Ben van Beurden, CEO of Shell (NYSE:SHEL), stated on Tuesday that he anticipates the oil and gas industry will be subjected to additional taxes to protect consumers from rising energy prices, particularly low-income individuals. However, he was critical of potential price caps for natural gas and electricity.
At an energy conference in London, van Beurden said it is “inevitable” that government action would necessitate imposing higher taxes on oil and gas players, including “those in this room.”
The ministers of the European Union came to a consensus the week before last on a first energy package, which included the redistribution of windfall profits from enterprises to their clients and other businesses.
The group has also proposed limiting the price of natural gas and electricity to safeguard consumers. The CEO questioned this strategy and said that businesses such as Shell would struggle to bring additional supplies of natural gas to Europe if there was no pricing incentive.
According to van Beurden, “we will try our utmost to send gas to Europe where it is required; nevertheless, if the market signal is not there, it will be incredibly tough.”
The remarks were made three weeks after van Beurden declared his intention to retire from the organization after spending almost 40 years there.
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