EnvironmentalAud_省略_velopmentinChina_ALL(2)

FEE (1993), also pointed out that the financial auditor has a long standing tradition of investigating and evaluating systems as well as reporting well to the findings. Collison et al. (1996) argue that on the basis of evidence from European countries the

potential role for financial auditing, related to environmental audits, clearly exists. ICAEW (1992, p. 3) points out that "independent audit can provide important assurance on the reliability of environmental disclosure.

The audit work required to give an opinion on published environmental reports in that case it will be similar in nature to that performed in auditing financial statements and in verifying information contained in. CICA (1992), Power (1997) seeks to determine the relationship between financial and environmental audits and evaluate the expertise of accountants and argues that accountants have begun to compete for work in the environmental auditing field, Collison et al. (1996) conducted a survey concerning financial auditors' responses to environmental issues; the results indicate that there is a majority desire for guidance from professional accountancy bodies related to environmental matters and also majority view that many auditors have potentially useful role to play in attesting environmental reports. Furthermore, accountants and financial auditors are now excel well in performing environmental audit and they managed to build confidence to public what they only need is to improve their work further and expand their knowledge of environmental issues CICA (1997).

3.2 Argument against using

financial auditors

Those who are against using financial auditors in effective implementing of environmental audit argued that the financial auditors are unable to translate their personal views on environmental issues to their professional practice. Their personal beliefs did not seem to impact their professional practice and they did not feel they had the technical knowledge required to audit environmental matters (Chiang 2006). Gray (2000, p. 248) comments that although "accountants are well trained in auditing (as in accounting), universities need to produce "independent critical thinkers", and particularly, "in the field of social, environmental, accounting, reporting and

Proceedings of the 4th (2012) International Conference on Financial Risk and Corporate Finance Management

auditing". Hence, for auditors to become more concerned with environmental matters, as individuals and as a group, their attitude needs to shift to where their boundaries of consideration extend (Bebbington, Gray, Thomson, & Walters, 1994; Deegan, Geddes, & Staunton, 1996).

Chiang (2006, p. 23) also indicates that "the mechanism for translating the consideration of environmental issues into audit practice needs improvement before auditors can become confident and fully engaged in their consideration of environmental matters in financial audits". Salter (1992, p. 21) states that "if accountants fail to grasp this opportunity (i.e. performing environmental audits) there are many other types of organization that will take up the challenge. Maltby (1995, p. 19) points out that accounting firms are not the only organization offering an environmental auditing service, for example the consultants listed in the UK Enviromnental Data Service (ENDS) Directory (1991) exhibit a wide variety of specialists.

prevailing increase in industrial development following opening and deregulation of the economy China has a long way to go in order to be in a better position in environmental protection and sustainable development agenda and therefore a need for the formulation of new national strategy which will be implemented strategically by the CNAO to overcome this problem. This trigger the need to have legal frame work which will empower and mandate financial auditor to conduct environmental audit as they have a great role to play in this handover through effective implementation of environmental audit.

The authors also observed that there is interplay between financial auditors and environmental specialist and that financial auditors can perform well environmental audits with the help of other specialists not only environmental specialist but also other specialist like engineers. Lawyers etc. when deemed necessary. However, the situation is opposite in many countries including China whereby the role of financial auditors in promoting environmental protection through environmental audits is not practically significant. The most important reason to this effect is lack of environmental information disclosure standard which will obligate all auditors to conduct environment audit and report it as stand-alone report or as party of audit of financial statement.

4 Conclusion and Recommendations 4.1 Conclusion

This paper analyzed environmental audit focusing on the competence, relevance, importance and the role of financial auditor in effective implementation of environmental protections and sustainable development in china. The findings of this paper revealed that for many years since 1970s China has been confronted with the dual task of developing its national economy and protecting its environment. Chinese government implemented a good number of polices, reforms, and actions on environmental protection. Although there are significant achievement which has been achieved since then as regards to environmental protections and sustainable development still environmental protection in China have continued to be one of the very serious problem and has reflected a great damage on the economy and quality of life and given this

4.2 Recommendations

It is recommended that Chinese government should put in place strictly legal frame work and issue environmental information disclosure standard which will obligate all auditors to conduct env …… 此处隐藏：6030字，全部文档内容请下载后查看。喜欢就下载吧 ……