Nava Ltd

"We have always tried to integrate our business with community aspirations. While our factories build and power the nation in a literal sense, our Corporate Social Responsibility (CSR) initiatives fuel inclusive growth and community development, addressing the basic needs of citizens even in the country's remote and deprived regions. And that is precisely what we have done and continue to do in our operations."

CII-ITC "Commendation for Significant Achievement in CSR" for the Paloncha Unit:

Nava Bharat Ventures Ltd, Paloncha, was accorded "Commendation for Significant Achievement in Corporate Social Responsibility", for Commendable Results from Deployment of Policy and Processes on the journey to Excellence in Sustainable Business, at the "CII-ITC Sustainability Awards 2017" function, held in New Delhi, on December 12, 2017.

1 HEALTH

The Company believes in extending reach of primary healthcare to everyone. The Company organises various health camps in slums and alike areas for a complete preventive and corrective health check-up of the inhabitants surrounding our plants. These healthcare programmes are run on a regular basis to achieve our mission of ensuring good health to everyone. Given below are some of the projects that the Company has undertaken in FY 2017-18.

Preventive healthcare: Awareness programmes on preventive healthcare are organised for proactive and timely medical attention, particularly in slum areas surrounding Paloncha. Under this initiative, a medical team visits such areas and conducts medical examination, gives counselling and medicines to people at free of cost.

Preventive healthcare programs are also conducted by the Company at the Primary Health Centre at Nava Bharat Eye Centre.

Nava Bharat Eye Centre (NBEC): NBEC has been providing equitable comprehensive eye care and high quality cataract surgical services to people in and around Paloncha, irrespective of their socio-economic, religious or ethnic background. However, to address the increasing prevalence of non-communicable chronic eye diseases, such as diabetic retinopathy and glaucoma in and around Paloncha, the Company has provided the following equipment to NBEC:

1. Optical Coherence Tomography - For identifying Macular/ Corneal/ Glaucoma cases.

2. Fundus Camera - To identify all posterior segment diseases including diabetic retinopathy and glaucoma.

3. Replacement of existing Operating Microscope and Autoclave Equipment.

This has enhanced the capabilities of the NBEC beyond cataract surgery and brought the above services to the door steps of the rural community.

Safe drinking water: The Company has setup safe drinking water plants at Sri Kumara Rama Bhimeswara Swamy Temple, Samalkot and Charadagadia, Masania, Similipatana in Odisha. These water plants offer pure drinking water at a very affordable cost, which controls water borne diseases and helps improve the health of the people in the surrounding areas.

About 4,000 villagers have benefited from these programmes.

Hand Wash Facilities: Inferior water quality &

inappropriate hygiene behaviour is detrimental to the health of the school going children. To overcome this problem, the Company has set up Hand Wash Facilities in 12 government schools, benefiting 3,000 students.

Mosquito Nets: The Company has distributed 3,800 mosquito nets at several villages in and around Paloncha in Bhadradri Kothagudem district, to prevent the diseases such as Dengue, Malaria etc., transmitted through mosquito bites.

Besides, the Company has carried out distribution of wheel chairs, hearing aids and other disability aids in Kharagprasad and Sibapur grama panchayats in Odisha and drilled borewells at Papakollu Village, Julurupadu (Mandal), Telangana.

2. EDUCATION

The Company believes that every child must have access to education. To make that possible, we with special focus on ensuring quality education to children in rural and semi-urban areas, extend financial assistance / grant-in-aid to the projects / programmes that provide education, supply material to children and create infrastructure for schools. The following are some of the programmes in this direction.

After class tuitions: The Company organised tuitions for economically backward students in 22 Government Schools at Paloncha, Lakshmidevipalli and Mulakalapalli Mandals.

Nava Bharat Vignana Dayini: For proper education of science, it is necessary to conduct various kinds of experimental works, which are practical in nature. These practical functions cannot be carried out in the absence of scientific apparatus and equipments and they form essential components of science education.

To fill this gap, the Company has taken up an initiative named "Nava Bharat Vignana Dayini" under which a mobile science laboratory visits various government schools and encourages students to carry out scientific experiments by themselves.

Computer Education: Recognizing that the computer literacy plays an important role in student's career development, the Company recruited instructors to impart training in computer education to the students studying in government schools.

Spoken English: Communication is a very essential skill especially proficiency in English for advancement of students. Students

in rural areas lack this skill and to help such students with proficiency in English, the Company conducted Supplementary Spoken

English Programs in government schools located in and around our Plants.

