CORPORATE SOCIAL RESPONSIBILITY

OIL AND NATURAL GAS CORPORATION LIMITED

(ONGC)
INDIAN ESSENCE, GLOBAL PRESENCE

Abstract:
This project aims to offer a preliminary case study exploration of the Corporate Social Responsibility (CSR) issues being addressed and reported by researcher# Corporate Social Responsibility (CSR) is the commitment of business to contribute to sustainable economic de$elopment% &or!ing &ith employees% their families% the local community and society at large to impro$e 'uality of life% in &ays that are both good for business and good for de$elopment# (lthough the contemporary CSR agenda is maturing% the term CSR has not yet ta!en hold &ithin many public sector agencies% either in industrial or de$eloping countries# )e& go$ernment initiati$es ha$e been underta!en explicitly as pro*CSR initiati$es but nonetheless many ha$e contributed effecti$ely to the promotion of greater social responsibility# There is a significant opportunity for public sector bodies in de$eloping countries to harness current enthusiasm for CSR alongside !ey public policy goals and priorities to encourage deli$ery of results in both respects# i!hil "imaye the

Ackno !"#$"%"nt:
o boo! is entirely created by an indi$idual# ,any people ha$e helped to create this boo! and each of their contribution has been $aluable# The timely completion of this boo! is mainly due to the interest and persuasion of -rof# .li/abeth# 0e ta!e this opportunity to than! her for his guidance% support and the faith she has sho&n to us# 0e &ould li!e to than! -rof# ilesh ,anore% 1ead and co*coordinator for his on*Teaching

$aluable ad$ice gi$en time to time# 0e &ould also than! Teaching and &hene$er re'uired#

staff of Computer 2epartment for allo&ing us to use computers% internet and printers

0e than! ,r#3adade our 2irector for loo!ing after our &or! and for gi$ing $aluable comments# )inally% it is only &hen one &rites a boo! that one reali/es the po&er of ,icrosoft 0ord% from grammar chec!s to replace*alls# 4t is simple 5 &ithout this soft&are% this boo! &ould not be &ritten# Than! you ,icrosoft Corporation6

E&"c't()" S'%%ar*:

Chapter*1 Chapter*+ Chapter*7 Chapter*8 Chapter*9 Chapter*; Chapter*>

-age o# (bstract + (c!no&ledgement 7 .xecuti$e Summary 8 Certificate of (ppro$al 9 4ntroduction to :il and 3as 4ndustry ;*< 4ntroduction to :il and 3as Corporation 1=*+< "imited (: 3C) 4ntroduction to CSR 7=*78 4ntroduction to the project 79*7; )acts and )indings 7>*;+ (nalysis and 4nterpretation ;7 Conclusion and Recommendations ;8*;9 ?ibliography ;;

C"rt(+(cat" o+ A,,ro)a!:
8

This is to certify that ,r#

i!hil "imaye% Roll no *+<% student of first semester%

under the course of ,asters of ,anagement Studies of Changu @anaTha!ur 4nstitute of ,anagement Studies and Research% has successfully completed the term project titled ACorporate Social ResponsibilityB% under the guidance of -rof# .li/abeth ,atthe&s% in fulfillment of re'uirements of the ,,S course#

-rof# .li/abeth ,atthe&s C@T4,SR 2irector (C@T4,SR)

-rof# 3adade

C-a,t"r .: Intro#'ct(on to t-" In#'str*

The oil and gas industry has been instrumental in fuelling the rapid gro&th of the 4ndian economy# The petroleum and natural gas sector &hich includes transportation% refining and mar!eting of petroleum products and gas constitutes o$er 19 per cent of the countryCs gross domestic product (32-)# (s per an 4n$estment Commission report% petroleum exports ha$e also emerged as the single largest foreign exchange earner% accounting for 11#9 per cent and 19 per cent of the total exports in +==9*=; and +==;*=># The gro&th continues in the ne& fiscal &ith the export of petroleum products touching DSE +=#=7 billion during (pril*2ecember +==># 1o&e$er% 4ndiaCs domestic demand for oil and gas is also on the rise# (s per the ,inistry of -etroleum% demand for oil and gas is li!ely to increase from 1>;#8= million tones of oil e'ui$alent (mmtoe) in +==>*=F to +77#9F mmtoe in +=11*1+# (s per the ?- Statistical Re$ie& of 0orld .nergy% +==;% 4ndiaCs primary commercial energy consumption (including coal% oil and gas) &as 8+7 mmtoe in +==;% ma!ing it the fourth largest consumer in the &orld &ith a four per cent share of the global primary commercial energy consumption# The primary commercial energy consumption in 4ndia gre& at a compound annual gro&th rate (C(3R) of 8#9 per cent during 1<<;* +==;% &hich is more than double the global C(3R during the same period# :f the total primary commercial energy consumption in 4ndia% oil constitutes +F per cent and natural gas F per cent# Coal continues to be the dominant fuel accounting for 9> per cent of total energy consumption# 2omestic production of crude oil has been increasing steadily# 0hile production gre& by 9#; per cent in +==;*=> to 77#<F million tons (,T) from 7+#1< ,T in +==9*=;% it has increased to 78#11 ,T during +==>*=F#

G!oba! R"+(n(n$ /'b

4ndia is emerging as the global hub for oil refining as it enjoys competiti$e cost ad$antage% &ith capital costs lo&er by as much as +9 to 9= per cent o$er other (sian countries# (lready% the fifth largest country in the &orld in terms of refining capacity (up from 1<th in 1<<9)% &ith a share of 7 per cent of the global capacity% 4ndia is li!ely to boost its refining capacity by 89 per cent or ;9#7 mtpa (million tons per annum) o$er the next fi$e years% according to a 2eutsche ?an! report# (ccording to the report% 4ndian companies plan to increase their refining capacity to +8+ mtpa by +=11*1+ from about 18< mtpa in +==>#

4ndian :il Corp (4:C) plans to increase its refining capacity from ;=#+ mtpa to F= mtpa#

The t&o public sector underta!ings% 3(4" (4ndia) "td and 4ndian :il Corporation "td (4:C")% are loo!ing at setting up a DSE +#=< billion petrochemical plant at ?arauni% &hich &ould be of a minimum 7 la!hs tonnes capacity#

: 3C plans to scale up its refining capacity up to 89#9 million tonnes by +==<* 1= from about 17 mtpa in +==;#

Reliance 4ndustries "td is constructing a ne& refinery in the Gamnagar S.H &ith a capacity of +< mtpa% &hich &ill be operational shortly#

agarjuna :il Corp is planning a ne& refinery at Cuddalore &ith a capacity of ; mtpa to be operational by +=11 at an in$estment of DSE 1#=9 billion#

.ssar :il plans to more than triple the capacity at its refinery at Iadinar to 78 mtpa from the current 1=#9 mtpa at an in$estment of DSE ; billion#

1industan -etroleum Corporation plans to in$est DSE +#9 billion in expanding its Iisa!hapatnam refinery capacity to 1; million tonnes#

4n fact% RelianceCs ne& refinery (&hich &ill be the &orldCs only full*export*oriented refinery) &ill be the &orldCs sixth*largest# (nd &ith the existing refinery of R4"% the combined capacity (R-" along &ith R4") &ill turn the Gamnagar complex into the &orldCs largest single*location refinery#

>

R"ta(! S"ctor
The surge in automobile sales has led to significant in$estments being made to de$elop and expand the petroleum retail mar!et# (ccording to DS*based consultancy @eystone% automobile sales &hich number about a million $ehicles is li!ely to gro& to about += million a year by +=7=% ma!ing 4ndia% the third largest automobile mar!et in the &orld# Conse'uently% many companies ha$e stepped up in$estments to expand their retail net&or!# )or example% 4ndian :il Corporation (4:C)% ?harat -etroleum Corporation (?-C") and 1industan -etroleum Corporation (1-C") together are planning to open o$er 7%=== retail outlets this financial year as against +%=== outlets opened last year# Similarly% Reliance plans to build ;%=== ser$ices stations#

Gas
3as demand in 4ndia is dominated by the po&er and fertili/er sectors &hich account for ;; per cent of the current consumption# 4n +==;% the total gas demand &as estimated to be 19+ million standard cubic metres per day (,,SC,2)# The gas demand is projected to gro& at a C(3R of F#; per cent during +==>*=F to +=1;*1> to reach a le$el of 7+= mmscmd% &hich is more than double the existing demand% according to a report by .rnst J Koung titled C4ndian per cent by +=+9# .ncouraged by this scenario% a number of players ha$e e$inced a !een interest in laying pipelines in the domestic mar!et to supply gas to the consumers# )or example% 3ujarat State -etronet "td plans to connect all +9 districts of the state &ith +%+==* !ilometre high pressure gas pipeline laid do&n across the state# Reliance 4ndustries plans to in$est bet&een DSE 9#89 billion to DSE ;#98 billion o$er the next three years to lay a 1=%=== !m pipeline grid that co$ers main gas transport trun! lines supplemented by spur lines crisscrossing the country# atural 3as SectorC# Significantly% the share of natural gas in the o$erall fuel mix is expected to increase from F per cent in +==; to +=

Go)"rn%"nt In(t(at()"s

The go$ernment has been ta!ing many progressi$e measures to create conduci$e policy and regulatory frame&or! to attract in$estments into this industry#

The -etroleum and

atural 3as Regulatory ?oard ?ill% +==9 &as passed by the

-arliament in +==;# The bill en$isages setting up of an independent regulatory mechanism &ith the objecti$e of regulating the refining% processing% storage% transportation% distribution% mar!eting and sale of petroleum production and natural gas#

(llo&ing 1== per cent )24 in pri$ate refineries through automatic route and +; per cent in go$ernment*o&ned refineries#

4mplementation

of the e& .xploration "icensing -olicy ( ."-) in 1<<>#

(bolition of the administered pricing policy# 1== per cent )24 is also allo&ed in petroleum products% exploration% gas pipelines and mar!etingLretail through the automatic route#

The first mega oil% chemical and petrochemical in$estment hub is slated to come up at (ndhra -radesh% and is expected to attract a &hopping in$estment of DSE F; billion# ,ittal .nergy 4n$estments% Total S( of )rance and oil refining and mar!eting major% 1industan -etroleum Corp (1-C")% along &ith :il and atural 3as Corporation (: 3C) are some of the companies ma!ing an in$estment in the proposed petroleum% chemical and petrochemical in$estment region (-C-4R)# ( similar -C-4R is li!ely to come up at ?haruch in 3ujarat#

Roa# A-"a#
(n expanding economy &ith its concomitant increase in energy demand is li!ely to thro& open huge in$estment opportunities in the oil and gas industry# (ccording to a C44*@-,3 reportMN4ndia .nergy 4nc# * .merging :pportunities J ChallengesNM4ndiaCs energy sector &ould pro$ide in$estment a$enues &orth DSE 1+= billion*19= billion o$er the next fi$e years#

<

C-a,t"r 0: Intro#'ct(on to O(! an# Nat'ra! Gas Cor,orat(on L(%(t"# (ONGC)

1(s(on an# M(ss(on

: 3CBs $ision and mission reflect : 3CBs commitment to ,illennium 2e$elopment 3oals by focusing on health% safety and en$ironment and to enrich the 'uality of community life# )urther% : 3C is aligned to imbibe high standards of business ethics and organisational $alues% foster a culture of trust% openness and mutual concern to ma!e &or!ing a stimulating and challenging experience for : 3Cians and stri$e for $alue addition for all its sta!eholders# : 3C belie$es in action and stri$es to deli$er the desired results under the follo&ing principles of 3lobal Compact#

?usiness should support and respect the protection of internationally proclaimed human rights# ?usiness should ensure that they are not complicit in human rights abuses# ?usiness should uphold the freedom of association and the effecti$e recognition of the right to collecti$e bargaining# ?usiness should support the elimination of all forms of forced and compulsory labour# ?usiness should support the effecti$e abolition of child labour# ?usiness should support the elimination of discrimination in respect of employment and occupation# ?usiness should support a precautionary approach to en$ironmental challenges# ?usiness should underta!e initiati$es to promote greater en$ironmental responsibility# ?usiness should encourage the de$elopment and diffusion of en$ironmentally friendly technologies# 1=

 ?usiness should &or! against corruption in all its forms% including extortion and bribery#

Abo't t-" co%,an*:

@esha$a 2e$a ,ala$iya* realised the importance of an indigenous petroleum industry in 4ndia and laid the foundation of : 3C in august 1<9;# the scientists and the engineers of : 3C% fuelled by his pioneering spirit% ha$e made : 3C the .xploration and -roduction Company of (sia today# The corporate history of : 3C began in 1<9;% &ith the mandate for exploration and production (.J-) of hydrocarbons in 4ndia# :$er the past 89 years% : 3C has disco$ered nearly six billion tonnes of :il and 3as reser$es in 4ndia# The Corporation is no& implementing a Strategic -lan to double the reser$e*base in the next += years# Simultaneously% major in$estments are being underta!en to impro$e reco$ery from the producing fields% and to bring additional reser$oirs into accelerated production# ( major campaign for deep*&ater exploration has been initiated# (&arded (siaCs ?est :il and 3as Company% :il and atural 3as Corporation umero Dno

