Environmentally Oriented Cost Accounting and Accounting of Estimated Liabilities of Economic Entities

The concept of sustainable socio-ecological proper management of economic development cannot be implemented without including the costs and liabilities related to rational and irrational natural resource management. Increase in transparency of information on nature conservation activities and environmental compliance becomes a high-priority task of an environmentally oriented information system for transparent and proper management. The research objective is to determine the indispensability of environmentally oriented accounting in the sustainable ESG development and to identify the relationship between environmental security and the development of accounting. The authors used the methodological approaches of environmentally oriented cost accounting and accounting of estimated liabilities, the formation of environmental reporting, the information of which is designed to make a realistic assessment of the natural resource consumption, the results of rational natural resource management, and, most importantly, to further improve the level of environmental culture. The legal regulation of accounting in terms of the costs and liabilities of environmental remediation was studied, and the authors’ opinions on the problem of recognition of the costs and liabilities connected with the preservation and environmental remediation in accounting and reporting were analyzed. The reasons for the lack of accounting and analytical information on natural resource management, which leads to an uncontrolled unfriendly consumption and the lack of opportunity to have an accurate understanding of the environmental impact of each specific economic entity, were determined. The study is based on a set of general scientific and special methods: an observation, systematization, analysis, generalization of phenomena, and trends of the natural resource management transition to ecological track with the promotion of methods of environmentally oriented accounting.