Gas companies paying no royalties | Mark Ogge on ABC News
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- Опубліковано 21 вер 2024
- Gas companies are meant to pay royalties for the right to extract and sell Australian gas. But no royalties are paid on 56% of gas exported from Australia.
A new report from the Australia Institute, Australia's Great Gas Giveaway, shows that over the last four years, multinational companies made $149 billion exporting royalty-free gas.
Australians have missed out on at least $13.3 billion in revenue that could have been raised over the last four years had royalties been charged on royalty-free gas.
Report author Mark Ogge joined ABC News to discuss.
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It's a sovereign product so they should pay royalties. Our governments fail to do their job.
Why isn't it Theft?? .....
Oh hang on now I remember, McFarlane, Downer, Ferguson, Joyce .... feel free to add to the list
Or they are doing their job perfectly, robbing us the people, exactly as planned
It was the minister of resource at the time that allowed this. Guess where this ex minister sits now? On the board of the company he approved.
Our governments get bribed by them to look the other way!
@@tfalani3861 This is the issue. They are not only failing to do their job, but are actively serving their own interests instead of the Australian people. The corruption is out of control.
Ah the old 'sovereign risk' ploy, well let them leave and we can nationalise the gas fields and keep 100% of the profit.
Im with you john.
Have a look at what gas fields have done to American farmland
@@larrykelly-kf5pp Fracking?
@@JohnH1 “ gas wells”
If they leave there are others willing to take their place and pay for the privilege just like they do in other countries, for it to be nationalised would be great though and its not like we don’t pay for the clean up etc already.
Australian politics needs a shake up.
No more lobbyists.
What a joke!
Gas companies pay royalties in the form of political donations to the LNP and Labor Party no doubt.
That is why we should vote Greens to force Change
That's not royalties, that bribes. To which there is a law against. Bribing a public official is illegal!
Spot on. And they massive subsidies for the pennies they donate.
Dinners, gifts and holidays as well as Cushy jobs after they leave politics, disgusting isn’t it!
@@paulkruger4156 The rules for the public service are not the same for politicians. Political donations go to the political parties and not individuals. Anyway, who's going to blow the whistle? We jail whistleblowers in this country now don't we?
What a joke , while we pay more . Australia’s and Norway’s economies both have massively profitable resource industries, but Norwegians receive a much larger and fairer share.
For comparison, Australia gets 2 billion annually while Qatar gets 78 billion for the same amount of gas sold annually. Ferguson under Labour now sits on the company he approved; British Petroleum whilst a minster for resource.
Both sides of politics need this to change.
John Howard allowed the gas industry to sign long term gas supply deals with China, Korea and Japan which helped ensure their manufacturing was competitive, but did absolutely nothing to guarantee affordable gas for Australia's population and manufacturing.
And it was all done to get BIG FAT political donations...
Then, under Rudd and Gillard, Labor MP Martin Ferguson allowed tax levels to further drop while exported gas volumes and gas industry profits increase.
He soon retired from politics with a fat pension and weeks later started work as a Director of British Gas...what the....😠
That's an absolute farce...
Both Labor and the LNP have their heads in the trough...🤨
"", but did absolutely nothing to guarantee affordable gas for Australia's population and manufacturing.""
Howard did not need to for the simple reason we had plenty of gas. It was the contracts signed by Rudd/Gillard/ALP which caused our gas shortages.
Correct
John Howard was the clown that started all this rot
But both major parties are guilty on this subject
Heads should roll
All fucking grubs
@@Neil-yg5gmHe did need to, this is the problem either he lacked the foresight to see potential problems in the policy and failed to safeguard Australia or it was deliberate.
He was a disgusting worm that eroded workers rights, increased personal tax slyly with the GST as well as many other policies bought in to short shaft the Australian public. He entirely knew what he was doing and where this would go!
@@batmanlives6456 ""John Howard was the clown that started all this rot ""
Really? So Howard should not have sold our gas?
But it was the contracts Rudd/Gillard signed which caused our shortages
Is one of many crimes, against the Australian people!
No is not because this is how the system works
ONLY 13 BILLION........for HOW MANY YEARS....... probably more. "ON OUR BEHALF" So the commonwealth is defrauding the Australian People!?! Not only that. If this sort of thing is going on with other resources that belong to the Australian people, I'd have to ask the question. WHY have a government, if its only there to give itself pay rises AND rip us off.
