A system’s approach for informing environmental-

economic policy

Peter HarperChair

United Nations Committee of Experts on Environmental-Economic Accounting

IAOS 2010, Santiago, Chile

Outline

1. The need for a SEEA

2. The nature of SEEA

3. The development of SEEA

4. SEEA and environmental policy

5. Challenges in implementation

Why we need SEEA

• The economy impacts on the environment and the environment impacts on the economy

• To understand these linkages we need to integrate environmental and economic information

• An accounting framework brings discipline to the organisation of environmental and related data

The information pyramid

Indicators

AccountsSEEA

Basic dataEcon. Stats|Env. Stats

Environmental-Economic Accounting and Environment Statistics

Environment statistics:

Often developed to answer one particular question or problem

Difficult to figure out if all information is included

Not always easy to see the whole picture, or how it relates to other things

Source: Julie Hass

Environmental-Economic Accounting and Environment Statistics

Environmental accounts:

• Help to make sense of the larger picture

• Help to identify pieces that are missing

• Can make connections to other statistics - especially economic statistics

Source: Julie Hass

SEEA and the national accounts

• SEEA is a satellite of the system of national accounts

• Where relevant, uses national accounting concepts and classifications

• Extends national accounts asset boundary• Includes non-market valuations of environmental

assets and flows• Links monetary and physical information• Enables national accounts to be adjusted for

environmental degradation

What is SEEA

• SEEA consists of four types of accounts– Asset accounts– Flow accounts– Environmentally-related transactions– Environmentally adjusted aggegates

• Will be comprised of three volumes– Volume 1 – the international standard– Volume 2 – non-market valuations, using the

ecosystem approach– Volume 3 – policy applications

What is SEEA (continued)

• Can be applied at different geographical scales

• Supported by sub-SEEAs (eg SEEA-Water, etc)

• In turn supported by recommendations relating to base statistics (eg IRWS)

The development of SEEA

• Volume 1 and relevant parts of Volume 3 – planned for UNSC endorsement in 2012

• Volume 2 and remainder of Volume 3 – planned for UN endorsement in 2013

• Editor appointed (Carl Obst)• Work overseen by UNCEEA• London Group on Environmental Accounting

considering technical issues• World Bank and EEA to play key role in Volume 2• Extensive consultation with national statistical

offices and other key stakeholders

Examples of policy application

• Climate change

• Sustainable development

• Sustainable consumption and production

• Water scarcity

• Green growth/green economy

• Etc, etc…………

Challenges in implementation

• Resources

• Capability

• User understanding of benefits of environmental-economic accounting

In conclusion

• Developing SEEA as an international standard will be a critical milestone in mainstreaming environmental-economic accounting

• Progress is going well, but there is still a lot of work ahead

• We need your contributions where appropriate, and your support

Thank You !