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Fact Focus 53

Spot the Coal Subsidy: World Subsidies to Fossil Fuel Consumption

Ecoal, Vol 76, November 2011

Governments and taxpayers spent about half a trillion dollars in 2010 supporting the production and consumption of fossil fuels. It's a common misconception that fossil fuel subsidies relate to coal, but as this graph from the IEA shows, that's not true. In fact coal subsidies have been decreasing with France ending subsidies in 2007 and Germany due to end subsidies in 2018. China's coal subsidies have also decreased from $3.73 billion in 2009 to $2.01 billion in 2010.

 

 

 

 

 

 

 

 

 

Fossil fuel subsidies have been driven higher by the rebound in international energy prices they totalled $409 billion in 2010 - about $110 billion up on 2009.

Source: IEA, WEO 2011