"imited is seen as the flagship for oil and gas companies (public sector) in 4ndia# 4ts competiti$e strength lies in Strong intellectual property base% information% !no&ledge% and s!illed and experienced human resource base#

: 3C is the o&ner of the largest pipeline (11=== !ilometers) in 4ndia# : 3C alone contributes o$er F8 per cent of 4ndianCs oil and gas production# : 3C has the distinction of ha$ing paid the highest*e$er di$idend in the 4ndian corporate history#

: 3C has 9 regional offices across 4ndia and t&o plants#

4n terms of its human resource base% : 3C has the follo&ing note&orthy featuresO

: 3C has an experienced and professional human resource base of more than 8=%=== employees# 11

(part from the 'uarterly and other job incenti$es% : 3C has successfully incorporated $arious Re&ard and Recognition Schemes% 3rie$ance 1andling Scheme and Suggestion Scheme#

: 3C has also set up < institutes offering speciali/ed courses in refining% mining% etc#

: 3C belie$es in participati$e culture and open communication#

: 3C is one of the pioneers of offshore and onshore drilling in 4ndia and is no& loo!ing for&ard to&ards expansion in deep&ater exploration and drilling and other allied areas of ser$ice sector# : 3C*Iidesh "td# (:I")% a &holly o&ned subsidiary of : 3C% has been ma!ing significant strides in ac'uisition of e'uity :il J 3as abroad# The gas property in Iietnam% &ith 89P participation by :I"% is due to go on stream this year# 2e$elopment of facilities in the Sa!halin*4 :il J 3as )ield (:I"Cs participating interest is +=P) is progressing &ellQ the first deli$ery of crude is scheduled in +==9% follo&ed by gas in +==># :I" is currently engaged in se$eral other trans*national negotiations for exploration assets as &ell as disco$ered fields# The grant of ,ar!eting Rights and the ac'uisition of ,R-" are major steps in transforming : 3C% the upstream leader% into an integrated :il and 3as Corporate#

1+

Back$ro'n# an# /(stor*

.234 5 .267
2uring the pre*independence period% the (ssam :il Company in the northeastern and (ttoc! :il company in north&estern part of the undi$ided 4ndia &ere the only oil companies producing oil in the country% &ith minimal exploration input# The major part of 4ndian sedimentary basins &as deemed to be unfit for de$elopment of oil and gas resources# (fter independence% the national 3o$ernment reali/ed the importance oil and gas for rapid industrial de$elopment and its strategic role in defense# Conse'uently% &hile framing the 4ndustrial -olicy Statement of 1<8F% the de$elopment of petroleum industry in the country &as considered to be of utmost necessity# Dntil 1<99% pri$ate oil companies mainly carried out exploration of hydrocarbon resources of 4ndia# 4n (ssam% the (ssam :il Company &as producing oil at 2igboi (disco$ered in 1FF<) and the :il 4ndia "td# (a 9=P joint $enture bet&een 3o$ernment of 4ndia and ?urma :il Company) &as engaged in de$eloping t&o ne&ly disco$ered large fields ahar!atiya and ,oran in (ssam# 4n 0est ?engal% the 4ndo*Stan$ac -etroleum project (a joint $enture bet&een 3o$ernment of 4ndia and Standard Iacuum :il Company of DS() &as engaged in exploration &or!# The $ast sedimentary tract in other parts of 4ndia and adjoining offshore remained largely unexplored# 4n 1<99% 3o$ernment of 4ndia decided to de$elop the oil and natural gas resources in the $arious regions of the country as part of the -ublic Sector de$elopment# 0ith this objecti$e% an :il and atural 3as 2irectorate &as set up to&ards the end of 1<99% as a atural Resources and Scientific Research# subordinate office under the then ,inistry of sur$ey of 4ndia# ( delegation under the leadership of ,r# @ 2 ,al$iya% the then ,inister of atural Resources% $isited se$eral .uropean countries to study the status of oil industry in 17

The department &as constituted &ith a nucleus of geoscientists from the 3eological

those countries and to facilitate the training of 4ndian professionals for exploring potential oil and gas reser$es# )oreign experts from DS(% 0est 3ermany% Romania and erst&hile D#S#S#R $isited 4ndia and helped the go$ernment &ith their expertise# )inally% the $isiting So$iet experts dre& up a detailed plan for geological and geophysical sur$eys and drilling operations to be carried out in the +nd )i$e Kear -lan (1<9;*9> to 1<;=*;1)# 4n (pril 1<9;% the 3o$ernment of 4ndia adopted the 4ndustrial -olicy Resolution% &hich placed mineral oil industry among the schedule C(C industries% the future de$elopment of &hich &as to be the sole and exclusi$e responsibility of the state# Soon% after the formation of the :il and atural 3as 2irectorate% it became

apparent that it &ould not be possible for the 2irectorate &ith its limited financial and administrati$e po&ers as subordinate office of the 3o$ernment% to function efficiently# So in (ugust% 1<9;% the 2irectorate &as raised to the status of a commission &ith enhanced po&ers% although it continued to be under the go$ernment# 4n :ctober 1<9<% the Commission &as con$erted into a statutory body by an act of the 4ndian -arliament% &hich enhanced po&ers of the commission further# The main functions of the :il and atural 3as Commission subject to the pro$isions of the (ct% &ere Nto plan% promote% organi/e and implement programmes for de$elopment of -etroleum Resources and the production and sale of petroleum and petroleum products produced by it% and to perform such other functions as the Central 3o$ernment may% from time to time% assign to it N# The act further outlined the acti$ities and steps to be ta!en by : 3C in fulfilling its mandate8

.26. 5 .227
Since its inception% : 3C has been instrumental in transforming the countryCs limited upstream sector into a large $iable playing field% &ith its acti$ities spread throughout 4ndia and significantly in o$erseas territories# 4n the inland areas% : 3C not only found ne& resources in (ssam but also established ne& oil pro$ince in Cambay basin (3ujarat)% &hile adding ne& petroliferous areas in the (ssam*(ra!an )old ?elt and .ast coast basins (both inland and offshore)# 18

: 3C &ent offshore in early >=Cs and disco$ered a giant oil field in the form of ?ombay 1igh% no& !no&n as ,umbai 1igh# This disco$ery% along &ith subse'uent disco$eries of huge oil and gas fields in 0estern offshore changed the oil scenario of the country# Subse'uently% o$er 9 billion tonnes of hydrocarbons% &hich &ere present in the country% &ere disco$ered# The most important contribution of : 3C% ho&e$er% is its self*reliance and de$elopment of core competence in .J- acti$ities at a globally competiti$e le$el#

A+t"r .227
The liberali/ed economic policy% adopted by the 3o$ernment of 4ndia in Guly 1<<1% sought to deregulate and de*license the core sectors (including petroleum sector) &ith partial disin$estments of go$ernment e'uity in -ublic Sector Dnderta!ings and other measures# (s a conse'uence thereof% : 3C &as re*organi/ed as a limited Company under the CompanyCs (ct% 1<9; in )ebruary 1<<8# (fter the con$ersion of business of the erst&hile :il J atural 3as Commission to that of :il J atural 3as Corporation "imited in 1<<7% the 3o$ernment disin$ested + per cent of its shares through competiti$e bidding# Subse'uently% : 3C expanded its e'uity by another + per cent by offering shares to its employees# 2uring ,arch 1<<<% : 3C% 4ndian :il Corporation (4:C) * a do&nstream giant and 3as (uthority of 4ndia "imited (3(4") * the only gas mar!eting company% agreed to ha$e cross holding in each otherCs stoc!# This pa$ed the &ay for long*term strategic alliances both for the domestic and o$erseas business opportunities in the energy $alue chain% amongst themsel$es# Conse'uent to this the 3o$ernment sold off 1= per cent of its share holding in : 3C to 4:C and +#9 per cent to 3(4"# 0ith this% the 3o$ernment holding in : 3C came do&n to F8#11 per cent# 4n the year +==+*=7% after ta!ing o$er ,R-" from the ( I ?irla 3roup% : 3C di$ersified into the do&nstream sector# : 3C &ill soon be entering into the retailing business# : 3C has also entered the global field through its subsidiary% : 3C Iidesh

19

"td# (:I")# : 3C has made major in$estments in Iietnam% Sa!halin and Sudan and earned its first hydrocarbon re$enue from its in$estment in Iietnam#

S/ARE/OLDING PATTERN Shareholding 2istribution (s :n Ruarter .nding September 7=% +==F :ctober 1>% +==F DETAILS O9 PERSONS:ENTITIES /OLDING .; OR MORE S/ARES AS ON SEPTEMBER <7, 077=
Na%" o+ t-" -o!#"r(s) -resident of 4ndia 4ndian :il Corporation "td# 3as (uthority of 4ndia "td# "ife 4nsurance Corporation of 4ndia No8 o+ S-ar"s 1%9F9%>8=%;>7 1;8%8F=%F9> 91%8==%+;> 9+%=F8%;8> P"rc"nta$" >8#18 Cat"$or* 4ndian -romoter

>#;< :ther 3o$t# Company +#8= :ther 3o$t# Company +#88 4nsurance Company

DISTRIBUTION O9 S/ARE/OLDING AS ON >UARTER ENDING SEPTEMBER <7, 077=

Cat"$or* A8 Pro%ot"r?s /o!#(n$ .8 Pro%ot"rs * 4ndian -romoters * )oreign -romoters * -ersons (cting in Concert S'b Tota! B8 Non5Pro%ot"rs /o!#(n$ 08 Inst(t't(ona! In)"stors a# ,utual )unds and DT4 b# ?an!s% )inancial 4nstitutions% 4nsurance Companies (Central L State 3o$t# 4nstts# L No8 o+ S-ar"s P"rc"nta$" o+ S-ar"-o!#(n$

1%9F9%>8=%;>7 4" 4" .,@=@,437,64<

>8#18 ** ** 438.3

7<%7=8%87+ FF%<99%=98

1#F8 8#1;

1;

on*3o$t# 4nstitutions) c# )44s S'b Tota! <8 Ot-"rs a# -ri$ate Corporate ?odies b# 4ndian -ublic c# R4sL:C?sLClearing ,embers S'b Tota! Gran# Tota!

17;%>=F%<>> +;8%<;F%8;7

;#7< .08<2

+8;%;>+%<F9 7<%+=8%7+1 +%+F;%=FF +FF%1;7%7<8 0,.<=,=40,@<7

11#98 1#F8 =#1= .<834 .77877

1>

1F

G!oba! Rank(n$

: 3C ran!s as the +==>#

umero Dno :il J 3as .xploration J -roduction (.J-)

Company in (sia% as per -latts +9= 3lobal .nergy Companies "ist for the year

: 3C ran!s +7rd "eading 3lobal .nergy ,ajor amongst the Top +9= .nergy ,ajors of the 0orld in the -lattBs "ist based on outstanding performance in respect of (ssets% Re$enues% -rofits and Return on 4n$ested Capital (R4:C) for the year +==># : 3C is the only Company from 4ndia in the )ortune ,aga/ineBs list of the 0orldBs ,ost (dmired Companies +==># : 3C is <th position in the 4ndustry of ,ining% crude oil production# : 3C ran!s +7<th position in the prestigious )orbes 3lobal +=== and ran!ing amongst 4ndian Companies# : 3C ran!s 7;<th position in )ortune 3lobal 9== list for the year +==; based on Re$enues# : 3C retains umero Dno position from 4ndia in terms of -rofits &ith o$erall global ran!ing of 1+1st#: 3C ran!s +1st among the top 9= publicly traded Companies in :il J 3as 4ndustry% based on the year*end (+==>) mar!et Capitali/ation by -)C .nergy# umero Dno

R",r"s"nts In#(a?s En"r$* S"c'r(t*

: 3C has single*handedly scripted 4ndiaBs hydrocarbon saga byO

1<

 .stablishing ;#8+ billion tonnes of 4n*place hydrocarbon reser$es &ith more than 7== disco$eries of oil and gasQ 4n fact% ; out of the > producing basins ha$e been disco$ered by : 3CO out of these 4n*place hydrocarbons in domestic acreages% Dltimate Reser$es are +#+< ?illion ,etric tonnes (?,T) of :il -lus :il .'ui$alent 3as (:S:.3)# Cumulati$ely producing >;+#7 ,illion ,etric Tonnes (,,T) of crude and 88=#> ?illion Cubic ,eters (?C,) of atural 3as% from 119 fields#

In#(a?s Most 1a!'ab!" Co%,an*

A?iggest 0ealth Creator (&ardB for the period +===*+==; instituted by ,Ls ,otilal :s&al Securities "td#% third time in a ro&8

