1. System of Environmental-Economic Accounting for Energy (SEEA-Energy)
International Workshop on Energy Statistics
27-30 September 2011, Baku, Azerbaijan
United Nations Statistics Division
Environmental-Economic Accounts Section

2. Outline of session Status of SEEA-Energy Adoption of SEEA-Energy
SEEA-Energy and IRES
SEEA-Energy and ESCM
SEEA-Energy and SEEA
Comparing: Accounts and balances
Possible applications of SEEA-Energy

3. SEEA-Energy and UNCEEA
United Nations Committee of Experts on Environmental Economic Accounting (UNCEEA) is a strategic body established by the UN Statistical Commission to:
Provide strategic vision, direction and coordination to mainstream environmental-economic accounting and supporting statistics in national, regional and international statistical systems;
Develop normative international statistical standards and supporting methodological documents on environmental-economic accounting and supporting statistics
The London Group on Environmental Accounting works under the auspices of the UNCEEA, the Oslo Group coordinates its activities with the UNCEEA
The SEEA-Energy is being developed by UNSD under the auspices of the UNCEEA

4. SEEA-Energy and UNCEEA, continued…
The first meeting of UNCEEA in 2006 agreed Energy Accounts should feature prominently in the SEEA
The 2nd meeting of the UNCEEA provided general consensus for producing a document on Energy Accounts
UNCEEA considered the standardization of energy accounts an important input to the discussion on climate change
requested that work on Energy Accounts be coordinated with work on Energy balances and statistics

5. Status of SEEA-Energy
Draft chapters 1 to 7, Annexes and Glossary of SEEA-Energy are available:
Drafted by consultant Ole Gravgård Pedersen (with financial support of UNSD and Federal Statistical Office of Germany)
SEEA-Energy was drafted early in 2011 i.e. somewhat in advance of the central framework of the SEEA
Therefore, current efforts to align SEEA-Energy with the central framework of the SEEA and with IRES…

6. Towards finalization of SEEA-Energy
Expert Group Meeting (EGM) on SEEA-Energy in New York 5-7 October 2011
Will discuss response to a number of outstanding issues
To allow drafting of SEEA-Energy version for global consultation phase

7. Adopting SEEA-Energy After the EGM on SEEA-Energy in New York…
Update of draft SEEA-Energy chapters to reflect EGM comments.
Commence Global Consultation of SEEA-Energy (Dec 2011 to Jan 2012)
Update of SEEA-Energy chapters to reflect Global Consultation
Final draft of SEEA-Energy will be submitted to the UNCEEA in 2012
It is expected that SEEA-Energy will adopted by the UNSC as a statistical standard in 2012

8. Towards finalization of SEEA-Energy, continued..
EGM on SEEA-Energy in New York 5-7 October 2011, continued…
Discussion of SEEA-Energy chapters at the EGM
Chapter 1 Introduction
Chapter 2 The SEEA-E Framework
Chapter 3 Physical Asset Accounts
Chapter 4 Monetary Asset Accounts
Chapter 5 Physical Flow Accounts
Chapter 6 Monetary and Hybrid Flow Accounts
Chapter 7 Presentation and Use of Energy Accounts
Annexes and Glossary

9. IRES and SEEA-Energy
International Recommendations for Energy Statistics (IRES) adopted by the UN Statistical Commission in February 2011.
SEEA-Energy chapters will be consistent to the extent possible and appropriate with IRES
Ongoing cooperation with Oslo Group and the Inter-Secretariat Working Group on Energy Statistics

10. SEEA-Energy and ESCM
Work has commenced on an Energy Statistics Compilers Manual (ESCM)
ESCM is an integral part of the implementation of both SEEA-Energy and IRES
It will provide practical compilation guidance

11. SEEA-Energy and ESCM, continued…
Annotated outline of ESCM discussed at Oslo Group meeting in Canberra, May 2011
And September 2011 at London Group meeting in Stockholm
London Group fully supported the ESCM work and suggested that discussion of SEEA-Energy appear more extensively throughout the ESCM
(i.e. not just in ESCM ‘Chapter 6 – Compilation of Energy Accounts’)

12. ESCM Draft outline Conceptual framework
Legal foundations and institutional arrangements
Classification
Data sources and data collection
Compilation of energy balances
Compilation of energy accounts
Flow accounts – physical and monetary
Assets accounts – physical and monetary
Energy indicators and Greenhouse gas emissions
Data quality and metadata
Data dissemination

