Taxpayers Will Pay Billions in New Fossil Fuel Subsidies Thanks to Megabill

"A report finds that President Trump’s flagship legislation will grant $40 billion in new subsidies to the oil and gas industry over the next decade." 

"The Trump administration has already added nearly $40 billion in new federal subsidies for oil, gas, and coal in 2025, a report released Tuesday finds, sending an additional $4 billion out the door each year for fossil fuels over the next decade. That new amount, created with the passage of the One Big Beautiful Bill Act this summer, adds to $30.8 billion a year in preexisting subsidies for the fossil fuel industry. The report finds that the amount of public money the US will now spend on domestic fossil fuels stands at least $34.8 billion a year.

The increase amounts to “the largest single-year increase in subsidies we’ve seen in many years—at least since 2017,” says Collin Rees, the US program manager for Oil Change International, an anti-fossil fuels advocacy organization and author of the report.

The US has been subsidizing fossil fuel production for more than a century. Many of the tax subsidies logged in the report—including a tax break passed in 1913 that allows companies to write off large amounts of expenses related to drilling new oil wells—have been on the books for decades."