Cement, Energy and Environment

spending on CSR done by companies as at government level no legal provisions were described. It has always been felt that there should be a regulatory framework which provide companies a pla orm to start thinking strategically about CSR and aligning its efforts to addressing stakeholder/community needs. It allows companies to implement its prac ces effec vely by ensuring adequate alloca on of funds and se ng up measurable targets. Indian companies have been following interna onal codes and a standard for CSR, thus from Indian CSR scenario, legisla on has been missing. Lately, government of India has felt the need of legisla ng CSR in India. In 2009, Ministry of Corporate Affairs issued Na onal Voluntary Guidelines on Social, Environmental and Economic Responsibili es of Business and the Companies Bill, 2013 incorporates a provision of CSR to streamline the approach of CSR in India. 2.1 Emergence of interac ve state in India In the 1920s, Mahatma Gandhi propounded the philosophy of Gandhian trusteeship, which advocated that a capitalist should regard himself as a trustee for those, on whom he depends for the making, the reten on and the increase of his capital. Philanthropic contribu on remained the major form of CSR ll the 1990s when the trusteeship philosophy resurfaced in public, poli cal and compe ve environment owing to the liberalisa on, priva sa on and globalisa on of the Indian economy (Rao, 2011), which encouraged foreign investment and allowed Indian companies access to interna onal markets. By 2000s, a change in the dynamics between the government and businesses saw the government, through different ministries especially the Ministry of Corporate Affairs (MCA), openly solici ng help from businesses to overcome social concerns like poverty, illiteracy, malnourishment and 458 U.A. Biswas et al. global challenges like climate change (MCA, 2009). The government stand towards acknowledgement of business units', both private and public, important role in development emerged in the form of greater emphasis on CSR and heralds the emergence of the interac ve state in India. Table 1 explores the Indian Government's CSR interven ons using the interac ve module. Table 1 The government CSR policy module in India Vision Genera ng corporate value and sustainability and allevia ng · societal concerns through socially, environmentally and ethically responsible behaviour in the governance of corporate opera ons Strengthening Indian tradi ons and helping the Indian corporate · sector evolve into a global leader in responsible business Strategy Top to down approach with the central government ini a ng · policies Change in governmental policy from so to hard regula ons, · manda ng CSR repor ng and spending Objec ves To encourage corporate sector to adopt good governance and CSR · prac ces To encourage collabora on between the government, business · sector, society, organisa on and common ci zens To manage the environment and secure the energy future of India · 32