Consultative Committee Refuted Agreement Between S’wak Government And Petronas

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DAP Sarawak welcomes the position taken by the Sarawak Consultative Committee on Malaysia Agreement 1963 as announced yesterday after the committee sat.

In actual fact, the Sarawak Consultative Committee on Malaysia Agreement 1963’s announcement yesterday contradicts the position of Sarawak Government who has made a joint press statement with Petronas on 8-5-2020 which categorically and unequivocally stated as follows:

1.That Sarawak shall accept RM2 billion as full settlement of the outstanding SST amount;

2.That Sarawak shall gradually reduce the 5% rate of SST to be imposed on petroleum product in future; and

3.Sarawak recognises the rights and ownership of Petronas under Petroleum Development Act, 1974 over the oil and gas found in Sarawak.

All the above positions taken in the joint press statement by the State Government with Petronas are in fact a compromise on Sarawak’s claim on our oil and gas rights. Yet the joint press statement was issued by the Assistant Minister Datuk Hajjah Sharifah Hasidah for and on behalf of the Sarawak Government, the State cabinet.

The announcement made by the Sarawak Consultative Committee on Malaysia Agreement 1963 (Consultative Committee) yesterday has refuted all the above 3 agreed arrangement made by the State Government with Petronas.

The question now is, who has the final say on the matter for Sarawak, the State cabinet or the Consultative?

In terms of representation, the Consultative Committee is more inclusive and more representative of the people of Sarawak as it consists of representatives from both divides of the House.

In terms of Sarawak Constitution, the State cabinet has the final say on all matters governing the decision of the State Government.

If the Sarawak State Government is on the same page with the decision of the Consultative Committee, then the State Government must immediately issue a letter to Petronas and a press statement denouncing and retracting the joint press statement made on 8-5-2020, failing which, the State Government will be taken to continue endorsing the agreement stipulated in the said joint statement.
This will further compromise Sarawak’s position on our future claims.

We call on the State Government to immediately communicate the decision of the Consultative Committee to Petronas and to issue a press statement denouncing and retracting the joint press statement made on 8-5-2020. This is to protect the legal rights of the State in our future’s claims on our oil and gas rights.

11-6-2020
Chong Chieng Jen
DAP Sarawak Chairman