Today’s publication of the third UK Extractives Industries Transparency Initiative (UK EITI) report by the Department for Business, Energy & Industrial Strategy, showcases the UK oil & gas industry’s determined commitment to transparency for the extractive industries. The report is available to view on the UK EITI website here.
 
Mike Tholen, Upstream Policy Director, Oil & gas UK, said: “EITI is a voluntary global standard for the governance of a country’s oil, gas and mineral resources. I am delighted to say that for the 2016 report, published today, 100 per cent of the 41 in-scope UK oil and gas companies have fully participated and their payment streams are fully reconciled. This is an important step towards full validation of the UK EITI during 2018.
 
“The 2016 report also highlights what an incredibly challenging year it was for the industry with the oil price falling to its lowest point in over a decade. Since the downturn the industry has succeeded in reducing operating costs in the UK basin by 50% and increasing production by 16% when compared to 2014 figures.
 
“This increased competitiveness is now reflected in a higher tax take by HMRC. In the 2017/2018 tax year the UK oil and gas industry contributed over £1.1bn to the Exchequer and the Office for Budget Responsibility’s current forecast shows that this industry will continue to contribute approximately £1bn per year until at least 2023.
 
“With the UK Government forecasting that oil and gas will provide two thirds of the UK’s energy requirements until 2035, this industry has an important role to play for generations to come.”