Ran!ed as the most respected Company in -SD Category in the +==; ?usiness 0orld Sur$ey% &ith 17th position in the league of the most respected 4ndian Corporate# Tops the ?usiness 4ndia Super 1== list (among +F8 4ndian Companies ha$ing Sales in excess of Rs# 9== Crore)% based on Sales% -rofit (fter Tax (-(T)% et )ixed (ssets and ,ar!et Capitali/ation (2ec +==;)# Topped the $isibility metrics in 4ndian :il and 3as Sector and the only -SD in the top 1= list of 4ndian Corporate ne&sma!ers8 ,oodyBs 4n$estor Ser$ices a&arded the highest*e$er Credit Rating for an 4ndian Corporate C ?aa1 (indicati$e )oreign Currency debt rating)# CR4S4" and 4CR( also reaffirmed : 3C the highest credit rating of ((( and "((( respecti$ely#

P(on""r(n$ E++orts
: 3C is the only fully5integrated petroleum company in 4ndia% operating along the entire hydrocarbon $alue chainO

+=

 1olds largest share of hydrocarbon acreages in 4ndia# Contributes o$er >F percent of 4ndianBs oil and gas production# (bout one tenth of 4ndian refining capacity# Created a record of sorts by turning ,angalore Refinery and -etrochemicals "imited around from being a stretcher case for referral to ?4)R to the ?S. Top 7=% &ithin a year# 4nterests in " 3 and product transportation business#

Co%,"t(t()" Str"n$t (ll crudes are s&eet and most (>;P) are light% &ith sulphur percentage ranging

from =#=+*=#1=% (-4 gra$ity range +;T*8;T and hence attract a premium in the mar!et# Strong intellectual property base% information% !no&ledge% s!ills and experience# ,aximum number of .xploration "icenses% including competiti$e ."- rounds# : 3C o&ns and operates more than 19=== !ilometers of pipelines in 4ndia%

including nearly 7F== !ilometers of sub*sea pipelines# o other company in 4ndia operates e$en 9= per cent of this route length#

Strat"$(c 1(s(on: 077.50707

To focus on core business of .J-% : 3C has set strategic objecti$es ofO 2oubling reser$es (i#e# accreting ; billion tones of :S:.3)# 4mpro$ing a$erage reco$ery from +F per cent to 8= per cent# Tie*up += ,,T-( of e'uity 1ydrocarbon from abroad#

The focus of management &ill be to monetise the assets as &ell as to assetsB the money#

+1

So'rc(n$ ED'(t* O(! Abroa#

: 3CBs o$erseas arm : 3C Iidesh "imited (:I")% has laid strong foothold in a number of lucrati$e acreages% some of them against stiff competition from international oil majors# :I"Bs projects are spread out in Iietnam% Russia% Sudan% 4ra'% 4ran% "ibya% ,yanmar% Syria% Ratar% .gypt% Cuba% countries# 2uring +==;*=>% :I" has ac'uired sta!es in < -rojects in ; Countries% out of &hich ; -rojects &ere ac'uired through participation in bidding rounds and 7 from the existing concession holders# Sa!hlalin*1 project in Russia commenced export of crude oil from September +==; and pea! production of +9=%=== bopd &as achie$ed in ,arch +==>#Crude :il production from ?loc! 9( in Sudan commenced in ,ay +==;# Consortium of ?loc!s (*1 and (*7 in ,yanmar made gas disco$eries# Consortium of orth Ramadan ?loc! in .gypt made :il disco$ery# :I" Currently has participation in +< .J- -rojects in 19 Countries# :ut of the existing +< -rojects% :I" is :perator in 18 -rojects and Goint :perator in + -rojects in < Countries# :I"Bs share in production of oil and oil*e'ui$alent gas (:S:.3)% together &ith its &holly o&ned subsidiaries : 3C ile 3anga ?I and : 3C (ma/on (la!nanda "td% is >#<9+ ,,T#: 3CBs strategic objecti$e of sourcing += million tonnes of e'uity oil abroad per year is li!ely to be fulfilled &ell before +=+=# igeria Sao Tome -rincipe% ?ra/il% igeria and Columbia# 4t is further pursuing :il and gas exploration bloc!s in $arious oil and gas rich

++

9ront("rs o+ T"c-no!o$*
State*of*the*art seismic data ac'uisition% processing and interpretation facilities# Dses one of the Top Ten Iirtual Reality 4nterpretation facilities in the &orld# (lliances &ith Transocean% Schlumberger% 1alliburton and ?a!er 1ughes% 4-R% -etro bras% ors!% . 4% Shell# :ne of the biggest .R- implementations in the (sia

B"st (n C!ass In+rastr'ct'r" an# 9ac(!(t("s

: 3CBs success rate is at par &ith the global norm and is ele$ating its operations to the best in class le$el% &ith the moderni/ation of its fleet of drilling rigs and related e'uipment# : 3C has adopted ?est*in*class business practices for moderni/ation% expansion and integration of all 4nfo*com systems#

Ons-or"
-roduction 4nstallationsO * +8= -ipeline et&or! (!m) O* 19%F== 2rilling Rigs O* >= 0or! :$er rigs O* >8 Seismic Dnits O* +< "ogging Dnits O* 7+ .ngineering 0or!shops O* +

+7

 Iirtual Reality Centre O* 9 Regional Computer Centre O* 9

O++s-or"
0ell -latformsO * 18> 0ell*cum*-rocess -latforms O* 7+ -rocess -latforms O* 17 2rilling Rigs O* +< -ipeline et&or!s (!m) O* 8%9== :ffshore Supply Iessels O* 99 Special (pplication Iessels O* 8 (including + ,SI) Seismic Iessels O* 1

T-" Roa# A-"a#

: 3C loo!s for&ard to become an integrated energy pro$ider% &ithO e& 2isco$eries and fast trac! de$elopment

.'uity :il from (broad 2o&nstream Ialue (dditions J )or&ard 4ntegration "e$eraging state*of*the art technology and global best practices e& Sources of .nergy

-roduction from small and marginal fields#

ONGC GROUP COMPANIES

+8

The : 3C 3roup of Companies comprises of 5 1. ONGC 1(#"s- L(%(t"# (O1L): :I" is the &holly o&n subsidiary of : 3C &hich has been mandated to carry out international .Jbusiness operations of the parent company# 2. Man$a!or" R"+(n"r* an# P"troc-"%(ca!s L(%(t"# (MRPL): This is a >1#;=P subsidiary of : 3C# 4t is the only other listed company besides parent : 3C &ithin the : 3C group# 3. ONGC N(!" Gan$a B1 (ONG B1): This is the &holly o&ned subsidiary of : 3C Iidesh "imited &hich% in turn% is 1==P o&ned by : 3C# The company &as incorporated in etherlands and has +9P participating interest in the 3reater ile :il -roject in Sudan producing crude oil from on*shore bloc!s earmar!ed for the purpose# 4. ONGC M(tta! En"r$* L(%t"# (OMEL): This is the joint $enture bet&een : 3C Iidesh "imited and ,ittal 4n$estments Sarl in the ratio of 8<#<FP O 8F#=+P &ith S?4 Capital holding the remaining +P# This joint $enture aims to source e'uity oil and gas from abroad for securing 4ndiaBs energy independence# 5. ONGC M(tta! En"r$* S"r)(c"s L(%(t"# (OMESL): This is the joint $enture bet&een : 3C Iidesh "imited and ,ittal 4n$estments Sarl &ith the same o&nership structure as that of :,."# This joint $enture &ill be in$ol$ed in trading and shipping of oil and gas (including " 3) sourced by :,." from abroad# 6. ONGC Tr(,'ra Po "r Co%,an* P)t8Lt#8 (OTPCL): : 3C has embar!ed upon a project for generation of po&er &ith >9= ,0 gas based closed*cycle po&er plant# The project is being de$eloped by a S-I bet&een 4"J)S% 3o$ernment of Tripura and : 3C &ith an e'uity share of 9=P% +8P and +;P respecti$ely# The project is estimated to cost around Rs 7F== Crores and is expected to be commissioned during the first 'uarter of +==F# 7. Eak(na#a R"+(n"r* F P"troc-"%(ca!s L(%(t"# (ERPL): This is a public pri$ate joint $enture company formed pursuant to an ,:D bet&een ,R-"% @a!inada Seaport "imited(@S-")% 4"J)S and (3o$ernment% to set up an export*oriented refinery of >#9 ,,T-( capacity at @a!inada in coastal (ndhra -radesh &hich is en$isaged to be integrated &ith bio*diesel facility#

+9

8. Eak(na#a SEG L(%(t"#: 4n tune &ith the recent initiati$es of ,inistry of Commerce and 4ndustry% 3o$t#of 4ndia% for declaring Special .conomic Hones (S.Hs) to boos industrial gro&th in the country% : 3CL,R-" has become co*promotor under public*pri$ate partnership to form this joint $enture company and it is en$istaged that @R-" and other gas infrastructure units &ill be located &ithin the @a!inada S.H to li$erage financial initiati$es and to bolster economic gro&th# <# Man$a!or" SEG L(%(t"#: 0ith a $ie& to pro$iding synergy &ith ,R-"% large petroleum and petrochemicals based projects are en$isaged to be de$eloped at ,angalore# 0ith $ie& to optimi/ing the capital cost during the construction of the project and subse'uently promoting sale of petrochemical intermediates% a decision &as ta!en to associate &ith a special economic /one (S.H) Contemplated for de$elopment at ,angalore# The S.H &ill be an S-I &ith @arnata!a 4ndustrial (reas 2e$elopment ?oard (@4.2?)% @arnata!a Chambers of Commerce and 4ndustry (@CC") and : 3C bet&een them bringing in 8<P e'uity &ith : 3C contributing +;P# 4" J )S has offered to ta!e the remaining 91P e'uity# This S-I is in the process of being incorporated# 1= Da-"H SEG L(%(t"#: : 3C participating in the initiati$e of 3o$t# of # 3ujarat has formed a joint $enture company under public pri$ate partnership to establish and de$elop necessary infrastructure facilities &ithin a land of 1>8= hectares in cooperation &ith 3ujarat 4ndustrial 2e$elopment Corporation# : 3C is currently engaged in implementing its C+*C7 extraction project% &hich &ill be located &ithin this S.H#

11 RaHast-an R"+(n"r* L(%(t"# (RRL): 0ith the recent disco$ery of &axy # oil in ,angla and other adjoining structure by Cairn .nergy 4ndia% its -SC partner in Rajashtan ?loc!% ,R-" has been nominated by 3o$t# of 4ndia as its nominee for buying the crude oil to be produced from this bloc!# ,R-"% in coordination &ith Cairn .nergy% and as per due facilitation by Rajasthan 3o$t#% has proposed to form a joint $enture company named Rajasthan Refinery "imited (RR")% &hich &ill examine the techno*economic $iability of establishing a &ell*head refinery of >#9 ,,--( Capacity and if found feasible &ill implement the same at a suitable location in Rajasthan#

+;

9(nanc(a! Stat"%"nts:
Ba!anc" S-""t Mar I73 .0 %t-s So'rc"s O+ 9'n#s Tota! S-ar" Ca,(ta! ED'(t* S-ar" Ca,(ta! S-ar" A,,!(cat(on Mon"* Pr"+"r"nc" S-ar" Ca,(ta! R"s"r)"s R")a!'at(on R"s"r)"s N"t ortS"c'r"# Loans Uns"c'r"# Loans Tota! D"bt Tota! L(ab(!(t("s 5555555555555555555 (n Rs8 Cr8 5555555555555555555 Mar I7@ Mar I76 Mar I74 Mar I7= .0 %t-s .0 %t-s .0 %t-s .0 %t-s

.,30@82< .,30@82< 7877 7877 <2,..48.4 7877 37,@3<8.7 7877 ..,374842 ..,374842 @.,2@78=2 Mar I73 .0 %t-s

.,30@82< .,30@82< 7877 7877 3@,3.2832 7877 36,=3@830 7877 2,2.6800 2,2.6800 @6,46.863 Mar I7@ .0 %t-s

.,30@82< .,30@82< 7877 7877 @0,@<<843 7877 @<,2@2864 7877 .0,40086. .0,40086. 66,6=080= Mar I76 .0 %t-s

0,.<=8=2 0,.<=8=2 7877 7877 @2,4=@873 7877 6.,20<82< 7877 .@,.72874 .@,.72874 44,7<<877 Mar I74 .0 %t-s

0,.<=8=2 0,.<=8=2 7877 7877 6=,34=8@. 7877 47,6.4837 7877 .0,3=084. .0,3=084. =<,.778.. Mar I7= .0 %t-s

A,,!(cat(on O+ 9'n#s Gross B!ock L"ss: Acc'%8 D",r"c(at(on N"t B!ock Ca,(ta! Jork (n Pro$r"ss In)"st%"nts In)"ntor("s S'n#r* D"btors Cas- an# Bank Ba!anc" Tota! C'rr"nt Ass"ts Loans an# A#)anc"s 9(&"# D",os(ts Tota! CA, Loans F A#)anc"s D"+"rr"# Cr"#(t C'rr"nt L(ab(!(t("s Pro)(s(ons Tota! CL F Pro)(s(ons

