• Dr.(Mrs). Zakira R. Matwankar

Environmental, Social, and Governance (ESG) criteria are vital in evaluating the impact of corporate activities, with the environmental component focusing on reducing greenhouse gas emissions. This paper examines the role of carbon accounting in enhancing ESG performance across various sectors. Carbon accounting quantifies a company’s greenhouse gas emissions, enabling accurate reporting and compliance with mandatory disclosure requirements. Beyond regulatory needs, it helps businesses identify high-emission areas within their value chains and implement effective carbon reduction strategies. By exploring sector-specific practices and challenges, the study highlights the significant influence of carbon accounting on ESG ratings and business performance. Companies with strong ESG practices benefit from enhanced investor confidence and higher valuations, as demonstrated by McKinsey research. This paper underscores carbon accounting as a critical tool for promoting sustainable operations, driving competitive advantage, and addressing environmental challenges in a way that meets evolving stakeholder expectations.

Carbon Accounting, ESG Companies, Sustainability, Environmental Reporting, Carbon Emissions, Sectoral Analysis, Financial Performance

"Carbon Accounting and Its Impact on ESG Companies in Different Sectors", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.11, Issue 12, page no.57-63, December-2024, Available :http://www.jetir.org/papers/JETIRGQ06008.pdf

"Carbon Accounting and Its Impact on ESG Companies in Different Sectors", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.11, Issue 12, page no. pp57-63, December-2024, Available at : http://www.jetir.org/papers/JETIRGQ06008.pdf