National Land Account, Experimental Estimates methodology

Land use reflects both (i) the activities undertaken and (ii) the institutional arrangements put in place; for a given area for the purposes of economic production, or the maintenance and restoration of environmental functions. 

The land use classification used by ABARES is based on ALUM Classification version 8. This is a hierarchical classification across 3 levels and 160 land use classification types. For the purposes of the National Land Account these classifications were condensed to 18 simplified land use classes, based on guidance from ABARES. Table 1 shows land use classes used in the land use tables and their concordance with the SEEA land use classes.

Land use class definitions 

Nature conservation 

Protected areas managed mainly for science, wilderness protection, conservation of specific natural features or species management. Also includes national parks, heritage agreements, voluntary conservation arrangements, registered property agreements, and recreation areas with primarily native cover. 

Managed resource protection    

These areas are managed primarily for the sustainable use of natural resources. This includes areas with largely unmodified natural systems that are managed primarily to ensure the long-term protection and maintenance of biological diversity, water supply, aquifers or landscapes, while providing a sustainable flow of natural products and services. 

Other minimal use  

Areas of land that are largely unused (in the context of the prime use) but may have ancillary uses. This may be a deliberate decision by the land manager or the result of other circumstances. The land may be available for use but remain unused for various reasons. 

Grazing native vegetation 

Land uses based on grazing by domestic stock on native vegetation where there has been limited or no deliberate attempt at pasture modification. Some change in species composition may have occurred. This class is used when there is greater than 50 per cent dominant native species.            

Production native forests 

Commercial production from native forests and related activities on public and private land. 

Plantation forests   

Land on which plantations of trees or shrubs (native or exotic species) have been established for production, or environmental and resource protection purposes. This includes farm forestry. 

Grazing modified pastures 

Land used for pasture and forage production, both annual and perennial, based on significant active modification or replacement of the initial vegetation. 

Dryland cropping 

Land that is under cropping but where no irrigation is used. Crops include cereals, beverage and spice crops, hay and silage, oilseed, sugar, cotton, and pulses. 

Dryland horticulture 

Land used for crop plants that are intensively cultivated, usually involving a relatively high degree of nutrient, weed and moisture control. Includes fruit trees, vine fruits, shrub berries and vegetables. 

Irrigated pastures 

Land used for irrigated pasture production, both annual and perennial, based on a significant degree of modification or replacement of the native vegetation. Includes irrigated woody fodder plants, legumes and grasses. 

Irrigated cropping 

Land under irrigated cropping. Crops include cereals, beverage and spice crops, hay and silage, oilseeds, sugar, cotton, and pulses and irrigated cereal crops which are cut for straw. 

Irrigated horticulture

Land used for irrigated crop plants that are intensively cultivated, usually involving a relatively high degree of nutrient, weed and moisture control. Includes land under netting to protect crops from hail or birds. 

Urban residential

Land within urban areas with residential infrastructure. It also includes land which is zoned for urban residential development where houses or apartments have not yet been constructed but infrastructure, such as roads and street lights, is in place and it is clear that the intended land use is urban residential.

Other intensive uses

Land allocated to manufacturing and industrial purposes, the provision of commercial or public services resulting in substantial inference to the natural environment (such as schools, cemeteries, sportsgrounds), electricity, gas or water utilities, and infrastructure for transportation (such as airports, railways) or navigation and communication equipment.

Intensive horticulture and animal production

Land used for intensive forms of plant or animal production often with special purpose improvements used for production. Includes nursery stock grown in containers, shade houses or glasshouses, and animal sheds and yards. Also includes land used for cultivating fish and crustaceans (aquaculture). 

Rural residential and farm infrastructure

Land within rural areas with houses and or other residential infrastructure with or without associated agricultural activity. Includes remote communities (less than 20 residences or buildings), farm buildings and other farm infrastructure. Rural residential generally refers to areas with blocks larger than 0.2ha located in a rural setting (away from the main urban setting). 

Mining and waste

Land from which minerals, precious stones and coal is being extracted (open cut and deep-shaft mines, quarries and tailings dumps and dams) and land associated with waste disposal activities (landfills, incinerators, sewerage infrastructure and effluent ponds). 

