Phase out fossil-fuel subsidies
In an article in The Broker, IISD's Mark Halle discusses the benefits of fossil-fuel reform. He notes fossil-fuel subsidies cost the global economy an estimated US$500 billion annually.
But these heavy subsidies serve to discourage energy efficiency and defer investment in clean-energy systems.
If international governments were to stop subsidizing fossil fuels, global greenhouse gas (GHG) emissions could be cut by as much as 10 per cent by 2050.World leaders have already taken the first tentative steps in this direction. At present, there is a unique set of circumstances that can facilitate subsidy reform. The current economic crisis, high and volatile energy prices, increasing concern over energy security and continuing pressure to reduce GHG emissions all combine to make subsidy reform a relatively easy sell.The U.S. decided to include fossil-fuel subsidy reform on the agenda when it hosted the Group of Twenty (G-20) summit in Pittsburgh in September 2009. The result was a commitment from leaders to "rationalize and phase out over the medium term inefficient fossil-fuel subsidies that encourage wasteful consumption."
You might also be interested in
The United Kingdom, New Zealand, and Colombia Join Coalition to Phase Out Fossil Fuel Subsidies
Today on the sidelines of the UN Climate Conference in Baku (COP 29), the United Kingdom, New Zealand, and Colombia joined the international Coalition on Phasing Out Fossil Fuel Incentives Including Subsidies (COFFIS).
COP 29 Must Deliver on Last Year’s Historic Energy Transition Pact
At COP 29 in Baku, countries must build on what was achieved at COP 28 and clarify what tripling renewables and transitioning away from fossil fuels means in practice.
How Indonesia's Incoming President Can Advance the Transition to Clean Energy
With Prabowo Subianto inaugurated as Indonesia’s President, speculation abounds about the new administration’s commitment to the clean energy transition and climate targets, given Prabowo’s positioning as the “continuity candidate.” The question is, what, exactly, will be continued?
Unlocking Clean Power for All
This report uses tipping point theory to advise where public funding can be strategically directed to catalyze renewable energy deployment in developing and emerging economies.