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Reference metadata describe statistical concepts and methodologies used for the collection and generation of data. They provide information on data quality and, since they are strongly content-oriented, assist users in interpreting the data. Reference metadata, unlike structural metadata, can be decoupled from the data.

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Environmental goods and services sector (env_egs)

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Reference Metadata in Euro SDMX Metadata Structure (ESMS)

Compiling agency: Eurostat, the statistical office of the European Union

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The environmental goods and services sector (EGSS) accounts report on the economic sector that generates environmental products, i.e. goods and services produced for environmental protection or resource management.

Products for environmental protection prevent, reduce and eliminate pollution or any other degradation of the environment. They include measures undertaken to restore degraded habitats and ecosystems. Examples are electric vehicles, catalysts and filters to decrease pollutant emissions, wastewater and waste treatment services, or noise insulation works.

Products for resource management safeguard the stock of natural resources against depletion. Examples are renewable energy production, energy efficient and passive buildings, seawater desalinization or rainwater recovery.

EGSS accounts provide data on output and exports of environmental goods and services and on the value added of and employment in the environmental goods and services sector.

EGSS data are compiled following the statistical concepts and definitions set out in the System of Environmental-Economic Accounting 2012 – Central Framework (SEEA CF 2012, see the links under Reference documents on environmental accounts).

 

Eurobase provides three tables on EGSS: 'env_ac_egss1', 'env_ac_egss2', 'env_ac_egss3'.

The first two tables present data produced and submitted to Eurostat by EU Member States, EFTA countries and candidate countries. Eurostat publishes these data following a validation process. For table 'env_ac_egss2', Eurostat produces output and gross value added volume estimates, i.e. discounting for changes in prices, for all countries. Eurobase table 'env_ac_egss3' contains solely EGSS aggregates for the EU that are calculated by Eurostat from own estimates based on methods documented in Eurostat's EGSS practical guide, using publicly available data sources.

14 April 2025

EGSS has the same system boundaries as the European System of Accounts (ESA 2010) and consists of all environmental products within this production boundary. ESA defines production as the activity carried out under the control and responsibility of an institutional unit that uses input of labour, capital, goods and services to produce output of goods and services.

Only goods and services produced for environmental purposes are included in the scope of the environmental goods and services sector.

'Environmental purpose' means that a good or service helps either 1) preventing, reducing and eliminating pollution and any other degradation of the environment or 2) preserving and maintaining the stock of natural resources and hence safeguarding against depletion.

 

The EGSS statistics aim at compiling data for the following economic variables:

Output: consists of products that become available for use outside of the producer unit, any goods and services produced for own final use and goods that remain in the inventories at the end of the period in which they are produced. Apart from market output, output for own final use and non-market output, EGSS statistics also include ancillary output, comprising output intended for use within an enterprise.

  • Market output is to be valued at basic prices, that is, the prices receivable by the producer from the purchaser minus taxes and plus subsidies on products.
  • Output for own final use is to be valued at basic prices of similar products sold on the market or by the total costs of production.
  • Non-market output is to be estimated by the total costs of production.
  • Ancillary output is measured as a total of recurrent production costs (such as intermediate consumption, compensation of employees and consumption of fixed capital) incurred by enterprises to: 1) reduce environmental pressures arising from their production process or 2) produce environmental goods or services not intended for use outside the enterprise, but instead supporting other (non-environmental) activities undertaken within the enterprise (e.g. waste management services carried out in-house). For market producers, a mark-up for net operating surplus is added to the value of the EGSS ancillary output.

Gross Value Added: represents the contribution made by the production of environmental goods and services to GDP. It is the difference between the value of the output and intermediate consumption.

Employment: is measured in full-time equivalent jobs engaged in the production of output of environmental goods and services. Full-time equivalent is defined as total hours worked divided by the average annual working hours in a full-time job.

Exports: consist of sales, barter, gifts, or grants, of environmental goods and services from residents to non-residents.

See also the reference documents available on Eurostat's website on methodology for environmental accounts (see headings ‘Monetary environmental accounts’ and ‘Environmental goods and services sector’).

Council Regulation (EEC) No 696/93 of 15 March 1993 on the statistical units for the observation and analysis of the production system in the Community describes the different statistical units of the production system.

The recommended statistical unit for the collection and compilation of EGSS statistics (excluding general government) is the establishment. For general government, the recommendation is to use institutional units and groupings of units as defined in the European System of Accounts (ESA 2010).

The statistical population is the national economy as defined in SEEA CF 2012 and the European System of Accounts (ESA 2010). It includes all economic activities undertaken by resident units (see also sections 3.2, 3.3 and 3.4 above).

The reference area is the economic territory as defined in SEEA CF 2012 and the European System of Accounts (ESA 2010). A unit is said to be a resident unit of a country when it has its centre of economic interest in the economic territory of that country, that is, when it engages for an extended period (1 year or more) in economic activities in that territory.

Eurostat currently publishes EGSS data for EU Member States, EFTA countries, and candidate countries. Moreover, Eurostat produces and disseminates provisional estimates for the EU-27 as a whole.

The reference period for EGSS data is the calendar year.

See point 11.1 above.

