Dutch-led coalition moves to phase out fossil fuel subsidies at COP28

Dutch-led coalition moves to phase out fossil fuel subsidies at COP28

DUBAI - A Dutch-led coalition of a dozen nations committed on Saturday to publish an inventory of their own fossil fuel subsidies within a year, with the aim of creating a clear strategy for eliminating them. Governments agreed at the 2021 United Nations climate summit in Glasgow to phase out "inefficient" fossil fuel subsidies to help tamp down global warming. But individual countries were left to decide for themselves how to do this. Global subsidies for fossil fuels have since soared, rising by $2 trillion over the past two years to hit a record $7 trillion in 2022, according to the International Monetary Fund (IMF). "We cannot phase out fossil fuels without tackling fossil fuel subsidies," said Dutch climate minister, Rob Jetten, at the U.N. climate summit COP28 in Dubai. "We must ensure the right economic incentives are in place." The Dutch-led voluntary agreement provides the building blocks for disposing of such subsidies, which are typically employed to help protect consumers by keeping fuel prices low - especially amid energy price crises. It was backed by Antigua and Barbuda, Austria, Belgium, Canada, Costa Rica, Denmark, Finland, France, Ireland, Luxembourg and Spain. China, which did not join the new coalition, last year