Integrated Reporting: Driving Ethical Capitalism in Downstream Operations of Transnational Oil Companies in Nigeria

Abstract:

This paper reviewed the concept of integrated reporting and how the framework of integrated reporting which was developed by International Integrated Reporting Council (IIRC) can be can be adopted by the Transnational oil companies (TNCs) in Nigeria. The operations of TNCs in the Oil and Gas sector of Nigeria have been subjected to several anti-corporate campaigns by the host communities and the civil societies on the grounds of unethical activities of the companies in the Niger Delta region of Nigeria where the TNCs exploration is conducted. This paper therefore reviewed the content elements and the guiding principles for integrated reporting to ascertain the if it can be effectively adopted by TNCs for their periodic corporate reporting. It was discovered that Integrated reporting offers a more robust system of corporate report which can improve the accountability and transparency of activities of the TNCs, and provide concise and cohesive information on organizational governance, strategy and relationships with tangible and intangible capitals in order to create value over the short, medium and long terms. This paper therefore recommends that TNCs companies in Nigeria adopt the integrated reporting framework developed by IIRC for their corporate reporting.