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Environmental, Social and Governance (ESG) - Principles and Practice · Integrated Reporting Framework, Global Reporting Initiative Framework and Business Responsibility and Sustainability Reporting

Business Responsibility and Sustainability Reporting (BRSR) Explained

Updated 11 October 2026 · Fact-checked

BRSR is SEBI's standard format for listed companies to report ESG performance. It is filed with the annual report and mandatory for the top 1000 listed companies by market capitalisation. It has three sections: A (general disclosures), B (management and process) and C (principle-wise performance) based on the nine NGRBC principles.

Understand Business Responsibility and Sustainability Reporting (BRSR)

Business Responsibility and Sustainability Reporting (BRSR) is the disclosure format SEBI prescribes for listed companies to report on environmental, social and governance matters. It replaced the earlier Business Responsibility Report (BRR). It is part of the annual report and is required under the SEBI Listing Regulations.

Applicability. BRSR is mandatory for the top 1000 listed companies by market capitalisation. Other listed companies may report voluntarily. Check the current SEBI circular for any change in the cut-off or phasing, and for assurance requirements on the BRSR Core.

Why it exists. Investors want comparable, reliable ESG data. BRSR is built on the National Guidelines on Responsible Business Conduct (NGRBC), issued by the Ministry of Corporate Affairs in 2019. The NGRBC has nine principles. BRSR asks the company to show how it follows each one, with numbers and not only policy statements.

Structure. Section A gives general disclosures: details of the company, products and services, operations, employees, holding and subsidiary companies, CSR details, and transparency and complaints. Section B covers management and process: policies, governance, leadership and oversight, and whether each NGRBC principle is covered by a policy, board approval, targets and reviews. Section C gives principle-wise performance, split into Essential Indicators (must be reported) and Leadership Indicators (voluntary, for higher maturity).

The nine NGRBC principles. P1 Ethics, transparency and accountability. P2 Safe and sustainable goods and services. P3 Well-being of employees, including those in the value chain. P4 Responsiveness to stakeholders. P5 Respect for and promotion of human rights. P6 Protection and restoration of the environment. P7 Responsible and transparent influence on public and regulatory policy. P8 Inclusive growth and equitable development. P9 Value to consumers in a responsible manner.

Key rules to remember

BRSR sections
Section A = General disclosures; Section B = Management and process; Section C = Principle-wise performance
Section C is split into Essential and Leadership indicators for each of the nine principles.
Applicability
Mandatory: top 1000 listed companies by market capitalisation
Others may report voluntarily. Always verify the latest SEBI circular for changes.
Nine NGRBC principles
P1 Ethics | P2 Products | P3 Employees | P4 Stakeholders | P5 Human rights | P6 Environment | P7 Policy advocacy | P8 Inclusive growth | P9 Consumers
Memory aid: Ethics, Products, People, Partners (stakeholders), Rights, Planet, Policy, Prosperity (inclusive growth), Customers.
Indicator types
Essential Indicators = mandatory; Leadership Indicators = voluntary
Applies within Section C for each principle.

How to solve Business Responsibility and Sustainability Reporting (BRSR) questions

Use this method for any BRSR question, whether it asks for applicability, structure or principles.

  1. 1Identify what is asked: applicability, a section, a principle, or a case on reporting.
  2. 2State the basis: SEBI Listing Regulations require BRSR, built on the NGRBC.
  3. 3Give the relevant rule: top 1000 listed companies by market capitalisation, and voluntary for others.
  4. 4Name the section or principle and list its content in a few precise points.
  5. 5Apply to the facts given in the case, such as company type, size or data gap.
  6. 6Conclude clearly: what the company must disclose and in which section.
  7. 7Add a compliance or drafting point, such as board approval of policies or inclusion in the annual report.

Quickest way: A-B-C and P1-P9 recall

When to use it: When you have under 10 minutes for a short note or a case-based part.

