Legitimacy Theory Perspective on the Quality of Carbon Emission Disclosure: Case Study on Manufacturing Companies in Indonesia Stock Exchange
Open Access
- 1 March 2020
- journal article
- research article
- Published by IOP Publishing in IOP Conference Series: Earth and Environmental Science
- Vol. 448 (1)
- https://doi.org/10.1088/1755-1315/448/1/012063
Abstract
Issues related to the green industry and environmental accounting are urgent to be formulated by the government. The concept of environmental accounting for companies encourages the ability to minimize environmental problems. Environmental accounting will produce a quantitative assessment of the costs and impacts of environmental protection. The purpose of this study is to describe the extent of disclosure of carbon emissions and to describe the legal regulations in Indonesia which regulate ecological disclosure. This study also examined the effect of the Environmental Performance Awards on the quality of environmental exposure. The samples are 35 companies engaged in mining, energy, chemistry, pharmaceuticals, cosmetics, food, and beverages that are listed on the Stock Exchange in 2012-2016. The data analysis method used is Ordinary Least Square (OLS). The result reveals that the practice of environmental disclosure at high profile companies on the Indonesia Stock Exchange is still low. This shows that the company's management awareness of environmental exposure does not comply with the Decree of the Chairperson of the Capital Market and Financial Institution Supervisory Agency Number: KEP-431/BL/2012 concerning Submission of the Annual Report. The results showed that the Environmental Performance Awards variable had a significant positive effect on the quality of environmental disclosure.Keywords
This publication has 7 references indexed in Scilit:
- PENGARUH LIPUTAN MEDIA, KEPEKAAN INDUSTRI, DAN STRUKTUR TATA KELOLA PERUSAHAAN TERHADAP KUALITAS PENGUNGKAPAN LINGKUNGANJurnal Akuntansi dan Keuangan Indonesia, 2016
- The effect of award on CSR disclosures in annual reports of Malaysian PLCsSocial Responsibility Journal, 2015
- Legitimacy Theory and Environmental Practices: Short NotesInternational Journal of Business and Statistical Analysis, 2014
- Governance, media and the quality of environmental disclosureJournal of Accounting and Public Policy, 2012
- IntroductionAccounting, Auditing & Accountability Journal, 2002
- Organizational Legitimacy: Social Values and Organizational BehaviorThe Pacific Sociological Review, 1975
- An Approach to Incorporating Societal Preferences in Developing Corporate Action StrategiesCalifornia Management Review, 1973