ESG in the Accounting Curriculum

To combat climate change risk, environmental, social, and governance (ESG) accounting is emerging as the criteria used by organizations to report nonfinancial risks and opportunities. According to NASA, the risks include increased drought and water crises, extreme weather events, more frequent wildfires, and more severe tropical storms. The severity of these events may result in material economic threats to an organization’s sustainability. Increasingly, disclosure of these threats is required by stakeholders including investors and regulators.