Tax Strategy and Payment Transparency
Importance and Mission
PTTEP has set tax strategy that shape the corporate tax policy of the Company and subsidiaries, to ensure transparency, legal compliance as well as alignment with good corporate governance and business ethics. PTTEP believes that transparency, legal compliance, and adherence to good governance and business ethics are the key towards sustainable development for the Company and all stakeholders.
Corporate Tax Strategy
PTTEP's tax strategy guide PTTEP Group's tax management towards transparency, legal compliance and adherence to best governance practices and business ethics. Details are outlined below. PTTEP Tax Strategy.
Remarks: PTTEP Tax Strategy approved by the Chief Executive Officer (CEO) representing the member of the Board of Directors as the Director and Secretary of the Board.
PTTEP adheres to governance best practices and business ethics, by ensuring that disclosed financial and non-financial data to shareholders and stakeholders is accurate and complete as required by applicable laws and contractual obligations imposed by the host countries of its operations.
PTTEP is committed to operating business with righteousness, transparency, and equitable treatment of all stakeholders who are assured of equitable benefits and protection under the Company's governance practices and business ethics. To ensure righteous revenue management, PTTEP fully supports the Extractive Industries Transparency Initiative (EITI). Created by a global coalition of governments and private companies, EITI promotes improved governance of extractive industries to ensure natural resources exploitation is truly for global population's benefits.
PTTEP supports EITI Principles that require extracting industries' public disclosure of revenue and expenses relating to their operations, to ensure that PTTEP's business activities generate added value and contribute to sustainable development in addressing stakeholders' energy needs.
PTTEP ensures that PTTEP pays fair share of taxes to authorities according to applicable laws of every country where PTTEP operates. PTTEP also does not have a policy to pay taxes to any authorities or any organizations which are not in accordance with applicable laws of the countries where PTTEP operates.
Additional information on revenue transparency, payments to government, contributions to associations is here: Economics Performance Data.
PTTEP Contribution to External Associations
Integrity and Transparency are at heart of our corporate culture as a responsible partner, acting with integrity towards our employees, contractors, business partners as well as community and wider society where we operate, While pursuing our growth strategy to expand and execute, engages with organizations and parties including trade associations, government entities, non-profit organizations, to drive national policies that are relevant and significant to the country's growth and wider society's sustainability. Similar to the PTTEP's Good Corporate Governance and Business Ethics that govern our decisions and actions in conducting business, it also governs the way PTTEP engage with the associations and delivering values through sustainability initiatives. PTTEP does not have any lobbying activities nor make any contribution, in money or in kind, to political parties or organizations, or to individuals engaged in politics. Apart from (direct and indirect) taxes, duties and other payments to governments, PTTEP contributes to society supporting responsible practices for oil and gas through industry associations.
PTTEP participates with relevant associations and agencies aiming at driving better economic and societal development by taking a support role. As respectable member in the in oil and gas industry, the company focuses our contributions towards associations and organizations supporting two main objectives: (1) develop and promote responsible practice for oil and gas industry in alignment with global best practice (2) encourage sustainable development in Thailand through partnership with business focusing on the conservation of natural resources and the environment, and business ethics.
During 2019 to 2022, PTTEP made monetary contributions to 10 trade associations and tax-exempt groups including International Association of Oil & Gas Producers (IOGP), IPIECA - The global oil and gas industry association for environmental and social issues, Petroleum Institute of Thailand (PTIT), Indonesian Petroleum Association (IPA), Oil Spill Response Limited (OSRL), Oil Industry Environmental Safety Group Association (IESG), Malaysian International Chamber of Commerce, Thai Institute of Directors Association (IOD), Thailand Business Council for Sustainable Development (TBCSD) and United Nations Global Compact (UNGC) via Global Compact Network Thailand (GCNT). (Contribution amount is shown in the Economics Performance Data.)
Additionally, PTTEP has been a member of Thailand Responsible Business Network (TRBN) since 2019. TRBN is a non-profit organization and a network of businesses that share the same commitment to drive the country in economic, social and environmental dimensions in compliance with Sustainable Development Goals (SDGs). PTTEP also has been a member of Thai Listed Companies Association's ESG Network.