Water

Land used for water includes lakes (natural or human-made bodies of mainly static water surrounded by land), reservoirs and dams, rivers, wetlands and estuaries. It also includes artificial open channels which provide the supply, distribution or removal of water for irrigation purposes, or for a significant infrastructure function (such as salt interception, land reclamation, or drainage between water features for environmental management purposes).

Land cover refers to the observed physical and biological cover of the Earth’s surface and includes natural vegetation and abiotic (non-living) surfaces. 

The land cover classification used by DEA is based on FAO LCCS version 2. This is a hierarchical classification that created 88 land cover classification types at 4 levels. For the purposes of the National Land Account these classifications were condensed to level 3 of the classification hierarchy to align more closely with SEEA-recommended land cover classes. Table 2 shows the Level 3 land cover classes used in the land cover tables and their concordance with the SEEA land cover classes.

Land cover class definitions 

Artificial surfaces 

Areas that have an artificial cover as a result of human activities, such as construction (cities, towns, transportation), extraction (open mines and quarries) or waste disposal. 

Cultivated terrestrial vegetation

Areas where the natural vegetation has been removed or modified and replaced by other types of vegetative cover of anthropogenic origin. This vegetation is artificial and requires human activities to maintain it. In between the human activities, or before starting crop cultivation, the surface can be temporarily without vegetative cover. Its seasonal phenological appearance can be regularly modified by humans (e.g., tillage, harvest, and irrigation). All vegetation that is planted or cultivated with an intent to harvest is included in this class (e.g., wheat fields, orchards). 

Herbaceous

Areas where the dominant vegetative cover is below two metres in height and woody canopy cover is less than twenty percent. These areas would be dominated by crops, or grasslands and shrubs. 

Intertidal

Intertidal water refers to primarily non-vegetated coastal aquatic areas with systematic water variations. 

Natural aquatic vegetation

Areas which are transitional between pure terrestrial and aquatic systems and where the water table is usually at or near the surface, or the land is covered by shallow water. The predominant vegetation, at least periodically, comprises hydrophytes. Marshes, swamps, bogs or flats, where drastic fluctuations in water level or high concentration of salts may prevent the growth of hydrophytes, are all part of this class. The vegetative cover is significantly influenced by water and dependent on flooding (e.g., mangroves, marshes, swamps and aquatic beds). Occasionally-flooded vegetation within a terrestrial environment is not included in this class. Natural aquatic vegetation habitats are defined as biotopes where the vegetative cover is in balance with the influence of biotic and abiotic forces. Semi-natural aquatic vegetation is included in this class, defined as vegetation that is not planted by humans but which is influenced directly by human activities that are undertaken for other, unrelated purposes. Human activities (e.g., urbanization, mining and agriculture) may influence abiotic factors (e.g., water quality), affecting species composition. Furthermore, this class includes vegetation that developed due to human activities but which has recovered to such an extent that it is indistinguishable from its former state, or which has built up a new biotope which is in balance with the present environmental conditions. A distinction between natural and semi-natural aquatic vegetation is not always possible because human activities distant to the habitat may create chain reactions which ultimately disturb the aquatic vegetative cover. Human activities may also take place deliberately to compensate for effects as noted above with the aim of keeping a "natural" state. Only mangroves are included in the current release. 

Natural surfaces

Areas that do not have an artificial cover as a result of human activities. These areas include areas with less than 4% vegetative cover. Included are bare rock areas, sands and deserts. 

Natural terrestrial vegetation

Areas where the vegetative cover is in balance with the abiotic and biotic forces of its biotope and includes semi-natural vegetation. Semi-natural vegetation is defined as vegetation not planted by humans but influenced by human actions. These may result from grazing, possibly overgrazing, or else from practices such as selective logging in a natural forest whereby the floristic composition has been changed. Previously cultivated areas which have been abandoned and where vegetation is regenerating are also included. The secondary vegetation developing during the fallow period of shifting cultivation is a further example. The human disturbance may be deliberate or inadvertent. Hence semi-natural vegetation includes vegetation due to human influences but which has recovered to such an extent that species composition and environmental and ecological processes are indistinguishable from, or in a process of achieving, its undisturbed state. The vegetative cover is not artificial, and it does not require human activities to be maintained in the long term. 

