Australia, among the world’s top liquefied natural gas exporters, will hold an inquiry to examine taxes on oil and gas firms like Chevron, Woodside and Santos, as the Iran war pushes up energy prices, creating a windfall for producers.
The Senate on Monday agreed to establish a select committee to examine the tax treatment of oil and gas, with Labor senators supporting a motion by the Greens party.
Greens leader Larissa Waters was among the senators pushing for the review. Getty Images
The committee will be led by Greens senator Steph Hodgins-May, who last week called for a tax of at least 25 per cent on gas exports – a proposal she estimated will raise about $17 billion a year in revenue.
Australia is in the midst of an intensifying debate over whether to raise taxes on resources exports, as soaring global prices driven by the Middle East conflict boost profits for major producers. Some politicians, unions and advocacy groups have called for higher levies – including a potential windfall tax – arguing exporters are benefiting from wartime price spikes.
“This inquiry will put the rich tax-dodging gas corporations under the microscope, dismantle their excuses for paying no tax, and build momentum for fairer tax in the upcoming budget,” said Greens leader Senator Larissa Waters Monday.
Bloomberg