Most of the world’s 20 leading economies, including Brazil, Mexico and Argentina, are choosing to support fossil fuels over clean energy as part of their coronavirus economic recovery packages, although China is outspending on renewables by a ratio of 4 to 1, according to data collected by Energy Policy Tracker.
The initiative, developed by a group of 14 NGOs from around the globe, shows G20 governments’ support for fossil fuels totaling at least US$151 billion. Of these, only 20% pledged support conditional on climate action. Meanwhile, countries have committed US$89 billion to clean energy, 81% of which is not covered by clear environmental safeguards.
The funds flow to energy production and consumption through direct budgetary transfers, tax expenditure, loans, loan guarantees and various hybrid mechanisms. These combine with government policies that already existed before the pandemic and entrench high-carbon energy.
