Are you interested in learning about the Corporate Social Responsibility (CSR) efforts of South Eastern Coalfields Limited (SECL)? Read on to learn about the company’s CSR obligations, primary and secondary beneficiaries, and expenditure on ongoing and other projects in the financial year
1. Introduction to South Eastern Coalfields Limited
South Eastern Coalfields Limited (SECL), Bilaspur is a Mini Ratna Public Sector Undertaking and a subsidiary of Coal India Limited. The coal miner is located in the states of Chhattisgarh and Madhya Pradesh in India. The mines are located in isolated areas and have a significant impact on the local communities. The introduction of the mining operations changes the traditional lifestyle and socio-economic profile of the area, and the primary beneficiaries of the company’s Corporate Social Responsibility (CSR) efforts should be those most affected by the mines, including land oustees, Project Affected Persons (PAPs), and those living within a 25 km radius of the SECL establishment. Secondary beneficiaries should be underprivileged communities living in the states where the company operates.
2. Primary and Secondary Beneficiaries of CSR
According to the CSR policy of SECL, the primary beneficiaries of CSR efforts should be land oustees, PAPs, and those living within a 25 km radius of the SECL establishment. The underprivileged communities living in the states where the company operates should be secondary beneficiaries.
3. Governance of CSR Policy
The CSR policy of SECL is governed by the Companies Act of 2013, government guidelines, and any other applicable instructions. The policy has been approved by the parent company, Coal India Limited, and adopted by SECL upon approval of the SECL board.
4. CSR Spending in FY 2021-22
The company’s CSR obligation for the financial year, based on 2% of the average net profit as required by Section 135(5), was INR 67.58 Crores. The total amount spent on CSR during the financial year was INR 69.34 Crores. This represents a difference of approximately 3% between the required obligation and the actual spending.
5. Impact Assessment of CSR Works
An impact assessment study is being carried out for CSR projects as required by the Companies (Corporate Social Responsibility Policy) Rules of 2014. The assessment will be conducted by the Indira Gandhi National Tribal University in Amarkantak, Madhya Pradesh, and will cover projects costing more than INR 1 crore that were completed in the financial years 2019-20 and 2020-21.
6. Average Net Profit and CSR Obligation for the Financial Year
The average net profit of SECL for the financial year was INR 3378.88 crore. Based on this, the company’s CSR obligation was calculated as INR 67.58 crore, which is 2% of the average net profit. No surplus or set-off amount was required for the financial year.
7. CSR Expenditure for Ongoing Projects
In the financial year, SECL spent a total of INR 5518.40 lakh on CSR projects that were ongoing.
8. CSR Expenditure for Other Projects
SECL also spent a total of INR 1145.06 lakh on CSR projects that were not ongoing.
Note for Readers: We hope that you enjoyed reading this article and found it useful and thought-provoking. If so, please consider sharing it within your network and on social media.
Declaimer: Reprinting or republishing this article in web media or other formats is not permitted by India CSR.
(CopyRight@India CSR)
Are you interested in learning about the Corporate Social Responsibility (CSR) efforts of South Eastern Coalfields Limited (SECL)? Read on to learn about the company’s CSR obligations, primary and secondary beneficiaries, and expenditure on ongoing and other projects in the financial year
1. Introduction to South Eastern Coalfields Limited
South Eastern Coalfields Limited (SECL), Bilaspur is a Mini Ratna Public Sector Undertaking and a subsidiary of Coal India Limited. The coal miner is located in the states of Chhattisgarh and Madhya Pradesh in India. The mines are located in isolated areas and have a significant impact on the local communities. The introduction of the mining operations changes the traditional lifestyle and socio-economic profile of the area, and the primary beneficiaries of the company’s Corporate Social Responsibility (CSR) efforts should be those most affected by the mines, including land oustees, Project Affected Persons (PAPs), and those living within a 25 km radius of the SECL establishment. Secondary beneficiaries should be underprivileged communities living in the states where the company operates.
2. Primary and Secondary Beneficiaries of CSR
According to the CSR policy of SECL, the primary beneficiaries of CSR efforts should be land oustees, PAPs, and those living within a 25 km radius of the SECL establishment. The underprivileged communities living in the states where the company operates should be secondary beneficiaries.
3. Governance of CSR Policy
The CSR policy of SECL is governed by the Companies Act of 2013, government guidelines, and any other applicable instructions. The policy has been approved by the parent company, Coal India Limited, and adopted by SECL upon approval of the SECL board.
4. CSR Spending in FY 2021-22
The company’s CSR obligation for the financial year, based on 2% of the average net profit as required by Section 135(5), was INR 67.58 Crores. The total amount spent on CSR during the financial year was INR 69.34 Crores. This represents a difference of approximately 3% between the required obligation and the actual spending.
5. Impact Assessment of CSR Works
An impact assessment study is being carried out for CSR projects as required by the Companies (Corporate Social Responsibility Policy) Rules of 2014. The assessment will be conducted by the Indira Gandhi National Tribal University in Amarkantak, Madhya Pradesh, and will cover projects costing more than INR 1 crore that were completed in the financial years 2019-20 and 2020-21.
6. Average Net Profit and CSR Obligation for the Financial Year
The average net profit of SECL for the financial year was INR 3378.88 crore. Based on this, the company’s CSR obligation was calculated as INR 67.58 crore, which is 2% of the average net profit. No surplus or set-off amount was required for the financial year.
7. CSR Expenditure for Ongoing Projects
In the financial year, SECL spent a total of INR 5518.40 lakh on CSR projects that were ongoing.
8. CSR Expenditure for Other Projects
SECL also spent a total of INR 1145.06 lakh on CSR projects that were not ongoing.
Note for Readers: We hope that you enjoyed reading this article and found it useful and thought-provoking. If so, please consider sharing it within your network and on social media.
Declaimer: Reprinting or republishing this article in web media or other formats is not permitted by India CSR.
(CopyRight@India CSR)
