Assurance of climate risks: an analysis of accounting disclosure in the agricultural sector

Authors

DOI:

https://doi.org/10.33448/rsd-v11i10.32476

Keywords:

Assurance; Climate risks; Agriculture; Environmental accounting disclosure.

Abstract

The study aims to identify the existence of assurance on environmental disclosure of the risk of climate change in companies in the non-industrial, acyclical agricultural sector, listed in B3, in the period between 2016 and 2020. The empirical descriptive qualitative research, being used in the collection of data, the bibliographic and documentary research with consultations to the Annual Report (RA), Sustainability Report (RS), Reference Report (RR), Integrated Report (RI), Assurance Reports (RAs) and Opinions of Audit (PA) of the companies available on the websites of the companies themselves and in the information provided in B3. Climate change can affect agricultural production in different ways, in this sense, investors have demanded more quality information about ensuring the disclosure of climate risks. The results found indicate that 27.27% of the companies listed in the segment report climate risks. In these companies, assurance is focused on reporting risks related to: regulation, physical climate changes and market risks. It should be noted that only BRASILAGRO carried out the emissions inventory in the years 2017, 2018 and 2019/2020, these last years being presented together in a single report. The study contributes to signaling the disclosure and regulation of ensuring the reporting of climate risks in the agricultural sector and thus ensuring this information not only for investors but also for society.

Author Biographies

Fernando Gentil de Souza, Universidade Federal de Pernambuco

PhD in Accounting from the University of Zaragoza. Professor at the Federal University of Pernambuco - UFPE.Brasil

Raimundo Nonato Rodrigues, Universidade Federal de Pernambuco

PhD in Controllership and Accounting from the University of São Paulo, Faculty of Economics, Administration and Accounting. Professor at the Federal University of Pernambuco – UFPE, Brazil

Umbelina Cravo Teixeira Lagioia, Universidade Federal de Pernambuco

PhD in Administration and Professor at the Federal University of Pernambuco - UFPE. Brazil.

Luciana da Silva Moraes Sardeiro, Universidade de Brasília

PhD student in Controllership and Accounting at the University of Brasília. Professor at the Federal Rural University of the Amazon – UFRA

References

AA1000AP (2018). Learn more here: https://www.accountability.org/insights/accountability-principles-course-now-available-on-earth-academy/.

Agrawala, S., Carraro, M., Kingsmill, N., Lan zi, E., Mullan, M., & Prudent-Richard, G. (2011). Private sector engagement in adaptation to climate change: approaches to managing climate risks. https://www.oecd-ilibrary.org/content/paper/5kg221jkf1g7-en.

Andrade, F. M. R. D., Barreto, T. B., & Henriques, A. B. (2020). Rio de Janeiro e crise climática: governança, interatividade e construção discursiva no Twitter. Ambiente & Sociedade, 23. https://doi.org/10.1590/1809-4422asoc20190202r2vu2020L6TD.

Araújo, J. C. O., & Cruz, L. D. C. (2020). Informação incompleta ou imperfeita. REMIPE-Revista De Micro E Pequenas Empresas E Empreendedorismo Da Fatec Osasco, 6(1), 4-24. https://doi.org/10.21574/remipe.v6i1.181.

Araújo, J. C. O., da Silva, L. M., & Costa, R. N. V. (2018). Controladoria como ferramenta de gestão empresarial: um estudo dos processos de controle em uma indústria de bebidas. Brazilian Journal of Development, 4(7), 4467-4486. https://www.brazilianjournals.com/ojs/index.php/BRJD/article/view/506.

Araújo, J. C. O., Pires, J. O. M., & Farias Filho, M. C. (2013). A cooperação como estratégia para o fortalecimento dos pequenos e médios empreendimentos. Colóquio Organizações, Desenvolvimento e Sustentabilidade. http://repositorio.ufpa.br/handle/2011/13661.

Araújo, J. C. O., & Cavalcanti, E. L. (2022) Big Data Open, Governo Eletrônico E Indicadores Públicos Pós Pandemia: Por Onde Começar? In: Souza, Fernando Gentil De; Gonçaves, Helenice. (Org.). Contabilidade aplicada ao setor público: casos práticos e inovações como respostas à Covid-19. (23ª ed.): Ufpe, 2022, V. 2, P. 173-192. https://editora.ufpe.br/books/catalog/book/730.

