<
https://reneweconomy.com.au/albanese-government-must-redirect-australias-near-600-per-person-annual-fossil-fuel-giveaway/>
"Every Australian unwittingly contributes about $563 each year to subsidise
fossil fuels – a staggering number given the urgency of climate action.
The scale of these subsidies underscores the enormous policy contradiction
facing the Albanese government, which made notable international commitments in
its last term, but has yet to fully confront the domestic dimensions of
Australia’s fossil fuel habit.
While the government’s actions abroad show clear progress, notably through
joining the Clean Energy Transition Partnership (CETP) in late 2023 and
releasing clear implementation guidelines for internationally oriented
subsidies in December 2024, the domestic landscape tells a different story, one
still characterised by vast sums of public money flowing to coal, oil, and gas
projects.
Australia’s fossil fuel subsidies reached roughly $A14.5 billion in the 2023-24
financial year alone. This substantial public expenditure includes a variety of
mechanisms, from direct financial support for projects like the Northern
Territory’s Middle Arm petrochemical hub to extensive infrastructure
developments specifically designed to facilitate fossil fuel extraction and
export.
At the heart of Australia’s fossil subsidy landscape is the Fuel Tax Credit
scheme, responsible for about $7.8 billion annually. Intended to exempt
off-road diesel users from road-funding taxes, it effectively provides
substantial tax relief for large mining and agricultural operations.
Meanwhile, broader tax incentives, such as accelerated depreciation on mining
equipment and exploration tax deductions, further compound the subsidy burden,
all the while undermining efforts to reduce Australia’s emissions footprint.
Yet the true cost extends far beyond explicit subsidies. Fossil fuels impose
enormous hidden expenses through negative externalities – pollution, public
health impacts, and climate-induced disasters.
Coal-fired power stations alone have been estimated to cost Australians
approximately $2.4 billion annually in healthcare expenses due to air
pollution, manifesting as respiratory illnesses, premature deaths, and
increased hospitalisations.
Climate-related disasters like floods and devastating bushfires, amplified by
fossil fuel-induced global warming, regularly cost billions more, draining
resources from government budgets and diverting funds from critical
infrastructure, education, and health services."
Cheers,
*** Xanni ***
--
mailto:xanni@xanadu.net Andrew Pam
http://xanadu.com.au/ Chief Scientist, Xanadu
https://glasswings.com.au/ Partner, Glass Wings
https://sericyb.com.au/ Manager, Serious Cybernetics
