Methodology The satellite accounts on atmospheric emissions Index 1. Introduction 2. Objectives 3. Theoretical conceptual method 4. Development of the model 5. Environmental indicators 1 Introduction The Sixth European Community Action Programme on the Environment "Environment 2010: the future is in our hands" establishes as one of its objectives to try and solve the problem of climate change. There is a general opinion when affirming that a modification of land climate is occurring as a consequence of the high concentrations of greenhouse gases in the atmosphere. The political and economic action on atmospheric emissions from the VI Programme is basically directed at ratifying and applying the agreements registered in the Kyoto protocol to reduce greenhouse gases in the 2008-2012 period by 8 per cent with respect to 1990 levels. Therefore, we are dealing with establishing these concentrations at a level that does not provoke substantial or natural variations in the land climate via sectorial policies that promote changes in the production processes or in the alternative use of less contaminant energy sources. Achieving this goal means having reliable statistical information available that measures the concentration of contaminant substances in the atmosphere and determines the economic sectors that are most influencing these emissions. A theoretical useful application model is that of the satellite accounts on atmospheric emissions; these accounts may be defined as a method of orderly presenting economic information with data on emissions of contaminant substances into the atmosphere. 2 Objectives The main objective of this project is to present in this way the maximum number of statistical tables that constitute the satellite accounts on atmospheric emissions. This first set of tables constitutes the first phase in the theoretical development of the accounts. In subsequent phases, other goals will be pursued that will be achieved as the transposition bridge tables are incorporated into some economic sectors, the natural movements and a set of indicators relative to the main contaminant substances emitted into the atmosphere. 3 Theoretical conceptual model 3.1 Introduction The NAMEA is the English acronym of the National Accounts Matrix (NAM) of Environmental Accounts (EA). It is a model in which the economic statistical and environmental data are consistently organised and formulated. The NAMEA model consists of extending a simplified matrix to present the national accounts (NAM) with rows and columns where environmental information relative to accountable economic transactions in the national accounts system is presented. The objective is to describe the pressure exerted by the development of economic activities on the environment and the responses to reduce or eliminate such pressure. The nucleus of the system is a set of matrices that contain national accounts data (NAM) related to the data supplied by environmental accounts (EA). The environmental accounts are statistical data matrices relative to some environmental aspects, valued in monetary terms and/or in physical units; the only requirement demanded in the elaboration of accounts is that the information bears in mind the classification definitions and regulations established in the economic statistics. Currently data that are included in the NAMEA models are atmospheric emissions, waste water and waste. The energy balances that production and the use of energy shows may also be included in the model as well as the volumes of forests and subsoil assets. Economic data on environmental protection expense and taxes are presented separately within the economic matrices. 3.3 The NAMEA model applied to the air The NAMEA model applied to air consists of presenting in a coherent and ordered way, economic data with those of contaminant substances generated in the economic system, emitted into the atmosphere, both types classified by economic sectors. This involves relating movements on atmospheric emissions and economic system movements. Those other movements that occur between the economy and the natural environment are not considered in this model and its measurement will be the object of study in a second phase (enlargement of the model) that will make possible a more complete analysis that is purely economic. The NAMEA model on atmospheric emissions may be represented with the following schema: Schema of NAMEA model Chart A Chart B Economic transactions Contaminant substances emitted by households and the productive system Contaminant substances classified by economic activity 3.4 General structure of the charts The structure of the tables making up the model is detailed below. Table A consists of a simplified matrix of national accounts by economic activities. The concepts and definitions, accountable regulations and ways of registering economic movements are those that feature in the ESA-95 National Accounts System. The main economic transactions considered in the model are the following: Production at base prices. Intermediate Consumption Value added to basic prices. Total employment. Jobs equivalent to full time Salaried employment. Jobs equivalent to full time. Household final consumption expense (some concepts) The economic transactions are broken down according to the following classification of economic activities. Section A B C Division 01 02 05 10 11 12 13 14 D 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 Economic activities Agriculture, livestock, hunting and forestry Agriculture, livestock, hunting and related service activities Forestry, logging and related service activities Fishing Extractive industries Extraction and agglomeration of anthracite, coke, lignite and peat. Extraction of crude petroleum and natural gas; service activities related to oil and gas extraction, excluding surveying activities Extraction of Uranium and Thorium Ores Extraction of Metallic Ores Extraction of non-metallic and non-energetic