Wednesday 7 May 2014

Motion on oil royalty passed

Motion tabled by State Assemblyman for Semop Abdullah Saidol requesting for an increase in oil royalty.

Y.B Encik Abdullah Bin Haji Saidol: I wish to move a private motion under
Standing Order 27(1) under Standing Order 27(5). Now I read as follows:




1) Where as Section 4 on petroleum Act 1974 the Federal Government,
State Government and PETRONAS sign a tripartite agreement of which
among other things circulating the payment of royalty of 5% on the value
oil and gas the State of Sarawak.

2) In view of the necessary and curtail needs to accommodate the increasing
expenses for various future development plan the Barisan National State
Government have been involved in numerous discussion with Federal
Government requesting for more development grant including continues
effort to pursue the issue of increasing the said rate of oil and gas royalty.

3) The Barisan Nasional State Government fully understand that any
discussion or negotiation relating to the said issue of royalty payment
must be within the spirit of the said prototype agreement.

4) For all the interning purposes the Sarawak Barisan National Government
was pursuing a serious negotiation on the issue of the said royalty
payment must always maintain the cordial clause working relationship,
understanding and mutual respect with the Federal Government and to
substitute the propose resolution solve under the said motion to be
amended as follows:
This honourable august House to support continuous effort by the Barisan
Nasional State Government through appropriate forum requesting for a revision of
the said prototype agreement with the intention of seeking consideration from the
Federal Government to increase the said royalty payment to 20% of if deem
preferable and reasonable any other form of arrangement to the benefit of Sarawak
State so as to accelerate more development programme particularly in the rural
area.

Tuan Speaker: Yea.

Y.B. Encik Chong Chieng Jen: I believe this is a motion move by the Honourable
Member from Semop to amend my motion. Tuan Speaker, as such I just like to have
a few words. Tuan Speaker, to State our position. Tuan Speaker, the two motions
i.e. my motion and the motion move by Honourable Member from Semop to amend
my motion basically we are talking about the same thing. The gist of the motion is to
seek for a 20% increment in the oil and gas royalty. I do not mind that my motion is
hijacked or adopted or amended by the member of the Barisan Nasional. So long as
the gist of my motion i.e. the 30% increment ...(interruption)

Y.B. Encik Chong Chieng Jen: The increment of the oil and gas royalty to 20%
such purpose is achieved and that this House make a unanimous decision on the
request from the Federal Government.  Whether the amendment will be carried out. So,
before that ...(interuption)

Tuan Speaker: I give you ruling now on the two motions.

Y.B. Encik Chong Chieng Jen: The two motions ...(interruption)

Tuan Speaker: Before you make ..(interruption)

Y.B. Encik Chong Chieng Jen: Whether the amendment have to be adopted but
before ...(interruption)

Tuan Speaker: I have made my ruling. I make my ruling.

Y.B. Encik Chong Chieng Jen: We don‟t mind the Barisan Nasional or others
hijacked my motion.
Tuan Speaker: No. Whatever you say let me make my ruling, okay. Ahli-Ahli Yang
Berhormat there are now two motions before Ahli-Ahli Yang Berhormat.

1) The original motion in the name of Honourable Member for Kota Sentosa.
2) The amended motion in the name of the Honourable Member for Semop.

I shall put to vote which motion to be debated. Those who are in favour of the
original motion in the name of Honourable Member for Kota Sentosa to be debated
please put up your hand. I direct the Secretary to count.

Those who in favour of the amended motion in the name of Honourable
Member for Semop to be debated please raise your hand.

The votes in favour of the original in the name of honourable for Kota Sentosa
are fourteen. The votes in favour of the amended motion in the name of Honourable
Member for Semop fifty-four so the amended motion in the name of Honourable
Member for Semop shall be the motion to be debated.

Now, let me lay down the ground rules. I shall give the Honourable Member for
Semop to move the motion 30 minutes. Wait first. The seconder, Honourable
Member for Balai Ringin 15 minutes to second. I shall give the Honourable Member
for Kota Sentosa 30 minutes and who is your seconder. Honourable Member for
Meradong. The original motion is seconded by the Honourable Member for Balai
Ringin. Thirty and, fifteen and then he who speaks first, speaks last as said by the
precedence here I give the Honourable Member for Semop fifteen minutes to wind
up. So those are the rules. Before we proceed with the debate, we have a short
break.

Tuan Speaker: I shall now call the Honourable Member for Semop to move the
motion.

Y.B. Encik Abdullah bin Haji Saidol: Tuan Speaker dan Salam Sejahtera kepada semua rakan Yang Berhormat di Dewan yang mulia ini.

