IDA & IBRD total | 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
IDA & IBRD total
Records
63
Source
IDA & IBRD total | Natural gas rents (% of GDP)
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.04506583
1971 0.04458334
1972 0.04145823
1973 0.04592393
1974 0.07024354
1975 0.13669602
1976 0.14376131
1977 0.13181622
1978 0.17472907
1979 0.26302023
1980 0.22610706
1981 0.12075429
1982 0.04343275
1983 0.17164755
1984 0.19822179
1985 0.21070998
1986 0.24798537
1987 0.28513101
1988 0.37655975
1989 0.36608644
1990 0.48367415
1991 0.384385
1992 0.26971238
1993 0.40399824
1994 0.39301865
1995 0.4966337
1996 0.47791683
1997 0.48384244
1998 0.24495708
1999 0.28919022
2000 0.58621612
2001 0.82719855
2002 0.69374846
2003 0.71051555
2004 0.62153072
2005 0.5810148
2006 0.74097086
2007 0.61900312
2008 0.77257862
2009 0.62072244
2010 0.51908511
2011 0.65892048
2012 0.64172617
2013 0.60484486
2014 0.51506814
2015 0.44212175
2016 0.30386349
2017 0.3479715
2018 0.53448735
2019 0.46817401
2020 0.34256179
2021 0.74507782
2022

IDA & IBRD total | 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
IDA & IBRD total
Records
63
Source