In 2023, the tax expenditure on all fossil fuels for consumers in the US was $3.96 billion. The projected forecasts from 2024 to 2028 show a gradual increase from $3.98 billion to $4.08 billion, reflecting a steady annual growth of approximately 0.5% over the period. Year-on-year growth is marginal, suggesting a stable but slow upward trend without significant fluctuations. The compound annual growth rate (CAGR) for this five-year period is approximately 0.6%.
Future trends to watch for include shifts in US energy policy, possible regulatory changes impacting tax expenditures, advancements in renewable energy technologies, and any geopolitical developments that could affect fossil fuel markets and consumption.
