Australia’s petroleum resource rent tax and the UK’s petroleum revenue tax: sustainability and tax revenue issues

Existing petroleum taxation regimes in Australia and the United Kingdom (UK) could be a source of funds to the United Nation’s “loss and damage fund” for impacts on developing countries from climate change and future sustainability. Commencing with the polluter pays principle, Australia’s petroleum resource rent tax (PRRT) is overviewed. Statistics indicate low levels of PRRT collections in comparison high royalty collections from petroleum in jurisdictions such as Qatar. The UK’s petroleum revenue tax (PRT) is overviewed including its characteristic principle, maximisation of production. The UK’s PRT seems not unlike a vehicle for subsidisation. The UK’s PRT has passed the point of capability to contribute funds to mitigate the environmental impacts from gas. Discussed are the levels of significantly high carbon emissions from the gas industry in both Australia and the United Kingdom. Military conflicts are disrupters to transition to a sustainable path toward lower emissions.