Breaking Down Global Subsidies for Fossil Fuels

A new report from the International Monetary Fund shows that the world spent $5.2 trillion on fossil fuel subsidies in 2017. That’s half a trillion dollars more than in 2015. But it also shows that fossil fuel subsidy spending is down by half since 2012. What gives? How much are we actually spending to make fossil fuels cheaper? We’ll clarify the different ways economists are measuring that spending. Then, U.S. tax subsidies for solar and wind are set to ramp downward as part of a deal struck in 2015. But some are calling for an extension of those credits once again.  Wait, didn’t the industry say it would be just fine without them? We’ll look at arguments for and against another extension. Finally, PG&E is warning California customers about planned blackouts during this year’s fire seasons. Does this open up a new opportunity for commercial microgrids and residential battery backup? Recommended reading:Atlantic: The Hidden Subsidy of Fossil FuelsGTM: US Solar Industry Braces for ITC Stepdown While Making the Case for Another ExtensionBloomberg: Democrats Try to Extend Wind, Solar Aid They Agreed to Let DieSF Chronicle: Fire Danger Could Force SF Blackout, PG&E SaysSupport for this podcast comes from PG&E. Did you know that 20 percent of EV drivers in the U.S. are in PG&E’s service area in Northern California? PG&E is helping to electrify corporate fleet vehicles. Get in touch with PG&E’s EV specialists to find out how you can take your transportation fleet electric. We're also sponsored by Wunder Capital. Wunder Capital is the leading commercial solar financing company in the United States. Click here to find out how Wunder Capital can help you finance your next commercial solar project. Subscribe to GTM podcasts via Apple Podcasts, Google Podcasts, Stitcher, Spotify or wherever you find your audio content, or integrate our RSS feed into the app of your choice.