Pennsylvania Senate approves natural gas severance tax

Pennsylvania's Republican-controlled Senate has passed legislation to help cover a state budget shortfall that includes new taxes on natural gas producers and consumers as well as the electricity and telecommunications sectors, according to Rigzone. The news site says the plan, which still must approved by the House of Representatives, would impose a severance tax of 2 cents per thousand cubic feet on natural gas production to generate an estimated $80 million for the state this year. The proposal would also levy a 5.7% natural gas gross receipts tax on home heating bills, yielding approximately $400 million a year. For more, read the full story.