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The Effect of Green Accounting Disclosure on the Firm Value of Listed Mining and Agriculture Companies in Southeast Asia Countries

Author

Listed:
  • Kenny Fernando

    (Department of Accounting, Faculty of Business, Sampoerna University, Indonesia)

  • Han Jocelyn

    (Department of Accounting, Faculty of Business, Sampoerna University, Indonesia)

  • Frista Frista

    (Department of Accounting, Faculty of Economics and Business, Universitas Kristen Duta Wacana, Indonesia)

  • Budi Kurniawan

    (Department of Accounting, Faculty of Business, Sampoerna University, Indonesia)

Abstract

The purpose of the study is to seek how Green Accounting Disclosure (GAD) affects firm value using GDA Coverage Percentage quantified by NVIVO Software in Mining and Agriculture Companies in Southeast Asia. The five-year observation period for this study taken from 2017 to 2021. This research uses control variables, such as profitability, sales growth, leverage and size of mining and agriculture company in Southeast Asia. The data used were secondary data obtained from Capital IQ SnP and annual reports and/or sustainability reports posted on the company websites. Data regression with a fixed effect model approach was used for data analysis. The findings indicate that Green Accounting Disclosure, as reflected by coverage percentage in compliance with GRI standard, has insignificant on firm value in Mining and Agriculture Companies. Leverage is the only variable that matters on GAD. Even though GAD performed by this study is more rigid than binary variable, The keywords need to be developed to quantify what it takes in determining GAD variable. Though green accounting disclosure is not associated with the firm value, the author’s additional analysis found that there are only a few companies in Southeast Asia that disclose green accounting in their report. Since the disclosure of green accounting is voluntarily and companies are still hesitant to voluntarily disclose green accounting in their reports.

Suggested Citation

  • Kenny Fernando & Han Jocelyn & Frista Frista & Budi Kurniawan, 2024. "The Effect of Green Accounting Disclosure on the Firm Value of Listed Mining and Agriculture Companies in Southeast Asia Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 14(1), pages 377-382, January.
    • Handle: RePEc:eco:journ2:2024-01-40
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    References listed on IDEAS

    as
    1. Giovanna Michelon & Antonio Parbonetti, 2012. "The effect of corporate governance on sustainability disclosure," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 16(3), pages 477-509, August.
    2. Othman Hel Al-Dhaimesh, 2020. "Green Accounting Practices and Economic Value Added: An Applied Study on Companies Listed on the Qatar Stock Exchange," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 164-168.
    3. Kenny Fernando & Selfi Nurcholifah & Andrey Hasiholan Pulungan, 2022. "Disclosure of Environmental, Social, and Governance on Firm Performance Pre and Post Introduction of Integrated Reporting: Evidence from ASEAN Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 12(6), pages 377-382, November.
    4. Cho, Charles H. & Patten, Dennis M., 2013. "Green accounting: Reflections from a CSR and environmental disclosure perspective," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 24(6), pages 443-447.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Green Accounting Disclosure; Firm Value; Mining Reporting; Agriculture Reporting;
    All these keywords.

    JEL classification:

    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting
    • 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

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