BPTT wants clarity

Energy multinational BPTT is not making any judgement on the 2017/2018 Budget at this time. In a brief statement yesterday, the company said, "Before we can comment on the measures announced in the budget we will first need much more clarity on the details of these measures and their impact."

Prior to the Budget's presentation in the House of Representatives on Monday, BPTT said it had been in discussions with the Finance Ministry on proposals for tax reform. The company said it looked forward to continuing those discussions and work with Government.

BPTT said it was doing so with the expectation that changes to the fiscal regime will preserve the competitiveness of the local energy sector and provide the stability and predictability required to underpin long term investments. In presenting the $50.5 billion fiscal package, Finance Minister Colm Imbert proposed a 12.5 percent royalty rate to be applied across the board on the extraction of all gas, condensate and oil.

To avoid further revenue leakage, Imbert said the fair market value for TT’s oil and gas for the computation of royalty will be fixed by the Petroleum Pricing Committee.