IDEAS home Printed from https://ideas.repec.org/a/eee/accfor/v37y2013i2p124-134.html
   My bibliography  Save this article

Gas flaring in Nigeria: Analysis of changes in its consequent carbon emission and reporting

Author

Listed:
  • Hassan, Aminu
  • Kouhy, Reza

Abstract

This paper investigates factors responsible for changes in carbon dioxide emission due to gas flaring in the upstream sector of the Nigerian oil and gas industry over the period 1965–2009. It also evaluates how this rate of change affects the extent of disclosure of gas flaring information in the Annual Statistical Bulletin (ASB) published by the Nigerian National Petroleum Corporation (NNPC). We find that size and the environmental philosophy in the industry have very strong positive impact on gas-flaring-related CO2 emission. Moreover, these positive impacts are so strong that the significant negative effects of investment in gas utilization projects, natural gas price and participation in Kyoto Protocol, also established by the study, are not strong enough to bring about significant net decreases in the kilograms of CO2 emission due to gas flaring over the period covered. We also find that change in the level of CO2 emission due to gas flaring is not an important factor considered by NNPC in deciding how much gas-flaring-related information to disclose.

Suggested Citation

  • Hassan, Aminu & Kouhy, Reza, 2013. "Gas flaring in Nigeria: Analysis of changes in its consequent carbon emission and reporting," Accounting forum, Elsevier, vol. 37(2), pages 124-134.
    • Handle: RePEc:eee:accfor:v:37:y:2013:i:2:p:124-134
    DOI: 10.1016/j.accfor.2013.04.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0155998213000136
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.accfor.2013.04.004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David Campbell, 2003. "Intra‐ and intersectoral effects in environmental disclosures: evidence for legitimacy theory?," Business Strategy and the Environment, Wiley Blackwell, vol. 12(6), pages 357-371, November.
    2. Granger, C. W. J. & Newbold, P., 1974. "Spurious regressions in econometrics," Journal of Econometrics, Elsevier, vol. 2(2), pages 111-120, July.
    3. Odusola, Ayodele & Orubu, Christopher & Ehwarieme, William, 2004. "The Nigerian Oil Industry: Environmental Diseconomies, Management Strategies and the Need for Community Involvement," UNDP Africa Economists Working Papers 307330, United Nations Development Programme (UNDP).
    4. Wiseman, Joanne, 1982. "An evaluation of environmental disclosures made in corporate annual reports," Accounting, Organizations and Society, Elsevier, vol. 7(1), pages 53-63, January.
    5. Harvey, A C, 1980. "On Comparing Regression Models in Levels and First Differences," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 21(3), pages 707-720, October.
    6. Sonibare, J.A. & Akeredolu, F.A., 2006. "Natural gas domestic market development for total elimination of routine flares in Nigeria's upstream petroleum operations," Energy Policy, Elsevier, vol. 34(6), pages 743-753, April.
    7. Peter M. Clarkson & Michael B. Overell & Larelle Chapple, 2011. "Environmental Reporting and its Relation to Corporate Environmental Performance," Abacus, Accounting Foundation, University of Sydney, vol. 47(1), pages 27-60, March.
    8. Al-Tuwaijri, Sulaiman A. & Christensen, Theodore E. & Hughes, K. II, 2004. "The relations among environmental disclosure, environmental performance, and economic performance: a simultaneous equations approach," Accounting, Organizations and Society, Elsevier, vol. 29(5-6), pages 447-471.
    9. Clarkson, Peter M. & Li, Yue & Richardson, Gordon D. & Vasvari, Florin P., 2008. "Revisiting the relation between environmental performance and environmental disclosure: An empirical analysis," Accounting, Organizations and Society, Elsevier, vol. 33(4-5), pages 303-327.
    10. Daniel Tyteca, 1997. "Linear Programming Models for the Measurement of Environmental Performance of Firms—Concepts and Empirical Results," Journal of Productivity Analysis, Springer, vol. 8(2), pages 183-197, May.
    11. Christopher D. Elvidge & Daniel Ziskin & Kimberly E. Baugh & Benjamin T. Tuttle & Tilottama Ghosh & Dee W. Pack & Edward H. Erwin & Mikhail Zhizhin, 2009. "A Fifteen Year Record of Global Natural Gas Flaring Derived from Satellite Data," Energies, MDPI, vol. 2(3), pages 1-28, August.
    12. Beck, A. Cornelia & Campbell, David & Shrives, Philip J., 2010. "Content analysis in environmental reporting research: Enrichment and rehearsal of the method in a British–German context," The British Accounting Review, Elsevier, vol. 42(3), pages 207-222.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rong He & Le Luo & Abul Shamsuddin & Qingliang Tang, 2022. "Corporate carbon accounting: a literature review of carbon accounting research from the Kyoto Protocol to the Paris Agreement," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(1), pages 261-298, March.
    2. Lin, Boqiang & Omoju, Oluwasola E. & Okonkwo, Jennifer U., 2015. "Impact of industrialisation on CO2 emissions in Nigeria," Renewable and Sustainable Energy Reviews, Elsevier, vol. 52(C), pages 1228-1239.
    3. Hamidzadeh, Zeinab & Sattari, Sourena & Soltanieh, Mohammad & Vatani, Ali, 2020. "Development of a multi-objective decision-making model to recover flare gases in a multi flare gases zone," Energy, Elsevier, vol. 203(C).
    4. Muhammad Faisal Majid & Muhammad Meraj & Muhammad Shujaat Mubarik, 2022. "In the Pursuit of Environmental Sustainability: The Role of Environmental Accounting," Sustainability, MDPI, vol. 14(11), pages 1-20, May.
