Oil giant Aramco says windfall taxes ‘not helpful’ and could stifle decarbonization

Oil giant Aramco says windfall taxes ‘not helpful’ and could stifle decarbonization

Pressuring oil companies through higher taxes is counterproductive at a time when global crude demand is set to outstrip supply, the CEO of Saudi Aramco, the world's largest and most profitable energy company, said during the World Economic Forum in Davos, Switzerland. Asked by CNBC's Hadley Gamble if a windfall tax on oil profits is a bad idea, Amin Nasser replied: "I would say, it's not helpful for them [in order] to have additional investment. They need to invest in the sector, they need to grow the business, in alternatives and in conventional energy, and they need to be helped." The CEO added that the green transition also required investment, which he said is likely to take a hit if companies face increased taxation. "Decarbonizing existing resources also costs a lot of money," he said. "So we need to see the support from the policymakers, and from the capital markets at the same time. Capital markets [are] putting a lot of pressure also on these companies, where it makes it too difficult for them to make some of these investments and get the right funding and capital." Policymakers in a number of countries are calling for windfall taxes on major