13. ESCM draft timeline Sept 2011- :
Collection of country practices via the country practice template
Will form the basis for the drafting of ESCM
Will be stored in the UN knowledge base
Start working groups and delegate responsibility for the writing of chapters in the ESCM:
Late early 2012:
Drafting of chapters
October 2012:
7th OG meeting in Finland (and next LG meeting). Discuss and review draft text
2013:
8th OG meeting and LG meeting
ESCM completed

14. SEEA-Energy Applications
Energy Accounts, Energy Balances, Energy statistics
Which one should I use?
It depends on the type of analysis…

15. Energy Accounts, Energy Balances, Energy statistics…
Based on energy statistics
Organized around activity of producing and consuming units
E.g .Transport = transport industry only
Physical and monetary
Flows and Stocks
Residence principle
National accounts Supply Use format
Balances, statistics
Based on energy statistics
Based on energy sector technologies
E.g. Transport = all industries’ use of transport
Physical
Flows and Stocks
Territory principle
Various formats

16. Energy Accounts, Energy Balances, Energy statistics…
Energy accounts have advantages for:
Comparing physical information with information on economic activities
Presenting specific monetary information related to energy issues
Linking energy information to economic instruments e.g. taxes, subsidies, permits

17. Energy Accounts, Energy Balances, Energy statistics…
For example, energy balances and statistics can provide the basis for estimates of emissions related to energy
If we want to manage the level of emissions, energy balances and statistics can provide an indication of how each energy source contributes to emissions
But not the economic units who are responsible
And not the economic unit who will be affected by schemes to manage emissions

18. Energy Accounts, Energy Balances, Energy statistics…
Energy Accounts reveal information on who owns, who produces and who consumes
So, for example, if an emission trading scheme is introduced…
Energy Accounts could tell us
who pays the cost of managing emissions (i.e. households, various industries);
the resulting impact on levels of emissions generated by households and by various industries; and
impact on incomes, taxes and so on…

19. Applications of SEEA-Energy
SEEA-Energy devotes a chapter to guide users on its potential applications
SEEA-Energy strength is to highlight interaction between economy and energy to better guide decision-making and policy-making

20. SEEA-Energy Applications,
Analyses presented here generally focus on use of those features specific to energy accounts:
Monetary information
Information on industries
Coherent comparison of physical and monetary data
Use of input-output modeling
Etc.

21. Examples of SEEA-Energy applications
Following slides will discuss analyses in the following areas:
Energy contribution to national income and wealth
Developments in supply and use of energy
Role of renewable energy
Analyses of economic growth and energy use
Energy use and emissions to air

22. Energy contribution to national income and wealth…
In the following graph we see output of various energy producers over time
Economic output may be growing or falling over time
Producers’ output and income may be increasing, even as physical extraction of energy resources is falling (and vice versa)

23. Energy contribution to national income and wealth…
E.g. Output from energy industries…

24. Energy contribution to national income and wealth continued…
depletion-adjusted operating surplus equals
operating surplus of extractors of energy resources and generators of energy
less the value of depletion of natural energy resources
Better informs the sustainability of this type of production

25. Energy contribution to national income and wealth continued…
Other types of analyses:
Energy and its relationship to energy taxes, government budgets and sustainable government revenue
Foreign trade and the extent to which a country is reliant on energy exports and/or dependent on energy imports
Direct contribution of energy assets to national wealth

26. Monitoring developments in Energy supply and use
Overall supply and use of energy
Physical use of energy by households and by industry
And corresponding monetary use of energy by these units
Proportion of household and business spending related to energy

27. Role of renewable energy
Following graph shows contribution of renewable energy to total primary energy production
For renewable energy production: price of output; intermediate costs, capital formation and so on can all be compared to corresponding figures for non-renewable energy

28. Role of renewable energy
Black line = renewable share of primary energy

29. Analyses of economic growth and energy use
Analysis of energy use in relation to economic growth and efficiencies of industries
Important question of decoupling of economic growth and energy use
i.e. is growth becoming more or less sustainable?

30. Analyses of economic growth and energy use, continued…
Decomposing factors underlying changing energy use
Shift to more/less efficient industries
Shift to more/less efficient processes and technologies
Shift in structure of final demand
Example in following slide – growth in energy use is slower than growth in final demand
Contributing factors shown…

31. Decomposing factors underlying energy use
Figure 7.27The change in industries1) energy use and the factors behind the change - 6 4 2 8 1 ' 9 P e t a j o u l G r w h f i n d m T c g y s S I E
1)Excluding transportation services

32. Energy use and air emissions
SEEA-Energy standard tables do not record air emissions arising from energy production and use
However, SEEA-Energy is well-placed to support emissions-related analyses
As a basis for estimating emissions…
As a framework to evaluate schemes for managing energy-related emissions

33. THANK YOU!
For additional information please contact the Environmental-Economic Accounts Section