Environment spending from corporates up 38% from pre-Covid period; govt expenditure rises 24%

CSR spending is tilting towards environment

Corporate spending on environmental initiatives under Corporate Social Responsibility (CSR) has jumped by 38 percent from the pre-Covid period, according to a Moneycontrol analysis of data released by the Ministry of Statistics and Programme Implementation.

In the two years following the pandemic (FY22 and FY23), Indian corporates spent Rs 5,347 crore on environmental causes, compared with Rs 2,841 crore in the two years preceding the pandemic (FY19 and FY20).

Not only has the total spending increased, but so has the proportion of CSR funds allocated to environmental causes. In the post-Covid period, 9.5 percent of corporate CSR spending went towards environmental initiatives, up from 7.4 percent in the two years before the pandemic.

Since CSR tracking began, Indian corporates have spent over Rs 14,300 crore on environmental causes in the last nine years.

Government spending also rises

The government has also increased its allocation towards environmental expenditure. Government spending rose 24 percent in the post-Covid period. Between FY22 and FY23, the government spent Rs 9,448 crore on environmental initiatives, up from Rs 7,633 crore during FY19 and FY20.

Over the last 12 years, government expenditure on environmental issues has totaled Rs 33,217 crore, reflecting a growing fiscal focus on climate resilience and ecological sustainability.

Rising temperatures and climate toll

The increase in spending comes amid growing evidence of climate stress. In 2024, India's annual mean temperature rose to its highest level in 24 years, as the country recorded 200 heatwave days, the most in 14 years.

Additionally, the country reported over 3,000 deaths due to natural extreme events in FY25—the highest in nearly a decade—underscoring the human cost of climate inaction.