Influencer Warns MPs: Millions of Australians Care About Gas Export Tax, Ignore at Their Peril

Australian social media influencer and climate advocate Grace Tame has issued a direct warning to federal MPs, stating that millions of Australians are deeply concerned about the nation’s gas export tax policies and urging politicians not to dismiss public sentiment on the issue. Speaking during a live-streamed Q&A session hosted by the Australia Institute on June 10, 2024, Tame emphasized that growing public awareness of how fossil fuel exports are taxed — or rather, undertaxed — is reshaping voter priorities ahead of the next federal election.

Her remarks come amid rising scrutiny over Australia’s Petroleum Resource Rent Tax (PRRT), the primary mechanism through which the Australian government taxes profits from offshore oil and gas projects. Critics, including tax experts and environmental groups, argue that the PRRT is ineffective, allowing multinational gas companies to extract billions in revenue even as paying minimal tax — a situation Tame described as “a betrayal of public trust.”

Why the Gas Export Tax Debate Matters to Australians

Australia is one of the world’s largest exporters of liquefied natural gas (LNG), with exports valued at over A$50 billion annually, according to the Department of Industry, Science and Resources. Despite this, analysis by the Australia Institute shows that in 2022–23, the PRRT generated just A$1.2 billion in revenue — a fraction of the sector’s profits.

This discrepancy has fueled public concern that Australia is not receiving a fair return on its natural resources. A 2023 ANU Poll found that 68% of Australians believe gas companies should pay more tax, with support cutting across age, gender, and political lines. Younger voters, in particular, are increasingly linking resource taxation to climate action and intergenerational equity.

“People aren’t just angry about climate change — they’re angry about the unfairness,” Tame said during the livestream. “They see foreign corporations making huge profits from Australian gas, paying little tax, and then we’re told there’s no money for hospitals, schools, or renewable energy. That’s not just lousy policy — it’s bad faith.”

Political Response and Policy Implications

Tame’s warning has been echoed by several crossbench MPs, including Senator David Pocock (Independent, ACT), who has long advocated for PRRT reform. In a recent Senate estimates hearing, Pocock called the current tax settings “a scandal” and urged Treasury to model options for increasing revenue without deterring investment.

The Albanese government has so far resisted major changes to the PRRT, citing concerns about investor confidence and global competitiveness. Treasury officials maintain that the PRRT is designed to be profit-based and only applies when projects are highly profitable, arguing that low recent collections reflect high operating costs and depreciation claims.

However, independent analysis by the Grattan Institute suggests that reforming the PRRT — such as by reducing uplift rates or tightening integrity rules — could raise an additional A$4 to A$6 billion annually without significantly impacting investment decisions.

What Australians Want: Fairness and Climate Action

Beyond revenue, polling consistently shows that Australians want gas export policies aligned with climate goals. The same ANU Poll found that 61% support redirecting increased gas tax revenue toward renewable energy and household energy relief.

Environmental groups like the Australian Conservation Foundation argue that the current system effectively subsidizes fossil fuel expansion at a time when science demands a rapid transition. They contend that meaningful PRRT reform is not just a fiscal issue but a climate imperative.

Tame concluded her address with a stark message to parliamentarians: “You work for us. Millions of Australians are watching. If you retain ignoring this — if you keep letting big gas off the hook — you do so at your peril. The next election won’t just be about cost of living. It’ll be about who stood up for fairness — and who sold us out.”

Key Takeaways

• Australia’s Petroleum Resource Rent Tax (PRRT) collects far less revenue than expected from its A$50 billion annual LNG export industry.
• Public opinion shows strong support (68%) for increasing taxes on gas exports, with widespread belief that Australians aren’t getting a fair return on their resources.
• Influencer Grace Tame warned MPs that ignoring public concern over gas taxation risks political backlash, framing it as a issue of trust and equity.
• Experts from the Australia Institute and Grattan Institute say PRRT reform could raise billions annually without deterring investment.
• Many Australians want increased gas tax revenue directed toward renewables and cost-of-living relief, linking fiscal fairness to climate action.

Frequently Asked Questions (FAQ)

What is the Petroleum Resource Rent Tax (PRRT)?

The PRRT is a federal tax on the profits of offshore oil and gas projects in Australia. It applies only after companies recover their initial costs and a designated rate of return, making it a profit-based rather than production-based tax.

Why is the PRRT controversial?

Critics argue the PRRT allows multinational gas companies to minimize tax liabilities through high deductions for operating costs, depreciation, and uplift rates, resulting in low public revenue despite high export values.

How much tax does Australia currently collect from gas exports?

In the 2022–23 financial year, the PRRT generated approximately A$1.2 billion, compared to over A$50 billion in LNG export revenue during the same period.

Could reforming the PRRT hurt investment?

Analysis by the Grattan Institute and Australia Institute suggests that moderate reforms — such as reducing uplift factors or improving integrity measures — could increase revenue by A$4–6 billion annually without significantly discouraging investment.

What do Australians want done with increased gas tax revenue?

Polls indicate strong public support for using additional revenue from gas tax reform to fund renewable energy, reduce household energy bills, and support climate adaptation measures.