Eurostat assesses the accuracy of national data by systematically applying validation checks to all transmitted EGSS data. Eurostat also benchmarks EGSS data against data from other sources such as energy statistics and agricultural statistics to verify their plausibility and accuracy.

EU-27 EGSS aggregates are estimated following the methods described in the EGSS practical guide. Input data are obtained from official statistics such as national accounts, energy statistics, and environmental protection expenditure accounts, which were validated by Eurostat.

Output, gross value added, and exports are measured in million units of national currency, in million EUR, and in million EUR as chain linked volumes, reference year 2015 (at 2015 exchange rates). The estimation method is described in the EGSS practical guide.

CEPA/CReMA are also provided in cahin linked volumes, reference year 2020 (at 2020 exchange rates) for total NACE (only available in 'env_ac_egss2' dataset). 

Employment is measured in full time equivalents (i.e., full time equivalent jobs).

Data sources, methods and compilation techniques are country specific, but should be employed in a way compliant with the definitions and accounting rules described in the EGSS handbook. Eurostat publishes all validated EGSS data as reported by countries.

Based on the reported data, Eurostat produces volume estimates (i.e., discounting price changes) for output and gross value added. The resulting volumes are chain linked to the reference year 2010 (at 2010 exchange rates). Chain-linked volumes are based on industry-specific deflators (NACE*64 breakdown) from national accounts. The deflators are calculated by valuing output and gross value added given at current prices in terms of prices of the previous year. The thus computed volume changes are imposed on the levels of output and gross value added in reference year 2010. The deflators for gross value added are also applied to gross value added of market producers, and the deflators for output are also applied to market output. The methods to calculate chain linked volumes in national accounts are documented in the Eurostat Handbook on price and volume measures in national accounts.

Eurostat also produces its own estimates of EU-27 totals (aggregating all Member States of the European Union) for the period 2000-onwards. These estimates are compiled using a standardised data integration approach that combines existing data from various Eurostat data collections (e.g., national accounts, environmental protection expenditure accounts, energy balances) and other international and national sources (e.g. data published by the International Energy Agency) as well as country replies to the data collections on EGSS. The method is documented in Eurostat's EGSS practical guide.

The compilation of monetary-environmental accounts builds in many countries upon statistics that are primarily collected for other purposes.

Datasets 'env_ac_egss1' and 'env_ac_egss2' currently contain data compiled and reported by Member States, EFTA countries and candidate countries. Countries are free to decide on the data collection methods to compile EGSS accounts. The general options are: surveys, administrative sources, statistical estimations, and use of already existing statistics or some combination thereof.

In addition to EGSS data reported by countries, Eurostat produces corresponding volume estimates, i.e., discounting changes in prices. The method used is described under point 18.5.

The EU-27 aggregates in datasets 'env_ac_egss1' to 'env_ac_egss3' consist of Eurostat's estimates, calculated with methods documented in the Eurostat EGSS practical guide based on publicly available data sources. These are:

  • national accounts
  • labour market statistics
  • foreign trade statistics (COMEXT)
  • production statistics (PRODCOM)
  • EPEA
  • energy statistics
  • additional official sources

EGSS data are published at least once a year, after data for a new reference year have become available.

Deadline for the reporting of EGSS data and quality reports is 31 October each year. Eurostat disseminates the data with a delay of 3 months, after their validation.

Comparability of EGSS accounts compiled by EU Member States, EFTA countries and candidate countries is ensured by a common conceptual framework and through Implementing Regulation 2174/2015 that provides an indicative compendium of environmental goods and services and thus determines the perimeter of the EGSS sector. Hence, theoretically, EGSS data are consistent compilations of environmental activities of national economies.

Eurostat took measures to harmonise data by discussing persistent reporting issues in a dedicated task force. The outcome lead to revised explanatory notes for CEPA and CReMA and to two dedicated guidance notes (one on electric vehicles and another on energetic refurbishment and the construction of new energy-efficient buildings).

 

The flag d) for 'definition differs' appears in the EGSS dataset for data points where the unit in which the data is reported deviates from the unit of measurement it is reported under. This is currently the case for the following two cases:

  • A subset of the employment data published for Norway is reported as number of employed persons instead of FTE.
  • Sweden reports the employment data for non-market activities as gainfully employed instead of FTE.

 

The standardised approach for estimating EU-27 aggregates compensates for comparability issues of the EGSS data transmitted by countries. The EU-27 aggregates estimated by Eurostat include output, gross valued added, and employment related to market, non-market and ancillary activities. Due to differences in the completeness of reported EGSS data, the data published for Member States are not fully comparable with the EU-27 aggregates.

Time-series checks applied during the validation aim to assure good time-series consistency of reporting data. The break-in-the-time series flag (b) indicates instances where time-series consistency could not be assured. Countries are encouraged to revise the data to achieve good consistency across time. Comparability over time at country level is still limited for voluntary reporting items. In recent years, many countries have developed data sources and/or methods to compile a complete set of mandatory EGSS data, extending the coverage of environmental activities and/or products, thereby ensuring compliance with reporting requirements under Regulation 691/2011.

The Eurostat estimates of EU-27 aggregates are consistent across the period 2000-2022 since they are obtained for all years using the same set of source data and compilation methods (see section 18.5). There are no breaks in the related data series as the series is always estimated for all available years.