environmental economic accounting water resource accounting for south africa
DESCRIPTION
By Robert Parry, Application of National Accounts. Presentation given at the 'Beyond-GDP in Africa: Innovative Ideas for a Regional Dashboard' workshop, Centre for the study of Governance Innovation, University of Pretoria. www.governanceinnovation.orgTRANSCRIPT
The South Africa I know, the home I understandThe South Africa I know, the home I understand
Environmental Economic AccountingWater Resource Accounting
for South Africa
Robert ParryApplication of National Accounts
October 2014
Environmentaleconomic accounting …Water Resource Accounting
The South Africa I know, the home I understand
System of National Accounts (SNA)
• Internationally agreed standard set of recommendations on how to compile measures of economic activity.
• Describes a coherent, consistent and integrated set of macroeconomic accounts in the context of a set of internationally agreed:– Concepts
– Definitions
– Classifications
– Accounting rules.
FEATURES
The South Africa I know, the home I understand
System of National Accounts (SNA)
• Provides overview of economic processes.
• Records how production is distributed to:– Consumers
– Businesses
– Government
– Foreign nations.
• Shows how income originating in production, modified by taxes and transfers flows to consumers, businesses, government and foreign nations.
FEATURES
The South Africa I know, the home I understand
System of National Accounts (SNA)(continued)
• Shows how consumers, businesses, government and foreign nations allocate these flows to consumption, saving and investment.
• National accounts are one of the building blocks of macroeconomic statistics forming a basis for economic analysis and policy formulation.
• SNA is designed to accommodate needs of countries at different stages of development, providing a framework for standards in other statistical domains to facilitate integration.
FEATURES
The South Africa I know, the home I understand
• SEEA consists of 3 parts:– Central Framework
– Experimental Ecosystem Accounting
– Applications and Extensions.
• Subsystems of SEEA elaborate on specific resources and sectors, including:– Energy
– Water
– Fisheries
– Land
– Ecosystems
– Agriculture.
System of Environmental EconomicAccounts (SEEA)
FEATURES
The South Africa I know, the home I understand
• SEEA organizes statistical data for the derivation of coherent and descriptive statistics.
• SEEA enables the monitoring of the interactions between the economy and the state of the environment.
• SEEA propose no single headline indicator, rather a multi-purpose system generating a wide range of statistics and indicators with many different potential analytical applications.
System of Environmental EconomicAccounts (SEEA) (continued)
FEATURES
The South Africa I know, the home I understand
• SEEA is a flexible system – it can be adapted by each country to its own priorities and policy needs.
• SEEA contains internationally agreed– Standard concepts
– Definitions
– Classifications
– Accounting rules and tables.
For producing internationally comparable statistics on the environment and its relationship with the economy.
System of Environmental EconomicAccounts (SEEA) (continued)
FEATURES
The South Africa I know, the home I understand
• The System of National Accounts (SNA) is a measurement framework to measure:– Economic activity
– Economic wealth
– General structure of the economy.
• SEEA Central Framework applies the accounting concepts, structures, rules and principles of the SNA to environment information.
• The SEEA allows for the integration of environmental information with economic information in a single framework.
SEEA’s relationship to SNA
The South Africa I know, the home I understand
• The SEEA-Water is a sub-system of the SEEA deliver more detailed structures and explanations on selected topics.
• The SEEA-Water, adopted in 2007, covers the physical and economic stocks and flows associated with water. It also covers emissions of pollutants and water quality.
System of Environmental EconomicAccounts for Water
FEATURES
The South Africa I know, the home I understand
EEA
UN, 1993
SEEA
UN, 1993
SEEAW
UN, 2007
EEA for Water
SA
CEEPA, CSIR,
2000
EEA for
Water SA
StatsSA,
2002
EEA for Water SA
CEEPA & StatsSA,
2007
EEA for Water SA
WRC & StatsSA
current
DW
S
History of EEA for Water in SA
The South Africa I know, the home I understand
Physical Accounting
Monetary Accounting
Hybrid Accounting
Environmental stats & Economic classification
Linking physical and monetary accounts
More detail than SNA data
Allow variations in SNA accounting rules
What does EEA for Water provide for?
The South Africa I know, the home I understand
Water Accounts
• Water
– Past discussion document (2002, 2004, 2005,2006,2009,2010)
• Accounts developed
– Supply and use tables
The South Africa I know, the home I understand
Water is in continuous movement through precipitation, evaporation, run-off, infiltration and flows to the sea.
Asset accounts for water resources focus on the inflows and outflows to and from the land surface and subsurface, and on the destination of these flows.
In conjunction with information on in-stream uses of water and seasonal variation, such a focus allows assessment of the availability of water to meet demand of the economy and to assess consistency with the sustainability of water supply.
Accounting for water resources.
The South Africa I know, the home I understand
Hydrological system
The South Africa I know, the home I understand
The SEEA-Water describes the hydrological system in terms of flows and stocks.
Hydrological system
The South Africa I know, the home I understand
Hydrological system
The South Africa I know, the home I understand
Hydrological system
Hydrological system
The South Africa I know, the home I understand
Hydrological system
The South Africa I know, the home I understand
Environment
• Atmosphere and sea
• Natural MAR
• Surface water yield
• Ground water
• Soil water
• Ecological reserve
Distributors
• DWS (total yield)
• Irrigation boards
• Water boards
• Municipalities
• ROW and other WMAs
Production (SIC)
• Agriculture
Dry land & irrigation
Livestock
Plantation
• Mining
• Electricity
• Manufacturing
• Trade & Services
• Domestic
Urban & Rural
Supply Demand
Water supply and use in SA
The South Africa I know, the home I understand
Water Supply and Use in The South African Economy-2000
(million m3).
Water supply and use in SA
The South Africa I know, the home I understand
Standard Physical water supply table.
Physical supply & use tables (SUT)
The South Africa I know, the home I understand
Standard Physical water use table.
Physical supply & use tables (SUT)
The South Africa I know, the home I understand
• EEA for Water developed:Input-output (I-O) matrix developedI-O matrix consistent with definition of NWRSI-O matrix developed for each WMAAggregated to national level National I-O matrix converted to UN SUT format
Procedures for development physical EEA for Water
The South Africa I know, the home I understand
External
• Department of Water & SanitationWater Resource Situation Assessment ModelNational Water Resource Strategy (NWRS)Dam capacitiesDam levelsNatural mean annual runoff and ecological
reserveAvailable yield in year 2000Water requirements for year 2000
• South African weather serviceRainfall figures according to rainfall districts
Date Source: Physical
The South Africa I know, the home I understand
Internal
Date Source: Monetary
• Statistics South Africa Stats SA 2000 Supply and Use tables
• Department of Water Affairs Tariff dataUnpublished surveys
External
The South Africa I know, the home I understand
Monetary Accounts
Expenditure on water use by productive activities in South Africa, 2000.
The South Africa I know, the home I understand
The South Africa I know, the home I understand
System of Environmental EconomicAccounts for Water
THANK YOU
Robert Parry