Australia's $16.3bn fossil fuel subsidies revealed

Australian governments are providing $16.3 billion in subsidies for fossil fuels this year, an increase of nearly 10%. These subsidies, primarily supporting coal, gas, and oil, are growing at a faster rate than the National Disability Insurance Scheme. The federal government's fuel tax credit scheme, which rebated excise on petrol and diesel to businesses, is the largest single subsidy, projected to cost $10.8 billion this year.

This significant financial support for fossil fuels is criticized by thinktanks and industry groups, who argue it exacerbates the climate crisis and inequality. Proponents of the subsidy, however, state it is essential for businesses, particularly those operating on private land. Despite international commitments to phase out such subsidies, current levels remain substantial across various states, with Queensland providing the most significant state-level support.