Lok Sabha Question No. 2523 (UNSTARRED), answered on 2018-03-09
Subject: Monitoring of CSR
Ministry: CORPORATE AFFAIRS
Asked by: RAJENDRA AGRAWAL, SONA RAM CHOUDHARY, BHEEMRAO BASWANTHRAO PATIL, HEMANT TUKARAM GODSE, KALIKESH NARAYAN SINGH DEO

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 2523 ANSWERED ON FRIDAY THE 09th MARCH, 2018/ PHALGUNA 18, 1939 (SAKA)

## MONITORING OF CSR

## QUESTION

2523.  SHRI RAJENDRA AGRAWAL:

SHRI COL. SONRAM CHOUDHARY:

SHRI BHEEMRAO B. PATIL:

SHRI GODSE HEMANT TUKARAM:

SHRI KALIKESH N. SINGH DEO:

Will the Minister of CORPORATE AFFAIRS

कारपोरेट कार्य मंत्री

## be pleased to state:

- (a) whether  the  companies  of  both  public  and  private  sectors  have mandatorily  spent  a  certain  percentage  of  their  profits  on  welfare development activities as Corporate Social Responsibility (CSR);
- (b) if so, the details of the amount utilised and major activities/programmes undertaken  by  various  Public  Sector  and  Private  Sector  Companies including oil exploring companies during the last three years, State/UTwise including Odisha;
- (c) whether  any  comparative  study  has  been  conducted  regarding  the amount of the fund spent by the private companies and Public Sector Undertakings  and  if  so,  the  details  thereof  and  if  not,  the  reasons therefor;
- (d) whether the Government has laid emphasis on the effective implementation of CSR, compliance of CSR norms and if so, the details thereof; and
- (e) whether  the  Government  has  constituted  any  Committee/authority/ monitoring mechanism on pre and post implementation of programmes under  CSR  to  ensure  proper  use  of  CSR  funds  and  to  monitor  the activities therein and if so, the details thereof?

ANSWER

MINISTER OF STATE FOR LAW AND JUSTICE AND CORPORATE AFFAIRS                                                 (SHRI P. P. CHAUDHARY)

विधि और न्र्ार् एिं कारपोरेट कार्य मंत्रालर् में राज्र् मंत्री

(

श्री पी॰ पी॰ चौिरी )

(a):  Section  135  of  the  Companies  Act,  2013  ('the  Act')  mandates  every company above the specified thresholds of turnover, or net worth, or net profit to spend at least two per cent of the average net profits earned during the  three  immediately  preceding  financial  years  on  Corporate  Social Responsibility (CSR) activities specified in Schedule VII of the Act.

Contd….2/-

-2-

(b)&  (c):      No  study  on  amount  spent  on  CSR  by  public  or  private  sector companies  has  been  carried  out  by  this  Ministry  as  statute  requires monitoring  of  CSR  by  the  Board  of  the  Company.  However,  details  of  the amount spent as per filings made by companies including oil companies, upto 30.11.2017 in the MCA21 registry for the years 2014-15, 2015-16 and 2016-17, is given in the Table below :

CSR expenditure for the three Financial Years

| Sl. No.   | Company Type             |   Financial Year 2014-15 (in Rs. crore) |   Financial Year 2015-16 (in Rs. crore) |   Financial Year 2016- 17 (in Rs. crore) |
|-----------|--------------------------|-----------------------------------------|-----------------------------------------|------------------------------------------|
| 1.        | PSUs                     |                                 2673.85 |                                 4163.09 |                                  1325.83 |
| 2.        | Private Sector Companies |                                 6890.92 |                                 9664.77 |                                  3393.17 |
|           | Total                    |                                 9564.77 |                                13827.9  |                                  4719    |

States/UTs-wise and development sector-wise details of the CSR spend by companies are at Annexure I and Annexure II respectively.

(d):  Ministry has issued clarificatory circular and Frequently Asked Questions (FAQs)  dated  18.06.2014  and  12.01.2016  respectively  to  facilitate  the effective implementation of CSR provision by companies and professionals. In addition sensitisation workshops have been organised by the Offices of Regional Directors under the Ministry of Corporate Affairs to ensure effective compliance  of  CSR  provisions  by  companies.  Ministry  has  launched  the National CSR Data Portal on 19.01.2018 which is a significant step towards driving accountability and transparency in corporate India.

(e): No, Madam.

********

## ANNEXURE -I

## ANNEXURE REFERRED TO IN REPLY TO LOK SABHA UNSTARED QUESTION NO. 2523 STATE/UT-WISE CSR EXPENDITURE DURING FY 2014-15, FY 2015-16 AND 2016-17

| CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   |
|-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|
| Sl . No.                            | State/ UT                           | 2014-15                             | 2015-16                             | 2016-17                             |
| 1                                   | Andaman & Nicobar Islands           | 0.29                                | 0.54                                | 0.07                                |
| 2                                   | Andhra Pradesh                      | 403.91                              | 1,220.54                            | 101.69                              |
| 3                                   | Arunachal Pradesh                   | 11.03                               | 1.49                                | 7.98                                |
| 4                                   | Assam                               | 133.07                              | 166.81                              | 38.28                               |
| 5                                   | Bihar                               | 36.20                               | 108.15                              | 36.90                               |
| 6                                   | Chandigarh                          | 1.73                                | 5.08                                | 4.17                                |
| 7                                   | Chhattisgarh                        | 158.89                              | 236.22                              | 14.85                               |
| 8                                   | Dadar & Nagar Haveli                | 2.54                                | 12.03                               | 1.65                                |
| 9                                   | Daman & Diu                         | 20.05                               | 2.13                                | 0.83                                |
| 10                                  | Delhi                               | 214.24                              | 468.18                              | 229.87                              |
| 11                                  | Goa                                 | 26.60                               | 30.25                               | 10.54                               |
| 12                                  | Gujarat                             | 296.53                              | 550.98                              | 152.04                              |
| 13                                  | Haryana                             | 176.29                              | 364.22                              | 107.87                              |
| 14                                  | Himachal Pradesh                    | 9.30                                | 51.71                               | 10.57                               |
| 15                                  | Jammu & Kashmir                     | 40.57                               | 103.02                              | 27.83                               |
| 16                                  | Jharkhand                           | 75.86                               | 115.70                              | 24.24                               |
| 17                                  | Karnataka                           | 382.79                              | 730.64                              | 202.71                              |
| 18                                  | Kerala                              | 64.30                               | 129.24                              | 50.94                               |
| 19                                  | Lakshadweep                         | 0.00                                | 0.30                                | 0.00                                |
| 20                                  | Madhya Pradesh                      | 137.15                              | 178.94                              | 213.48                              |
| 21                                  | Maharashtra                         | 1,372.34                            | 1,810.45                            | 702.37                              |
| 22                                  | Manipur                             | 1.57                                | 5.93                                | 6.03                                |
| 23                                  | Meghalaya                           | 3.52                                | 3.86                                | 2.99                                |
| 24                                  | Mizoram                             | 1.03                                | 1.08                                | 0.08                                |
| 25                                  | Nagaland                            | 1.11                                | 0.95                                | 0.45                                |
| 26                                  | Odisha                              | 249.50                              | 604.26                              | 191.43                              |
| 27                                  | Pondicherry                         | 1.81                                | 6.31                                | 3.71                                |
| 28                                  | Punjab                              | 53.86                               | 68.17                               | 20.17                               |

| 29   | Rajasthan     | 271.36   | 472.46    | 84.99    |
|------|---------------|----------|-----------|----------|
| 30   | Sikkim        | 1.03     | 1.90      | 2.12     |
| 31   | Tamil Nadu    | 498.89   | 597.60    | 202.53   |
| 32   | Telangana     | 94.89    | 248.57    | 64.56    |
| 33   | Tripura       | 1.16     | 1.47      | 0.60     |
| 34   | Uttar Pradesh | 138.64   | 406.93    | 120.34   |
| 35   | Uttarakhand   | 69.99    | 71.50     | 30.74    |
| 36   | West Bengal   | 178.61   | 399.89    | 121.12   |
| 37   | Pan India*    | 4,434.12 | 4,650.39  | 1,928.26 |
|      | Grand Total   | 9,564.77 | 13,827.86 | 4,719.00 |

* Companies either did not specify the names of States or indicated more than one State where projects were undertaken.

********

ANNEXURE II ANNEXURE REFERRED TO IN REPLY TO LOK SABHA UNSTARED QUESTION NO. 2523 SECTOR-WISE CSR EXPENDITURE FOR FY 2014-15,  FY 2015-16 AND FY 2016-17

| CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )                                                                | CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   | CSR Expenditure ( In Rs. Crores )   |
|-------------------------------------|--------------------------------------------------------------------------------------------------|-------------------------------------|-------------------------------------|-------------------------------------|
| SI. No.                             | Sectors                                                                                          | 2014-15                             | 2015-16                             | 2016-17                             |
| 1                                   | Health/ Eradicating Hunger/ Poverty and malnutrition/ Safe drinking water / Sanitation           | 2,382.27                            | 4,330.21                            | 1,201.37                            |
| 2                                   | Education/ Differently Abled/ Livelihood                                                         | 3,021.47                            | 4,689.81                            | 1,605.05                            |
| 3                                   | Rural development                                                                                | 1,031.02                            | 1,327.57                            | 628.56                              |
| 4                                   | Environment, Animal Welfare, Conservation Of Resources                                           | 812.31                              | 901.80                              | 306.68                              |
| 5                                   | Swachh Bharat Kosh                                                                               | 94.52                               | 323.24                              | 89.35                               |
| 6                                   | Any Other Funds                                                                                  | 272.58                              | 322.63                              | 137.70                              |
| 7                                   | Gender equality / Women empowerment / Old age homes / Reducing inequalities                      | 172.63                              | 331.50                              | 122.60                              |
| 8                                   | Prime Minister's National Relief Fund                                                            | 211.04                              | 206.08                              | 109.81                              |
| 9                                   | Encouraging Sports                                                                               | 53.36                               | 134.76                              | 51.73                               |
| 10                                  | Heritage Art and Culture                                                                         | 113.62                              | 114.90                              | 49.64                               |
| 11                                  | Slum Area Development                                                                            | 101.07                              | 13.60                               | 1.97                                |
| 12                                  | Clean Ganga Fund                                                                                 | 4.64                                | 32.52                               | 22.97                               |
| 13                                  | Other Sectors ( Technology Incubator And Benefits To Armed Forces, Admin Overheads and others* ) | 1,294.24                            | 1,099.24                            | 391.57                              |
|                                     | Total Amount (in Rs. Crore)                                                                      | 9,564.77                            | 13,827.86                           | 4,719.00                            |

* not specified

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