Enforce environmental tax compliance model for the oil and gas industry

2020 ◽  
Vol 14 (6) ◽  
pp. 1073-1088
Author(s):  
Abdulsalam Mas'ud ◽  
Rabiu Yusuf ◽  
Noraza Mat Udin ◽  
Redhwan Al-Dhamari
Keyword(s):  
Structural Equation ◽  
Oil And Gas ◽  
Tax Compliance ◽  
Oil And Gas Industry ◽  
Environmental Taxes ◽  
Environmental Tax ◽  
Gas Industry ◽  
Content Type ◽  
Compliance Model ◽  
Enforcement Mechanisms

Purpose It is basically known that the oil and gas industry contributes to various forms of pollution through air, acid rain and water, as well as different kinds of illnesses in humans and aquatic animals. Eventually, this adversely contributes to climate change owing to increases in emission levels in various stages of oil and gas operations ranging from extraction, refining, transportation and even consumption. Therefore, the purpose of this paper is to produce a simplistic model for compliance with environmental taxes in the oil and gas industry as an effort to curtail such adversities. This attempt is expected to set a new pace for heated debates towards the production of a robust environmental tax compliance model through further research. Specifically, it has examined the effect of extensive regulation and use of power in ensuring compliance with environmental taxation via enforcement mechanisms. Design/methodology/approach The study used a quantitative research design through a positivist paradigm. The population of the study was 115 respondents who were identified as tax experts in three different stakeholder groups (regulators, operators and enforcers) in the Nigerian oil and gas industry. Out of this population, 103 served as the final sample of the study. The data collected from these tax experts were analyzed through partial least squares structural equation modelling. Findings The results revealed that both extensive regulation and the use of power have high likelihoods of enhancing compliance with environmental taxes through enforcement actions by the relevant authorities within the oil and gas industry. Research limitations/implications The results implied the need for policymakers to deploy these enforcement mechanisms to enhance compliance with environmental taxes in the oil and gas industry, which will eventually reduce the environmental menace and ensure cleaner production. The paper also has highlighted the need for future researchers to expand this discussion through an elaborative approach either through disaggregating the variables studied here or integrating voluntary compliance mechanics into the model for further understanding of the drivers of environmental tax compliance. It also implied the need to utilize larger sample in other oil producing countries to improve generalization of results. Originality/value The work could be the pioneer in proposing and validating the enforced environmental tax compliance model in the oil and gas industry.

scholarly journals Empirical analysis of inbound open innovation and SMEs performance: Evidence from oil and gas industry

2018 ◽  
Vol 21 (1) ◽  
Author(s):  
Yusuf O. Akinwale
Keyword(s):  
Financial Performance ◽  
Open Innovation ◽  
Measurement Errors ◽  
Structural Equation ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Gas Industry ◽  
Petroleum Sector ◽  
External Actors ◽  
The Relationship

Background: This article contributes to existing literature by examining the relationship between inbound open innovation and firms’ financial performance in the Nigerian oil and gas industry. Aim: This article seeks to identify the factors of inbound open innovation and whether these factors influence the financial performance of small and medium-sized enterprises (SMEs) in the Nigerian oil and gas industry. Setting: This article examines 150 indigenous oil and gas SMEs in the upstream subsector of the Nigerian petroleum sector through a survey, using a questionnaire, conducted in 2015. Methods: The study applied the structural equation modelling (SEM) method. This method is used to test the relationships between the factors and to calculate the measurement errors in the hypotheses formulated. Results: The results show that technology scouting, vertical technology collaboration (VTC) and horizontal technology collaboration (HTC) positively and significantly contribute to inbound open innovation, which are thus significant in influencing the financial performance of SMEs. The size of technical staff and research and development (R&D) fund allocations also have a positive and significant correlation with the SMEs’ financial performance. Meanwhile, the age of SMEs is negative and not significant in influencing financial performance. Conclusion: The results suggest that inbound open innovation through scouting, HTC and VTC should therefore be encouraged among SMEs to boost their internal capabilities, which have hitherto enhanced their financial performance. The management members of each SME should continually consider collaboration with the external actors because they cannot singularly possess all the innovative skills required in the industry. Also, each firm should commit itself to allocate more funds to R&D and at the same time should hire those who have relevant production skills and train the existing ones in their firms.

