The effect of financial distress and firm size on carbon emission disclosure

This study aims to examine the effect of financial distress, corporate governance, and firm size on carbon emission disclosure in the Indonesian Energy Sector during the world energy crisis. Using 56 data from energy sector industries in 2021 (during the global energy crisis), this research is analyzed with linear regression method. The results of the study show that financial distress has no effect on the disclosure of carbon emissions, although the world is being hit by an energy crisis. Meanwhile, corporate governance and firm size have a positive and significant effect on carbon emission disclosure. Related to legitimacy theory and stakeholder theory, a firm with good corporate governance has responsible to disclose all information to stakeholders. The larger firm also has wide access to open their information than small firms.