An Analysis of Energy Management Practices and Accounting Implications in the Hotel Sector- A Sri Lankan Case Study
Abstract
Purpose – The purpose of this paper is to examine energy conservation initiatives
implemented and physical/monetary environmental management accounting
practices adopted in relation to energy management in the context of a Sri Lankan
hotel.
Design/methodology/approach –A single case study approach was adopted for this
study. Primary data were collected by conducting semi structured interviews with
hotel staff along with observations. Evidence from the hotel’s Green Directory,
daily and monthly energy records, presentations on energy conservation and
online resources were used as secondary data. In the process of data collection,
steps were taken to ensure data validity and reliability.
Findings – The study identified that energy conservation practices, physical and
monetary energy management accounting practices and performance measures of
the hotel have been institutionalized and have evolved gradually over time. The
contribution of accounting and finance towards the advancement of these practices
is still limited and the potential for further development is significant.
Research limitations/implications –Due to limited access to confidential internal
energy records, the researchers’ interpretations were brought in, to illustrate and
justify certain points. Further, as a result of the context-specific nature of the study,
the findings are difficult to generalize across industries and are best suited for
hotels with similar characteristics.
Originality/value –The study attempts to fill the dearth of research related to
energy management and its accounting implications in the hotel industry in a
developing country’s context. The findings will be particularly useful for hotels
with similar characteristics when adopting and developing a sustainable energy
management system in collaboration with the finance function.
Keywords- Energy conservation, Environmental Management Accounting,
sustainable management, hotel industry, Sri Lanka.
Paper type- Case Study
