ENVIRONMENTAL INFORMATION DISCLOSURE PRACTICES IN NIGERIA: DOES AUDIT COMMITTEE ATTRIBUTES MATTER?

Abstract

Globally, institutional investors, regulators and advocacy groups are putting increasing pressure on business organizations to incorporate environmental considerations into financial reporting. Yet, conventional disclosure practices remain inadequate in capturing sustainability risks, creating transparency gaps that undermine stakeholder confidence. This paper focuses on how audit committee attributes (independence, size and financial expertise) influence environment disclosure practices among Nigerian consumer goods firms. Ex-post facto research design was used. The study was conducted using a census sampling technique on all 20 consumer goods companies listed on the Nigerian Exchange Group as at 2024 within a time span of 12 years between 2013 and 2024. The data were analyzed using descriptive statistics and inferential statistics. The findings highlight that audit committees serve not only as financial reporting monitors but also as strategic governance tools that promote corporate accountability and environmental transparency. It concludes that audit committee attributes are critical determinants of environmental information disclosures in Nigeria's consumer goods sector. The study recommends strengthening audit committee independence to ensure unbiased oversight, maintaining optimally sized committees that balance diverse expertise with accountability, and appointing members with strong financial skills to enhance scrutiny of disclosures. Furthermore, audit committee roles should be explicitly linked to sustainability objectives, while policymakers enforce clear standards on committee composition. Finally, firms should leverage audit committees to improve transparency and stakeholder trust through credible and comprehensive environmental reporting