Tata Power touched over 37 lakh lives through its CSR interventions across four key areas: education, health, livelihood and environment
MUMBAI (India CSR Exclusive): Tata Power Company Limited, Indiaโs largest integrated power company, has reported its Corporate Social Responsibility spending for the financial year 2022-23 on a standalone basis. According to its annual report, the company spent Rs 4.06 crore on various CSR initiatives, which is more than its CSR obligation of nil (calculated as per Section 135 of the Companies Act, 2013).
Meaningful Interventions and Bridging the Gap
In a substantial stride towards societal betterment, Tata Power has consistently endeavored to make a significant difference to communities within its operational vicinity. The company’s concentrated Corporate Social Responsibility initiatives positively impacted over 37 lakh lives in the FY 2022-23 on a consolidated basis. Furthering their commitment to societal change, Tata Power, in collaboration with Tata Elxsi, partnered with the Government of India to develop PayAutention โ Indiaโs inaugural bridgital autism support network.
CSR Spend for FY 2022-23
The companyโs CSR spending exceeded the mandatory requirement of 2% of net profit under Section 135 of the Companies Act, 20132, which makes it compulsory for some select categories of companies to spend on Corporate Social Responsibility activities. The excess amount spent for the financial year is available for set off in succeeding financial years as per the provisions of the Act.
In terms of the standalone CSR spend for FY 2022-23, Tata Power Company Limited dedicated Rs. 4.06 crore, remarkably, against a nil Corporate Social Responsibility obligation as calculated according to Section 135 of the Companies Act.
CSR Thrust areas
Tata Power adopted a well-structured approach, concentrating its Corporate Social Responsibility activities on three primary thrust areas. These include Education (emphasizing financial and digital literacy), Employability and Employment (Fostering skills for livelihood), and Entrepreneurship.
Group Entities and Consolidated CSR
On a broader, consolidated basis, the Company’s Group entities marked their expenditure on Corporate Social Responsibility activities at Rs. 50.01 crores. This figure stood against the Corporate Social Responsibility spending obligation of Rs. 50.19 crore for FY 2022-23. In line with the Act’s stipulations, the remaining unspent Corporate Social Responsibility obligation has been directed toward a Special Bank Account.
Tata Power Community Development Trust (TPCDT)
Execution of these well-planned social development programs has been efficiently carried out by the Tata Power Community Development Trust (TPCDT), known for its excellent internal capabilities.
Financial Year Expenditure
The breakdown of financial year spending presents an interesting insight:
i. Two percent of the average net profit of the company as per sub-section (5) of Section 135: Nil
ii. Total amount spent for the Financial Year: Rs. 4.06 Crore
iii. Excess amount spent for the financial year [(ii)-(i)]: Rs. 4.06 Crore
iv. Surplus arising out of the Corporate Social Responsibility projects or programmes or activities of the previous financial years, if any: Nil
V. Amount available for set off in succeeding financial years [(iii)-(iv)]: Rs. 4.06 Crore
Project and Administrative Expenditures
The expenditure specifically on social development Projects, encompassing both ongoing and other Projects, totaled Rs. 3.28 crore. The amount spent on Administrative Overheads amounted to Rs. 0.78 crore.
Anokha Dhaaga is an upskilling and hand-holding programme aimed at enabling semi-skilled and unskilled women, farmers groups, and local artisan groups with a focus on the inclusion of SC and ST members of the society and serving around aspirational districts, enabling collectives/SHGs to develop enhanced products and further income-generation, societal growth and development including connecting them with larger markets and business value chains.
Beneficiary Data and Future Corporate Social Responsibility Plans
The companyโs social activities reached out to over 37 lakh beneficiaries across 14 states and union territories in 2022-23. The company also leveraged its partnerships with various NGOs, government agencies, academic institutions and local communities to enhance the impact and sustainability of its Corporate Social Responsibility interventions.
Tata Power’s holistic and strategic social development initiatives have brought about tangible changes in the lives of millions. As they march into the future, the firm continues to uphold its commitment to society, planning and prioritizing its community development initiatives in line with emerging societal needs and in continuation of its earlier efforts.
The companyโs CSR policy is aligned with its vision of โLighting up Livesโ and its core values of care, excellence, innovation and trust. The company undertook Corporate Social Responsibility activities per three major thrust areas: education (including financial and digital literacy), employability and employment (skilling for livelihood), and entrepreneurship.
Key Projects Undertaken in 2022-23
Some of the major socio-economic projects undertaken by the company in 2022-23 are:
- PayAutention: A digital platform developed in collaboration with Tata Elxsi and the Government of India to provide support and guidance to children with autism and their parents.
- Dhaaga: A women empowerment initiative providing rural women skill development and income generation opportunities through stitching and tailoring.
- Club Enerji: A nationwide energy conservation awareness programme that educates school children and communities on the importance of saving energy and natural resources.
- Adhikaar: A legal literacy and awareness programme that empowers rural communities with knowledge of their rights and entitlements under various government schemes and laws.
- Swachh Vidyalaya: A sanitation and hygiene programme that constructs and maintains toilets and handwashing facilities in government schools.
- Ujjwal: A health and nutrition programme that provides preventive and curative health services to rural communities through mobile medical vans, health camps and telemedicine.
- Haritima: A green initiative that promotes afforestation, biodiversity conservation and waste management in and around the companyโs operational areas.
Performance Highlights
The table below shows some of the important highlights of the companyโs Corporate Social Responsibility performance in 2022-23:
| CSR Area | Key Indicators | Achievements |
|---|---|---|
| Education | Number of students covered under Club Enerji | 6.7 lakh |
| Health | Number of beneficiaries covered under Ujjwal | 5.4 lakh |
| Livelihood | Number of women trained and employed under Dhaaga | 1.8 lakh |
| Environment | Number of saplings planted under Haritima | 8.9 lakh |
Important Highlights
| Highlight | Value |
|---|---|
| Total CSR spend | Rs. 4.06 crore |
| Key focus areas | Education, employability, entrepreneurship |
| Beneficiaries | 37 lakh people |
| Future plans | Expand focus on education, employability, and entrepreneurship; work with other organizations to scale up impact |
Plans to continue its CSR efforts
The companyโs annual report states that the company is committed to continuing its Corporate Social Responsibility efforts with more innovation and collaboration in the coming years. The company plans to:
- Scale up its existing CSR programmes to reach out to more beneficiaries and geographies
- Introduce new CSR programmes based on the emerging needs and aspirations of the stakeholders
- Adopt digital technologies and platforms to enhance the efficiency and effectiveness of its CSR delivery
- Strengthen its monitoring and evaluation systems to measure the outcomes and impacts of its CSR initiatives
- Engage more actively with its employees, customers, suppliers and other partners to create a culture of social responsibility
- The company also expresses its gratitude to all its stakeholders for their support and cooperation in making its CSR journey a success.
