Russia must change its tax regime to boost oil industry
Russia's tax regime will hit its oil production warns Lord Robertson, deputy chairman of a TNK-BP joint oil venture
Russia is not making the most of its oil assets due to the structure of its
tax regime, said Lord Robertson, deputy chairman of the TNK-BP joint oil
venture.
TNK-BP and Russia’s state-controlled oil companies are being hit by rising
costs and higher taxes, he warned.
As 80% of export revenues are taken in taxes when the oil barrel price is
above $27, companies are not seeing the benefit of the high oil price, he said.
Barrel prices are currently over $90.
‘If Russia is going to be able itself, as a country, to extract more from the
ground, then it will have to change that fiscal regime,’ Lord Robertson said in
the FT.
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