ores. Manufacturing industry Food and beverages products industry Tobacco industry Textile industry Clothing and furs industry Preparation, tanning and finishing of leather; manufacture of leather travel goods, saddlery, harness-making and footwear Manufacture of wood and of products of wood and cork, except furniture; manufacture of articles of straw and plaiting materials Paper Industry Publishing, graphic arts and reproduction of recorded supports Manufacture of coke, refinement of petroleum and treatment of nuclear fuels Chemical Industry Manufacture of rubber and plastic products Manufacture of other non-metallic ore products Metallurgy Manufacture of metal products, except machinery and equipment Construction of Machinery and Mechanical Equipment Industry Manufacture of machinery and computers Manufacture of electrical machinery and material Manufacture of electronic material; manufacture of radio, television and communication equipment and apparatus Manufacture of medical, precision and optical instruments, watches and clocks Manufacture of motor vehicles and trailers Manufacture of other transport equipment Manufacture of Furniture; other manufacturing industries Recycling E F G H I J K L M N O P Q 40-41 40 41 45 50-52 55 60-64 60 60.1 60.2 60.3 61 62 63 64 65-67 70-74 75 80 85 90-93 90 91 92 93 95 99 Supply of electricity, gas and water Production and distribution of electrical energy, gas and water Collection, Treatment and Distribution of Water Construction Retail and wholesale trade, repair of motor vehicles, motorcycles and household articles Accommodation Transport, storage and communications Land transport; transport via pipelines Railway Transport Other land transport Transport via pipelines Maritime, cabotage and in-land waterway transport Air and space transport Supporting and auxiliary transport activities; activities of travel agencies Post and communications Financial intermediation Real estate and rental activities; corporate services Public administration, defence and social security Education Health and veterinary activities, corporate services Other community, social and personal service activities Public Sewage Activities Associated activities Recreational, cultural and sporting activities Various personal services activities Households which employ household personnel Extraterritorial institutions Table B presents the environmental aspects related to the economic activities considered in table A. The main contaminant substances considered are those that feature in the following table: Effects Greenhouse effect Acid rain Deterioration of the ozone layer Photochemical contamination Contaminant substances CO2 Carbon dioxide CO Carbon monoxide CH4 Methane N2O Nitrogen monoxide HFC Hydrogenfluorocarbon composites PFC Polyfluorocarbon composites SF6 Sulphur hexaflouride SOx Sulphur oxides NONx Nitrogen oxides NH3 Ammonia HFC Hydrogenfluorocarbon composites PFC Polyfluorocarbon composites SF6 Sulphur hexaflouride NONx Nitrogen oxides NMVOC Volatile organic composites (excluding methane) A detailed description of the tables that appear in the model is shown below. Economic tables The economic tables present the main economic operations in the national accounts model via the origin and destination tables in which the consumption of households on those goods and service that contribute to the emission of contaminant substances into the atmosphere (transport, heating and others) also features. Emissions tables classified according to their origin Emissions from households Emissions of resident producers. In the NAMEA the emissions coming from the activity carried out by resident units outside the country must be included in the corresponding activity branches according to the definitions and practical regulations of the national accounts. This in general often occurs in maritime, air and land transport. However, the emissions of non-residents in the national economic territory must be associated with this same criteria, exclusion. Cross border emissions coming from the rest of the world These only refer to cross border movements via the movement of atmospheric air masses. The total emissions according to their origin expresses the total emissions that are generated by resident units in the national economic territory and are calculated by adding cross border atmospheric emissions coming from the rest of the world to household emissions and national producers. Emissions tables classified according to their destination Carbon absorption It should not be deduced directly from the emissions classified by NAMEA economic activities. However, it should be registered according the Kyoto agreement on the evaluation of the greenhouse effect (growth of forestry bio mass for forests established since 1990). Rest of the world cross border emissions. Only cross border movements coming from the movement of atmospheric air masses to the rest of the world are considered. The total emissions according to their destination expresses the sum of the emissions absorbed by nature CO2, cross border emissions and emissions that contribute to evaluating environmental pressure (greenhouse effect, acid rain…) 4. Development of the model 4.1 National economic activities The NAMEA model measures the interrelation between the economy and the environment. Consequently the economic and environmental statistical data of the model must be based on similar accounting definitions and regulations. The economic data are based on the model of national accounts and environmental data. In this case atmospheric emissions, must be based on procedures similar to economic data with the object of being able to correctly integrate both sets of statistical tables. The national accounts system analysis unit is the economic activity unit resident in the country. The economic activity units are grouped into activity branches and the nomenclature used is the NACE-Rev1. The method used to measure atmospheric emissions is the same as that used in the national accounts system. The analysis unit is the economic activity unit resident in national economic territory and therefore is only necessary to quantify the emissions generated by these units in the national economic territory. This means that those emissions generated by non-resident economic units (for example, tourism) in the national economic territory must not be included and that emissions generated by resident units outside the country (including tourism of Spanish residents and Spanish transport abroad) in those economic activity branches that have generated production of these activities or in the household consumption must be included. 