Integrated and Sustainable-Oriented environmental cost management accounting in Vietnamese cement enterprises

Abstract

The cement industry plays an essential role in national infrastructure development and economic growth. However, it is a capital- and labor-intensive sector that consumes large amounts of energy and natural resources while emitting significant levels of greenhouse gases, fine dust, and solid waste. Concurrently, cement enterprises must comply with green transition regulations and carbon neutrality commitments, leading to a significant increase in environmental costs. These costs have become a critical factor in cost management and overall business performance. This study examines the current state of environmental cost management accounting at 20 cement manufacturing enterprises in Vietnam. Using survey methodology and indepth interviews conducted from January 2024 to December 2024, the authors analyze the structure of environmental costs, the processing and communicating of management accounting information, and the extent to which environmental cost management is integrated with management accounting in Vietnamese cement enterprises. The paper also proposes an integrated model for sustainable environmental cost management, contributing to the national goals of green transition and emission reduction in these enterprises.