Heritage pays 2 billion dollars to the Treasury in 2021 | Local company

HERITAGE Petroleum Company said yesterday that its story continues to be one of positive success, as the company paid approximately $2 billion to the Treasury in its fiscal year ended Sept. 30, 2021, nearly doubling its payouts from the previous year.

In a press release yesterday, the wholly state-owned oil company said its underlying financial performance reflected the fact that its pre-tax profit for the 2021 financial year was almost double that of the previous year.

In its condensed consolidated financial statements, published as an announcement in the Sunday Express yesterday, Heritage reported pre-tax profit of $1.95 billion for its 2021 financial year, compared to $991.89 million in 2020, an increase of 97.12%.

Heritage also explained that it had paid approximately $2 billion to the Treasury through, among other things, an additional oil tax, royalties and an oil profits tax/unemployment levy, which, according to the company, is the reason for the decline in after-tax profits.

“To be clear, Heritage for the year 2020/2021 has paid almost double what it paid in taxes and royalties for the year 2019/2020, as a result of the removal of certain concessions that have been put in place. place to allow the company to stand on its own two feet, and of course, due to the higher crude oil price environment,” Heritage said in the press release.

The oil company added that regardless of how its story is examined, “the Treasury, and by extension the people of Trinidad and Tobago, have largely benefited from a significant injection of revenue in the form of taxes and royalties paid by Heritage Petroleum Company Limited for the year 2020/2021.

According to the Review of the Economy 2021 – which is one of the budget documents – the preliminary estimate of revenue collected by the government in its fiscal year ending September 30, 2021 was $37.05 billion. This means that Heritage contributed around 5.4% of the total estimated revenue collected by the government in the 2021 financial year.

CSR initiatives

In its chairman’s report, Heritage Petroleum director Michael Quamina said education remained the company’s main focus area as it expanded the

Heritage Education Resource Opportunity (HERO) Program, a scholarship offering $100,000 to support high-achieving SEA students within its gated communities. The program covers study costs from secondary school to the baccalaureate.

The first cohort of students benefited from the initiative in 2020 and a second cohort received awards in 2021.

The oil company said it has also established its graduate trainee program, taking on 20 graduate trainees, while continuing its efforts to develop the next generation of professionals.

As part of the program, interns benefit from coaching, guidance and relevant work experience.

Additionally, Heritage has partnered with various community groups focused on youth and community development, such as La Brea Student Support Center and Palo Seco Diatonics, Youth Music

The company also distributed 500 computers to organizations and schools in recognition of the huge impact of Covid-19 on the need for virtual education.