The analysis of global tax expenditure on all fossil fuels for electricity generation in 2023 shows Portugal, Armenia, and Lithuania leading with notable increases, while Germany, Czech Republic, Hungary, Brazil, and Ireland experienced declines. Among these countries, Portugal recorded the highest expenditure relative to GDP, whereas France had the least. Variations over the last two years indicate significant volatility, with overall year-on-year changes reflecting adjustments in policy and market demands. The five-year compound annual growth rate highlights a mixed trend, with countries like Lithuania and Armenia showing substantial growth.
Future trends to watch include a potential shift towards green energy sources, which may further alter the current tax expenditure landscape. Additionally, global policy changes and economic recoveries post-pandemic could significantly impact investment and tax strategies in fossil fuel industries, urging countries to reassess their financial commitments.
- Portugal: leading in tax expenditure with a significant growth of 11.05% in 2023.
- Lithuania: exhibited the highest growth rate with a 14.87% increase in 2023.
- France and South Africa: recorded no year-on-year change, indicating stability.
- Germany and Ireland: saw the most substantial decrease, reflecting policy changes or shifts in energy sources.
Top countries in Tax Expenditure on All Fossil Fuels for Electricity Generation by Country
| # | 10 Countries | Percent of GDP | Last Year | YoY | 5-years CAGR | |
|---|---|---|---|---|---|---|
| 1 | 1 Portugal | 0.13 | 2023 | +9.65% | +11.05% | View data |
| 2 | 2 Finland | 0.12 | 2023 | 0% | -2.74% | View data |
| 3 | 3 Slovakia | 0.089 | 2023 | +3.49% | +0.46% | View data |
| 4 | 4 Germany | 0.035 | 2023 | -10.26% | -9.92% | View data |
| 5 | 5 Armenia | 0.028 | 2023 | +7.69% | +10.49% | View data |
| 6 | 6 Czech Republic | 0.015 | 2023 | -6.25% | -4.62% | View data |
| 7 | 7 Hungary | 0.014 | 2023 | -6.67% | -5.92% | View data |
| 8 | 8 Brazil | 0.011 | 2023 | +10% | -9.38% | View data |
| 9 | 9 Lithuania | 0.006 | 2023 | +20% | +14.87% | View data |
| 10 | 10 Ireland | 0.003 | 2023 | -25% | -9.71% | View data |
