Abstract
People are now putting more emphasis on environmental protection. Consequently, not only many countries are now thickening their regulations for environmental protection, but also the public are now asking enterprises to take more responsibility to protect their environment. Under all these requests, the enterprises must consider environmental protection as one of their business goals and an important part of business activities. The enterprises need to create a platform to communicate with the public to reveal the enterprises’ determination, investment and activities on environment protection. Environment accounting would be the foundation of the communication.In Taiwan, a few domestic companies are now implementing environment accounting system in their companies. According to the data from the Minister of Economic Affair, R.O.C., and Environment Protection Agency, R.O.C., only 14 companies implement environment accounting system. In this study, a semiconductor manufacturing company is used as a case to discus the impact and consequences of the implementation of environment accounting system. We found that the system could:1. Reveal the cost of product or process by identifies the hidden and the mistakenly input environment cost.2. Provide the company’s executive with better predictive information to make better decision for gaining profit continually.Through the study of establishment of environmental accounting system in enterprises, hopes it can helpful for enterprises that are interested in establishing this systems in their own company.