State rules out fresh changes to oil firm taxes

The Government has said there is no need to readdress last year’s altered fiscal terms for exploration firms active in Irish waters, despite this year’s dramatic drop in oil prices.

Following his address to delegates at Energy Ireland’s annual conference at Croke Park yesterday, Ciaran O’hObain, principal officer at the Department of Natural Resources’ Petroleum Affairs Division (PAD), was specifically asked whether energy consultants Wood Mackenzie, which advised the Government on last year’s tax changes, would advise differently if delivering its findings in the current oil price environment.

World oil prices have fallen from over $100 per barrel to $50-$60 in the last year and are not expected to rise past $70 per barrel in the long term.