Contemporary Issues in Accounting: Disadvantages of Using Fossil Fuels and Lending Exposures

This presentation discusses the disadvantages of using fossil fuels and lending exposures in contemporary accounting. It highlights the negative impact of fossil fuels on the environment and suggests stopping funding in such projects and halting all new loans related to coal and other oil and gas projects. The presentation concludes by discussing Westpac's positive step towards withdrawing all their investments from dirty fossil fuel projects.

CONTEMPORARY
ISSUES IN
ACCOUNTING

INTRODUCTION
In modern times, it can be seen that people are continuing to
extract and burn fossil fuels more than ever before. This plays a key
role in global warming and climate change, though there are lot of
usefulness in using fossil fuels.

DISADVANTAGES OF
USING FOSSIL FUELS
Not at all considered as renewal sources
Global Warming
Incentivized
Unsustainable

FOSSIL FUEL

LENDING EXPOSURES

MAJOR FINDINGS
In the world of global warming and tremendous pollution, it is the
duty of mankind to have the mind and heart to make sure that the
world is not more affected by pollution and everyone can lead a life
of hail and happiness. However, due to the tremendous greed of a
section of people, there are still cruel practices and evil affairs that's
not only hampered the life of the human beings but also affect the
environment and ecological balance in a negative perspective

Stop funding in such fossil fuel projects
Halt all new loans related to coal and other oil and gas projects.

CONCLUSION
From the above analysis, it can be concluded that Westpac have
taken a positive step while withdrawing all their investments from
dirty fossil fuel project. When the organization was investing in this
project, the management of the firm faced firm protests from all
their stakeholders and it also tampered the brand image of the
firm.

REFERENCES
Financial Review. (2018). Westpac faces fossil fuel test under new climate
pledge. [online] Available at: https://www.afr.com/business/banking-and-
finance/9afrwestpac--20151209-gljig9 [Accessed 18 Sep. 2018].
Richardson, B.J., 2017. Divesting from climate change: the road to influence.
Law & Policy, 39(4), pp.325-348.
Van der Ploeg, F., 2016. Fossil fuel producers under threat. Oxford Review of
Economic Policy, 32(2), pp.206-222.
Warren, B., Christoff, P. and Green, D., 2016. Australia’s sustainable energy
transition: the disjointed politics of decarbonisation. Environmental
Innovation and Societal Transitions, 21, pp.1-12.
Westpac.com.au. (2018). Westpac launches updated Climate Change Action
Plan | Westpac. [online] Available at: https://www.westpac.com.au/about-
westpac/media/media-releases/2017/28-april/ [Accessed 18 Sep. 2018].