3.,774860 <@,<<28.6 @,66=836 0@,.=3822 3,30.864 0,37@862 0,<.48=7 .@8<3 3,4<=8=< .4,.=4862 =,4068<7 <7,6@08=0 7877 .0,77483@ 0,@.780= .3,@.484<

30,2=<8=@ <4,.348<0 @,=<68@< 0=,=<=8<@ 3,7<6864 0,@628.2 <,4028<. 078== 6,<.28<= <2,@4384< 2,33@82= @@,<37872 7877 .<,032876 03,@408.7 <4,=0.8.6

34,==08<@ 37,7378.@ 4,=30807 <<,<4<820 3,===8@4 <,7<=832 <,47380= 6228=7 4,3308@4 @0,02<8=< =,..<870 64,=32830 7877 .6,@.@84= <.,.008<2 34,6<=8.4

@0,7<=874 3<,.2=82@ =,=<28.0 <4,4238.6 @,47087@ <,7<<846 0,4@2833 04830 @,=07860 @=,4.7842 .2,0@<8<4 =<,4=384= 7877 .2,=<@822 <2,46@807 @2,67.8.2 +>

@4,36<84= 36,23@844 .7,@.=87. 3.,.@386< @,=228@7 <,3=7863 3,<678<4 00,3.4866 <7,0@=864 .2,@4383= 7877 32,=<<8.@ 7877 .=,0=@823 6,62<8.< 03,242874

N"t C'rr"nt Ass"ts M(sc"!!an"o's E&,"ns"s Tota! Ass"ts Cont(n$"nt L(ab(!(t("s Book 1a!'" (Rs) Y"ar!* R"s'!ts

.6,.<@872 @3786= @.,2@78= 2 00,3@68<. 0=38<<

.4,@.=82< @<.8.6 @6,46.863 06,@2<83@ <0=8@0

07,0..80@ 03,.=<8@2 03,=@387= <668<3 @.3876 64<827 66,6=080= 44,7<082= =<,.778.0 <0,27484. <3,.@48.4 06,77684< <4=830 0=28@0 <<78.6

5555555555555555555 (n Rs8 Cr8 5555555555555555555 Mar I73 Mar I7@ Mar I76 34,2008=4 0,<@3822 @7,0448=6 07,@44870 04,<3@8=@ 55 55 55 55 55 6378@3 55 55 Mar I74 @6,6<08=. 3,03<8.7 67,=4@82. 0=,.@28=0 0=,340822 55 55 55 55 55 34@876 55 55 55 55 55 <@,72.832 @=82= <@,7<08@. 2,424820 55 0@,0<38@2 =,20787@ .6,<.38@3 <=48.. 55 55 55 55 4680= +F Mar I7= @2,=3=8@0 @,7.7866 63,=@28.= 02,464862 <7,7=78=< 55 55 55 55

Sa!"s T'rno)"r Ot-"r Inco%" Tota! Inco%" Tota! E&,"ns"s O,"rat(n$ Pro+(t Pro+(t On Sa!" O+ Ass"ts Pro+(t On Sa!" O+ In)"st%"nts Ga(n:Loss On 9or"($n E&c-an$" 1RS A#H'st%"nt Ot-"r E&traor#(nar* Inco%":E&,"ns"s Tota! E&traor#(nar* Inco%":E&,"ns"s Ta& On E&traor#(nar* It"%s N"t E&tra Or#(nar* Inco%":E&,"ns"s Gross Pro+(t Int"r"st PBDT D",r"c(at(on D",r"c(at(on On R")a!'at(on O+ Ass"ts PBT Ta& N"t Pro+(t Pr(or Y"ars Inco%":E&,"ns"s D",r"c(at(on +or Pr")(o's Y"ars Jr(tt"n Back: Pro)(#"# D()(#"n# D()(#"n# Ta& D()(#"n# (;) Earn(n$s P"r S-ar"

<0,76<82< .,@3487= <<,6..87. .3,<=<8<6 .4,6=78@4 55 55 55 55 55 55 55 55

36,<60823 .,402842 3=,72084< 00,.=48=6 03,.4@87= 55 55 55 55 55 55 55 55

.2,00486@ 0@,2738=4 3684@ <484. .2,.=7827 0@,=648.6 @,@4.8=6 6,07.86. 55 55

02,4778=3 <0,4.6872 36824 0.8@7 <7,02383. <<,.6286@ =,3@480= 2,322833 55 55

.<,672873 .2,66@8@@ 3,2@=844 6,6=@8.0 =,6@7804 .0,2=783< .38.6 50860 55 55 55 55 67866 55 55 55 55 2.87<

0.,=<48.< 0<,64780. 4,<.<843 =,704802 .3,@0<8<2 .@,630820 52086. 55 55 55 55 55 .7.8=@ 55 55 55 55 4<8.3

Book 1a!'" ED'(t* R"s"r)"s 9ac" 1a!'"

55 55 .,30@82< .,30@82< <=,<06832 33,6<=8<0 .7877 .7877

55 55 .,30@82< 0,.<=8=4 @.,2.4837 @2,70782= .7877 .7877

55 0,.<=8=4 64,@@386. .7877

Competition
Last Pr(c" Mark"t Ca,8
(Rs8 cr8)

ONGC Ca(rn In#(a GAIL R"!(anc" Nat'ra! Aban O++s-or" /(n# O(! E&,!or" K(n#a! Dr(!!(n$ S-() 1an( O(! S"!an E&,!or" Do!,-(n O++s-or"

66.8=@ .<38=7 .24807 37847 6378<@ @48=@ 037877 .0@877 .06867 .0@807

Sa!"s N"t Pro+(t T'rno)"r .3.,@6.80= @2,=3=8@0 .6,<.38@3 0@,@<682. .804 54=8=0 0@,7.38<4 .=,77=807 0,67.836 6,6368=3 070842 6=867 0,307864 6@=830 .@4827 4@3827 =<8<@ 038.7 @@78<@ 3.<80< .=822 @3=8=@ 040806 <=8<2 .=08@. <3836 .<8.7 ..284@ 00484. .6806

Tota! Ass"ts =<,.778.0 02,<4<832 .3,04784@ 0,2<<82. 0,362800 .,.@@8<= 0468@< .,<=4870 4.8<< 0<082.

+<

C-a,t"r < Intro#'ct(on to Cor,orat" Soc(a! R"s,ons(b(!(t*

D"+(n(t(ons o+ soc(a! r"s,ons(b(!(t* Cor,orat" soc(a! r"s,ons(b(!(t* (CSR) (s:

(n obligation% beyond that re'uired by the la& and economics% for a firm to pursue long term goals that are good for society The continuing commitment by business to beha$e ethically and contribute to economic de$elopment &hile impro$ing the 'uality of life of the &or!force and their families as &ell as that of the local community and society at large (bout ho& a company manages its business process to produce an o$erall positi$e impact on society

Cor,orat" soc(a! r"s,ons(b(!(t* %"ans:

Conducting business in an ethical &ay and in the interests of the &ider community#

Responding positi$ely to emerging societal priorities and expectations ( &illingness to act ahead of regulatory confrontation ?alancing shareholder interests against the interests of the &ider community ?eing a good citi/en in the community 7=

Is CSR t-" sa%" as b's(n"ss "t-(csL

There is clearly an o$erlap bet&een CSR and business ethics ?oth concepts concern $alues% objecti$es and decision based on something than the pursuit of profits

(nd socially responsible firms must act ethically

The difference is that ethics concern indi$idual actions &hich can be assessed as right or &rong by reference to moral principles# CSR is about the organisationBs obligations to all sta!eholders 5 and not just shareholders#

T-"r" ar" +o'r #(%"ns(ons o+ cor,orat" r"s,ons(b(!(t*

.conomic * responsibility to earn profit for o&ners "egal * responsibility to comply &ith the la& (societyBs codification of right and &rong)

.thical * not acting just for profit but doing &hat is right% just and fair Ioluntary and philanthropic * promoting human &elfare and good&ill ?eing a good corporate citi/en contributing to the community and the 'uality of life

T-" #"bat" on soc(a! r"s,ons(b(!(t*:

ot all business organisations beha$e in a socially responsible manner (nd there are people &ho &ould argue that it is not the job of business organisations to be concerned about social issues and problems There are t&o schools of thought on this issueO

4n the free mar!et $ie&% the job of business is to create &ealth &ith the interests of the shareholders as the guiding principle

The corporate social responsibility $ie& is that business organisation should be concerned &ith social issues 71

9r"" %ark"t )(" 5 a s'%%ar*

The role of business is to create &ealth by pro$iding goods and ser$ices There is one and only one social responsibility of business* to use its resources and engage in acti$ities designed to increase its profit so long as it stays &ill the rules of the game% &hich is to say% engages in open and free competition% &ithout deception or fraud# U,ilton )riedman% (merican economistV

3i$ing money a&ay is li!e a self imposed tax ,anagers &ho ha$e been put in charge of a business ha$e no right to gi$e a&ay the money of the o&ners

,anagers are employed to generate &ealth for the shareholders * not gi$e it a&ay )ree mar!ets and capitalism ha$e been at the centre of economic and social de$elopment

4mpro$ements in health and longe$ity ha$e been made possible by economies dri$en by the free mar!et

To attract 'uality &or!ers it is necessary to offer better pay and conditions and this leads to a rise in standards of li$ing and &ealth creation

)ree mar!ets contribute to the effecti$e management of scarce resources 4t is true that at times the mar!et fails and therefore some regulation is necessary to redress the balance

?ut the correcting of mar!et failures is a matter for go$ernment * not business Regulation should be !ept to a minimum since regulation stifles initiati$e and creates barrier to mar!et entry

T-" +r"" %ark"t cas" a$a(nst cor,orat" soc(a! r"s,ons(b(!(t*

The only social responsibility of business is to create shareholder &ealth The efficient use of resources &ill be reduced if businesses are restricted in ho& they can produce

The pursuit of social goals dilutes businessesB primary purpose Corporate management cannot decide &hat is in the social interest 7+

Costs &ill be passed on to consumers 4t reduces economic efficiency and profit 2irectors ha$e a legal obligation to manage the company in the interest of shareholders 5 and not for other sta!eholders

CSR beha$iour imposes additional costs &hich reduce competiti$eness CSR places un&elcome responsibilities on businesses rather than on go$ernment or indi$iduals

T-" cor,orat" r"s,ons(b(!(t* )("

?usinesses do not ha$e an un'uestioned right to operate in society Those managing business should recognise that they depend on society ?usiness relies on inputs from society and on socially created institutions There is a social contract bet&een business and society in$ol$ing mutual obligations that society and business recognise that they ha$e to each other

Stak"-o!#"r t-"or*
The basic premise is that business organisations ha$e responsibility to $arious groups in society (the internal and external sta!eholders) and not just the o&nersL shareholders The responsibility includes a responsibility for the natural en$ironment 2ecisions should be ta!en in the &ider interest and not just the narro& shareholder interest

Ar$'%"nts +or soc(a!!*5r"s,ons(b!" b"-a)(o'r

4t is the ethical thing to do 4t impro$es the firmB public image 4t is necessary in order to a$oid excessi$e regulation Socially responsible actions can be profitable 4mpro$ed social en$ironment &ill be beneficial to the firm 4t &ill be attracti$e to some in$estors 77

4t can increase employee moti$ation 4t helps to corrects social problems caused by business

En!($-t"n"# s"!+ (nt"r"st

This is the practice of acting in a &ay that is costly andLor incon$enient at present but &hich is belie$ed to be in oneBs best long term interests# There is a long history of philanthropy based on enlightened self interests e#g# Robert :&ensBs e& "anar! ,ills% Titus SaltBs Saltaire as &ell the &or! of the Rua!er chocolate ma!ers such as Cadbury at ?ourn$ille and Ro&ntree in Kor!# .nlightened self interest is summed up in this 'uotation from (nita Roddic! (founder of the ?ody Shop)O?eing good is good for business

CSR b"-a)(o'r can b"n"+(t t-" +(r% (n s")"ra! a*s

4t aids the attraction and retention of staff 4t attracts green and ethical in$estment 4t attracts ethically conscious customers 4t can lead to a reduction in costs through re*cycling 4t differentiates the firm from its competitor and can be a source of competiti$e ad$antage

4t can lead to increased profitability in the long run

78

C-a,t"r 3: INTRODUCTION TO T/E PROKECT

Through an in*depth exploration of the dilemmas% challenges% and complexities inherent to current models of corporate social responsibility% the program &ill push the frontiers of the field and bring into focus the next generation of issues facing practitioners#

Ro!" o+ P'b!(c s"ctor

4nclusi$e and substanti$e gro&th is t&o main priorities of the -ublic Sector .nterprises#

