An assessment of the relevance of environmental management accounting for sustainability in Zimbabwe's extractive industries

[摘要] ENGLISH SUMMARY : Environmental Management Accounting (EMA) has taken centre stage in companies with high environmental impacts, as literature reveals. The aim of this study was to assess current and potential relevance of Environmental Management Accounting in Zimbabwe's mining sector and extractive industries. In assessing the relevance of EMA in the mining sector, the research was guided by research questions aimed at understanding whether EMA actually or potentially contributes to the sustainability of the mining sector and whether EMA systems contribute positively towards sustainability better than traditional accounting systems. The research premise was that, given the limited information about the implementation and relevance of EMA in Zimbabwe's mining sector and extractive industries, EMA is an area of study which justifies in-depth research. It was further premised that implementation of EMA enhances sustainability in extractive industry and mining development.To achieve the aim of this study, a qualitative research design was adopted with an interpretivist paradigm. The researcher used multiple methods of data collection to source both primary and secondary data. These methods included open-ended questionnaires, interviews and document analysis. This helped to validate the results generated by triangulating them for purposes of consistency, confirmability and to reduce research bias. The researcher used the snowball sampling method to reach 34 companies out of a possible 89 companies. The study was a case study of the mining sector with the unit of analysis being the single companies in the sector. The multiple embedded cases of individual companies were analysed using 'Atlas.ti' qualitative data analysis software.The research findings indicate that EMA contributes positively in the mining sector, thereby promoting sustainability. However, the use of EMA is at entry level with random application. There are strong indicators of Environmental Management Accounting practices in the company's traditional accounting systems. The different perspectives on EMA support the idea that the mining sector is complex; hence the implementation of EMA is difficult. The cost of implementing EMA does not outweigh the benefits thereof. The results also indicate that EMA improves the running of mining companies on a day-to-day basis. In spite of these encouraging findings, the benefits of EMA have not yet been fully realised in Zimbabwe because they can only be visible once EMA is being implemented more systemically. Notwithstanding, EMA has the potential to promote sustainability through the three pillars of sustainable development. The study revealed that, although the traditional accounting system addresses the three pillars of sustainability, it was not clear how the social pillar was being addressed. There are many benefits to be gained through EMA, with commensurate challenges of implementing it. Among the challenges is the need for stakeholders and management buy-ins in EMA applications. Research findings indicate that the paucity of EMA literature is limited to developing countries and emerging markets. While EMA is contributing positively in the Zimbabwean mining sector and extractive industries, companies are reluctant to implement it because of an envisaged capital intensive nature and lack of knowledge.The researcher recommends that companies be made aware of material flow cost accounting using physical environmental management accounting (PEMA) and monetary environmental management accounting (MEMA) systems. There is need to prioritise the development of sector-specific EMA standards. The accounting profession should also embrace developments in sustainability accounting and further develop their standards on guiding accounting professionals in how to implement a full-fledged EMA. The accounting profession should also work with other professionals to effectively implement EMA. The researcher recommends that further research be conducted to determine the role of legislation in Environmental Management Accounting. It will also be ideal to conduct research to check the impact of EMA on social issues.

[发布机构] Stellenbosch University