A perfect storm: how high levels of risk and weak internal controls resulted in violations of the foreign corrupt practices act

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Diana Franz
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
International Markets ◽  
Internal Controls ◽  
Strategic Decision ◽  
Department Of Justice ◽  
Gas Industry ◽  
Foreign Corrupt Practices Act ◽  
Content Type ◽  
Perfect Storm

Theoretical basis This case is based on Weatherford International’s settlement with the Securities and Exchange Commission (SEC) and the Department of Justice (DOJ). Both the SEC and the DOJ were critical of Weatherford for its violations of the Foreign Corrupt Practices Act and for its “inadequate internal controls.” This case explores the Foreign Corrupt Practices Act (FCPA) violations and issues related to internal controls. Research methodology Case study. Case overview/synopsis This case is based on Weatherford International’s settlement with the SEC and the Department of Justice. Weatherford provided equipment and services in the oil and gas industry. Because international markets were growing faster than domestic markets, Weatherford made a strategic decision to pursue growth in international markets. The oil and gas industry has high levels of operating risk as did the countries that Weatherford decided to pursue operations in. However, despite the decision to take on additional risk, Weatherford failed to implement adequate systems of internal controls. The title of the case “A Perfect Storm” refers to Weatherford’s trifecta of operating in an industry with high levels of corruption risk, countries with high levels of corruption risk and failing to implement adequate internal controls despite those high operating risks (Department of Justice, 2013). Weatherford was ultimately assessed a $152m penalty for its violations of the FCPA that included bribery, volume discounts, improper payments and kickbacks. Complexity academic level Undergraduate and graduate auditing classes.

Clean development mechanism and carbon emissions in Nigeria

2019 ◽  
Vol 11 (3) ◽  
pp. 523-551 ◽  
Author(s):  
Sani Damamisau Mohammed
Keyword(s):  
Carbon Emissions ◽  
Clean Development Mechanism ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
International Market ◽  
Government Policies ◽  
Gas Industry ◽  
Content Type ◽  
Gas Flaring ◽  
Nigerian Government

Purpose Carbon emissions from gas flaring in the Nigerian oil and gas industry are both a national and international problem. Nigerian government policies to eliminate the problem 1960-2016 yielded little or no results. The Kyoto Protocol (KP) provides Clean Development Mechanism (CDM) as an international market-based mechanism to reducing global carbon emissions. Therefore, the purpose of this paper is to analytically highlight the potentials of CDM in eliminating carbon emissions in the Nigerian oil and gas industry. Design/methodology/approach This paper reviewed the historical background of Kyoto protocol, Nigerian Government policies to eliminating gas flaring in its oil and gas industry 1960-2016 and CDM projects in the industry. The effectiveness of the policies and CDM projects towards ending this problem were descriptively analysed. Findings Government policies towards eliminating gas flaring with its attendant carbon emissions appeared not to be yielding the desired results. However, projects registered under CDM in the industry looks effective in ending the problem. Research limitations/implications Therefore, the success recorded by CDM projects has the policy implication of encouraging Nigeria to engage on establishing more CDM projects that ostensibly proved effective in reducing CO2 emissions through gas flaring reductions in its oil and gas industry. Apparent effectiveness of studied CDM should provide a way forward for the country in eliminating gas flaring in its oil and gas industry which is also a global menace. Nigeria could achieve this by providing all needed facilitation to realising more CDM investments. Practical implications CDM as a policy has proved effective in eliminating gas flaring in the Nigerian oil and gas industry. The government should adopt this international policy to achieve more gas flaring reductions. Social implications Social problems of respiratory diseases, water pollution and food shortage among others due to gas flaring are persisting in oil and gas producing areas as government policies failed to end the problem. CDM projects in the industry have proved effective in eliminating the problem, thus improving the social welfare of the people and ensuring sustainable development. Originality/value The paper analysed the effectiveness of Nigerian Government policies and an international market-based mechanism towards ending gas flaring in its oil and gas industry.

