I thought the oil and gas industry famously got about $4B in subsidies per year, and about $20B to fossil fuel industries in general. Has that changed recently?
Is that a 20B check the federal government paid them? Is that 20B of tax deductions from carry forward losses that every company in the US gets? Is that 20B of carbon taxes that some analyst thinks would be fair, but there is no law requiring them to pay?
The IMF says things like this[1]:
>This includes $3 billion in explicit subsidies and $754 billion in implicit subsidies, which are costs like negative health impacts and environmental degradation that are borne by society at large rather than producers (i.e., negative externalities).
This link [2] goes a little more into what the "direct subsidies" are:
Intangible Drilling Costs Deduction - Not sure why this is a subsidy. Most business costs are tax deductible for other industries.
Clean Coal Investment and Nonconventional Fuels Tax Credits - These are incentives to decarbonize. I agree that they are subsidies in the traditional sense, but not subsidies to increase carbon production. Something like a 30% tax credit for money spent on upgrades that sequester >75% of the carbon emissions seems like a good thing.
Is that a 20B check the federal government paid them? Is that 20B of tax deductions from carry forward losses that every company in the US gets? Is that 20B of carbon taxes that some analyst thinks would be fair, but there is no law requiring them to pay?
The IMF says things like this[1]:
>This includes $3 billion in explicit subsidies and $754 billion in implicit subsidies, which are costs like negative health impacts and environmental degradation that are borne by society at large rather than producers (i.e., negative externalities).
This link [2] goes a little more into what the "direct subsidies" are:
Intangible Drilling Costs Deduction - Not sure why this is a subsidy. Most business costs are tax deductible for other industries.
Clean Coal Investment and Nonconventional Fuels Tax Credits - These are incentives to decarbonize. I agree that they are subsidies in the traditional sense, but not subsidies to increase carbon production. Something like a 30% tax credit for money spent on upgrades that sequester >75% of the carbon emissions seems like a good thing.
https://www.eesi.org/papers/view/fact-sheet-proposals-to-red...
https://www.eesi.org/papers/view/fact-sheet-fossil-fuel-subs...