Renewable Energy Subsidies & Fossil Fuel Phase-Out
In 2014, consumption subsidies for fossil fuels were three times more than renewable subsidies. However, a simple comparison does not show the extent to which renewable energy is disadvantaged nor show the opportunities that come with phasing out fossil fuel subsidies.
This paper explores the concept of financial sustainability and proposes a framework to analyze electricity sectors based on this concept. Financial sustainability, as defined here, includes assessment of factors that directly present a cost—such as pricing electricity below the cost of production—in addition to those which may lead to additional costs in the future, such as an inability to make investments to respond to changes in demand.
This paper seeks, where possible, to quantify the costs of subsidies and external costs so that the impact of these policies can be understood. By way of comparison, the costs are presented alongside analysis of the costs and impacts of solar and wind energy.
Ontario has successfully implemented its policy to put an end to coal use in 2014. This energy transition has become “the single largest GHG reduction measure in North America”: since 2007, when coal accounted for about 25 per cent of its electricity generation, Ontario has reduced its greenhouse gas emissions by approximately 34 Mt or 17 per cent.
This report articulates how fossil fuel subsidy reform (FFSR) can contribute to a just transition, and how a just transition framework can contribute to successful reform.
This report maps out the context, magnitude, trends and impacts of India’s energy subsidies. It aims to enhance transparency and dialogue on energy choices in India and to help track shifts in government support from fossil fuels to renewables.
Indonesia’s Ministry of Energy and Mineral Resources Ignasius Jonan recently announced that there would be no new coal plants in Java. The announcement heralds, at last, a step away from the coal-dominated future that had been proposed. Why has this decision been taken? And how should Indonesia seek to power its economy with coal now taken off the menu?
Two events this September set a new bar for climate change leadership. First, over 340 non-governmental organisations from 67 countries signed the Lofoten Declaration. This document calls for an end to exploration and expansion of new oil, gas and coal reserves, a managed decline of the oil, coal, and gas industry, and a just transition to a safer climate future.