THE Treasury’s new fiscal forum to improve dialogue between the UK Government and the oil and gas industry does not go far enough, First Minister Alex Salmond said yesterday.
Speaking in Aberdeen, he repeated his call for Westminster to set up a statutory consultation over any future changes to the UK’s oil and gas taxation regime.
He said: “To restore confidence they need more than a forum. They have already got a forum – Pilot (an existing scheme which brings government and industry together). The budget was announced in March and we are still discussing it. Wouldn’t it have been better to consult with the industry in the first place?
“I think a statutory consultation would help restore confidence and ensure proper discussion before any further changes.”
Mr Salmond was speaking at the official opening of Centrica Energy Upstream’s new global headquarters in the iQ building in Justice Mill Lane. Aberdeen. He welcomed the firm’s expansion and plans for further growth and also that it was basing its international upstream operations in the Granite City.
Centrica’s upstream oil and gas operations have grown since the group bought Venture Production in 2009.
Since then staffing levels in Aberdeen have mushroomed from about 140 to about 350, including about 60 being taken on this year, making it Windsor-based Centrica’s largest office. All the staff will have moved over from the firm’s old Huntly Street offices by the end of the week, Centrica said.
They will occupy three floors of the six-storey iQ building, where Centrica has the capacity to accommodate 500 staff. Energy-service giant Wood Group has taken the other three floors of iQ, which is noted for having the most expensive rental price in Scotland.