NTPC, a Maharatna in public sector of the Government of India is a premier power generation company in India having expertise and strength in areas such as setting up of coal, gas and hydro based power projects, operation and maintenance of power stations and sale of power to various State power utilities and other bulk customers. NTPC has developed comprehensive in-house expertise in various facets of power generation from concept to commissioning, efficient operation to nurturing of ecology and environment in accordance with National Power Policy of the Government of India.
BHEL, a Maharatna in public sector of the Government of India, is the largest engineering and manufacturing enterprise of its kind in India and is one of the leading international companies in the field of power plant equipment with state-of-the-art technologies. BHEL range of services extend from project feasibility through design, manufacture, supply, erection and commissioning to after sales-service of equipment required for generation, transmission and distribution of coal, gas, hydro, nuclear and non-conventional-energy.
NTPC and BHEL, have come together to harness their compatibility, common ownership, and also common legacy for the development of Power Sector as whole. Both the parent companies of NBPPL are known for caring for the community and taking up CSR activities in and around the areas of their Operation. NBPPL aspires to emulate its parent companies to be on the forefront in Corporate Social Responsibility(CSR) activities , which can be measured in terms of economic, social, and environmental impacts.
NBPPL CSR policy falls within in the purview of the Companies Act 2013, The Companies (CSR Policy) Rules, 2014.
Further, specifically on CSR, NBPPL is governed by the following:
POLICY STATEMENT: To enhance the quality of life of the Society we serve by addressing the critical social, environmental and economic needs of the marginalized/underprivileged sections of the society by upholding the core Values and Ethics.
NBPPL believes in conducting business in a manner which achieves sustainable growth whilst demonstrating a high degree of social responsibility.
NBPPL CSR policy is structured around three key pillars –Socio, Economic and Environment.
CONCEPT: With effect from April 1, 2014, every company, private limited or public limited, which either has a net worth of Rs 500 crore or a turnover of Rs.1,000 crore or net profit of Rs 5 crore, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility activities. The CSR activities should not be undertaken in the normal course of business and must be with respect to any of the activities mentioned in Schedule VII of the 2013 Act.
The CSR Activities of NBPPL are mainly aimed at communities in the surrounding communities. The activities are aimed at improving the quality of life of the people in areas surrounding its Manufacturing Plant. In order to improve the quality of life of surrounding villages, NBPPL shall primarily concentrate on providing access to basic amenities on water, sanitation, roads, health, education and other infrastructure. To make a long term impact, NBPPL should promote employment generation schemes
SCOPE: The policy applies to the formulation, execution, monitoring, evaluation and documentation of CSR Projects /activities in the target villages. Before taking up the CSR activities at Manufacturing Plant, the Plant shall clearly identify the number of villages with a firmly defined geographical boundary indicating all existing resources through political map of the villages. Approval of NBPPL Management for the target villages/areas must be taken by Plant authorities before starting the CSR activities in the respective villages/areas.
NBPPL’s CSR initiative is governed by the following objectives:
INTERNAL ORGANISATION STRUCTURE
3.1.1 Apex Level Committee for CSR:The Apex level committee (Board Level) for CSR is in compliance with the provisions of Companies Act, 2013 which comprises of the following:
The HR Department Corporate centre shall be responsible for policy matters, compilation of information and release Annual Reports. It shall also be responsible for approval of CSR Projects and facilitating the process of allocation of funds. The Corporate centre wing shall monitor the CSR Projects on quarterly basis./p>
3.1.2 Unit Level Committee for CSR:CSR Committee at Plant shall be comprising of representative from HR, Finance and technical departments (not below the rank of E1) and shall be responsible for need assessment studies, identification of CSR Activities, preparation of CSR Projects, implementing and reporting physical and financial progress on monthly basis. The Unit level committee shall be responsible for the success of CSR activities in their areas.
Volunteering of NBPPL employees and family members of employees shall be promoted. The volunteers shall also facilitate planning and implementation of the identified CSR Projects
NBPPL shall create awareness among all levels of its staff to integrate Social process with Business Process. The CSR training shall focus on community engagement, stake holder mapping, mobilisation, motivation, relationship building, transparency and shared decision making
NBBPL shall also focus on capacity Building of community volunteers through Training Workshops and exposing them to Successful CSR Projects elsewhere.