 Recently, Yang Amat Berhormat Chief Minister has publicly mentioned his
support on the notion of increasing the oil and gas royalty payable to Petronas to the
State Government. I believe this is not the first time this subject matter has been
raised in this Dewan either directly or not and lately there has been interesting
subject of conversation by all walks of life in Sarawak for various reasons. But
probably the most frequent reason why people talk about it is because of the need
for more funds to provide more development in Sarawak particularly in the rural
areas.

 Tuan Speaker, perhaps many may not realize it that our leaders in the past
particularly from the Sarawak Barisan Nasional Government have been involved in
many discussions with the Federal Government on this particular issue of wanting a
revision of the royalty payment. Obviously, it must be about us wanting the five (5)
percent royalty to be increased to a reasonable sum perhaps ten (10) percent or
twenty (20) percent or probably more if the negotiation goes well and financial
position permit to support the increment as requested.

 Tuan Speaker, I will try my very best to justify the tabling of the amended
motion. In doing so, I will strictly confine my argument within the theme and the
framework or the essence of the ended motion i.e. requesting for more royalty rate
from the Federal Government which is about, let me quote something mentioned by
the other friend from the other side. He said this is his word. “The State
Government do make a formal demand to the Federal Government to increase the
oil and gas royalty payable to Sarawak in lieu of oil and gas right to twenty (20)
percent”.

 First of all, I must thank the learned Tuan Speaker to allow this motion to
survive because I‟m eager to put on record that the Motion tabled by Yang
Berhormat for Kota Sentosa is just merely an echo to the statement made by Yang Amat Berhormat Ketua Menteri when he said he supported the notion to increase the royalty.

 Tuan Speaker, this is how I describe it. The Chief Minister statement who is
also the Sarawak Barisan Nasional Chairman is the person who strikes the lightning
on this royalty issue and the Motion by Yang Berhormat for Kota Sentosa is just
merely the noisy thunder. So there is no issue on hijacking, so you are not hijacking.
The amended Motion that I am tabling is more comprehensive in the sense that we
are requesting or highlighting more than the issue of royalty rate. We also planned
to invite the Federal Government to revisit and relook into the royalty arrangements,
which does not only involve going through the agreement that may have taken place
but probably, review some relevant legislation.
I hope my amended motion will be getting full unanimous support from all
Members in this Honourable Dewan because we want to bring this discussion or
request on the royalty rate or anything related. Thereto another level where the
Federal Government must start to take our concern on this matter with full attention
and hope that there will be a fruitful result in the near future. The Chief Minister
Statement is not a rhetoric political statement. He said it as a representation of the
genuine sentiment and opinion of all of us here on the Barisan Nasional side and
perhaps the majority for Sarawakian. We have been involved in many closed-door
discussions among ourselves in Barisan Nasional Sarawak and this subject on oil
and gas royalty among the issue being deliberated.
Tuan Speaker, I am a kampung boy myself from Kuala Rejang. My parent
are now still living in my kampung. Probably two third of the YBs here and I are
representing the rural folks who would not want to see our rural areas that we
represent not being developed properly? We have made our representation about
this royalty issue in the past and after we have heard the new Chief Minister
statement recently. It only meant we are becoming more serious about it.
Tuan Speaker, now let me impress this Honourable Dewan with this fact.
There is a difference if the request comes from the opposition and if the request
comes from the partner in Barisan Nasional. Surely, the Federal Government will
listen and acknowledge us because we, the Sarawak Barisan Nasional, is their
friendly Barisan Nasional partner who has majority representation and the
government of the day.

 Tuan Speaker, allow me to repeat that the salient and pertinent point of this
motion is about our desire to review the royalty rate of the oil and gas payable to
Sarawak Government to meet a quantum so favourable to us. This request is real
and it can also be constructed as our desire to request for more development fund
where we can channel more development towards the rural area.

 In many Dewan sittings before this, many of the concerns raised by our
representatives especially from the rural areas is about basic need like electricity,
clean water supply and good road. This is about wanting to close the gap between
the situation in the rural and urban areas.

