Fossil Fuel Subsidy Reform: A New Zealand Perspective on the International Law Framework
31 Pages Posted: 26 Aug 2016 Last revised: 2 Nov 2018
Date Written: May 12, 2016
This article examines and critiques New Zealand’s role in international efforts towards the coordinated reform of fossil fuel subsidy practices, including through its leadership of the Friends of Fossil Fuel Subsidy Reform (FFFSR), a coalition of nine non-G20 countries who have formed an alliance in advancing international fossil fuel subsidy reform efforts. A particular aspect of New Zealand and FFFSR attention and strategy to date – a focus on fossil fuel consumption subsidies in developing countries – is assessed against principles of equity, “common but differentiated responsibilities and respective capabilities” and the duty of developed nations to “take the lead” on climate change mitigation. The article also explores arguments concerning the importance of supply-side climate mitigation measures and the need to take into account risks of stranded fossil fuel production assets in domestic climate change policies.
Keywords: climate change, fossil fuel subsidies, New Zealand, divestment, stranded assets, WTO, World Trade Organization, Friends of Fossil Fuel Subsidy Reform supply-side mitigation, G20, APEC, peer review
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