Araujo, J. C. O., Souza, F. G., Celis, M. M. M., & Robles, E. M. (2021) Economic Sustainability in face of the Covid-19 crises: What do the digital governments from Brazil and Colombia reveal? What do the digital governments from Brazil and Colombia reveal?. In: 14th International Conference on Theory and Practice of Electronic Governance. 2021. 463-470. https://doi.org/10.1145/3494193.3494310.

Bardin, L. (2011) Análise de conteúdo. (70th ed.): Almedina; 2011. 229 p.

Beck, U. (2010). Sociedade de risco: rumo a uma outra modernidade. Editora 34, 2010 [1992].

Bergamini Junior, S. (2021). ESG, Impactos Ambientais e Contabilidade. Pensar Contábil, 23(80). http://www.atena.org.br/revista/ojs-2.2.3-06/index.php/pensarcontabil/article/viewFile/3630/2772.

Bolton, P., Despres, M., Pereira da Silva, L. A., Svartzman, R., Samama, F., & Bank for International Settlements. (2020). The green swan: Central banking and financial stability in the age of Araújo, J. C. O., & Cruz, L. D. C. (2020). Informação incompleta ou imperfeita. REMIPE-Revista De Micro E Pequenas Empresas E Empreendedorismo Da Fatec Osasco, 6(1), 4-24. https://www.bis.org/pu bl/othp31.pdf.

Braga, I. L., & de Sinay, M. C. F. (2020). Fatores motivadores para elaboração de relatórios de sustentabilidade. Revista Interdisciplinar Científica Aplicada, 14(3), 78-93. https://rica.unibes.com.br/rica/article/view/1080.

Brito, I. A. L., Araújo, J. C. O., Caldas, A. J. R., & Lima, J. M. (2021). Os Efeitos da Covid-19 nas Micro e Pequenas Empresas no Brasil: Uma análise nas informações de constituições e extinções de 2015 a 2020. In XXI USP International Conference in Accounting. https://congressousp.fipecafi.org/anais/21UspInternational/ArtigosDownload/3485.pdf.

Brown, H. S., de Jong, M., & Levy, D. L. (2009). Building institutions based on information disclosure: lessons from GRI's sustainability reporting. Journal of cleaner production, 17(6), 571-580. https://doi.org/10.1016/j.jclepro.2008.12.009.

Bryant, A., Griffin, J. J., & Perry, V. G. (2020). Mitigating climate change: A role for regulations and risk‐taking. Business Strategy and the Environment, 29(2), 605-618. https://doi.org/10.1002/bse.2391.

Burgwal, D., & Vieira, R. J. O. (2014). Determinantes da divulgação ambiental em companhias abertas holandesas. Revista Contabilidade & Finanças, 25(64), 60-78. https://doi.org/10.1590/S1519-70772014000100006.

Cadez, S., & Czerny, A. (2016). Climate change mitigation strategies in carbon-intensive firms. Journal of Cleaner Production, 112, 4132-4143. https://doi.org/10.1016/j.jclepro.2015.07.099.

Camargo, B. V., & Justo, A. M. (2013). IRAMUTEQ: um software gratuito para análise de dados textuais. Temas em psicologia, 21(2), 513-518. 10.9788/TP2013.2-16.

Carroll, A. B. (2015). Corporate social responsibility. Organizational Dynamics, 44(2), 87-96. https://doi.org/10.1016/j.orgdyn.2015.02.002.

CDP- Carbon Disclosure Project (2017). Banco de Dados de Carbon Majors, Carbon Maiorais Relatório 2017. https: // b8f65cb373b1b7b15febc70d8ead6 ced550b4d987d7c03fcdd1d.ssl.cf3.rackcdn.com/cms/reports/ documentos /.

CEBDS Conselho Empresarial Brasileiro para o Desenvolvimento Sustentável (2015). Riscos Climáticos: Como o setor empresarial está se adaptando? https://cebds.org/publicacoes/riscos-climaticos-com-o-setor-empresarial-esta-se-adaptando/. 2015.

CFC- Conselho Federal de Contabilidade, (2016). Normas brasileiras de contabilidade: NBC TO de asseguração contábil: NB C TO 3000 e NBC TO 3402.

Chalmers, K., Godfrey, J. M., & Lynch, B. (2012). Regulatory theory insights into the past. Accounting, Auditing & Accountability Journal, 25(6), 1001 –1024. https://doi.org/10.1108/09513571211250224.

Cho, C. H, Michelon, G., Patten, D. M., & W. Roberts, R. (2014). CSR report assurance in the USA: An empirical investigation of determinants and effects. Sustainability Accounting, Management and Policy Journal, 5(2), 130-148. https://doi.org/10.1108/SAMPJ-01-2014-0003.

