Policy group criticizes Corbett for Shell $1.65B tax credits

June 05. 2012 12:00PM - Last modified: June 05. 2012 12:11PM

Jim T. Ryan

The Pennsylvania Budget and Policy Center today criticized Gov. Tom Corbett for news that his administration could offer Shell Oil Co. up to $1.65 billion in tax credits to locate its natural gas processing plant in western Pennsylvania.

“The plan amounts to a cash grant to the second largest company on the planet,” center Director Sharon Ward said in a statement. “Shell’s parent company had $20 billion in profit in 2010, up 60 percent from the year before. The question for lawmakers should be, ‘Why is Pennsylvania providing any subsidy to this project at all?’”

The administration’s plan for the tax credits was made public this week.

The Harrisburg-based center has been critical of the Corbett administration’s policies regarding Marcellus Shale and natural gas industry development and regulations.

Shell announced in March it would build its ethane cracker plant in Beaver County. The facility processes natural gas components into raw materials for the chemical industry.

Royal Dutch Shell, based in the Netherlands, is one of the world's largest energy companies. Its U.S. subsidiary is based in Houston. Its shares trade on the New York Stock Exchange under the ticker symbols RDS.A and RDS.B.

 


www.cpbj.com