1. 1 OECD PROGRAMME ON MATERIAL FLOWS AND RESOURCE PRODUCTIVITY Meeting of the London Group on Environmental Accounting Meeting of the UN Committee of Experts on Environmental Economic Accounting June 2006, New York

2. 2 OECD work on Material Flows and Resource Productivity Implementing the OECD Council Recommendation (April 2004) Responding to requests by G8 Heads of State and Government (Evian, June 2003; Sea Island, June 2004; 3R initiative, Japan) Supporting OECD policy analysis and evaluation Mandate and purpose Foundations OECD Seminar in 2000 Member countries initiatives International work: Eurostat guide; SEEA; research work

3. 3 OECD work on Material Flows and Resource Productivity Within OECD –Environment Directorate –Horizontal programme on Sustainable Development –Statistics Directorate (accounting frameworks for SD statistics) –Science, Technology & Industry Directorate (I-O analysis & globalisation) European Union: Eurostat and TF-MFA, EEA, DG ENV United Nations: UNSD and UNCEEA; UNEP Other: London Group; IWG Environment Statistics; Wuppertal Institut, IFF Vienna, WRI Co-operation and co-ordination

4. 4 OECD work on Material Flows and Resource Productivity 1- Brochure on MFA 2- Guidance on methodological and measurement issues 3- Guidance on the interpretation and use of MF and RP indicators 4- Measured indicators – pilot data set 5- Overall report on MF in OECD countries and beyond Guidance manual “Measuring material flows and resource productivity” Main outputs

5. 5 Part I: Overall framework for material flow analysis –Broad coverage of MFA tools –Clear articulation of purposes/uses of MFA tools –Links to policy questions and other measurement tools Part II: Material flow accounts –Concepts, definitions, classifications –Types of accounts –Methodological issues Part III: Material flow and resource productivity indicators –Purposes, definitions, selection criteria, etc. –Interpretation and use Part IV: Developing MF accounts – implementation guide –Modular structure: menu of options based on decision tree including simplified, didactic part –To promote harmonised implementation –To be applied by countries according to own needs & context OECD work on Material Flows and Resource Productivity Guidance manual - Coverage and structure

6. 6 OECD work on Material Flows and Resource Productivity Volume of flow (in tonnes) Flows do not exist Flows are of minor interest Total material throughput Potential specific environmental impact (per tonne of material) Nutrients Water Sand & gravel Fossil fuels Carbon Timber Paper Steel Aluminium Heavy metals Fertiliser Pesticides Hazardous chemicals SolventsPVC What do we mean by “materials”? Residuals Natural resources Ecosystem inputs Products

7. 7 OECD work on Material Flows and Resource Productivity Volume of flow (in tonnes) Flows do not exist Flows are of minor interest Total material throughput Potential specific environmental impact (per tonne of material) Nutrients Water Sand & gravel Fossil fuels Carbon Timber Paper Steel Aluminium Heavy metals Fertiliser Pesticides Hazardous chemicals SolventsPVC What do we mean by “materials”? Industrial materials Bulk flows Substances Overall aggregates

8. 8 Its many different tools can be characterised according to their position with respect to two policy- relevant kinds of dimensions: The MFA family of tools OECD work on Material Flows and Resource Productivity Ecological: level of detail related to physio-chemical characteristics Economic: level of detail in terms of partition of human activities These two dimensions identify a space where all MFA tools can be placed The further from the origin, the narrower the coverage, in terms of substances and /or of economic activities Let us try and place the most common and somehow codified kinds of applications

9. 9 The tool provides complete coverage of the economy The tool only provides information on economy-nature exchanges The tool also provides information on internal flows of the economy The tool also provides information on internal flows of the economy and of nature The tool provides complete coverage of the substances OECD work on Material Flows and Resource Productivity

10. 10 SFA LCA Physical flow accounts for water The tool provides complete coverage of the economy The tool only provides information on economy-nature exchanges The tool also provides information on internal flows of the economy The tool also provides information on internal flows of the economy and of nature The tool provides complete coverage of the substances PIOTs and other flow accounts for individual materials’ Aggregated PIOT Economy-wide MFA OECD work on Material Flows and Resource Productivity NAMEA-type table Waste NAMEA-type table for Air emissions NAMEA-type table for Energy carriers use Business level MFA

11. 11 OECD work on Material Flows and Resource Productivity Approach Core work: work in areas of common relevance where progress can be best obtained through joint efforts in the OECD and in member countries as a group. Priority given to areas where results can be obtained over a period of two to three years Additional more detailed work: by countries

12. 12 OECD work on Material Flows and Resource Productivity SFA LCA Physical flow accounts for water The tool provides complete coverage of the economy The tool only provides information on economy-nature exchanges The tool also provides information on internal flows of the economy The tool also provides information on internal flows of the economy and of nature The tool provides complete coverage of the substances PIOTs and other flow accounts for individual materials’ Aggregated PIOT Economy-wide MFA NAMEA-type table Waste NAMEA-type table for Air emissions NAMEA-type table for Energy carriers use Business level MFA

13. 13 One of the areas where a common methodological ground is already present – so that results can be obtained in the short/medium term - is Economy-wide MFA. The following are among the issues that can be addressed, also in view of the SEEA revision process: Terminology: –“economy-wide” –“materials” System boundaries for biomasses Optimal aggregation level for compilation and for presentation –by material –by economic activity Indirect flows OECD work on Material Flows and Resource Productivity

14. 14 OECD work on Material Flows and Resource Productivity Expert consultation on drafts (Parts I-III): June-July 2006 Preparation of revised drafts: July-August 2006 Formal consultation with OECD member countries: September 2006  Meeting of the Working Group on Environmental Information and Outlooks (WGEIO): 11-13 October 2006 Final revision: October-November 2006 Editing and release: end 2006-early 2007 Guidance manual – Main timelines