Statistical processing
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National Accounts, Climate and Environment, Economic StatisticsMichael Zörner
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The forest accounts are produced separately for forest area and for growing stock. The accounts for the forest area are obtained almost directly from the Danish reporting on land cover under the Kyoto Protocol and from the calculation of the area of undisturbed forest provided by the Agency for Green Transition and Aquatic Environment. For the physical growing stock accounts, several sources are matched and harmonized in order to compile complete and consistent accounts. From the physical growing stock accounts, the monetary accounts (in DKK) are calculated through a valuation model based on estimated prices.
Source data
The accounts are based on a number of sources:
- The Danish National Forest Inventory which is produced and annually published by the Department of Geosciences and Natural Resource Management, University of Copenhagen.
- The Danish reporting on forest land under Kyoto (LULUCF). This is available at UNFCCC and the European Environment Agency.
- A calculation of the area of undisturbed forest provided by the Agency for Green Transition and Aquatic Environment.
- The statistics on felling of wood in the Danish forests, published by Statistics Denmark. See the documentation of statistics for Felling of Wood in the Danish Forests.
- Market prices of timber products, collected from the Danish Forest Association.
Frequency of data collection
The source data are collected annually.
Data collection
No primary data collection takes place for the forest accounts. All sources are existing statistics or data collected for other purposes (except for a calculation of the area of undisturbed forest provided by the Agency for Green Transition and Aquatic Environment). Data collection therefore takes place primarily by collecting reports published on the websites of the relevant organizations. For information on the data collection for these sources, please see the documentation provided in the section on 'Source data'.
Data validation
When the forest accounts are compiled, data from the different sources are combined and thus compared. This leads to a 'plausibility control' across the different sources. The approach consists in preserving the original data as far as possible for the physical stocks. In particular, the growing stock for each year, as published in the National Forest Inventory, is used as a fixed reference point around which other sources are aligned.
Data compilation
The accounts for the forest area build on the Danish reporting of forest land under the Kyoto Protocol. As part of this reporting, a matrix for changes in land cover is created (LULUCF). The accounts for the forest area are produced as a simple extract of the relevant cells from this reporting (concerning the national totals). The regional distribution is based on the National Forest Inventory. Forest area by forest category is obtained from the calculation of the area of undisturbed forest provided by the Agency for Green Transition and Aquatic Environment.
The accounts for the growing stock integrate several sources and contain both a physical part and a monetary one.
The physical accounts for the growing stock are calculated first. Measurements of the growing stock from the National Forest Inventory are used as a starting point for the closing stock at the end of the year - and thus as opening stock at the beginning of the following year. The net change in stock is the difference between opening and closing stocks. Data on felling is obtained from the statistics on felling of wood in the Danish forests and is adjusted to account for other types of losses (incl. underreported felling). Irretrievable losses are comprised of windthrow (taken from the National Forest Inventory) and an estimate for logging residues, etc. Net increment is then calculated as the sum of net change in stock, reductions and irretrievable losses as well as a possible balancing item (used to correct for negative or unrealistically low net changes in stock regarding particular species of wood in the individual regions). Natural death of trees is thus implicitly included in the net increment. The regional distribution of the physical accounts for the growing stock is obtained from the National Forest Inventory. All parts of the physical accounts for the growing stock are compiled not only on a national level, but also for the regions.
The economic valuation of the growing stock is based on the physical accounts using the so-called 'stumpage value' method. This is a simplified net present value method where the value of the stock is obtained by multiplying the current volume of standing timber by its stumpage price (i.e. the price a forest owner can get for the right to fell trees that are in the forest), assuming the rate of discount is equal to the natural growth rate. The stumpage prices are estimated from roadside market prices of different timber products, deducting costs of felling and transport (data on prices and costs is obtained from the Danish Forest Association). Value calculations are done separately for beech, oak, other broadleaves and conifers. For the most recent year, projected price data is used. When price data becomes final in the context of next year's publication, this year will therefore be revised.
When valuing the growing stock, the value of the growing stock found in forests that are protected against felling (timber production) is set to DKK 0. The share of the growing stock that is unavailable for timber production is estimated based on data on forest conservation from the National Forest Inventory (subject to a certain degree of uncertainty), the Danish Environmental Protection Agency and the Agency for Green Transition and Aquatic Environment (since 2023). The balance item 'Statistical re-classification' contains the change in the total value of the tree resources resulting from the conversion of forest available for wood supply to undisturbed forest (or vice versa). In addition, an assumption of losses during tree felling is used in the valuation, which is at 3 percent (based on a report from the Department of Geosciences and Natural Resource Management, University of Copenhagen from 2015). These losses during tree felling are valued at DKK 0.
Regarding the discontinued StatBank tables SKOVRG01 and SKOVRG02, please refer to the previous versions of the documentation of statistics for the forest accounts.
Adjustment
There are no corrections other than those described under data validation and data compilation.