1. Energy and mineral asset accounts Background and outline for future work and terms of reference Alessandra Alfieri and Ole Gravgård

2. Rome 2003: Subgroup on mineral and energy asset accounts created (Peru, Norway, Philippines, New Zealand, Canada, Denmark) Copenhagen 2004: results of a questionnaire on country experiences/problems presented by the subgroup – reports from countries collected August 2005 UNCEEA: terms of reference for the sub- group Background

3. Terms of reference Objective: - further research in mineral and energy asset accounts - prepare handbook on mineral and energy asset accounts for consideration and approval by the UNCEEA Focus on assets, but consistency with flows Close cooperation with the Oslo Group on Energy Statistics take into account work by Canberra II, AEG, London Group, ISWG on energy statistics

4. TOR (continued) Members: Experts in environmental accounting, national accounts, energy statistics, selected countries and international organizations Statistics Denmark will be moderator of the Group, in cooperation with UNSD Limited duration – sub group cease to exist once a Handbook has been completed Submit reports to the UNCEEA (progress reports, conclusions, handbook chapters, etc.)

5. Issues 1 Classification used for physical reserves Hass and Kolshus: Harmonization of Fossil Energy and Mineral Ressource Classifications Aggregation over different reserves (e.g. proven, probable and possible on the basis of probability of existence) Should renewable energy resources be included in the accounts in terms of stocks?

6. Issues 2 Calculation of NPV: - discount rate, - rate of return to capital - treatment of (specific) taxes and subsidies - lifetime of reserves Implementation of the capital service approach Joint production and allocation of resource rent different products Pascoe and Webb: Allocating mineral valuations using unit record data Heterogeneity (different quality and costs) of the reserves?

7. Issues 3 Year to year volatility and negative resource rents Constant price valuation of assets Lange: Alternative Measures of the Value of ressource rent and Natural Capital in Constant Prices The recording of depletion in the SEEA. Hamilton: Summary of the issues in the research agenda Decomposition of changes in stock value due to human activities, natural causes and revaluation

8. Issues 4 Decommissioning costs and recording ownership of mineral-related assets Extension of the methodology used for oil and gas accounts to other mineral resources Confidentiality problems Inclusion of financial wealth related to natural assets in the SEEA asset boundary

9. Time table Agreement on issues list, content of handbook and timetable, some draft issues papers available LG New YorkJune 2006 Endorsement by UNCEEA of conclusion at LG meeting UNCEEA meetingJune 2006 First rough outline of a handbook finished Beginning 2007 Outcome papers for all issues on list finished UNCEEA meeting2008 Handbook finishedUNCEEA meeting2008

10. Next steps Finalising issues list Agreement on content of Handbook Establishing sub group volunteers for writing of issue papers and handbook chapters

11. UNSD website http://unstats.un.org/unsd/envAccounting/s gmineral.htm