Japan - Adjusted savings: natural resources depletion (% of GNI)

Adjusted savings: natural resources depletion (% of GNI) in Japan was 0.031 as of 2019. Its highest value over the past 49 years was 0.107 in 1974, while its lowest value was 0.002 in 1998.

Definition: Natural resource depletion is the sum of net forest depletion, energy depletion, and mineral depletion. Net forest depletion is unit resource rents times the excess of roundwood harvest over natural growth. Energy depletion is the ratio of the value of the stock of energy resources to the remaining reserve lifetime. It covers coal, crude oil, and natural gas. Mineral depletion is the ratio of the value of the stock of mineral resources to the remaining reserve lifetime). It covers tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate.

Source: World Bank staff estimates based on sources and methods described in "The Changing Wealth of Nations 2018: Building a Sustainable Future" (Lange et al 2018).

See also:

Year Value
1970 0.039
1971 0.027
1972 0.023
1973 0.043
1974 0.107
1975 0.087
1976 0.084
1977 0.073
1978 0.049
1979 0.105
1980 0.024
1981 0.012
1982 0.009
1983 0.009
1984 0.007
1985 0.009
1986 0.005
1987 0.004
1988 0.005
1989 0.005
1990 0.005
1991 0.003
1992 0.003
1993 0.002
1994 0.002
1995 0.002
1996 0.002
1997 0.002
1998 0.002
1999 0.002
2000 0.003
2001 0.002
2002 0.003
2003 0.003
2004 0.004
2005 0.005
2006 0.006
2007 0.007
2008 0.009
2009 0.007
2010 0.007
2011 0.009
2012 0.008
2013 0.007
2014 0.008
2015 0.008
2016 0.005
2017 0.007
2018 0.008
2019 0.031

Development Relevance: Natural resources depletion is a critical component in the calculation of adjusted net national income. Adjusted net national income is calculated by subtracting from GNI a charge for the consumption of fixed capital (a calculation that yields net national income) and for the depletion of natural resources. The deduction for the depletion of natural resources, which covers net forest depletion, energy depletion, and mineral depletion, reflects the decline in asset values associated with the extraction and harvest of natural resources - this is analogous to depreciation of fixed assets.

Limitations and Exceptions: Net forest depletion is not the monetary value of deforestation. Roundwood and fuelwood production are different from deforestation, which represents a permanent change in land use and, thus, is not comparable. Areas logged out but intended for regeneration are not included in deforestation figures; rather, they are counted as producing timber depletion. Net forest depletion includes only timber values and does not include the loss of nontimber forest benefits and nonuse benefits. For both energy and mineral depletion, unit resource rent is calculated as (unit price - average cost). Marginal cost should be used instead of average cost in order to calculate the true opportunity cost of extraction; however, marginal cost is difficult to compute and data are not readily available. Unit prices refer to international or regional price rather than local prices. This differs from methodologies of national accounts, which may use local prices to measure energy or mineral GDP. This difference explains eventual discrepancies in the values for energy or mineral depletion, verses energy or mineral GDP.

Statistical Concept and Methodology: Natural resources depletion is the sum of net forest depletion, energy depletion, and mineral depletion: Net forest depletion is the product of unit resource rents and the excess of roundwood harvest over natural growth. In a country where incremental growth exceeds wood extraction, net forest depletion would be zero, no matter the absolute volume or value of wood extracted. Energy depletion is the ratio of the present value of energy resource rents, discounted at 4 percent, to the exhaustion time of the resource. Rent is calculated as the product of unit resource rents and the physical quantities of energy resources extracted. It covers hard and soft coal, crude oil, and natural gas. Mineral depletion is the ratio of the present value of mineral resource rents, discounted at 4 percent, to the exhaustion time of the resource. Rent is calculated as the product of unit resource rents and the physical quantities of mineral extracted. It covers tin, gold, lead, zinc, iron, copper, nickel, silver, bauxite, and phosphate.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: National accounts