Fossil fuels subsidised by a ‘shocking’ $10m a minute, say IMF experts
There is a potent argument here. There are however perhaps as many reasons for criticism of the current thrust and implications of the present approach to subsidizing renewables in England and the many unintended consequences which could be argued to stem from it.
Governments around the world will subsidise the cost of gas, coal and oil with a “shocking” $10million (£6million) a minute this year, a new study by economic experts has revealed.
The estimated figure, which the International Monetary Fund (IMF) has described as “extremely robust”, suggests that firms benefit from $5.3 trillion (£3.4 trillion) a year. That is more than the annual total worldwide governments spend on health care, according to World Health Organisation (WHO) statistics.
Researchers defined energy subsidies as the difference between what consumers pay for energy and its “true costs”, as firms do not pay the costs levied against governments by burning fossil fuels.
This sum factors in supply costs and the damage that energy consumption inflicts on people’s health and the environment, two senior IMF officials wrote in a blog post, entitled “Act Local, Save Global”, launching the study on Monday.