Santos (ASX:STO) is allegedly generating cost-of-living pressure in Australia and contributing to a near quadrupling of gas prices on the country's East Coast by prioritizing overseas sales of its fossil fuels, environmental group Market Forces claimed in a Wednesday report.
During the last eight years, Santos' Gladstone LNG export facility in Queensland drew more than eight times more gas for export than it sold into the domestic market, the report alleges, citing data from the Australian Competition and Consumer Commission.
It also accuses the company of adopting a "massive oil and gas expansion strategy" that is not in line with global warming limits under the Paris Agreement, and alleges that Santos paid only AU$33 million in corporate income tax over the past decade, or just 0.08% of the revenue it earned from its Australian business.
Additionally, Market Forces called on global banks to stop new financing for Santos until the company develops a credible climate transition plan.
"Santos is fueling catastrophic climate change and the huge rise in Australian household gas prices, all while sending the country's gas overseas for bigger profits," said Kyle Robertson, head of research at Market Forces.
Santos did not immediately reply to a request for comment from MT Newswires.
The company's shares were down nearly 6% in recent Australian trading.
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