Tag: fossil fuel subsidies

Adding insult to injury, U.S. taxpayers subsidize climate-disrupting fossil fuel industry with $7 billion per year

New report breaks down public cost of supporting oil and coal

fracking rig in Colorado
Oil, gas and coal development on public lands is a bad deal for U.S. taxpayers. @bberwyn photo.

Staff Report

The as-yet barely checked use of fossil fuels is rapidly disrupting the global climate and to add insult to injury, taxpayers around the world are supporting the damage with huge subsidies, as well as tax breaks and loopholes.

A new report from watchdog groups last week helps detail exactly how that plays out in the U.S., where the subsidies may total as much as $7 billion per year. Additionally, the U.S. government is holding about $35 billion in public liabilities for drilling in public waters of the Gulf of Mexico. Continue reading “Adding insult to injury, U.S. taxpayers subsidize climate-disrupting fossil fuel industry with $7 billion per year”

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Shoddy accounting by feds hinders a valid cost comparison between fossil fuel and emerging renewable energy sources

Subsidies to old-school energy producers are under-reported, according to a study from watchdog group.

Reporting by Energy Information Administration tilts the playing field against renewables

By Summit Voice

SUMMIT COUNTY — A new federal report on energy subsidies is skewed in favor of fossil fuel and nuclear power, according to watchdog group that performed its own analysis to show the true scope of taxpayer funds going to oil companies, coal-burning power plants and nuclear reactors.

Consistently under-reporting direct and indirect federal subsidies to  the nuclear and fossil fuel industries enables those industries to tout how much cheaper they are than renewable energy sources, according to the Union of Concerned Scientists.

“Thanks to reporting omissions, the nation’s most highly subsidized, polluting industries will be able to use the Energy Information Administration’s flawed analysis to claim they receive far fewer subsidies than emerging, clean energy technologies,” said Ellen Vancko, manager of the UCS Nuclear Energy and Climate Change Project. “Recent independent analyses show that nothing could be further from the truth.”

The problem with the EIA’s methodology stems from the fact that the agency adopted a “snapshot” approach to measuring subsidies by only looking at a single year: 2010. By doing that, Vancko, the agency failed to count the massive federal subsidies that the fossil fuel and nuclear industries have enjoyed for decades — benefits they presumably will continue to receive unless Congress acts to limit them, Vancko explained. Continue reading “Shoddy accounting by feds hinders a valid cost comparison between fossil fuel and emerging renewable energy sources”