CSR acti$ities are generally carried more by the -ublic Sector .nterprises in comparison &ith the pri$ate sector8 -ublic Sector .nterprises are more inclined to&ards social benefits rather than ma!ing profits# Dnderstand the effects of strategic corporate social responsibilityMits benefits and its costs 2ri$e corporate social responsibility throughout the organi/ation% integrating it &ith corporate strategy% decision ma!ing% and ris! assessment#

79

Realign corporate culture &ith corporate social responsibility strategies# Dnderstand the political context of operations% and successfully interact and communicate &ith go$ernments% 3:s% and !ey sta!eholders# .nsure that systems are in place for both a$oiding potential damaging e$ents and mitigating the effects of a crisis after it has occurred#

4dentify and explore the most critical emerging issues facing the field of corporate social responsibility in the next decade#

7;

C/APTER @: 9ACTS AND 9INDINGS

R")()(n$ /"r(ta$" Cra+t In#'str("s ProH"ct ALaa#!(B 1(!!a$" L")"! Ent"r,r(s"s En!(st%"nt o+ Tr(ba! Ar"as ONGC Ca')"r* Ass"t Pro$ra%%" Rotar* C!'b In(t(at()"s /"a!t- Car" S',,ort(n$ Entr",r"n"'rs-(, ProH"cts E#'cat(on R"!("+ 9'n# Packa$"s En)(ron%"nt Prot"ct(on Pro$ra%%"s Sa+"t* Pro$ra%%"s S,orts
Ot-"rs

7>

R")()(n$ /"r(ta$" Cra+t In#'str("s

: 3C% Chennai in$ited a proposal for supporting an .ntrepreneurship project from 2istrict Collector% Tiru$arur# 1e proposed that : 3C can pro$ide support to the @urinji 0omen Self 1elp 3roup% -anayur -anchayat% @ottur ?loc!% Tiru$arur 2istrict% and Tamil adu# This S13 produces Coir from the locally eed (ssessment for this initiati$e &as a$ailable coconut )ibres and mar!eting#

done# The area in &hich the project &as to be underta!en &as a remote bac!&ard rural area# ,ost of the people &ere li$ing belo& the po$erty line# : 3C analysed the feasibility of the project# 4t &as obser$ed that the ra& materials re'uired for the coir industry &ere a$ailable from coconut trees in and around this area% and also% ;=P of the products manufactured through this industry could be consumed locally since there are good number of huts and cattle in this area# The &omen of this area &ere unstintingly industrious to impro$e their standard of li$ingQ this &as e$ident from their objecti$e of forming Self 1elp 3roup (S13)# : 3C#s Support R"5cr"at(n$ a !ost -"r(ta$": C-an#"r( (/an#!oo% In#'str*) 4n the year +==8% : 3C came across a proposal from Commissioner% 1andloom% ,adhya -radesh see!ing financial support for preser$ing the dying art of Chanderi handloom% at Chanderi# Chanderi is a small to&n bordering ,adhya -radesh and Dttar -radesh on the ban!s of ?et&a Ri$er# Chanderi has a population of around 7=%===# 0ith about 7%9== looms acti$ely &or!ing% almost ;=P of this population is directly or 7F

indirectly dependent on the handloom business# :thers ma!e beedis (local cigarettes using tobacco leaf) and earn dismally lo& &ages# Chanderi textiles &ere patroni/ed initially by the ,ughals in the >th century (2# The elegance of the soft Chanderi colours lies in their constant reference to nature# The magic is in &arp and &eft * taana and baana# The sil! yarn is largely imported Chinese or @oreanQ the cottons procured from Coimbatore and Gaipur# 0ea$ing is performed by one or t&o s!illed &or!ers of the same family# The looms are traditional pit looms &ith thro& shuttle# Chanderi brocades ha$e been the pride of 4ndian craft and are much appreciated &ithin 4ndia and the &orld o$er# The delicate fabric &ith intricate ethnic motifs% hand &o$en into the material are a$ailable in a $ariety of items li!e saris% dress material% ladies stoles% table cloths% cushion co$ers and table nap!ins# :bjecti$e of the projectO 4n$asion of the business by exploitati$e traders created a huge economic gap bet&een the &ea$ers and traders# The &ea$ers lac!ed the resources to buy and store ra& material% create and circulate samples of products besides lac!ing !no&*ho& about designing and mar!et opportunities# )e& contemporary designers &or!ed on the fabric and Chanderi lost out as a fabric for the fashion conscious buyer# The &ea$ing community also began to suffer as the traders and moneylenders cornered all profits and paid $ery little &ages# (t their mercy% the &ea$ers &ere resigned to bondage# 2etails of selection of target populationO 0ea$ers faced follo&ing constraintsO 2iminishing demand of the handloom products* 2ue to lac! of designs &hich &ere not $ery appealing and &ere $ery Stereotyped# "ac! of mar!eting support "ac! of guidance "ac! of infrastructure 4lliterate% innocent beneficiaries# "ac! of institutional buyers "ac! of ne& designs for the product "ac! of product inno$ations "ac! of modern manufacturing processes Ruality of the product going do&n "ac! of credit facilities(producti$e and consumpti$e) 7<

Seasonal nature of &or! ations 4ndustrial 2e$elopment :rganisation#

4n this $ulnerable time% 7= odd &ea$ers came together to form ?un!ar Ii!as Sanstha (?IS)% a S13 under the aegis of Dnited 0ea$ers no& had their o&n organisation to address their problems on long term basis in self sustainable manner# ?IS &as established in +==8 as an apex body of 17 Self 1elp 3roups of 11< &ea$ers of Chanderi handloom &ith an objecti$e of economic and social empo&erment of the &ea$er community# 4mplementation of the projectO Considering the re'uest from ?IS appeared doubtful for acceptance by : 3C% as the $illage Chanderi does not come under : 3C#s operational area# 1o&e$er% on careful scrutiny% it &as obser$ed that assisting a project focused on preser$ing 4ndian heritage and mainstreaming the poor &ea$ers (comprising of mainly poor &omen from minority community) to&ards sustainable de$elopment &ould be an ideal CSR 4nitiati$e# This &as follo&ed by mar!et sur$ey and other correspondences to ascertain the sustainability of the project# 4t &as learnt that the hand &o$en fabric &as gradually a dying art as mill &o$en textiles had s&amped the mar!et and needed support to become self*sustainable# : 3C joined this fledgling mo$ement &ith a corpus fund# The &ea$ers used this much needed money to buy ra& material# The &ea$ers &ere exposed to exhibitions and traditional fairs# They &ere the ne& entrepreneurs# (rmed &ith expertise% they created modern elegant designs and mar!eted the heritage art inno$ati$ely# -ranpur% another $illage in neighbourhood% &ith about +9= functional looms approached ?IS to recreate the success story of Chanderi# To ta!e this initiati$e further% : 3C supported ?IS once again &ith seed money for the micro*finance acti$ities# Today ;= Self 1elp 3roups are engaged in microfinance acti$ities by practicing regular sa$ings and inter*lending to members# This &as follo&ed up &ith an support to ?IS for purchasing a land to establish an 2ying and RJ2 Centre# .xtent and role of the communitiesO -resently there are 7=== acti$e looms in Chanderi and &omen play a substantial role in the production process# This heritage craft pro$ides employment to 1F%=== inhabitants# The traditional &ood&or!er still ma!es the looms and repairs them# -reparatory &or! is carried out in the narro&est lanes &ith the family members pitching in# Iarious 3o$ernment agencies both at State and Central "e$el are acti$ely in$ol$ed in protection of the trade at Chanderi#

8=

0ith : 3C as their guide% ?IS has begun its journey to&ards total empo&erment# : 3C has endea$oured to strengthen ?IS as an institution and &as also initiated a brilliant concept of bul! purchasing of their produce as sou$enir% gifts etc# for internal use in : 3C#

ProH"ct ALaa#!(B
: 3C launched project A"aadliB along &ith -opulation )irst to create a&areness on ASa$e the 3irl ChildB campaign# ( panel discussion &as held &ith eminent cine artistes% doctors% social &or!ers% la&yers and journalists# This generated immense interest and $olunteers came for&ard to ta!e the campaign ahead# 0ee!ly radio programs are no& being broadcast on (smita channel of (ll 4ndia Radio% ,umbai conceptuali/ed and de$eloped by : 3C $olunteers% ( special &or!shop A-rayasB &as held to launch the radio programme for A"aadliB#

1(!!a$" L")"! Ent"r,r(s"s

Construction of &or! sheds for Iillage "e$el .nterprises &as another important CSR acti$ity by : 3C 0estern :ffshore Dnit% ,umbai# -roject support &as pro$ided to Trust for Iillage elf 3o$ernance at @uthamba!!am to con$ert locally produced units into finished goods% The funds pro$ided &ere utili/ed for sheds for oil extraction% building materials such as ,icro concrete roofing tiles% pa$ing bloc!s% energy efficient handlooms% sto$es% lamps and dairy processing#

81

En!(st%"nt o+ Tr(ba! Ar"as

4n the tribal areas at ?astar% the thrust area of : 3C 0estern :ffshore Dnit% ,umbaiBs special CSR initiati$e &as the eradication of sic!le cell anemia and nutrition of children# )or this% it aligned &ith ?hartiya @ushtha (?@ S)% T1. 3: formed by former : 3Cians# i$ara! Sanstha

ONGC Ca')"r* Ass"t Pro$ra%%"

The : 3C Cau$ery (sset% @arai!al in Southern part of 4ndia organi/ed (rtificial "imb Camp in the year +==; in association &ith Rotary Club% @arai!al# The ?ase :ffice of Cau$ery (sset is situated in @arai!al% &hich falls in the Dnion Territory of -uducherry# The nearest &ell*e'uipped 1ospital is 7== @m a&ay from @arai!al# 2ue to po$erty% the polio affected persons and accident $ictims are not able to get artificial limbs#

Rotar* C!'b In(t(at()"s

2uring last t&o years% the Rotary Club has carried out project named Roataplast for correcti$e surgery for cleft lip palates# ,ore than 1== patients per year are getting benefits# ,edical professionals and paramedical staff from Dnited States and other countries attended project# : 3C has supported this initiati$e during last year% : 3C ,ahila SamitiQ the &i$esB association of : 3C employees% in association &ith Rotary Club of @arai!al conducted free 1earing (id Camp in the premises of : 3C# 1undreds of patients benefited out of this camp#

/"a!t- Car"

8+

 The Thalassemia Society of 4ndia# @ol!ata% approached : 3C &ith a project for pro$iding e'uipment called (lisa 0asher% &hich is used for carrying out $arious pathological tests &hich are crucial for treatment of Thalassemia patients# The project &as ta!en up because Thalassemia% as &e all !no&% is a dreaded genetic blood disorder and is truly a social concern# Thalassemia affected patients% particularly children% &ere beneficiaries# :n an a$erage about 1F== Thalassemia affected patients &ill be benefited e$ery year out of this one (lisa 0asher# .'uipment pro$ided by : 3C# Thalassemia affected patients% particularly children% &ere the beneficiaries# The Thalassemia Society of 4ndia purchased and installed the (lisa 0asher instrument in the last &ee! of Ganuary% +==F and up to +=#=7#+==F% as per report recei$ed from them% about 7== blood samples of Thalassemia affected patients mainly children ha$e been tested# So on an a$erage about 1F== Thalassemia affected patients &ill be benefited e$ery year out of this one (lisa 0asher e'uipment pro$ided by : 3C# The Thalassemia Society of 4ndia is located at @ol!ata &here all : 3C installations are presently located including the 1ead'uarters of C?,2- J ,?( ?asin# 2octors and experts from the Society ha$e made number of presentations and a&areness campaign for the employees of : 3C and their &ards &hich is considered to be $ery helpful and appreciated by one and all# CSR team also $isited the 4nstitute number of times and found that the beneficiaries are mainly from the families of ha$e*nots &ho cannot afford expensi$e treatment of Thalassemia from pri$ate health institutions# )or poor people and slum d&ellers of @ol!ata% this Society is doing yeomanBs ser$ice in the field of eradication of a disease% &hich is affecting large number of people of the society# 0or!ing of this particular organi/ation and also that of some other similar organi/ations are being closely monitored by : 3C so that the maximum benefit reaches the marginalised#

: 3C as an organi/ation has partnered an initiati$e &ith its retired employees at 2ehradun to render ser$ice to the poorest of poor and needy# employees formed the "ife Care Society an The retired 3: meant for ser$ing the under*

pri$ileged by reaching out to the people in the hinterland of Dttara!hand# The Society o&es its birth to : 3C and &ee!ly medical camps organi/ed for the 87

needy# .$ery $illage has been gi$en a doctor% &ho is plying a $ery significant role by treating patients &ith different !inds of ailments pertaining to eye% dental and other chronic ailments# -ondha% ?ansi&ala% @arbari and Sherpur are some of the $illages &here the Society is &or!ing pro*acti$ely# : 3C has been $ery supporti$e to "ife Care Society since its inception# Care Society# ot only does : 3C pro$ide financial aids but also the entire infrastructure of : 3C is made a$ailable to "ife