Deegan, C., Cooper, B. J., & Shelly, M. (2006). An investigation of TBL report assurance statements: the UK and European evidence. Managerial Auditing Journal. DOI:https://doi.org/10.1108/02686900610661388.

Doda, B., Gennaioli, C., Gouldson, A., Grover, D., & Sullivan, R. (2016). Are corporate carbon management practices reducing corporate carbon emissions? Corporate Social Responsibility and Environmental Management, 23(5), 257-270.https://doi.org/10.1002/csr.1369.

EMBRAPA – Empresa Brasileira de Pesquisa Agropecuária. Mudança do Clima (2019) . In: Nobre, Carlos. https://is.gd/THZCOw, accessed 20 dez. 2019.

Eng, L. L., & Mak, Y. T. (2003). Corporate governance and voluntary disclosure. Journal of accounting and public policy, 22(4), 325-345. https://doi.org/10.1016/S0278-4254(03)00037-1.

FAO-. Food and Agriculture Organization of the United Nations. (2013). Climate-smart agriculture sourcebook. Rome, p 557, 2013.

Faria, J. A., Andrade, J. C. S., & da Silva Gomes, S. M. (2018). Fatores determinantes da evidenciação das mudanças climáticas nas empresas brasileiras participantes do Carbon Disclosure Project [CDP]. Revista de Gestão Ambiental e Sustentabilidade, 7(1), 162-184. https://doi.org/10.5585/geas.v7i1.696.

Global greenhouse gas emissions data, U.S. Envtl. Prot. Agency, available online at: https://www.epa.gov/ GHG emissions/global-greenhouse-gas-emissions-data.

GVCes - Centro de Estudo em Sustentabilidade da Fundação Getúlio Vargas (2015). Adaptação às mudanças climáticas e o setor empresarial. https://bibliotecadigital.fgv.br/dspace/handle/10438/15091.

Hodge, K., Subramaniam, N., & Stewart, J. (2009). Assurance of sustainability reports: Impact on report users' confidence and perceptions of information credibility. Australian accounting review, 19(3), 178-194. https://doi.org/10.1111/j.1835-2561.2009.00056.x.

Hossain, E., Roy, S., Mohammad, N., Nawar, N., & Dipta, D. R. (2021). Metrics and enhancement strategies for grid resilience and reliability during natural disasters. Applied Energy, 290, 116709. https://doi.org/10.1016/j.apenergy.2021.116709.

IPCC- Intergovernmental Panel On Climate Change, IPCC. (2014). Climate Change. Mitigation Of Climate Change. Contribution Of Working Group Iii To The Fifth Assessment Report Of The Intergovernmental Panel On Climate Change, 1454

Islam, M. A., & Deegan, C. (2008) Motivations for an Organisation within a Developing Country to Report Social Responsibility Information: Evidence from Bangladesh. Accounting, Auditing and Accountability Journal, 21, 850-874.https://doi.org/10.1108/09513570810893272.

Johnson, J. M. F., Franzluebbers, A. J., Weyers, S. L., & Reicosky, D. C. (2007). Agricultural opportunities to mitigate greenhouse gas emissions. Environmental pollution, 150(1), 107-124. https://doi.org/10.1016/j.envpol.2007.06.030

Knecht, F., & Reich, S. (2014). Wertschöpfungsketten: ESG als kritischer Erfolgsfaktor für das Management des gesamten Lebenszyklus. In CSR und Finance (pp. 373-389). Springer Gabler, Berlin, Heidelberg. 10.1007/978-3-642-54882-6_26.

Kouloukoui, D., de Oliveira Marinho, M. M., da Silva Gomes, S. M., Kiperstok, A., & Torres, E. A. (2019). Corporate climate risk management and the implementation of climate projects by the world's largest emitters. Journal of Cleaner Production, 238, 117935.https://doi.org/10.1016/j.jclepro.2019.117935.

Lima, V. M. do Rosário, Amaral-Rosa, M. P., & Ramos, M. G. (2021). Análise Textual Discursiva apoiado por software: IRaMuTeQ e a análise de subcorpus. New Trends in Qualitative Research, 7, 1-9. https://doi.org/10.36367/ntqr.7.2021.1-9.

