On Wednesday, Richard Denniss, executive director of think tank the Australia Institute, called on the government to reform the nation’s “third world tax system”.
What is the petroleum resource rent tax (PRRT)?
“It’s basically designed around the tax suppliers to profit. Not based on the volume of gas that’s extracted or the value of that gap. It’s profit.”
“Even at a time when we’ve seen gas prices increase to extraordinarily higher levels, the amount of PRRT that is increased by has only been very, very small,” he told SBS News.
“They’re exporting similar amounts of gas to Australia, but they collect so much more in revenue from their gas sector,” Grudnoff said.
Should education be more affordable than fossil fuels?
Acknowledging higher education loans are not a “tax”, Grudnoff said Norway has the right idea by taxing their oil industry at a higher rate while providing free tertiary education.
“But in Australia, it appears we’re doing the reverse.”