On Thursday 13 March IIP co-hosted a roundtable discussion on how the Indian cement industry is responding to new government mandates for investment in corporate social responsibility (CSR) initiatives. The roundtable, which was hosted on a Google hangout to allow wide attendance, looked at how the Companies Act 2013 will stimulate new investment in CSR initiatives and how these investments can help improve social development and environmental sustainability in India.
CEOs from some of India’s biggest cement firms provided insight on how they were taking up the challenge: with great gusto and optimism. The virtual roundtable can now be viewed in its entirety on YouTube: www.youtube.com/watch?v=xSbR6FhdJ7c
The panel discussion includes an overview of the Companies Act 2013, which was passed by the Indian Parliament in August 2013. Section 135 of the Act mandates companies to spend 2 percent of their profits on CSR initiatives and to publish related reports. The Act applies to companies with net worth of INR 5,000 Million (~USD 80 million) or more, or turnover of INR 10,000 million (~USD 160 million). Estimates suggest that if all companies that fall under the ambit of the Act are to fully comply with the mandate, the CSR capital generated would amount to nearly INR 20,000 crore (USD 3.2 billion). Due to their size and turnover, cement manufacturers will be one of the major contributors.
The panel discussion was organized by IIP, the Indian Institute of Corporate Affairs (IICA), the Cement Manufacturers Association (CMA) and NextGen.
- Dr Bhaskar Chatterjee, Director General and Chief Executive Officer, Indian Institute of Corporate Affairs, Ministry of Corporate Affairs, Government of India
- Shri N.A. Viswanathan, Secretary General, Cement Manufacturers Association
- Shri L. Rajasekar, Executive President, Ultra Tech Cements
- Shri S.K. Wali, Whole time Director, J.K. Lakshmi Cement
- Shri Mahendra Singhi, Group CEO and Whole Time Director, Cement , Dalmia Cement
- Shri Ujjwal Batria, Managing Director, Lafarge India Pvt. Ltd.
- Dr. Jigar Shah, Executive Director, Institute for Industrial Productivity