The Level Corporate Environmental Accounting Information Disclosure in the Manufacturing Sector in Nigeria; a Voluntary Perspective

Abstract

The study examined the level of Corporate Accounting Information Disclosure (CEAID) in the Nigeria manufacturing firms on a voluntary basis and if the level of CEAID in Nigeria manufacturing firm is of standard. The specific objectives sought to; ascertain if firms’ size has a significant effect on the level of CEAID, ascertain if firms’ financial performance has a significant effect on the level of CEAID. Ex-post facto and content analysis research designs were adopted. The panel data for 7 year period covering 2008-2014 were collated from the annual reports of the 10 selected firms quoted in the Nigeria Stock Exchange. The Kinder Lydenberg Domini social environmental rating system was used to measure the level of CEAID. The pooled panel data regression model was used to estimate the relationship between the independent and dependent variables. Our results strongly showed that firm size has a significant effect on the level of CEAID and financial performance had no significant effect. The descriptive analysis showed that the highest level of CEAID as examined using the Global Reporting Initiative and IS0 14301 environmental requirement is far below standard at 29%. The study concluded based on the result that CEAID in Nigeria is still ad-hoc and that voluntary CEAID alone would not enhance higher level of CEAID in the manufacturing firms in Nigeria.