Africa Eastern and Southern | Natural gas rents (% of GDP)
Natural gas rents are the difference between the value of natural gas production at regional prices and total costs of production. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Africa Eastern and Southern
Records
63
Source
Africa Eastern and Southern | Natural gas rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970
1971 0
1972 0
1973 0
1974 0
1975 0
1976 0
1977 0
1978 0
1979 0
1980 0.00131848
1981 0.0007819
1982 0.00029154
1983 0.00093734
1984 0.00102893
1985 0.00122431
1986 0.00147254
1987 0.00117557
1988 0.00094289
1989 0.00111892
1990 0.01611601
1991 0.01357081
1992 0.01384788
1993 0.01921822
1994 0.01989305
1995 0.02061621
1996 0.01948829
1997 0.01739213
1998 0.01177892
1999 0.01673034
2000 0.02584756
2001 0.03861759
2002 0.036269
2003 0.02116103
2004 0.0391846
2005 0.02337348
2006 0.0648052
2007 0.05531081
2008 0.06387356
2009 0.05084096
2010 0.05344069
2011 0.066509
2012 0.07304138
2013 0.07479871
2014 0.06658183
2015 0.05699207
2016 0.04693338
2017 0.07256972
2018 0.12501351
2019 0.12130039
2020 0.09653346
2021 0.14244724
2022
Africa Eastern and Southern | Natural gas rents (% of GDP)
Natural gas rents are the difference between the value of natural gas production at regional prices and total costs of production. Development relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future. Statistical concept and methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs. These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).
Publisher
The World Bank
Origin
Africa Eastern and Southern
Records
63
Source