Identification of CSR projects
The first step of planning shall be identification of broad activities. The broad activities shall be closely linked with the long-term CSR goals and objectives and adhere to the practice of sustainable development. A suggested list of areas of intervention is placed at Annexure I. The list is only indicative and not exhaustive. However, CSR activities will be strictly based on Needs of the local community / Need assessment surveys or in line with sustainable business development goals.
Identification of CSR project area
The geographical area for implementation of the CSR project shall be in the target Villages.
The Plant shall clearly identify the number of villages with a firmly defined geographical boundary indicating all existing resources through political map of the villages. Approval of NBPPL Management for the communities in the vicinity of area of operations must be taken by Plant authorities before starting the CSR activities in the respective villages/areas. For the purpose of implementation, all the villages under the Mannavaram Panchayat will be considered as local area.
Baseline/existing status survey
The CSR projects shall be framed with a long-term objective of provision for basic infrastructure and civic facilities, along with attendant maintenance mechanisms. At the end of project period, the impacts shall be quantified based on the baseline data and shall be compared with CSR goals. Thus, fresh data on existing status shall be mandatory before planning for CSR projects.
The bottom-up approach shall be adopted in planning CSR projects. The CSR projects shall be formulated based on need assessment surveys (NAS). NAS will involve in-depth village–stakeholder consultation and gap identifications based on surveys and analysis.
Information collected at the household level shall focus on demography, literacy levels, socio-economic status, and occupation pattern. Based on the survey, a detailed project prioritizing needs of community and target villages shall be prepared with specific deliverables, time-frame and budget. NAS shall attempt to capture the needs of the most vulnerable of the community.
Synchronizing with development plans of state and central governments
The overall quantifiable deliverables of the CSR projects shall be framed based on the gaps between the development goals framed at state and national level, and the existing situation of the area.
Flexible, dynamic, and incremental short-term plans
Each year, the achievements shall build on the work undertaken in previous year, so that the final CSR objectives can be achieved in an incremental manner. The long and medium plan shall be periodically reviewed and shall have enough flexibility to incorporate changes as and when necessary.
Entry points activities
To get the project popularized in the project villages, entry point activities (EPAs) shall be conducted. Action plan to mitigate social risks shall be planned and implemented for establishing rapport with the community. Programme promotion activities shall be identified as per the need and suitability of the local communities and public representatives from time to time, depending on assessment and perception of social risks.
Activities associated with various social issues related to women and children, employment generation programme, health, sanitation and environment/climate change, AIDS awareness, organizing cultural programmes and those supporting cultural and social harmony can be part of such action plans.
Contents of CSR Plans
The CSR Plan shall cover title, goal, objectives, map demarcating project area, baseline scenario, needs assessment, community participation, linkages with national goals, project implementation mechanism, associated risks and mitigation measures, deliverables, output, outcome, organization and staffing, institutional tie-ups, timeline, specific start and end dates, estimated budget, financial plan, monitoring and evaluation mechanism.
Survey, need prioritization, and development of a long-term action plan would be prerequisites for allocation of resources under the CSR Plans.
The plan shall clearly enunciate targets that are proposed to be achieved over the plan period. For each activity, a set of quantifiable indicators shall be developed for reporting on achievement.
The specific targets, indicators and benchmarks shall be identified based on national and state goals, local needs and existing situations.
Linked to government development schemes
The plans based on the thrust areas need to identify specific government programmes that can be dovetailed to achieve the desired targets. Such dovetailing can focus on complementing both financial and human resources. Preference shall be given to activities that benefit the state government/local administration/ panchayat Adequate care shall be taken to ensure that there is no duplication of CSR projects with that of programmes run by central, state, and/or local governments.
Use of local resources and low-cost technologies
Interventions for the area shall be planned with a focus on making use of local resources/materials, particularly to minimize the cost without compromising on quality.
Participation of panchayat, communities and local authorities
a) Internal monitoring
b) External evaluation by a independent and credible agency
c) Impact Assessment of all CSR activities