INFRASTRUCTURE IN GOVERNMENT SCHOOLS

The Company provided 920 dual desks to Government Schools at Paloncha, Mulakalapalli, Tekulapalli, Annapureddypalli, Chandrugonda, and Julurupadu mandals. This initiative was taken to promote congenial learning atmosphere in schools. It benefited 2,760 students in Toto.

Similar initiatives were taken by the Company at schools in Hussainpuram Village, Burugupudi and Kirlampudi Mandals and at Sibapur village in Dhenkanal district, Odisha.

3. LIVELIHOOD

The Company through its Women Empowerment Centre and Nava Bharat Vocational Institute (NBVI), provides training on various programmes to achieve livelihood on a sustainable basis.

Women Empowerment Centre (WEC): Women empowerment is gaining significant importance everywhere and comprises improving the socio economic strength of women to make them confident enough to play their rightful role in the the society. To serve this noble cause, the Company has created a WEC at Paloncha and is housed in an exclusive building and imparts training in the following fields under one roof:

Nava Bharat Vocational Institute (NBVI) at Paloncha is contributing to skill development by imparting vocational training to

unemployed youth in the following trades.

• Refrigerator & Air condition Technician

With faster pace of economic development, the demand for skilled manpower in India is outstripping the supply, resulting in a significant shortage of skills across several existing trades. New types of skill requirements offering promising employment opportunities are also emerging. NBVI is striving to bridge this gap.

4. OTHERS

As part of environment sustainability, development and maintenance of medicinal plants were undertaken at Mahatma Gandhi Ausodhiya Aranya at Sogar, Kamakhyanagar, Dhenkanal.

The Akshaya Patra Foundation

During the year under review, Nava Bharat Energy India Limited, the Company's wholly owned subsidiary extended financial assistance as an "Anchor Patron" to "The Akshaya Patra Foundation" to establish a centralized kitchen in Kothagudem (Lakshmidevipally). "Akshaya Patra Foundation" is the world's largest NGO-run Mid-Day meal programme serving wholesome school lunch to over 1.7 million children in 14,173 schools across 12 states in India.

This is the first of its kind centralized Kitchen setup in Tribal area of Telangana State to support the Mid-Day Meal program of the Government and mitigate the twin challenges of hunger and education. The program enables increase in enrolment & attendance, reduces dropout and improves nutritional status of students of the Government Schools by serving hot & nutritious food. The kitchen can serve mid-day meals up to 30,000 students per day.

The Centralised Kitchen was inaugurated by Hon'ble MLA of Kothagudem, Mr. J. Venkata Rao in the presence of Mr. M. Ram Kishan, Joint Collector, District Level Officers, Mr.GRK Prasad, Executive Director, Nava Bharat Ventures Limited (NBVL), Mr. Sreenivasamurthy, Vice President, Paloncha Works, NBVL, Students of Government Schools, public and Media representatives. At present the kitchen is supplying food to 22,255 students in 244 Government Schools situated in 5 Mandals viz. Kothagudem, Lakshmidevipally, Sujathanagar, Chunchupalli and Paloncha.

Corporate Social Responsibility (CSR) Committee

The CSR Committee of the Board formed under the aegis of Section 135 and Schedule VII of the Companies Act, 2013 and the provisions of the CSR Rules, 2014 to spend 2% average net profits of immediately preceding 3 financial years on CSR. The CSR Committee comprises of three (3) members, of the Board. The roles and responsibilities of the CSR Committee include formulation of CSR Policy and provide recommendations to the Board. This Committee also informs the Board regarding the activities to be undertaken by the Company as specified in Schedule VII to the Act, or as may be prescribed by the Rules thereto, as well as propose expenditure to be incurred on the activities referred and the monitoring mechanism.

Visit of CSR Committee

The CSR Committee on January 8, 2018 visited Paloncha Unit to review and monitor the progress of the projects / programmes envisaged for the financial year 2017-18 in the following locations:

1. Nava Bharat Eye Centre

Nava Bharat Public School / Nava Bharat High School Women Empowerment Centre Nava Bharat Vocational Institute

2. Akshayapatra premises at Kothagudem

3. Machinapeta village - water plant & interaction with beneficiaries

4. Karakavagu School (Demo on K Yaan, Hand wash facilities for the students, Mobile Science Lab practical classes and supplementary spoken English classes)

The Committee has expressed its satisfaction over the progress of the projects/programmes and observed that the impact was impressive.

Our domestic subsidiaries actively participate in CSR activities. The following table highlights the amounts budgeted and actually spent during the financial year 2017-18.

(' in lakhs)