A new study has found that G7 countries spend at least $100 billion each year on supporting fossil fuels, while they limit the economic growth of developing countries by encouraging them to reduce fossil fuel subsidies.
The Group of Seven (G7) is made up of the UK, Canada, France, Germany, Italy, Japan and the US – all of whom made a pledge in 2016 to phase out the use of fossil fuels by 2025.
However, a study led by Britain’s Overseas Development Institute (ODI) has found that these countries have spent a minimum of $100 billion on fossil fuels per year in 2015 and 2016.
The led author of the report, Shelagh Whitley, said: “Governments often say they have no public resources to support the clean energy transition.”
Meanwhile, the group is using resources to encourage those less developed economies, who need it the most to develop, to phase out their own use of fossil fuels.
A spokesman from Britain’s treasury said: “We are supporting other countries in phasing out their own fossil fuel subsidies, as part of our commitment to the G20 and G7 pledges.”
A Moody’s Investor Service report from the beginning of the year, said that rather than reducing the reliance on fossil fuels in such countries, developing nations should turn their attention to the use of CCS to help reach emission reduction goals and help them become more competitive in the global market.