4.2 Differences between the NAMEA and the CORINAIR The NAMEA being a model that links emissions to the economic activities that cause it, data on atmospheric emissions have to be comparable with the economic data registered in the national accounts. Consequently, the register of data from atmospheric emissions with identical accounting regulations and classifications as those used in the register of economic operations. CORINAIR estimates the atmospheric emissions via combustion processes. Therefore a priori their assignation to economic activity branches from the NACE-Rev1 classification may be complicated. Some of the SNAP categories from CORINAIR however may be easily classified into the NACERev1 branches. Other categories however, present classification problems. The methods used to estimate emissions in CORINAIR vary from one process to another using different types of variables or indicators according to the information available. The energy balances may help to make this transposition on some occasions, however on others indicators related to the quantity of contaminated substance that we are trying to measure as well as the number of vehicles, the number of employees, production or a combination of these are used. Those that are used in the calculation method. Emissions not related to energy use but with production processes may also be accounted for in CORINAIR. In general, the CORINAIR data may be a good source of information for these emission processes except in the emission of solvents. CORINAIR includes new classes of contaminants: greenhouse effect gases, acidification gases, gases responsible for photochemical contamination and black smoke and gases that damage the ozone layer and which also contribute to the greenhouse effect: chlorofluorocarbons (CFC), hydrogenfluorocarbons (HFC) and sulphur hexafluoride (SF6). It also includes heavy metals such as arsenic (As), mercury (Hg), lead (Pb), zinc (Zn), cadmium (Cd), chromium (Cr), selenium (Se), copper (Cu) and nickel (Ni). Consequently, this calculation method substantially modifies data on NAMEA model atmospheric emissions. In effect, the IPCC and CORINAIR statistics only include a restricted part of the emissions associated with transport services. Emissions coming from the transport to foreign destinations and/or international areas have to be accounted for in the NAMEA, it being necessary to establish agreements to assign emissions from international territories to countries. In the NAMEA these emissions have to be assigned to the economic activities that cause the emission. In this way, the emissions from an air company must be assigned to this air company and not only include those emitted in their economic territory as in the IPCC. Another example could be shipping companies. Another important question to consider in the NAMEA that does not influence the total contaminant substances emitted but in the way distribution is carried out between households or productive branches is that the assignation of emissions associated with a productive activity corresponding to activities secondary or auxiliary to the main activity must be assigned to the activity branch corresponding to the main activity; in this way, the emissions coming from personal transport and emissions due to combustion processes have to be assigned to the economic activity branches of the main activity that is carrying out this service. 4.3 Assignation of atmospheric emissions by economic activity branches . Independent from the use and assignation of emissions by economic activity branch according to the NACE-Rev1 classification, there are problems in certain activity branches when assigning atmospheric emissions according to the principles established by the national accounts. A revision of the sectors that present the most problems in their treatment can be found below as well as the commitments and formulas that have been agreed within European Union countries. Electricity Three aspects are necessary to mention to assign the effect of emissions from this productive sector. First, the type and quantity of emissions is determined according to the type of primary energy used. For example, carbon, petroleum, natural gas, nuclear or hydraulic energy. Secondly, emissions coming from electrical production may vary annually depending on international electricity commerce existing in neighbouring countries. These data have to be consistent with the economic data of national accounts. Emissions coming from this sector must be assigned to the activity branch of the productive unit and not to the user branch. Thirdly, emissions coming from personal electricity production and considered as a secondary activity have to be assigned to the economic activity branch of the main activity, just as with their economic data. Emissions that come from personal electricity production for personal use and considered as an auxiliary activity have to be assigned to the activity branch that produces it with the objective of creating the conditions to relate emissions with the economic data from national accounts. Personal transport National accounts separately identify land, sea, air transport and the activities annexed to transport. The quantity of contaminant substances emitted by these economic sectors must be coherent with the