That equates to $28,381 per minute, handed to some of the biggest, most profitable companies in Australia at a time when ordinary Australians are battling a long-running cost-of-living crisis.
As the federal election approaches, independent and minor party candidates have indicated that winding back these subsidies would be a key objective if they are elected into a hung parliament.
Key points:
- Federal Government fossil fuel subsidies reached $12.6 billion, mainly due to the Fuel Tax Credit Scheme which refunds fuel tax to major diesel users
- Major mining corporations are the key beneficiaries of federal subsidies, with the coal industry receiving $1.1 billion through the Fuel Tax Credit Scheme
- State governments provided $1.2 billion worth of assistance measures such as cheap access to infrastructure, gas purchase commitments and handouts for research and development
"Fossil fuel subsidies harm the budget and make climate change worse," said Rod Campbell, Research Director at The Australia Institute.
"Cutting back subsidies like these, which make the community and the climate worse off, should be a priority for the next parliament.
"It is pleasing to see crossbench members looking seriously at fossil fuel subsidies such as the Fuel Tax Credit Scheme.
"This is a major opportunity to redirect billions of dollars from mining companies like BHP and Glencore, and instead invest this money in health, education and other community services."
