Abstract
There is still controversy regarding the relationship between ESG and company financial performance, because there are inconsistent results of previous studies. Implementation and disclosure of ESG in Indonesian companies is still very low when analyzed by several measures that are not managed by the Indonesian government. Through this research it is hoped that it can narrow the research gap regarding the relationship between ESG and company financial performance. This study uses ESG guidelines by the Indonesian Ministry of Finance as a measure in assessing the implementation and disclosure of ESG in energy sector companies in Indonesia. These guidelines have not been used before by other researchers in analyzing ESG disclosures in Indonesian companies. This research can also add to the study of new literature related to the relationship between ESG and company financial performance. The sample data in this study are all energy sector companies that have sustainability reports for 2020-2022, totaling 39 (company-year). The results of the study found that environmental, social and governance had no significant effect on return on assets (ROA). Environmental and social have a negative effect on Tobin's Q, and governance has no significant effect on Tobin's Q.
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