Middle 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
Middle income
Records
63
Source
Middle income | Natural gas rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 0.04455223
1971 0.04361199
1972 0.04017346
1973 0.04536112
1974 0.06495676
1975 0.12768622
1976 0.13583334
1977 0.13501907
1978 0.18119899
1979 0.26777264
1980 0.2202126
1981 0.11880048
1982 0.04400639
1983 0.16873133
1984 0.19239854
1985 0.20593891
1986 0.25157899
1987 0.2807944
1988 0.3833482
1989 0.36891969
1990 0.49675815
1991 0.40017688
1992 0.27981023
1993 0.41859469
1994 0.40984261
1995 0.52457545
1996 0.50341144
1997 0.51085317
1998 0.25994343
1999 0.30682906
2000 0.62144468
2001 0.88160256
2002 0.73713066
2003 0.75681273
2004 0.66451662
2005 0.61966145
2006 0.7860599
2007 0.6537835
2008 0.82370601
2009 0.65354002
2010 0.54486192
2011 0.67158308
2012 0.65154412
2013 0.61044786
2014 0.52396952
2015 0.45366843
2016 0.31439141
2017 0.35978419
2018 0.54990108
2019 0.48099412
2020 0.35409581
2021 0.77322341
2022

Middle 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
Middle income
Records
63
Source