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Environmental goods and services sector (env_egs)

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National Reference Metadata in Single Integrated Metadata Structure (SIMS)

Compiling agency: State Data Agency (Statistics Lithuania)

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The environmental goods and services sector (EGSS) accounts report on an economic sector that generates goods and services produced for environmental protection or the management of natural resources.

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

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, and materials recovery.

EGSS accounts provide data on output and export 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 UN System of Environmental-Economic Accounting 2012 – Central Framework.

20 January 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.

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.

Lithuania

The reference period for EGSS data is the calendar year.

The survey is based on administrative sources. The quality of administrative data is ensured by searching for out-standing, missing, duplicate values, analyzing the obtained results and, if necessary, editing the data.

Output, gross value added, and exports are measured in million units of national currency. Employment is measured in full time equivalents (i.e., full time equivalent jobs).

The variables are calculated in several stages.

Market activity variables are obtained by combining structural business statistics microdata with statistical data obtained from other divisions of Statistics Lithuania and aggregating them.

The environmental share was calculated for each enterprise in market sector using microdata from SBS, PRODCOM and energy  statistics, if it was possible;  for the rest enterprises  the average share cross-classified by industry (NACE 4 digits level) and CEPA/CReMA classes was applied . Also all information available via internet was used additionally. The same share was used  for all EGSS variables/NACE/CEPA and CReMA categories.

The share for the enterprise is fixed over time if there are no changes in enterprise activity or in products produced. The list of population is reviewed every year and the share is updated according the changes in enterprise activity or production if it is needed.

For the calculation of ancillary activity variables, environmental protection expenditure survey data are used.

To compile non-market activity variables, government finance and national accounts macro data are used.

Data was obtained from various sources: Environmental protection expenditure survey (The survey population covers enterprises of all legal forms having 5 and more employees, annual) - current expenditure on environmental protection for ancillary values; National accounts data on output and gross value added, supply–use tables; Business Register;  Statistics on the production of manufactured goods (PRODCOM); Structural business statistics (SBS) - output, value added and employment in FTE for market variables;  Transport statistics; Constructions statistics; Energy statistics - amount of renewable energy produced; Labour statistics -average of annual wage by NACE; Foreign Trade statistics-  data on exports of goods of Lithuanian origin; Government finance statistics (ESA 2010 transmission programme Table 11), State and Municipal budget documents  for non-market variables; Agriculture statistic for employment in agriculture and for share of organic farming; yellow pages via internet. The costs of state forest managers for forest restoration and development were included as CReMA11A Output to NACE A02 (as state forests cover almost 50% of the whole forest area). (Information about the costs of private owners for forest restoration seems to be not available).

Annual

Statistical information is published in 22 months after the end of the reference period.

Statistical information is comparable across the EU.

Comparability over time is fully guaranteed.

Data for CReMA classes is being collected only from 2021 year in the Environmental expenditure survey (only for CReMA 13A and CReMA 13B meanwhile).