Driving Green Innovation in Emerging Markets: The Impact of Commissioners’ Monitoring Competence With Audit Quality and Environmental Regulatory Pressure as Moderators

Adi, Suyatmin Waskito
Wijayanti, Rita

Riset Akuntansi dan Keuangan Indonesia
Vol. 11 No. 1 (2026): Riset Akuntansi dan Keuangan Indonesia

This study aims to examine the effect of commissioners’ monitoring competence on green innovation, as well as the moderating roles of audit quality and environmental regulatory pressure (PROPER). Using a quantitative approach with panel data from Indonesian basic materials companies during 2020–2024, the study employs panel regression analysis. The results show that commissioners’ monitoring competence positively affects green process innovation and marginally affects green product innovation. PROPER significantly enhances both types of green innovation, while audit quality strengthens the relationship between monitoring competence and green innovation. These findings highlight the importance of governance and external pressure in promoting sustainable innovation.