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Economic Intensities

Economic Intensities

Large decrease in emission economic intensities since 2012

CSO statistical publication, , 11am

Economic Intensities

If we know the value of activity (output) or the value added associated with this activity (GVA) and we combine this with the greenhouse gas emissions (GHG) associated with this same activity, we can calculate the emission economic intensity of this activity – for example in grams carbon dioxide (CO2) equivalent per euro of activity or value added.

Total greenhouse gas air emissions were 145 grams per euro of Output in 2012. This intensity of emissions had more than halved by 2021, when it had decreased to 69 grams per euro of Output, a decrease of 53%.

There was a much publicised ‘level-shift’ in the Irish National Accounts in 2015. Even with this, total greenhouse gas air emissions per euro of Output was 39% lower in 2021 than in 2015. Similarly, in 2019, prior to the impact of the COVID-19 pandemic, the intensity of Output emissions was 35% lower than in 2012. See Table 2.1.

Table 2.1 Greenhouse Gas Air Emissions in grams CO2 equivalent per € of Output by NACE A21 sector in current prices, 2012-2021

Total air emissions were 339 grams per euro of GVA in 2012. This intensity of emissions declined by even more than for Output and had decreased by over 60% by 2021, when it stood at 135 grams per euro of GVA.

Even allowing for the much publicised ‘level-shift’ in the Irish National Accounts in 2015, total GHG air emissions per euro of GVA was 42% lower in 2021 than in 2015. Similarly, in 2019, prior to the impact of the COVID-19 pandemic, the intensity of GVA emissions was 44% lower than in 2012.

Using GNI*, measure of economic activity which excludes several globalisation effects which disproportionally impact the measurement of the size of the Irish economy, emission intensities were 423 grams per euro of GNI* in 2012. This intensity of emissions decreased by over 45% by 2021, when it stood at 232 grams per euro of GNI*. In 2019, prior to the COVID-19 pandemic, the GNI* intensity was 29% lower than in 2012. See Table 2.2.

Table 2.2 Greenhouse Gas Air Emissions in grams CO2 equivalent per € of GVA by NACE A21 sector in current prices, 2012-2021

When these current price GVA and GNI* estimates are deflated to constant 2020 prices, total air emissions were 279 grams per euro of GVA in 2012. This intensity of emissions decreased by 51% by 2021, when it stood at 137 grams per euro of GVA. Total air emissions were 342 grams per euro of GNI* in 2012 and decreased by 31% by 2021, when it stood at 236 grams per euro of GNI*. In 2019, prior to the COVID-19 pandemic, the GVA and GNI* intensities were 30% and 11% lower than in 2012. See Table 2.3.

Table 2.3 Greenhouse Gas Air Emissions in grams CO2 equivalent per € of GVA by NACE A21 sector in constant prices, 2012-2021 (chain linked annually and referenced to year 2020)

Intensity Indices

It can be useful when examining a time-series to benchmark the series to a reference year to illustrate changing patterns more clearly over time. Again, these results describe NACE sectors and exclude households.

Figure 2.1 shows the level of GHG air emissions alongside the Output, GVA and GNI* emission intensities over the period 2012-2021, with 2012 taken as the benchmark and set to 100.

While the level of GHG air emissions has remained at close to or above the 2012 level, the intensity of emissions per euro of Output, GVA and GNI* has decreased across the period. These stood at 47, 40 and 55 respectively in 2021, or more simply that in 2021 all three stood at around half or less than half their 2012 GHG intensities. Constant price indices, in 2020 prices, are also included to remove the effects that price increases will play in the current price estimates. The constant price GVA level in 2021 was 49, while the GNI* was 69, illustrating that the low inflation experienced over the period was a contributing but not a dominant factor in the observed intensity decreases. Further details on constant prices are provided in the Background Notes. See Figure 2.1.

GHG air emissionsOutput intensityGVA intensityGNI* intensityGVA intensity (constant 2020 prices)GNI* intensity (constant 2020 prices)
GHG air emissionsOutput intensityGVA intensityGNI* intensityGVA intensity (constant 2020 prices)GNI* intensity (constant 2020 prices)
2012100100100100100100
2013100.53288196167197.076794152059497.200593707692593.512909678545799.241822279612394.9183194071404
2014101.39473289013791.670107078472290.129662120342986.676801854286392.982412432712288.0595092590778
2015105.87933643332477.394735190883368.810223482716283.214731043305178.39311051698193.6837921027782
2016114.47492245853480.681969124021472.405827867934584.570604601090383.613902551816896.6869022919923
2017119.41368249770178.610085512336268.953086359921383.048310213613481.618514985461396.3758224083992
2018121.54855540043171.754317031721662.981183298027979.732343272389175.329441251423393.9222588652674
2019118.29383257321765.258574338983656.106910374743171.425593369340269.583855811812388.930083261424
202094.982682499962749.749699261643642.814069470079960.43014103612252.025485218190974.86969722089
2021100.9369701315647.430466929876339.900145701019254.914814726760549.089067850237968.970147297118

Similarly, the following tables display Output and GVA, with the year 2012 taken as the benchmark and set to 100 and show the differences in contributing sectors to these totals. 

From 100 in 2012, the total Output intensity index had decreased to 47 by 2021. However, within the A21 sectors of the economy several patterns emerged. Many, but not all, sectors displayed a decrease in intensity over the period. Care should be taken with sectoral comparisons given the different nature of the activities covered in each, particularly those sectors with low emission intensities. The COVID-19 pandemic impacted the 2020 and 2021 estimates, particularly Air Transport (NACE 51) found in the Transportation and Storage (H) sector (NACE 49-53). See Table 2.4. 

Table 2.4 Index of Greenhouse Gas Air Emissions in grams CO2 equivalent per € of Output by NACE A21 sector in current prices, 2012-2021 (where 2012=100)

From 100 in 2012, the total GVA intensity index had decreased to 40 by 2021. However, within the A21 sectors of the economy several patterns emerged. Many, but not all, sectors displayed a decrease in intensity over the period. For example, the Agriculture, Forestry and Fishing sector (A) was 46 in 2021. This means that the emissions intensity per euro of GVA was less than half what it was in 2012. In contrast, the Mining and Quarrying sector (B) intensity was 308 in 2021. Alternatively using GNI*, a measure of economic activity which excludes many globalisation effects, the index of Irish emission intensities decreased to 55 by 2021. See Table 2.5.

Table 2.5 Index of Greenhouse Gas Air Emissions in grams CO2 equivalent per € of GVA by NACE A21 sector in current prices, 2012-2021 (where 2012=100)

Table 2.6 is calculated using constant 2020 price GVA estimates. From 100 in 2012, the constant price GVA intensity index had decreased to 49 by 2021. Alternatively using constant price GNI*, the index of Irish emission intensities decreased from 100 to 69 by 2021. See Table 2.6.

Table 2.6 Index of Greenhouse Gas Air Emissions in grams CO2 equivalent per € of GVA by NACE A21 sector in constant 2020 prices, 2012-2021 (where 2012=100)