Affiliation:
1. School of Environment, Enterprise, and Development University of Waterloo Waterloo Ontario Canada
2. Department of Business Administration University of Sahiwal Sahiwal Pakistan
3. The Faculty of Business & Law The Open University Business School Milton Keynes UK
Abstract
AbstractThis study provides a comprehensive review and synthesis of 62 empirical studies on corporate governance drivers of carbon disclosure. We reveal that companies are experiencing pressure for carbon disclosure at multiple levels. At the macro‐level, pressures from regulatory institutions, normative institutions, financial markets, media, society, and economic cost were the most influential factors driving carbon disclosure. At the meso‐level, peer pressure from companies in similar industries as well as owners and investors influenced carbon disclosure. At the micro‐level, board diversity, board independence, and internal organizational systems explained the likelihood and commitment to carbon disclosure. In addition, we comprehensively reviewed and synthesized the theoretical lenses that have been used in scholarship on the impact of corporate governance mechanisms on carbon disclosure. Our study is the first multitheory and multilevel literature review on the impact of corporate governance mechanisms on carbon disclosure.