NEW REPORT HIGHLIGHTS FOSSIL FUEL SUBSIDIES SCANDAL: UK IN TOP THREE
London, 22 May 1997
A new report published today by Greenpeace, highlights the massive subsidies given to the fossil fuel industry by the European Union, the UK and other Western European governments.
The report, entitled 'Energy Subsidies in Europe', was commissioned by Greenpeace from the Institute for Environmental Studies at Vrije University in Amsterdam. It exposes the distortion in UK energy funding in favour of fossil and nuclear power and reveals that the UK is in the top three highest subsidy givers along with Belgium and Germany.
Close to 15 billion US dollars' worth of subsidies have been given to European fossil fuel and nuclear industries each year since 1990.
This compares with a minimal 1.5 billion US dollar's worth of subsidy for renewable energy. In the UK, the report shows that, for every stlg1.00 of public subsidy money used to support renewable energy, fossil fuels have received over stlg100.00. The UK has the lowest proportion of renewables of any country in the EU and in terms of overall expenditure on renewables, is second lowest only to Germany.
Greenpeace Climate Campaigner Mathew Spencer said, "these figures reveal the hypocrisy of European governments. On the one hand they admit the need to tackle climate change, on the other they spend billions propping up its cause. The UK is one of the worst offenders, its record on renewables is appalling and this must be addressed as a matter of urgency if we are ever to see climate change coming under control".
An accompanying brief, 'Stop Stoking the Fire: Will Labour end subsidies to fossil fuels?' outlines the subsidies that the new Labour Government has inherited and calls upon them to:
Remove all subsidies to the fossil fuel and nuclear industry eg: the £17 million of public money which the DTI uses to subsidise fossil fuels every year .
Transfer these funds to programmes supporting solar and other renewable energy technologies .
Push for the adoption of ambitious targets for expanding renewable energy within the EU eg. a one million solar homes in Europe by 2010 programme proposed by Greenpeace.
In a letter sent yesterday to John Battle, Minister for Energy, Greenpeace has called for him to take a lead at the EU Energy Council Meeting later this month and to "demonstrate (the Governments) commitment to leading the fight against global warming". Mathew Spencer said, "If the new Government is really serious about leading the way on tackling climate change, it should stop these shocking subsidies and make real investments in renewable solutions".
Notes to correspondents: 1. The main report and summary (The subsidy Scandal) are available on request. The briefing paper which outlines the historic problems that the new Labour Government has inherited also available 3. Copy of the letter to John Battle available on request.
FOR MORE INFORMATION CONTACT:
Greenpeace Press Office on +00-44-(0)171-865 8255/6/7/8 or +00-44-(0)171-359 4837