Classification of natural assets: implication of the update of the 1993 SNA and possible issues to address

1
Classification of natural assets implication of
the update of the 1993 SNA and possible issues to
address

• Alessandra Alfieri and Ivo Havinga
• London Group
• (New York, 19 - 21 June 2006)

2
Overview

• Background
• Definition of assets in 1993 SNA and SEEA
• Changes in the 1993 SNA Rev.1 asset
  classification and impacts in the SEEA-2003
• Proposal for aligning the classification of
  natural resources in the 1993 SNA Rev.1 with
  SEEA-2003
• Terminology issues
• Presentation issues

3
Background

• 1993 SNA update considered the issue of
  classification of assets
• AEG recommended that 1993 SNA and SEEA-2003 be
  aligned, in particular for classification of
  natural resources
• Requested the editor and UNSD to do it

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Main changes in the 1993 SNA Rev.1 asset
classification

• Replace tangible non-produced assets with
  natural resources
• Replace intangible non-produced asset and split
  it in contracts, leases and licenses and
  goodwill and marketing assets
• Record Land improvements as GFCF of buildings
  and structures and not under land
• Align terminology of natural resources with
  SEEA-2003

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Differences in terminology between 1993 SNA Rev.1
and SEEA-2003

• Natural resources
• SNA includes including land
• SEEA both cultivated assets and tangible
  non-produced assets, no land identified
  separately

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Differences Mineral and energy

• Terminology
• SNA Subsoil,
• SEEA Mineral and energy
• SNA Coal, oil, mineral gas
• SEEA Fossil fuels
• Definition of reserves
• Suggest to expand asset boundary to probable and
  possible?
• Expansion of asset boundary to non-renewable
  resources?

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Non-cultivated biological resources

• Terminology
• SNA Natural forests
• SEEA Timber
• SNA Wild stocks of fish and aquatic mammals
• SEEA Aquatic resources
• Conceptual
• Fish stocks outside the EEZ
• High seas, if country has access rights

8
Water resources

• SNA Rev.1 Expansion of asset boundary
• Terminology
• SNA Aquifers , Other
• SEEA Surface water, Ground water

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Other natural resources

• Terminology
• SNA Radio spectra other resources
• SEEA Atmospheric ecosystem
• Ecosystems
• Should the SNA mention that natural resources can
  be classified twice (according to whether they
  provide goods natural resources or services
  ecosystems)?

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Differences in presentation

• Order in presentation of natural resources
• SNA land, subsoil, non-cultivated biological
  resources, water, other
• SEEA Mineral and energy, soil, water, biological
  resources, LAND (separate from natural
  resources), Ecosystems

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Differences in presentation (2)

• Grouping of produced and non-produced assets

• The SEEA-2003 does not make explicit the
  distinction between
• fixed asset and inventory

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Why differences in presentation?

• Perspective
• SNA groups the items according to how to value
  them
• SEEA groups them according to the resource
• Should SNA and SEEA have the same presentation
  in the asset classification?

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Questions to the LG?

• Do you agree with
• Would you like to see an Annex in the SNA
  explaining the difference between SNA and SEEA
  asset classification?
• Dropping the item recreational land from both
  the SNA and SEEA?
• Mentioning in the SNA the category ecosystems,
  although not in the classification?

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Questions to the LG? (2)

• Should the SEEA align its classification with the
  SNA?
• In terms of order (land, mineral and energy, etc.
  or mineral and energy, land, etc.)?
• In terms of grouping (by produced, non-produced,
  or by type of resource)?