Proceedings of The 12th International Conference on Modern Research in Management, Economics and Accounting
Effect of Energy Transition on Social Performance of Energy Firms
Many companies’ objective is no longer limited to economic gains but also incorporates economic and social issues. This is because meeting the demands of other stakeholders like the employees are increasingly essential to corporate continuity. To extend their sustainability goals, some energy companies are transitioning from fossil to renewable energy production. This study investigates if there is a significant effect of the energy transition on a social performance indicator of energy firms. The study analyzed a total of 1284 firm-year observations of energy companies for the period 2006-2018 using a panel model. The dataset did not show a statistically significant effect of the energy transition on the accident rate. The study concludes the employees might not react against the energy transition.
Keywords: accident rate; energy firms; energy transition; stakeholder.