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Should federal government subsidies for fossil fuel users be increased?

AUSTRALIA PETROL PRICES
A general view of a petrol station in Sydney. (AAP Image/Flavio Brancaleone) NO ARCHIVING Credit: FLAVIO BRANCALEONE/AAPIMAGE

The economic contribution of mining and gas producers was under consideration when analysis showed that government subsidies to the fossil fuel industry increased to $14.5 billion this fiscal year.


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By Ciara Hain

Presented by Ricky Kusumo

Source: SBS



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The economic contribution of mining and gas producers was under consideration when analysis showed that government subsidies to the fossil fuel industry increased to $14.5 billion this fiscal year.


Amid all the debate in Federal Budget week, government spending on some of Australia's leading industries is one of the focuses.

New research from the Australia Institute finds that federal and state government subsidies to fossil fuel producers have increased, which the study says appears to be hampering efforts to move toward a more climate-friendly economy.

Meanwhile, mining and gas organisations continue to warn investment, productivity, tax revenues and regional jobs are under threat unless the Labor Party backs the gas industry.

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