CSR at GAIL…
Doing Business Responsibly
India‟s No. 1 integrated Natural
Gas Company
CAGR on PAT over last years – 12%
Consistent achieved “EXCELLENT”
rating since Inception
Ranked by Platts as - no. 1
company in Downstream
Operations globally
Highest domestic credit rating of
AAA from ICRA and CARE
PSEs and CSR - the connect
CSR – Not new to PSE‟s
– intrinsic part of their
very philosophy
Practiced as part of
R&R and Community
engagement
Only over last few
years – recognized the
need to give CSR a
structured format
The GAIL CSR Journey…
•Limited to feel good activities in neighborhood areas
•Responding to immediate needs
1980’s &
1990s
- CSR incorporated in the company’s Vision
- CSR Policy adopted
Early 2001’
s
Distinct Shift towards Strategic CSR
2009 onwards
The transformation of CSR in PSEs
Increased Focus: A Virtual Movement
Guidelines enabling a tangible, formatted agenda
for PSEs
Percentage allocation of PAT as annual CSR budget
CSR parameter in the MoU (5marks) Incentivisation of CSR efforts
Change from one time /stand alone to longer,
impactful and sustainable programmes
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From Philanthropy to Project Based Mode
From a loosely practised to structured approach
Assimilation of change…@ GAIL- Quick to respond & adapt to changing
expectations of stakeholders - the
government and community.
- Policy realigned
- CSR Spends have increased almost 4 times
over last 5 yrs - Rs.19 crores in 2006-07 to Rs.
81 crores in 2011-12
- Separate Department since 2003;- Strengthened at C.O. with extended
arms at major work centers
Strategic Moves
Partnering with Institutions
3rd Party evaluation
Standardized procedures
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An attempt towards transforming lives…
Community Development
Education/Literacy Enhancement
Skill Development/
Empowerment
Infrastructure
Health Care/Medical
Drinking Water/ Sanitation
Environment Protection04%
18%
14%
31%
11%
14%
08%
Annual allocation for relief against Natural Calamities.
CSR POLICY• Board approved policy since 2001-02; Allocation enhanced to 2%
in 2009-10– Non lapsable
• Policy further revised in 2010 following DPE guidelines
• Annual CSR Budget not to be less than previous years‟ allocation
• Predefined allocation of budget to major GAIL work centers
80% in rural/ semi urban areas
• Separate resource allocation for:
-MoP&NG/Govt. Schemes
- Natural calamities & disasters
- Education Trust
- NI/IA Studies
Project based approach – Annualised Funding : Short Term – 6 months to 1 year
Medium Term – 1 year to 2 years
Long Term – 2 year and above –„Flagship programmes‟
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CSR Processes
Criteria for selection
Programme identification
For programmes
For NGO Selection
Approval Process
Programme implementation
Programme Evaluation
More recently -
Structured need
assessment by
external parties
Programme identification
Within our
CommunityConsultative mechanism
with State Govt. Reaching out with
their proposals
from local population
Criteria for selection of programme
Systematically done by
Professional Agencies/
Institutions
Proximity from GAIL
offices/ installations Cost vis-à-vis expected
benefits for target groups
Building Trust Capital &
Goodwill among
stakeholders
In sync with Govt Projects
Criteria for selection of
NGO/Implementing partner
Credibility
With Govt/semi-Govt./
Autonomous Bodies/
Capart/National CSR Hub
valid Income-tax
Exemption
Certificate
Annual audited reports for
at least 5 years
Trust/ society under
Societies Registration Act
Founder member :
awardee of some
prestigious awards Association with other PSUs
Established Accreditation
Corporate level
Board level
• Identification by -
Cross functional
CSR Task force at local level
Reviewed by OIC
• Forwarded to C.O.
through CSR
online system
• Examined by
Corporate CSR team
• Reviewed by ED/HoDlevel cross functional Committee
• Recommended progs. are put up to the CSR Sub Committee of Board for approval
Work centre level
A 3 tier Approval ProcessStage -1
Time period: Jan- AprilStage -2
Time period: April-May
Stage -3
Time period: May- June
12
1414
Base line survey conducted
An Agreement is signed for each project between each
executing/ implementing agency & GAIL (India) Limited
to the extent possible
Programme implementation steps
Monitoring/Concurrent Evaluation & Feedback
Documentation for each project
-photographs & videographic coverage
NGO/Partner Interactive Meet
Auditor‟s Certificate after project completion
Quarterly CSR Meet convened – physically or virtually
Online Tracking System
Monthly monitoring of Work Center performance at
Corporate Level
Responsibility Project EIC & Work Centre CSR
heads
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An annual Evaluation of each project is intended -however, not
taking place everywhere or every year
Selectively - internal audit team carries out an assessment at
major work centres
In addition, Third Party assessment carried out in the past only
at major work centers :
2003-05 Jamia Milia University
2005-07 SoulAce
2009-12 TISS, Mumbai
Reported back to internal CSR Committee & Board Sub-
Committee
Learning's attempted to be assimilated in next cycle .
Evaluation of Projects
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Span across all Thrust Areas
- based on local requirement
Range from short term (1
year) to long term (3-5 years)
involving commensurate
financial commitment (few
lakhs to over
Rs. 10-12 crores)
Focused over last 2 years in
domain of:
Education
Employment
linked Skill
Development
Medical
Community
Development
Not huge in expans– YET,
intense & sensitive in
approach –carefully chosen
& completely owned.
