ENVIRONMENTAL ACCOUNTING PRACTICES BY SHARIAH-COMPLIANT COMPANIES IN MALAYSIA

Abstract

Islamic law cannot be assumed to be associated only with the worship and morality, but it offers instruction for various facets of human existence. Environmental concerns like global warming and preservation and protection of a healthy environment is among the things highlighted in Shariah. As environmental accounting is an approach that significantly mitigate the adverse environmental consequences from business activities, the practice is supposedly be implemented by all business firms, especially by the Shariah-compliant companies that are expected to embed Islamic values in its operation. This paper is therefore interested in extending the focus of environmental accounting practice in Shariah-compliant companies in environmentally sensitive industries. In addition to that, this paper also looks at the support by the top management of these companies regarding environmental issues and how this may affect the adoption of the environmental accounting practices among them