Tuan Speaker, bila kita bercakap tentang politik pembangunan antara cita-cita
hasrat dan perancangan kami adalah untuk merapatkan lagi jurang keselesaan di
antara di bandar dan kawasan desa. Membangun kawasan desa bukan sahaja
memberi keselesaan kepada rakyat di pedalaman tetapi juga akan merancakkan lagi
aktiviti sosio ekonomi. Membangunkan sesebuah negeri seluas negeri Sarawak
bukanlah mudah. Penduduknya berselerak jauh di pedalaman dan perancangan
pembangunan haruslah terapi dengan mengambil kira kehendak serta suasana
ekonomi serta corak kemasyarakatan pada masa akan datang. Benar, ia kelihatan
lambat tapi bukan bermakna kita tidak bersungguh-sungguh, bukan bermakna kita
tidak peduli dan jauh sekali, bukan bermakna kita tidak memahami. Kita
memperkenalkan projek pembangunan SCORE yang ramai pelabur luar mula
bertapak di negeri kita kerana kita dilihat mampu untuk menyediakan ruang dan
peluang serta insentif yang kompetetif untuk pelaburan berasaskan industri berat ini
dibangunkan. Kita cuba menggalakan pembanggunan, kita cuba menggalakkan
pembangunan modal insan dengan memperkenalkan Tabung Ekonomi Gagasan
Anak Bumiputera Sarawak yang aktif mempromosikan latihan teknikal dikalangan
generasi muda. Bukankah itu semua bukti usaha kerajaan Barisan Nasional ke arah
membina sebuah negeri yang membangun dan masyarakat berpendapatan tinggi
dimasa akan datang? Kalau negeri kita membangun, saya yakin anak cucu cicit kita
akan menikmati termasuk anak cucu rakan-rakan saya di seberang sana mungkin
cucu Kota Sentosa.

 Tuan Speaker, kita juTuan Speaker, kita juga mahu merapatkan jurang perbezaan pembangunan
di Sarawak dengan keadaan pembangunan di negeri-negeri di Semenanjung
Malaysia. Ini tidak bermaksud tidak perlu anak-anak di negeri kita untuk pergi jauh
mencari rezeki atau peluang pekerjaan. Semua usaha untuk membangun negeri ini
mengikut pelan yang dirancangkan memerlukan perbelanjaan yang besar. Sebab
itulah nada-nada supaya peruntukan pembangunan dari Kerajaan Persekutuan
semakin nyaring dan semakin dibicarakan secara terbuka. Tetapi kita juga
mengakui bahawa sebarang permintaan untuk menyemak balik isu royalti ini
mestilah mengikut saluran yang betul serta melibatkan perbincangan yang terperinci
bukan sahaja mengikut lunas perjanjian yang telah dimeterai tetapi juga mungkin
melibatkan semakan kepada beberapa undang-undang yang ada, jika perlu. Kita
tidak akan berputus asa kerana kita yakin pembangunan kita munasabah dan untuk
kepentingan bersama. Kita akui bahawa negeri Sarawak, tanah tumpah darah ibu
pertiwi kita ini mempunyai banyak sumber asli yang boleh dibangunkan tetapi kita
tidak mahu terlalu rakus membangunkannya tanpa perancangan yang tersusun
tanpa mengira akibat serta kesannya nanti untuk generasi yang akan datang.
Untuk membangun negeri ini bukan sahaja kita memerlukan peruntukan
kewangan yang besar tetapi kita juga memerlukan suasana negeri yang aman dan
tenteram. Bagaimanakah kita akan dapat meneruskan usaha pembangunan negeri
kita jika berada didalam keadaan kekacauan atau tidak stabil. Warga negeri yang
berbilang kaum budaya yang berwarna warni serta berbagai fahaman agama
mestilah sentiasa bersatu serta menghormati sensitiviti sesama sendiri. Apabila
keadaan seperti ini berlaku banyaklah program pembangunan yang dapat dilakukan
dengan lancar tanpa gangguan isu-isu yang boleh melambatkan proses
memakmurkan negeri kita.

 Tuan Speaker, if I find a bit weird and failed to understand that whilst the
opposition going around telling the people that we need more development in this
state, but at the same time they also going around with their political propaganda
that promote hatred suspicion and ill feeling among the people of various races.
They promote roadside illegal gathering, which create public disturbance. They bring
in people who are not Sarawakians, talking all sort of nonsense and gross twisting of
fact and lie for the sole purpose of gaining political support. They also bring in a
person who is obviously an inmate or may I say a criminal who have been jailed for
misuse of powers and probably it not so lucky he is about to be elected as a MP
soon. What I meant here is member of prison.

I would like this august House to know what the Right Honorable Chief
Minister said in the press. The Star published on Sunday, March 16, 2014 which I
believe has trigger Yang Berhormat for Kota Sentosa to take the political opportunity
to raise the matter in form of a motion but unfortunately has been amended. I quote
“I would like to have 20% royalty, sure” he said, “but what we agreed before was 5%
of gross. I will ask the Federal Government if they can accommodate  but let us be realistic”.

