Professional Documents
Culture Documents
SAI Classification
Audits of Government monitoring of
compliance with environmental laws.
Audits of the performance of Government
environmental programmes.
Audits of the environmental impact of other
Government programmes.
Audits of environmental management systems.
Environmental assessment of proposed
environmental policies and programmes.
RTI, MUIMBAI / Slid
e 1.2.1
Financial
Compliance
Performance
Planning
Executing
Reporting
Waste Water
Air
Biological
Diversity
ENVIRONMENTAL AUDITING
Methods
Regularity Audit-1) Financial Audit
2)Compliance Audit
Performance Audit
Financial Audit
Cost from Environmental
Policies and obligationsPollution, abatement cost, cost
of decontamination of land, cost
of decontamination of water etc.
Contd
Such cost if incurred would be treated as environmental
cost to commence the business
Decontamination of the land for a new business,
cleaning of plants and machinery etc are upfront costs
Cost to be considered for making the venture
environmentally clean before the business is handed over
to others is backend cost
Cost incurred to clean the rigs of oil companies and the
ships of shipping companies before it is used for other
purposes after it was uesd to handle hazardous
substances etc are backend costs.
RTI, MUIMBAI / Slid
e 1.2.1
Contd..
Environmental liabilities include the liabilities
arising out of fees and penalties levied by
regulators
Other liabilities as result of non conforming of
rules and regulations imposed by the
Govt/regulators etc.
Liabilities for rehabilitation of displaced persons
form a project site
Liabilities for cleaning of environment for fresh air,
fresh water and land etc.
RTI, MUIMBAI / Slid
e 1.2.1
Assessment of Environmental
Impacts
Involves complex calculations
Involvement of experts necessay
SAI to adopt the figures and
procedures designed by experts for
reporting
SAI to assess the competence of
experts for assessment of impact
RTI, MUIMBAI / Slid
e 1.2.1
Compliance Audit
From environment to sustainable development
1972 United Nations Conference on the Human
Environment (Stockholm)
1987 Report of the World Commission on
Environment and Development (Brundtland)
1992 United Nations Conference on Environment and
Development Rio Declaration
Agenda 21
Framework Convention on Climate Change
Convention on Biological Diversity
Guiding Principles on Forest
2002 World Summit on Sustainable Development
(WSSD)
Other Treaties
Summits and declarations (Rio, Johannesburg)
Conventions and Protocols
Waste
Basel Convention on the Control of Tran boundary
Movements of Hazardous Wastes and Their Disposal
Biodiversity
Convention on Bologcal Dversty
Convention on Wetlands of International Importance
Especially as Waterfowl Habitat (Ramsar)
Convention on International Trade in Endangered
Species of Wild Fauna and Flora (CITES)
Air
Framework Convention on Climate Change
Convention on Long-range Transboundary Air
Pollution (LRTAP)
Vienna Convention on the Protection of the Ozone
Layer and the Montreal Protocol on Substances
That Deplete the Ozone Layer
Compliance of Treaties
Government Policies and Directives
Direction setting / Intentions
Legal Tools
Domestic legislation, regulations, permits, licences, control
orders
Used to implement global treaties and to address national
issues
Can be at many levels - national, state, local
Audit of Compliance
International Environmental Treaties are
ratified by individual Countries.
Individual Legislation for Environmental
issues in alignment with Treaties
SAI audits the legislation for compliance
Governments frame Environmental
Programmes for Environmental issues
Audit of Legislation
SAI to compare the provisions of
legislation with reference to provisions in
the treaties
Inadequacy to be brought out
Environmental Programmes to be audited
for: Sufficiency of fulfillment of target,
Sufficiency of fund allocation, Sufficiency
of meeting the International Accords.
RTI, MUIMBAI / Slid
e 1.2.1
Performance Audit
3 Ees concept Economy,
Efficiency and Effectiveness
Environmental Auditing is the 4th E
2 more EEs are the speciality of
performance auditEthics,Equity
Performance Audit(Cond.)
Focuses on
Compliance of Environmental laws
Performance Audit of Environmental
programmes
Environmental impact of normal
programmes of Government
Environmental Management Systems
Evaluation of proposed Environmental
policies
RTI, MUIMBAI / Slid
e 1.2.1
Performance Audit(Cond.)
Environmental issues being implemented
by Governmental agencies, NGOs etc
Audit of Regularity, bodies to ascertain
their roles in pollution control, abatement
etc.
Statistical sampling techniques to be used
for Audit of Environmental issues
concerning Hundreds, Thousands entities.
RTI, MUIMBAI / Slid
e 1.2.1
Performance Audit(Cond.)
In case of data regarding compliance
available at scattered places:
Audit to concentrate on data base
created by Regulatory bodies
In case of absence of centralised data,
Regulatory bodies to compile and
submit as they have direct access to the
data in Non-Governmental sources
RTI, MUIMBAI / Slid
e 1.2.1
Performance Audit(Cond.)
Absence of reliable data in Regulatory bodies
to form audit comments
SAI to rely on available data and comment on
indicating therein the insufficiency
Yet with the limited data, form opinion and
report so that audited entity can act upon for
control or abatement of Environmental Issues.
Performance Audit(Cond.)
SAI to compare obligations under
International treaty and the sufficiency of
Governmental Programmes to address them.
SAI to audit and review the targets set vis-vis achievement
SAI to report the shortfall to highlight
environmental threat to the country or
mankind
RTI, MUIMBAI / Slid
e 1.2.1
Auditing EMS
Assurance on Environmental friendly
quality in services assumes paramount
importentance
ISO certification (14001) worldwide has
been recognised as a Management tool
for such assurance