When we look at the total CSR spendings by various companies in different states of the country, we see that there is clearly a big discrimination by the companies as many rich states like Maharashtra, Delhi, Karnataka, Tamil Nadu, Gujarat have cornered major part of the CSR spending while poor states like Chhattisgarh, Jharkhand, Bihar, Assam, Uttarakhand etc. have received less than 1% each of the total CSR spending. Shockingly, a large state like Uttar Pradesh received just 2.55% and 2.94% of the total CSR spendings during FY17 and FY16, respectively. On the other hand, Maharashtra remained to be the top recipient of CSR funds in all three years up to FY17, cornering more than 14% share.
When we look more closely at the trend of CSR expenditure state-wise, we find that those states receive better CSR spending that house big corporate and these companies are interested in spending the amount around their own vicinity. Just to highlight this fact, Maharashtra, which received 14.88% of CSR spending in FY17, got mammoth Rs. 442.22 crore from Reliance Industries Ltd. alone. Bajaj Auto, Coal India and Infosys were the other main spenders in Maharashtra. On the other hand, erstwhile Andhra Pradesh (now Andhra and Telangana) and Karnataka received decent amounts in FY16 and FY17 due to the fact that many big IT, petroleum, automobiles and pharma companies are active in these states.
This psyche of companies must change as they are just funding the better-off states of the country while turning a blind eye towards the areas that actually require the vital financial CSR support to uplift the living standards of the people. Interestingly, the historically backward area of northeast is nowhere in the CSR spending strategy and these seven states got less than 0.20% of the total CSR spending during FY17 and FY16. If this is the case, we can imagine the real impact of CSR expenditure on financially backward states.
CSR Spending In Various States
S.No. | States | Amount Spent | Amount Spent | Amount Spent | |||
FY 2014-15 | FY 2015-16 | FY 2016-17 | |||||
(INR Cr.) | (INR Cr.) | (INR Cr.) | |||||
1 | PAN India | 4434.12 | 46.36 | 4650.39 | 33.63 | 1928.25 | 40.86 |
2 | Maharashtra | 1372.34 | 14.35 | 1810.44 | 13.09 | 702.36 | 14.88 |
3 | Delhi | 214.23 | 2.24 | 468.17 | 3.39 | 229.87 | 4.87 |
4 | Madhya Pradesh | 137.15 | 1.43 | 178.93 | 1.29 | 213.47 | 4.52 |
5 | Karnataka | 382.78 | 4.00 | 730.63 | 5.28 | 202.71 | 4.30 |
6 | Tamil Nadu | 498.89 | 5.22 | 597.59 | 4.32 | 202.53 | 4.29 |
7 | Odisha | 249.49 | 2.61 | 604.26 | 4.37 | 191.42 | 4.06 |
8 | Gujarat | 296.53 | 3.10 | 550.98 | 3.98 | 152.04 | 3.22 |
9 | West Bengal | 178.6 | 1.87 | 399.89 | 2.89 | 121.12 | 2.57 |
10 | Uttar Pradesh | 138.63 | 1.45 | 406.93 | 2.94 | 120.34 | 2.55 |
11 | Haryana | 176.29 | 1.84 | 364.21 | 2.63 | 107.87 | 2.29 |
12 | Andhra Pradesh | 403.91 | 4.22 | 1220.53 | 8.83 | 101.69 | 2.15 |
13 | Rajasthan | 271.35 | 2.84 | 472.46 | 3.42 | 84.99 | 1.80 |
14 | Telangana | 94.88 | 0.99 | 248.56 | 1.80 | 64.56 | 1.37 |
15 | Kerala | 64.29 | 0.67 | 129.23 | 0.93 | 50.94 | 1.08 |
16 | Assam | 133.06 | 1.39 | 166.8 | 1.21 | 38.28 | 0.81 |
17 | Bihar | 36.19 | 0.38 | 108.14 | 0.78 | 36.9 | 0.78 |
18 | Uttarakhand | 69.99 | 0.73 | 71.5 | 0.52 | 30.74 | 0.65 |
19 | Jammu And Kashmir | 40.56 | 0.42 | 103.01 | 0.74 | 27.83 | 0.59 |
20 | Jharkhand | 75.86 | 0.79 | 115.7 | 0.84 | 24.24 | 0.51 |
21 | Punjab | 53.85 | 0.56 | 68.16 | 0.49 | 20.16 | 0.43 |
22 | Chhattisgarh | 158.88 | 1.66 | 236.21 | 1.71 | 14.85 | 0.31 |
23 | Himachal Pradesh | 9.29 | 0.10 | 51.7 | 0.37 | 10.56 | 0.22 |
24 | Goa | 26.6 | 0.28 | 30.24 | 0.22 | 10.53 | 0.22 |
25 | Arunachal Pradesh | 11.03 | 0.12 | 1.49 | 0.01 | 7.98 | 0.17 |
26 | Manipur | 1.56 | 0.02 | 5.93 | 0.04 | 6.02 | 0.13 |
27 | Chandigarh | 1.72 | 0.02 | 5.08 | 0.04 | 4.16 | 0.09 |
28 | Puducherry | 1.8 | 0.02 | 6.31 | 0.05 | 3.7 | 0.08 |
29 | Meghalaya | 3.52 | 0.04 | 3.86 | 0.03 | 2.98 | 0.06 |
30 | Sikkim | 1.03 | 0.01 | 1.89 | 0.01 | 2.12 | 0.04 |
31 | Dadra And Nagar Haveli | 2.54 | 0.03 | 12.03 | 0.09 | 1.65 | 0.03 |
32 | Daman And Diu | 20.05 | 0.21 | 2.12 | 0.02 | 0.83 | 0.02 |
33 | Tripura | 1.16 | 0.01 | 1.46 | 0.01 | 0.6 | 0.01 |
34 | Nagaland | 1.1 | 0.01 | 0.94 | 0.01 | 0.45 | 0.01 |
35 | Mizoram | 1.02 | 0.01 | 1.07 | 0.01 | 0.08 | 0.00 |
36 | Andaman And Nicobar | 0.29 | 0.00 | 0.53 | 0.00 | 0.06 | 0.00 |
37 | Lakshadweep | 0 | 0.00 | 0.3 | 0.00 | 0 | 0.00 |
Grand Total (in Cr.) | 9,564.77 | 13,827.86 | 4,719.00 | ||||
Source: MCA |
This article is part of 2nd Annual Issue of GDP Magazine on CSR. Governance Democracy& Politics (GDP) Magazine’s Special Issue on #CSR Takes A Deep Dive on the state of CSR Spending. It has a regressive database of 6000+ companies on CSR Spending.
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