The Effect of Green Accounting and Environmental Performance on The Profitability of Energy Sector Companies Listed on The IDX in 2022-2023

Abstract

This research investigates the impact of green accounting and environmental performance on the profitability of energy sector firms listed on the IDX. The analysis utilizes secondary data, specifically financial, annual, and sustainability reports published between 2022 and 2023. During this timeframe, 90 companies focused on the development of domestic energy resources were identified on the IDX. Through purposive sampling methods, 77 companies were selected, resulting in a total of 154 data points for processing and analysis by the researchers. The findings of this research indicate that green accounting positively and significantly influences profitability, whereas environmental performance does not have a significant effect. However, when considered together, both green accounting and environmental performance positively and significantly influences profitability. Despite the significance of the combined analysis, it is noteworthy that only 17,6%, leaving 82,4% of profitability is influenced by other factors.