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This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
Reyinhard Sinaga, Willman Sihotang, Iskandar Muda, Erlina
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DOI:10.17265/1548-6583/2025.03.0010
Department of Accounting, Universitas Sumatera Utara, Medan Campus, Sumatera, Indonesia
Accounting’s emphasis has changed from standard financial reporting to sustainability reporting that takes environmental factors into account as a result of the sustainable development paradigm's evolution. In order to facilitate the incorporation of environmental data into the ESG (Environmental, Social, and Governance) reporting framework, green accounting has become a popular strategic approach. A comprehensive evaluation of recent research on the effects of green accounting on the quality of ESG disclosure, risk perception, and investment decision-making, as well as the use of digital technology in corporate operations, is the goal of this study. By analyzing 74 Scopus-indexed articles published between 2021 and 2024, this study finds that the integration of green accounting enhances the transparency and accountability of environmental reporting, influences firm valuation, and serves as a credibility signal to the market. Furthermore, the adoption of technologies such as AI, blockchain, and big data has proven to improve the accuracy and effectiveness of green accounting practices, although technical and resource-related challenges remain, particularly in developing countries and the SME sector. This study makes both theoretical and practical contributions to support more sustainable decision-making and proposes a future research agenda that position green accounting as a strategic instrument within the green economy.
green
accounting, environmental accounting, sustainability accounting, ESG performance.
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