Energy and Utilities
Depreciation
Refers to the decline in value of physical assets (such as buildings,plant and machinery) over time, measured at current replacement cost. This decline occurs due to normal wear and tear from use, technological obsolescence, and typical accidental damage. Depreciation represents the portion of an asset's value that is consumed during a specific accounting period.
Establishment
An establishment refers to a business or organisational unit that is engaged in one primary economic activity at a single physical location.
Multiple activities at one location: When an organisation operates different economic activities at the same physical address (such as a hotel with a restaurant, retail shop, and conference facilities), each distinct activity is treated as a separate establishment for statistical purposes.
Multiple locations with same activity: When an organisation operates the same type of business at different physical addresses (such as a retail chain with stores in various locations), each location is counted as a separate establishment, even if they share the same ownership, management, or brand name.
Gross Operating Surplus
The surplus accruing to owners from production before deducting property incomes payable on financial assets and other natural resources required to carry on the production. Estimates for Gross Operating Surplus are mainly derived as the value of output less intermediate consumption, Compensation of Employees and Other Taxes less Subsidies on Production. National accounts adjustments such as financial intermediation services implicitly measured (FISIM) and capitalisation of software as well as research & development (R&D) expenditure are incorporated.
Operating Expenditure
Refers to costs incurred in an entity's day-to-day operations, adjusted for changes in inventory. These expenses are fully recognised in the current accounting period and include remuneration, purchases of goods and materials, work contracted out, rental and maintenance of premises, machinery and equipment, professional services, utilities, transport, advertising, depreciation, indirect taxes, and other expenses directly related to the entity's operations. This excludes capital expenditure, loan principal repayments, and interest expenses.
Remuneration
Comprises all forms of compensation provided to employees and includes:
- Wages and salaries including commissions, bonuses and overtime pay before deduction of employee's contribution to CPF or any other deductions, as well as paid annual leave and paid sick leave.
- Employer's contribution to CPF and pension funds, but excludes pension and gratuities paid to retired employees.
- Stock options and other share-based payments given to employees as part of their remuneration package.
- Staff benefits such as medical care, meals, housing, transport, and other benefits-in-kind provided to employees by the firm, but excludes retrenchment benefits, entertainment allowances, cost of staff uniforms, and travel, accommodation, and other daily allowances provided in connection with business travel (i.e. per diems).