• Research
  • Emissary
  • About
  • Experts
Carnegie Global logoCarnegie lettermark logo
DemocracyIran
  • Donate
{
  "authors": [
    "Jessica Tuchman Mathews"
  ],
  "type": "other",
  "centerAffiliationAll": "dc",
  "centers": [
    "Carnegie Endowment for International Peace"
  ],
  "collections": [],
  "englishNewsletterAll": "ctw",
  "nonEnglishNewsletterAll": "",
  "primaryCenter": "Carnegie Endowment for International Peace",
  "programAffiliation": "SCP",
  "programs": [
    "Sustainability, Climate, and Geopolitics"
  ],
  "projects": [
    "Carnegie Oil Initiative"
  ],
  "regions": [
    "North America",
    "United States",
    "Western Europe"
  ],
  "topics": [
    "Climate Change"
  ]
}

Source: Getty

Other

The Truth About Energy Subsidies

People cannot advocate the removal of subsidies for renewable energy until they do so for equally problematic fossil-fuel subsidies.

Link Copied
By Jessica Tuchman Mathews
Published on Dec 17, 2015
Program mobile hero image

Program

Sustainability, Climate, and Geopolitics

The Sustainability, Climate, and Geopolitics Program explores how climate change and the responses to it are changing international politics, global governance, and world security. Our work covers topics from the geopolitical implications of decarbonization and environmental breakdown to the challenge of building out clean energy supply chains, alternative protein options, and other challenges of a warming planet.

Learn More
Project hero Image

Project

Carnegie Oil Initiative

The Carnegie Oil Initiative analyzed global oils, assessing their differences from climate, environmental, economic, and geopolitical perspectives. This knowledge provides strategic guidance and policy frameworks for decision making.

Learn More

Source: Economist

Your prescriptions for tackling global warming offered anything but the “clear thinking” you called for (“Clear thinking needed”, November 28th). “Generous subsidies” for renewable energy “have achieved only a little and at great cost,” you wrote. Carbon pricing would accomplish more and do so “much more efficiently than subsidies for renewables.” That is true, but you ignore the 800-pound gorilla in this room, namely, subsidies for fossil fuels.

The International Energy Agency’s “World Energy Outlook 2015” pegs global fossil-fuel subsidies at $490 billion and those for renewables at $135 billion. The IMF, which includes in its calculation the failure to account for negative externalities of energy use (what it calls “post-tax subsidies”), pegs global energy subsidies at $5.3 trillion, most of it for fossil fuels.

If the much smaller subsidies for renewables, many of which are young, evolving technologies, “perpetuate today’s low-carbon technologies” when the goal should be to “usher in tomorrow’s”, how would you describe the huge subsidies for fossil fuels that are the heart of the problem?

Put this way, the argument may allow you to poke a finger at those who practise “green theology,” but it is a serious distortion of the real issue and its needed corrective.

This letter was originally published by the Economist.

About the Author

Jessica Tuchman Mathews

Distinguished Fellow

Mathews is a distinguished fellow at the Carnegie Endowment for International Peace. She served as Carnegie’s president for 18 years.

    Recent Work

  • In The Media
    Washington Already Knows How to Deal with North Korea

      Jessica Tuchman Mathews

  • Commentary
    Trump Wins—and Now?

      Jessica Tuchman Mathews

Jessica Tuchman Mathews
Distinguished Fellow
Jessica Tuchman Mathews
Climate ChangeNorth AmericaUnited StatesWestern Europe

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Carnegie Endowment for International Peace

  • Commentary
    Diwan
    Israel’s Forever Wars

    The country’s strategy is no longer focused on deterrence and diplomacy, it’s about dominance and degradation.

      Nathan J. Brown

  • Commentary
    Diwan
    Shockwaves Across the Gulf

    The countries in the region are managing the fallout from Iranian strikes in a paradoxical way.

      • Angie Omar

      Angie Omar

  • Commentary
    Strategic Europe
    Taking the Pulse: Is France’s New Nuclear Doctrine Ambitious Enough?

    French President Emmanuel Macron has unveiled his country’s new nuclear doctrine. Are the changes he has made enough to reassure France’s European partners in the current geopolitical context?

      • Rym Momtaz

      Rym Momtaz, ed.

  • Commentary
    The Iran War’s Dangerous Fallout for Europe

    The drone strike on the British air base in Akrotiri brings Europe’s proximity to the conflict in Iran into sharp relief. In the fog of war, old tensions in the Eastern Mediterranean risk being reignited, and regional stakeholders must avoid escalation.

      Marc Pierini

  • Commentary
    Diwan
    The U.S. Risks Much, but Gains Little, with Iran

    In an interview, Hassan Mneimneh discusses the ongoing conflict and the myriad miscalculations characterizing it.

      Michael Young

Get more news and analysis from
Carnegie Endowment for International Peace
Carnegie global logo, stacked
1779 Massachusetts Avenue NWWashington, DC, 20036-2103Phone: 202 483 7600Fax: 202 483 1840
  • Research
  • Emissary
  • About
  • Experts
  • Donate
  • Programs
  • Events
  • Blogs
  • Podcasts
  • Contact
  • Annual Reports
  • Careers
  • Privacy
  • For Media
  • Government Resources
Get more news and analysis from
Carnegie Endowment for International Peace
© 2026 Carnegie Endowment for International Peace. All rights reserved.