Step-01
Security-Compliant ESG Baseline
Full ESG baseline under strict information security protocols — BRSR Core gap mapping, OHS system audit, export control governance review and supply chain ESG risk categorisation by vendor tier.
6–8 Weeks
Industry Focus — Aerospace & Defence
ESG for India's Aerospace & Defence Sector
From dual-use technology governance and export control compliance to Scope 3 aviation emissions and indigenous defence supply chain ESG — we help A&D companies meet the most complex ESG obligations in Indian industry.
BRSR CoreAS9100 / AS9110ISO 14001ITAR / EARGHG ProtocolSBTi
₹1.75L Cr
India defence budget FY25 — driving domestic A&D ESG integration
75%
Aatmanirbhar target — domestic defence procurement by 2027
67%
of MSME defence suppliers lack any ESG framework for DDP compliance
2.7x
higher ESG ratings risk for A&D companies with dual-use export violations
Material Topics
What ESG topics are most material?
Based on SASB Industrials, GRI standards and our proprietary materiality database across 200+ clients.
D
CriticalDual-Use Technology & Export Control Governance
ITAR, EAR and SCOMET compliance failures carry catastrophic reputational and financial consequences. ESG rating agencies treat export control violations as G-pillar governance failures — often triggering fund exclusion.
MoDSEBIGlobal Investors
S
CriticalSupply Chain Integrity & Conflict Minerals
Section 1502 (Dodd-Frank) and EU Conflict Minerals Regulation require sourcing declarations for 3TG minerals. Aatmanirbhar Bharat increases reliance on MSME suppliers — raising Tier 2/3 ESG oversight obligations.
MoDEU CustomersInvestors
G
HighGHG Emissions from Propulsion & Test Operations
Jet engine test facilities, propellant manufacturing and ground vehicle testing generate significant Scope 1 emissions. Scope 3 Category 11 (products in use — aircraft in service) is the largest but least-measured exposure.
InvestorsMoDSEBI
W
HighWorker Safety in High-Hazard Operations
LTIFR, occupational illness rates and near-miss reporting are BRSR Core mandatory disclosures. Propellant handling, machining of composite materials and avionics assembly carry specific occupational health exposure.
DGCAMoDInvestors
R
HighResponsible AI & Autonomous Systems Ethics
As India's defence sector integrates AI-driven autonomous platforms, investor ESG frameworks (PRI, UNPRI) are developing responsible AI governance metrics. Early disclosure and policy articulation reduces rating agency risk.
MoDGlobal InvestorsNGOs
H
MediumHazardous Materials & Effluent Management
Machining coolants, surface treatment chemicals, composite fibre waste and propellant residues require CPCB authorisation, manifest tracking and secure disposal — each creating ongoing consent-to-operate risk.
CPCBSPCBMoD
Regulatory Landscape
Every regulation that applies to your operations
Framework / Regulation
Type
Scope & Applicability
Effective
Framework
BRSR Core (SEBI)
Securities & Exchange Board of India
TypeMandatory
Scope
Listed A&D companies in NIFTY 1000. Assured GHG, water, OHS and governance KPIs.
Effective
FY 2023–24
Framework
SCOMET Export Control List
DGFT / Ministry of Commerce
TypeMandatory
Scope
All dual-use items, special materials, aerospace and defence equipment. Authorisation before export.
Effective
Active
Framework
DAP 2020 — ESG Compliance for DDP
Ministry of Defence
TypeMandatory
Scope
Vendors in Defence Development Programme must meet ESG and quality (AS9100) standards from FY2025.
Effective
FY 2024–25
Framework
Hazardous Waste Rules 2016
MoEFCC / CPCB
TypeMandatory
Scope
All A&D manufacturing plants handling propellants, composites and surface treatment chemicals.
Effective
Active
Framework
GHG Protocol — Corporate Standard
WRI / WBCSD
TypeVoluntary
Scope
Scope 1, 2 & 3 inventory. Scope 3 Cat. 11 (products in use) required by Boeing, Airbus supply chain ESG standards.
Effective
Supply-Chain-Driven
Framework
UN Guiding Principles on Business & Human Rights
UNHRC
TypeVoluntary
Scope
Human rights due diligence for conflict-affected supply chains. Applies to A&D export customers.
Effective
Investor-Driven
Framework
EU CSRD — Defence Sector Disclosure
European Commission
TypeEmerging
Scope
Indian A&D exporters to EU subject to CSRD supply chain disclosures under CSDDD from 2026.
Effective
2026 Pipeline
Framework
ITAR / EAR — US Export Controls
US State / Commerce Dept
TypeMandatory
Scope
Controls access to controlled US technology and components embedded in Indian A&D products for third-country sale.