His name is Martin Ferguson. Sat on the British owned company he approved after his term in government.
Well said. Even the Arabs look after their people by enriching the countries with royalties.
The Norwegian government made the mining companies pay 70% tax I believe. The companies screamed and squealed, saying that they would leave the country. The Norwegian government called their bluff and guess what? The mining companies paid the royalties and still made money
Who really "governs" Australia?
AMERICA 😵💫
Gas company's silly.
Australia is a colony of the UK as it always has been like before Federation . Look at our flag the pommy flag in the top corner and the legal systems reference to the Crown which
is at present King Charlie .
@J-qn3eb Yes you are right like the EAST INDIA CO ran the colonies in countries for example India and China .In Australia it was VESTEYS who owned vast areas of North
Australia and the meat works .They only paid ONE POUND per year tax .Mount Morgan gold was another one that created BP in England .
@@Noddy2750BP isn’t American it’s British petroleum
This is a crime against the Australia people, Those who allowed these deals to start & continue need to be investigated by the NACC. No other country on Earth would allow their nation to be ripped off like this.
13 billion dollars raised if Australian government taxed these companies could have built alot of social housing
This is criminal! I am calling my local MP!!!! Absolutely disgraceful!!!!!!!
These are Australian Resources…
And we received no royalties?
WT actual F ???
And then there are the subsidies....
And then there's the price we pay for gas, which is roughly 4 times higher than US citizens pay.
What subsidies? Most of the $14B in subsidies that AI cites is the liquid fuel excise rebate ... which is not a subsidy. Removing the rebate would unfairly disadvantage mineral extractors and farmers, and removing the excise would remove needed tax revenue from public coffers.
@@jinnantonix4570 The fuel excise is a tax. Why should you and I have to pay it and mining companies not? They can more than afford it. They should pay the tax. The tax also adds as an incentive to move to cleaner vehicles that are more efficient. Essentially it is a subsidy by not making them pay the tax. That tax that is general revenue and it will need to be collected from other sources because mining isn't paying their fair share of it
@@ellWayify the fuel excise tax was introduced with the intention of collecting money to pay for public roads and bridges. A user pays system. It was passed in parliament on this basis. Miners, farmers and warehouse operators run vehicles that do not use public roads, so it was agreed they would pay the tax at the bowser, and claim a rebate. To remove that rebate now is tantamount to theft.
Keep up the good fight legends
The interviewers response to the lost billions was 'hmm'. Surely this deserves some further exploration. For example, how would this lost money help our national debt or subsidize social programs such as the NDIS.
Because the main offenders for the cause of this situation are from the ALP, and the ABC won't criticise their own
No credit to Clever Punter? It's a bit unprofessional, really...
But WHY? Can you please explain why we don’t get royalties? Unbelievably flabbergasted by this revelation!
Because Matt Ferguson approved lower tax for a certain company he later sat on its board after his term in government.
Australia got 2 billion annually while Qatar got 80 billion annually for the same amount of gas annually. Smell a rat
Because our Governments are bought off by the fossil fuel industry and our pollies that enable this hypocrisy end up on the golden escalator, working for theses fossil fuel criminals.
This is a national disgrace. Seriously what the hell has happened to this country?
No they stuff their pockets!
Norway levies taxes on its oil & gas production and holds this in perpetuity for a retirement fund, effectively a Government Superannuation fund for all its citizens. This makes Norway the wealthiest nation on Earth. What does the Australian Government do? Squander the opportunity.
bloody sickening ! and make them pay their fare share of tax too
Meanwhile we have Aussies families living in tents😢
should be a bigger issue. well done ABC
Well Done to high light this situation.
The Australian Labour Government allows Gas to be exported Royallty Free - while the Aussie Electorate pays some of the highest energy prices in the world.
This should be headlines on every News Channel tonight.
What is the Government doing about chasing the royalties??
Not just Labor, LNP do the same.
In any metric that matters, there is no real difference between Liberal or Labor
The politicians go to work for the gas companies after their term.
We are the highest gas exporter in the world because we are pretty much giving it away compared to other gas exporter..
The old political parties are gutless wonders. Let's massively support the present 'cross-bench' & vote Greens & Teals & the progressive independents.
