THE IMPACT OF GREEN TAXES ON THE ECONOMIC RETURN IN THE PETROLEUM SECTOR APPLIED STUDY

Ismail, Iman M.; Abu Taleb, Yehia M.; El-Kharboutly, Maged M. Y.; Mustafa, Iman M.

doi:10.21608/jes.2025.366898.1985

THE IMPACT OF GREEN TAXES ON THE ECONOMIC RETURN IN THE PETROLEUM SECTOR APPLIED STUDY

Document Type : Original Article

Authors

¹ Faculty of Graduate Studies and Environmental Research, Ain Shams University

² Faculty of Commerce,,, Ain Shams University

³ Misr Higher Institute of Commerce and Computers

⁴ Petroleum Research Institute

10.21608/jes.2025.366898.1985

Abstract

The study aimed to analyze the impact of green taxes on the economic return of the petroleum sector, both in terms of government revenues and improved production efficiency. It also sought to identify the challenges facing the implementation of green taxes in the sector and to propose practical solutions to overcome them, supporting decision-makers with actionable recommendations that align environmental and economic goals. The researchers adopted a descriptive-analytical approach in the applied section of the study. The study reached several key findings, most notably: a statistically significant relationship exists between the implementation of green taxes and achieving economic returns; a statistically significant relationship also exists between the social dimension of green taxes and economic return; and a similar relationship was found between the environmental dimension of green taxes and economic return. The study offered several important recommendations, including enacting legislation to impose environmental taxes on petroleum activities to reduce emissions, incentivize companies to adopt cleaner technologies, and promote the transition to a sustainable economy. It also recommended establishing an independent authority to monitor environmental emissions, ensure compliance with environmental standards, and enhance transparency in environmental reporting to support sustainable policies. Additionally, it called for the adoption of smart systems for real-time emission monitoring, which would improve environmental compliance and provide accurate data to support timely decision-making in reducing pollution.

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