APRIL 202319Board of India (SEBI) stipulates that the disclosure must be made through a new format, namely the Business Responsibility and Sustainability Report (BRR) which is mandatory from FY 2022-23.Buildings & Built Environment & their ESG TargetsAccording to a report by World GBC, the built environment (capturing buildings and infrastructure) represents one of the biggest global investment opportunities of the next decade, an avenue to enhance sustainable development and human quality of life, and - if tackled correctly-reduce emissions and comb at the climate crisis. Globally, the built environment is responsible for 75 percent of GHG emissions, with the building sector on its own accounting for 37 percent. In India, about 22 percent of the total emissions are from the building sector, which also is one of the largest consumers of natural resources. Additionally, it is estimated that about 70 percent of the infrastructure required by our country's urban areas by 2030 is yet to be built. Therefore, over the next two decades, the construction sector will have enormous capability and scope to inculcate sustainability across the built environment. Companies and their property portfolios have the potential to play a significant role in achieving their ESG targets. Additionally, the financial impact of having resilient assets which are as risk-free as possible has been the biggest driver for the adoption of ESG Reporting. The collateral value derived by aligning with the UN's Sustainable Development Goals and world climate targets as well as the rise in social status has become a bonus outcome for developers and investors. ESG & IGBC Green Building RatingsOne of the most universally accepted practices for inculcating environmentally friendly, low-impact and green measures in buildings and the built environment sector is to adopt an IGBC Green Building Rating. IGBC Green ratings provide a definitive framework for the inclusion of green measures and assessment of impact. The Green Rating act as tools not only for implementation but also to assess performance and measure the value received due to its adoption.Economic Impact: From a stakeholder point of view, green buildings are proven to make business sense - they are energy efficient, consume less water, minimize waste, and decrease operational costs. They also tend to have higher rental values and occupancy rates than their conventional counter parts. The risks posed by climate change to property assets are significant and result in huge expenditures. The finance institutions and insurance agencies also consider the climate risks before insuring properties. It is essential that businesses be resilient and manages the risks posed, which are minimized for IGBC Green Building Green rating systems inculcate the principle of occupant well-being & include safer and healthier practices that significantly enhance the quality of life
< Page 9 | Page 11 >