Corporate Social Responsibility Policy

INDIACSR News Network

NEW DELHI: Department of Public Enterprises (DPE) issued guidelines on Corporate Social Responsibility (CSR) for Central Public Sector Enterprises (CPSEs) in April, 2010 and these Guidelines are applicable only to the Central PSEs.  As per these Guidelines, the CPSEs may undertake projects or activities in the periphery where company carries out its commercial activities, as far as possible.  Where this is not possible or applicable, the company may choose to locate CSR projects anywhere in the country.  The CSR budget has to be mandatorily allocated through a Board Resolution as a percentage of Net Profit (previous year) in the following manner:

Type of CPSEs

Net Profit (Previous Year)

Expenditure range for CSR

in a Financial Year

(% of profit)


(i)    Less than Rs. 100 crore

3% – 5%

(ii)   Rs. 100 crore to Rs. 500 crore

2% – 3%

(Subject to a Minimum of Rs. 3 crore)

(iii)  Rs. 500 crore and above

0.5% – 2%

The CSR Budget is to be fixed for each financial year and this fund does not lapse.  The unutilised funds in a particular year have to be transferred to a CSR Fund, which will accumulate.

The above information was given by the Minister for Heavy Industries & Public Enterprises Praful Patel to the Parliament.



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