Carbon Accounting and Corporate Sustainability: Evidence from Jakarta Islamic Index
This study analyzes the influence of carbon accounting on corporate sustainability and its dimensions (economic, social, environmental). The analysis uses a quantitative approach with descriptive statistics, classical assumption tests, and multiple linear regression analysis. The population consists of companies listed in the Jakarta Islamic Index (JII) from 2017 to 2025. The sample was selected using purposive sampling, with the criteria of consistent JII listing during the research period and data availability. Nine companies met the criteria. The results show that carbon accounting positively affects corporate sustainability and all its dimensions. These findings show that implementing carbon accounting not only measures and discloses carbon emissions but also encourages companies to integrate sustainability into decision-making, creating economic value while enhancing social responsibility and environmental management. Descriptive statistics show that companies prioritize economic dimensions over social and environmental dimensions. This indicates that sustainability practices are still dominated by financial value creation, while commitment to social and environmental aspects has not received balanced attention. From the perspective of Sharia Enterprise Theory (SET), these findings show that carbon accounting reflects the concept of trust through vertical accountability to God and horizontal accountability to society and the environment. The practical implication is that companies, especially large-scale ones, need to integrate environmental management into their business strategies. It can support a balance between economic, social, and environmental performance and strengthen corporate sustainability. Theoretically, the study reinforces the literature on the importance of carbon emissions disclosure as a key driver of sustainability in the Sharia capital market and provides empirical evidence of the industrial sector's important role in mitigating ESG risks. This is relevant to SDG 12.
Keywords: Corporate sustainability, Economic dimension, Social dimension, Environmental dimension; Sharia Enterprise Theory
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