New Delhi: Comptroller and Auditor General of India (CAG) has observed that during 2016-17, 77 Central Public Sector Enterprises (CPSEs) undertook 8,840 CSR projects and the expenditure thereon was Rs 3,150.37 crore.
The CAG’s review covered 77 CPSEs — 7 Maharatna 28, 17 Navratna 29 and 50 Miniratna 30 Category-I, 3 Miniratna Category-II under the administrative control of 24 Ministries/Departments.
“Review of 77 CPSEs revealed that 49 of the 66 profit making CPSEs had allocated at least two per cent of the average net profit,” said the CAG’s report tabled in Parliament during the ongoing Monsoon Session.
The report also noted that 13 profit making CPSEs did not allocate the prescribed amount for Corporate Social Responsibility (CSR) expenditure.
On utilisation of funds, the CAG observed that out of 77 CPSEs, the amount spent by 66 profit making units on CSR activities for 2016-17 was Rs 2761.50 crore, against the required amount of Rs 2789.78 crore.
In other words, 98.97 per cent of the required amount was utilised during the fiscal ending March 2017.
Expenditure on CSR of 41 government owned companies was above 2 per cent of the average annual profit, while it was below 2 per cent in case of 25.
Of the CPSEs reviewed, 39 CPSEs had total unspent amount of Rs 2438.42 crore carried forward from the previous years. As many as 35 of them, utilised an amount of Rs 214.12 crore for CSR activities during 2016-17.
Four did not utilise carried forward amount of Rs 1636.11 crore. Of these four companies, one was ONGC which alone accounted for Rs 1520.90 crore.