The Energy Disclosure Among Energy Intensive Companies in Malaysia: A Resource Based Approach

Abstract

This study examines the extent of, and factors influencing, energy disclosure in Malaysia. We content analysed the annual reports of top 100 energy intensive companies for the year 2014. Using resource-based theory, we analysed if companies' tangible and intangible resources as well as human capabilities determine the extent of energy disclosure. Overall, the disclosure is low with an average 'occurrence' of energy-related information of 3.53. We also find that the 'Top Brand Value' companies and companies with a larger number of directors serving on the board tend to provide greater energy disclosures. However, other variables-in particular tangible resources-have no significant influence. The findings provide tentative evidence to support the arguments of resource-based theory.