Exploring the Relationship between Carbon Performance, Carbon Reporting and Firm Performance: A Conceptual Paper

Abstract

In recent years, there has been an increased interest in carbon information disclosure. This research aims to examine carbon reporting practices of Malaysian companies. Further analysis will be conducted to examine the influence of internal organizational factors on the carbon reporting practices. The relationship between carbon performance, carbon reporting and firm performance will be investigated. This paper also explores the moderating effect of the corporate governance quality on the relationship between carbon reporting practices and firm performance. The findings from this study have a significant contribution to carbon reporting literature, Malaysian companies, government and accounting regulation body.

The Impacts of Carbon Emission Disclosure, Environmental Performance, and Social Performance on Financial Performance (Empirical Studies in Proper Participating Companies Listed in Indonesia Stocks Exchange, Year 2013–2016)

“…It shows that the more companies disclose their carbon emissions, the better their financial performance will be. The result of this study is in line with Healy and Palepu (2001) and Ennis et al (2012) which stated that the more companies in Indonesia disclose their carbon emissions, the better their financial performance will be or increase.…”

“…According to Ennis et al (2012), companies that disclose their carbon emissions should enable the stakeholders to make decisions regarding the companies' condition of carbon emissions performance, encourage companies to reduce their carbon emissions,…”

Using Formal Concept Analysis to Examine Water Disclosure in Corporate Social Responsibility Reports

“…To the extent that the markets come to focus on sustainability practices of corporations, new, meaningful tools for such disclosure need to be developed. There is much written about carbon pollution generation and control (Lu & Abeysekera, ; Meng et al ., ; Rahman et al, ; Doda et al, ; Muller‐Eie & Bjorno, , Qiu et al, ), but nothing about water. Carbon emissions impact the warming of the atmosphere and the hydrological cycle, shifting rainfall and related weather patterns from one area of the globe to the other, impacting crop yields through the creation of historically severe droughts sometimes and extraordinarily heavy rainfalls at other times.…”

Carbon Information Disclosure Practice in Indonesia: A Comprehensive Study from Manufacturing and Mining Industry

“…This is important because the company needs to deliver relevant information about social activities and its role in preserving the environment not only to shareholders but also to the other stakeholders, such as government, nongovernmental organizations, as well as society in general. Companies that perform carbon disclosure will allow stakeholders to make informed decisions about the state of corporate carbon emissions performance, force companies to reduce carbon emissions, and contribute to the public debate on climate change policies and regulations [17]. The good institutional ownership will improve the monitoring of companies to disclose all activities undertaken by the company to enhance the positive image of the stakeholders.…”