ODI: Annual coal subsidies for G20 countries reach at least $63.9 billion

A new report by the Overseas Development Institute (ODI) shows that G20 countries subsidize coal at least $63.
9 billion a year.

The report, "G20 Coal Subsidies: Tracking Government Support for Declining Industries," says G20 countries subsidize coal at least $63.
9 billion annually, both domestically and internationally, despite a commitment to phase out fossil fuel subsidies
since 2009.

Specifically, the report finds that G20 governments support $27.
6 billion annually in domestic and international public financing, $15.
4 billion in fiscal support, and $20.
9 billion
in state-owned enterprises (SOEs).

Moreover, despite the global trend towards clean energy, the level of support for coal comes from the increase
in G20 governments in recent years.
ODI found that support grew from just over $17.
2 billion in 2013-2014 (2013-2014) to $47.
3 billion
in 2016-2017.

That is, in the space of three years, this number has increased by 175%.

"It's now been a decade since the G20 committed to phasing out fossil fuel subsidies, but surprisingly some governments have actually increased their support for coal plants," ODI said.

Ending subsidies for coal would bring environmental, social and economic benefits to all and help level the playing field
for clean energy.
”

The report does its best to track all the ways G20 countries are financially supporting coal, but not all
.
The ODI indicated that several countries provided "substantial subsidies" for the consumption of coal-fired electricity, but added that "transparency is very limited" and the specifics are unclear
.
Indonesia, for example, is a country that can be considered pro-coal, providing more than $2.
3 billion in financial support
.
According to the report's authors, Indonesia's "clear justification" for this support is "to compensate for rising coal prices for power plants and the need to sell electricity
to domestic consumers at regulated prices.
" ”

"In reality, government support for coal is much greater than the data we report because many G20 countries still lack transparency in many of the ways in which coal is subsidized," explained
Ivetta Gerasimchuk, head of the IISD at the International Institute for Sustainable Development.

The report, released just days before the G20's annual summit in Japan, highlights Japan's continued support
for coal overseas.
Specifically, Japan remains one of the G20's largest providers of public financing for overseas coal, providing up to US$5.
2 billion annually
.
This goes against Japanese Prime Minister Shinzo Abe's September 2018 statements that "climate change could endanger the lives of all.
.
.
We must take stronger action to reduce the use of
fossil fuels.
”

The 2019 G20 Summit will be held
today in Osaka, Japan.