ABSTRACT

 The studyfocuses on effects ofenvironmental accounting on the performance ofoil and gas companies in Nigeria. Oil and gas flaring have caused severe environmental damages, loss ofplants, animals and human lives, and loss ofrevenue of both the oil producing companies and the government petroleum exploration, exploitation, storage, distribution and transportation activities affect the environmentIin a conspicuously negative manner. The method ofdata collection adopted by the researcher are the use ofsecondary data and the secondary data were derivedfrom the Central Bank ofNigeria statistical bulletin, publication of environmental impact assessment agency. After collection of the data from the secondary sources, the data were tabulated and statistically analyzed using the ordinary least square analytical technique. It was discovered that there exist a significant relationship between environmental costs and earnings per share ofoil and gas companies in Nigeria. The study also revealed that there exist a significant relationship between gas utilization and output ofoil and gas production in Nigeria. In this study we have made our attempt to assess the impact ofenvironmental costs on earnings per share of oil and gas companies in Nigeria. This study proffers a frameworkfor environmental costs in the oil and gas industry in Nigeria. To this end, this contributes to studies on environmental costs at a global level using the perspective ofNigeria oil andgas industry. It is therefore concluded that oil spillage and gasflaring costs does not significantly affect the earnings per share ofoil and gas companies in Nigeria. Fines and penalties tremendously affect earnings per share ofoil andgas companies in Nigeria. Generally, there are no standards guiding environmental costs in the oil and gas industries in Nigeria. Oil and gas companies operating in Nigeria should take necessary measures to avoid the payment offines and penalties. To ensure this, they should strictly comply with environmental regulations as specified by the regulatory Agency ofthe oil and gas industry