Agency urges US to use pricing to fight energy woes

WASHINGTON (AFP) – The International Energy Agency on Friday called on the United States to do more to curb energy use and fight global warming, saying pricing was the best way to curb demand.

The world’s biggest economy and energy consumer has made progress toward a more sustainable energy system but is lagging behind other industrialized countries and even developing countries such as China in some areas, the IEA said in a report.


“To address the multiple challenges that United States energy policy is facing, the price mechanism is the most important tool,” said the report “Energy Policies of IEA Countries — United States 2007 Review.”

“The government should use it, by abolishing fossil fuel subsidies and creating taxation or other pricing regimes that internalize environmental costs,” it said.

AFP