MK – NI 067

Environmental protection expenditures is an indicator composed of total investment and total current expenditures. Current expenditure is the sum of internal running costs plus compensations and other payments for environmental protection services.

Environmental protection expenditurestrack how much has been invested for reconstruction and procurement of technology and equipment for environment protection and how much has been spent for these technologies and equipment maintenance and operation. Environmental protection expendituresalso include compensations and payments for environmental protection services (e.g. collection of waste, management of waste waters, environmental consultations).

• Environmental protection investments (in thousand denars)
• Expenditures for environmental protection assets maintenance (in thousand denars)
• Investments and expenditures in industry and specialized producers (in thousand denars)

Can investments and expenditures for activities intended for protection, reduction and elimination of pollution or other degradation of environment contribute to society responding to environmental concerns and how are those financed?

In the period 2013 to 2015, investments for environmental protection noted decline.An increase is noted at 2016. In 2013, the highest investment was made in the area of waste management. The highest expenditures for maintenance of the environmental protection assets were recorded in the same area. It is of key importance to increase both investment and expenditures for activities and assets of environmental protection in order to minimize the negative effects of processes and activities related to operations of business entities, especially industry and people’s behaviour.

 

Figure 1. Total investments in environmental protection

 

 

 

 

 

 

 

 

 

 

 

 

 

Figure2. Investments in environmental protection by sector

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Figure 3. Total expenditures for environmental protection assets maintenance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Figure 4. Total expenditures for environmental protection assets maintenance by sector

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Figure 5. Share of environmental protection investments and expenditures in industry and specialized producers in overall expenditures, 2015

 

 

 

 

 

 

 

 

 

 

 

 

 

Data coverage: excel

Data source: State Statistical Office, http://www.stat.gov.mk/Default_en.aspx

The public is increasingly aware of the need for environment protection against pollution and waste. Today, the protection if the environment is integrated in all policy areas with an ultimate goal of achieving sustainable development. All activities inevitably affect the environment to a certain extent which means that all sectors in the economy play specific role in overall efforts to minimize negative effects: governmental agencies and local authorities, companies involved in industrial and other business activities, businesses producing environmental services (e.g. collection and handling of waste) and households as consumers.

The purpose of statistical survey of environmental protection expenditures is to answer the following three questions:

• How much is paid by residential units – producers or consumers – and in what form for environmental protection?
• To what level is this expenditure financed by various institutional sectors?
• What is the value of environmental protection services produced by various economic activities?

In the period 2013 to 2015, both investments in and expenditures for environmental protection showed declining trend. In 2016 its increasing is noted. The largest area of investment and expenditure related to environment protection is the area of waste management – waste handling.

 

Comparative analysis of 2013 and 2014 data indicates that overall investments in and expenditures for environment protection in 2014 were lower by 12.3% than in 2013. The falling trend continued in 2015 as well; namely, the share of investments in the overall investments in and expenditures for environment protection in 2015 was 37.9% compared to 2014 when it was 44.5%, while the share of expenditures in 2015 recorded insignificant increased reaching 62.1% compared to 55.5% in 2014. In 2016 the share of investments is 55%, while the the share of expenditures is 45.0%.

In 2016, the highest amount of funds was invested in waste handling, while in 2015and 2014in water supply circulating systems. In relation to the expenditures for assets maintenance with regard to purpose, those were made for waste management in all years.

Observed by sectors of economic activity, the share of expenditures for environmental protection in industry and specialized producers in 2016 was 65.2% (2015-86.7%), while for other sectors it was 34.8 % (2015-13.3%). In industry and specialized producers, observed by purpose, the highest expenditures occurred for waste handling amounting 2.556.035 thousand denars. These expenditures were insignificantly increased compared to 2015when they amounted 2.245.035thousand denars. In other sectors, the highest expenditures in 2016 occurred for waste management amounting 1.503.262thousand denars, and the expenditures for forest protection with the amount of 124thousand denars were the lowest.

The ratio between the expenditures for environmental protection and gross domestic product is an important indicator of the protection of the environment relative to overall economic activity. In the period 2013-2014, the share of expenditures was around 1.3% of BDP or1.06% in 2015.

Data on the expenditures of environmental protection is gathered through regular statistical survey conducted on annual basis. It is carried out on the basis of sample designed within the statistical business register. Reporting units are business entities/local units (by NCA Rev.2) having funds of financial and non-financial fixed assets for environmental purposes (MFS-EN and NFS-EN).