Analysis of the influence of financial, carbon, and environmental performance on carbon emission disclosure

Abstract

Industrial development has a detrimental impact on the Earth's rising surface temperature, primarily due to greenhouse gas emissions. In Indonesia, the energy sector was the leading contributor to carbon emissions until 2022. This study aims to investigate the relationship between financial, carbon, and environmental performance and carbon emissions disclosure. The sample for this research was selected using a purposive sampling method, comprising 20 energy sector companies listed on the Indonesian Stock Exchange. Panel data regression analysis was conducted, with carbon emissions disclosure being the dependent variable and profitability, leverage, environmental performance, company size, and carbon performance as the independent variables. The study's results indicate that financial performance, environmental performance, and company size have a significant impact on carbon emissions disclosure, while leverage and carbon performance do not have a significant effect.