Despite sixteen years of international commitments, global fossil fuel subsidies have continued to grow and reached USD 1.7 trillion in 2022 – roughly equivalent to Spain’s GDP. One factor behind this trend is that existing commitments are broad and do not sufficiently account for national contexts.
The guidance note presents a three-step framework for governments:
- Identify and prioritize which subsidies to address first
- Articulate clear reform strategies
- Ensure lasting implementation
A credible phase-out of fossil fuel subsidies is critical for global climate efforts. It also frees public resources for alternative priorities such as health, education and social protection.
Link to the guidance note: https://www.iisd.org/system/files/2025-11/fossil-fuel-subsidy-phase-out-plans.pdf