Nation

Sabah govt also wants state companies to be involved in Petronas activities

KOTA KINABALU: The Sabah government said the state’s claim on oil and gas (O&G) revenue from the federal government will not only consist of the 20 per cent royalty but also the state companies’ involvement in Petronas activities.

Chief Minister Datuk Seri Shafie Apdal said at present all excavation works and downstream operations in O&G industry here were fully handled by the national oil company, without involving any state company.

During the question and answer session, he said it was time that state companies were involved actively in Petronas operations, especially downstream.

“We do not wish to see only 20 per cent royalty, I want to stress any Petronas activity must take into account the best interest of Sabah ... We have companies which can be set in motion,” he said when answering a supplementary question from Datuk Dr Jeffrey Kitingan (STAR-Bingkor) on the 20 per cent royalty claim from federal.

On other additional questions, Shafie, who is also state Finance Minister, said they will stick to the 20 per cent revenue claim.

“This must be realised and we want more state companies involvement,” he added.

In the original question posed by Datuk Jahid Jahim (PBS-Tamparuli) on Malaysia Agreement 1963 (MA63), Shafie said the state government was also prioritising electric and gas rights taken by the federal back in 1983.

The state government has also taken several steps in line with MA63, including formation of three new state ministries.

“It shows the new state government’s commitment towards law especially relating to native laws, as well as giving the state autonomy and power in deciding about health and educational development,”he said.

He added that a special committee chaired by himself had been formed in relation to the Sabah rights’ claims under MA63.

Most Popular
Related Article
Says Stories