THE FUTURE NOW

Eliminating fossil fuel subsidies


Fossil fuel subsidies cover a range of giveaways to oil, gas and coal companies, including tax breaks, cheap loans, controls on price, requirements to purchase particular kinds of energy, and more. In the U.S., total fossil fuel subsidies have been estimated at between $37.5 and $52 billion. Globally, governments subsidies total between $775 billion and $1 trillion. Astonishingly, that includes tens of billions of dollars supporting companies exploring for new sources of fossil fuels — at a time when we know that 80% of currently known reserves have to stay in the ground to stay below 2 degrees Celsius of warming. A climate-stable economy has to get beyond coal, oil and gas — and eliminating vast subsidies propping up the fossil fuel industry is an urgent part of that. 

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