As sustainability reporting gains momentum worldwide, India continues to sharpen its regulatory framework around Business Responsibility and Sustainability Reporting (BRSR). The Securities and Exchange Board of India (SEBI) has introduced new updates for FY 2025–26, reinforcing its vision to make Indian corporates more transparent, responsible, and globally aligned in their ESG disclosures.
So, what exactly has changed — and what does it mean for companies?
From Voluntary to Mandatory
BRSR, initially introduced as a voluntary framework, has gradually transitioned into a mandatory requirement. For FY 2025–26, SEBI has extended the reporting mandate beyond the top 1,000 listed companies by market capitalization, ensuring broader industry coverage.
This move is aimed at creating a uniform baseline of sustainability reporting and enhancing investor confidence in Indian markets.
Introduction of BRSR Core
One of the most significant developments is the BRSR Core — a standardised, assurance-driven subset of ESG metrics.
- Companies must disclose key environmental, social, and governance indicators in a comparable manner.
- Third-party assurance is now required for critical data points such as emissions, gender diversity, and supply chain practices.
- The objective is to bring greater reliability, transparency, and accountability to ESG disclosures.
Value Chain Disclosures
For the first time, SEBI has mandated value chain disclosures for select sectors. Companies will now be required to extend sustainability reporting beyond their immediate operations to cover suppliers, vendors, and downstream partners.
This aligns India’s regulatory framework with global best practices on Scope 3 emissions and responsible sourcing.
Alignment with Global Standards
SEBI has encouraged companies to cross-reference BRSR disclosures with leading international frameworks such as:
- Global Reporting Initiative (GRI)
- SASB (Sustainability Accounting Standards Board)
- ISSB (International Sustainability Standards Board)
- TCFD (Task Force on Climate-related Financial Disclosures)
This alignment ensures that Indian companies remain attractive to global investors who seek comparable ESG data across markets.
Digital Submission and Standard Templates
Another important step is the introduction of standardised digital templates for BRSR filings. These templates will:
- Reduce subjectivity in disclosures
- Enable comparability and benchmarking across companies
- Improve transparency and accessibility of data for stakeholders
What Companies Need to Do Now
To stay compliant and competitive under the new mandates, companies should:
- Strengthen ESG Data Systems – Build reliable data collection and audit processes.
- Engage with Value Chains – Prepare suppliers and partners for reporting requirements.
- Invest in Assurance – Partner with independent auditors to validate ESG metrics.
- Align with Global Benchmarks – Adopt GRI, SASB, and TCFD frameworks for consistency.
- Enhance Board Oversight – Ensure board committees actively integrate ESG into strategy.
The Bigger Picture
SEBI’s updated BRSR mandates highlight the maturing ESG ecosystem in India. The emphasis is shifting from mere compliance to long-term value creation, investor trust, and global competitiveness.
For companies, FY 2025–26 is not just about filing a report — it’s about demonstrating real responsibility and sustainability in action.
✅ Bottom Line
SEBI’s latest BRSR mandates are ushering Indian corporates into a new era of accountable, data-driven, and globally aligned sustainability reporting. Businesses that act early and integrate these changes into their strategy will not only remain compliant but also strengthen their reputation and stakeholder trust in the years ahead.