Sustainability reporting in India is undergoing a transformative shift. As the nation charts its course towards a greener future, several key trends are shaping the landscape of corporate disclosures. Here are four notable developments that are redefining the way Indian businesses approach sustainability reporting:

1. Mandatory Reporting Frameworks
   The Securities and Exchange Board of India (SEBI) introduced the Business Responsibility and Sustainability Reporting (BRSR) framework in 2021 (replacing the Business Responsibility Report (BRR)). This framework makes it compulsory for the top 1,000 listed companies to disclose their environmental, social, and governance (ESG) performance across nine key pillars. This regulatory push aligns India with global best practices, ensuring transparency and accountability in corporate sustainability efforts. The BRSR framework, anchored on pillars like environmental impact, social impact, and governance excellence, not only mandates compliance but catalyses a culture of transparency, accountability, and innovation. It signifies a departure from profit-centric models towards holistic value creation, inspiring global change and positioning India as a leader in sustainability reporting.
   
   
2. Scope 3 Emissions
   Despite being voluntary, a growing number of Indian businesses are recognizing the importance of measuring and disclosing their Scope 3 emissions – the indirect emissions across their value chains from activities like supplier operations, product transportation, and end-use by customers. According to a report from PwC 51% of India’s top 100 listed companies disclosed their Scope 3 emissions for the financial year 2022-23, demonstrating a commitment to transparency and accountability. Leading companies like Mahindra & Mahindra and Wipro have taken a proactive stance in addressing Scope 3 emissions, implementing strategies to engage with supply chain partners, optimise business travel, and adopt a lifecycle approach to address these indirect emissions, which often account for the largest share of their carbon footprints. In fact Mahindra & Mahindra has committed to reduce Scope 3 emissions by 30% per sold product unit by 2033. Wipro’s Scope 3 emissions came mostly from business travel and employee commutes so they improved public transport access and launched a carpooling app. The app has cut CO2 emissions by over 2,100 tonnes since its introduction. As stakeholder expectations and regulatory frameworks evolve, voluntary Scope 3 disclosure is likely to become a norm, enabling companies to identify hotspots, drive targeted interventions, and position themselves as leaders in the transition towards a low-carbon economy.
   
   
3. Net-Zero Commitments:
   Net-zero commitments have gained significant momentum among Indian corporations, reflecting their recognition of the urgent need for climate action and sustainable transformation. As of March 2022, a remarkable 82 Indian companies have pledged to achieve net-zero emissions, a 50% increase from 2019 levels, signalling a growing awareness about the existential threat posed by climate change. Mahindra & Mahindra and Wipro have set ambitious targets, backed by robust roadmaps and dedicated resources, to reduce their carbon footprints, transition to renewable energy sources, and explore emerging technologies. By aligning their business strategies with a net-zero future, these corporations are not only mitigating their environmental impact but also positioning themselves as leaders in the global transition towards a sustainable, low-carbon economy.
   
   
4. Enhanced Metrics and Granularity:
   The evolving sustainability reporting landscape demands greater granularity in data, equal rigour in assessing financial and non-financial performance, and board-level commitment to impact measurement and monitoring. Indian companies are responding by expanding their focus beyond traditional metrics like carbon emissions to encompass a comprehensive array of environmental, social, and governance (ESG) indicators, including water usage, waste management, and social impact. Corporations like Tata Steel and Infosys are embracing this holistic approach, meticulously tracking and disclosing their performance across a wide range of sustainability indicators, demonstrating their commitment to transparency, accountability, and driving positive change for all stakeholders.
   
   

India’s journey is slowly but surely starting to move beyond compliance, making sustainability a strategic imperative. We should all be following suit! By following these trends, organisations can contribute to a more sustainable future—one that transcends borders and benefits generations to come.