India, 5 others face fall in fossil fuel revenues
The report spotlights heavy dependence on fossil fuel revenues in Brazil, Russia, India, Indonesia, China, and South Africa.
NEW DELHI: As the global clean energy transition gathers pace, six emerging economies need to start adjusting their fiscal policies now to account for declining fossil fuel use-or risk a $278 billion gap in revenues by 2030, equivalent to the combined total government revenues of Indonesia and S. Africa in 2019, according to a new report by the International Institute for Sustainable Development.
The report spotlights heavy dependence on fossil fuel revenues in Brazil, Russia, India, Indonesia, China, and South Africa. It argues that this economic reliance puts these countries at risk of experiencing a substantial revenue gap over the next few decades, as the world transitions from fossil fuel-based energy systems to cleaner energies.
With the economic outlook for fossil fuels looking increasingly bleak, the BRIICS nations need to act now to de-carbonise and diversify their revenues or risk a revenue gap that could reverse progress on poverty eradication and economic development.