    5. Nura Sani Yahaya & Mohd Razani B Mohd Jali & Jimoh Olajide Raji, 2019. "Energy Consumption and Environmental Pollution in Nigeria," Academic Journal of Economic Studies, Faculty of Finance, Banking and Accountancy Bucharest,"Dimitrie Cantemir" Christian University Bucharest, vol. 5(1), pages 24-30, March.
    6. Hassan Qudrat-Ullah & Chinedu Miracle Nevo, 2022. "Analysis of the Dynamic Relationships among Renewable Energy Consumption, Economic Growth, Financial Development, and Carbon Dioxide Emission in Five Sub-Saharan African Countries," Energies, MDPI, vol. 15(16), pages 1-19, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Camélia Radu & Claude Francoeur, 2017. "Does Innovation Drive Environmental Disclosure? A New Insight into Sustainable Development," Business Strategy and the Environment, Wiley Blackwell, vol. 26(7), pages 893-911, November.
    2. Cornelia Beck & Geoffrey Frost & Stewart Jones, 2018. "CSR disclosure and financial performance revisited: A cross-country analysis," Australian Journal of Management, Australian School of Business, vol. 43(4), pages 517-537, November.
    3. Giorgio Mion & Cristian R. Loza Adaui, 2019. "Mandatory Nonfinancial Disclosure and Its Consequences on the Sustainability Reporting Quality of Italian and German Companies," Sustainability, MDPI, vol. 11(17), pages 1-28, August.
    4. Charles H. Cho & Jonathan Maurice & Emmanuelle Nègre & Marie-Anne Verdier, 2016. "Is environmental disclosure good for the environment? A meta-analysis and research agenda," Post-Print halshs-01369422, HAL.
    5. Bouten, Lies & Everaert, Patricia, 2015. "Social and environmental reporting in Belgium: ‘Pour vivre heureux, vivons cachés’," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 33(C), pages 24-43.
    6. Rongbing Huang & Yubo Huang, 2020. "Does Internal Control Contribute to a Firm’s Green Information Disclosure? Evidence from China," Sustainability, MDPI, vol. 12(8), pages 1-23, April.
    7. Mumtaheena Anwar & Sohanur Rahman & Md. Nurul Kabir, 2021. "Does national carbon pricing policy affect voluntary environmental disclosures? A global evidence," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(2), pages 211-244, April.
    8. Xiaoya Zhu & Yunli Zhu & Xiaohua Meng, 2021. "Government Environmental Information Disclosure and Environmental Performance: Evidence from China," Sustainability, MDPI, vol. 13(12), pages 1-22, June.
    9. Font, Xavier & Walmsley, Andreas & Cogotti, Sara & McCombes, Lucy & Häusler, Nicole, 2012. "Corporate social responsibility: The disclosure–performance gap," Tourism Management, Elsevier, vol. 33(6), pages 1544-1553.
    10. Zhongtian Li & Jing Jia & Larelle J. Chapple, 2022. "Textual characteristics of corporate sustainability disclosure and corporate sustainability performance: evidence from Australia," Meditari Accountancy Research, Emerald Group Publishing Limited, vol. 31(3), pages 786-816, February.
    11. Tsalis, Thomas A. & Nikolaou, Ioannis E. & Konstantakopoulou, Fotini & Zhang, Ying & Evangelinos, Konstantinos I., 2020. "Evaluating the corporate environmental profile by analyzing corporate social responsibility reports," Economic Analysis and Policy, Elsevier, vol. 66(C), pages 63-75.
    12. Béatrice Allirol & Pascal Dumontier, 2015. "Divulgations environnementales : quel référentiel pour quelles fins ?," Post-Print hal-01188541, HAL.
    13. Jieun Chung & Charles H. Cho, 2018. "Current Trends within Social and Environmental Accounting Research: A Literature Review," Accounting Perspectives, John Wiley & Sons, vol. 17(2), pages 207-239, June.
    14. Michelon, Giovanna & Pilonato, Silvia & Ricceri, Federica, 2015. "CSR reporting practices and the quality of disclosure: An empirical analysis," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 33(C), pages 59-78.
    15. X. Meng & S. Zeng & C. Tam, 2013. "From Voluntarism to Regulation: A Study on Ownership, Economic Performance and Corporate Environmental Information Disclosure in China," Journal of Business Ethics, Springer, vol. 116(1), pages 217-232, August.
    16. Tesfaye T. Lemma & Martin Feedman & Mthokozisi Mlilo & Jin Dong Park, 2019. "Corporate carbon risk, voluntary disclosure, and cost of capital: South African evidence," Business Strategy and the Environment, Wiley Blackwell, vol. 28(1), pages 111-126, January.
    17. Xiaohua Meng & Saixing Zeng & Xuemei Xie & Hailiang Zou, 2019. "Beyond symbolic and substantive: Strategic disclosure of corporate environmental information in China," Business Strategy and the Environment, Wiley Blackwell, vol. 28(2), pages 403-417, February.
    18. Jeanne Amar & Samira Demaria & Sandra Rigot, 2020. "Enhancing Financial Transparency to Mitigate Climate Change: Towards a Climate Risks and Opportunities Reporting Index," GREDEG Working Papers 2020-52, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    19. Stefano Fontana & Daniela Coluccia & Silvia Solimene, 2019. "VAIC as a Tool for Measuring Intangibles Value in Voluntary Multi-Stakeholder Disclosure," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(4), pages 1679-1699, December.
    20. Xie, Guanghua & Chen, Lin & Chen, Xichan, 2021. "The role of short selling threat in corporate environmental disclosure strategies: Evidence from China," Resource and Energy Economics, Elsevier, vol. 66(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:accfor:v:37:y:2013:i:2:p:124-134. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/accounting-forum .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.