1. What is BRSR?
BRSR stands for Business Responsibility & Sustainability Reporting. It's a framework mandated by the Securities and Exchange Board of India (SEBI) for certain listed companies to disclose their environmental, social, and governance (ESG) performance.
2. Who needs to comply?
- Mandatory - Currently, the top 1000 listed companies by market capitalization in India (as of March 31st, 2023) are required to file BRSR reports.
- Voluntary - Other listed companies can choose to submit BRSR reports voluntarily from FY 2021-22 onwards.
3. What does BRSR report on?
The BRSR framework covers a wide range of ESG aspects, including:
- Environment: Energy consumption, greenhouse gas emissions, waste management, water usage, biodiversity impact.
- Social: Employee relations, diversity & inclusion, human rights, community engagement, product safety.
- Governance: Corporate governance practices, board composition, anti-corruption measures, risk management.
4. How can companies benefit from BRSR?
Companies can benefit from BRSR by building trust with stakeholders, attracting socially responsible investors, and gaining a competitive advantage. BRSR also helps companies identify areas for improvement in their sustainability practices.
5. What's the deadline for submitting BRSR reports?
- For mandatory companies, the report needs to be submitted as part of the annual report for FY 2023-24, due by July 31st, 2024.
- Voluntary companies can submit any time.
6. What format is used for BRSR reporting?
- SEBI provides a standardized format with specific indicators to be reported on.
- Additionally, companies can adopt globally recognized frameworks like GRI, CDP, or SASB for more comprehensive reporting.
7. How will I know whether BRSR is applicable on me?
- Market Capitalization Ranking: Check your company's rank in terms of market capitalization as of March 31st, 2023. If your company falls within the top 1000 listed companies based on that ranking, then BRSR is mandatory for you.
- SEBI List: Refer to the official list of top 1000 companies by market capitalization published by SEBI. This list should be available on their website: https://www.sebi.gov.in/
Even if BRSR isn't mandatory for your company, adopting sustainable practices and reporting your ESG performance can offer several benefits like improved brand reputation, attracting investors, and boosting efficiency
8. What happens if I don't comply with BRSR?
Non-compliant companies may face penalties imposed by SEBI.
9. Are there any consultants or service providers who can help with BRSR reporting?
Yes, several consulting firms and service providers offer expertise in ESG reporting and can assist companies with BRSR compliance.
10. Where to submit BRSR report
The BRSR report is not directly submitted anywhere. BRSR reporting happens through the annual report. The BRSR information must be integrated into your company's annual report. There's no separate upload or filing process for the BRSR data.