Eco-Efficiency and Energy Audit to Improve Environmental Performance: An Empirical Study of Hotels in Bali-Indonesia

This paper examines a conceptual framework that describes the relationship between energy eco-efficiency, energy audit and environmental performance. In this paper, the authors argue that eco-efficiency and energy audits can directly affect environmental performance. This paper examines responses to a survey of general managers in hotel companies registered with the Indonesian Central Bureau of Statistics. The time horizon of data collection is cross-sectional. The hypothesis was tested using a multiple linear regression analysis approach by interpreting the regression model through the value of the significant coefficient to see the partial effect. In general, the proposed framework obtains adequate fit statistics. Furthermore, the results support the argument that eco-efficiency and energy audits positively and significantly affect the company's environmental performance. A limitation of this study relates to the small sample size, as environmental results and energy use are still considered confidential by many hotel companies. A causal relationship could not be confirmed for the results. The instrument used was fully adopted from previous research without unidimensional retesting. This study contributes to the literature-based view of natural resource energy conservation by responding to recent calls to examine energy conservation efforts on environmental performance. These results can be a special reference for policy-making in companies to improve their environmental performance continuously. This study also has important implications for energy conservation practices by describing the potential for energy savings through eco-efficiency and energy audits to improve environmental performance. These results indicate that energy conservation with improved environmental management accounting mechanisms in Indonesia seems to require more pressure as mandated by the government.