Royal Dutch Shell plc
Royal Dutch Shell plc, commonly known as Shell, is an Anglo–Dutch multinational oil and gas company headquartered in the Netherlands and incorporated in the United Kingdom. Created by the merger of Royal Dutch Petroleum and UK-based Shell Transport & Trading, it is among largest companies in the world in terms of revenue, and one of the six oil and gas so-called "supermajors".
Engagement with the EITI
Shell participates in the multi-stakeholders groups in several countries. Most recently they joined the multi-stakeholder group in the Netherlands.
Shell's Executive Vice President on Tax and Corporate Structure Alan McLean serves on the international EITI Board.
Financial contribution to international management of the EITI
Shell contributed USD 60,000 to the EITI in 2018.
Tax and transparency
Our operations generate tens of billions of revenue each year for governments around the world.
These funds can help support a country’s economy and contribute to local development and social services. We believe greater transparency in payments to governments, and how they are used, is important for building trust between businesses such as ours and the communities we work alongside. Transparency is also an important means to fight corruption.
We work openly with governments on matters of taxes and royalties. We are a founder and board member of the Extractive Industries Transparency Initiative (EITI). This initiative requires both governments and companies to disclose revenues received from oil and mineral activities.
In 2003, Shell was the first company to publish the taxes, royalties and other payments made to the Nigerian government, with the government’s permission and support. In 2012, we were one of the first companies to voluntarily publish revenues that our operations generate through income taxes, royalties and indirect taxes for governments around the world. We took this step to reinforce efforts to increase transparency on revenues for governments ahead of mandatory reporting.
From 2016 onwards, Shell makes mandatory disclosures under the Reports on Payments to Governments Regulations 2014, and files its ‘Report on Payments to Governments’ with the UK’s Companies House. On the 9th of April 2018, Shell has published the third report. The report includes the detailed payments on a project by project basis in 29 countries. Full details including the basis of reporting and a breakdown by country are available at www.shell.com/payments .
To help improve accountability, we support a mandatory global reporting rule for extractive industries, in line with EITI goals to achieve greater transparency. Generally, we support the principles of regulations that we see globally which seek to improve tax accountability and good governance, keeping in mind we must respect the laws of countries where we operate as some governments prohibit disclosure of certain information. We also endorse the responsible tax principles set out by the B Team, a not-for-profit initiative formed by a group of global business leaders, and we work towards full implementation of these principles.
In 2017, Shell paid more than $59.1 billion to governments. We paid $ 6.3 billion in income taxes around the world, and $3.7 billion in government royalties. We collected $49.1 billion in excise duties, sales taxes and similar levies on our fuel and other products on behalf of governments.