{"id":7228,"date":"2023-04-28T13:27:00","date_gmt":"2023-04-28T10:27:00","guid":{"rendered":"https:\/\/www.fpe.ro\/?p=7228"},"modified":"2024-11-20T10:19:11","modified_gmt":"2024-11-20T08:19:11","slug":"cifrele-implicarii-in-prosperitatea-nationala-studiul-contributia-industriei-de-petrol-si-gaze-la-economia-romaneasca","status":"publish","type":"post","link":"https:\/\/www.fpe.ro\/en\/cifrele-implicarii-in-prosperitatea-nationala-studiul-contributia-industriei-de-petrol-si-gaze-la-economia-romaneasca\/","title":{"rendered":"Figures on involvement in national prosperity. Study CONTRIBUTION OF THE OIL AND GAS INDUSTRY TO THE ROMANIAN ECONOMY"},"content":{"rendered":"

For more than 166 years, the oil and gas industry has made a substantial contribution to the Romanian economy through taxes paid, jobs supported and investments made. This contribution remains important today, as the study by Consilium Policy Advisors Group (CPAG)<\/strong> and FPPG,<\/strong> entitled THE OIL AND GAS INDUSTRY'S CONTRIBUTION TO THE ROMANIAN ECONOMY.<\/strong> Now in its second edition, this study is indicative of the extent to which this sector contributes to national prosperity. The oil and gas industry is a strategic field for our country, especially in the current situation, in which Russian aggression against Ukraine continues and Russia has lost its status as a natural gas supplier, both for Romania and for a good part of Europe. The natural gas industry is also a vector for Romania's energy transition, which is why the development of the Romanian economy stands to benefit from the intense activity in the natural gas sector.<\/p>\n\n\n\n\n\n\n\n

This study covers data from the first half of 2022, a period in which the market has been marked by a strong increase in natural gas prices, but also by a decrease in domestic natural gas production.<\/p>\n\n\n\n

The study continues the structure and approach of the first edition, analyzing the impact on the budget - through the various taxes paid - but also on jobs or the investment area.<\/p>\n\n\n\n

Chapter \u201eContribution of the oil and gas sector to the consolidated general budget\u201d<\/h3>\n\n\n\n

The first chapter of the study presents the total tax contributions, dividends paid to the state, tax payable contributions, sector-specific taxes, surcharges, royalties, etc., as well as other relevant figures, which you are invited to read by reading the study.<\/p>\n\n\n\n

The money channeled to the budget, in various forms, helps the government to implement ongoing projects, support implemented energy price caps, finance sectors such as education, health, pensions, social protection, etc., as well as maintain the budget deficit.<\/p>\n\n\n\n

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Total tax contributions, including dividends paid to the state, have increased by 29% in 2021 compared to 2020, to 29.8 billion lei.<\/strong> In the first half of 2022, the budgetary impact was high, with the sector contributing 21.5 billion lei to the consolidated general budget, almost the same amount it contributed in the whole of 2020.<\/p>\n\n\n\n

The amounts of corporate income tax paid by the oil and gas sector increased at an accelerated pace, from RON 0.6 billion in 2020 to RON 0.9 billion in 2021 and RON 1.3 billion in the first half of 2022. For the full year 2022 expectations are that the amount will be significantly higher.<\/p>\n\n\n\n

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Chapter \u201eEconomic impact of the oil and gas sector\u201d<\/h4>\n\n\n\n

The second chapter is dedicated to the economic impact of the oil and gas sector, with figures on the impact on GDP, labor market, investment, etc.<\/p>\n\n\n\n

The direct impact of the industry increased in the first half of 2022, reaching an estimated 22.9 billion lei.<\/strong> Over the last two years, the oil and gas sector has gradually recovered from the lows reached during the pandemic, outperforming sectors such as Insurance and Financial Intermediation, Agriculture, etc.<\/p>\n\n\n\n

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The oil and gas industry supports about 145,000 jobs<\/strong> (direct, indirect and induced), equivalent to 3% of the total number of employees in Romania. The study shows that the productivity of employees in the oil and gas sector was 1.7 times higher than the average labor productivity in Romania (Statistics 2021).<\/p>\n\n\n\n

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This section of the study also includes an overview of Romania's paradoxical situation as a country with significant onshore and offshore resources, but with declining natural gas production. From 2008 to 2022, natural gas consumption decreased at an annual rate of 1.7%.<\/strong><\/p>\n\n\n\n

The concluding chapter emphasizes the importance of the oil and gas sector:<\/p>\n\n\n\n

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\u201eTotal tax contributions paid by the sector skyrocketed in the first half of 2022, equivalent to 9.7% of total government revenue. From the over-taxation of additional revenues from natural gas sales alone, the government collected more than 6.2 billion lei in the first half of 2022, equivalent to 2.7% of total consolidated general budget revenues. These considerable sums have greatly eased the authorities\u201d burden to implement energy price caps as well as other safeguards against high energy prices.\"<\/p>\n<\/blockquote>\n\n\n\n

The oil and gas industry is showing its importance both in terms of the present economy, at the levels indicated in the CPAG study, and in terms of the future. Developments in 2022 mean a good start for investment in new technologies, \u201ewhich are very capital intensive\u201d<\/em>. On the importance of the figures revealed by the survey and how they can help those interested to build a perspective on future developments, in a statement by Mr. C\u0103t\u0103lin Ni\u021bu, Executive Director FPPG.<\/strong><\/p>\n\n\n\n

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