The impact of energy companies on the environment and local communities - disclosures in non-financial reports of companies

Abstract

Energy companies recognise the impact of their activities on the environment and society and undertake various initiatives to reduce emissions, improve energy efficiency, protect biodiversity, and support the development of local communities. However, the degree and way this information is disclosed varies by company, market and region. The aim of the article is to indicate (1) how information about the natural environment and local communities is presented in annual reports (2) to indicate the frequency of occurrence of the keywords: environment, community, and responsibility in annual reports. The article emphasises the importance of transparent and comprehensive corporate reporting, which reflects the involvement of energy companies in broadly understood sustainable development (impact on the environment and local communities), which can increase stakeholder trust. The study fits into the current scientific discussion on the issues of the European Green Deal. It also implies that better reporting can facilitate investment decisions and that companies should be more forthcoming about their environmental and social initiatives.