Roork"" Sc-oo! +or t-" D"a+ 4t is the first school for the deaf in 4ndia located on the campus of a hi*tech institute# 44T Roor!ee and managed by its faculty and experts# The school has an excellent tam of highly 'ualified% trained and dedicated teachers# Some of &hom ha$e been trained in the best of the training institutes in 4ndia and abroad# The school for the 2eaf is run and managed by 44T Roor!ee# ,ostly the faculty members of 44T Roor!ee are the members of the management committee and at the same time are rendering their ser$ices $oluntarily to run the school as a community supported model &herein donations from indi$iduals and organi/ations in both cash and !ind mainly to meet the expanses of the school# : 3C impressed and inspired by the $oluntary ser$ices of the faculty members decided to support this noble initiati$e of 44T Roor!ee by extending a grant# The school is trying to educate and trained the deaf children of Roor!ee and se$eral other $illages L to&n around Roor!ee# They are trying to train them in all the independent li$ing s!ills &hich they re'uire to lead a normal health life# The school underta!es the follo&ing acti$ities for the deafO += modern e'uipment scientific approaches# :1-% "C2 projector% computers% 4nternet% TILICR% camera and associated soft&are# Speech therapy in addition to the normal speech and auditory training e'uipment% the school also has the latest computer aided speech de$elopment system# Research based model# Students and faculty of 44T acti$ely underta!e RJ2 acti$ities for the benefit of the deaf children such as de$elopment of assisti$e 88

de$ices educational technology% teaching aids and soft&are etc# : 3C extended the support to create the infrastructure for a more useful learning en$ironment on scientific lines li!e installation of modern computers and accessories &ith the re'uisite soft&are#

Mob(!" B!oo# Donat(on 1an Support from : 3C has been sought for a fully e'uipped mobile blood donation $an &ith the purpose of the blood ban! reaching the donors rather than donors going to&ards them# Rotary Club in 2elhi has set up a state*of*the*art $oluntary blood ban! at a cost of Rs# ;#= crores to pro$ide safe blood to the needy people at a meagre processing charge# The blood ban! is housed in a fi$e story centrally air conditioned building pro$iding nearly 99=== units of blood e$ery year# The Rotary Club earlier had a mobile $an for blood donation and has been utili/ing the existing $an extensi$ely by organi/ing a number of blood donation camps# Till date more than 7+= blood donation camps in and around 2elhi ha$e been organised# The present $ehicle% &hich &as ac'uired six years ago has been rendered unser$iceable% hence% the re'uest for a ne& $ehicle has been recei$ed by : 3C# (s : 3C focuses on healthcare under its CSR% it has been supporting a number of hospitals% mobile $ans% primary health centres and medical camps# : 3C decided to collaborate &ith Rotary% &hich is a reputed organi/ation and they are rendering yeomen ser$ices to the marginali/ed by pro$iding the blood to the poor and needy at a meagre processing charge# 1ence% : 3C felt it appropriate to pro$ide this e'uipped $ehicle for helping them to collect blood from $arious donorBs by reaching them directly at their place of their stay# Shraddha Rehabilitation )oundation is an 3: dealing &ith the problem of the

mentally ill Road side destitute# Shraddha is a humane experiment% perhaps the only one of its !ind in 4ndia% pro$iding treatment% custodial care and rehabilitation to a neglected group of mentally*ill roadside destitute and reuniting them &ith 89

their lost families# 4t is a combination approach that marries medication% inno$ati$e psychosocial inter$ention and occupational engagement# : 3C has supported this project by pro$iding 1== beds to the mentally ill road*side destitute so as to pro$ide some comfort to these destitute along &ith a 2iesel 3enerator for use during po&er cuts# (t present there are about ;=*;9 destitute in the rehabilitation centre% it is understood that in the city of ,umbai there are around 9== such road*side destitute aimlessly roaming in the metropolis of ,umbai# Such a project can help the society and the nation at large# Shraddha Rehabilitation )oundation is an 3: dealing &ith the problem of the mentally ill roadside destitute# : 3C has supported this project by pro$iding 1== beds to the mentally ill road*side destitute so as to pro$ide some comforts to these destitute along &ith 2iesel 3enerator for use during po&er cuts# 1ealth care being one of : 3CBs areas of concern% it has supported a major initiati$e ta!en to fight cancer# Silchar% located in Southern part of (ssam state and surrounded by ,i/oram% Tripura% parts of ,anipur and ,eghalaya in the orth .astern Region of 4ndia has been also on the 0orld map for its inhabitants being susceptible to the dreaded disease cancer# The unfortunate people of this region &ho get afflicted by cancer can hardly afford to a$ail the treatment at 2elhi% ,umbai% Iellore and other metro cities of the country# 4n the light of abo$e problems% a group of social acti$ists dra&n from di$erse professions formed the Cachar Cancer 1ospital Society in 1<<+% and approached : 3C for financial assistance for procurement and installations of CT Scan ,achine in the hospital# 2edicated to the mission of the restoring eye sight for the poor and the marginali/ed% (nugraha 2rishtidaan ha been offering its ser$ices regularly for the last many years# The 3: is being generously supported by : 3C at all its &or! Centres and nationally# 4n the year +==>*+==F eight number of camps ha$e been organi/ed &ith a cumulati$e reach of 7>9;9 :-2 patients % distribution of medicines to +7=7+ patientsQ distribution of spectacles% dar! glasses to 1+=F7 patientsQ identification of 9=>+ patients &ith cataract and cataract operations (4:") performed on 819+ patients# 8;

0or! centers (ssam 3ujarat Rajahmundry @arai!al

:-2 (ttendance 1=<; <+< 1;<; 9==

,edicine beneficiaries F<1 7;< 9F1 +FF

SpectaclesLglass Cataract cases Cataract distribution indentified :perations done F< 1=F F< ;<1 1++ <8 <>+ 1F; 197 1;= ;= 91

2uring the year +==>*=F% the : 3C 0estern :ffshore Dnit% ,umbai organi/ed a ,ega ,ultidisciplinary ,edical camp at -alghar# +7== patients of fishermen community a$ailed benefit of the Camp# 1=+ cases of Cataract &ere detected and operated% 7== persons &ere pro$ided spectacles and 8= cases of anemia &ere detected and supplements pro$ided# ( mega multi*disciplinary ,edical Camp &as held at Dran# 4n the free ,edical Camp organi/ed at $illage Chanje Dran% ;>= patients &ere examined and ;< cases treated for cataract by 1> specialist doctors% < : 3C doctors and 19 paramedics &ho $olunteered ser$ices# ( multidisciplinary medical camp &as held at ?hatha $illage &here Shri Satya Sai Se$a Samiti and : 3C $olunteers rendered ser$ice to 7;= patients% .ye chec!ups and audiometer tests &ere conducted and medicines pro$ided#

S a!)a)!a%ban: R"ac- -"r" n""#"# The : 3C Cau$ery (sset% @arai!al in Southern part of 4ndia organi/ed (rtificial "imb# The ?ase :ffice of Cau$ery (sset is situated in @arai!al% &hich falls in the Dnion Territory of -ondicherry# The nearest &ell*e'uipped 1ospital is 7== !m a&ay from @arai!al# 2ue to po$erty% the polio affected persons and accident $ictims are not able to get artificial limbs# ,any 3:sLIoluntary :rganisations conduct regular 1ealth Camps and .ye Camps# 1o&e$er% it &as noticed by the (sset that no 3:sL Ioluntary :rganisations came for&ard to conduct the (rtificial "imb camp% as it re'uires professional expertise from places li!e Gaipur and the project in$ol$es huge expenditure# 1ence% : 3C too! up the challenges of organising a specific camp to 8>

distributed artificial limbs# ?eneficiaries of the Camp &ere mostly from the operational districts of Cau$ery (sset% @arai!al# The list of beneficiaries &as screened and finali/ed by Rotary Club in association &ith : 3C# The Camp pro$ided 1>9 callipersL Gaipur foot to 119 nos# of needy and do&ntrodden people in and around @arai!al% &ho could not afford to spend money for the same# The (sset organi/ed another Camp &ith the association of Rotary Club &herein 1;> callipersL Gaipur foot and crutches &ere pro$ided to <> nos# of persons from 1+ to 1>th )ebruary +==F# 2uring last t&o years% the Rotary Club has carried out project named Roataplast for correcti$e surgery for cleft lip palates# ,ore than 1== patients per year are getting benefits# ,edical professionals and paramedical staff from Dnited States and other countries attend the project# : 3C has supported this initiati$e during last year% : 3C ,ahila Samiti% the 0i$es (ssociation of : 3C employees% in association &ith Rotary Club of @arai!al conducted free 1earing (id Camp in the premises of : 3C# 1undreds of patients benefitted out of this camp#

S',,ort(n$ Entr",r"n"'rs-(, ProH"cts

: 3C% Chennai in$ited a proposal for supporting an .ntrepreneurship project from 2istrict Collector% Tiru$arur# 1e proposed that : 3C can pro$ide support to the @urinji 0omen Self 1elp 3roup% -anayur -anchayat% @ottur ?loc!% Tiru$arur 2istrict% and Tamil adu# This S13 produces Coir from the locally a$ailable coconut )ibres and mar!eting# : 3C supported 19 0omen Self 1elp 3roup ,embers and 99 rural family members through this initiati$e# : 3C pro$ided job opportunities to rural local people in -anayur -anchayat and other adjoining $illages# ?y impro$ing the institution through moderni/ation% : 3C indirectly pro$ided employment to the rural youths in producing and mar!eting the coir materials# The objecti$e of the project &as to pro$ide regular employment to the rural &oman fol! to impro$e the socio economic status of rural men and &omen to mobili/e the industry in rural area 8F

 to pro$ide financial rotation in the remote $illage This project has enabled them to purchase the abo$e machineries to modernise and increase their daily production% generate more income and pro$ided employment to the rural poor#

E#'cat(on
Nan-( Ea!( Teaching an indi$idual to ma!e bread and not gi$ing him bread% is part of our CSR policy# 4n line &ith this% : 3C $ery pro*acti$ely is associated &ith anhi @ali &hich &as incepted in 1<<; by the @C ,ahindra .ducation Trust and has been successful in reaching out to +F=== beneficiaries so far# Recently% @C ,ahindra .ducation Trust has partner &ith anhi )oundation to jointly manage anhi @ali# anhi @ali &as incepted to empo&er &omen by educating them# The reali/ation that girls constitute more than 7L9th of total out of school% primary school age population in the &orld has got the issue of girls# .ducation to the fore at national and international front# )emale children are generally neglected and exploited at an early age# 4t is only through education that the girl child can arm herself to the independent and self*reliant# Scope of the projectO ,aharashtra# .mpo&erment of &omen is possible only by focusing on participation of boys and girls in the educational process# Since education of girls has not been emphasi/ed due to cultural and social stereotypes girls &hich restrict girls from attending the school and initiati$e has been ta!en up through beneficiaryO anhi @ali to pro$ide education to female children# 2etails of selection of target populationO )ollo&ing criteria is adopted to identify the anhi is &or!ing &ith communities in the follo&ing states in 4ndiaO (ndhra icobar% ,adhya -radesh% Chhattisgarh% Rajasthan and -radesh% @arnata!a% (ndaman J

8<

3irl children &ho are enrolled in any 3o$ernment school# :ut of school children are also encouraged to enrol in school through bridge courses#

3irl children belonging to the poorest section of the society (family income being belo& Rs#1F% ===L* per annum)# 3irl child &ho is a first generation learner 3irl children belonging to dalit% tribal and migrant communities# .ldest girl child and girl children &ith many siblings 3irl children from communities &here stereotypes high*ups 3irl children from female house*holds D(sab!"# $(r! c-(!#r"n 4n stage 4% beneficiaries are identified# 4n stage 44% the $alue of education to the child% parents and the community is affirmed# Regular contact &ith the school is maintained to trac! the childBs attendance% academic progress% health status and social s!ills# 2irect support in the form of note boo!s% stationery% uniforms% examination fees and learning material is pro$ided# Capacity building of children is done# .xtent and role of the communitiesO Teaches are sensiti/ed to address the community on general disparities and assert the dire necessity of educating the girl child# 1F "ong*term sustainability of the projectO : 3C has partnered &ith anhi @ali to sponsor 9= students from Class 4 to I44 and another 9= students Class I444 to W# ,ethodology used for monitoring progress on the project and feedbac!O -rogress is monitored monthly% 'uarterly and yearly by anhi @ali# : 3C has monitored the progress of the girl child by retaining the profile of the students and their li$ing en$ironment of the beneficiaries &hich are sponsored by : 3C# "earningBs from the projectO .mpo&erment of &omen can come only by ma!ing an effort to&ards ma!ing them and supporting all the initiati$es to promote education among girl child# The only can ensure de$elopment of an economy# 1o&e$er% the entire community needs to be sensiti/ed to&ards this issue# -romotion of literacy and higher education 3rant of scholarship and assistance to deser$ing young pupils of &ea!er sections of society 9=

