Ireland | 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
Republic of Ireland
Records
63
Source
Ireland | Natural gas rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0
1971 0
1972 0
1973 0
1974 0
1975 0
1976 0
1977 0
1978 0.02075939
1979 0.09664718
1980 0.17745836
1981 0.18625618
1982 0.12242473
1983 0.2362644
1984 0.25810218
1985 0.23619926
1986 0.12068909
1987 0.05341463
1988 0.05098708
1989 0.05929526
1990 0.07553272
1991 0.05438854
1992 0.02544473
1993 0.0689214
1994 0.06248648
1995 0.09800427
1996 0.08291306
1997 0.07217334
1998 0.00638659
1999 0.00446015
2000 0.02599559
2001 0.03494994
2002 0.02310057
2003 0.01578778
2004 0.01496473
2005 0.00826253
2006 0.01497277
2007 0.00988304
2008 0.02010725
2009 0.01137523
2010 0.01007498
2011 0.01203385
2012 0.0122032
2013 0.01042448
2014 0.00548799
2015 0.00307385
2016 0.039386
2017 0.0556548
2018 0.07503256
2019 0.03927337
2020 0.01405749
2021 0.05107793
2022

Ireland | 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
Republic of Ireland
Records
63
Source