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NSE-listed companies’ CSR spending Reached Rs 155.24 B in FY23

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Between FY22 and FY23, the CSR expenditures of 1,296 NSE-listed companies under India Inc. increased by 5%, from Rs 148.16 billion to Rs 155.24 billion.

The top three contributors in this category were HDFC Bank (Rs 8.20 billion), Tata Consultancy Services (Rs 7.83 billion), and Reliance Industries (Rs 7.44 billion).

Prime Database Group’s primeinfobase.com revealed that in FY23, ten businesses, including three previously mentioned ones, accounted for 33% of all CSR spending. Tata Steel (Rs 4.80 billion), Oil and Natural Gas Corp (Rs 4.75 billion), ICICI Bank (Rs 4.62 billion), Infosys (Rs 3.91 billion), ITC (Rs 3.65 billion), Power Grid Corporation of India (Rs 3.21 billion), and NTPC (Rs 3.15 billion) were other noteworthy companies among the top 10 in terms of CSR expenditure.

The CSR law, effective since April 2014, mandates businesses meeting financial requirements to allocate 2% of their average net profit for CSR initiatives. The average net profit of 1,296 companies in the past three years has increased from Rs 7.20 trillion in FY22 to Rs 8.14 trillion. Companies were supposed to spend Rs 157.13 billion on CSR but only set aside Rs 155.24 billion, according to an Economic Times report. Businesses transferred Rs 16.43 billion to the Unspent CSR Account, resulting in a difference in future use and remaining unspent.

Public sector units (PSUs) experienced a 17% decrease in spending from FY22, with 56 PSUs spending Rs 31.36 billion in FY23 compared to 59 PSUs’ Rs 37.66 billion in FY22.

The largest allocation in the previous year was to education, followed by healthcare. The largest increase in spending was towards environmental sustainability (76%) followed by education (41%) and rural development (26%).


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How is the Coal Sector Transforming Landscapes?

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As part of sustainable greening initiatives, coal/lignite PSUs have started conducting comprehensive plantation programs with native species at various sites. 

Collaborating closely with corporations and state forest departments is crucial for the success and sustainability of reclamation efforts, ensuring the selection of optimal species for plantations.

These include overburden dumps, haul roads, mine peripheries, residential colonies, and outside lease areas. The entities have partnered with scientific institutions for specialized knowledge support for plantation endeavors to expedite the creation of eco-restoration locations and execute multi-level plantation plans.

The plantation program: 

The plantation program encompasses various tree species, including shade, forestry, fruit-bearing, medicinal, timber, and ornamental trees, providing diverse benefits. 

Fruit-bearing species and medicinal plants contribute to socioeconomic benefits and biodiversity conservation in local communities. Timber Value Trees include Sal, Teak, Shivan, Ghamar, Sissoo, Kala Sirus, Bamboo, Peltoforam, Babool. The fruit-bearing species are Jamun, Imli, Ganga Imli, Bel, Mango, Sitaphal, etc. The list includes herbal/medical plants like Neem, Karanj, Aonla (Amla), and Arjun, and ornamental/avenue plants like Gulmohar, Kachnar, Amaltas, Peepal, and Jharul.

Some examples:

Coal/lignite PSUs have planted over 235 lakh saplings in CCL’s NK Area over five years, increasing the carbon sink. Satellite surveillance tracks reclamation performance. The Miyawaki plantation method, developed by Japanese botanist Dr. Akira Miyawaki, aims to improve green space and establish dense forests in ten years, a process that typically requires a century.

MCL in Subalaya village, Sundergarh, is using the Miyawaki method for planting various species in two patches at a density of 8000 saplings per ha in the Kulda OCP, with coal/lignite PSUs currently occupying 15 ha of the Miyawaki plantation.

Significance of the Miyawaki technique:

The Miyawaki technique involves growing multilayered forests with two to four native tree varieties per square meter, mimicking native forests’ biodiversity. This method requires no maintenance, allowing trees to grow self-sufficiently in three years, promoting overall health and carbon sink. Trees, due to their rapid growth, contribute significantly to the production of carbon sinks.

Miyawaki plantation initiatives mitigate mining’s ecological impact, restore biodiversity, enhance ecosystem services, create carbon sinks, provide livelihoods, and promote sustainable development, preserving green, resilient landscapes for future generations.


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