THE SENSE OF GREEN ACCOUNTING IN MICRO BUSINESS TRANSACTIONS

Abstract

Green accounting is an accounting approach that integrates environmental aspects into transaction recording, financial reporting, and business decision-making. `In the context of microenterprises, the application of green accounting is still very limited, even though microenterprises have great potential to contribute to sustainable development. One of the green activities in microenterprises is proper waste management, so that waste management supports the government's program for sustainability and the sustainability of microenterprises themselves.
According to data, micro businesses contribute 15% of waste, a condition that is highly concerning. Although the amount of managed waste is quite large, accounting for 60% of total waste, the amount of unmanaged waste reaches 40%. This figure is very large, and in the future, the amount of unmanaged waste will continue to increase if not accompanied by improvements in public behavior and micro-businesses' commitment to caring for and managing waste independently. Therefore, it is crucial to provide education on how micro-businesses can reduce waste production from daily activities and how to manage waste effectively, thereby bringing benefits to their businesses, such as a cleaner, odor-free, and aesthetically pleasing business environment. Such conditions can attract customers to visit and make purchases, ultimately increasing business income or economic growth.
The implementation of education and awareness on green accounting has been carried out alongside other educational programs such as tax understanding and product design for business owners within the PERMAI community. PERMAI is an official community organization that assists Indonesian expatriates in Malaysia in conducting business or trade activities. Indonesian expatriates who are members of PERMAI engage in business activities with relatively limited knowledge. Waste management from their business processes is not yet fully understood in terms of its benefits, so educating them about green accounting can open up opportunities for greater benefits. After the education program, participants have begun to understand the importance of green accounting and its impact on their businesses.