Negative Externalities of Jeneponto Power Plant: Integrating Sustainable Policy Formulation Through Environmental Management Accounting (EMA)

Irma Idris (PKBM Sadar Tanasitolo, Indonesia)
Nuragifah Nuragifah (Hasanuddin University, Indonesia)
Andi Rewu Ramadan (STIEM Bongaya Makassar, Indonesia)

ARMADA : Jurnal Penelitian Multidisiplin
Vol. 4 No. 8 (2026): ARMADA : Jurnal Penelitian Multidisplin, Agustus 2026

The operation of coal-fired power plants in Punagaya Village, Jeneponto Regency, causes various negative externalities that are not yet fully reflected in the companies’ cost structures. These impacts include air pollution, thermal pollution in coastal waters, heavy metal contamination from fly ash and bottom ash waste, declining productivity of seaweed farming, and increasing health risks for local communities. Using a qualitative approach that involves field observations, stakeholder interviews, and regulatory analysis, this study finds that existing Corporate Social Responsibility (CSR) programs remain largely philanthropic and do not address the root causes of environmental externalities. Therefore, this study recommends adopting Environmental Management Accounting (EMA) as a tool to internalize environmental costs and to develop more sustainable energy policies.