Environmental Management Accounting and Environmental Costs, the Case of Albania

Brisejda Ramaj/Zenuni and Edlira Aliaj
Accounting, Environmental Cost

Abstract

Environmental Management Accounting (EMA) is a comprehensive approach that enables organizations to incorporate environmental considerations into their management practices. The procedures of environmental management accounting include a series of steps to address systematically environmental costs and benefits. Full cost accounting goes beyond financial accounting taking into account direct and indirect environmental costs. Integrating procedures and principles of accounting to environmental management, organizations can effectively integrate environmental considerations in their decision-making processes. This integration leads to the improvement of environmental performance, cost savings and sustainable practices, contributing to long-term success and environmental stewardship. Environmental problems arise due to the interaction between economic and environmental activities. The higher the intensity, the higher the impact on environmental degradation. Therefore, environmental issues have been a serious problem to monitor and need a proactive action by the parties involved. Analyzing the case of Albania as a country acceding to be part of the European Union.

Presentation