Influence of Environmental Accounting Reporting and Social Sustainability Disclosure on Financial Performance of Listed Oil and Gas Firms in Nigeria

Abstract

Environmental accounting reporting and social sustainability disclosures influence on financial 
performance of oil and gas firms in Nigeria was empirically investigated. Ex Post Facto design was 
adopted and data for the study were obtained from the published annual financial reports and 
accounts of the entire oil and gas firms quoted on Nigerian Exchange Group (NGX). Two 
hypotheses were formulated in order to direct the flow of this study while the data was analyzed 
using OLS regression model using STATA V.15. The results of the study indicate that 
environmental accounting reporting and social sustainability disclosures have significant and 
positive influence on financial performance of listed oil and gas firms in Nigeria at 1% and 5% 
significant level respectively. Thus, the study concludes that environmental accounting reporting 
& social sustainability disclosure have positive influence on firms' performance. In lieu of this, the 
study suggests that environmental reporting in corporate financial reporting should be made 
mandatory by the government and fine to be imposed for non-compliance. Also, tax credit should be given to organizations that comply with its environmental laws of the land which encourages 
environmental reporting.