Environmental, Social, and Governance (ESG) initiatives in India were formally introduced in the year 2009 when the Ministry of Corporate Affairs (MCA) issued the Corporate Social Responsibility Voluntary Guidelines 2009. These guidelines mandated companies to contribute to society beyond their financial performance and to promote sustainable development.
The ESG reporting framework in India has evolved over the years. In 2021, SEBI mandated the disclosure of the Business Responsibility and Sustainability Report (BRSR) for the top 1,000 listed companies (by market capitalisation) starting from the financial year 2022-23.
Incorporating ESG practices into day-to-day activities, embedding them within business processes and routine decision-making can enable companies to contribute to their top-line growth, gain increased access to capital, effectively manage compliance and stakeholders, attract talent, and enhance return on
investment.
Internal Audit can play a pivotal role in helping corporates navigate through and integrate ESG considerations into its overall operations, risk management, and decision-making processes. With a cross-functional view…