The Right Honorable Chief Minister continues to say “if there is a request from
the State Barisan Nasional government to the Federal Government, I am sure that
the Federal Government will consider it favourably”.

 There are three key points to the Right Honorable Chief Minister‟s statement:

1. Request;
2. Barisan Nasional Government and;
3. Let us be realistic

Tuan Speaker, in my debate I will touch on the three key points as we go along.

In 1973 the world witnessed an oil shock caused by a six months embargo on
oil supplies by the Arab members of the Organisation of Petroleum Exporting
Countries (OPAC). Crude oil prices climbed four-fold overnight causing severe
disruptions to many industries. Most developing economies that produce oil,
including  Malaysia, than began to realize the strategic and economic importance of
having national control over this black gold, Malaysia responded by setting up
Petroliam Nasional Bhd or PETRONAS on August 17, 1974, our home grown oil
giant which we have slowly grown dependent upon up to 40% of federal government
budget.

Tuan Speaker, upon realizing the strategic and economic importance of having
national control over this black gold or the petroleum industry, the Federal
Government had enacted the Petroleum Development Act, 1974 (PDA). The
intention of the act was to define clearly proponents of royalty payments to states
when it comes to oil exploration onshore and offshore in Malaysia.

By virtue of Section 2 of the PDA 1974, PETRONAS is vested with the entire
ownership and control in petroleum lying onshore and offshore Malaysia as well as
exclusive rights, power, liberty and privilege of exploring, exploiting, winning and
obtaining them.

Tuan Speaker, since Malaysia is a federation and each and individual state has
the right towards their own resources and territory legally to assert federal
government control through PETRONAS over the matter, Tripartite Agreement were
signed on March 27, 1975 a year later between the government of the Sabah and
Sarawak with both the Federal Government and PETRONAS to secure payment of
royalty to the state of Sarawak and Sabah.

With the Tripartite Agreement, Sarawak receives royalty amounting to 5% of
the value of oil and gas found onshore and offshore sold by PETRONAS. Thus,
these new deeds only have enriched our country and transform the country to where
we are in this 20th
 century.

To both federal and state government, the Tripartite Agreement is very crucial
and important agreement and this was acknowledged by Yang Berhormat Tengku
Razaleigh Hamzah, the person directly involved in signing the agreement. In his
speech Tengku said “the prevailing wisdom then was that the priority to be given to
the acceptance of the PDA by Sabah and Sarawak. Upon the coming into force of
the PDA, I was asked by Tun Razak to get the Chief Ministers and Menteri Besar of
the relevant states to enter into agreements in accordance with the requirements of
the PDA. As in turned out, Sabaand Sarawak put up formidable stands in making
known their positions”.

I was made to understand that the state of Sarawak did approached the
Minister of Finance then to raise the royalty from then existing 5% to 20% but it was
declined for reasons best known to himself. And the Minister of Finance then was
none other than the opposition leader of Pakatan Rakyat himself. To us in BN, this
issue is never a brainchild of the opposition. The opposition leader is so desperate
to work his way up to Putrajaya to become the Prime Minister that he now brings into
light this issue of oil royalty to champion his desire and claim political mileage.

Tuan Speaker, Sarawak is the biggest state in Malaysia and is almost as big as
West Malaysia, in which the size of Sarawak is approximately 124,000 square
kilometres as compare to the whole size of the West Malaysia of 132,000 square
kilometres. If we take out either Perlis or Melaka, Sarawak is more or less the same
size as West Malaysia.
However the total population is now estimated at 2.6 million people. With
continuous and sound education policies being implemented the society has now
become more aware and fluent in their demands affecting their daily lives be it
political, social or economic in nature.

Tuan Speaker, Sarawak needs to accelerate its development agenda through
the second wave of development by 2030. By doing so, Sarawak needs more
development funds for that purpose and one of the appropriate ways and avenue of
doing so is for the State Barisan Nasional request for consideration from the Federal
Government to revise the 5% royalty to 20% or more on top of the increasing yearly
development fund allocated for the Sarawak State Government.

This request is in tandem with all the development programs which are in the
pipeline or waiting for additional development fund or in progress for implementation.
This additional fund is to achieve the development agenda through SCORE by 2030.

