Energy and Environment

North Sea Windfall Tax Extension is Punitive and Self-Defeating


In the Media

Julian Jessop writes for City AM

In the Media

Christopher Snowdon quoted in The i

Andy Mayer quoted in The Telegraph

IEA Energy Analyst Andy Mayer has been quoted in The Daily Telegraph responding to the extension of the Energy Profits Levy until 2029.

Andy said:

“Before the invasion the oil price was around $80 a barrel. Today it is around $80 a barrel. [That is] within the normal range for this commodity, not a windfall. 

“The wisest regime for the North Sea would be in line with the USA, low and aligned with other business taxes. Second best would be Norway, high stable taxes with investment reliefs. Third would be a clear and stable windfall regime with tiered rates transparently linked to prices. 

“We have instead high unstable rates with complex reliefs that change every year. Long-term, this will deliver net zero, just in respect of taxes not emissions.”

Read more here.

Andy’s comment was also quoted by Yahoo!.