Legislation

The petroleum industry in Trinidad and Tobago is principally governed by the Petroleum Act (1969), The Petroleum Regulations (1970) made thereunder and the Petroleum Taxes act (1974).

The petroleum Act establishes a framework for the grant of licences and contracts of petroleum operations _ which include activity on land and in submarine areas underlying the countries territorial waters. Under the act, the Minister of Energy and Energy Affaris is responsible for determining the area to be made available for petroleum operations. The Minister may elect to invite applications for the rights to explore for and produce petroleum from these areas by means of competitive bidding.

Persons wishing to engage in petroleum exploration and production operations must apply to the Minister of Energy and Energy Affairs who may issue the following types of licences and contracts:

• An Exploration (Public Petroleum Rights) Licence which grants the licensee the non-exclusive right to carry out the petroleum operations provided by the licence.
• An Exploration and Production ( Public Petroleum Rights) Licence which grants the licensee the exclusive right to explore for, produce and dispose of petroleum in accordance with the terms of the licence.
• An Exploration and Production (Private Petroleum Rights) Licence
•  A Production Sharing Contract for the conduct of petroleum operations relating to the operations relating to the exploration, production and disposition of petroleum within a prescribed area.

On the basis of the Petroleum Act and its subsidiary regulations, the Ministry of Energy and Energy Affairs regulates and gives broad direction and guidance to the petroleum industry.

The Petroleum Taxes Act is administered by the Ministry of Finance through the Board on Inland Revenue. The Act establishes the system of taxation for companies engaged in petroleum operation.

The main statutes that govern the operations and taxation in Trinidad and Tobago are the following:

• The Petroleum Act
• The Petroleum Production Levy and Subsidy Act
• The Petroleum Taxes Act
• Income Tax (In Aid of Industry) Act
• The Unemployment Levy Act

Potential investors can also refer to the website www.Investtnt.com for further information.