Local councils’ environmental sustainability reporting: who really counts?

Abstract

Purpose

The purpose of this paper is to examine local councils’ response to the Environmental Reporting Act 2015(ERA), stakeholder identification and implications for the state of the environment management and monitoring of by local councils in New Zealand.

Design/methodology/approach

Informed by stakeholder salience theory, this study uses an interpretative approach in analysing survey data collected from all 78 local councils. Ninety-two key individuals responded to the survey which was administered a month before the Environmental Reporting Bill was passed as an Act.

Findings

The findings suggest that focus and priorities of the councils varied depending on the influential power of various group stakeholders. Legal requirements were a very significant factor for reporting environmental sustainability information and the availability of funding and resources posed a significant challenge. Environmental sustainability was considered as both a risk and an opportunity. Compliance with legislation was the utmost priority of the local councils.

Research limitations/implications

The results suggest that stakeholders with power received more attention from the local councils. In addition, the tension between the central government, the elected representatives and the public became apparent.

Originality/value

This paper offers insight on how the local councils viewed risks, opportunities and potential implications of a new legislation, and whether the stakeholders were considered in these contexts.

Citation

Othman, R., Laswad, F. and Nath, N. (2017), "Local councils’ environmental sustainability reporting: who really counts?", Pacific Accounting Review, Vol. 29 No. 4, pp. 469-489. https://doi.org/10.1108/PAR-11-2016-0108