Effective
Active
Mandatory — legal obligation
Voluntary — investor / buyer expectation
Emerging — regulatory pipeline
Our Approach
How we work with aerospace & defence companies
A four-phase programme designed for the security constraints, multi-stakeholder complexity and long product-lifecycle characteristics of the A&D sector.
Step-02
GHG Inventory — Operations & Products
Scope 1 (test operations, propellant use), Scope 2 (grid energy) and Scope 3 Category 11 (fleet in service) GHG inventory. Conflict minerals sourcing declaration and supply chain mapping.
8–12 Weeks
Step-03
Governance & Supply Chain Programme
Export control governance framework strengthening, Tier 1–3 vendor ESG scoring, responsible AI policy drafting and OHS management system certification to ISO 45001.
Ongoing
Step-04
BRSR Assurance & DDP Compliance Reporting
Annual BRSR Core assured disclosure, DAP ESG compliance package for MoD and simultaneous output for AS9100, Boeing/Airbus supplier ESG questionnaires from a single verified data set.
Annual Cycle
Typical ESG Maturity Uplift
OHS Compliance Score94%
BRSR Core Score87%
Supplier ESG Coverage71%
GHG Data Quality82%
Export Control Score96%
Certifications We Deliver
ISO 14001ISO 45001AS9100BRSR AssuredGHG VerifiedSBTi
Our Services
What we deliver for aerospace & defence
Pulled from all three practice areas — Strategy & Advisory, Finance & Risk, and Governance & Social — filtered for aerospace & defence priority.
Priority
GHG Inventory & Scope 3 Cat. 11 Modelling
Full Scope 1, 2 & 3 GHG inventory covering test facilities, propulsion manufacturing and product-in-use (aircraft fleet) emissions — with ISO 14064-3 third-party verification.
Priority
BRSR Core & DAP ESG Compliance
End-to-end BRSR Core assured disclosure package and MoD Defence Development Programme ESG compliance documentation — from a single verified data infrastructure.
Export Control Governance (SCOMET/ITAR)
Export control governance framework — SCOMET classification support, ITAR/EAR self-assessment, technology control plan drafting and regulatory liaison with DGFT.
Conflict Minerals & Supply Chain Due Diligence
3TG conflict minerals declaration, Tier 1–3 vendor ESG questionnaire programme, OECD due diligence alignment and supply chain risk mapping for MoD and EU export customers.
OHS System & ISO 45001 Certification
Occupational health & safety management system design for high-hazard A&D environments — propellant handling, composite machining, avionics assembly — and full ISO 45001 certification support.
ESG-Linked Defence Capex Financing
Structuring of sustainability-linked credit facilities for green manufacturing capex, renewable energy on-site and OHS system upgrades — leveraging ESG performance to reduce cost of capital.
ESG Benchmarking
Where do aerospace & defence companies stand on key ESG metrics?
Aerospace & Defence ESG Performance Index
GHG Disclosure Quality
28%
86%
81%
OHS System Certification
31%
94%
88%
Supply Chain ESG Coverage
9%
72%
66%
Export Control Governance Score
42%
96%
91%
India Average
Global Best Practice
ESG Astraa Clients
DDP ESG requirements are the new licence to operate
MoD's Defence Development Programme mandates ESG compliance from FY2025. Vendors without documented ESG frameworks risk exclusion from India's growing domestic procurement pipeline.
Global OEMs impose Tier 1 ESG standards downward
Boeing, Airbus and Lockheed Martin are rolling out mandatory ESG supplier questionnaires to Indian partners. Non-compliance triggers de-listing from approved vendor lists regardless of technical capability.
SCOMET failures create double-barrelled ESG risk
Export control violations are classified as governance failures by MSCI and Sustainalytics — triggering A&D stock exclusion from ESG funds. Legal exposure compounds investor relations damage significantly.
IFC and export credit finance requires ESG alignment
All IFC-aligned export credit lines and DFI facilities for Indian A&D require Performance Standards compliance. OECD Anti-bribery and ESG due diligence is a disbursement condition, not a checkbox.
Free Resource
Aerospace & Defence ESG Compliance Guide for Indian Companies
A practical guide to BRSR Core assurance, SCOMET governance, DAP ESG compliance and global OEM supplier requirements — with a sector-specific implementation roadmap.
What's Inside
- BRSR Core KPIs for A&D — data collection templates
- SCOMET governance framework — key requirements
- Boeing/Airbus ESG supplier questionnaire — what they measure
- DAP 2020 ESG compliance checklist for MoD vendors
- GHG Scope 3 Category 11 — product-in-use methodology primer
Aerospace & Defence Checklist
PDF Document
Key Areas Covered
Environment Social Governance
Get your Aerospace & Defence ESG Assessment
Our A&D ESG team will assess your BRSR Core readiness, SCOMET governance gaps and DAP ESG compliance — and deliver a clear priority action plan within 2 weeks.
No commitment · Defence sector specialists · Security protocol compliant · 2-week turnaround