The Energy Chamber welcomes measures put in place by the Ministry of Finance to improve the fiscal environment under which the upstream energy sector companies operate in Trinidad and Tobago. We wish to thank the Minister of Finance, Hon. Colm Imbert for collaborative engagement with the Energy Chamber toward making these changes.
The reductions in the Supplemental Petroleum Tax (SPT) rates for new wells in marine fields and the extension and expansion of the changes introduced in 2020 for small onshore producers are welcomed and will help the economics of new investments in oil projects. The Energy Chamber has advocated changes in SPT for over a decade and this change represents the first major adjustment for offshore oil producers. The changes will also help create greater investor interest in the on-going onshore bid round.
The Energy Chamber welcomes the commitment from the Minister of Finance to meet with the oil and gas industry over the next three months to review further potential reforms to the fiscal regime. There are also details of the announced proposals that will be important to clarify, and get right, if we are to meet the objective of encouraging investment in new oil production.