Water

Areas that are naturally covered by water, either naturally (such as lakes, rivers, snow or ice) or artificially (due to the construction of artefacts such as reservoirs, canals, artificial lakes, etc). In the case of rivers, the lack of vegetation cover is often due to high flow rates and/or steep banks. In the case of lakes, their geological origin affects the life conditions for aquatic vegetation. The following circumstances might cause water surfaces to be without vegetation cover: depth, rocky basins, rocky and/or steep shorelines, infertile washed-in material, hard and coarse substrates. Areas covered by water for less than nine months of the year are classed as Non-perennial. 

Woody

Areas where the vegetative cover is at least two metres in height and has at least twenty percent canopy cover. These areas would be dominated by shrubs and trees. 

Land cover reason for change

Managed expansion represents an increase in the area of a land cover type due to human activity. For example, crop areas may be converted to tree-covered areas due to silvicultural measures such as planting and seeding, or tree-covered areas may be converted to crop or grassland following tree clearing. Generally, the managed expansion of one land cover type will also lead to the recording of a matching entry for managed regression of the reducing land cover types. 

Managed regression represents a decrease in the area of a land cover type due to human activity. 

Other expansions and regressions represent change in land cover type that cannot be attributed to human activity. That is, they are either natural changes or there is insufficient data to determine the reason for change. 

Managed expansions and regressions and Other expansions and regressions were estimated using data in the Artificial surfaces and Cultivated terrestrial vegetated: Herbaceous classes. The assumption was made that changes to or from these classifications were managed changes, with all other changes categorised as other changes.   

Land tenure is the manner in which a party holds or occupies an area of land. It is a way of identifying who has the right to use and occupy land in accordance with the different types of ownership.  

Land tenure is a hierarchical classification across 4 levels and 22 classification types. For the purposes of the National Land Account, the level 3 classifications (condensed to 11 land tenure classes) were used based on guidance from ABARES. 

Data relating to land under Native Title and other Indigenous leased land is not separately specified. These data are contained within several classifications including Freehold, Other Crown purposes, Other lease and Pastoral term lease. Some changes within the land tenure data may be due to a change in tenure of land held by Indigenous organisations. This topic is being investigated further, with the view that data relating to Indigenous land tenure may become available in future releases. 

The SEEA CF does not provide suggested land tenure classes so a concordance is not provided.

Land tenure class definitions 

Freehold

The highest form of land ownership. Land title is held in perpetuity. Includes land held by Indigenous land trusts. 

Freeholding lease

Crown land for which a party has bought a right to occupy the land but does not own the land outright. 

Pastoral perpetual lease

Crown land leased in perpetuity for pastoral purposes. 

Other perpetual lease

Crown leasehold land granted in perpetuity to an entity for non-pastoral or non-specified purposes. 

Pastoral term lease

Crown leasehold land granted for a specified term of years to an entity for primarily pastoral purposes. 

Other term lease

Crown leasehold land granted to an entity for a specified term of years for non-pastoral or non-specified purposes. 

Other lease

Crown leasehold land where the purpose is specified as other or undefined. 

Nature conservation reserve

Crown land set aside primarily for conservation purposes. Includes heritage reserves where specified. 

Multiple-use public forest 

Crown land set aside for multiple-use forest values such as wood harvesting, recreation, and environmental protection, includes state forests and timber reserves. 

Other Crown Purposes

Crown land set aside for all other purposes including water, infrastructure, institutional, defence and other undefined reserves; or lands vested to, acquired, or purchased by the Crown or its authorised entities to deliver essential services. 

Other Crown land

Crown land unallocated to a purpose or purposes. 

Land also constitutes an important component in the assessment of national and institutional sector wealth. Land is bought and sold in combination with physical characteristics (buildings, soil, trees) and the composite value will incorporate a value for the space itself (location) as well as a value for the physical characteristics. 

