Decarbonization and the obstacles to carbon credit accounting disclosure in financial statement reports: the case of UAE
Lilian Gheyathaldin Salih
Asian Journal of Accounting Research, 2024, vol. 9, issue 2, 169-180
Abstract:
Purpose - This study investigated the visibility of carbon emissions allowances accounting in the financial reports of 32 clean development mechanism (CDM) projects in the UAE to uncover the obstacles to setting consistent standards for carbon emission accounting. As carbon emissions are monetized as credits, consistent accounting standards can aid decision-makers in the development of carbon emission mitigation strategies. Design/methodology/approach - This study used a grounded theoretical framework for exploring the terms used in the policy documents of international accounting bodies regarding accounting standards and guidelines for carbon emission credits. Raw qualitative data were gathered, and an inductive approach was used by analyzing documents from various sources using the qualitative data text analysis software QDA Miner 6. Findings - The findings showed that the financial statement reports of the corporations did not include disclosure of the carbon credit account. This omission was due to the lack of global standardization of carbon credit accounts and emission allowance recognition. This may hinder the production of a comprehensive report containing accurate and valuable financial information relevant to all stakeholders. Originality/value - The study is among the first to use a grounded theoretical framework to investigate whether corporations are applying common standards and guidelines for carbon emissions accounting.
Keywords: Carbon accounting; Carbon credit; Emission allowances; Clean development mechanism; Qualitative data analysis; UAE (search for similar items in EconPapers)
Date: 2024
References: Add references at CitEc
Citations:
Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:eme:ajarpp:ajar-04-2023-0128
DOI: 10.1108/AJAR-04-2023-0128
Access Statistics for this article
Asian Journal of Accounting Research is currently edited by Dr. Iman Harymawan
More articles in Asian Journal of Accounting Research from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().