Fossil Fuel Subsidy Reform Simulator
Several measures included in country NDCs, such as energy efficiency, renewables, nature-based solutions and others, potentially deliver socio-economic benefits as well such as economic growth, job creation, reduced air pollution, public health benefits and enhanced energy security and access.
Simulate the reallocation of a percentage of a country’s fossil fuel subsidy towards Temporary Basic Income (TBI), as well as other outcomes such as education, health, and renewable energy and the impact on vulnerable people and welfare.
Fossil fuel subsidies make up a large percentage of the GDP of many low- and middle-income countries. That is why fossil fuel subsidy reform presents a viable avenue for governments to create fiscal space which can be channeled into green investment, correcting environmental externalities, and enhancing social protection programs, especially in the light of the impacts of the COVID-19 pandemic.
