How the SEEA Contributes to EnvironmentalSustainability Policies

Mark de Haan

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Content paper – SEEA and Sustainability Policies

• Current revision process• SEEA’s main building blocks• New SEEA compared to previous versions

and SNA• Linkage to policy indicators

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Revision Governance

• UNCEEA• Advisory Groups (London Group, Oslo Group,

others)• Editor & Editoral Board• International consultation process (volume 1)

→ Outcome papers (end 2010) → SEEA chapters (end 2011)

→ Endorsement UNSC (early 2012)

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Goals SEEA (System of Environmental and Economic Accounts) revision

Elevating the 2003 SEEA to international statistical standard (like SNA)• Clear cut recommendations• No multiple options• Streamlining• No country examples

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SEEA – Main building blocks

Volume 1 (standardized accounts)

▫ physical flows▫ environmentally related activities and transactions▫ natural resources and depletion adjusted accounts

Volume 2

▫ ecosystems▫ valuation of degradation

Volume 3

▫ applications and policy uses

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Vol 1 - Physical flow accounts

• Supply-use (materials, water, energy)• Resource inputs, products, residuals

(waste)• Resident principle (versus territory)• ISIC• Link to MFA • Hybrid accounting → resource

productivity, link to economic growth

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Vol 1 - Accounts for environmentally related activities and transactions

• Provide in more detail parts of the NA that are relevant from an environmental perspective

• Two policy perspectives:• Internalisation of costs (EPEA, taxes,

subsidies)• Showing the size of the environmental

industry (EGSS)

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Asset accounts

• Systematic recording of changes in assets • Vol 1: SNA asset boundary (natural resources)• Vol 2: goes beyond SNA (ecosystems)

• Depletion, degradation• Two policy perspectives:

• Strong sustainability: maintaining crucial resources base at least at current levels

• Weak sustainability: maintaining capital in general (in money terms)

• Depletion adjusted SNA current accounts

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SEEA 1993, 2003, 2012

• SEEA 1993 → sequence of extensions (split up of transactions, physical flows, imputations of money flows etc.) with emphasis on income adjustments

• SEEA 2003 → loose modular approach with emphasis on physical accounts

• Revised SEEA → SEEA 2003 with strengthened accounting structure and clear cut recommendations

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Revised SEEA (Vol1) versus SNA 2008

Main differences:• Physical dimension of production and

consumption• Asset boundary (Vol 2)• Natural resource depletion• Production boundary (in Vol 1 a small item)• Functional classifications (CEPA, CRUMA, taxes,

subsidies)

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SEEA and policy indicators (vol 3 discussion)

Impressive system but what does it tell you?SEEA potentially delivers indicators relevant for sustainability

policies

Link between indicators and accounts must be strengthened:• Environmental-economic performance

→ Decoupling (resource productivity)→ Footprint indicators (consumer behaviour)

• Adjusted measures of income, saving and extended measures of wealth

• Other (EPA, EGGS)

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Current status and future work

• Vol 1 issues are currently undergoing international consultation process(London Group meets next week in Santiago)

• Vol 1 is expected to be finalised by 2012• Volumes 2 and 3 follow at later stage (2013)

Beyond the SEEA revision• Regional dimension• Linkage to social issues