T oday, fuel consumption is still subsidized in many parts of the world. It is estimated that fossil fuel related consumption subsidies amounted to US$ 557 billion in 2008. A recent assessment projected that phasing out these subsidies by 2020 would result in a reduction in primary energy demand at the global level of 5.8% and a fall in energy-related carbon dioxide emissions of 6.9%, compared with a baseline in which subsidy rates remain unchanged (IEA/OPEC/OECD/World Bank 2010, p. 4).