DEARNESS ALLOWANCE

(For Executives, Supervisors & Workmen) The Dearness Allowance in the revised pay scales as on 1-1-97 shall be zero, w.e.f. 1.4.97, the DA payable would be governed as per the following provisions: (a) Dearness Allowance would be revised on 1st April, 1st July, 1st October and 1st January of each year based on the percentage increase in the quarterly average of the AICPI for the Quarters ending February, May, August and November respectively over AICPI 1708. (Basic 1960=100) (b) There shall be 100% neutralization of DA for all employees. Based on the revised DA scheme, the payment Dearness allowance w.e.f 1.1.97 is enclosed at Annexure A. (c) DA shall be payable on Basic pay and special pay, if any

CITY COMPENSATORY ALLOWANCE Employees borne on the regular establishment of the Company other than those appointed on casual/daily rated/daily but monthly paid basis; will be paid City Compensatory Allowance at the rates, as given here under: i) EXECUTIVES & SUPERVISORS:

CCA will be paid as per the following rates, w.e.f 01.08.97, based on the revised classification of cities as announced by the Government of India: (Amount Rs. per Month) (As per being informed by a reliable source in HR in the organization) BP Month (Rs.) 4001-5250 5251-6499 6500-above A-1 City 125 200 300 A City 95 150 240 B-1City 65 100 180 B-2City 35 65 120

However, in case of any workmen if the revised amount becomes less than the existing amount the existing amount will be paid on protection basis to such workmen. The term 'Pay', as above, includes in addition to basic pay, special pay, personal pay, deputation (duty) pay. CCA at the above rates will be admissible from the date of joining duty at the places mentioned above. Payment of CCA at the above rates will be governed and regulated by the same terms, conditions and rules, as laid down in the Govt. of India, Ministry of Finance, and Office Memorandum No. F2 (37)-E.II (B)/64 dated 27.11.1965 as amended or modified from time to time.

HOUSE RENT ALLOWANCE RULES House Rent Allowance is payable to the eligible employees who are not pro- vided with the residential accommodation by the Company at the places where the Company has its Projects/Units/Offices etc. APPLICABILITY For the purpose of House Rent Allowance, the employees eligible are those borne on the regular establishment of the Company including probationers, lien holders, deputationists (unless otherwise specified in their terms of deputation) and persons appointed on contract basis (unless otherwise specified in the terms of their contract) but excluding apprentices/trainees whether engaged under Company's own training scheme or under the Apprentices Act, 1961 (save to the extent specifically mentioned in these Rules) and muster roll, daily rated, casual, badli or substitute employees. DEFINITIONS In these rules, unless the context otherwise requires: "Company" means the National Thermal Power Corporation Limited including the offices/projects/units under its management. "Places" means A1, A, B-1, B-2 & C Class cities notified by the Government of India for the purpose of payment of HRA to the Central Govt. employees, from time to time and other unclassified localities. "Family" means employee's spouse, legitimate children and step children (including legally adopted children) and parents (parents-in-law in case of female employees). Only one spouse is included in the term "Family". Grade A1 B-1, B-2 C Unclassified Percentage of basic pay 30% 15% 7.5% 5%

CONVEYANCE ALLOWANCE/REIMBURSEMENT/ADVANCES Conveyance allowance at NTPC was different for Executives, supervisors and workers. It is as follows Transportation allowance per month for car E7 & Above Rs. 800 E5-E6 Rs. 800 E2A-E4 Rs. 800 E1-E2 Rs. 800

Scooter/Motor cycle

Executives Rs. 800 Selection grade Rs. 800 W8-W11/S1-S4 Rs. 800 W1-W7 Rs. 585

Moped All Executives Rs. 645 Selection Grade Rs. 510 W8-W11/S1-S4 Rs. 480 W0-W7 Rs. 400

Not owning any vehicle Executive & SG Rs. 500 W8-W11 & S1-S4 Rs. 400 W0-W7 Rs. 325

Transportation allowance for blind or orthopedically handicapped employees Executives & SG Rs. 1000 W8-W11/S1-S4 Rs. 800 W0-W7 Rs. 650

Conveyance reimbursement (per month) For Car E7 & Above Rs. 3035 E5-E6 Rs. 2690 E2A-E4 Rs. 2350 E1-E2 Rs. 1640

For Scooter/ Motor cycle Executives Rs. 385 Selection grade Rs. 385 W8-W11/S1-S4 Rs. 80

Conveyance advance for car, scooter, motorcycle and moped would be paid only up to 90% of the total cost of the vehicle.

CHILDREN EDUCATION ALLOWANCE Over and above Rs. 75 per month per child reimbursement. (Rs. 225 per month per child where CCA is not payable.) Over and above Rs. 75 per month per child reimbursement. (Rs. 340 per month per child where CCA is payable.) Hostel subsidy at Rs. 1500 per month per child.

MEDICAL BENEFITS Free treatment in NTPC Hospital/ Dispensaries/ company hospital/ full reimbursement in notified or empanelled hospitals/ in non-empanelled hospitals reimbursement limited to ceilings notified as per the rules.

LEAVE TRAVEL ALLOWANCE ELIGIBILITY Staff will be entitled to LTA on completion of one year of service subject to confirmation of services For journeys performed by Air: Economy fare of airlines by the shortest route to the place of destination