New Delhi, Capital markets regulator SEBI has proposed to include disclosures related to 'Green Credit Programme' by listed companies under the Business Responsibility and Sustainability Reporting (BRSR) framework.
Green credits can be generated by a listed company and its value tea partners through plantations on barren or degraded lands and river catchment areas.
In its consultation paper, SEBI has proposed that 'green credit' generated by the listed company and value chain partners could be added as a stewardship indicator under Principle 6 of the BRSR, which states that businesses must respect More efforts should be made to protect and restore. Environment
Sebi said, “Joining the BRSR will encourage listed entities and their value tea partners to participate in the generation of green credit by pursuing environmentally sustainable activities.,
This disclosure is also in line with the climate change notification of the Ministry of Environment, Forest issued in February 2024.
Further, SEBI has proposed to redefine 'Value Chain Partners', which should now include the upstream and downstream partners of a listed entity individually, including the buying or selling of the listed entity on a value basis. Should contain 2 percent or more respectively. It will be voluntary for listed companies to make ESG disclosures about value chain partners in their annual reports for the first year of reporting – F 2024-25.
The objective is to reduce the maximum possible number of upstream or downstream value chain partners, thereby providing additional ease of doing business. These proposals, based on the recommendations of an expert committee headed by SK Mohanty, former whole-time member of SEBI, are aimed at facilitating ease.Doing business in relation to the BRSR framework.
The Securities and Exchange Board of India (SEBI) has invited comments from the public on the proposals till June 12.
With respect to BRSR, the word “assurance” should be replaced by “assessment.” This move will provide flexibility to listed entities to evaluate ESG data (which is most effective and no burdensome) or assurance (which can be requested by investors/clients of listed entities).
The option to evaluate rather than assure ESG data will improve ease of doing business.In May 2021, the market regulator launched the BRSR, which requires the top 1,00 listed entities by market capitalization to submit a business report covering ESG (Environmental, Social, Governance Perspective) as part of the annual report from FY 2022-23. Responsibility Requires filing a sustainability reporting.
Later in July 2023, SEBI introduced BRSR Core, which is a sub-set of BRSR consisting of nine key performance indicators (KPIs) for several E, S and G factors that need to be ensured.
Green credits can be generated by a listed company and its value tea partners through plantations on barren or degraded lands and river catchment areas.
In its consultation paper, SEBI has proposed that 'green credit' generated by the listed company and value chain partners could be added as a stewardship indicator under Principle 6 of the BRSR, which states that businesses must respect More efforts should be made to protect and restore. Environment
Sebi said, “Joining the BRSR will encourage listed entities and their value tea partners to participate in the generation of green credit by pursuing environmentally sustainable activities.,
This disclosure is also in line with the climate change notification of the Ministry of Environment, Forest issued in February 2024.
Further, SEBI has proposed to redefine 'Value Chain Partners', which should now include the upstream and downstream partners of a listed entity individually, including the buying or selling of the listed entity on a value basis. Should contain 2 percent or more respectively. It will be voluntary for listed companies to make ESG disclosures about value chain partners in their annual reports for the first year of reporting – F 2024-25.
The objective is to reduce the maximum possible number of upstream or downstream value chain partners, thereby providing additional ease of doing business. These proposals, based on the recommendations of an expert committee headed by SK Mohanty, former whole-time member of SEBI, are aimed at facilitating ease.Doing business in relation to the BRSR framework.
The Securities and Exchange Board of India (SEBI) has invited comments from the public on the proposals till June 12.
With respect to BRSR, the word “assurance” should be replaced by “assessment.” This move will provide flexibility to listed entities to evaluate ESG data (which is most effective and no burdensome) or assurance (which can be requested by investors/clients of listed entities).
The option to evaluate rather than assure ESG data will improve ease of doing business.In May 2021, the market regulator launched the BRSR, which requires the top 1,00 listed entities by market capitalization to submit a business report covering ESG (Environmental, Social, Governance Perspective) as part of the annual report from FY 2022-23. Responsibility Requires filing a sustainability reporting.
Later in July 2023, SEBI introduced BRSR Core, which is a sub-set of BRSR consisting of nine key performance indicators (KPIs) for several E, S and G factors that need to be ensured.
