<p>Environmental, social, and governance (ESG) scoring is crucial for investors, analysts, and stakeholders advocating for sustainable and ethical business practices. It quantifies a company’s commitment to responsible and sustainable actions, providing transparency into its ESG performance for informed decision-making. However, the opaque nature of existing ESG scoring methodologies, often undisclosed by rating agencies, poses challenges for companies seeking to improve their ESG standings. To address this, we propose a straightforward ESG scoring methodology tailored for the indian iron and steel sector, significantly impacted by the Carbon Border Tax Mechanism and sustainability goals. Our methodology aligns the nine principles outlined in the Business Responsibility and Sustainability Reporting (BRSR) framework into three pillars—Environmental (E), Social (S), and Governance (G)—with corresponding weightings. The innovation lies in enabling industries to understand and improve their ESG scores transparently. Though derived from the Indian sustainability reporting framework, this new scoring methodology can be replicated in other countries like China, Singapore, and the EU, as all are based on Global Reporting Initiative standards. Our methodology has been validated against established ESG rankings, such as CRISIL, ensuring statistical accuracy within acceptable limits. By demystifying ESG scoring, this approach empowers sectors to proactively enhance their sustainability profiles, fostering greater transparency and accountability in ESG practices. It provides clear insights and actionable pathways for companies in the iron and steel sector to enhance their sustainability performance, aligning with global standards and regulatory requirements.</p>