 )acilities for constructing schools% reno$ation of school buildings% other infrastructure Support to $ocational training institutions for upgrading the s!ills of the local people 2e$elopment of the socially and economically &ea!er sections of the society SponsoringL co*sponsoring professional meets% con$entions% seminars etc# (t 3oa% under the CSR -rogramme and SCLST Component plan% 4-S1., has upgraded facilities at 9 schools# 97 economically bac!*&ord students &ere pro$ided school uniforms#

R"!("+ 9'n# Packa$"s

( Summer Camp for underpri$ileged children &as held at ,umbai# : 3C pro$ided financial support to a$nirmiti# +== underpri$ileged children of municipal schools attended the camp &here inno$ati$e education techni'ues &ere used for populari/ing mathematics and science# (rt% theatre and cultural acti$ities &ere conducted for personality de$elopment by students from Somaiya and Tata 4nstitute of Social Sciences# ( Sustained Community 2e$elopment project &as implemented at Dran# : 3C and ?(4) joined hands to de$elop 19 self help groups (S13s) in three $illages of Dran# >= &omen members of the S13s ha$e been pro$ided $ocational training and $arious items produced by the S13s are being mar!eted locally# : 3C pro$ided seed money to each group# 4n its .ndea$our to&ards caring for the caring for the underpri$ileged at Dran% 1=F sets of old clothes &ere distributed to students of tribal schools and aid &as gi$en for learning materials# 4n its CSR projects at 1a/ira% : 3C and the 3: "o! Ii!as Sanstha joined hands to empo&er economically bac!&ard persons of ?hatpore% 1== &indo&s &ere pro$ided 91

income generating and self de$elopment opportunities# ,utual help groups &ere set up and s!ill training for the beneficiaries pro$ided# Regular &ater supply% road connecti$ity and aid during floods &ere pro$ided by : 3C#

En)(ron%"nt Prot"ct(on Pro$ra%%"s

CompanyBs .n$ironment ,anagement System is based on the precautionary principle# Iarious significant en$ironmental issues ha$e been identified and actions ha$e been initiated based on the management hierarchy of pre$enting pollution at source% recycling J reuse of &aste% treatment and disposal of the &aste# Iarious notable efforts done in this direction are as follo&sO : 3C recogni/es and shares the concerns of go$ernment and the public about climate change# 0e understand that fossil fuels% &hich &e also produce% has contributed to an increase in 3reen 1ouse 3ases (313s)# 1ence% : 3C has embar!ed upon ambitious initiati$es to manage and reduce 313 emissions% &hich may be broadly classified into the follo&ing categoriesO Reporting of 313 emissions .nergy efficiency L conser$ation plans 3as )laring reduction Rene&able energy )or these : 3C has specially formed the follo&ing groups for the dedicated efforts% close monitoring and deli$erance of results Carbon ,anagement 3roup .nergy Centre for search in non*con$entional energy sources 1ealth Safety and .n$ironment 3roup

G/G "%(ss(ons r",ort(n$ 9+

 : 3C is committed to consistent reporting of 313 emissions# 0e ha$e calculated direct 313 emissions related to our operations starting from the year +==7 till date# 0e are follo&ing the Compendium of 3reenhouse 3as .missions .stimations ,ethodologies for :il and 3as 4ndustry de$eloped by (merican -etroleum 4nstitute ((-4)# 4n our oil and gas operations% business gro&th increases our 313 emission and &e are continuing to &or! for emissions reduction in total to offset the impact of these emissions# Carbon dioxide ma!es up most of our 313 emissions (to the extent of 99* 9>P) and it comes predominantly from our processing operations% including exhaust from combustion units and flares# :ur 313 reporting includes direct emissions associated &ith the drilling% production and processing of oil J gas and indirect emission from purchased grid electricity for use in our operations#

E&,an#(n$ $r""n co)"r -lantation of $arieties of species of plants pro$ides cleaner air apart from maintaining biodi$ersity and pro$iding aesthetic en$ironment# Tree plantation in : 3C is carried out by selecting trees as per bio*geo* climatic conditions of the area to ensure desirable rate of sur$i$al# .$ery year : 3C sets a target of planting trees and monitors the progress# 4n the year +==;% : 3C has planted 77=7= trees in and around our &or!ing area# (part from yearly target of tree plantation around our &or!ing area% &e ta!e up specific big projects# ( recent example is the 2ronagiri# -rojects &hich &ere aimed at greening of the barren 2ronagiri hills and arid beach near Dran -lant of : 3C# 4t posed a challenge to the organisation because of a harsh terrain de$oid of $egetation and sho&ed resilience &hen &e commenced our 97

operations# 0hile impro$ing capacities of our plant &e ha$e demonstrated our commitment to the en$ironment in intent and execution# Seeds of fast gro&ing species &ere ser$ed along &ith fertili/er across the 2ronagiri ,ountains from the helicopters in collaboration &ith 2epartment of )orests% 3o$ernment of 4ndia# :$er +#9 la!hs fully gro&n trees and += $arieties of plant species ma!e 2ronagiri hills completely green# ,ore than a 'uarter million trees support the industrial ecosystem# The once barren 2ronagiri today is a nature trail to an en$ironmental friendly mindset# Kears of concerted efforts in forestation ha$e resulted in a $erdant green co$er that adorns the landscapes surrounding the plant and nearby $illages# ( steadily gro&ing green belt along the beach has erected a protection against erosion and is a $irtual oasis for the stunning bac!drop#

R"n" ab!" "n"r$* 4n order to meet the &orldBs gro&ing need for energy% &e belie$e all potential sources must be considered# e& technologies and rene&able energy sources% including conser$ation related technology# : 3C has made head&ay in using solar po&er at $arious platforms for po&ering its entire 4TC infrastructure# 2uring the year +==7*=8 &e ha$e generated 11+ ,0h of po&er using solar photo$oltaic% a$oiding use of fossil fuels# : 3C has also ta!en initiati$es for setting up t&o &ind po&er projects of 9= ,0 each in 3ujarat &ith help from Su/lon .nergy "td# and @arnata!a# -o&er in 3ujarat &ill be used in house and in @arnata!a it &ill be sold# :n 71st ,arch% +==F% first unit of clean and green energy as generated by : 3C by fully commissioning three &ind turbines of 1#9 ,0 capacities each# The po&er generated by this &ind farm in 1st phase &ill ha$e capti$e usage at installations of (n!lesh&ar and (hmedabad# (part from abo$e% : 3C#s other initiati$es in this direction areO 0ater ,anagement ?iodi$ersity C2, -roject (cti$ity ,ethane to ,ar!et Carbon 2ioxide Capture and Se'uestration 98

 Carbon 2isclosure -roject 313 (ccounting R1S. (ccreditation Corporate -olicy on Climate Change and Sustainability Dnderground Coal 3asification (DC3) Coal ?ed ,ethane (C?,)

Sa+"t* Pro$ra%%"s
: 3C set up the 4nstitute of -etroleum Safety% 1ealth and .n$ironment management (4-S1.,) in 1<F< &ith the objecti$e of impro$ing the safety% health% and en$ironment standards in the 4ndian petroleum industry# The institute offered training courses in safety and en$ironment management and a special training program for off*shore personnel

S,orts
: 3C also participated in promoting sports and games li!e cric!et% football% hoc!ey% athletics% bas!etball% chess% golf% billiards% and $olleyball in 4ndia# (round 19= sport persons including <9 international le$el performers are on the rolls of : 3C representing the company in 19 different games# -rominent among them is -an!aj (d$ani% Iirender Seh&ag% and @oneru 1umpy to name a fe&#

CompanyBs ?as!etball team &on the ational )ederation Cup#

Company hosted the : 3C year#

ehru Cup 4nternational )ootball Tournament the

99

 Company &on the -etroleum ,inisterBs -S-? Trophy for :$erall ?est -erformance in +==>*=F for the fifth year in succession#

Currently the company is the Title sponsor for the )ederation#

ational )ootball "eague

called the : 3C 4*"eague in association &ith the (ll 4ndia )ootball

Ot-"r Pro$ra%%"s
L(+" Car" Soc("t*: R"ac- Poor"st o+ Poor ?ac!ground for underta!ing the project* : 3C as an organi/ation has partnered this initiati$e &ith its retired employees at 2ehradun to render ser$ice ; to the poorest of poor and needy# The retired employees formed the "ife Care Society an 3: meant for ser$ing the under*pri$ileged by reaching out to the people in the hinterland of Dttara!hand# The Society o&es its birth to : 3C and &ee!ly medical camps organi/ed for the needy# .$ery $illage has been gi$en a 2octor% &ho is playing a $ery significant role by treating patients &ith different !inds of ailments pertaining to eye% dental and other chronic ailments# Scope of the projectO -ondha% ?ansi&ala% @arbari and Sherpur are some of the $illages &here the Society is &or!ing pro*acti$ely# :bjecti$e of the projectO To pro$ide &ee!ly medical camps to the needy in the interiors of 2ehradun# The Society does not get any financial aid% help from the Central 3o$ernment and State 3o$ernment and is fully dependent upon donations from friends% relati$es and &ell &ishers# 4t is here that it has been ma!ing a difference by treating patients and gi$ing them medical treatment free of cost# 2etails of selection of target populationO 4n all 11+8> patients &ere treated in +==; and 9;;7 patients &ere treated in the year +==8# 4mplementation of the projectO (ll the medical centres operate from respecti$e Iillage -anchayat ?ha&ans L ,ilan @endras &hich ha$e been made a$ailable for this purpose by the 3ram -ardhans# )irst of these medical centres &as established on +=#1=#+==7 and other centres came up subse'uently from o$ember +==7 on&ards# The programme in +==; included + more medical centres% one being in the tribal area of Gaunsar ?abar# Society had also 9;

organi/ed mega medical camps earlier# The first such camp &as at $illage ?ansi&ala during the year +==7*=8% in &hich the Society along &ith the -anchayat 3har and : 3C examined +F; patients &ith eye% dental and other chronic ailments# (bout ;= of the eye patients &ere further operated upon for cataract at : 3C 1ospital% 2ehradun# (nother medical camp &as organi/ed in Ganuary +==8 in ayagaon# 4n all 19 &ell*'ualified doctors and specialists attended to 1>=9 patients and general medical chec!*up of 1+== school children &as also underta!en# "ong*term sustainability of the projectO ,edical chec!*up of as many school children as possible &ill be underta!en# (rrangements &ill also be made for indoor patients at City 1ospitals# Scholarships &ill be pro$ided to brilliant students &ho &ould be able to see! admission into the 44Ts% -olytechnic and Iocational Courses# (ssistance &ill be pro$ided to -hysically Challenged indi$iduals for eye and artificial limbs related matters# Counselling ser$ice &ith regard to higher education% placement and social beha$iour are other initiati$es &hich are planned# Support from : 3CO : 3C has been $ery supporti$e to "ife Care Society since its inception# ot only does : 3C pro$ide financial aids but also the entire infrastructure of : 3C is made a$ailable to "ife Care Society to facilitate its effecti$e functioning# 4n the year +==;% : 3C pro$ided financial support for organi/ing medical camps and for (mbulance# This (mbulance in times of berea$ement in the family &ould be a$ailable to the family free of cost &ithin municipal limits of 2ehradun and on special occasions for outstation use# "earningBs from the projectO :nly after conducting mega camps% in the year +==7*=8% it &as felt that such medical camps are of limited use to the general public as patients donBt get sustained medical care# 4t &as% therefore% decided to organi/e &ee!ly medical camps for more focused attention and sustained results# 4mpro$ements are being added to the existing line of treatment by including the facility of chec!ing blood sugar le$el &ith the help of 3luco meter and strip test at the camp itself# Through this facility% further line of treatment and disease management is indicated to the patient immediately# This facilitates progress and further monitoring of the patients#

S aHa!#-ara: Jat"r Mana$"%"nt (n An#-ra Pra#"s-

9>

0ater is the life line and is also the main source of disease and destruction in the Society# The Coastal 4ndia is al&ays infested &ith contaminated &ater &ith &ater borne diseases because of &ater logging in these areas# 4t is no different situation in (ndhra Coastal area particularly @onaseema% &here &e operate# ( source of clean &ater is 'uite a need for these $illages# There is a $illage called Turpupalem (@onaseema)% ,al!ipuram ,andal% .ast 3oda$ari 2istrict% (ndhra -radesh nearer to sea*coast# This $illage has a population of 7%=== people belonging to lo&er castes# inety percent (<=P) of the people are belo& po$erty line# They are drin!ing the &ater from dug &ater &ells# The people of the $illage collect &ater from these &ells for the drin!ing purpose and also feed to mil! animals% &ash clothes etc# near these &ellsQ thereby the hygiene near these &ells has been at sta!e# The &ater ta!en out from the &ells goes inside and continuously contaminates the &ater# This leads to diseases and illness to the $illagers# Iillage Sarpanch% &ho is a&are of the CSR acti$ities underta!en by : 3C% approached the 1ead*1RL.R for pro$iding 1and -umps# So that the $illagers &ill not only get protected &ater but also to get the &ater for cluster of houses nearer their hamlets &hich sa$es time in fetching the &ater# : 3CBs Support : 3C pro$ided support to the $illage by extending support to += 1and -umps in the $illage# The hand bore &ells ha$e already been inaugurated on 1=th )ebruary% +==F# o& the &ater is protected to a large extent since the hand operated pumps hardly allo& the &ater to go bac! unli!e open &ells# The $illagers are so much grateful to the : 3C for the health conscious -rojects underta!en by : 3C% Rajahmundry# -ro$iding protected &ater is al&ays a priority under CSR of : 3C#

