DETERMINANT OF LEVEL OF CLIMATE CHANGE DISCLOSURE BY DEVELOPED AND EMERGING COUNTRIES IN ASIA PACIFIC
Loading...
Date
2011-05-04
Authors
PERIASAMY, VINOD
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
This study investigates how well Ill firms in ten industries, across thirteen countries, are
addressed climate change through corporate governance characteristics and firm attributes.
This study is based on climate change disclosures made in the sustainability and annual
reports by firms domicile in developed and emerging countries in Asia Pacific for the year
2008. The study uses content analysis to construct weighted and unweigthed disclosure
indices. Based on the extent literature, several variables namely firm size, industrial
membership, country domicile, environment certification, board size, independent nonexecutives,
the CEO duality structure and gender are selected and their influence on the level
of climate change disclosure was tested empirically. As for agency theory, this study offers
both confirmatory and contradictory results regarding board independence. The result reveal
that, in spite of the fact that level of the climate change disclosure in some of emerging
countries in Asia Pacific is still low, by increasing proposition of independent non-executives
in board of directors, encouragement of firms' practices who separates the CEO-board chair
role and firm practices in obtaining and maintaining environment certification would directly
increases the climate change disclosure in their sustainability reports. Despite that, firms that
demonstrate lack of gender diversity in board would increase the climate change reporting
system practices. Surprisingly, firm size and board size failed to show any significant
relationship with disclosure level.
Keywords: Climate change disclosure; content analysis; agency theory; corporate
governance; firm attributes; sustainability report; global warming.
Description
Keywords
DETERMINANT , CLIMATE CHANGE