Accountability of international oil companies towards powerless stakeholders in a post-conflicting region: A case of Kurdistan
Tracks
Crystal 1
| Monday, July 1, 2024 |
| 3:30 PM - 3:55 PM |
Presenter
Mr Ibrahim Khudir
Phd Candidate
Auckland University of Technology
Accountability of international oil companies towards powerless stakeholders in a post-conflicting region: A case of Kurdistan
Abstract
Purpose: This paper examines the accountability of international oil companies (IOCs) towards local stakeholders in a resource-rich emerging economy region in the Middle East and North Africa (MENA) region - Kurdistan.
Design/methodology/approach: This study is informed by the normative path of stakeholder theory and 21 semi-structured interviews with Kurdish local stakeholders, including local citizens, tribe leaders, Mukhtars, and local workers. A document analysis of sustainability/CSR reports of IOCs was conducted to reveal whether the IOCs accounted for their social and environmental impacts on the local citizens.
Findings: Economic development in Kurdistan has paid a significant price in social and environmental terms. However, IOCs in Kurdistan adopt a Western conceptualisation of accountability when preparing their sustainability reports. The Western democratic values rooted in stakeholder theory do not hold the same meaning in Kurdistani culture, where Western democratic values’ concepts are deeply problematic. The conflict between local and foreign/Western conceptualisations of accountability in sustainability reporting is highly problematic as such reports fail to fulfil Kurdistani stakeholders’ transparency and accountability expectations. Our findings reveal the lack of accountability of most of the IOCs regarding deficient levels of disclosure to stakeholders and Kurdish society. The paper suggests they are accountable to their shareholders and the global community, not the local citizens.
Originality/value: This research extends previous studies by examining the imposition of Western democratic values in the context of a conflict region in the Middle East that has not been researched until now in leading accounting journals. The authors expect this paper to be a reference point for accountability researchers from the Middle East region to expand more scholarly impactful enquiries in this area.
Practical implications: Our study identifies areas of improvement in the reporting practice of the IOCs and assists them in improving their accountability towards local citizens."
Design/methodology/approach: This study is informed by the normative path of stakeholder theory and 21 semi-structured interviews with Kurdish local stakeholders, including local citizens, tribe leaders, Mukhtars, and local workers. A document analysis of sustainability/CSR reports of IOCs was conducted to reveal whether the IOCs accounted for their social and environmental impacts on the local citizens.
Findings: Economic development in Kurdistan has paid a significant price in social and environmental terms. However, IOCs in Kurdistan adopt a Western conceptualisation of accountability when preparing their sustainability reports. The Western democratic values rooted in stakeholder theory do not hold the same meaning in Kurdistani culture, where Western democratic values’ concepts are deeply problematic. The conflict between local and foreign/Western conceptualisations of accountability in sustainability reporting is highly problematic as such reports fail to fulfil Kurdistani stakeholders’ transparency and accountability expectations. Our findings reveal the lack of accountability of most of the IOCs regarding deficient levels of disclosure to stakeholders and Kurdish society. The paper suggests they are accountable to their shareholders and the global community, not the local citizens.
Originality/value: This research extends previous studies by examining the imposition of Western democratic values in the context of a conflict region in the Middle East that has not been researched until now in leading accounting journals. The authors expect this paper to be a reference point for accountability researchers from the Middle East region to expand more scholarly impactful enquiries in this area.
Practical implications: Our study identifies areas of improvement in the reporting practice of the IOCs and assists them in improving their accountability towards local citizens."
Biography
I'm Ibrahim, a doctoral candidate at AUT. I grew up in Kurdistan, a small region in the north of Iraq. I completed high school in 2003 and entered Salahaddin University in Erbil in 2004 to pursue my bachelor's degree in accounting. I graduated in 2008 and was one of the top 10 students in the university that year. Hence, I received a permanent offer job from the government and started my career as an assistant accountant at the college of basic education. My responsibility was to manage all accounting processes. After a couple of years of working, I won Kurdistan Regional Government (KRG) financial sponsorship to study for a Master of Professional Accounting. In 2012, I went to Australia, and in 2015 I graduated from The University of Newcastle (UoN) - Sydney campus. Then, I left Australia, successfully completed a Methods of Teaching training course, and became an assistant lecturer at Soran University. Meanwhile, as a part-time lecturer, I have worked in several private educational providers in Kurdistan, such as Catholic University in Erbil and Rawanduz Private Technical Institute and have taught different accounting papers. I came to New Zealand in 2020 to study Master of Business (Accounting) at Auckland University of Technology (AUT). After a year, I graduated with Honours - first class. Now, I am a PhD student at AUT. I explore accountability and sustainability reporting in the context of Kurdistan. My research aims to develop an accountability framework by adding religious elements and evaluating sustainability reporting based on the developed framework. My passion, curiosity, and motivation let me start my doctoral journey and build my personal knowledge. After completing my PhD, I hope to contribute to accounting academia and industry by continuing university teaching and research.
Chair
Jingduan Li
Lecturer
CQUniversity
Discussant
Maria Balatbat
Senior Lecturer
UNSW Sydney