CRC O!# A$"# /o%" : 3C extended support to CRC :ld (ge 1ome at Ra$ulapalem% &hich is a small to&n situated 79 !ilometres from Rajahmundry on the @ol!ata*Chennai ational high&ay# The 1ome started functioning in )ebruary +==9# 4nitially% the :ld (ge 1ome can cater to about 1== old people for their needs of shelter% food% medical facilities and other re'uirements# The 1ome boasts of uni'ue facilities li!e purified 9F

drin!ing &ater% nutritious food% de$otional acti$ities% library facilities% gym% recreation room and +8 hour medical facilities &ith ambulance# 0ith a $ery good response by the old people% it &as planned that the home may be expanded so that it can pro$ide shelter to another 1== people and also to construct hospital for the inmates# The :ld (ge 1ome is located in .ast 3oda$ari 2istrict of (ndhra -radesh% the major acti$ity area of : 3C under Rajahmundry (sset and @3 ?asin# 1ence% : 3C thought that it &ill be a good gesture by : 3C to help CRC :ld (ge 1ome for its expansion to accommodate +== people# The home is shaping up &ell and &ill be shortly completed#

Co%%'n(t* /a!!s a+t"r Ts'na%( (n So't-"rn In#(a (fter Tsunami in 2ecember +==+ 3o$t# of 4ndia initiated an ambitious plan of constructing 1== number of community halls in the coastal $illages and to&ns $ulnerable to this disaster# : 3C has a &or! centre close to the coastal area and decided to extend support for 9F of these community halls% &hich &ould not only ser$e as a shelter in case of a disaster but &ill also act as the common point for exchanging ideas% net&or!ing% community functions% school functions% $ocational training and for -anchayat use# The community halls &ere to be made of different si/es depending upon the population of the to&n L $illage and need assessment# Right from the beginning the -anchayat ("ocal Self 3o$ernment) &ere in$ol$ed and made the most important sta!eholder re'uesting them to appro$e the site% pro$ide the land and underta!e the construction acti$ities# ,ost of the -anchayat ha$e responded $ery &ell and on their re'uest a number of community halls are coming up% &hich &e hope &ill ser$e for the needs mentioned abo$e#

Nat'r" St'#* c'% A#)"nt'r" Ca%, +or S,"c(a! C-(!#r"n an# Yo't?ac!ground for underta!ing the project* ,ainstreaming the physically or mentally challenged has been our endea$our# 0ith this in $ie&% ature Study cum (d$enture camp for the -hysically Challenged Children and Kouth*+==F is being supported by : 3C since +==7# The main objecti$e of this camp is to bring these 9<

challenged children and youth close to nature and thereby help them to redisco$er their hidden talents and capabilities so as to ma!e them self*confident at the end of the course# The participants despite their disabilities get moti$ated to surpass their limitations# 1imalayan ature J (d$enture )oundation has been carrying on this e$ent since the beginning of the )oundation# The joint mo$ement bet&een : 3C J 1 () has gi$en this e$ent a major success# The mission of 1 () has achie$ed a great deal of help ha$ing been supported by : 3C# Scope of the projectO 4n the year +==;% this camp &as organi/ed at Dpeer @opish )orest $illage 2arjling and this &as organi/ed by 1imalayan ature J (d$enture )oundation% Siliguri# The camp and physical training% tre!!ing% pro$iding !no&ledge of trees &atching birds% getting accustomed to the surrounding hills and ri$ers% !no&ing about e'uipments of ad$enturous sports and camp manners# The &heel chair bound participants &ere ta!en for a day out# ature gains &ere emphasi/ed# -articipants also performed songs% dance% drama% etc# :bjecti$e of the projectO The main object of the Camp &as to bring these challenged children and youth close to the nature# 2etails of selection of target populationO Total <9 participants along &ith +; escorts participating in the camp# 9 days camp &ith acti$ities $arying from nature gains% roc! climbing% fire ma!ing% !nots% dra&ing% 'ui/% camp fire and other cultural acti$ities# Campers from $arious parts of the country participated at this camp# "ong*term sustainability of the projectO : 3C has been associated &ith this initiati$e since the year +==7 and considers it an opportunity to enable the disabled to enjoy the resources of nature# ,ethodology used for monitoring progress on the project and feedbac!O the photographs and the C2s of the programme are sent to : 3C to obser$e the desired results of associating &ith this initiati$e# "earnings from the projectO : 3C#s association &ith such initiati$es pro$ides opportunity to ser$e humanity in its real sense# .ffort &as made to ma!e such persons o$ercome their disabilities and enjoy the resources of nature i#e# flora% fauna and other &ealth of nature# 0ith the help of their so called sixth sense% &hich is a gift of 3od% they &ere able to perform the acti$ities $ery &ell# The $isually impaired% &ith their feelings% !ne& about the trees and lea$es% &ith the sound of birds &histle% they !ne& the !ind of birds% &ith the sound% they had an idea of natural objects li!e mountain% fountain% ri$ers etc# The orthopedically L &heelchair* bound campers &ere ta!en high in the hill% &hich is an absurd acti$ity in ;=

their thin!ing# They enjoyed nature sitting in the laps of mountains# The mentally retarded and hearing handicapped% &ith the help of speciali/ed persons &ere gi$en the best of the natural and ad$enture acti$ities# (ll these campers &ere all out disciplined and they o$er&helmingly enjoyed the nature# The escorts and the guides from the concerned institutions &ere remar!ably happy seeing the changes of these campers at the end of these fi$e days Camp# (t the closing day the campers% their guides and escorts performed cultural programmes at the Campfire Ceremony#

B'rns c'% E%"r$"nc* Jar# at E'%bakona% ?ac!ground for underta!ing the project* 2isaster management is one of the focus areas of CSR in : 3C# 4n line &ith this% : 3C pro$ided its supports in establishing in ?urns*cum*.mergency 0ard at @umba!onam# ( tragic fire accident too! place in one of the school# 4n one of the schools at @umba!onam in Thanja$ur 2istrict# :n 19#=>#+==8 &hich left <8 children charred to death and se$eral children injured# (fter $isiting the $ictims% the 1on#ble ,inister for -etroleum J atural 3as and -anchayat Raj desired that a burns &ard is to be set up in the @umba!onam% ,ayiladuthurai and Sir!ajha 3o$t# 3eneral 1ospitals by :il -SDs# (fter deliberations &ith the respecti$e 2istrict Collectors of Thanja$ur and agapatinam along &ith representati$es of -SDs on =>#=F#+==8 and 1F#1+#+==8% it &as decided that a burns &ard is to be established in @umba!onam 3o$ernment 3eneral 1ospital by : 3C# (ccordingly% : 3C sanctioned an amount of Rs#19 la!hs for establishment of the burns &ard# Scope of the projectO (ll the communities in and around the @umba!onam 2istrict# :bjecti$e of the projectO To establish a burns &ard in @umba!onam 2istrict 1ead'uarters 1ospital# 4mplementation of the projectO The estimate for construction of 7= bedded emergency &ards in the hospital included cost of the building% cots% mattresses% cop*boards% etc# 4n the year +==>% construction of the building &as completed and the beds% cots and other material for the &ard &ere pro$ided by the 2istrict (dministration# 4n phase 4% it &as decided to establish a burns &ard at the cost of Rs#19 la!hs and the same &as pro$ided by : 3C# 1o&e$er% it &as informed by the 1ospital authorities that fire accident cases are not ;1

on regular nature% apart of the &ord may be used for emergency patients# (ccordingly% (ir Conditioners for an amount of Rs#;% 8=%+79L* &as pro$ided by : 3C# "ong*term sustainability of the projectO The completion of the construction of the burns &ard &as recei$ed and further construction of the emergency &ard has been initiated# The construction% up*!eep and maintenance is carried out by -02% Tamil adu# ,ethodology used for monitoring progress on the project and feedbac!O : 3C office in Chennai has been monitoring the construction and completion of this project# .xpenditure incurred on the projectO Total expenditure incurred in t&o phases is Rs#+1% 8=%+79L*# (lthough infrastructure de$elopment is not co$er under Corporate Citi/enship -olicy% ho&e$er% proposal for construction of burns*cum* emergency &ard &ould pro$ide treatment to accident $ictims &as considered as a gesture by : 3C to return bac! to the community#

;+

C-a,t"r 6:

Ana!*s(s an# Int"r,r"tat(on

The local population gains the most as a result of the : 3C operations# (part from benefits accruing from the primary function of the corporation% : 3C has been extending full support in the o$erall de$elopment of the areas around its operations all o$er the country# Since 1<<;*<>% the execution of these programmes has been further streamlined# 0or!*centre*&ise allocations are made each year and programmes are being executed under the comprehensi$e guidelines issued on the subject# ,ajor emphasis has been gi$en for promotion of education% health and community de$elopment and in times of natural calamities such as floods% cyclones% earth'ua!es% landslides% etc# The impact of these concerted efforts is felt by the community# : 3C programs about health care% eye camps% helping the educational institutions are &idely appreciated# ( proacti$e approach to&ards socio*economic de$elopment is adopted i#e# projects are identified by : 3C at the plant le$el by in$ol$ing the district administration% local representati$es and recogni/ed $oluntary organisations#

;7

Conc!'s(on an# S'$$"st(ons

The findings re$eal that each of the leading operators has its o&n approach to CSR and that there are substantial $ariations in the nature and the extent of reporting# ,ore specifically the paper focuses upon four sets of CSR issues namely those relating to the mar!etplaceQ the &or!placeQ the en$ironmentQ and the community and then pro$ides some reflections on the commitment to these issues at both corporate and indi$idual public le$els# Research implicationsLlimitations 5 CSR in the pub sector of the hospitality industry has recei$ed relati$ely little attention from academics but the case study suggests a number of fertile grounds for future en'uiry and research# That said the current case is a preliminary exploration of CSR issues as reported on the &orld&ide &eb and more in depth &or! &ill be needed before more definiti$e conclusions can be dra&n# )or : 3C% Corporate Social Responsibility is a culture and an un&ritten contract &ith the community# .$ery citi/en is an asset in economic acti$ity and : 3C only tries to pro$ide the opportunity# 4t has been argued that there are considerable e$idence and significant opportunities for : 3C to contribute in a sustainable manner to social $alue creation through CSR related training initiati$es in de$eloping countries# Through the present -roject% and ta!ing into account% &e consider that &e ha$e identified some &or!ing a$enues that international organi/ations% state go$ernments% or both &or!ing together% could underta!e &ith the goal of inspiring and orienting the challenge of locali/ing CSR training initiati$es#

;8

"ocali/ing CSR training initiati$es re'uires rele$ant national needs &ith the business strategies and competences# :nly then% can &e consider the possibility of arri$ing at a shared understanding and agreement on the &ay in &hich &e can contribute to social $alue creation through business de$elopment# 4n this context% one option &ould be setting a CSR agency% &hich can support and encourage the de$elopment of a CSR leading entity at national le$elO locali/ing CSR% integrating go$ernment% pri$ate sector and ci$il society organi/ations# There is a need to fill the gap for addressing initiati$es to further and optimi/e the CSR ad$antages# (mong themO Raising a&areness of the role of CSR in human capital de$elopment# 0or! to ad$ance the concept of CSR as a social $alue creation strategy# )or instance% promoting commitment and long term $ision for meeting education needs# : 3C has to concentrate on their core competencies to be better able to inno$ate on their initiati$es# This helps to ensure consistency bet&een the companyBs portfolio of acti$ities and the engagement on CSR# Regional integration% define an agenda for regional educational priority issues and de$elop a net&or! of go$ernments% business and ci$il society organi/ations &ith the goal of promoting CSR training initiati$es at the regional le$el# To enlarge : 3CBs commitment to&ards human capital de$elopment through CSR training related initiati$es &ould re'uire a more coherent approach to emphasi/e the 'uantitati$e and 'ualitati$e benefits for both% company and society at large# 4t is crucial to build on existing successful initiati$es% capacities and s!ills to ser$e as a model for promoting the legitimacy of this endea$or#

;9

B(b!(o$ra,-*
L(st o+ "bs(t"s r"s"arc-"#
8on$c(n#(a8co% 8$oo$!"8co%

L(st o+ N" s,a,"rs r"+"rr"#:

Daily News and Analysis (DNA)

;;