Is it time to stop fossil fuel subsidies?

The authors argue that fossil fuel subsidies, estimated by the OECD and IEA at US$ 500 billion annually, create an artificial price reduction that encourages wasteful consumption and hinders clean energy deployment. They call on G20 leaders to end these subsidies within four years, implement full disclosure of support measures, and redirect saved funds toward supporting poor households and green infrastructure.

• Inefficient fossil fuel subsidies act as a barrier to the rapid deployment of clean energy and contribute to greenhouse gas emissions and the overall cost of climate change mitigation.
• Global spending on fossil fuel production and consumption support is estimated by the OECD and IEA to be at least US$ 500 billion per year.
• The B20 Task Force on Green Growth recommends that G20 leaders end subsidies and inefficient support for fossil fuel exploration, production, and consumption within four years.
• To ensure a fair transition, governments should use a portion of the funds saved from phasing out subsidies to support poor households, provide energy access, and fund public priorities like public transport and green infrastructure.
• The B20 Green Growth Task Force advocates for full annual disclosure of support for fossil fuel exploration, production, and consumption, as well as the development of national transition plans.

APA

Engel, D., & Upton, S. (2012). Is it time to stop fossil fuel subsidies? World Economic Forum. https://www.weforum.org/stories/economic-growth/is-it-time-to-stop-fossil-fuel-subsidies/

Chicago

Engel, Ditlev, and Simon Upton. Is it time to stop fossil fuel subsidies? World Economic Forum, 2012. https://www.weforum.org/stories/economic-growth/is-it-time-to-stop-fossil-fuel-subsidies/.

Wikipedia

{{cite press release |last1=Engel |first1=Ditlev |last2=Upton |first2=Simon |title=Is it time to stop fossil fuel subsidies? |publisher=World Economic Forum |date=14 June 2012 |url=https://www.weforum.org/stories/economic-growth/is-it-time-to-stop-fossil-fuel-subsidies/ |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@misc{engel2012time, author = {Engel, Ditlev and Upton, Simon}, title = {{Is it time to stop fossil fuel subsidies?}}, publisher = {World Economic Forum}, year = {2012}, month = jun, url = {https://www.weforum.org/stories/economic-growth/is-it-time-to-stop-fossil-fuel-subsidies/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }