Dáil Éireann Debate, Thursday - 14 July 2016
247. Deputy Bríd Smith asked the Minister for Communications, Energy and Natural Resources the estimated value of the Corrib gas supply in its first year of operation and the estimated value of revenues the State expects directly from that gas flow; and if he will make a statement on the matter. [21762/16]
View answerThe Corrib gas field, operated by Shell E&P Ireland Limited, on behalf of the Corrib Gas Partners, came on stream in the final days of 2015. The bulk of the gas produced from the Corrib field will be supplied to the National Grid operated by Gas Networks Ireland. Estimation of the value of gas supplied from the Corrib gas field into the National Grid in its first year of operation is a commercial matter for the Corrib Gas Partners and as such I am not in a position to provide the Deputy with the information sought.
Profits from the Corrib gas field are subject to Corporation Tax at a rate of 25%. The level of profits arising from the Corrib gas field will depend on a combination of factors, including the volume of recoverable gas, the cost of developing and operating the infrastructure, together with the timing and profile of production.
The operation of the taxation system and the receipt of taxation are matters for the Revenue Commissioners. As a consequence I am not in a position to provide the Deputy with an estimate of the revenues to be received by the Exchequer in respect of the operations of the Corrib gas field.
