Accounting standards and frameworks consolidation for reporting net-zero in energy companies of ASEAN-5

• Main Authors: Bermejo, Rakel Mari F., Molato, Paul Ishmael P., Morales, Guia Louise A., Tan, Micah Benilde T.
• Format: text
• Language: English
• Published: Animo Repository 2023
• Subjects: Sustainable development reporting—Southeast Asia; Greenhouse gas mitigation—Southeast Asia; Accounting—Standards—Southeast Asia; Accounting
• Online Access: https://animorepository.dlsu.edu.ph/etdb_acc/53; https://animorepository.dlsu.edu.ph/context/etdb_acc/article/1092/viewcontent/Accounting_Standards2_and_Frameworks_Consolidation_for_Reporting_N_Redacted.pdf
• Institution: De La Salle University

Several corporations are slowly transitioning to disclose their net-zero initiatives due to the influence of Paris Agreement on various nations; although, the unavailability of a uniform standard causes confusion on the reporting practice that must be followed. This paper focused on ASEAN-5 countries, namely Thailand, Malaysia, Singapore, the Philippines, and Indonesia, specifically the energy sector, as this emits the most greenhouse gases (GHG) (Ge et al., 2020). Moreover, only publicly-listed energy companies that follow a calendar year period, have an English report, act in accordance with the Going Concern principle, and disclose net-zero were analyzed. Using a qualitative research, the researchers evaluated different energy sectors on their method of reporting for net-zero, reviewed reports of ASEAN-5 energy sectors on their system for quantifying their net carbon emissions, compared and contrasted reporting practices across various standards related to disclosing net carbon emissions, and determined relevant regulations that impact the reporting layout of companies across the ASEAN-5 countries. Moreover, the researchers used a frequency distribution table and content analysis. Results show that the most commonly used standard by energy companies was GRI’s Standards, with 52 out of 94 countries. However, upon using the frequency distribution and content analysis, it was seen that the most effective standard in complying with various sustainability measures, especially in reporting net-zero emissions, was the combination of TCFD-GRI-Others.