North Sea won’t raise State’s revenue

Chief Secretary of the UK Treasury Danny Alexander spoke in Aberdeen about the Oil and Gas fiscal review. Given the dramatic fall in oil prices, Alexander said, it is clear that “the days when government regarded the North Sea primarily as a means of raising revenue are over.” As a vitally important economic asset of the UK, the North Sea is to benefit from new fiscal terms. After the cut of the Supplementary Charge from 32% to 30%, a regulator in the form of the Oil and Gas Authority will start running next year. Larger allowances will encourage oil and gas companies to invest; explore new fields and make the most out of North Sea resources.