RIL is exceeding its legal obligation by Rs. 191 crore
MUMBAI: Reliance Industries Limited (RIL) spent Rs. 1,223 crore on Corporate Social Responsibility (CSR) in FY 2025-26, representing 2.37% of its average net profit and exceeding the mandatory 2% requirement under the Companies Act, 2013.
The company’s statutory CSR obligation for the year stood at Rs. 1,032 crore (Previous Year Rs. 1,048 crore)., based on an average net profit of Rs. 51,617 crore under Section 135 of the Companies Act. With an actual spend of Rs. 1,223 crore, RIL reported an excess CSR spend of Rs. 191 crore.
The company also disclosed that it had fully spent the required CSR amount during the year, with no unspent balance requiring transfer to the Unspent CSR Account or any Schedule VII fund.
RIL’s CSR allocation in FY 2025-26 shows a clear priority shift towards sustainability-linked interventions. Environment, Ecology and Animal Welfare received the highest allocation of Rs. 640 crore, accounting for more than half of the total CSR spend.
Education and Skill Development was the second-largest area with Rs. 229 crore, followed by Healthcare at Rs. 179 crore and Sports for Development at Rs. 115 crore.
Five-Year CSR Spending Analysis
Over five years, RIL’s CSR spending rose from Rs. 1,140 crore in FY 2020-21 to Rs. 2,156 crore in FY 2024-25, an increase of about 89.1%.
In FY 2025-26, the spend declined by Rs. 933 crore, falling 43.3% to Rs. 1,223 crore from the previous year’s peak.
Despite the decline, RIL spent 2.37% of average net profit on CSR, exceeding the mandatory 2% requirement by 0.37 percentage points.
Reliance Industries CSR Spending: 5-Year Trend
| Financial Year | CSR Spend | YoY Change | YoY Change (%) |
|---|---|---|---|
| FY 2020-21 | Rs. 1,140 crore | Base year | Base year |
| FY 2021-22 | Rs. 1,186 crore | +Rs. 46 crore | +4.0% |
| FY 2022-23 | Rs. 1,271 crore | +Rs. 85 crore | +7.2% |
| FY 2023-24 | Rs. 1,592 crore | +Rs. 321 crore | +25.3% |
| FY 2024-25 | Rs. 2,156 crore | +Rs. 564 crore | +35.4% |
| FY 2025-26 | Rs. 1,223 crore | -Rs. 933 crore | -43.3% |
Two-Year CSR Spending Analysis
RIL spent Rs. 1,223 crore on CSR in FY 2025-26, compared to Rs. 1,309 crore in FY 2024-25, marking a decline of Rs. 86 crore, or about 6.6%. Despite the reduction, the company remained above its statutory requirement in both years.
In FY 2024-25, RIL spent Rs. 261 crore more than its CSR obligation of Rs. 1,048 crore. In FY 2025-26, the excess spend stood at Rs. 191 crore. This indicates that while the scale of above-mandate spending moderated, RIL continued to maintain a compliance-plus CSR approach.
Two-Year CSR Spending Analysis
| Financial Year | CSR Obligation | CSR Spend | Excess Spend | Key Insight |
|---|---|---|---|---|
| FY 2024-25 | Rs. 1,048 crore | Rs. 1,309 crore | Rs. 261 crore | RIL spent significantly above the statutory requirement. |
| FY 2025-26 | Rs. 1,032 crore | Rs. 1,223 crore | Rs. 191 crore | RIL again exceeded the mandate, though excess spending declined. |
| Two-Year Total | Rs. 2,080 crore | Rs. 2,532 crore | Rs. 452 crore | RIL remained consistently above the 2% CSR mandate. |
Sector-Wise CSR Spending
Reliance Industries’ CSR spending in FY 2025-26 became strongly environment-led, with Environment, Ecology and Animal Welfare rising 65.4% year-on-year to become the largest CSR category at Rs. 640 crore.
Healthcare recorded the highest percentage growth, rising 94.6% from Rs. 92 crore to Rs. 179 crore, indicating a sharper allocation toward health-related interventions.
The biggest declines were seen in Sports for Development, which fell 60.3%, and Rural Transformation, which declined 55.4%, while overall CSR spending reduced by 6.6% year-on-year.
| Rank | CSR Area | FY 2025-26 | FY 2024-25 | Change | Growth / Decline |
|---|---|---|---|---|---|
| 1 | Environment, Ecology and Animal Welfare | Rs. 640 crore | Rs. 387 crore | +Rs. 253 crore | +65.4% |
| 2 | Education and Skill Development | Rs. 229 crore | Rs. 427 crore | -Rs. 198 crore | -46.4% |
| 3 | Healthcare | Rs. 179 crore | Rs. 92 crore | +Rs. 87 crore | +94.6% |
| 4 | Sports for Development | Rs. 115 crore | Rs. 290 crore | -Rs. 175 crore | -60.3% |
| 5 | Rural Transformation | Rs. 41 crore | Rs. 92 crore | -Rs. 51 crore | -55.4% |
| 6 | Others including Disaster Management, Women Empowerment, Arts and Culture | Rs. 19 crore | Rs. 21 crore | -Rs. 2 crore | -9.5% |
| Total | Rs. 1,223 crore | Rs. 1,309 crore | -Rs. 86 crore | -6.6% |
Analytical View
RIL’s CSR allocation shows three clear trends.
- First, the company has treated CSR as a strategic social investment rather than a residual compliance expense. Spending 2.37% of average net profit places it above the statutory requirement.
- Second, the high allocation to environment and animal welfare shows a strong thematic concentration. This gives RIL’s CSR portfolio a distinct sustainability character.
- Third, the spending pattern combines long-term development areas such as education, healthcare and rural transformation with emerging social priorities such as sports and ecology.
RIL’s CSR initiatives are driven through the company’s ‘We Care’ philosophy and implemented under the leadership of Smt. Nita M. Ambani, Founder and Chairperson of Reliance Foundation. Since 2010, these initiatives have touched more than 9.7 crore people across 98,000+ villages and several urban locations.
The company’s CSR work is aligned with national priorities such as Viksit Bharat, Ayushman Bharat Mission, Swachh Bharat Abhiyan, Jal Shakti Abhiyan, Skill India Mission, Digital India and other development programmes.
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