Research On The Environmental Cost Management System Of Oilfield Enterprises

In the early industrial society, it was usually in the way that sacrificed the environment topursue economic development. This way of development promoted the rapid development ofeconomy in a short time. But soon the negative consequences of ignoring environment haveemerged. Environmental pollution and resource depletion issues became the barriers ofeconomic development. Countries started to consider environmental issue in order to have abrighter prospect for economic development. They promulgated environmental laws andregulations to protect environment. Enterprises has a pivotal position in the world economy,most of the economic resources are used by enterprises. Enterprises have to take theenvironmental conservation into account so as to get the biggest profits. When enterprisestake measures to protect environment, environmental costs occur. Compare to generalenterprises, oilfield enterprises face more severe situation because they belongs to heavypollution industry. They must spend more energy and financial recourse on environmentalconservation. To reduce oilfield enterprises’ environmental costs, it’s necessary to implementenvironmental cost management.This article absorb and draw lessons from domestic and foreign scholar’s researchesabout environmental costs and make the following discussion: First, make a summing up ofthe theory about environmental costs and environmental cost management; Second, analysethe current status in terms of environmental cost management in oilfield enterprises and issues;Third, build the oilfield enterprises environmental cost management system which compriseof environmental cost prediction and environmental cost calculating and environmental costcontrol and environmental cost information disclosure and environmental cost performanceevaluation. The paper introduced activity-based costing and product life cycles and processcontrol. This paper provides favorable conditions for oilfield enterprises to establish scientificenvironmental cost management system.