Context:
SEBI releases Consultation Paper for changes in Business Responsibility and Sustainability Reporting (BRSR) Framework
Business Responsibility and Sustainability Reporting (BRSR) Framework:
- Requires top 1000 listed companies to report their ESG (environmental, social and governance) performance in a standardized format
- Based on the principles of – National Guidelines on Responsible Business Conduct (NGRBC)
- Formulated by Ministry of Corporate Affairs in 2019
Key changes:
- Proposed by – S.K. Mohanty committee to facilitate Ease of Doing Business
- Redefines value chain (VC) partners – The proposed definition will cover only significant partners.
- This will reduce compliance burden from smaller VC partners.
- More time to implement – For the 1st year of reporting FY 2024-25, reporting previous year numbers shall be voluntary.
- In the current framework, the BRSR is mandatory from FY 2022–23 onwards.
- Integrates Green Credit Programme (GCP) – Green Credits generated by company and its VC partners shall be an additional leadership indicator under BRSR.
- Flexibility for BRSR core – Companies should have the option to choose ‘assessment’ instead of ‘assurance’ for BRSR Core.
- ‘Assurance’ follows global/domestic standards that go beyond data verification, adding extra costs.
Source: Hindu Business Line
Previous Year Question
In the context of finance, the term ‘beta’ refers to:
[UPSC Civil Service Exam – 2023 Prelims]
(a) the process of simultaneous buying and selling of an asset from different platforms
(b) an investment strategy of a portfolio manager to balance risk versus reward
(c) a type of systemic risk that arises where perfect hedging is not possible
(d) a numeric value that measures the fluctuations of a stock to changes in the overall stock market
Answer: (d)
