We examine how public municipal managers and CEOs for municipally owned companies use environmental indicators from a performance measurement system in a local government. Prior research has found that environmental indicators in municipal organization are used for collection of performance information but they don’t focus in detail on how the indicators actually are used by the managers in the local government or by municipal companies.This study concludes that department managers in the local government mainly use information from Environmental Program for internal purposes. The use of the environmental program has another meaning for the profit-driven municipal companies in which they use the information for external purposes in communicating with stakeholders. Additionally, we find that factors such as freedom of action, reliability of information, trust in the designer of the program, attitudes, social pressure and the usefulness of the information influence the actual use in both the municipal departments and municipal companies.