PROJECT

ON

Corporate Social Responsibility

Of

INDIAN OIL
CORPORATION

SUBMITTED TO:-
PROF. JHASI MADAM
SUBMITTED BY:-
DEEPAK NAYAK

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 Indian Oil Corporation Ltd.
THE ENERGY OF INDIA

CONTENT INDEX

SECTION CONTENT
INTRODUCTION Indian Oil with CSR Rating

PREFACE A Cornerstone of our Enduring Success"

Social, cultural and educational

SHARING PORFIT programmes.

Annual contribution towards Indian Oil

POLICY FOR CSR
Foundation

SUSTAINABILITY Sustainable growth

REPORTING

SCHOLARSHIPS By Indian oil foundation

1) INTRODUCTION:-
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About IndianOil

‘IndianOil in every heart. In every part’ – perfectly encapsulates the

expanse, reach and depth of IndianOil today. With a strong presence across
topographies — deserts, mountains, plains, islands — IndianOil’s highly
committed network is not driven by economic considerations alone. While
fulfilling its mission of strengthening India’s energy security, IndianOil, during
the fifty golden years of existence (1959-2009), has grown to be India’s
flagship energy Company and the largest enterprise that saw spectacular
performance in financial year 2008-09 in various domains with an
unprecedented turnover of Rs. 2,85,337 crore with a net profit of Rs. 2,950
crore. IndianOil also steadily climbed the Fortune ‘Global 500’ listings, now
placed at 105th position, as the highest ranking Indian Company. As a leader
in the business of bringing energy to life, IndianOil and its group companies,
span the oil & gas sector of India with approximately 48% petroleum
products market share, 34% national refining capacity and 71% downstream
sector pipelines capacity. For the year 2008-09, the IndianOil group sold 62.6
million tonnes of petroleum products, including 1.7 million tones of natural
gas, and exported 3.64 million tonnes of petroleum products. IndianOil's
leadership is also due to the commitment and dedication of the Indian Oil
People. The Company was the only PSU that found a place of prideamong
India's 25 best employers in a Hewitt Associate Study.

CSR Rating

Indian Oil Corporation Ltd

Income 2005-2006 =  Rs 140000 Cr (rounded off)
Net profit after tax (05-06) = Rs 5000  Cr (rounded off)
Karmayog CSR Rating- 2/5

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 2) PREFACE:-

"CSR: A Cornerstone of our Enduring Success"

At Indian Oil, corporate social responsibility (CSR) has been the
cornerstone of

success right
from inception in the year 1964. The Corporation’s objectives in this key
performance area are enshrined in its Mission statement: "…to help enrich the
quality of life of the community and preserve ecological balance and heritage
through a strong environment conscience."

We at Indian Oil have defined a set of core values for ourselves – Care,
Innovation, Passion and Trust – to guide us in all we do. We take pride in
being able to claim all our countrymen as our customers. That’s why, we
coined the phrase, “Indian Oil – India Inspired", in our corporate campaigns.
Public corporations like Indian Oil are essentially organs of society deploying
significant public resources. We, therefore, are aware of the need to work
beyond financial considerations and put in that little extra to ensure that we
are perceived not just as corporate behemoths that exist for profits, but as
wholesome entities created for the good of the society and for improving the
quality of life of the communities we serve.

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3) SHARING PORFIT:-

As a constructive partner in the communities in which it operates, Indian Oil

has been taking concrete action to realise its social responsibility objectives,
thereby building value for its shareholders and customers. The Corporation
respects human rights, values its employees, and invests in innovative
technologies and solutions for sustainable energy flow and economic growth.
In the past four decades, Indian Oil has supported innumerable social and
community initiatives in India. Touching the lives of millions of people
positively by supporting environmental and health-care projects and social,
cultural and educational programmes.

Besides focusing primarily on the welfare of economically and socially

deprived sections of society, Indian Oil also aims at developing techno-
economically viable and environment-friendly products services for the
benefit of millions of its consumers, while at the same time ensuring the
highest standards of safety and environment protection in its operations.

Every year, Indian Oil sets aside a fixed portion of its profits for spreading
smiles in millions of lives across the country through a comprehensive
community welfare and development programme. About one-fourth of the
community development funds are spent on the welfare of Scheduled Caste

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and Scheduled Tribe beneficiaries.

Indian Oil has a concerted social responsibility programme to partner

communities in health, family welfare, education, environment protection,
providing potable water, sanitation, and empowerment of women and other
marginalised groups. Indian Oil has always been in the forefront in times of
national emergencies. Indian Oil People have time and again rallied to help
victims of natural calamities, maintaining uninterrupted supply of petroleum
products and contributing to relief and rehabilitation measures in cash and
kind.

Indian Oil’s community-focused initiatives include allotment of petrol/diesel

station dealerships and LPG distributorships to beneficiaries from among
Scheduled Castes, Scheduled Tribes, physically handicapped, ex-servicemen,
war widows, etc. The Corporation has also unveiled kisan seva kendras as
small-format retail outlets to reach quality products and services to people in
the rural areas. Indian Oil has also set up the Indian Oil Foundation (IOF) as
a non-profit trust to protect, preserve and promote national heritage
monuments. The Corporation also supports a variety of endeavours in arts,
culture, music and dance, apart from organising programmes on its own
under the banners of Indian Oil Art Exhibition, Indian Oil Sangeet Sabha
and Indian Oil Kavi Sammelan.

