Environmental, Social, and Governance
It’s a framework that helps companies measure and report their impact on sustainability, ethics, and governance practices.
In India, ESG has become a key part of corporate compliance and investor evaluation, especially under SEBI’s new guidelines.
We are here to help!
E = Environmental
Focuses on how a company affects the planet.
- Greenhouse gas emissions (Scope 1, 2, and 3)
- Energy efficiency & renewable energy use
- Waste and water management
- Pollution control (air, water, soil)
- Biodiversity conservation
Installing decarbonizing or hydrogen-based systems to reduce CO₂ emissions supports ESG environmental goals.
S = Social
Covers how a company treats people — employees, customers, and the community.
- Health, safety, and working conditions
- Diversity and inclusion
- Human rights and labor practices
- Community development programs
- Customer data protection
Providing employee safety training or supporting rural employment through green tech services.
G = Governance
Relates to how a company is managed ethically and transparently.
- Board structure and independence
- Anti-corruption policies
- Risk management and compliance
- Transparency in financial reporting
- Stakeholder engagement
Disclosing ESG metrics regularly and following SEBI or BRSR reporting norms.
ESG Regulations in India
SEBI – BRSR
- Mandatory for the top 1000 listed companies (by market capitalization) since FY 2022–23.
- Replaces the old Business Responsibility Report (BRR).
- Companies must disclose ESG metrics across environment, social, and governance parameters.
- Latest version: BRSR Core (mandatory from FY 2023–24).
BRSR Core – Key Focus Areas
- Greenhouse Gas (GHG) emissions (Scope 1 & 2 mandatory; Scope 3 recommended)
- Water consumption
- Waste generation
- Energy intensity
- Gender diversity
- Employee well-being
- Supply chain sustainability
- Governance transparency
Net Zero 2070 Roadmap
- India committed to achieving Net Zero Carbon Emissions by 2070 (announced at COP26).
- Companies are aligning ESG practices to contribute toward this national target.
NABL / MoEFCC / CPCB Linkages
- CPCB-IV+ norms govern emission levels.
- NABL-accredited testing validates ESG environmental metrics.
- MoEFCC oversees national compliance under environmental laws.
Why ESG Matters
Enhances brand reputation and investor trust.
Improves access to green finance & ESG funds.
Ensures compliance with SEBI and global sustainability norms.
Helps organizations align with UN SDGs (Sustainable Development Goals).
Environmental
Focuses on sustainability and pollution control.
Includes:
- CO₂ and GHG emissions (Scope 1, 2, 3)
- Energy efficiency, renewable power use
- Waste and water management
- Pollution reduction (air, water, soil)
- Climate risk management
Using hydrogen-based decarbonising systems to cut emissions.
Social
Looks at people and communities.
Includes:
- Employee safety and welfare
- Diversity and inclusion
- Human rights and labor policies
- Community development
- Customer privacy and satisfaction
Job creation through clean-tech services and rural outreach.
Governance
Ensures ethical, transparent management.
Includes:
- Board accountability
- Anti-bribery and compliance measures
- Risk management
- Transparency in ESG disclosures
Regular ESG performance reporting following SEBI norms.
Why It Matters
Builds investor and public trust.
Qualifies for ESG-based funding.
Supports SEBI, MoEFCC, and global sustainability mandates.
Helps businesses show progress toward Net Zero and SDGs.