• 8 minutes U.S. Shale Oil Debt: Deep the Denial
  • 13 minutes WTI @ $75.75, headed for $64 - 67
  • 16 minutes Trump vs. MbS
  • 3 hours Despite pressure about Khashoggi's Murder: Saudi Arabia Reassures On Oil Supply, Says Will Meet Demand
  • 4 hours Dyson Will Build Its Electric Cars in Singapore
  • 4 hours China Opens Longest Mega-Bridge Linking Hong Kong to Mainland
  • 1 hour Why I Think Natural Gas is the Logical Future of Energy
  • 1 hour The Balkans Are Coming Apart at the Seams Again
  • 51 mins How Long Until We Have Working Nuclear Fusion Reactor?
  • 7 hours Satellite Moons to Replace Streetlamps?!
  • 3 hours These are the world’s most competitive economies: US No. 1
  • 6 hours Can “Renewables” Dent the World’s need for Electricity?
  • 3 mins World to Install Over One Trillion Watts of Clean Energy by 2023
  • 12 hours Merkel Aims To Ward Off Diesel Car Ban In Germany
  • 54 mins Iraq war and Possible Lies
  • 7 hours Aramco to Become Major Player in LNG?
Alt Text

Oil Prices Under Pressure As U.S. Shale Supply Soars

Continued production growth in the…

Alt Text

U.S. Shale Has A Glaring Problem

Even after more than two…

Jess McCabe

Jess McCabe

Jess is a writer for Environmental Finance.Environmental Finance is the leading global publication covering the ever-increasing impact of environmental issues on the lending, insurance, investment…

More Info

Trending Discussions

Fossil Fuel Subsidies 10x Renewables Support

Worldwide renewable power and biofuels received $43 billion-46 billion in subsidies last year, only a fraction of the government subsidies for fossil fuels, according to preliminary figures from Bloomberg New Energy Finance (BNEF).

By contrast, governments propped up fossil fuels with $557 billion of subsidies in 2008, according to figures published in June by the International Energy Agency.

Such figures raise questions about the common investor worry that renewable power is only feasible with government subsidies, said BNEF chief executive Michael Liebreich. “Setting aside the fact that in many cases clean energy competes on its own merits – for instance in the case of well-situated wind farms and Brazilian sugar-cane ethanol – this analysis shows that the global direct subsidy for fossil fuels is around 10 times the subsidy for renewables,” he added.

“And that is without taking into account the enormous security and public health costs of fossil fuels, as well as the appalling pollution catastrophes on the Gulf Coast, the Niger Delta and elsewhere.”

Adding up support from feed-in tariffs, renewable energy certificates, tax credits, grants and other direct subsidies, BNEF found the US deployed the most dollars to support clean energy in 2009, with $18.2 billion. Around 40% of this went to support biofuels.

China spent $2 billion in direct subsidies, but BNEF said this figure does not include low-interest loans from state-owned banks and other methods of support. The country installed 14GW of wind capacity in 2009, making it the world leader.

The German government spent around $9.6 billion on its feed-in-tariff programme in 2009, driven by “extraordinary” numbers of photovoltaic systems installed. This was the single most expensive clean energy subsidy programme of 2009, BNEF said. Germany is one of a number of governments considering cuts to their support schemes for renewables.

By. Jess McCabe

Source: Environmental-Finance




Back to homepage

Trending Discussions


Leave a comment
  • Anonymous on August 01 2010 said:
    Clean energy CANNOT compete on its own merits at the present time. Believing that it can is counterproductive. I was surprised though to see these figures, and I can only hope that nuclear is subsidized as freely as fossil fuels, because more nuclear is necessary in order for the clean energy to make sense.As for Germany reducing its support for renewables, I have expected this for years.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News