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E2: Environmental statistics and accounts; sustainable development

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The indicator is part of the Circular Economy indicator set. It is used to monitor progress towards a circular economy on the thematic area of 'competitiveness and innovation'.

Innovation and investments (on eco-design, on secondary raw materials, on recycling processes and on industrial symbiosis) are a key element of the transition to a circular economy.

The circular economy can make a significant contribution to the creation of jobs and economic growth. Looking at jobs and growth of relevant sectors indicates whether the transition to a circular economy is delivering the expected results. Sectors that are closely related to the circular economy such as recycling, repair and reuse, are particularly job intensive, and contribute to local employment.

It is important to note that the sectors analysed here only represent a subset of a much wider economic impact of the circular economy. However, the impact of the circular economy in other sectors is more diffuse, and difficult to isolate. Recycling as well as repair and reuse are considered good proxies for the mainstreaming of the circular economy in other sectors. 

The indicator includes “Private investments”, “Persons employed” and “Gross value added”.

Eurostat initiated a project to develop a methodological approach that allows deriving key economic variables on the economic activities related to circular economy. In essence, the approach can be summarised as follows:

1. Building a conceptual framework. A suitable and widely accepted overall definition of the environmental policy subject based on an international body serves as a starting point; The boundaries of the scope were defined; The criteria for the delineation of related economic activities was established by means of a sector classification by purposes (e.g. the 10R framework for Circular Economy).
2. Mapping relevant activities and matching against the integrated system of economic classification. Drawing upon existing lists of goods and services. This list presents the list of identified economic activities including the corresponding NACE, CPA and PRODCOM codes as well as a suitable estimation procedure for each code.
3. Delineation and data compilation. The estimation procedure and methods to compile the variables can be found in the report included in the annex of this file.

 Based on the described procedure for data compilation, the following variables have been calculated:

• Persons Employed in full time equivalent FTE
• Gross Value added in million euro (at factor cost)
• Gross investments in tangible goods in million euro

• Private investments and gross value added are expressed in million euro and as a percentage of gross domestic product (GDP).

• Jobs are expressed in number of persons employed full time equivalent (FTE) and as a percentage of total employment.

Calendar year.

The indicator is produced according to the high-level quality standards of European Statistics.

ESS

Data source: European Statistical System (ESS)

Data provider: Statistical Office of the European Union (Eurostat).

Structural business statistics (SBS) covers all activities of enterprises for sections B to N and divi-sion S95 of NACE Rev.2. The SBS variables of interest for the compilation of sector market output is the production value. These variables are available at NACE class level (four digits). The SBS also collects data on the gross value added, number of employees, gross fixed capital formation, among other, which are drawn upon for the compilation of the sector accounts.

National accounts (NA) are an important source for compiling sector statistics and should provide the definitions and valuation principles for the characteristics (e.g. output, gross value added, em-ployment) for the sector accounts.

Prodcom.The main difference between SBS and Prodcom is that SBS relates to economic activities (e.g. the activity of the producers) whereas Prodcom relates to products (e.g. the output delivered by the producers). Prodcom statistics (PRODuction COMmunautaire) provide data on the physical volume of production and the monetary value of the production of manufactured goods from NACE sections B (Mining and quarrying) and C (Manufacturing) sold during the survey period. The National Statis-tical Institutes conduct surveys on enterprises to collect the data using the Prodcom lists of prod-ucts. Data on the value of the production sold is published.

Labour Force Survey (EU-LFS) provides population estimates for the main labour market characteristics, such as employment, unemployment, inactivity, hours of work, occupation, economic activity and other labour related variables, as well as important socio-demographic characteristics, such as sex, age, education, household characteristics and regions of residence.

Other sources are also used to estimate the shares: Energy statistics, waste statistics, forestry statistics, climate change and transport to name a few.

Every year

Indicator is updated annually.

T+1 year

New data points are disseminated within one year after the reference year.

All EU MS

Data are presented for all EU Member States.

The EU aggregate is also available.

All EU MS

Data are comparable between all EU Member States.

> 10 years

Presented time series (including EU aggregates) starts in 2005.

> 4 data points

Length of comparable time series without methodological break is longer than 4 data points.

Analysis of indicator is presented in Commission Staff Working Document.

Eurostat, Statistics Explained. Business economy by sector

Eurostat, Statistics Explained, Structural business statistics

See tables cei_cie012; cei_cie_011

Eurostat dedicated section on Circular Economy.

Report from the Commission to the European Parliament and the Council on the implementation of the Regulation (EC) No 295/2008 of the European Parliament and of the Council concerning structural business statistics from 2014. 

DG ENV, Implementation of the Circular Economy Action Plan.

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