Sustainable Australia Party #1, Teals #2
Try not paying them if that does not work lock them up to consider their own future
@sandponics The CCP isn't looking after the interests of all Chinese people, or the Apple factory wouldn't need suicide nets. It looks after the interests of the party and has no opposition. More centralisation of power is not what we need.
@sandponicsshould we also kill up to 30 million of our own citizens during the process as the CCP did during the Long March forward and the cultural revolution? I think you need to visit a library and brush up on the real history of socialism. Conservative estimates attribute over 100 million deaths to socialist dictatorships of their own citizens during the last 100 years.
we the australian people need to be paid back royalties
This is old, old news. The mystery question is who decided not to collect and why?? Nothing happens for nothing. Follow the paper trail.
Matt Ferguson
Housing education health are all suffering while these multinationals rip us off....outrageous!
There needs to be way more coverage of this. Australia is getting ripped off by big multinationals. Political parties do get nice donations though.
Charge them! And why are we paying too much for our own gas. Talking to you Victoria!! Profit before people. Shame shame shame
You're underselling this. Qatar was the largest LNG producing country in the world. They made $27 billion in a year. Australia out produced them recently, we got less than $2 billion. In WA alone, rego makes the state more money than gas, our apparently largest profiting export.
Laughing stock of the world.
Pollies on take, obviously
Guess who the pollies work for after Canberra?😊
Each Australian should be paid a monthly cheque from export royalties. NOT the politicians, the PUBLIC
And the people are told that there a gas shortage at least on the east coast..as juice would say cool and normal
In actual fact Australia has missed out on An Annual amount of $224 Billion (almost a trillion $ over 4 years ) This is because the Labour Minister for Energy in the Rudd Govt introduced A Law that cut the royalties companies needed to pay ( after he left Govt he now sits on the board of a Major Gas company
The reason why the pension age is 67.
What a great man. Mark is.,.
Make the gas companies pay back all the taxes the owe us!!...
Don't tax the multi Billionaire companies , tax the Aussie Batler who can't save money any more and is quickly spending any savings due to cost of living.
Corrupt politicians greedy companies no surprises here
Public being screwed over again.
Sell it at full price on the open market !
It goes into the only pockets that matter... the politicians.
Why is it that Norway gets 79% royalties
If this has been going on since Bob Hawk how hasn’t any media organisation reported on it?
I worked alongside gov in the 80s
A small group of high fling gov officials were pocketing big money.
Ill say its still happening today.
One can only assume that a number of Aussie parliamentarians are shareholders in the companies exporting the gas
While low income struggling to pay tax and barely surviving are threatened with debt collectors and account garnishing by ATO and cut off centrelink support every 5 minutes to prop up foreign job "providers"
Why am I paying any tax , Royalties should pay for that look at Kuwait 76 bill to our 2 bill royalties for the same amount what a scam
Thank you for bringing this to our attention. This is a joke
No wonder our energy in australia is so expensive for all consumers of gas and electricity!!!!!
Which Politician allowed this to happen. There is a strong smell of oink oink oink. This is disgraceful.
All of them are guilty of misrepresenting and Lying to We the People
We have to remember all this Crap from both Arse Cheeks 🤷
Better still, they could charge it on exports only, making manufacturing in Australia competitive again.
🦞Fail the rock lobsters industry too blasting kills recruitment up to 1’2kms from blast 🐙that goes off every 10 seconds 24 hours a day for months on end 🦑🐳🐢🐬🦀
Look into wich ex resource ministers work for energy companies now. There is the answer.
If a pensioner was overpaid the Gov would be chasing them down the street. This is a joke.
They should, absolutely insane.
That would be "fossil gas companies pay no royalties." Just to clarify, gas refers to the air.
SO WHERE IS IT GOING? THE POLITICIANS?
I'm disgusted... I won't be voting Labour or Liberal again unless they do something about this , giving away Australia resources
And yet in nsw we pay crazy high costs for gas, imagine if we did make them pay royalties, someone needs to get in control of the gas cartels
The liberal governments had been generous to the foreign companies from UK and US
can these royalties be put on a table for all to see clearly. What is the hell is going on?? All media should focus on this subject. So much money is lost in this failed scheme. Rebuttal, explanation from Australian govt? Royalty has to be charged on all gas produced in Australia. Well done Australian Institute. How about the price paid for the same volume of gas? Qaar is reported getting 26x moe than Australia. price and royalty
Has this issue been raised in Parliament by anyone.
fed gov is intentionally not asking for royalties because they are benefiting under the table from these gas companies. And we have shortage of gas and yet all these gas at a cheaper rate is exported??? this is pure evil
This guy should stand in votes and i'll vote for him.
