Environmental Accounting and Its Endevour in India
ENVIRONMENTAL ACCOUNTING AND ITS ENDEAVOR IN INDIA
Rajesh Arora
Free lance Management Education Consultant
ABSTRACT
In recent years we all have witnessed environmental degradation at global level in shape of rising pollution levels, soil erosion, deforestation, etc. this is spoiling normal health of human beings, reducing the corporate productivity levels, reducing the availability of amenities, etc.
The developing nations like India are facing the twin problems of first protecting its environment and simultaneously increasing its economic development. A tradeoff between the two becomes necessary. A complete analysis become necessary of benefits realized and costs accruing with respect to environmental exploitation taking place on account of economic development. This will help in predetermining the permissible limits for economic development. Hence a study on environmental accounting becomes necessary to determine benefits and cost of actions undertaken to protect the environment.
KEY WORDS
Environmental accounting, Green accounting, Environmental Management Accounting, Environmental Financial Accounting, Environmental National Accounting, Segment Environmental Accounting, Eco Balance maintenance Environmental Accounting, Corporate Environmental Accounting, Rig Veda.
INTRODUCTION
In a business organization it is considered to be prudent to make best use of all available resources, whether they are men, money, materials, machines or methods. The business entity is a part of social community and it is judged by it actions as a responsible member of the society. Its objectives in present day are not just profit making but value maximization in terms of shareholders wealth maximization without disturbing the environmental and social fabrics, on which it has to stand committed in order to maintain it standing in the society. As far as Indian corporate sector is concerned it is quite depressing to say that that it has not been able to perform as a
Rajesh Arora
Free lance Management Education Consultant
ABSTRACT
In recent years we all have witnessed environmental degradation at global level in shape of rising pollution levels, soil erosion, deforestation, etc. this is spoiling normal health of human beings, reducing the corporate productivity levels, reducing the availability of amenities, etc.
The developing nations like India are facing the twin problems of first protecting its environment and simultaneously increasing its economic development. A tradeoff between the two becomes necessary. A complete analysis become necessary of benefits realized and costs accruing with respect to environmental exploitation taking place on account of economic development. This will help in predetermining the permissible limits for economic development. Hence a study on environmental accounting becomes necessary to determine benefits and cost of actions undertaken to protect the environment.
KEY WORDS
Environmental accounting, Green accounting, Environmental Management Accounting, Environmental Financial Accounting, Environmental National Accounting, Segment Environmental Accounting, Eco Balance maintenance Environmental Accounting, Corporate Environmental Accounting, Rig Veda.
INTRODUCTION
In a business organization it is considered to be prudent to make best use of all available resources, whether they are men, money, materials, machines or methods. The business entity is a part of social community and it is judged by it actions as a responsible member of the society. Its objectives in present day are not just profit making but value maximization in terms of shareholders wealth maximization without disturbing the environmental and social fabrics, on which it has to stand committed in order to maintain it standing in the society. As far as Indian corporate sector is concerned it is quite depressing to say that that it has not been able to perform as a
References: Banerjee, B. (2002), Regulations of Corporate Accounting in India, Calcutta, The World Press Calcutta Private Limited; Canadian Institute of Chartered Accountants (1993), Environmental Costs and Liabilities: Accounting and Financial Reporting Issues, Toronto; Paul, K. C. and B. Pal (2001), “Corporate Environmental Reporting in India,” Indian Accounting Review, December: 27 – 45; Pramanik, A. K. (2002), Environmental Accounting and Reporting (eds.), New Delhi, Deep & Deep publications Pvt. Ltd.; Williams, M. S. (1998), Contemporary Environmental Accounting: Issues, Concepts and Practices, U.K., Greenleaf Publishing Limited; William, M. S. (1999), “Voluntary environmental and social accounting disclosure practices in the Asia-Pacific region: An international empirical test of political economy theory,” The International Journal of Accounting; various newspapers