Liu, A., Zhu, Q., Xu, L., Lu, Q., & Fan, Y. (2021). Sustainable supply chain management for perishable products in emerging markets: An integrated location-inventory-routing model. Transportation Research Part E: Logistics and Transportation Review, 150, 102319. DOI: https://doi.org/10.1016/j.tre.2021.102319.

Mock, T. J., Strohm, C., & Swartz, K. M. (2007). An examination of worldwide assured sustainability reporting. Australian Accounting Review, 17(41), 67-77, 2007. https://doi.org/10.1111/j.1835-2561.2007.tb00455.x

Moraes, A. E. L., Moura-Leite, R. C., & Pereira, M. W. G. (2021). A relação entre a evidenciação socioambiental e os marcos socioambientais no setor de papel e celulose. Revista de Administração, Contabilidade e Economia da Fundace, 12(2). HTTP://DX.DOI.ORG/10.13059/RACEF.V12I2.779.

Moraes, A. E. L., Moura-Leite, R. C., & Pereira, M. W. G. (2021). A Relação entre a Evidenciação Socioambiental e os Marcos Socioambientais no Setor de Papel e Celulose. Revista de Administração, Contabilidade e Economia da Fundace, 12(20, 2021. HTTP://DX.DOI.ORG/10.13059/RACEF.V12I2.779.

Moroney, R., Windsor, C., & Aw, Y. T. (2012). Evidence of assurance enhancing the quality of voluntary environmental disclosures: an empirical analysis. Accounting & Finance, 52(3), 903-939. https://doi.org/10.1111/j.1467-629X.2011.00413.x.

Neves, F. M., Chang, M., & Pierri, N. (2015). As estratégias de enfrentamento das mudanças climáticas expressas nas políticas públicas federais do Brasil. Desenvolvimento e Meio Ambiente, 34. https://revistas.ufpr.br/made/article/view/37739/26081.

Nikolaou, I. E., Chymis, A., & Evangelinos, K. (2013). Environmental information, asymmetric information, and financial markets: A game-theoretic approach. Environmental Modeling & Assessment, 18(6), 615-628, 2013. https://doi.org/10.1007/s10666-013-9371-5.

O'Dwyer, B., Owen, D., & Unerman, J. (2011). Seeking legitimacy for new assurance forms: The case of assurance on sustainability reporting. Accounting, Organizations and Society, 36(1), 31-52. https://doi.org/10.1016/j.aos.2011.01.002.

Oliveira Mota, M., Mazza, A. C. A., & de Oliveira, F. C. (2013). Uma análise dos relatórios de sustentabilidade no âmbito ambiental do Brasil: sustentabilidade ou camuflagem? BASE-Revista de Administração e Contabilidade da Unisinos (ISSN: 1984-8196), 10(1), 69-80. DOI:10.4013/base.2013.101.06.

ONU- Organização Das Nações Unidas, (2015). Conferência Das Nações Unidas Sobre Mudanças Climáticas. https://antigo.mma.gov.br/clima/convencao-das-nacoesnidas.html#:~:text=A%20Conven%C3%A7%C3%A3o%2DQuadro%20das%20Na%C3%A7%C3%B5es,humana%20perigosa%20no%20sistema%20clim%C3%A1tico.

Pasewark, W. R., & Riley, M. E. (2010). It's matter of principle: The role of personal values in investment decisions. Journal of business ethics, 93(2), 237-253. https://doi.org/10.1007/s10551-009-0218-6.

Plambeck, E. L. (2012). Reducing greenhouse gas emissions through operations and supply chain management. Energy Economics, 34, S64-S74.https://doi.org/10.1016/j.eneco.2012.08.031.

Ribeiro, A. M., Bellen, H. M. V., & Carvalho, L. N. G. D. (2011). Regulamentar faz diferença? O caso da evidenciação ambiental. Revista Contabilidade & Finanças,22(56), 137-154. https://doi.org/10.1590/S1519-70772011000200002.

Rover, S., et al. (2012). Explicações para a divulgação voluntária ambiental no Brasil utilizando análise de regressão em painel. Revista Adm. 47(2), 217 – 230. https://doi.org/10.5700/rausp1035.

Sardeiro, L. S. M., Paiva, F. I. R., Farias, R. O. S., Araújo, J. C., Oliveira .(2022) O Disclosure dos Riscos Climáticos na Agropecuária no Brasil. Revista Cientifica Do Itpac, v. 15, p. 48-55, 2022. https://revista.unitpac.com.br/index.php.

Scharlemann, J. P., Tanner, E. V., Hiederer, R., & Kapos, V. (2014). Global soil carbon: understanding and managing the largest terrestrial carbon pool. Carbon Management, 5(1), 81-91. https://doi.org/10.4155/cmt.13.77.

