Environmental Accounting Issues Outlined

The accountancy profession has to recognise the time has come for a shift in attitudes towards the environment, an expert has claimed.

Accusations of complicity in the failure of markets to combat the problems posed by climate change and other factors have meant accountants need to confront the problems of the environment, according to Roger Adams from the Association of Chartered Certified Accountants (Acca).

Writing in Accountancy Age, the executive director noted that the profession must make its contribution to tackling climate change through its work on the Prince of Wales's Accounting for Sustainability (Acc4S) project.

"The Acc4S initiative has a projected life of about one year and lifted off on a groundswell of goodwill," said Mr Adams.

He added: "The profession has a lot to contribute but must be ready to acknowledge that, belatedly in Stern's view, the time for a major paradigm shift may have arrived."

Represented on the steering group alongside Acca are the Chartered Institute of Public Finance and Accountancy and the Institute of Chartered Accountants in England and Wales.

In other recent news at Acca, the body recently signed a mutual recognition agreement with its counterpart in Canada.

Is this initiative too little too late? As part of the accountancy profession, are you already being proactive in 'doing your bit' for the environment? Could the industry as a whole be doing more? Let us have your comments.

Comments

[John Enahoro]

The issues on environment arising from the Kyoto Convention have implications for need for compliance to regulations for pollution prevention and environmental protection. It touches on Carbon Allowances for nations and accounting valuation for Carbon Trading among trading nations.