# The Oil and Gas Authority (Levy and Fees) Regulations 2025, Regulation 5: Calculation of production levy and non-production levy


(1) The OGA must calculate the production levy in accordance with the formula—
C × 0.89 P
(2) The OGA must calculate the non-production levy in accordance with the formula—
C × 0.11 N 100 + N 90 × 0.1 + N 80 × 0.2
(3) In this regulation—
“C” is £40,042,000 (being the total amount of levy);
“N100” is the total number of licences in respect of which a licensee is liable to pay the non-production levy under regulation 4(1) and in respect of which neither regulation 4(2) nor regulation 4(3) applies;
“N90” is the total number of licences in respect of which a licensee is liable to pay the non-production levy discounted by 90% under regulation 4(3);
“N80” is the total number of licences in respect of which a licensee is liable to pay the non-production levy discounted by 80% under regulation 4(2);
“P” is the total number of offshore production licences in respect of which a licensee is liable to pay the production levy under regulation 3(1).

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Source: https://www.legislation.gov.uk/uksi/2025/239/regulation/5 (the official version)
Page: https://openlegislation.uk/oil-and-gas-authority-levy-and-fees-regulations-2025/regulation-5
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.