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Phasing out fossil fuel subsidies in the EU? Exploring the role of state aid rules
Climate Policy ( IF 5.3 ) Pub Date : 2021-08-23 , DOI: 10.1080/14693062.2021.1965523
Julian Nowag 1, 2 , Luis Mundaca 3 , Max Åhman 4
Affiliation  

ABSTRACT

The paper aims to identify and analyse potential legal avenues for phasing out fossil fuel subsidies (FFS) in the European Union (EU) using State aid rules. Our analysis reveals that the EU State aid rules would allow the European Commission to effectively target and monitor a vast number of FFS. From a policy perspective, the requirements for notification, examination, transparency, reporting, and recovery of unlawfully granted aid are of particular importance. The legal framework also provides avenues for the EU Commission to start a ‘Fossil Fuel Inquiry’, while providing important tools for civil society to apply pressure on states for the removal of FFS. Based on our legal analysis and pertinent literature, we discuss which of these different FFS and corresponding estimates are likely (or not) to fall under the EU State aid rules. Despite inherent uncertainties, the EU State aid toolbox offers various possibilities to the EU to actively advance its climate change policy and comply with its international commitments to reduce FFS.

Key policy insights

  • Member States in the EU still subsidize both the consumption and production of fossil fuels by a myriad of different measures, despite pledges to reduce FFS as part of the EU’s ambitious climate policy.

  • A major part of these fossil fuels subsidies could be addressed by the already existing EU State aid rules, which provide an effective system that is not dependent on Member States political will and has a powerful enforcement mechanism.

  • A first key step would be for the EU Commission to start a ‘Fossil Fuel Inquiry’, which would identify and quantify all support for fossil fuels within Member States.

  • The EU State aid rules could also provide civil society with the possibility to actively lobby for State aid control, while offering the court systems in Member States as an additional avenue for enforcement.With this in mind, the EU State Aid rules could be used effectively to help the EU to phase out a major part of FFS.



中文翻译:

欧盟逐步取消化石燃料补贴?探索国家援助规则的作用

摘要

本文旨在确定和分析欧盟 (EU) 使用国家援助规则逐步取消化石燃料补贴 (FFS) 的潜在法律途径。我们的分析表明,欧盟国家援助规则将使欧盟委员会能够有效地针对和监控大量 FFS。从政策的角度来看,对非法提供的援助的通知、审查、透明度、报告和回收的要求尤为重要。该法律框架还为欧盟委员会提供了启动“化石燃料调查”的途径,同时为民间社会提供了重要工具,以向各国施加压力,要求其取消 FFS。根据我们的法律分析和相关文献,我们讨论了这些不同的 FFS 和相应的估计中哪些可能(或不)属于欧盟国家援助规则。

关键政策见解

  • 尽管承诺减少 FFS 作为欧盟雄心勃勃的气候政策的一部分,但欧盟成员国仍然通过无数不同的措施补贴化石燃料的消费和生产。

  • 这些化石燃料补贴的主要部分可以通过现有的欧盟国家援助规则来解决,这些规则提供了一个有效的系统,不依赖于成员国的政治意愿,并具有强大的执行机制。

  • 欧盟委员会的第一个关键步骤是启动“化石燃料调查”,以确定和量化成员国内对化石燃料的所有支持。

  • 欧盟国家援助规则还可以为公民社会提供积极游说国家援助控制的可能性,同时提供成员国的法院系统作为执行的额外途径。 考虑到这一点,可以有效地使用欧盟国家援助规则帮助欧盟逐步淘汰 FFS 的主要部分。

更新日期:2021-09-30
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