Silva, J. V., & Souza, P. A. R. (2020). O Ambiente de Gestão de Microempresas: uma análise a partir do software IRAMUTEQ. Revista de tecnologia aplicada, 8(3), 54-66. http://dx.doi.org/10.21714/2237-3713rta2019v8n3p5466.

Silva, M. N. D., Lima, J. A. S. D. O., Freitas, M. A. L. D., & Lagioia, U. C. T. ((2015). Determinantes do disclosure ambiental nos relatórios de empresas listadas na Bovespa. Revista Ambiente Contábil, 7(2), 1-15. http://www.atena.org.br/revista/ojs-2.2.3-06/index.php/Ambiente/article/view/2465/2119.

Silveira, G. B., Alberton, L., & Vicente, E. F. R. (2017). O estado da arte da asseguração dos relatórios de sustentabilidade: um estudo das empresas do indice de sustentabilidade empresarial (ISE) 2016. Environmental & Social Management Journal/Revista de Gestão Social e Ambiental, 11(2). https://doi.org/10.24857/rgsa.v11i2.1260.

Silveira, G. B., da Silva Ferreira, J., Farias, R. B., Van Bellen, H. M., & Rover, S. (2019). Assegurar ou não assegurar? Eis a questão: uma análise dos fatores associados à asseguração dos relatórios de sustentabilidade. RACE-Revista De Administração, Contabilidade E Economia, 18(2), 259-280. 10.18593/race.20618. https://unoesc.emnuvens.com.br/race/article/view/2061.

Simnett, R. Assurance of sustainability reports: Revision of ISAE 3000 and associated research opportunities. Sustainability Accounting, Management and Policy Journal, 3(1), 89-98, 2012. https://doi.org/10.1108/20408021211223570.

Smith, P., Haberl, H., Popp, A., Erb, K. H., Lauk, C., Harper, R., & Rose, S. (2013). How much land‐based greenhouse gas mitigation can be achieved without compromising food security and environmental goals? Global change biology, 19(8), 2285-2302. https://doi.org/10.1111/gcb.12160.

Sussman, F. G., & Freed, J. R. (2008). Adapting to climate change: A business approach (p. 41). Arlington, VA: Pew Center on Global Climate Change. https://www.climate-expert.org/fileadmin/Ressources/Reading%20List/2008%20PEW%20Center-%20Adaptation%20-%20a%20business%20approach.pdf.

Task Force on Climate‐related Financial Disclosure (TCFD) 2017, ' Final Report: Recommendations of the Task Force on Climate‐related Financial Disclosures', 15 June. https://www.fsb-tcfd.org/wp-content/uploads/2017/06/FINAL-TCFD-Report-062817.pdf.

Utz, S. (2019). Corporate scandals and the reliability of ESG assessments: Evidence from an international sample. Review of Managerial Science, 13(2), 483-511. https://doi.org/10.1007/s11846-017-0256-x.

Veiga, A. Q. N., Mourato, S., Anastácio, R., & Quinta-Nova, L. (2021). Recurso ao Focus Group para identificação de perceções sobre riscos naturais. Territorium, (28 (II)), 55-67. https://doi.org/10.14195/1647-7723_28-2_5.

Wheeler, T., & Von Braun, J. (2013). Climate change impacts global food security. Science, 341(6145), 508-513. https://doi.org/10.1126/science.1239402.

Zaro, E. S., Pastre, F., & Alberton, L. (2016). Asseguração dos relatórios de sustentabilidade das empresas que compõem a carteira do índice de sustentabilidade empresarial 2013. Revista de Contabilidade do Mestrado em Ciências Contábeis da UERJ, 20(1). http://www.atena.org.br/revista/ojs-2.2.3-06/index.php/UERJ/article/view/2865/2330.

Published

25/07/2022

How to Cite

ARAÚJO, J. C. O.; SOUZA, F. G. de .; RODRIGUES, R. N. .; LAGIOIA, U. C. T.; SARDEIRO, L. . da S. M. Assurance of climate risks: an analysis of accounting disclosure in the agricultural sector. Research, Society and Development, [S. l.], v. 11, n. 10, p. e133111032476, 2022. DOI: 10.33448/rsd-v11i10.32476. Disponível em: https://rsdjournal.org/index.php/rsd/article/view/32476. Acesso em: 8 dec. 2022.

Issue

Section

Review Article