East Asia & Pacific (IDA & IBRD countries) | 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
East Asia & Pacific (IDA & IBRD countries)
Records
63
Source
East Asia & Pacific (IDA & IBRD countries) | Natural gas rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0
1971 0.00585106
1972 0.00879062
1973 0.01408333
1974 0.07483602
1975 0.14019397
1976 0.16306816
1977 0.18440782
1978 0.31548459
1979 0.45387094
1980 0.39450006
1981 0.14927264
1982 0.04747802
1983 0.11217681
1984 0.17145466
1985 0.23036534
1986 0.39300977
1987 0.35398788
1988 0.27363647
1989 0.29415923
1990 0.41050653
1991 0.35474876
1992 0.34984946
1993 0.37179305
1994 0.43711327
1995 0.38094574
1996 0.44032689
1997 0.47936513
1998 0.38602424
1999 0.41338545
2000 0.62969962
2001 0.54975323
2002 0.47118515
2003 0.56056035
2004 0.58799428
2005 0.57025912
2006 0.43699731
2007 0.34890956
2008 0.32121468
2009 0.28986264
2010 0.28267339
2011 0.25627482
2012 0.22829253
2013 0.21053135
2014 0.27565508
2015 0.30652331
2016 0.22651367
2017 0.22023733
2018 0.29794518
2019 0.29655442
2020 0.23011962
2021 0.35044873
2022

East Asia & Pacific (IDA & IBRD countries) | 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
East Asia & Pacific (IDA & IBRD countries)
Records
63
Source