G20 to end fossil fuel subsidies

Written by  //  October 2, 2009  //  Carbon, Economy, Environment & Energy, Public Policy  //  1 Comment

The G20 will end subsidies on fossil fuels

TO LITTLE fanfare, world leaders at the G20 meeting in Pittsburgh announced that they would phase out fossil-fuel subsidies in the medium term. The G20 (actually 19 countries plus the European Union and international financial institutions) account for 80% of greenhouse-gas emissions. The International Energy Agency estimates that poor countries, defined as those outside the OECD, spend $310 billion a year on such subsidies, mainly for petrol. But because the rural poor use little fossil fuel, these mainly benefit middle-income and higher-earning urban types. Rich countries also subsidise fossil fuels, by some $20 billion-$30 billion annually. The IEA and OECD calculate that eliminating fossil-fuel subsidies would result in a 10% reduction in global greenhouse-gas emissions by 2050.

One Comment on "G20 to end fossil fuel subsidies"

  1. Paul April 1, 2011 at 8:48 am · Reply

    I heard over the years that there is technology out there that would dramatically reduce our dependence on fossil fuels. I have also heard that the major oil companies buy up this technology then stuff it in a vault, never to spoken of again.

    I hope if it is ever discovered that that is the case, there will be hell to pay. Of course, I’m sure it’s politically as well as commercially driven. So what are the odds of something actually being done about it? Not very good, I’m afraid.

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