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CS Professional · CSR and Social Governance · Impact of CSR

Himalaya Motors Ltd's CSR project provides solar lamps to tribal hamlets. Besides lighting, children now study after dusk and kerosene-related burns have fallen. How are these additional benefits best described?

They are positive spillover effects. The lamps were meant to give light, but longer study hours and fewer kerosene burns are extra social benefits that extend the project's impact across the community.

  1. APositive spillover effects on the community beyond the project's direct aimCorrect
  2. BCosts that must be added to the company's tax liability
  3. CEvidence that the project breached its objectives
  4. DNegative externalities of the project

Explanation

Better study time and fewer burns are benefits beyond the immediate provision of lamps, so they are positive spillovers to society. They are not negative externalities, and nothing suggests a breach of objectives or any tax effect.

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