PART 2The Oil and Gas Authority Levy

Calculation of production levy and non-production levy5

1

For the purposes of regulation 3, the OGA must calculate the production levy in accordance with the formula—

C×0.89Pmath

2

For the purposes of regulation 4, the OGA must calculate the non-production levy in accordance with the formula—

C×0.11N100+(N90×0.1)+(N80×0.2)math

3

In this regulation—

  • “C” is £22,750,000, which are the leviable costs for the relevant charging period;

  • “N100” is the total number of licences for which a licensee is liable to pay the non-production levy under regulation 4(2);

  • “N90” is the total number of licences for which a licensee is liable to pay the non-production levy under regulation 4(5);

  • “N80” is the total number of licences for which a licensee is liable to pay the non-production levy under regulation 4(4); and

  • “P” is the total number of offshore production licences for which a licensee is liable to pay the production levy under regulation 3(2).