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    Japanese Government collects more tax from Australian gas than Australian Government
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    Japanese Government collects more tax from Australian gas than Australian Government

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    22 Comments

    1. Endless_Winter on

      Isn’t Angus Taylor banging on about 25% Gas tax will scare all the exporters away?

      Let’s do it and watch them stay put.

    5. Equivalent-Bonus-885 on

      I am already being bombarded with patronising Mining industry ads telling me that they provide BILLIONS to the economy. Enough to buy many coffees for everyone!

      Unfortunately on past Australian experience the ads work very well in concert with opportunist politicians. There are enough nongs around who are easily convinced that tax = bad and that companies will abandon extraordinarily lucrative investments because they are no longer obscenely lucrative.

    8. Leftleaningdadbod on

      Ridicularse! You sound more like New Zealand, where we’re scared of companies as big almost as our GDP!

    10. PinkGayWhale on

      So the Japanese government is taxing imports of gas and coal, increasing prices for Japanese consumers. That means that no matter how the tax is paid the Japanese government is just taxing Japanese citizens on energy costs. Perhaps it sucks to be Japanese but why should we care? The Australian government taxes us on petrol costs.

    13. Habhabs on

      Did someone say Medicare dental? High speed rail? Sounds like you might need some tax from a resource such as being one of the top three LNG exporters in the world! Wouldn’t that be handy 🤔

    15. Roulette-Adventures on

      Japan can do this, and get away with it, because they have no natural resources of their own. Gas, Oil, Coal and everything must be imported – they have no alternatives.

    16. DCFowl on

      Can someone explain how we are going to stop using gas if the federal budget becomes reliant on taxing gas?

    18. Kyron4030 on

      I just did a search to find out who are the main players in our gas industry. Great to see our gas making record profits for these companies. Its our gas so it should benefit Australia.

      While Woodside and Santos are Australian-listed, a massive portion of the profit from Australian gas goes to multinational corporations that own large stakes in local projects. These include:

      * **Chevron:** A primary operator of the **Gorgon** and **Wheatstone** projects (two of the world’s largest LNG plants).
      * **Shell:** Heavily involved in the **QCLNG** project in Queensland and the **Prelude** floating LNG facility.
      * **ExxonMobil & INPEX:** Major stakeholders in the **Gippsland Basin** and **Ichthys LNG** projects, respectively.

    19. tropicalheat on

      considering how every time this comes up someone will tell us that the business will leave if we collect a little tax i propose that we collectively create a group of us who will take over the business and we will pay 90% tax.

      im keen to do it, even 1% of a billion dollars a year would be great for me and even better for my community. after about 5 years i’ll even give 100% of profits to the community.

    20. Kevintj07 on

      Oh Angus they will never leave and all we have to do is fuck off the company and rehire them under OUR conditions. Work for the Dole you cunts

    21. External_Object_2707 on

      Sooo.. There is a lot of information which is hidden from people. People are getting angry because they feel ripped off and to some degree, they are being ripped off. But….. people are placing the blame in the wrong area. This will be a long post so bare with me.

      1) All of these problems would be solved if we acted like Norway, where the government owns the oil and gas and the fields the resources come from. Norway pays companies to drill and extract the oil and gas but those companies never sell or own the resources. Australia should do this for ALL mining and ALL oil and gas.

      2) Since we do not operate that way… lets look at what we actually have.. Oil and gas companies that have profits approx. 10-30% compared to Australian banks and 10-20% compared to mining companies. We should be jumping up and down at Commonwealth Bank.. but I don’t see many people complaining about that company. What did they earn last year? $10 BILLION after tax compared to $898 million from Santos. So 10 times MORE!.

      3) What about other countries? Why do they collect so much more money in tax? Mostly due to the nature of operation. In QLD, you can have 400 wells that produce 150TJ of gas. In PNG a single well can produce 150TJ of gas. Imagine how much it cost to drill 1 well, maintain 1 well compared to 400 wells! (for info.. it costs about $1-2.5 million to drill a well in QLD and about $30 million to drill in PNG.. So it costs about $400-800 million to get the same result as $30 million in PNG. Our cost of operation is significantly higher than other countries, Norway included. What about cost of electricity? In Norway, they pay ~ $38MW/h and Australia is more than double that. Some gas fields in Australia spend $300 million a year in electricity.. to extract $500 million worth of gas. Then you factor in wages, costs, maintenance, etc

      4) Long term contacts. Countries like Japan will approach companies like Woodside and Santos and offer them good prices for 10years. Meanwhile Australian companies and governments offer 1 year, 2 year, 3 year? Companies will accept lower costs if 10yrs is guaranteed compared to 12 months. So from a long term financial point… These oil and gas companies have long term forecasting on profits, etc. If Australian companies and governments offered similar, they wouldn’t be selling overseas in the first place.

      5) What will happen if the 25% tax goes ahead? They will keep their Australian assets but will not bother to develop them any further.. Why spend $$$ in Australia with shorter contracts, more operating expense and more tax? They will simply put their money into developing fields in PNG or Alaska, which they are already staring to do.

    22. Inevitable_Flow_8021 on

      Australia not properly taxing gas is like the Americans not invoking the 25th Amendment to remove Trump. The situation is insanity. It needs to be done. Every rational person wants it done. It’s the right thing to do. Yet somehow, inexorably, it isn’t happening.