KOTA KINABALU: The government assures the temporary ban on exports of logs, to allow for a review of industrial practices and concession holders, will not have any serious implications on the state revenue.
Chief Minister Datuk Seri Shafie Apdal in answering a supplementary question from Datuk Masiung Banah (Sugut-Upko) at the state assembly sitting here said there was already a decrease seen in revenue collected and this needs to be investigated.
He cited RM180 million was collected in 2016 and this dropped to RM150 million in 2017.
"The figure in the report I received stated about RM80 million collected as of June (this year).
"Our move will not have much effect in terms of revenue collection as we are aware our forestry industry entailed bad practises, including (instances of) undeclared royalty.
"That is why (we have) the temporary ban, so we can assess the leakage of revenue we are supposed to receive," he said during the question and answer session.
Answering the original question by Datuk Limus Jury (Kuala Penyu-Upko) on how the move could help protect the forest resources as well as benefit the wood-based downstream industries, Shafie explained that the ban will allow for time to look into possible wrongdoings, including monopoly of the industry.
"We want the our rich resources to benefit all so we will look at the regulations and the state government will not hesitate to cancel the licenses of those found guilty of ill practices.
"We want to optimise this industry. Maybe Sabah can be the downstream supplier for the furniture industry not only for Asia but for the world. We can channel our logs to sawmills here and produce jobs for Sabah folks," he explained.
However he said the review should not be a rushed job, and did not give a time frame for the temporary ban.
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