High income | 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
High income
Records
63
Source
High income | Natural gas rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.00892831
1971 0.01545073
1972 0.04309895
1973 0.06615834
1974 0.50345035
1975 0.43655726
1976 0.42120119
1977 0.40220521
1978 0.33690718
1979 0.80696097
1980 0.75820518
1981 0.48584417
1982 0.11279664
1983 0.33028778
1984 0.36796568
1985 0.29624916
1986 0.0987776
1987 0.14912616
1988 0.10100096
1989 0.10715647
1990 0.10010345
1991 0.07843067
1992 0.10664682
1993 0.16070958
1994 0.13287885
1995 0.10656951
1996 0.17380215
1997 0.19746236
1998 0.12606496
1999 0.14843307
2000 0.34882904
2001 0.33391592
2002 0.23049481
2003 0.36647888
2004 0.33094612
2005 0.44543351
2006 0.27753924
2007 0.24323104
2008 0.36018254
2009 0.1331315
2010 0.10908095
2011 0.14191611
2012 0.15036667
2013 0.15047597
2014 0.14900536
2015 0.10666548
2016 0.07489857
2017 0.09167225
2018 0.14300572
2019 0.12996304
2020 0.11403527
2021 0.36879595
2022

High income | 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
High income
Records
63
Source