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An Assessment of Sustainability Disclosures in Oil and Gas Listed Companies in Nigeria

Author

Listed:
  • Obiamaka Adaeze Nwobu

    (Covenant University, Nigeria,)

  • Collins Ngwakwe

    (University of Limpopo, South Africa,)

  • Akintola Owolabi

    (Pan-Atlantic University, Nigeria.)

  • Kingsley Adeyemo

    (Covenant University, Nigeria,)

Abstract

This paper assesses the level of corporate sustainability disclosures in an environmentally-sensitive industry in Nigeria - the oil and gas industry. The paper aims to evaluate the extent of sustainability disclosure in the annual report s oil and gas industries. The study retrieves secondary data on sustainability disclosure for 10 years (2010 - 2019) from eight oil and gas industries listed in the Nigerian stock exchange through a desktop approach and content analysis methodology. Content analysis of the sustainability disclosure is to identify items of sustainability disclosed in the annual reports. The paper assesses the extent of disclosure by adopting the global reporting initiative s scoring index. Findings from the analysis indicate a very low-level climate change and environmental pollution disclosure. Only 13.8% of the companies disclosed their impact on climate change and environmental pollution. On the contrary, all the companies revealed their community investment, which this paper regards as legitimizing smokescreen ecological pollution. The paper contributes to the literature by connecting the legitimacy theory to the decoying sustainability disclosure of oil and gas companies in Nigeria. In conclusion, the study recommends more stringent sustainability disclosure policies for the oil and gas to provide more information for environmental and climate change advocates and investors in censuring the companies, which might instill improved environmental compliance.

Suggested Citation

  • Obiamaka Adaeze Nwobu & Collins Ngwakwe & Akintola Owolabi & Kingsley Adeyemo, 2021. "An Assessment of Sustainability Disclosures in Oil and Gas Listed Companies in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 11(4), pages 352-361.
    • Handle: RePEc:eco:journ2:2021-04-42
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    More about this item

    Keywords

    Climate Change; Greenhouse Gas Emissions; Governance Indicators; Oil and Gas; Renewable Materials; Social Indicators; Sustainability Disclosures;
    All these keywords.

    JEL classification:

    • M4 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

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