Bosses of Santos, Woodside, Chevron and Shell asked to give evidence to Greens-led gas tax inquiry | Energy

The bosses of natural resources giants including Santos, Woodside, Chevron and Shell could be forced to face an investigation into export taxes as the Greens step up pressure on Labor ahead of the budget.

Company executives, along with the bosses of gas exporters Inpex and ConocoPhillips, have been invited to give evidence at a Greens-led inquiry to be held in Canberra and Perth later this month. Under Senate rules, they could be forced to attend if they choose not to testify voluntarily.

Labor faces growing calls to impose a new 25% export tax amid soaring prices caused by the global oil shock triggered by the US and Israel-led war on Iran.

Labor supported the creation of the inquiry, a move that followed leaks showing the Prime Minister’s Department had asked the Treasury to model the effects of a flat tax on gas exports, as well as changes to the Petroleum Resource Rent Tax (PRRT) and corporation tax rules.

Supporters of the plan – including unions, social service groups and MPs like David Pocock – say a 25% tax could add as much as $17 billion to the budget. Labor is unlikely to enact changes of this magnitude as it seeks to boost fuel imports into Australia amid the closure of the Strait of Hormuz.

The committee’s chairman, Greens senator Steph Hodgins-May, sent out invitations to business leaders on Monday, including Woodside’s Liz Westcott, Chevron’s Balaji Krishnamurthy and Santos’ Kevin Gallagher.

The committee also asked the ambassadors of Australia’s key energy partners in the region to give evidence, including Malaysia, Singapore, South Korea and Japan.

Labor stressed it would not jeopardize export contracts with key Asian countries, insisting Australia is a reliable export partner and expects reciprocal treatment from importing countries in return.

But the Greens said businesses needed time in the “spotlight” before the May 12 budget.

“The CEOs of these profitable gas companies need to investigate and explain to the Australian people why they are taking our gas and selling it overseas for record profits, while paying almost no tax,” Hodgins-May said.

“The era of Labor letting big business write the rules and make obscene profits must end. »

Prime Minister Anthony Albanese was asked on Monday about possible changes to the tax parameters for gas exports, but refused to answer.

“We will have the budget next month,” he said.

Separately, the Green Party think tank has published new research suggesting major gas exporters could make profits of more than $78 billion in 2026 from the war.

The Greens Institute, led by former MP Max Chandler-Mather, has compared aspects of Norway’s oil and gas tax regime with rules in Australia, suggesting tougher new taxes on windfall profits could raise between $28 billion and $57 billion.

Chandler-Mather even proposed a 50% tax rate on gas exports.

“If Labor imposes a less than 25 per cent tax on gas exports, then Australians will know their government cares more about the profits of gas companies than the millions of Australians struggling to pay their bills,” he said.

Albanese downplayed possible changes to gasoline taxes as part of a series of regional fuel diplomacies. He visited Singapore last week and will leave for Brunei and Malaysia on Tuesday.

Last month, International Energy Agency boss Fatih Birol warned Labor against sudden changes to corporate tax rates, suggesting such moves would scare off investors.

“Energy investors are like butterflies. When they get scared, they fly away,” he said.