Annexes to COM(2023)651 - 2023 Report on Energy Subsidies in the EU

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dossier COM(2023)651 - 2023 Report on Energy Subsidies in the EU.
document COM(2023)651
date October 24, 2023
Agreement on Subsidies and Countervailing Measures (ASCM) framework developed by the World Trade Organization (WTO).

6 See more on energy-subsidy methodology in Annex 1 of the 2023 Commission study.

7 Also including subsidies for fishing.

8 Due to data corrections in the subsidy inventory for the earlier years, and the change in the monetary basis (‘expressed in 2022 euros’ in the current report) total amounts on the charts of this report may differ from the last energy-subsidy report published in 2022 or earlier.

9 In this report, all figures are expressed in EUR 2022 bn. Total figures for 2022 include ~EUR 44 billion still under validation.

10 Data under the “To be confirmed” category amounted to 12% of the total amount included in the Subsidy inventory for the year 2022.

11 In certain cases, it is not possible to separate subsidies given to electricity consumption by the source of generation (fossil, nuclear or renewable), therefore this chart shows electricity (energy carrier) subsidies alongside those given to energy sources.

12 The term “All energies” is used here to classify subsidy measures that apply to energy produced from a mix of both fossil fuel and low carbon sources or an unknown source.

13 This also includes various types of economic mechanisms beyond income support for more than one type of energy, such as capacity payments, biofuels blending mandates, renewable energy quotas with tradable certificates, differentiated grid connection charges, energy efficiency obligations, interruptible load schemes, contract for difference, feed-in premiums, feed-in tariffs, consumer price guarantees (cost support), consumer price guarantees (price regulation) and producer price guarantees (price regulation)

14 The EUR 3.5 billion increase in fossil fuel subsidies in 2018 is partly due to the change in classification of the degressive tariff structure for gas and electricity in the Netherlands, which was not reported by the Dutch government as a subsidy before that date and therefore not included in the database. The Netherlands is the only country for which actual amounts linked to this mechanism have been declared, but they certainly also exist in other countries without being declared as such.

15 The term covers energy extraction, conversion, refining, infrastructure, transmission, distribution, storage, waste management and retail. In short, the energy industry.

16 Not all data were available for 2022, for example those related to FiP/FiT or RES quotas and the figures might be subject to revision.

17 E.g. supporting the use of energy through lowering its costs.

18 As of July 2023, the estimate of demand-oriented subsidies included EUR 12.6 billion of yet‑unconfirmed payments for 2022 (~5% of the total).

19 FiT, FiP and RES obligations are included by convention in the energy industry, while such payments may confer benefits to actors outside of this sector.

20 Industry excludes Mining & Construction. Business, Construction, Public and Services sectors have been regrouped under the denomination “Others” as their individual amount for 2020 is less than €1 billion.

21 https://www.cbd.int/gbf/targets/

22 The analysis is based on the updated annexes VIII and XV of the draft National Energy and Climate Progress Reports.

23 Article 3 (h) (i) of Decision (EU) 2022/591 of the European Parliament and of the Council of 6 April 2022 on a General Union Environment Action Programme to 2030.

24 Comparing gas consumption in the Aug. 2022 – June 2023 period with the 5-year average

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