Petroleum & Natural Gas Royalties
The Province collects royalties for oil and gas developments on Crown land. These help support British Columbia’s economic prosperity while ensuring that producers receive a fair return on their investments.
Royalties and Royalty Programs
B.C.'s royalty regime is structured to maximize the amount of economic rent collected from produced oil and natural gas.
Since 2002, the Province has introduced royalty rates for marginal and ultramarginal natural gas, and innovative royalty deduction credits for deep gas exploration and infrastructure development. These royalty programs recognize the unique development and production costs of this resource.
Access more detailed information on these programs:
Goals of the Royalty Regime
B.C. has a competitive royalty regime when compared to other jurisdictions in Canada and the U.S. The goals of the current royalty regime are:
- Encourage resource development in order to maximize royalties and taxes for the Crown
- Treat producers large and small equally under the regime
- Encourage long-term investment by industry
- Simplify administration and verification both for government and industry
Since 2010 the Ministry of Natural Gas Development has published an annual performance measures report on the extent to which the B.C.’s royalty regime is meeting the above goals.
Performance Measures Report
The following Performance Measures Report provides details about the four goals of British Columbia’s current oil and gas royalty regime and establishes measurable indicators and targets.
- 2017 Performance Measures Report
- 2016 Performance Measures Report
- 2015 Performance Measures Report
- 2014 Performance Measures Report
- 2013 Performance Measures Report
- 2012 Performance Measures Report
- 2011 Performance Measures Report
- 2010 Performance Measures Report