SUBSIDIES TO GHG EMISSION -- INTERNATIONAL
zGlobal energy sector gets US$240 billion p.a. in subsidies.
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zRich countries subsidise production -- e.g. infrastructure, tax concessions, loan guarantees,cheap electricity inputs
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zPoor countries subsidise consumption -- e.g. fuel & electricity
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zGerman coal subsidy US$300/tonne = US$100,000 /miner
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zEnergy subsidies are ineffective in fuelling economic growth and inefficient for helping the really poor.
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zShort-term subsidies can be useful for nurturing young industries (e.g. Danish windpower)
[One definition of a subsidy is “ all measures that keep prices for consumers below market level or prices for producers above market level, or that reduce costs for consumers and producers by giving direct or indirect support” (de Moor 2001)]
Is the last point “picking winners” or “opening doors”?