The peak national body for the oil and gas industry has slammed the Queensland government’s plan to raise taxes on the LNG industry.

The Queensland government will raise the royalty rates on petroleum by 25 per cent, at a time when energy prices are increasing.

Australian Petroleum Production and Exploration Association APPEA CEO Andrew McConville says the increase will halt investment.

“It really does undermine the confidence to invest in the further development of this industry.

“In many ways, it really is the Queensland government biting the hand that’s feeding it.

“To increase a cost right at a time when we need growth and investment, it just makes very little sense and it’s extremely disappointing.”

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