Our Projects – A Snap Shot
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Infrastructure development of
Government schools &
augmentation of facilities –
socially & economically
deprived segment.
Setting up NFE centres for slum
children (rag-pickers)
Enhancing facilities in ITIs in
tribal villages in MP & Gujarat
E-Shiksha – basic computer
education through Mobile
Computer Vans
Education
In F/Y 2011-12, Rs. Crs have been spent on __ nos. of Education programmes across India
Bridge/Remedial
courses for school
drop-outs &
academically poor
students of
economically deprived
segment
Specialized residential
coaching for under
privileged students –
for engineering
entrance
examinations.
Scholarships to
students on merit-cum-
means basis through
C&E Trust.
Education (Contd…)
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Setting up 3 large Skill Schools in MP,
AP, Gujarat
Retain/Facility management,
trade, IT (4000 youth to be
touched)
Skill resource training centres in
partnership with Ministry of Rural
Development – Employment linked
training to BPL rural youth)
IT-training cum employment centre for
visually impaired youth
Mushroom Production, Tailoring,
Blanket weaving centre for
tribal/socially & economically under
privileged women
Empowerment through Skill Training
In F/Y 2011-12, Rs. Crs have been spent on __ nos. of Education programmes across India
20202/17/2012
Enabling primary Health care across
villages in MP & UP through MMUs.
Infrastructural support to District
Rehablitation Centre, Jhabua over last 10
years.
Surgical intervention camps for polio
patients
Eye screening & cataract operations
across villages in Haryana, UP, MP,
Rajasthan, AP & Rajahmundry
Health & Family Planning Camps
Medical/Healthcare
In F/Y 2011-12, Rs. Crs have been spent on __ nos. of Education programmes across India
Setting up of a cancer ward for
under- privileged women &
children in a Government
Hospital
Medical equipment to
Government Hospitals
Setting up of telemedicine
centres
Setting Up Centre of Excellence
for reconstructive surgery,
rehabilitation, community
outreach services and device
development centre
Medical/Healthcare
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Solar lighting across various villages in UP &
MP (1000 nos. approx.)
Stop water check dams/irrigation facilities
Sanitation facilities – toilets & drainage – UP &
MP
Bio gas Plants in identified villages in MP
Construction of village roads
Drinking water facilities – bore wells, hand
pumps
Infrastructure support for setting up a sports
stadium in Guna.
Projects under other thrust areas
In F/Y 2011-12, Rs. Crs have been spent on __ nos. of Education programmes across India
23232/17/2012
Education :
Centre for Social Responsibility and Leadership, Delhi
Great India Dream Foundation, Delhi
SOS Children's Village, Jaipur
Kumarappa Institute of Gram Swaraj, Jaipur
National Association for Blind
Ramakrishna Mission, Kolkata
District Administration/Government schools
Healthcare/Medical :
Aakar-Asha, Hyderabad
Goutami Eye Institute, Rajahmundry
Wockhardt Foundation, Mumbai
Ratna Nidhi Charitable Trust, Mumbai
Smile Foundation, Delhi
Government Hospitals
Our partners…Range from Small NGOs to Companies to Govt. Agencies.
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Skill Development :
IL&FS Clusters, Delhi
AROH Foundation, Delhi
Chakriya Vikas Pranali Sanstha, UP
Society for communication and Social Research, Bhopal
Ujjain Foundation Samitee, Ujjain, MP
Pragati Manav Seva Sansthan,Raghogarh, MP
Community Friendly Movement, Delhi
PRAYAS
Drinking Water/Sanitation, Infrastructure, Community
Development
Akshaya Patra Foundation
Bal Sahyog
Natraj Vikas Sansthan
Sulabh Sanitation Mission Foundation
Our partners
A mixed bag of and
Emerging seriousness in the Organization –
attributable to Government mandate
Message driven home that CSR is there to stay
Exposure of Management team across functions
– Greater appreciation of role of CSR.
Growing respect that CSR is an investment in
future with tangible & intangible benefits
Imperative for building a separate CSR cadre recognized
Succeeded in changing the nature of
programmes - Small, isolated programmes
substituted with long term interventions
Structured framework enabled resilience to
external pressure
Confusion over multiple platforms
Scepticism : on credibility/ability of
NGOs
Sustainability of projects
Seen as a fad/bubble
Susceptibility of being used as boundary
management platforms
Absence of mechanism to enable concerted
efforts by PSE‟s – coherent
Road blocks in implementation – where
interphased with Govt. agencies.
Lack of clarity on integration of CSR with
business strategy
CSR jobs considered as „nomination cases‟ –
not in tandem with C&P procedure.
The Road Ahead…
CSR
Focus on fewer but big impactful
projectsAssimilation of
technology in CSR process
Employee Sensitization
Structured and Comprehensive Documentation
Capacity Building for CSR personnel
Interlink age of Sustainability & CSR parameters
Honing Monitoring and
Evaluation Mechanism
Buy In of Internal Stakeholders
Collaboration with other PSUs –Avoid duplication
of efforts
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CSR..An investment in the futureBeing responsible makes good business sense
garnering Tangible and Intangible benefits.TANGIBLE:
Competitive Advantage.
Infrastructural Progress
Increased income levels.
Increased levels of
EmploymentINTANGIBLE :Value Creation for the Community
Improved Stakeholder Relationship
Employee Attraction, Motivation and
Retention
Trust Building and Risk Management
Brand and Reputation Enhancement
Forging International partnerships