China extends resource tax concession on shale gas to end-2027
China will extend a resource tax concession for shale gas development to end-2027 to help boost domestic natural gas supplies, according to a joint statement from the Ministry of Finance and the State Administration of Taxation on Wednesday.
The government will continue a 30% concession to the 6% resource tax for developing shale gas, the ministries said, extending a policy that began in 2018.
China, the world’s top energy consumer and the largest greenhouse gases emitter, is looking to boost the use of natural gas as a key bridge fuel to achieve its 2060 carbon-neutral goal.
In 2022, the country produced 24 billion cubic meters of shale gas, mostly from southwestern Sichuan basin, accounting for 11% of total domestic gas output.
Source: Reuters (Reporting by Chen Aizhu; Editing by Himani Sarkar)