMS Slag 58309.15 601701 3.Fly Ash 251615 9458.49 4.FES Dust 2241 20763 5.ESP Dust 48497 87207 6.Bag Filter Dust 18996.2 71419 7.De-dusting Dust 23272.1 61629 E-4 : Quantity Sold Name Total Quantity (MT) 2015-16 2016-17 1. BF Slag 1309870 1300492 E-5 : Quantity Disposed Name Total Quantity (MT) 2015-16 2016-17 1. Char 0* 60136 (Stored for future use) *DRI units not in operation PART F Please specify the characterizations (in terms of composition in quantum) of hazardous as well as solid wastes and indicate disposal practice adopted for both this categories of wastes F-1 : Hazardous Wastes 1. Used Oil Description 2. Waste residue containing oil 3. Spent Resin Constituent Concentration parameter Analysis report attached as Annexure - 2 - - Analysis report attached as Annexure - 2 Disposal practice Sold to Authorized Recycler Storage in MS drum under covered shed then treatment by incinerator Will be disposed at Common Hazardous Waste Treatment Storage Disposal Facility (CHW TSDF) site when we will have sufficient quantity. 8

4. BOD plant Sludge 5. Decanter Tar Sludge Analysis report attached as Annexure - 2 6. Rejected Chemical Container _ - Reused in Coke oven plant Reused in Coke oven plant Sold to Authorized Recycler. 7. Insulation Material Disposed to CHWTSDF 8.Acid Residue 9. Alkali Residue 10. Flue gas cleaning residue _ Analysis report attached as Annexure - 2 Analysis report attached as Annexure - 5 11. ETP Sludge from CRM Analysis report attached as 12.Oily Sludge Annexure - 2 _ Stored in a Secured manner in storage tanks having acid proof bricks and rubber lined then in house process in ETP. Will be disposed to CHWTSDF site. Collected in leak proof PVC barrels stored in under shed. Will be disposed to CHWTSDF site. Storage in designated area then internally reused. Disposed to CHWTSDF Disposed to CHWTSDF F-2 : Solid Wastes Constituent Description Concentration parameter 1. Char Analysis report attached as Annexure - 3 2. Bottom Ash Analysis report attached as Annexure - 4 3. Fly Ash Analysis report attached as Annexure - 4 4. SMS Slag Analysis report attached as Annexure - 5 5. BF Slag Analysis report attached as Annexure - 5 Disposal practice Reused in AFBC boiler Recycled in DRI Plant Utilized for reclamation of low lying area Utilized for reclamation of low lying area filling and road construction Used in road construction and floor making Sold to Cement plant (ACC & OCL) 9

We have made proper arrangements for storage of hazardous waste. Covered shed with concrete floor, all round garland drain and catch pit has been organized for safe storage before disposal to authorize recyclers. Used/Waste Oil Storage Shed We have stored char inside our plant premises. We have reclaimed the char dump area with green coverage except the present active portion. Char Dump before Reclamation Char Dump after Reclamation We have permission for ash disposal into mine void as well as abandoned stone queries in nearby areas. We have started disposing fly ash into mine void and bottom ash into abandoned stone queries. At mine void we have made one of the best arrangements for fly ash disposing into mine void which ensures absolute pollution frees ash disposal into mine. Ash is passed through ash conditioning system where water is mixed with ash to make it slurry before disposing into mine. This prevents any ash emission into atmosphere thus ensure pollution free ash disposal into mine. This has been appreciated by SPCB and other statutory bodies. The detail report on fly ash disposal at mine void is enclosed as annexure 6 10

Ash disposal at Jagannath quarry no 4 of MCL Ash disposal at abandoned stone quarry near Karanda After reclamation Slag from SMS is processed through slag granulation unit to make precious slag ball for road making after removing of magnetic percentage. The magnetic portion is being sent to sinter plant for making sinter which is being further used as a raw material for our blast furnace1 & 2. Slag Atomizing Plant (SAP) We have two slag granulation units (One unit in blast furnace-1 and another in blast furnace- 2). The granulated blast furnace slag is being sent to cement manufacturing unit like OCL & ACC through rail. 11

