Question : NGO Projects under CSR

(a) the number of organizations working in the social sectors including Non-Governmental Organizations (NGOs) involved in Corporate Social Responsibility (CSR) projects such as environment, skill development, water, research and sanitation through CSR activities in the country including Maharashtra, Karnataka and Haryana; and

(b) the details of the funds sanctioned/allocated/utilised by the above organizations/NGOs in the country during the last three years and the current year, State-wise?

Answer given by the minister

MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF STATISTICS AND PROGRAMME IMPLEMENTATION; MINISTER OF STATE (INDEPENDENT CHARGE) OF THE MINISTRY OF PLANNING AND MINISTER OF STATE IN THE MINISTRY OF CORPORATE AFFAIRS
[RAO INDERJIT SINGH]

(a): The Government provides the broad framework for Corporate Social Responsibility (CSR) through Section 135 of the Companies Act, 2013 (‘Act’), Schedule VII of the Act and Companies (CSR Policy) Rules, 2014. In the CSR Legal framework, the word ‘Non-governmental Organisations (NGO)’ has nowhere been defined, however, Section 135 of the Act read with Rule 4 of the Companies (CSR Policy) Rules, 2014 prescribes that the Board of the company is empowered to undertake its CSR activities either by itself or through Implementing Agencies as mentioned in the said rule. The Companies (CSR Policy) Rules, 2014 was amended on 22nd January, 2021 and registration of Implementing Agencies with the Central Government is mandatory with effect from 1st April, 2021. Till 30.06.2022, total 32,898 Implementing Agencies are registered with MCA21 registry.

(b): The CSR architecture is disclosure based and only CSR mandated companies are required to file details of CSR spent annually in the MCA21 registry. On the basis of filings made by the companies in the MCA21 registry, companies have spent a cumulative amount of Rs 20,172.07 Crore in FY 2018-19, Rs 24,891.63 Crore in FY 2019-20 and Rs 24,865.46 Crore in FY 2020-21 respectively. Further, the companies are required to file the CSR data for the Financial Year 2021-22 on or before 31.03.2023. An analysis of CSR filings made by the companies reveals that of the total annual CSR spent, approximately 60% of the CSR expenditure has been done through implementing agencies.

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