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IEA: Subsidies to Fossil Fuels Worldwide Vastly Higher than for Clean Energy

1 min. read

As we've been saying for some time now, fossil fuels receive vast amounts of taxpayer-funded government welfare, and have been receiving that welfare for over 100 years in many cases. Now, thanks to the International Energy Agency, we know how much more in government aid dirty energy receives worldwide, as opposed to clean energy. It's mind boggling.

Fossil-fuel consumers worldwide received about six times more government subsidies than were given to the renewable-energy industry, according to the chief adviser to oil-importing nations.

State spending to cut retail prices of gasoline, coal and natural gas rose 36 percent to $409 billion as global energy costs increased, the Paris-based International Energy Agency said today in its World Energy Outlook. Aid for biofuels, wind power and solar energy, rose 10 percent to $66 billion.

While fossil fuels meet about 80 percent of world energy demand, its subsidies are “creating market distortions that encourage wasteful consumption,” the agency said. “The costs of subsidies to fossil fuels generally outweigh the benefits."

Also note that enormous subsidies for biofuels - primarily corn ethanol - are lumped together with wind and solar, meaning that fossil fuels actually receive well more than six times the amount of government assistance that clean energy does. You might want to remember that the next time you hear a dirty energy defender falsely claiming that clean energy's the one that "can't survive without subsidies," etc.