Environmental Accounting and Host Community Compensation: Evidence from Oil and Gas Firms in Nigeria

This study investigated the relationship between Environmental Accounting and Host Community Compensation: Evidence from Oil and Gas Firms in Nigeria from period of 2009 to 2019. Environmental Safety Cost, cost for Environmental Losses and Environmental Information Disclosure are dimensions of environmental accounting and compensation cost was used as the dependent variable while adopting ex post factor research design. The population of the study was 13 quoted oil and gas companies in Nigeria stock exchange as at December 2019. The sampling technique used was purposive sampling technique whereby nine of the quoted companies were chosen for the study of the 2009 to 2019. Data were subjected to several things to ascertain robustness and reliability of results. Descriptive analysis regression and correlation analysis were used for analyzing the data and testing of hypothesis were carried out with the aid of Statistical Package for Social Science (SPSS) software. The result of the study show the environmental accounting has a strong positive and significant relationship with host community compensation of oil and gas companies host communities. The study recommended among others that there should be increased in environmental effort towards sustainable development of its host communities in order to achieve sustainable development, oil and gas should increase their spending towards provision of basic amenities as a result has shown that its measure of sustainable development to same in terms of human capital development basic amenities, provision and compensation to host environment losses cost and environmental information disclosure cost should be increased.