The Business Responsibility and Sustainability Report (BRSR) is mandatory for India's top 1,000 listed companies by market capitalization, effective from FY 2022-23. Introduced by SEBI, this framework requires standardized, transparent, and quantifiable disclosures on Environmental, Social, and Governance (ESG) performance as part of the annual report.
The applicability of preparing BRSR is based on the condition of whether the listed entity (irrespective of its status of being a holding or a subsidiary or another company) falls under the list of top 1000 listed entities based on market capitalization.
The Securities and Exchange Board in India (SEBI) developed the Business Responsibility and Sustainability Reporting (BRSR) to mandate Indian companies to provide quantifiable metrics on sustainability-related factors, such as respect for human rights or environmental protection.
In FY 2022-23: All top 1,000 listed companies must file the BRSR (no assessment required) In FY 2023-24: The top 150 companies are required to report BRSR Core disclosures with assessment. In FY 2024-25: Applies to the top 250 companies. In FY 2025-26: Expands to the top 500 companies.
About BRSR:
BRSR is applicable to the top 1,000 listed entities, as determined by market capitalization. The reporting was voluntary for FY22 (the year ending in March 2022) and now mandatory from FY23 onwards.
Sustainability reporting is now becoming mandatory for U.S. corporations, driven by state regulations and international standards that are transforming how businesses operate, disclose, and compete in a global market.
For publicly listed companies, ESG reporting is mandatory. For private ones, it's growing more difficult to skirt. However, driven by regulation, investors, customers, or supply chain requirements, ESG has emerged as a demonstration of how a company mitigates risk and enhances resilience.
In 2025, ESG reporting is shifting from voluntary to mandatory in many regions. New regulations in the EU, US, and UK require companies to publish environmental and social performance data alongside financial results.
What is BRSR? Mandated by SEBI, the Business Responsibility and Sustainability Report (BRSR) is India's standardized ESG reporting format for the top 1,000 listed companies by market capitalization.
Under Chapter 2M of the Corporations Act (Ch 2M), entities that are required to prepare an annual financial report under Ch 2M for a financial year, and meet one of the sustainability reporting thresholds in s292A, are required to prepare a sustainability report.
9 BRSR Reporting Principles
BRSR helps businesses communicate their sustainability performance, challenges, and opportunities to their stakeholders transparently. BRSR involves reporting on various ESG parameters, such as environmental impact, social and community development, governance practices, and economic performance.
The four main types of Corporate Social Responsibility (CSR) are Environmental, Ethical, Philanthropic, and Economic responsibilities, forming a framework for businesses to operate sustainably and contribute positively to society by focusing on planet, people, and profit. These pillars guide companies in reducing their ecological footprint, acting fairly, giving back to the community, and ensuring profitability while maintaining social good.
BRSR reporting was voluntary for the financial year -22, but in FY-2022, SEBI introduced the sustainability parameter in BRR(Business Review Report), and it became BRSR(Business Responsibility and Sustainability Report), making it mandate by reporting and its disclosure for 1000 listed companies on an annual basis.
It applies to large public-interest entities with more than 500 employees. Companies in scope are required to disclose information in their annual reports on environmental, social and employee matters, respect for human rights, anti-corruption and bribery matters.
We observe that while ESG reporting is not yet fully mandatory in the U.S., companies must proactively align with ESG frameworks. They are called to integrate sustainability and governance into their operations to stay ahead of evolving regulations, meet investor expectations, and build long-term trust.
A Business Responsibility and Sustainability Reporting (BRSR) report is a report that eligible companies are required to file with the SEBI to present information on their environmental, social, and governance activities. Yes, BRSR reporting is mandatory for the top 1000 listed companies in India.
The core of ESG is Environmental, Social, and Governance, but some frameworks add a fourth pillar, often Disclosure, Transparency, or even Economic Performance, to create a holistic view of a company's long-term sustainability and responsibility beyond just profits, covering planet, people, and ethical practices.
ESG stands for environmental, social and governance, the three most important non-financial factors for a company. It is a strategic and analysis approach that is very widely used by institutional investors and analysts to evaluate sustainability performance.
In Canada, the financial sector is facing increasing pressure to meet mandatory Environmental, Social, and Governance (ESG) reporting requirements. With new regulations implemented in 2024, companies must ensure their ESG strategies are both transparent and actionable.
At the midpoint of 2025, the ESG landscape continues to evolve amid rising political rhetoric and regulatory change. While some believe that ESG is losing momentum, the reality is that the business case for ESG remains strong.
The "Big 4" in ESG standards generally refers to the leading, complementary frameworks: GRI (Global Reporting Initiative) for broad stakeholder impact, SASB (Sustainability Accounting Standards Board) for investor-focused financial materiality, TCFD (Task Force on Climate-related Financial Disclosures) for climate risks, and CDP (formerly Carbon Disclosure Project) for environmental performance disclosure, often used together for comprehensive reporting, with newer ISSB standards gaining prominence.
It has announced its intention to develop UK-specific sustainability reporting standards in line with the ISSB standards by Q1 2025. Requirements are anticipated to be effective from 2026 at the earliest.