Investigating the Level of Environmental Sustainability in Indonesia’s Public and Government Companies
This research tries to give new evidence to the importance of the environment in relation to two kinds of firms: public companies and governmental companies. It is argued that government companies are less transparent than public companies. However there is no evidence to prove that statement. This research tries to give that evidence. We analyze the relationship among environmental disclosure, firm status and environmental performance to investigate the tendency between Indonesia’s public companies and Indonesia’s government companies. We used PROPER rating, the Indonesia official environmental rating performance, as proxy for environmental performance and GRI scorecard for scoring the environmental disclosure. The sample was taken from the PROPER companies during 2002-2004. The result showed that the level of sustainability is higher in the public companies than in the government companies. Comparing with the government companies, public companies are more proactive in enhancing the environmental standard. The last, we also found a significant negative relationship between environmental disclosure and environmental performance.
Keywords: Environmental Sustainability, Environmental Disclosure, Environmental Performance
Lecturer,, Accounting Department
Head of Department, Accounting Department