Lock em up!
It is not theirs to take .Pay the tax or PIZZ OFF .It should BE LEFT IN THE GROUND until they decide to pay for it. Australia is the largest exporter of iron ore ,gas, beef ,grains and coal .
The country is broke ,So where has the money gone ?
Lets deep dive on this subject and link these companies to there tax paying commitment as well. Great work to highlight this. We are heading into a world of automation and far less employment.( Government revenue) These companies need to tow the line pay up, contribute, or pack up and get out. Hand the keys over to Government so we can run the show.
It’s deplorable. Funny how the “Australian Institute “ has only got vocal about this after a guy on instagram has brought it up. You need to get better.
This cant be for real??!! So 56% of Gas exported is pure profit LOL and we thought we had it bad in the EU. 🤣🤣🤣😂😂😂
do not let any shipments leave until this is fixed
So 🤢🤮 how both major parties allow those of us with student debt to pay more in loan repayments than fossil fuel Co.s pay in resource rent tax.
Is our government that incompetent or is it that corrupt
This needs a royal commission to study how it should work and how corrupt politicians are receiving political donations and high paying jobs in the oil and gas industry when they retire from politics.
Work of ledgens
Nurses and the workers pay more tax than the big corporations.
Our cost of living is rising rapidly because the price we pay for goods and services is being driven upwards by the aggressive taxation levelled upon it by all three levels of government in this country. These goods and services include fuel, energy, utilities, food, clothing, council and commercial rates etc. So when we purchase goods and services the price we pay includes all these taxes which are also continually rising.
So why are they so high? The answer to this question is that we, the citizens of this country, are almost entirely the sole source of taxation revenue for the three levels of government in this country. Because each year, big business, including many who are foreign, pay little to nothing in tax amounting to hundreds of billions of dollars lost to the nation, meaning you and I have to make up the difference.
“Australians are paying more personal income tax as a share of government revenue than any other advanced economy, except for the high-taxing Scandinavian welfare state of Denmark, according to an international report that renews pressure on the Coalition and Labor to reform the tax system.
Governments in Australia also raised almost double the amount of revenue from taxes on property compared to other wealthy nations, chiefly due to state-based stamp duty on real estate purchases, the Organisation for Economic Co-operation and Development report said.”
- AFR(policy-tax-and-super-personal-tax-take-second-highest-in-oecd-20211206-p59f3y)
“A report for the Organisation for Economic Co-operation and Development found that as a share of government revenue, our personal income taxes account for 42 per cent, which is more than twice as much as the OECD average of 23.5 per cent.”
- ABC(news-2021-12-07-personal-income-tax-in-australia-amongst-the-13666488)
The data below comes from the ABS and shows just how big the problem of tax avoidance by big business is in this country.
Total tax collected from individuals by all levels of government in 2020-2021 was $593,184 million or $593.184 billion as shown by the ABS (abs-ausstats-abs@.nsf-mf-5506.0)
Total tax payable by Corporate Australia in 2020-2021 was $68,895,227,402 or $68.895 billion as can be found at - Data(dataset-ds-dga-c2524c87-cea4-4636-acac-599a82048a26-details).
That means we citizens contributed $524.289 billion dollars in taxes while big business was liable for only $68.895 billion dollars. This represents, 68.895/(524.289 + 68.895) x 100% = 11.614% of the total tax expected to be collected by the federal government was paid by big business.
According to the ABS the total income of big business in this period was $2,311,484,379,849 or $2311.5 billion or $2.3115 trillion and so in being liable for only $68.895 billion in tax they only paid 2.98% of their income in tax.
If big business paid the same rate of tax as the rest of us, say 30%, then the total tax take from big business in 2020-21 should amount to $693.45 billion. Even if they were only expected to pay 20% of their income in tax then they would be liable for $462.3 billion. If we set the bar at 15% then they would be liable for $346.73 billion.
Such a sum would make an enormous difference to reducing the taxation burden on workers and small businesses from all three levels of government and hence to significantly reducing the cost of living pressures we are currently experiencing.
What about our schools, universities, hospitals, defence and other expenses we must meet? No wonder the cost of living has got out of hand in this country as the tax burden of big business has been transferred onto the shoulders of the community and so by its very weight crushing the economic life out of it.
