The Research On Tax Incentive System Of Chinese Gas Hydrate Development

In2012, International Energy Agency (IEA) pointed out that the natural gasresources will enter a golden period very soon in the ad hoc report "World EnergyOutlook——Unconventional natural gas" which IEA has published. Whether thejudgment is correct depends on the huge unconventional gas resources exploited inthe world. Two main aspects can be the standards of the successful exploitation. Oneis the profit, the other is the development within the acceptable range in theenvironment.In recent years, profiting from the improvement of the upstream technological,unconventional natural gas has got a spurt of development in the United States. Theproduction shows a rapid increase, which bring the America a real hope of the energyindependence. This will take a number of favorable factors for the supply of the gas.And this increases the diversification of the energy. Which ensure the safety of theenergy supply, and reducing the cost in the meanwhile.The U.S. experience shows that unconventional natural gas can be commercialdevelopment and economic use. This provides our country a useful reference for thedevelopment and utilization of natural gas resources.As an unconventional natural gas resource, natural gas hydrate is a valuable cleanenergy. Some developed countries have made such researches ahead of us, and whowalking in the forefront of the world. Natural gas hydrate is both an opportunity and a challenge to our country. Accordingly, designing an efficient system of tax incentivesto support the development of natural gas hydrate is a very correct choice. Currently,the tax incentive system of gas hydrate has not been built yet. Our government shouldtake this opportunity to make a particular and targeted incentive system, and use theeconomic instruments which comply with the laws of the market to lead and promotethe healthy development of natural gas hydrate. Nowadays, the tax incentive system isonly a small flame on the road of energy development, but it passed a great concept ofChina embarking on the road of energy independence.This article uses a combination of cross-disciplinary combinative analysis andcomparative studies on the tax incentive system of Chinese Gas hydrate development.And this article mainly contains four sections as below.The first chapter makes a comprehensive analysis of the two biggest predicamentwhich is the difficulty of R&D and the cost barriers of the industrialcommercialization in the development of natural gas hydrate, and answers thequestion why natural gas hydrate need to stimulate, while leads to the necessity forgovernment intervention. According the logical which is from "Energy supply anddemand have become increasingly prominent" to "Natural gas hydrate faces dilemma"and to "Government actions is imperative" as clues, I try to point out the problem, andexplain the motives which are the three economic functions that are efficiency,fairness and stability on the government shoulder why government must intervene.And from two angles which are the role and theory of tax incentives, I try to proof theargument. And this section has laid a solid theoretical foundation for the later specifictax incentive system design.The second chapter examines the status quo of the tax incentive system ofChinese Gas hydrate development. I analysis the relevant laws of the developmentand utilization of Chinese natural gas hydrate, and highlights the shortcomings of theexisting laws in the field of gas hydrate development, which means legal short board.The third chapter does a comparative research to summarize the tax incentivesystems of the United States, Canada, and Japan which are in the field of gas hydratedevelopment, and provides a helpful insight into the character and individuality of Chinese gas hydrate development, which have different emphases to construct thissystem of China.The fourth chapter explores the general idea of constructing the tax incentivesystem on Chinese gas hydrate, arounding two phases of gas hydrate development todesign system. I believe that whether to make a single law, or to improve the existinglaws, the tax incentive system of gas hydrate development must be shown in the legal.