As part of its environment-protection initiatives, Indian Oil has invested close

to Rs. 7,000 crore in state-of-the-art technologies at its refineries for
production of green fuels meeting global standards. To further reduce
dependence on precious petroleum products and secure the nation’s energy
security, the Corporation is now in the process of commercialising various
options in alternative fuels such as ethanol-blended petrol, biodiesel, and
Hydrogen and Hydrogen-CNG mixture.

With safety, health and environment protection high on its corporate agenda,
Indian Oil is committed to conducting business with a strong environment
conscience, so as to ensure sustainable development, safe work places and
enrichment of the quality of life of its employees, customers and the
community. Indian Oil is also committed to the Global Compact Programme of
the United Nations and endeavours to abide by the 10 principles of the
programme, some of which are already part of the Corporation’s Vision and
Mission statements. It is the firm resolve of Indian Oil People to move beyond

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business, touch every heart and fuel a billion dreams.

4) Policy for Activities under Corporate Social

Responsibility
Expenditure not exceeding 2% of the Retained Profit of the previous year
can be incurred towards corporate social responsibility every year. (This
is against the ceiling of 0.75% of Net Profit, which was in force hitherto).

The above amount is inclusive of the annual contribution of Rs.10.00

crores towards Indian Oil Foundation.

b) The donations/contributions and CD activities should be focused in

specific target areas to establish a corporate culture on the subject. As such,
after paying/allocating the annual contribution towards Indian Oil
Foundation, the remaining amount would be utilized as per the following
Break-up:

• A minimum of 35% towards national causes/natural calamities.

• Amount not exceeding 5% towards donations/contributions.

• 30% towards Community Development activities including Special

Component Plan and Tribal Sub Plan.

• 20% towards IOC’s scholarship, of which 50% amount would be

Utilized towards providing scholarships to the students belonging to
Weaker sections of society and 50% amount for others.

• 10% towards “other” activities.

c) While utilizing the Community Development Funds, more emphasis

should be laid on the projects of providing Clean Drinking Water, Health
& Medical Care and Education as under to the extent possible:

• 40% towards Clean Drinking Water

• 40% towards Health & Medical Care

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• 20% towards Education.

5) SCHOLARSHIPS:-
offers 450 scholarships every year to bright students selected on 'meritcum-
means' basis.Of these, 250 scholarships are for 10+/ITI students on a zonal
basis, at Rs. 1000 per month for two years. Hundred scholarships are for
engineering students and 40 for medical students at Rs. 2000 per month for
four years. Sixty students of post-graduation in Business Management are
entitled to a scholarship of Rs. 2000 per month for a period of two years. The
scheme gives special encouragement to girl students, physically challenged
students and students from Jammu & Kashmir and the Northeastern States

Indian oil sports scholarships

Sports scholarships are offered to upcoming players in the age group of 15-18
years and potential/talented players below 15 years but above 14 years. In
team games, it is given to Statelevel players and in individual sports based on
national ranking in the
respective category. The duration of the sports scholarships is of three years
subject
to performance review every year.

Indian oil foundation

The genesis of IOF lies in Indian Oil’s Mission statement, to ''...preserve

ecological
balance and heritage....'' Exclusively funded by Indian Oil with an initial corpus
of Rs. 25 crore and an annual contribution of Rs.10 crore, IOF will adopt at
least one
heritage site in every State and Union Territory.

IOF, in partnership with ASI and NCF, will develop world-class facilities and
conveniences for the visitors, besides providing refueling facilities at select
monuments. Monuments identified in the first phase include Konark Sun
Temple in Orissa, Khajuraho Temple in Madhya Pradesh, Kanheri Caves in
Maharashtra, Hampi Complex in Karnataka, and Warangal Fort in Andhra

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Pradesh. IOF has also unveiled the ''Swatantrya Jyot'' at the
Cellular Jail National Memorial, Port Blair, as a tribute to our freedom fighters.

Amount spent on CSR: No information regarding the amount spent on CSR

was available on the homepage.

Contact details: Indian Oil Corporation Ltd

6) Sustainability Reporting:-

Indian Oil perceives sustainable growth as an opportunity to enhance its

business processes and practices, enabling it to positively impact its entire
scope of business. The Corporation’s values drive the belief that responsible
businesses can be profitable, leading to investments in the technologies &
products and new energy infrastructure that will help shape the low carbon
future. We see sustainable business practices as a defining element of
competitiveness to maintain the Corporation’s status, equity and standing,
both in the market and in the society in the coming decades. Our attention is
on what we produce; how we buy and sell; how we affect the environment;
how we recruit, train and develop our own people, how we invest in the
community and respect the rights of people. Indian Oil endeavors to develop
its group businesses to deliver long-term strategic benefit and shareholder
value by maximizing synergies that sustainable development provides.

Our societal obligations stood out even in our formative years, while we
supported the mission of the defense forces to preserve the integrity of the
nation, kept the home fires burning in rural India, fuelled major transport
undertakings and worked on being a `national trust for economic prosperity.’
The same obligations continue with renewed vigor, as we strive year after
year, to grow our business to meet the Nation's energy needs, and at the same
time increase stakeholder value, exploring the prospect of alternative fuels
and engaging people for optimum utilization of energy.