Around one third of big businesses don’t pay any tax, “One-third of large companies in Australia still don’t pay any tax despite a taxation office crackdown on the big end of town that has been under way for five years.”
- Theguardian-(australia-news-2021-dec-10-one-third-of-big-businesses-in-australia-still-dont-pay-any-tax-five-years-into-ato-crackdown)
Some of these businesses even receive handouts or subsidies from the government.
“Fossil fuel subsidies cost Australians a staggering $10.3 billion in FY 2020-21 with one Commonwealth tax break alone ($7.84 billion) exceeding the $7.82 billion spent on the Australian Army, according to research released today by The Australia Institute.
In fact, $10.3 billion in Government subsidies means that in 2020, every minute of every day $19,686 was effectively given to coal, oil and gas companies and major users of fossil fuels……………………………………………..
…….. “Coal, oil and gas companies in Australia give the impression that they are major contributors to the Australian economy, but our research shows that they are major recipients of government funds,” said Rod Campbell, Research Director at The Australia Institute.“
- Australiainstitute-(australian-fossil-fuel-subsidies-hit-10-3-billion-in-2020-21)
The tax evasion behaviour described above has been going on for decades under both Labor and the LNP. In this kind of environment, where permissive thinking undermines integrity leading to such behaviour being normalised, we should not be surprised to discover individual politicians who have been spying against us on behalf of foreign governments.
Call their bluff on them leaving. We get nothing, but lose a valuable resource. We have nothing to lose by them leaving and everything to gain.
The Norwegian government did that , called the companies bluff and guess what? The companies paid up and still make money, the Australian politicians make the money from the bribes while Australian citizens pay
@@MickAngelhere Exactly. It's not like they are car manufacturers, where they will be allowed to import their cars from third world countries, rather than make them here!
@@paulkruger4156 true , however when the a previous Federal Labor Government was going to bring in a similar tax for the same companies, those companies screamed and carried on and threatened to leave the country if the tax was implemented.
Well the then Labor government gave in and set it at a rate that in the end cost more to collect and leaving us once again with very little.
@@MickAngelhere Let them scream and carry on. If they want $$$ they will take what they are given and not an kg more!
So why the heck does the govt continue to subsidize the gas industry?
Let's hope the Teals & Greens' take more Govt. & Coalition seats.
Can we do anything about it though? These criminals won't.
No golden elevators
corruption 101
Norway and various Mid Eastern Countries have become exceptionally wealthy from Gas Royalties. Australia gains almost nothing? which allows the country to wallow in Debt, lowering our standard of living, keeps personal taxes high, doesn't allow much needed Infrastructure expenditure, etc etc. Our politicians should have their salaries terminated until they start taxing these multinational corporations who are legally able to rape Australian resources. We know how quickly things would turn around if we could make politicians incomes subject to demonstrable performance measures.
Sovereign risk 😂😂😂😂 Norway gives its citizens a cash payment for its gas and oil.
This is the favour politicians do for multinational corporations in return for political donations and cushy jobs after they retire from politics. Welcome to Aussie democracy. 😊
the non payment of royalties has been due to long term signed agreements from years ago, the rent resource tax was introduced to correct this anomaly, this has been negated "I guess" by the corruption that has been revealed regarding private financial company (PwC) contracted by pervious Federal governments to advise how to formulate tax issues, that was on sold to the companies who would have to pay the tax, giving these companies time to re arrange their business plans that would avoid the tax prior to the Federal government introducing the registration.
What a load of sht. Barrow was on an A class nature reserve and someone had to sign off on it!!
And they called CFMEU criminals!!🤣😂
The politicians that sign these rules laws get a minor part of the get the returns but the population doesn't
fed up, enough is enough
Oh, so the A.I robot fleets are just around the corner guys. We wont even need an army, we'll build one 😎
We should look at the so called donations that the companys pay the major parties and who benefits most from this money, it definately isnt the Australian tax payer, maybe our politicions are not as honest as we expect?
This is how politicians secure their own personal post-political future and wealth.
They all pay bugger all. No matter we all know its just for show. Your all in on it.
We own the resources and the resources industry owns the politicians.
This time i am voting for independent candidates.
simple all business pay same tax as people so after 210000 they pay half in tax like we do then fair for every company .