CSR Policy

 

SHORT TITLE AND COMMENCEMENT:

This policy may be called “The Durgapur Projects Limited Corporate Social Responsibility Policy- 2016”.

DEFINITION:

Unless repugnant to the context and inconsistent with the relevant Acts and Rules made there under,

"Act "means the Companies Act ,2013;

"Board" means the Board of Directors of the DPL;

“Company" means The Durgapur Projects Limited' hereinafter referred to as "DPL";

“Corporate Social Responsibility (CSR)" means and includes but is not limited to (a) Projects or programmes relating to activities specified in Schedule VII to the Act or (b) Projects or programmes relating to activities undertaken by the Board in pursuance of recommendations of CSR Committee as per declared CSR Policy of the Company subject to the condition that such policy will cover subjects enumerated in Schedule VII of the Act.

“CSR Committee" means the Corporate Social Responsibility Committee of the Board referred to in section 135 of the Act.

“CSR Policy” relates to the activities to be undertaken by the company as specified in Schedule VII to the Act and the expenditure thereon, excluding activities undertaken in pursuance of the normal course of business of the company.

“DPL” means The Durgapur Projects Limited;

"Director" means a Director of the Board of DPL;

"MD" means the Managing Director of the Company;

“Net profit” means the net profit of the Company as calculated under the provisions of Section 197 of the Act provided that net profit in respect of a financial year for which the relevant financial statements were prepared in accordance with the provisions of the Companies Act, 1956 shall not be required to be re-calculated in accordance with the provisions of the Act.

“Rules” mean the Companies (Corporate Social Responsibility Policy) Rules, 2014 and as amended from time to time.

Words and expressions used and not defined in this policy and Rules but defined in the Act shall have the same meanings respectively assigned to them in the Act.

 

Objectives:-

CSR is about how companies manage their business processes to produce an overall positive effect on society. The objectives that we set out in the corporate social responsibility of business is to support the company's strategic objectives, in particular the impact on society and minimize the negative influence on the environment and as a credible and reliable business partner for suppliers and customers. The objective is to generate conducive environment for enabling the Company to conduct in socially responsible manner, while contributing towards Human Development goals of the country.

 

CSR Projects : The Company’s mission is to generate power in an efficient and environment friendly manner and to distribute the same to its consumers associated with other industrial activities comprising production of coke and other By-products, processing of water and distribution of water for human consumption and industrial as well as domestic use. In this process the Company intends to serve the society for its development in the field of education, environment, health, social and cultural activities within the frame work of the statutory provisions of the Act and Rules applicable for the purpose.

DPL’s approach towards Corporate Social Responsibility: The Company is making this Corporate Social Responsibility Policy with the intention of making it applicable in accordance with the available means and resources particularly in the context of adverse financial results continuing for several years. The Company’s approach towards Corporate Social Responsibility would be oriented, identified and formulated CSR Projects and programmes as per statutory requirements and to implement them with full involvement and commitment in a time bound manner where other agencies or organizations are involved. The approach of DPL would be to focus corporation and partnership, it will provide financial assistance to the extent of available and permissible in the form of granting aid assistance, contribution etc.

Activities under CSR

Any of the following activities will be undertaken under Corporate Social Responsibility:

 

Eradicating hunger, poverty and malnutrition, promoting preventive health care and sanitation and making available safe drinking water;

Promoting education, including special education and employment enhancing vocation skills especially among children, women, elderly, and the differently abled and livelihood enhancement projects;

Promoting gender equality, empowering women, setting up homes and hostels for women and orphans; setting up old age homes, day care centres and such other facilities for senior citizens and measures for reducing inequalities faced by socially and economically backward groups;

Ensuring environmental sustainability, ecological balance, protection of flora and fauna, animal welfare, agro forestry, conservation of natural resources and maintaining quality of soil, air and water;

 

Protection of national heritage, art and culture including restoration of buildings and sites of historical importance and works of art; setting up public libraries; promotion and development of traditional arts and handicrafts;

Measures for the benefit of armed forces veterans, war widows and their dependents;

Training to promote rural sports, nationally recognized sports, Paralympics sports and Olympic sports;

Contribution to the Prime Minister’s National Relief Fund or any other fund set up by the Central Government for socio-economic development and relief and welfare of the Scheduled Castes, the Scheduled Tribes, other backward classes, minorities and women;

Contribution or funds provided to technology incubators located within academic institutions which are approved by the Central Government;

Rural development projects.

 

Activities not to be undertaken as CSR

 

The CSR projects or programme or activities that benefit only the employees of the company and their families

One- off events such as marathons/award/charitable contribution of advertisement/ sponsorships of TV programme etc

Expenses incurred by companies for the fulfillment of any other Act/Statute of regulations (such as Labour laws ,Land Acquisition Act 2013, Apprentice Act 1961 as amended etc)

Contribution of any amount directly or indirectly to any political party

Activities undertaken by the Company in pursuance of its normal course of business

The project or programmes or activities undertaken outside India

 

Administrative set up: As DPL is having all its activities centralized at Durgapur with Administrative and Corporate Headquarters, the Administrative set up in respect Corporate Social Responsibility would be at Durgapur. There would be a CSR Committee of Directors in accordance with provisions of the Act, however, for the purpose of implementation of CSR activities, a CSR Sub Committee would be created comprising official of respective functional areas who shall be responsible for compilation of information and preparation of Annual Reports and to facilitate the proposals received in respect of CSR activities for approval and allocation of fund by the CSR Committee.

 

Monitoring

The effectiveness of CSR activities will be evaluated by the CSR Committee with assistance from external agencies, if required, for getting required feedback and inputs to formulate & improve the CSR activities in future.

 

Allocation of funds

 

In line with the requirement of Companies Act the Board of the Company shall ensure that the company spends in every financial year at least two percent of the average net profits of the Company made during the last three years preceding the year on which the amount is to spend.

 

A major portion will be allocated for carrying out CSR activities in project affected areas

All expenditure incurred on the activities involved in the need assessment / baseline study, planning, implementation, monitoring and impact assessment of the projects will be included in the above project

Surplus, if any arising out of the CSR projects or programmes of activities shall not

form part of the business profit of the Company

Unspent CSR budget of any year, if any, along with any surplus arising out of any CSR activity undertaken will be carried forward and shall be available for spending on CSR activities along with the budget for the succeeding year.

 

General

 

The power to interpret, administer and right to minor modification/amendment to the policy shall rest with Managing Director whose decision shall be final and binding.

This Policy would serve as the referral document for planning and selection of CSR activities.

The Power to modify / amend the CSR Policy will rest with the Board of Directors on the basis of the recommendation of the CSR Committee. The Managing Director will be responsible for the implementation of the CSR Rules framed in accordance with and in furtherance of the Policy, as recommended by the CSR Committee and subsequently approved by the Board.