State of Alaska

The Four Guiding Principles

1 An oil tax system that is FAIR TO ALASKANS
2 An oil tax system that encourages NEW PRODUCTION
3 An oil tax system that is SIMPLE and focused on RESTORING BALANCE
4 A COMPETITIVE oil tax system that is DURABLE

Creating Opportunity For Alaskans

Alaska oil production is less than 560,000 barrels of oil per day and continuing to decline at roughly six percent each year. The goal is simple: Fill the Pipeline and create economic opportunities for Alaskans and future generations.

To do this, Governor Parnell introduced legislation that:

Is fair to Alaskans by eliminating the progressivity tax and replacing it with a simple, flat production tax. It will better protect Alaskans at low oil prices with more state revenues, in exchange for lower revenues at high oil prices.
Targets new production by focusing tax incentives on actual production, not simply company spending in oil fields. It eliminates the current 20 percent Qualified Capital Expenditure Credit, and establishes a Gross Revenue Exclusion to provide a tax
break for new production.
Is simple and restores balance to the system by replacing the complex progressivity structure with a simple flat tax. It will restore balance by not putting Alaskans' treasury at risk for oil tax payments at lower oil prices.
Makes Alaska competitive and is durable. It focuses tax benefits on new production over the long-term and will attract new entrants into Alaska’s oil fields by extending the Small Producer Tax Credit through 2022.

With this legislation, we have a real opportunity to create a future for all Alaskans through new oil production.

Weekly Messages

Read the transcripts

More About the Decline

Background Information

News Coverage

Industry reps: Tax overhaul an improvement: April 9, 2013 - Alaska Journal of Commerce
Oil execs say tax bill is 'game changer,' make no promises: April 8, 2013 - Anchorage Daily News
House Resources Committee advances oil tax bill: April 3, 2013 - Anchorage Daily News
Interview: Gov. Parnell Talks Oil Tax Overhaul: March 30, 2013 - LA Times
Oil revenue fuels intense fighting among Alaska lawmakers: March 22, 2013 - Alaska Public Radio
Alaska House get’s its turn on oil tax bill: March 22, 2013 - KTOO
House Resources panel ready to take up oil taxes: March 21, 2013 - Peninsula Clarion
Oil tax reform: Opportunity for Alaskans: March 20, 2013 - Fairbanks Daily News Miner
Alaska Senate poised to begin debate on oil taxes: March 19, 2013 - Fairbanks Daily News Miner
Point-Counterpoint: Ignoring production decline threatens Alaska's future: March 18, 2013 - Anchorage Daily News
In relation to oil: March 12, 2013 - Fairbanks Daily News Miner
New oil tax bill emerges in Senate with smaller break for new production: March 12, 2013 - Anchorage Daily News
Consultant says oil tax proposal 'competitive': March 12, 2013 - Anchorage Daily News
Senate panel hears from industry on oil bill: March 5, 2013 - Anchorage Daily News
Oil tax rewrite comparable impact to Parnell's: February 28, 2013 - Journal of Commerce
Alaska legislative panel unveils oil tax rewrite: February 22, 2013 - Fairbanks Daily News Miner
Compass: Alaska needs governor's oil tax overhaul: February 20, 2013 - Anchorage Daily News
Smaller companies testify on Parnell's oil tax plan: February 18, 2013 - Fairbanks Daily News Miner
Fixing ACES: February 14, 2013 - Fairbanks Daily News Miner
Legislature marks 30 days with narrow agenda on oil taxes: February 14, 2013 - Alaska Journal of Commerce
Alaska Has Its Own Fiscal Cliff: February 13, 2013 - Peninsula Clarion
Parnell calls for action on gas, oil concepts: February 13, 2013 - Fairbanks Daily News Miner
Senate Committee Advances Gov. Parnell’s Bill Cutting Oil Taxes: February 8, 2013 - alaskapublic.org
My Turn: Education and oil tax reform: a false choice: February 8, 2013 - Juneau Empire
Alaska Senate committee to take up oil tax bill: February 7, 2013 - Fairbanks Daily News Miner
Parnell: Focus on progressivity 'takes things out of context': February 7, 2013 - Juneau Empire
Committees start work on Parnell’s oil tax reform bill: February 6, 2013 - Alaska Journal of Commerce
Discussion Continues over Governor Parnell's Oil Tax Reform: February 4, 2013 - KTUU
Empire Editorial: Reform must work for all sides or it won't work at all: February 3, 2013 - Juneau Empire
Econ One: Parnell’s bill would put Alaska back in running, benefit new players: February 3, 2013 - Petroleum News
AJOC EDITORIAL: Session gets off to fast start: January 30, 2013 - Alaska Journal of Commerce
Public Comments On Gov. Parnell’s Oil Tax Cut Proposal: January 30, 2013 - alaskapublic.org
Parnell talks oil, other issues: January 26, 2013 - Frontiersman
Governor defends his new oil tax measure from Democratic critics: January 17, 2013 - Anchorage Daily News
Alaska Gov. Parnell issuing weekly messages on oil: January 24, 2013 - Fairbanks Daily News Miner
Parnell pushes gas pipeline, oil tax cuts in his fourth State of the State address: January 16, 2013 - Anchorage Daily News
Parnell pitches oil tax bill: January 16, 2013 - Peninsula Clarion
My Turn: Tax reform must focus on increasing Alaska's economy: January 13, 2013 - Juneau Empire
Compass: Governor lays out principles of oil tax reform: January 05, 2013 - Anchorage Daily News

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