The ABS has previously developed state-based land accounts using valuation data directly obtained from individual state Valuer Generals. For the National Land Account, data from the Australian System of National Accounts for the value of land has been used. These data have been produced using modelling and input data from a range of sources including ABS public finance data, ABS value of residential dwelling stock data and state and territory Valuer Generals data. 

National Accounts land value data is available at the state and national level for residential, commercial, rural and other land categories. The “other” category has been classified as “government” as the data pertains to publicly owned land. Data is available annually at 30 June. Data on the reasons for change (such as revaluations, reclassifications and acquisitions/disposals) are not available at this time and it is hoped this can be sourced as part of the future development of the account. 

Additions to stock 

An increase in the area or value of the stock of land. The change could be due to purchases of land for other uses, reassessment of land type or natural encroachment of other land covers. 

Change matrix

Change matrix tables show how characteristics of land transitioned between two time points. 

Closing stock 

Physical or monetary stock at the end of the reference period. 

Hectare 

A unit of area equal to 10,000 square metres. 

Land cover 

The observed physical and biological cover of the land surface and includes natural vegetation, inland waters and abiotic (non-living) surfaces. Coastal waters are excluded. The land cover is a function of natural changes in the environment and of previous and current land use, particularly in agricultural and forestry areas. The land cover classes included in this release are: 

• Artificial surfaces 
• Cultivated terrestrial vegetated: Herbaceous 
• Natural terrestrial vegetated: Herbaceous 
• Natural terrestrial vegetated: Woody 
• Natural surfaces 
• Natural aquatic vegetated: Herbaceous 
• Natural aquatic vegetated: Woody 
• Water: Perennial 
• Water: Non-perennial 
• Tidal area 

Descriptions of these classes can be found in the Classifications section.

Land tenure 

Relates to the nature of a person, income unit or household's legal right to occupy a parcel of land. The land tenure classes included in this release are: 

• Freehold 
• Freeholding lease 
• Pastoral perpetual lease 
• Other perpetual lease 
• Pastoral term lease 
• Other term lease 
• Other lease 
• Nature conservation reserve 
• Multiple-use public forest 
• Other reserve 
• Other Crown land 

Descriptions of these classes can be found in the Classifications section. 

Land use 

Land use reflects the activities undertaken and the institutional arrangements put in place for a given area for the purposes of economic production, or the maintenance and restoration of environmental functions. The land use classes included in this release are: 

• Nature conservation 
• Managed resource protection 
• Other minimal use 
• Grazing native vegetation 
• Production native forests 
• Grazing modified pastures 
• Plantation forests 
• Dryland cropping 
• Dryland horticulture 
• Irrigated pastures 
• Irrigated cropping 
• Irrigated horticulture 
• Urban residential 
• Other intensive uses 
• Intensive horticulture and animal production 
• Rural residential and farm infrastructure 
• Mining and waste 
• Water 

Descriptions of these classes can be found in the Classifications section. 

Land value 

The value of the ground, including the soil covering and any associated surface waters, over which ownership rights are enforced and from which economic benefits can be derived by their owners by holding or using them. This excludes the value of any structures on the land. The land value classes included in this release are: 

• Residential 
• Commercial 
• Rural 
• Government 

Descriptions of these classes can be found in the Classifications section. 

Managed expansion 

An increase in the area of a land cover type due to human activity. 

Managed regression 

A decrease in the area of a land cover type due to human activity.

Net change 

The change between the reference periods in physical or monetary units. The change can be positive or negative. 

Opening stock 

Physical or monetary stock at the beginning of an accounting period. 

Other expansion 

An increase in land cover type that cannot be attributed to human activity. That is, they are either natural changes or there is insufficient data to determine the reason for change. 

Other regression

A decrease in land cover type that cannot be attributed to human activity. That is, they are either natural changes or there is insufficient data to determine the reason for change. 

Reductions 

Represents a decrease in the area or value of the stock of land. These changes could be due to sales of land for other uses, reassessment of land type or natural encroachment of other land covers. 

Revaluations 

Changes in monetary units due solely to valuation changes over the accounting period.