  1. Write the one-line definition and the applicability rule first.
  2. List A, B, C with one line of content each.
  3. Mention Essential versus Leadership indicators.
  4. List P1 to P9 in the memory-aid order.
  5. Close with how it differs from BRR: it is more detailed and quantitative.

Common mistakes in Business Responsibility and Sustainability Reporting (BRSR)

  • Saying BRSR applies to all listed companies.

    Students mix mandatory and voluntary reporting.

    Fix: Write: mandatory for the top 1000 listed companies by market capitalisation; others may report voluntarily.

  • Mixing up Sections B and C.

    Both mention the nine principles.

    Fix: Section B is policies, governance and processes. Section C is performance data under each principle.

  • Treating Leadership Indicators as mandatory.

    Students assume everything in the format must be filled.

    Fix: Essential indicators are mandatory. Leadership indicators are voluntary.

  • Wrong order or names of the nine principles.

    Rote learning without a pattern.

    Fix: Use the memory aid and practise writing P1 to P9 in order.

  • Calling BRSR the same as BRR.

    Both are SEBI business responsibility disclosures.

    Fix: BRSR replaced BRR and is more detailed, with quantitative data and the BRSR Core.

Worked examples

Example 1

Explain the structure of the BRSR format prescribed by SEBI.

Show the solution
  1. Define BRSR as SEBI's disclosure format on ESG matters for listed companies, based on the NGRBC.
  2. Section A, General Disclosures: company details, products and services, operations, employees, holding and subsidiary companies, CSR details, and transparency and complaints.
  3. Section B, Management and Process Disclosures: policies and processes for each of the nine principles, governance, leadership and oversight.
  4. Section C, Principle-wise Performance: disclosures under each principle, divided into Essential and Leadership Indicators.
  5. Note that Essential Indicators are mandatory and Leadership Indicators are voluntary.

Answer: BRSR has three sections: A (general), B (management and process) and C (principle-wise performance with Essential and Leadership Indicators).

Example 2

A company ranked 850th by market capitalisation among listed companies asks if it must file BRSR. Another, ranked 1400th, asks the same. Advise both.

Show the solution
  1. Rule: BRSR is mandatory for the top 1000 listed companies by market capitalisation.
  2. The company ranked 850th falls within the top 1000, so it must include BRSR in its annual report.
  3. The company ranked 1400th is outside the top 1000, so it is not mandatory for it.
  4. It may still report voluntarily, which can help investor relations.
  5. Advise both to confirm against the latest SEBI circular.

Answer: The 850th-ranked company must file BRSR. The 1400th-ranked company need not, but may report voluntarily.

Exam tips

  • Write the applicability rule in the first two lines of any answer.
  • Draw a small A, B, C layout in text, with one line each, to show structure clearly.
  • In case questions, link the facts to a specific principle, such as P6 for emissions or P3 for employee safety.
  • Always say Essential versus Leadership when discussing Section C.
  • Mention that the format is based on the NGRBC to score the link marks.

Practice questions from Integrated Reporting Framework, Global Reporting Initiative Framework and Business Responsibility and Sustainability Reporting

Business Responsibility and Sustainability Reporting (BRSR) in other exams

The same ground in other exams, if you are preparing for more than one or want another angle on it.

Business Responsibility and Sustainability Reporting (BRSR): frequently asked questions

Who must file BRSR?

The top 1000 listed companies by market capitalisation must file it. Other listed companies may do so voluntarily. Check the latest SEBI circular for any change.

What is the difference between Sections A, B and C of BRSR?

Section A covers general disclosures about the company. Section B covers policies, governance and processes. Section C reports performance under each of the nine principles.

What are the nine NGRBC principles?

They cover ethics, safe products, employee well-being, stakeholder responsiveness, human rights, environment, responsible policy advocacy, inclusive growth and consumer value.

Is BRSR part of the annual report?

Yes. Listed companies required to report must include BRSR as part of their annual report under the SEBI Listing Regulations.