Regulators will drive the ESG agenda

Sebi made ESG reporting using the BRSR (business responsibility and sustainability reporting) framework mandatory for the top 1,000 listed companies from FY23 onwards

Amit Tandon

The ESG (environment, social and governance) committee constituted by the Securities and Exchange Board of India (Sebi) submitted its report in February. Navneet Munot of HDFC Asset Management chaired it (disclosure: I was a member of the committee). Based on this report, Sebi has sought public comments on a comprehensive set of issues: First, the regulatory framework for ESG disclosures by listed entities; second, the ESG ratings in the securities market; and third, ESG investing by mutual funds. It separately invited comments on the regulatory framework for ESG ratings providers (ERPs). Based on the consultations and feedback, the Sebi board on March 29 signed off on a regulatory framework, enabling us to determine the direction its regulations will take. Even as we await the final set of rules, there are a few pointers.
Mr Munot believes Sebi has “taken a holistic approach focusing on the Disclosure-Rating-Investment triniy”.
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of or the Business Standard newspaper

Also Read

What is ESG, how is it supporting companies' efforts toward sustainability

Most Indian companies believe ESG rules are important but only few prepared

Market regulator Sebi plans simplified BRSR, ESG rating regulations

SEBI plans to restrict borrowing by AIFs to prevent systemic risk

Sebi plan to prune MF costs: New expense slabs, no additional charges

Letters to shareholders

In US, the climate briefly turns on ESG

When shareholders don't buy the numbers

Defending against cyber threats

Activist investors: Pushing for change, quietly

The unsung hero

Need to go beyond GDP

The challenge of AI

Where is corporate India in the marriage equality debate?

Protect small investors against profiteering by short-sellers

First Published: May 23 2023 | 10:42 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on are available only to BS Premium subscribers. Already a BS Premium subscriber?LOGIN NOW

Register to