Albania - Natural gas rents (% of GDP)

Natural gas rents (% of GDP) in Albania was 0.022 as of 2019. Its highest value over the past 35 years was 0.521 in 1988, while its lowest value was 0.003 in 1999.

Definition: Natural gas rents are the difference between the value of natural gas production at world prices and total costs of production.

Source: Estimates based on sources and methods described in "The Changing Wealth of Nations: Measuring Sustainable Development in the New Millennium" (World Bank, 2011).

See also:

Year Value
1984 0.508
1985 0.446
1986 0.484
1987 0.325
1988 0.521
1989 0.505
1990 0.310
1991 0.265
1992 0.225
1993 0.041
1994 0.022
1995 0.017
1996 0.016
1997 0.015
1998 0.008
1999 0.003
2000 0.025
2001 0.042
2002 0.029
2003 0.025
2004 0.017
2005 0.016
2006 0.027
2007 0.008
2008 0.031
2009 0.029
2010 0.008
2011 0.011
2012 0.020
2013 0.021
2014 0.025
2015 0.021
2016 0.017
2017 0.026
2018 0.028
2019 0.022

Development Relevance: Accounting for the contribution of natural resources to economic output is important in building an analytical framework for sustainable development. In some countries earnings from natural resources, especially from fossil fuels and minerals, account for a sizable share of GDP, and much of these earnings come in the form of economic rents - revenues above the cost of extracting the resources. Natural resources give rise to economic rents because they are not produced. For produced goods and services competitive forces expand supply until economic profits are driven to zero, but natural resources in fixed supply often command returns well in excess of their cost of production. Rents from nonrenewable resources - fossil fuels and minerals - as well as rents from overharvesting of forests indicate the liquidation of a country's capital stock. When countries use such rents to support current consumption rather than to invest in new capital to replace what is being used up, they are, in effect, borrowing against their future.

Limitations and Exceptions: This definition of economic rent differs from that used in the System of National Accounts, where rents are a form of property income, consisting of payments to landowners by a tenant for the use of the land or payments to the owners of subsoil assets by institutional units permitting them to extract subsoil deposits.

Statistical Concept and Methodology: The estimates of natural resources rents are calculated as the difference between the price of a commodity and the average cost of producing it. This is done by estimating the world price of units of specific commodities and subtracting estimates of average unit costs of extraction or harvesting costs (including a normal return on capital). These unit rents are then multiplied by the physical quantities countries extract or harvest to determine the rents for each commodity as a share of gross domestic product (GDP).

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Environment Indicators

Sub-Topic: Natural resources contribution to GDP