State Statistical Committee State Statistical Committee of the Republic of Azerbaijanof the Republic of Azerbaijan

Implementation of System of Integrated Environmental-Economic Accounting(Azerbaijan prospects)

Geneva, June 13, 2013

Sustainable Development Concept

Growth process is defined as sustainable, if it is both environmentally and economically sustainable

Economic sustainability is an ability for long term positive growth of consumption per capita;

Environmental sustainability is a long term keeping the minimal stock of natural resources (minimal environment quality).

SEEA and Measuring Sustainable Development

Three approaches to measure sustainable development:

“Three pillars” approach

Environmental approach;

Capital approach.

SEEA may serve as at least partial basis for measuring with all the three approaches and is most useful when studying sustainable

development in terms of capital stock.

SEEA and Measuring Sustainable Development(continued)

System of environmental statistics indicators is broad enough and internally well-adjusted, but unlike to SEEA it has no sequences for different sets of data.

SEEA is an overall system of accounts, where sequent set of accounts is adjusted in terms of concepts, methods, definitions and classifications.

Furthermore, the SEEA is aimed to be adjusted in terms of time.

SEEA and Environmental Statistics

 The important difference between

environmental statistics and SEEA is that SEEA is clearly aimed to compatibility with economic

information of the

System of National Accounts.

SEEA and Environmental Statistics(continued)

Common strategy of SEEA implementation is briefly defined in reports of Committee of Experts on Environmental-Economic Accounting submitted at forty third and forty fourth sessions of the Statistical Commission.

At initial stages, it is necessary to define a necessary minimal set of accounts to implement. These accounts should ensure progressive implementation of the system;  

The required minimal set of accounts should be accurately tied up with indicators estimation;

They should be simplified and include, firstly, problems of global significance.

SEEA Implementation Strategy

Stage I: Creation of relevant national institutional arrangements considering adjusted priorities in policy; defining coverage and the level of itemization of accounts and tables.

Stage II: Self-evaluation to define accounts that may be implemented as well as the term of their implementation and the main sources of data needed for this purpose.

Stage III: Quality evaluation for the basic data required to compose accounts.

Stage IV: elaboration of strategic plan for development of environmental accounting, which shall define the priority type of accounts and actions on improving source data.

Modular Approach to SEEA Implementation

Current Situation on Environmental and Economic Accounting in Azerbaijan

Nowadays, environmental statistics and national accounts in Azerbaijan work in two parallel planes, neither meet nor interact.

Environmental Statistics

Indicators system: Mainly, corresponds to standard applied in international practice;

System of classifications: CEPA 2000, EWC-Stat Rev.3, NACE rev2.

Current Situation on Environmental and Economic Accounting in Azerbaijan (continued)

Statistics of National Accounts

Version: SNA-93

Annual accounts: Full sequence of accounts up to the financial account;

Quarterly accounts: GDP by method of production and use

Supply and use

tables: once in 5 years since 2001

Current Situation on Environmental and Economic Accounting in Azerbaijan (continued)

Actions on development of some SEEA components that were included in the “State Program on Development of Official Statistics in 2013-2017 in the Republic of Azerbaijan” Evaluation of non-produced non-financial assets;

Elaboration and implementation of assets-and-liabilities balances;

Elaboration of green economics indicator system;

Elaboration of satellite accounts in power industry;

Improving the indicator system for environment-related activities.

Goals and Further Activities on Improving the Set of Indicators for Environmental and Economic Accounting in Azerbaijan

Measures to be taken to manage activities on complex implementation of the SEEA into the statistical practice of the country:

defining demand and priorities for complex environmentally-economic information; defining set, itemization and sequence of accounts to be developed within the frames of integrated Environmental-Economic Accounting; studying information sources and methods of indicators estimation; ensuring creation of infrastructure and toolkit for collection and processing of the necessary statistical information; adapting structure and databases of supply and use tables for SEEA chains

Goals and Further Activities on Improving the Set of Indicators for Environmental and Economic Accounting in Azerbaijan

(continued)

Ecology( οἶκος λόγος ) – science about home

Economy( οἶκος νόμος ) – rules of family life,

household rules

Conclusion

Thank you for your attention!