BRSR Core

SEBI introduced BRSR Core in July 2023 to make the most important ESG figures in the BRSR reliable enough to compare and to build ratings on.

The nine attributes

• Greenhouse gas emissions
• Water
• Energy
• Waste and circularity
• Employee well-being and safety
• Gender diversity
• Inclusive development
• Fairness in engaging with customers and suppliers
• Openness of business

Each attribute has a small set of key indicators with defined calculations, so two companies report the same thing in the same way.

Intensity on a comparable basis

Many indicators are reported as intensities, such as emissions or water use per rupee of turnover. To make companies of different sizes and price levels comparable, these intensity ratios use turnover adjusted for purchasing power parity.

Assessment or assurance

An independent provider must check the BRSR Core figures. The requirement follows a glide path, from the top 150 listed companies in FY 2023-24 to the top 1,000 in FY 2026-27. Assessment and assurance differ in depth, so read the provider's statement to see what was checked and how.

Why it matters

BRSR Core data is the basis of SEBI's Core ESG Ratings, and it is the most dependable ESG data most Indian investors can get for free. When a company's marketing claims and its BRSR Core figures disagree, the checked figures win.

How to use it

Start with the attributes most material to the company's industry: emissions and energy for a cement or steel maker, employee safety for a manufacturer with a large workforce, fairness with customers for a bank or a consumer business. Compare the intensity figures with peers and with the company's previous years, and note which figures carry assurance.

Where to find it

In the BRSR inside the annual report, where the Core indicators are identified, together with the independent provider's statement.

Common mistakes

• Treating the whole BRSR as checked. Only the Core indicators are assessed or assured.
• Comparing raw totals between companies. Use the intensity figures.
• Skipping the provider's statement. It shows the scope of the check and any qualifications.
• Judging an intensity figure without its industry. A cement maker will always use more energy per rupee of turnover than a software company, so compare with peers in the same industry and with the company's own past figures.

Questions investors ask

What is the difference between BRSR and BRSR Core? The BRSR is the full ESG report. BRSR Core is the subset of key indicators that must be independently checked.

Who checks the figures? An independent assessment or assurance provider appointed by the company. The BRSR names the provider and describes the scope of the work, which tells you how much weight to put on each checked figure.

Does BRSR Core cover value chain partners? Separate value chain disclosures, based on the same attributes, apply to the largest companies; their scope has been revised by SEBI, so check the latest rules.