Purpose
Bangladesh is a coastal country that is especially at risk from global warming and climate change. One proactive approach to managing climate risk is for companies to include environmental accounting and reporting procedures in their yearly reports. This research aims to assess the degree and scope of environmental accounting and reporting practices among Dhaka Stock Exchange (DSE)-listed Companies in the Cement, Ceramic, IT, and Jute industries.
Materials and Methods
The researchers developed the Environmental Accounting and Reporting Practices Index (EARPI) for four selected industries: the Cement and Ceramic Industry (EARPICCI), the IT Sector (EARPIITS), and the Jute Industry (EARPIJI), based on extant literature, international initiatives, legal frameworks, and global standards. The researcher manually put together the data set from the corporate annual reports of the chosen organizations using content and subject analysis.
Findings
In this research, we looked at every company listed on the DSE that was involved in the cement and ceramic, IT, and jute industries. The study’s findings demonstrated the very subpar and non-numerical EAR procedures of the chosen businesses. In addition, nine companies’ annual reports did not refer to environmental concerns. Additionally, the annual reports of the two companies are not available on their websites. The 15 companies that addressed environmental issues in their annual reports differed significantly from one another. Rather than acknowledging environmental reporting and accounting as an independent chapter, this analysis indicates that the environmental concerns included in the annual report come under several different titles. Since there is no legal need, businesses in Bangladesh choose to use environmental accounting and reporting systems voluntarily.
Implications
The findings of the study called for establishing a compulsory regularity framework regarding EAR practices in Bangladesh.
Novelty/originality
This research, based on pre-developed indices, is the first effort to examine EAR practices in the annual reports of all corporations within the Cement, Ceramic, IT, and Jute industries.
