Page 162 - IJES Special Issues for AIEC2016
P. 162
62 © Lindrianasari, and Yuztitya 2016 | Investigative Studies on Environmental Disclosure
the second longest shoreline in the world, Indo- One of articles in UU No 40 Year 2007 about in-
nesia is very susceptible towards the effect[s] of corporated companies contains Article 74 (1)
climate change, including the raising of sea level; and states that a corporation that runs its busi-
that as a developing country, Indonesia needs to ness in a field related to natural resources is re-
develop industry with clean technologies espe- quired to implement social and environmental
cially ones having low emissions; that as a tropi- responsibilities. However, the extent of the obli-
cal country that has the second largest forest, In- gation for these social and environmental re-
donesia has an important role in affecting the sponsibilities has not been explained in detail.
Earth’s climate” (UU RI No. 17 Year 2004). Government Regulation No.47/2012 about the
social and environmental responsibilities of in-
It was very reasonable for Indonesia to issue UU corporated companies tries to detail what social
No 17 Year 2004. Considering the conditions fac- and environmental responsibility for each com-
ing the world, cooperation among countries that pany looks like. Therefore, this research is im-
have tropical rainforests like Indonesia is re- portant to investigate the extent to which gov-
quired. Even though the acceleration of develop- ernment policies on clear disclosure of environ-
ment in Indonesia from industry and transporta- mental impacts is related to a company’s efforts
tion are still being conducted, the mechanism of to reduce carbon emissions.
clean development should be the priority to min-
imize the carbon emissions from development. This research is one of the first of its kind in In-
donesia that discusses the issue of carbon emis-
There is no shortage of companies in Indonesia sions in the field of accountancy. All this time, re-
that have used high-end technology to save fuel search related to CSR and the environment has
costs and to reduce emissions as the cause of the not discussed the problem of carbon emissions.
greenhouse effect (http://www.voaindonesia. Furthermore, it has not investigated deeply how
com/content/perusahaan-perusahaan-mulai- the company conducts recognition and measure-
kurangi-emisi-tingkatkan-laba/84320.htm). ment on carbon emission of greenhouse gas in
Some companies in Indonesia feel the use of car- corporate reports.
bon emission reduction through energy effi-
ciency is increasing corporate earnings and also Meanwhile, at the world level, it was found that
strengthening their commitment to social and among 800 of the biggest companies in the
environmental responsibilities. world, only 37% reported data on greenhouse
gas emissions completely and in accordance with
The government’s policy related to the environ- global standards. It also found that only 21% of
ment was shown by the issuance of some serious the 800 biggest companies in the world who re-
policies after UU RI No. 17 Year 2004 was issued. port greenhouse gas emissions data is verified.
In 2012, regulations for corporate social respon- Therefore, this research will center on the area
sibility or social responsibility were imple- of carbon emissions. Some fundamental research
mented, and they have been strengthened by the questions that are the focus of this research are
issuance of Government Regulation No.47/2012 the following:
about the social and environmental responsibil-
ity of an incorporated company. Government 1. Did the company put forth effort to reduce
Regulation No.47/2012 was issued in the begin- carbon emissions after UU RI No.17 Year
ning of April by the government. This govern- 2004 and other regulations were issued? To
ment regulation was long-awaited by the public answer this research question, the investiga-
in Indonesia and was expected to be able to de- tion on research and development costs in
termine corporate obligations as well as spell out corporate financial reports will be conducted.
the expectations for corporate social responsi-
bility in detail. Government Regulation No.47/ 2. Did any change occur on social responsibility
2012 completes matters that have not been de- cost allocation entirely after government pol-
termined by UU No 40 Year 2007 of Incorporated icies related to social responsibility were ap-
Company. plied in Indonesia?
Science Target Inc. www.sciencetarget.com