Research shows oil and gas companies could do far more to help female expatriates to mobilize dual-career strategies

2020 ◽  
Vol 28 (6) ◽  
pp. 21-23
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Dual Career ◽  
Heterosexual Relationships ◽  
Strategic Choices ◽  
Gas Industry ◽  
Content Type ◽  
Employment Conditions ◽  
Career Strategies ◽  
Oil And Gas Companies

Purpose The purpose of this study is to examine how female expatriates mobilize couples’ dual-career coordination strategic choices to achieve their own and their partners’ desired career goals. Design/methodology/approach The researcher initially contacted 45 expatriate women in heterosexual relationships by email. More detailed interviews were done verbally with 20 of the women. The participants were asked to explain what actions they had taken, and also the effectiveness of any employer support, to maintain two successful careers Findings The women working were often angry and disappointed with their organizations’ lack of support for their dual career strategies. They adopted strategies of their own to further mutual careers while keeping relationships on track. One is to work with their organizations to secure favorable employment conditions that minimize periods of separation and, if possible, facilitate suitable employment for their partners. A second strategy is to develop personal tactics of cooperation and coordination Originality/value The results are a demonstration to the oil and gas industry that they need to do more to support dual career couples, or they will lose out on a lot of talent.

The role of project management office in developing knowledge management infrastructure

2020 ◽  
Vol 27 (10) ◽  
pp. 3261-3287 ◽  
Author(s):  
Hani Arbabi ◽  
Mohammad-Javad Salehi-Taleshi ◽  
Kian Ghods
Keyword(s):  
Knowledge Management ◽  
Project Management ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Technical Support ◽  
Practice Management ◽  
Second Phase ◽  
Gas Industry ◽  
Content Type ◽  
The Relationship

PurposeKnowledge management (KM) is regarded as an essential factor in project-based organizations (PBOs), leading to organizational learning across projects. Over recent years, most PBOs have inserted project management offices (PMOs) into their hierarchical charts to manage their projects much more coherently. These offices can correspondingly provide KM facilities in PBOs. Thus, this study aimed to analyze the relationship between PMO functions and KM infrastructure, as KM enablers in organizations, in Iranian oil and gas upstream PBOs.Design/methodology/approachA two-phase quantitative survey strategy was exercised in this research. The first phase was to investigate the relationship between PMOs and KM infrastructure and to prioritize PMO functions and KM infrastructure based on their existing implementation/establishment status in Iranian oil and gas upstream PBOs. The research participants, identified through the website of the National Iran Oil Company (NIOC), were comprised of 46 oil and gas upstream PBOs which applied for exploration and production (E&P) certificate in Iran in 2016 and 2017. Accordingly, a total number of 46 questionnaires were submitted to the aforementioned companies with a return rate of 41 cases. The second phase was fulfilled questioning 19 Iranian oil and gas industry experts to determine the one-to-one effect of PMO functions on KM infrastructure and to verify the first-phase results.FindingsThe results indicated a strong relationship between PMO functions and KM infrastructure. This relationship was significant with regard to “practice management” and “technical support”, having the most considerable connections with KM infrastructure. According to the first-phase results, the main functions of PMOs in Iranian oil and gas industry were “practice management” and “technical support”. Considering KM infrastructure, “structure” showed the lowest mean value while “culture”, “human resources” and “processes and procedures” obtained the highest scores. The results also demonstrated that PMO functions could lead to more improvements in “processes and procedures”, as a sub-component of KM infrastructure, compared with other sub-components. Furthermore, the oil and gas industry experts believed that “organizational culture” in KM could be shaped by most of PMO functions.Originality/valueThis study fulfilled the need for exploring the relationship between PMO functions and KM since academic literature lacked a thorough investigation, to the best of authors' knowledge, pertaining to the effects of PMO functions on KM development in oil and gas PBOs.

Oil firms will gradually adjust to a new price normal

2017 ◽  
Keyword(s):  
Fossil Fuels ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Cyber Attacks ◽  
Portfolio Investment ◽  
Sharp Drop ◽  
Gas Industry ◽  
New Normal ◽  
Content Type ◽  
Oil Pricing

Subject ‘New normal’ for oil pricing. Significance Since 2008, commentators have frequently applied the phrase ‘new normal’ to the changing market and trading conditions that enterprises find themselves in. The oil and gas industry is no different. More than two years after the sharp drop in oil prices in 2014 and despite the recent OPEC-non-OPEC output cuts, oil is now in a potential new normal regarding price. While oil is often used as a proxy for the industry, this new normal impacts the whole fossil fuels sector. Impacts Portfolio investment decisions have demonstrated capital discipline but must find more ways of achieving a return at 50 dollars per barrel Technology will support the transition, but firms must put in place credible procedures to deal with the threat of cyber attacks The uncertain geopolitical backdrop makes it more difficult, but the sector needs to find a credible response to the COP21 Paris agreement

