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Harmonization of MFA with the SEEA concepts

 Issue Description

1a. Recording of cultivated biological resources
The growth of cultivated biological resources constitutes a process of production in the 1993 and 2008 SNA as well as the SEEA-2003. As such the SEEA-2003 records it within the economy and considers flows from the environment to the economy to consist of the ecosystem inputs necessary for the growth of the resources for example carbon dioxide, nutrients and soil water. On the other hand, the economy-wide MFA (EW-MFA) approach considers cultivation of biological resources as a process that takes place in the environment and not within the economy. The flow from the environment to the economy is the harvest of the biological resources. How should the SEEA and EW-MFA approaches be reconciled?

1b. Treatment of consumer durables
In the SNA consumer durables are defined as goods used for purposes of consumption repeatedly or continuously over a period of a year or more. They are not regarded as assets because the services they provide are not within the production boundary. The 2008 SNA suggests that because of the analytical interest of the information on stock of durables, to record them as memorandum item in the balance sheet. This recommendation also is of interest for environmental accounting considering that there is a time lag between the consumption and the residual flows generated when using up the consumer durables. Should the SEEA recommend the treatment of consumer durables as produced assets?

1c. Recording of landfills
In the SEEA-2003, the operation of controlled landfills is considered a productive activity. Landfills themselves are treated as a sort of physical capital formation. Therefore flows of waste to controlled landfills are considered flows within the economy while emissions from landfills to air, soil and water are considered flows from the economy to the environment. In EW-MFA approach, instead landfills are considered within the environment and flows of waste to controlled landfills are considered as flows from the economy to the environment. How should the SEEA and EW-MFA approach be reconciled?

 Issue Papers and Corresponding Minutes of Meetings
Issue papers and corresponding minutes of meetings are not yet available for this issue.

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