Granulated Slag Handling Storage Transportation PART G Impact of pollution control measure on conservation of natural resources and cost of production G-1 : Cost estimation of Pollution Control Description Expenditure in Crores during 2016-17 Capital cost Recurring cost 1. Water Pollution 0.33 12.2 2. Air Pollution 10.90 119.03 3. Solid & Hazardous Waste Management 42.60 28.1 4. Green belt development (Both BSL & BEL) 0.18 2.31 5. Others (Housekeeping) 3.95 2.31 Total 57.96 163.93 12

PART H Additional measures/investment proposal (future plan) for environmental protection including abatement of pollution, prevention of pollution H-1 : Water Pollution Description Details is enclosed as Annexure-7 H-2 : Air Pollution Description Purpose Purpose Estimated Cost in Crores Estimated Cost in Crores Details is enclosed as Annexure-7 H-3 : Solid & Hazardous waste management Description Purpose Estimated Cost in Crores Details is enclosed as Annexure-7 H-4 : Greenbelt development Description Purpose Estimated Cost in Crores Enhancing green coverage by creating gardens and undertaking mass tree plantation in and around the complex.(bsl & ) Enhancing green coverage to enrich ecological and biodiversity wealth of the region Year of installation Year of installation Year of installation Year of installation 4.0 2017-18 We have planted 349434 nos. of plant in and around the Bhushan Energy Limited and Bhushan Steel Limited premises covering about 360 acres which is 24.08 % of total plant area. The graphical representation of plantation details is given below. 13

PART I Any other particulars undertaken for improving the quality of environment (ongoing) Installation of organic waste converter for municipal waste management. Municipal waste is an issue and nuisance if not managed properly. At present we are handling it via incinerator. All kind of wastes including biodegradable wastes are treated in incinerator. But since biodegradable waste has potential to be converted into manure, now we are planning that biodegradable waste should be separated and converted into manure. For this we are looking for technologies and will adopt best possible. Installation of mist beam system In SMS Slag handling area lots of dust is generated which needs to be handled effectively so that ambient air quality of the area is not disturbed. With this aim we have decided to procure a mist beam water jet system which will have through about 30 meter and cover entire dusty area to make dust settle and maintain ambient air pollution free. Presently we are taking trial and if found effective will go for the same. Ash slurry disposal to mine void Presently ash is being disposed into mine void via bulkers and stone quarries via covered trucks. But our final planning is to lay pipe from plant to mine void having distance of 32 Km. All necessary permissions have been obtained from various govt. organizations, pipes and pumps have also been procured and work has started inside the plant. Hopefully in next 2 years time pipelines will be laid and entire ash will go to mine void via pipelines. Water from mine void will be recycled back to plant. Basalt Lined Pipelines for ash Disposal 14

Mechanized housekeeping practiced in the entire plant areas. Housekeeping is a very important aspect in cleanliness of the industrial plant. We are trying to mechanize all our industrial housekeeping like floor cleaning, drains cleaning and roads sweeping. We have procured many mechanized housekeeping equipments like road sweeping machines, excavator for drain cleaning, bobcats for muck and waste lifting, hyvas for transportation of waste etc. very shortly we are going to procure sewer suction machine cum jet cleaner which will help in cleaning of septic tanks and also jammed culverts etc. all waste CG sheets etc. are lifted and compacted by machine so that it is easy to handle and put in melting furnace. We are also planning to buy a municipal waste compactor so that collection and transportation becomes handy. Road Sweeping Machines Establishing of ETP # 3 A new ETP of 12000 m 3 capacity is under construction near coke oven 2 to treat the surface run off. After treatment water will be recycled back to process to reduce make up water consumption and achieve zero discharge. However, during rains, treated water will go out. Effluent Treatment Plant near Coke Oven -2 15

Roads construction In plant we have about 40 kms of roads and out of that about 35 Kms are now concreted and work is under progress on rest of the roads. Along the roads drains have also been established and roadside avenue plantation has been established inside the complex. Sewage Treatment Plant at BF-1 area. In plant we have total 4 nos. of STPs to treat sewage. The treated water is used for watering of green areas. A new STP is being established in BF1 area. Treated water shall be completely utilized for watering of green areas. Sewage Treatment Plant near Blast furnace-1 16

