International Journal of Scientific Research and Engineering Development

Artificial Intelligence (AI) is reshaping corporate sustainability reporting, green accounting, and the measurement, disclosure, and assurance of Environmental, Social, and Governance (ESG) impacts. As global regulatory frameworks such as the Global Reporting Initiative (GRI) Standards and the IFRS Sustainability Disclosure Standards (IFRS S1 and S2) increasingly demand higher-quality, comparable, and verifiable sustainability information, organizations are turning to AI systems to automate carbon accounting, environmental footprint analysis, and integrated sustainability reporting. This paper critically examines the role of AI in enhancing sustainability reporting and green accounting, including the automation of climate disclosures, real-time environmental monitoring, carbon footprint measurement, and AI-assisted assurance. It reviews theoretical foundations, technological mechanisms, practical applications, and governance challenges surrounding responsible AI in sustainability reporting. The findings indicate that although AI significantly improves the accuracy, timeliness, and decisionusefulness of sustainability information, concerns regarding data quality, algorithmic transparency, ethical risks, and governance gaps must be addressed to ensure the credibility and global acceptance of AIenabled sustainability reporting.