Chevron boss hits out over take hike
John Watson, chairman and chief executive of Chevron - America’s second-largest oil company - told a national newspaper the move to raise the levy on the firms in order to fund a cut in fuel duty was “disappointing”.
Signalling that it could impact the firm’s North Sea plans, he said: “When you increase taxes every few years, particularly without consulting with industry, there will be unintended consequences of that in terms of where we choose to invest.”
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Hide AdHe added: “Chevron produces oil and gas in 26 different countries?... We choose venues that have the right geologic and fiscal terms.”
George Osborne’s Budget decision to increase the supplementary oil and gas levy by 12 per cent has drawn a furious response from the industry, which complained there had been no consultation.
MPs on the Commons Treasury Committee recently cautioned it could undermine the Government’s credibility, coming less than a year after Mr Osborne promised the oil and gas industry a stable tax regime.