Shift Fossil Fuel Subsidies to Support Green Energy, IEA Urges

With demand for fossil fuels outpacing the growth of renewable energy technologies worldwide, the International Energy Agency suggests that fossil fuel subsidies worth $312 billion be realigned to develop cleaner alternatives.

Although renewable energy has seen growth of 30 to 40 percent in recent years, 47 percent of new electricity demand worldwide over the last decade was met with coal-fired energy, according to agency’s first clean energy progress report.

As of 2009, fossil fuels had received more than $312 billion in subsidies, compared with $57 billion for renewable energy. In some countries, aggressive policies have yielded progress in the deployment of renewable energy sources, according to the study.

For example, at least 10 nations now have sizeable domestic markets for solar technology compared with just three a decade ago. But increased growth depends on increased incentives for private sector investment and market mechanisms, the report says. “We must see more ambitious, effective policies that respond to market signals while providing long-term, predictable support,” said Richard Jones, IEA deputy executive director.

Article appearing courtesy Yale Environment 360.

Have any Question or Comment?

2 comments on “Shift Fossil Fuel Subsidies to Support Green Energy, IEA Urges

Jason Kim

Globally, the biofuels market reached $45 billion in 2009, and is estimated to grow to more than $100 billion by 2020. Today’s biofuels produced from conventional crops deliver an estimated 20-60 percent greenhouse gas emission reduction versus conventional fossil fuels such as gasoline and diesel. Expectations are that cellulosic biofuels will deliver at least an 80 percent reduction and reduce dependencies on fossil fuels.

I fully agree, and everyone else should do more to live greener.

Please read my blog

Comments are closed for this post !!
Skip to toolbar