This study explores the integration of environmental accounting into business practices, highlighting its potential to foster sustainable development and the challenges it faces. Through a comprehensive literature review, the study analyzes the implementation and effects of environmental accounting on operational efficiency, product innovation, and stakeholder relationship management. The findings reveal that while environmental accounting significantly improves energy efficiency, reduces costs, and drives the development of eco-friendly products, it also faces challenges such as resistance to change, technological adaptation needs, and a lack of specific competencies. The discussion emphasizes the need to overcome these obstacles through investment in technology, staff training, and the establishment of clear policies that promote a culture of sustainability. Despite the challenges, the benefits of environmental accounting justify its adoption. The study suggests closer collaboration between academia, industry, and regulators to facilitate effective implementation, thereby improving corporate sustainability and competitiveness.This study explores the integration of environmental accounting into business practices, highlighting its potential to foster sustainable development and the challenges it faces. Through a comprehensive literature review, the study analyzes the implementation and effects of environmental accounting on operational efficiency, product innovation, and stakeholder relationship management. The findings reveal that while environmental accounting significantly improves energy efficiency, reduces costs, and drives the development of eco-friendly products, it also faces challenges such as resistance to change, technological adaptation needs, and a lack of specific competencies. The discussion emphasizes the need to overcome these obstacles through investment in technology, staff training, and the establishment of clear policies that promote a culture of sustainability. Despite the challenges, the benefits of environmental accounting justify its adoption. The study suggests closer collaboration between academia, industry, and regulators to facilitate effective implementation, thereby improving corporate sustainability and competitiveness.