economic data from the economic accounts and only emissions associated with these types of transport must be considered. The transport carried out for personal use is classified in the economic activity branches of the main activity that produces it as an auxiliary activity and the emissions that are emitted are those corresponding to the combustion of energy products used by the different means of transport to transport goods. Emissions associated with the private car use is classified as final household consumption. Greenhouse emissions Greenhouse emissions are mainly the following CO2 emission, CH4 and CFC's. Generally these emissions may be located by municipality because the town councils are the ones who manage their treatment. These emissions are assigned to the economic activity branch of the public health NACE-Rev1 90 to be coherent with the main principles of the NAMEA and the national accounts. Another way of adjudicating these emissions is assigning them to activity branches or to households as the economic units, companies and households being those that have generated the waste that such emissions produce. However, this is an incorrect way of acting within the general framework of the NAMEA. Household emissions Emissions from households is divided into emissions from the consumption of personal transport services, heating and others. Emissions from electricity spending by households is not located in the households as specified previously. In some cases, the annual variations of emissions may be explained by changes in temperature as these are closely linked to the use of fossil fuels for heating. Variables registered in the NAMEA would be adjusted to show the tendency of meteorological components in the consumption of energy. 4.4 Relation between non-economic activities and atmospheric emissions This model only includes emissions from economic activities. Emissions coming from non-economic agents (nature) are not included in the detailed tables. Therefore, the absorption of substances by nature are not accounted for as well as the storage of carbon which should be deducted from the forestry CO2 emissions. This framework is flexible and the data from cross border emissions or the absorption of CO2 are included in some of the model tables where the movements of substances according to their origin and destination to obtain a more complete description. 5. Environmental indicators One of the ways to analyse the information is to provide a battery of indicators that synthetically express the environmental situation of the atmosphere. There are parameters that provide information and/or tendencies on the environmental conditions related to air quality. Their significance goes beyond the results of the statistic, trying to supply information that facilitates measuring the effects that human activity have on the environment or the effectiveness of environmental policies. A table with the indicators selected is presented below. The importance of the indicators comes from the need to supply political officials and society in general with a tool by means of which information is presented in a concise and representative manner and which can be understood and used easily. Contributions to environmental aspects: Greenhouse effect: This represents the quantity of carbon dioxide emitted into the atmosphere, in equivalent units, corresponding to the greenhouse gases. a brief description of how it is calculated is given below. When the “global warming potential“ was calculated the measurements in equivalent tonnes of CO2 used were defined in the International Panel on Climate Change in 1995. In the NAMEA pilot studies several countries have evaluated the GWP100 index (GWP100 by tonne of gas emitted in the reference year) with CO2, N2O and CH4. Halogen gases are also included. The following table is used to calculate greenhouse effect indices. Earth warming gas GWP Factors100 CO2 1 N2 O 310 CH4 21 CFC 3400-1300 HCFC 140-1800 PFC 4500-6200 SF6 23900 Acid rain: this represents the contribution of emissions to the acidification effect. There is a standard index although it is not unique to this subject. The conversion in equivalent tonnes of SO2 of the emitted gases that contribute to the acid rain effect has been carried out based on the following table. Acid rain PEA Factor Acidification factors used in UK and Ireland SO2 1/32 1 NO x 1/46 0,6957 NH3 1/17 1,8824 Photochemical pollution: A standard index is available to synthesise the COVNM and CO emissions. This effect has been considered in this work. Another type of indicator that synthetically expresses the information and whose meaning and trend are easiest to interpret are those that represent the magnitudes in per capita terms, of employment or based on the value of production or the added value generated as a result of its productive activity. Moreover, they are indicators that supply indices on the trends on the state and level of the air quality. In this sense the following indicators have been selected: Quantity of carbon dioxide and sulphur dioxide per capita. Quantity of carbon dioxide and sulphur dioxide by GDP (constant prices). Quantity of carbon dioxide and sulphur dioxide by employment. Percentage with respect to the quantity of carbon and sulphur dioxide emitted by economic sectors. Another of the important questions to establish in this type of indicator would be to analyse the relation existing between the type of contaminant substance emitted and the state of health of the population. The cause of certain illnesses, diseases of the respiratory tract, allergies, skin cancers is related to the state and quality of the air that is inspired. Consequently, it is necessary to look for indicators that relate both pieces of information with the objective of getting to know if the reduction of emissions of some contaminant substances reduces the number of diseases diagnosed. These types of indicator are not the object of the present study.