The impact of leader-member exchange on knowledge sharing and performance

2016 ◽  
Vol 7 (3) ◽  
pp. 289-305 ◽  
Author(s):  
Maryam Sharifkhani ◽  
Javad Khazaei Pool ◽  
Sobhan Asian
Keyword(s):  
Knowledge Sharing ◽  
Structural Equation ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Equation Modeling ◽  
Leader Member Exchange ◽  
Content Type ◽  
Member Exchange ◽  
And Performance ◽  
The Impact

Purpose The purpose of this study is to investigate the relationship between leader-member exchange (LMX), knowledge sharing and performance. Design/methodology/approach To reach the objective, a sample was used which consisted of some oil and gas companies in Singapore with experience in balanced scorecard (BSC) perspectives. The partial least-squares structural equation modeling approach was used to test the model. Findings The results showed that LMX affects knowledge sharing and performance positively and meaningfully. Moreover, knowledge sharing affects performance. Originality/value An integrated model of LMX, knowledge sharing and performance was tested in the oil and gas industry. The combination of a developed country context and the significance of LMX enhances the contextual contribution of the paper.

Integration between RCM and RAM: a case study

2016 ◽  
Vol 33 (6) ◽  
pp. 852-880 ◽  
Author(s):  
Ilaria De Sanctis ◽  
Claudia Paciarotti ◽  
Oreste Di Giovine
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Practical Method ◽  
Environmental Safety ◽  
Gas Industry ◽  
Content Type ◽  
Availability Analysis ◽  
Plant Safety ◽  
Offshore Industry

Purpose – The purpose of this paper is to propose a practical method of performing maintenance in the offshore industry where engineers have to manage problems such as the high cost of operations, assuring an high availability of the plant, safety on board and environmental protection. Indeed an efficient maintenance method it is necessary in order to offer methods and criteria to select the rights maintenance strategies keeping in to account the environmental, safety and production constrains. Design/methodology/approach – The paper provides an overview of reliability centered maintenance (RCM) and reliability, availability, maintainability methodologies and an integration of the two methodologies in a particular case study in the oil and gas sector. Findings – This paper suggests an improvement of the well-established RCM methodology applicable to industries with high priority level. It is proposed an integration between a reliability analysis and an availability analysis and an application on the offshore oil and gas industry. Practical implications – The methodology provides an excellent tool that can be utilized in industries, where safety, regulations and the availability of the plant play a fundamental role. Originality/value – The proposed methodology provides a practical method for selecting the best maintenance strategy considering the equipment redundancy and sparing, the asset’s performance over long time scales, and the system uptime, downtime and slowdowns.

Turning potential collision into cooperation in Ghana’s oil industry

2015 ◽  
Vol 10 (2) ◽  
pp. 118-131 ◽  
Author(s):  
Kwesi Amponsah-Tawiah ◽  
Kwasi Dartey-Baah ◽  
Kobena Osam
Keyword(s):  
Oil And Gas ◽  
Oil Industry ◽  
Oil And Gas Industry ◽  
Gas Industry ◽  
Content Type ◽  
Oil Companies ◽  
Critical Issues ◽  
Oil Sector ◽  
Stakeholder Interactions ◽  
Corporate Social

Purpose – This paper aims to examine the potential impact of the presence of oil resource on the Ghanaian society. Specifically, the paper investigates the relationship between key stakeholders in the oil sector, how stakeholder interactions create the potential for collision and advances measures aimed at turning possible collision into cooperation. Design/methodology/approach – The paper uses a literature review-based approach, drawing on existing literature in a number of areas including corporate social responsibility (CSR), oil and gas industry in Ghana and Nigeria as well as communication. Findings – The paper advances that expectations of stakeholders as regards oil being a panacea to all their problems must be managed to avoid possible collision. Additionally, Ghana’s oil industry must identify and engage all stakeholders in planning suitable and sustainable CSR programmes for economic development, thus fostering a friendly environment for oil companies. Transparency and accountability are also needed to promote cooperation rather than collision among stakeholders in Ghana’s oil industry. Originality/value – This paper raises and brings to the fore critical issues that can lead to potential collisions in the oil and gas industry in Ghana if not well-managed, and thus an innovative work in that regard.

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