Fossil-Fuel Subsidies and Climate Change: Options for policy-makers within their Intended Nationally Determined Contributions

Every year governments spend $543 billion subsidising fossil-fuels to consumers. A new report on Fossil-Fuel Subsidies and Climate Change for the Nordic Council of Ministers from the IISD finds that removing these subsidies to consumers and society could lead to global GHG emissions reductions of between 6-13% by 2050.

With potential domestic savings to some government of between 5-30% of expenditures, and in the context of the low oil price many governments are removing subsidies. This report shows how to include national emissions reduction estimates within country contributions towards the UNFCCC using the Global Subsidies Initiative – Integrated Fiscal (GSI-IF) model.