State Statistical Committee of the Republic of Azerbaijan

1. State Statistical Committee of the Republic of Azerbaijan Implementation of System of Integrated Environmental-Economic Accounting (Azerbaijan prospects) Geneva, June 13, 2013

2. SEEA and Measuring Sustainable Development Sustainable Development Concept Growth process is defined as sustainable, if it is both environmentally and economically sustainable Economic sustainabilityis an ability for long term positive growth of consumption percapita; Environmental sustainabilityis a long term keeping the minimal stock of natural resources (minimal environment quality).

3. SEEA and Measuring Sustainable Development (continued) • Three approaches to measure sustainable development: • “Three pillars” approach • Environmental approach; • Capital approach. • SEEA may serve as at least partial basis for measuring with all the three approachesand is most useful when studying sustainable development in terms of capital stock.

4. SEEA and Environmental Statistics System of environmental statistics indicators is broad enough and internally well-adjusted, but unlike to SEEAit has no sequences for different sets of data. SEEAis an overall system of accounts, where sequent set of accounts is adjusted in terms of concepts, methods, definitions and classifications. Furthermore, the SEEAis aimed to be adjusted in terms of time.

5. SEEA and Environmental Statistics (continued) The important difference between environmental statisticsandSEEA is that SEEA is clearly aimedto compatibility witheconomic information of the System of National Accounts.

6. SEEA Implementation Strategy • Common strategy of SEEA implementation is briefly defined in reports ofCommittee of Experts on Environmental-Economic Accountingsubmitted at forty third and forty fourth sessions of the Statistical Commission. • At initial stages, it is necessary to define a necessary minimal set of accounts to implement. These accounts should ensure progressive implementation of the system;   • The required minimal set of accounts should be accurately tied up withindicators estimation; • They should be simplified and include, firstly,problems of global significance.

7. Modular Approach to SEEA Implementation Stage I:Creation of relevant national institutional arrangements considering adjusted priorities in policy; defining coverage and the level of itemization of accounts and tables. Stage II:Self-evaluation to define accounts that may be implemented as well as the term of their implementation and the main sources of data needed for this purpose. Stage III:Quality evaluation for the basic data required to compose accounts. Stage IV:elaboration of strategic plan for development of environmental accounting, which shall define the priority type of accountsand actions on improving source data.

8. Current Situation on Environmental and Economic Accounting in Azerbaijan Nowadays, environmental statistics and national accounts in Azerbaijan work in two parallel planes, neither meet nor interact.

9. Current Situation on Environmental and Economic Accounting in Azerbaijan (continued) Environmental Statistics Indicators system: Mainly, corresponds to standard applied in international practice; System of classifications: CEPA 2000, EWC-Stat Rev.3, NACE rev2.

10. Current Situation on Environmental and Economic Accounting in Azerbaijan (continued) Statistics of National Accounts Version: SNA-93 Annual accounts: Full sequence of accounts up to the financial account; Quarterly accounts: GDP by method of production and use Supply and use tables:once in 5 years since 2001

11. Goals and Further Activities on Improving the Set of Indicators for Environmental and Economic Accounting in Azerbaijan • Actions on development of some SEEA components that were included in the “State Program on Development of Official Statistics in 2013-2017 in the Republic of Azerbaijan” • Evaluation of non-produced non-financial assets; • Elaboration and implementation of assets-and-liabilities balances; • Elaboration of green economics indicator system; • Elaboration of satellite accounts in power industry; • Improving the indicator system for environment-related activities.

12. Goals and Further Activities on Improving the Set of Indicators for Environmental and Economic Accounting in Azerbaijan (continued) • Measures to be taken to manage activitieson complex implementationof the SEEA into the statistical practice of the country: • defining demand and priorities for complex environmentally-economic information; • defining set, itemization and sequence of accounts to be developed within the frames of integrated Environmental-Economic Accounting; • studying information sources and methods of indicators estimation; • ensuring creation of infrastructure and toolkitfor collection and processing of the necessary statistical information; • adapting structure and databasesof supply and use tables for SEEA chains

13. Conclusion Ecology( οἶκοςλόγος ) – science about home Economy( οἶκοςνόμος ) – rules of family life, household rules

14. Thank you for your attention!