Although Governor Sean Parnell is using his experiences in Norway and the United Kingdom to promote SB21, the Alaska Democratic Party says the European system actually highlights flaws in the new oil tax structure.
The ADP issued a statement, saying: “Great Britain only offers development incentives for new oil, not existing legacy fields. Norway charges oil companies higher prices to extract oil and has built a larger Permanent Fund than Alaska’s in less time.”
Chair of the ADP, Mike Wenstrup, said: “Norway and Great Britain illustrate why the oil giveaway is bad for Alaska.” He claimed Gov. Parnell “ignored the Norway model of saving oil revenue and the British model of focusing incentives on new oil production.”
In fact, the minority opposition says Norway build a PF of $700 billion, compared to Alaska’s $46 billion.