South Africa | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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 South Africa
Records
63
Source
South Africa | Total natural resources rents (% of GDP)
year value
1960
1961
1962
1963
1964
1965
1966
1967
1968
1969
1970 1.6631969
1971 2.27229555
1972 2.25095786
1973 2.46019339
1974 4.1718832
1975 4.56503788
1976 5.14924829
1977 5.52869096
1978 4.73080337
1979 7.86535009
1980 13.52730666
1981 11.02095211
1982 10.78133763
1983 9.1053548
1984 5.36043298
1985 10.84506782
1986 8.66048789
1987 7.10334309
1988 6.9001232
1989 6.49961863
1990 5.69756199
1991 5.44865901
1992 4.45678523
1993 4.45349964
1994 4.76625199
1995 4.03562638
1996 4.6427009
1997 3.69265987
1998 3.11344933
1999 2.48859051
2000 3.7168845
2001 4.94658657
2002 4.67923392
2003 2.99086668
2004 4.77963979
2005 4.56849247
2006 5.22740474
2007 6.36570747
2008 11.99005804
2009 4.937975
2010 6.84683101
2011 7.81466074
2012 6.40436399
2013 6.11153096
2014 4.6657342
2015 2.80794769
2016 3.56159907
2017 3.83558567
2018 3.86949149
2019 4.18782228
2020 4.01777511
2021 7.32857859
2022

South Africa | Total natural resources rents (% of GDP)

Total natural resources rents are the sum of oil rents, natural gas rents, coal rents (hard and soft), mineral rents, and forest rents. 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 South Africa
Records
63
Source