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5 August 2015, Renew Economy, Australia still subsidising fossil fuels at rate of $1,712 per person a year. In a week punctuated by heavy criticism of financial support for renewable energy in Australia, a report from the International Monetary Fund has reminded us that the age of entitlement for fossil fuels never really ended, with subsidies to the sector averaging at around $US1,000 a year for every citizen living in the G20 group of the world’s leading economies.  New figures from the IMF have revealed that Australia still provides $US1,260 per head – or $A1,712 – in fossil fuel subsidies in 2015, while the US – the second-worst offender (in dollars), behind China – provides $US700 billion a year, equivalent to $2,180 for every American.

The report finds that the bulk of energy subsidies in most countries are due to undercharging for domestic environmental damage, including local air pollution – especially in countries with high coal use and high population exposure to emissions – and broader externalities from vehicle use like traffic congestion and accidents. “In many top subsidisers in percent of GDP and in per capita terms, these also reflect the setting of domestic energy prices below their supply cost.” The rest of the IMF estimates for 2015 come from payments, tax breaks and cut-price fuel. The IMF, which published a global estimate – $5.3 trillion a year – of fossil fuel subsidies in May, calculates that ending fossil fuel subsidies would slash global carbon emissions by 20 per cent. It has also estimated that this would lead to a 50 per cent cut in premature deaths caused by air pollution, while also being an economic “game-changer” for many countries, freeing up much needed funds. For advanced economies, like Australia, the IMF estimates eradicating fossil fuel subsidisation would gain enough revenue to halve corporate income tax or cover one quarter of public health spending. Read More here

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3 August 2015, The Conversation, The scariest part of climate change isn’t what we know, but what we don’t. We know a lot about what climate change will do, but ‘when’ is a tougher question. “It’s tough to make predictions, especially about the future”: so goes a Danish proverb attributed variously to baseball coach Yogi Berra and physicist Niels Bohr. Yet some things are so important — such as projecting the future impacts of climate change on the environment — that we obviously must try. An Australian study published last week predicts that some rainforest plants could see their ranges reduced 95% by 2080. How can we make sense of that given the plethora of climate predictions? In a 2002 press briefing, Donald Rumsfeld, President George W. Bush’s Secretary of Defence, distinguished among different kinds of uncertainty: things we know, things we know we don’t know, and things we don’t know we don’t know. Though derided at the time for playing word games, Rumsfeld was actually making a good point: it’s vital to be clear about what we’re unclear about. So here’s my attempt to summarise what we think we know, don’t know, and things that could surprise us about climate change and the environment. Read More here

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30 July 2015, New Scientist, Earth now halfway to UN global warming limit – Earth now halfway to UN global warming limit: IT’S the outcome the world wants to avoid, but we are already halfway there. All but one of the main trackers of global surface temperature are now passing more than 1 °C of warming relative to the second half of the 19th century, according to an exclusive analysis done for New Scientist. We could also be seeing the end of the much-discussed slowdown in surface warming since 1998, meaning this is just the start of a period of rapid warming. “There’s a good chance the hiatus is over,” says Kevin Trenberth of the National Center for Atmospheric Research in Boulder, Colorado. “The slowdown in warming since 1998 was partly due to oceans taking up more heat. That could be over”. Last year was the hottest since records began, but only just. With an El Niño now under way – meaning warm surface waters in the Pacific are releasing heat into the atmosphere – and predicted to intensify, it looks as if the global average surface temperature could jump by around 0.1 °C in just one year. “2015 is shaping up to smash the old record,” says Trenberth. The UN negotiations on climate change aim to limit warming to 2 °C above pre-industrial temperatures. There is, however, no agreement on how to define pre-industrial temperature, says Ed Hawkins of the University of Reading, UK. Because some global temperature records only begin in 1880, the period 1880 to 1899 is the easiest “pre-industrial” baseline for measuring warming. It is somewhat misleading, though, because the 1880s were particularly cold after the eruption of the Krakatoa volcano. The period 1850 to 1899 is a better baseline, says Hawkins. What’s more, there are several long-term records of global annual average surface temperatures. All differ slightly because they use slightly different data sets and have their own ways of adjusting for relocations of weather stations and changes in instrumentation over time. Read More here

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26 July, The Economist, The global addition to energy subsidies: Energy prices have been falling for a year. Over the last month that trend has accelerated. On July 24th, the price of a barrel of oil in America reached a low of $48. In spite of this, governments are still splurging on subsidies to prop up production. Fossil fuels are reaping support of $550 billion annually, according the International Energy Agency (IEA), an organisation that represents oil- and gas-consuming countries, more than four times those given for renewable energy. The International Monetary Fund’s estimates are substantially higher. It said in May that countries will spend $5.3 trillion subsiding oil, gas and coal in 2015, versus $2 trillion in 2011. That is equivalent to 6.5% of global GDP, and is more than what governments across the world spend on healthcare. At a time of low energy prices, high government debt and rising concern over emissions there is scant justification for such spending. So why is the world addicted to energy subsidies? Read More here

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