Research has shown the negative impacts of climate change on the economy and how the state of the environment has been a complex global challenge. Prior studies have suggested immediate actions to avoid any unforeseen circumstances for all living things on Earth. Previous research has also supported all kinds of sustainability efforts as resolutions to address the deterioration of climate change caused by business activities. There is a need for companies to start acting and assigning employees to mitigate carbon emitted by corporations. However, there is a lack of empirical evidence that examines how corporate carbon governance influences better carbon performance of organizations and authorizes organizations to implement and embed carbon accounting. This study used evidence from Malaysia to explore this subject matter and examined the association between carbon governance and carbon performance of corporations. The research also investigated the mediation effect of carbon accounting with respect to carbon governance and carbon performance. It is revealed that carbon governance had no significant influence on an organization's carbon performance, although carbon accounting implementation positively influenced carbon performance. The findings imply that despite its insignificance, carbon accounting remains a vital matter to be deployed by organizations for better carbon emission mitigation.

This paper enhances the knowledge on carbon management among organizations certified by the Malaysian International Organization for Standardization (ISO) 14001. Specifically, the study investigated the impact of carbon risk management on carbon performance through the mediation of carbon accounting. This research adopts a quantitative method with a final sample size of 136 and structural equation modeling (SEM) was employed to analyze the data. The findings suggest that carbon risk management and carbon accounting have a significant positive effect on carbon performance. Notably, carbon accounting exerts a full mediating effect on the relationship between carbon risk management and carbon performance.

Reduction of corporations' direct or indirect carbon emissions is one of the most important yet complicated challenges facing by the society in the effort for climate change mitigation. It is also empirically proven that the industry and the industrial have been acknowledged as the major causes and contributors to carbon dioxide (CO2) emissions. Business corporations contribute to the success of converting natural resources into wealth, which have directly created today's sophisticated social world but unfortunately, at the same time, deteriorating the environment. The economic production forms unfortunately will continue to contribute to pollution. Consequently, in order to achieve sustainability, corporation specifically corporate accounting should not only focus on financial profitability but must take action to counter the effects of their greenhouse gases emissions especially carbon dioxide, the cause of climate change for the betterment of the environment. One of the ways is to collaborate with stakeholders in the effort of carbon emissions mitigation because the hazardous impacts of climate change are not only affecting the environment but also the economy.

Rapid transformation from agriculture to industrialized economy in Malaysia has evidently attributed to the accelerated increase in carbon emissions. Carbon emission growth that led to climate change is a very complex spectacle and that is when carbon accounting has emerged. The emergence of carbon accounting has assisted and motivates organizations in achieving their carbon reduction objectives because the system is considered essential in combating climate change. Despite that, the accounting methodology used for climate change remains poorly understood in the current business sphere. As such, it is argued that if carbon strategy is deliberated properly by an organization, carbon accounting will effectively outlines the effects on carbon performance. Enhancing profits is the focal point, but the focus on the sustainable development of the business in the future is crucial. This paper discusses interlinks of corporate carbon strategies, carbon accounting and carbon performance of organizations in Malaysia.