Why BRSR Core FY 2026-27 Matters
FY 2026-27 is a significant stage in the phased implementation of SEBI’s BRSR Core framework. The assessment or assurance requirement extends to the top 1,000 listed entities by market capitalisation.
For ESG teams, the focus is therefore moving beyond completing disclosures. The underlying information needs to be consistent, supportable, and capable of being reviewed externally.
The key question is no longer only whether a company has the required ESG figures. It is whether the company can explain where the figures came from, how they were calculated, and what supports them.
This makes data quality, evidence, and internal review important parts of the reporting process rather than activities addressed at the end of the reporting cycle.
BRSR Core and Value Chain Reporting Are Different
BRSR Core and value chain reporting should not be treated as the same requirement.
For FY 2026-27, BRSR Core assessment or assurance applies to the top 1,000 listed entities under the phased framework.
Value chain ESG disclosures, on the other hand, are voluntary for the top 250 listed entities from FY 2025-26. If a company voluntarily provides value chain disclosures, the associated assessment or assurance is also voluntary.
This distinction matters when planning FY 2026-27 reporting. Value chain reporting should not be presented as a mandatory requirement for the year. However, companies choosing to report should still have a clear approach to identifying partners, collecting information, and assessing the quality of that information.
What differs for Value Chain Reporting?
Value chain reporting introduces a challenge that does not exist to the same extent with internal ESG data: the information comes from organizations outside the company’s direct control.
SEBI’s current framework identifies upstream and downstream partners individually representing 2% or more of purchases or sales by value, respectively. Companies may also limit disclosure coverage to 75% of purchases and sales by value.
The practical challenge is not simply identifying these partners. Companies need to determine whether the information received from them is sufficiently clear and consistent to support reporting.
Different partners may use different definitions, reporting practices, or calculation approaches. ESG teams therefore need a common basis for requesting and reviewing information.
This makes value chain reporting a cross-functional exercise involving sustainability, procurement, finance, supply chain, sales and compliance.
Data Quality – give it a top priority
For BRSR Core, the credibility of a reported metric depends on the quality of the information behind it.
A strong reporting process should allow an ESG team to move from the reported figure back to its source and supporting evidence.
A simple reporting trail is:
Reported figure > Source data > Calculation > Evidence > Review > Approval
This does not mean every ESG process needs to become highly complex. It means that important figures should be explainable and reproducible when reviewed.
Methodology also matters. Where companies use estimates, industry-specific adjustments or changes in calculation approaches, these should be appropriately documented and disclosed. SEBI’s BRSR Core framework recognizes that its methodology is a base approach, and that relevant adjustments or estimates should be disclosed.
Evidence collection – do it upfront
One of the practical weaknesses in ESG reporting is treating evidence as a final documentation exercise.
For BRSR Core readiness, evidence should be connected to the relevant data while the reporting process is underway.
For example, a metric should have a clear source, calculation basis, and supporting documentation rather than only a final number in a reporting workbook.
This becomes even more important when information is collected from multiple business units or value chain partners.
The objective is not to create more documentation. It is to ensure that the reported information can be explained when questioned by management, analysts, reviewers, or an assessment or assurance provider.
ESG Data – establish clear ownership
ESG reporting is usually the responsibility of the sustainability team alone.
Energy data may come from facilities. Employee information may come from HR. Procurement, and sales teams may hold the information needed for value chain identification. Finance may provide the underlying business data used for determining thresholds.
For FY 2026-27, ESG teams should therefore have clear ownership for important metrics and reporting activities.
At a minimum, companies should know:
- Who provides the information
- Where the information comes from
- Who reviews it
- What evidence supports it
- Who approves the final figure
This creates accountability without turning the reporting process into an unnecessarily complicated control framework.
What Should ESG Teams Prioritise for FY 2026-27?
A practical readiness approach can focus on four priorities.
1. Confirm scope
Determine whether the company falls within the applicable BRSR Core assessment or assurance phase and establish the relevant reporting boundaries.
For companies voluntarily reporting value chain information, identify relevant upstream and downstream partners using the current SEBI criteria.
2. Strengthen data ownership
Assign clear responsibility for key ESG metrics and establish how information moves from business functions into the reporting process.
3. Improve evidence and review
Check whether important metrics have sufficient supporting information, and whether calculations and methodologies can be explained consistently.
4. Test before reporting
Review selected BRSR Core metrics before the reporting cycle is finalized. Identify missing evidence, inconsistent data, unclear ownership, or unsupported estimates early enough to correct them.
Building Readiness Beyond the Disclosure
BRSR Core FY 2026-27 represents a shift toward more structured and credible ESG reporting. For companies entering the next phase, readiness is not simply about completing the BRSR Core template.
It is about having confidence in the information behind the disclosure.
Value chain reporting adds another layer by requiring companies that choose to report to work with information originating outside their own organization.
The priority for ESG teams should therefore be a reporting process where data, ownership, evidence, review, and disclosure are connected.
Ecodrisil ESG helps organizations structure ESG data, evidence and reporting workflows to improve traceability, governance and readiness for BRSR Core assessment or assurance.
