Corporate Social Responsibility (CSR) Policy 2019-20

1. PREAMBLE

The Corporate Social Responsibility Policy (hereinafter referred to as ‘The CSR Policy’) of WIRTGEN INDIA Private Limited (hereinafter referred to as ‘The Company’) has been framed in accordance with the provision of Section 135 of the Companies Act 2013 read with Companies (Corporate Social Responsibility) Rules, 2014 and other applicable provisions/ rules, if any, of the Companies Act, 2013, or subject to such modification and reenactment thereof from time to time notified by the Ministry of Corporate Affairs, Government of India.

This Policy on Corporate Social Responsibility is to be formulated by the CSR Committee and then to be recommended to the Board of Directors of the Company (‘Board’) for its approval and amendments thereto.

2. INTRODUCTION

WIRTGEN INDIA is a member of the WIRTGEN GROUP which is now a part of JOHN DEERE Construction & Forestry Division – a highly successful global company in the field of agriculture, construction & forestry equipment.

The WIRTGEN GROUP is the world market leader in mobile Road Construction and Road Rehabilitation equipment, incorporating five strong brands: WIRTGEN, VÖGELE, HAMM, KLEEMANN and BENNINGHOVEN. As technological leader, we offer our customers mobile machine solutions for road construction and road rehabilitation, plants for mining and processing minerals or recycling material and for the production of asphalt.

WIRTGEN INDIA is committed to maintain Social, Environmental, Economical, Human rights, Ethical and Governance standards for the benefit of all its Stakeholders. WIRTGEN INDIA has several policies and standards in place, in line with our core values, covering Business Ethics and Governance, the Code of Business Conduct etc.

3. CSR VISION

The Company is committed to improving the lives of the communities in which it operates in a sustainable way. The CSR Vision of the Company is to build relationships of trust with local communities, society and stakeholders as good corporate citizens and to contribute to developing a sustainable society for future generations.

4. OBJECTIVES OF CSR POLICY

The CSR Policy, formulated in alignment with the Vision of the Company, lays down guidelines and mechanisms to be adopted by the Company in order to carry out CSR Projects / Programs. All CSR Projects / Programs will be conceived and implemented through a focused approach towards target beneficiaries for generating maximum impact. CSR Projects / Programs of the Company may be carried out in partnership with credible implementing agencies.

5. APPLICABILITY, VALIDITY & REVIEW

The CSR Policy shall apply to all CSR Projects / Programs undertaken by the Company. The Board may review the CSR policy once in a year and may amend the same as per the requirement of the Company. The Board may review and make changes to the policy at any other intervals in case of any change in the Act.

6. CSR BUDGET

The CSR Budget will be allocated as per the provisions of the Act i.e. at least two per cent of the average net profit calculated as per Section 198 of the Act read with the Companies (Corporate Social Responsibility) Rules thereof (‘average net profit’) accrued during the three immediately preceding Financial Years. The Board of the Company will endeavor to spend in each Financial Year, at least two per cent of the average net profit on CSR Projects / Programs. In the event that the amount indicated above is not spent in its entirety in that Financial Year, the reasons thereof will be outlined as per Section 134(3) (o) of the Act. In implementing its CSR Projects/Programs the Company may choose to partner with a registered trust, society or a Section 8 company that fulfill all requirements of Section 135 of Companies Act, 2013. The Company may collaborate or pool resources with other entities within the Group to undertake CSR Projects / Programs. The Company may also enter into partnerships with the government, business partners and communities to achieve a significant impact of the social projects.

In view of the above, Wirtgen India will spend its CSR Liability for the FY 2019-20 within the prescribed timeline.

7. TREATMENT OF SURPLUS

In the event that the Company makes any surplus or profit from pursuing its CSR Projects / Programs, these will not form part of the business profit and will be invested back into CSR Projects.

8. FOCUS AREAS

The Company shall undertake CSR Projects / Programs/ activities that are aligned with areas listed in Schedule VII of the Act or any modifications thereof from time to time, within the geographical limits of India, for the benefit of marginalized, disadvantaged and underserved sections of the community and the environment.

CSR Projects / Programs / Activities will not, however, include the following:

  • Activities which benefit only the employees of the Company and their families
  • Contribution to any political parties
  • Activities undertaken outside the country

WIRTGEN INDIA will focus on the following CSR Projects / Programs / Activities during the year 2019-20:

1. Promoting health care including preventive health care;
2. Promoting education, including special education;
3. Promoting gender equality and
4. Ensuring environmental sustainability

GOVERNANCE STRUCTURE

The Governance Structure for CSR Projects / Programs undertaken by the Company shall be as represented below:

CSR Committee of the Board Members:

1. Mr. Ramesh Palagiri
2. Mr. Frank Betzelt

The Company Secretary may act as the Secretary to the CSR Committee of the Board.

CSR Internal Working Committee Members:

1. Ms. Neena Nikam
2. Mr. Shaukat Shaikh
3. Mr. Amol Deshmukh
4. Mr. Ajit Kadam
5. Mr. Dinesh Bhalerao
6. Company Secretary

The members of the internal committee can be altered/modified as an when required, based on the feasibility of the internal working committee.

9. PLANNING & IMPLEMENTATION

The mode of implementation of CSR programs will include a combination of direct implementation and through implementing agencies. The Company will select its implementing agencies after appropriate due diligence.

The Company may use services of expert agencies, consultancy firms etc. wherever required for carrying out surveys, guidance on project design and implementation, impact assessment surveys, etc.

10. MONITORING & REPORTING

A comprehensive monitoring framework shall be devised by the Company to ensure that all Projects / Programs are duly implemented as approved by the CSR Committee and by the Board. The Company’s CSR Committee shall monitor the approved projects and shall report to the Board about the current status of the CSR activities / CSR expenditure on quarterly / Half yearly basis. The monitoring and reporting mechanism will include program review, evaluation, documentation and reporting.

11. AMENDMENTS TO THE POLICY

The Board of Directors on its own and/or as per the recommendations of CSR Committee can amend this Policy, as and when required as deemed fit. Any or all provisions of the CSR Policy would be subject to revision/amendment in accordance with the Regulations on the subject as may be issued from relevant statutory authorities, from time to time.

In case of any clarification on any matter, including interpretation of this Policy, the Company Secretary of the Company shall be contacted. The decision of the Board of Directors on all matters, relating to this Policy, shall be final and binding upon all concerned.

This Policy is subject to continuous review and updates as may be required from time to time.

WIRTGEN INDIA is a member of the WIRTGEN GROUP, an internationally operating group of companies in the construction machinery sector incorporating the traditional product brands: WIRTGEN, VÖGELE, HAMM, KLEEMANN and BENNINGHOVEN. As technological leader, we can offer our customers mobile machine solutions for road construction and road rehabilitation, plants for mining and processing minerals or recycling material and for the production of asphalt.
Our ratios: In 2018 the WIRTGEN GROUP generated consolidated sales of more than 3 billion euros. Presently the WIRTGEN GROUP employs 8,700 people.

© 2019 WIRTGEN INDIA

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