Corporate Carbon Accounting Practices in Bangladesh: Current Practices, Gaps and Policy Implications

Climate change and global warming overshadow concerns about the sustainability of human existence and progress. As a result, there have been numerous worldwide efforts to reduce the negative effects of climate change and promote a sustainable future. Companies use corporate carbon accounting (CCA) as a key strategy to adapt to climate impacts. Therefore, this study aims to evaluate the current state of CCA practices in Bangladesh. The authors gathered secondary sources of information for the study. The researchers analysed the annual reports of 154 companies across 11 industries listed on the Dhaka Stock Exchange (DSE). The authors developed the 'Corporate Carbon Accounting Practice Index (CCAP)' based on existing literature and international standards. This study used content and thematic analysis, following specific criteria. The results indicated that a mandatory legal framework influences CCA practices. However, most companies have not yet implemented CCA procedures, with only a few meeting certain standards. The main reason for Bangladesh's current CCA situation is the absence of a strong legislative framework. This study provides specific guidance for policymakers interested in CCA, helping them identify the best actions to mitigate climate change risks and support sustainable development, including establishing and enforcing a robust mandatory legal framework.