End uplift once a project starts producing
- What it changes
- Unused deductions currently grow every year by uplift (the long-term bond rate plus 5 percentage points for general expenditure). This option keeps uplift during construction but stops it once a project produces, so the deduction pool stops snowballing while a project is earning.
- Revenue estimate
- Not yet costed
- Estimate source and caveats
- No published costing found yet. Ask the PBO for one before quoting a figure.
- Case for
- Uplift exists to compensate for waiting. Once a project is selling gas, the case for growing its deductions faster than inflation is weak. It targets the mechanism that let the pool reach $336b at its peak.
- Case against
- Industry argues uplift is part of the risk-reward balance that justified investment, and that changing it for existing projects hurts Australia's reputation for stable tax settings.
- Status
- Proposal
