Definition: Subsidies/Transfers for environmental protection
Subsidies/Transfers include all types of transfers financing Environmental Protection activities in other sectors, including transfers to or from other countries. These constitute part of financing expenditure for the paying sector, and reduce the financing of EXP I (expenditure according to the abater principle) in the receiving sector. When a sector both receives and gives transfers, the net amount should be recorded.
Included are payments of so called "ear-marked" environmental taxes (e.g. general pollution taxes), which are not payments for a bought service but where the revenues are ear-marked for financing environmental protection measures. Payments of general environmental or green taxes (such as energy taxes) where the revenues are not ear-marked for financing environmental protection measures are excluded.
Joint OECD/Eurostat Questionnaire 2002 on the State of the Environment, section on Environmental Expenditure