The Concept of Green Accounting in Nigeria (A Case Study of Chevron)
Chapter One
Objectives Of The Study
The Main Objective of the study is to appraise the concept of green accounting in Nigeria. A case study of chevron; The specific objectives include:
- To determine the nature and concept of green accounting.
- To appraise the relevance of green accounting in Nigeria.
- To proffer an analysis of the effect of green accounting in chevron.
CHAPTER TWO
LITERATURE REVIEW
Introduction to the Green Accounting.
Changes in Environment have negative impact not only on environment but also on the Economy of any country.
Green accounting is the concept related to Eco-auditing and environmental information. The role of Green accounting is important tool to understand the role of natural environment in the economy and can contribute to process of decision making .
Green accounting is able assist the business organization in utilization and adoption of best available technology and can contribute as a review reole and add element of quality control to the administrative system.
Green accounting is the field that deals with the resource use and communicates and measure cost of national affect or company affect. The cost are clean of polluted sites and waste management environment penalties and taxes .
Green Accounting is important tool to understand the role of business firm towards environment safety and welfare. So it should provide data highlighting the both contributions of business to economic well being and costs imposed on resource degradation.
Specialy the manufactureing companies all over the world have realized importance on conversion of energy – utilization and measurement of cost benefit pertaining to total energy of all forms i.e. fuel , gas, lubricant conventional and non conventional energy purchase and stored. So the energy conversion has in the firms has brought cost reduction , cost leadership and market leadership.
So developed countries including USA ,UK, Japan , Germany has recognized the concept of calculating energy consumption in their manufactureing and service sectors.
The International Accounting Standerds board (IASB) identified and recognized the measurement and energy conversion as Green Accounting.
So in developing countries like India facing problem with protecting and promoting Green Accounting.
The development and survival of organization depends upon the operational erfficency and the companies financial performance only these are enough for any business to achieve the growth. The companies responsibility to take account of Environment too.
Green Accounting is the concept of measureing environmental costs into financial results of operation.
In general accounting system that measures economical losses that are expirenced by renewable and non renewable resource of environment.
It is argued that Gross domestic product ignores the environment and the policy makers are in way to revise the incorporating policy.
So green accounting strives to help the corporate to understand the potentiality of giving something and takeing something between traditional economics to today’s environmental goals.
The practice of green accounting is already a controversial for extraction industries. So there should be some standard practices for Green Accounting.
So the Term was proposed and made it for common usage by Professor Peter wood in the 1980s.
Evolution of Green Accounting.
Green Accounting began in the very unexpected time or period. The four stages of Development has gone through – 1970 – 1980 is the period of research commencement period.
1981-1994 agreements about the accounting exposure of information regarding Green Activities or environmental activities.
And there was intrest about the concept in this period and there was a focus on the Green accounting.
The period from the 1995 – 2001 is maturation stage for green accounting.
So at this stage the information regarding has taken into account and the audit of green accounting has been launched.
The developed countries took into discussions and they applied it both theoretically and practically from this time has become the beginning of growth of the studies.
This period is called as “ Cornerstone” of green accounting and the researchs paid more attention on this domain.
The main demand of the green accounting and its function is to provide environmental costs to the stakeholders who cxan identify the ways to avoid or to reduce the cost and at the same time achive the environmental quality improvement.
The environmental reporting and information and rules about the green accounting was issued from 2002 till date.
So the researches of green accounting has grown considerably because of the importance of green accounting and due to the new sub-feilds that have emerged as Green management and green audit.
CHAPTER THREE
RESEARCH METHODOLOGY
Research Design
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
Population of the study
According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitute of individuals or elements that are homogeneous in description.
This study was carried out to examine the concept of green accounting in Nigeria. Chevron form the population of the study.’
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of Ninty-five (95) questionnaires were administered to respondents of which 80 were returned. The analysis of this study is based on the number returned.
CHAPTER FIVE
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS:
Introduction
This chapter summarizes the findings on The Concept Of Green Accounting In Nigeria using Chevron as case study. The chapter consists of summary of the study, conclusions, and recommendations.
Summary of the Study
In this study, our focus was on The Concept Of Green Accounting In Nigeria using Chevron as case study. The study is was specifically focused on examining the nature and concept of green accounting. And also appraising the relevance of green accounting in Nigeria and finally analyzing the effect of green accounting in chevron.
The study adopted the survey research design and randomly enrolled participants in the study. A total of 80 responses were validated from the enrolled participants where all respondent are staff of Chevron in Port Harcourt, River state.
Conclusions
With respect to the analysis and the findings of this study, the following conclusions emerged;
It shows that Green accounting affect the operation of chevron in the following ways; it helps in Segregation and Elaboration of all Environment related Flows and Stocks of Traditional Accounts, Linkage of Physical Resource Accounts with Monetary Environmental Accounts, Assessment of Environmental Costs and Benefits, counting for the Maintenance of Tangible Wealth, Elaboration and Measurement of Indicators of Environmentally Adjusted Product and Income, the Existence of numerous valuation techniques and sustainability indicators is considered the major critisicism of green accounting.
Recommendation
By identifying the major findings of research it holds necessary to make proper and major suggestions which are as follows.
- Green accounting is an emerging concept there is need of creating awareness among all.
- Due to rapid development taking place at the same timemanufacturing industries need to protect Environment.
- There is need of Formulating Policies, Regulations regarding Green accounting at National and international level
- As most of the respondents opined that adoption of green accounting in firms must be made mandatory.
- As Emerging Concept it should also be part of Commerce Academics.
Bibliography
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