Sibapur ash dump reclamation. Initially we used to dump ash at a designated place and it became an ash mound. It reclamation was a challenge to us but we decided to make it one of the best reclaimed ash mound. Accordingly we started its reclamation and followed all C-Farm guidelines for ash dump/mound management. Ash mound was made in different layer with benches at different intervals and proper slope was maintained. Ash was covered with soil and then compacted. Garland drain was provided to channelize runoff water. At slope vegetation was provided so that erosion is minimized in first year itself. Then proper tree plantation has also been done on top and slope so that ash mound becomes totally green with enriched ecological wealth. In time to come we will keep on enriching it with variety of botanical species to enrich biodiversity and we are sure in future birds will make their home here and it will one of the good examples of ecological reclamation of ash dump sites. After Reclamation of Sibapur Ash Dump Bio Medical Waste Management Obtained authorization from SPCB, Odisha under Bio Medical Waste (Management and Handling) Rules 1998 vide letter no: 931 dated 19.05.2014. Bio medical wastes generated from Health Centre are suitably treated and disposed to comply with Bio Medical Waste (Management and Handling) Rules 1998. Health Centre Waste bin Deep burial Pit 17

Water meters to measure water consumption at various processes. Water conservation is one of our endeavour so that this natural resource can be saved for future generation. We are installing water flow meters in all water consuming lines in different departments so that we can monitor their water consumption and check whether they are using less or more and accordingly control the water feed. This will avoid wastage and also ensure water optimization for various processes and ultimately help us in optimizing water consumption, minimizing water wastage and ensure water conservation to a large extent. Water Flow Meter Waste to manure We have installed a converter to transform organic waste into manure in our complex. All type of bio degradable wastes including canteen wastes are treated and converted into good quality manure for our horticulture activities. Large scale plantation program Greenery is our passion. We are trying to green every inch of our space available in our complex. Along the boundary we are planting trees to create green belt and in between units, gardens are being established to enhance the green coverage inside the complex which also enhances aesthetics. We are also contacting local government. authorities to give us areas for tree plantation to demonstrate our commitment towards environment management and to protect ecological wealth of the area. Accordingly, we are doing tree plantation outside our complex also. 18

We have planted about 3.49 lakh of plant in and around the plant premises covering about 360 acres which is about 24.08% of total plant area. We have also distributed, free of cost, 45954 nos. of sapling to nearby educational institutions, local villagers/panchayat. Green Belt Development in Plant Premises 19

Online ambient air quality data being sent to SPCB server through RT-DAS. Environmental monitoring is very important aspect of environment management to know the efficacy of all the pollution control systems deployed. We have installed the state-of-the-art air network consists of 7(seven) Continuous Ambient Air Quality Monitoring Stations (CAAQMs). The instruments installed are approved by USEPA, TUV, and CPCB & OSPCB. Online air quality data is being sent to SPCB and CPCB servers through RT-DAS. Air Quality Monitoring Facility World Environmental Day celebration World Environment Day was celebrated on 5 th June 2016. Like previous years, string of activities was organized to spread awareness about environment protection, sustenance and eco-conscious growth. Detail report on the celebrations is enclosed as annexure-8. Health, Safety & Environment Sankalp is being organized on 1 st of every month at main gate. Details are enclosed as annexure-9. 46 th National safety week National Safety week was celebrated during 4-10 th March 2017 in the plant area. Details are enclosed as annexure-10 20

Awards and honours We have won many environment awards like Global India Award 2016 in Platinum Category, Good Green Governance Award 2016 and Pollution Control Appreciation Award 2016 under industry category by Odisha State Pollution Control Board for effective pollution control measures and sound environment practices. Details are enclosed as annexure-11 Additional 50 nos. of gun sprinklers are to be installed at RMHS yards. Raw material handling and storage area consist of open to store raw materials yards covering iron ore, coal, lime stone, dolomite and quartzite. These yards are fitted with high pressure gun sprinklers to ensure zero fugitive emission during handling of raw materials. Gun Sprinkler Installed at raw material Storage yard Installation of Dry Fog System Raw material conveying through conveyer system is likely to generate fugitive dust especially at transfer point and junction houses. To reduce generation of dust during conveying of raw materials, dry fog systems have been installed at all potential location where dust is likely to generate during transportation. Dry Fog System 21

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