Rebate to cut PetroChina import loss by HK$2.4b

PUBLISHED : Wednesday, 24 August, 2011, 12:00am
UPDATED : Wednesday, 24 August, 2011, 12:00am

The Ministry of Finance will rebate natural gas importers the 13 per cent value-added tax they are paying to help cut their losses due to high import prices and low domestic prices. The policy, effective between the start of this year and the end of 2020 and spelt out in a circular made public yesterday, is expected to cut PetroChina's import loss this year by 2 billion yuan (HK$2.44 billion) to 13 billion yuan, Sanford Bernstein estimated. This rebate is equivalent to 1 per cent of the oil and gas giant's estimated net profit this year.