Even if we in Sarawak could not obtain more oil royalty, there could be other
tangible benefits that we could seek directly from PETRONAS, the other party to the
Tripartite Agreement. One of these options is for PETRONAS to provide gas at
favourable price for use in Sarawak rather than to export all the gas or gas related
products. If PETRONAS can provide the state with more gas, these could be used
to generate electricity to support the rural electrification programme of the state
government as well as to attract more energy intensive industries to the state. In the
near future perhaps the state can even propose or negotiate for „Direct Equity‟ or
Representative in PETRONAS Board.

 In SCORE we indeed require at least RM61 billion of physical infrastructure,
RM3 billion for human capital and RM3 billion for institutional infrastructure which
totalled to at least RM67 billion. With that only then we will be able to create
investment of RM67 billion in power sector and RM200 billion in industry in the year
2030.

 Tuan Speaker, with the additional fund through the oil royalty and on top of
the increasing yearly development fund allocated, the Sarawak State Barisan
Nasional government will attract investment and create the impact through SCORE
which is projected to result in the fivefold increase in real GDP for Sarawak and
create 836,000 additional jobs by the year 2030. With all these, I believe Sarawak
will also develop rapidly like other states in Malaysia.

 Tuan Speaker, I would like to mention here as a responsible state government
and crucial BN partner, we put our trusts on the BN family spirit of negotiations and
consensus and we will never betray that spirit. The state continues to maintain this
cordial and amicable relationship with the federal government for as long as the
Barisan Nasional is the government of the day. This is our way, our spirit and we are
determined to work together all along.

 In Malaysia, the practice of consultation between central government and
state government originated from the Federation of Malaya Agreement in 1948. Thebodies established in the constitution on various subjects are the Conference of
Ruler, National...(Interruption)

Tuan Speaker: You have three minutes.

YB Encik Snowdon Lawan: I get that. National Finance Council and National
Council for The Local Government and National Land Council. In additional to these
bodies, which are established by the constitution, there are other avenues where
consultation between federal and state government minister do take place such as
the Menteri Besar and Chief Minister Conference, National Minerals Council and the
National Forestry Council which are established by the constitution. With such
channel and avenue, we will use it according to Barisan Nasional way of revolving
new or outstanding issues such as the oil royalty.

 Contrary to the Opposition, which prefer formal demands and if the demands
are not met, they will gather people and demonstrate out in the streets like Bersih.
We don‟t strongly demand or push our partner to the limit. However, in the BN we
choose to have round table talk to resolved issues.

 Tuan Speaker, we have to understand that besides education, health and
security, a lot of development fund such as for rural development and construction of
other infrastructure facilities come from and more under the purview of the Federal
government. I can see that the original motion from Honourable Member for Kota
Sentosa did not mention anything about rural.

 We will request from the Federal government to revise the royalty as a family
and not as an enemy or Opposition. We are strongly against the confrontation
approach and fiery words.

 Tuan Speaker, in our request we have to be realistic on the financial position
of the Federal government and the economy as a whole, we are realistic, we know
our way.

 Therefore, our manner of requesting for funding from the federal government
is quantum based and not specific because by doing so we can have the benefits of
as and when the needs arise.

 Tuan Speaker, on behalf of the Barisan Nasioan Backbenches, we seek
consideration from the Federal government and it has to be done according to our
way of doing it, according to the spirit of the Federal Constitution.

 We have to be realistic, even if the implication of revising the 20% does not
warrant us to do so, we will accept it, but we still seek consideration for financial
assistance as provided for in the Federal Constitution so that, there is financial
sustainability to accelerate the development in Sarawak. We also want to be
developed as those in West Malaysia.

 Tuan Speaker, last but not least, I seek consensus from all members of this
August House to agree and passed this amenMalaysian, generally and the rakyat of Sarawak, Bumi Kenyalang, specifically. Thank you very much.

Tuan Speaker : Your timing is perfect. I shall now call upon the Member for Kota
Sentosa. You have 30 minutes.

Y.B. Encik Chong Chieng Jen: Thank you. Pardon?

Tuan Speaker: 30 minutes.

Y.B. Encik Chong Chieng Jen: Thank you, Tuan Speaker. Just, before I start, in
case I forget, I would like to congratulate the Honourable Member for Semop for
tabling this Amended Motion. I remember Tuan Speaker, the last time when the
opposition Motion was hijacked or amended by a Member from the Barisan
Nasional, the hijacker become the Chief Minister.... (Laughter). Yang Amat
Berhormat did it on the Honourable Member for Bukit Assek‟s Motion, many years
back. But, just a piece of advice to the Honourable Member for Semop, at that time,
the hijacker did it out of the cuff, still a long way to learn.. (Laughter).

Tuan Speaker, on the issue that we are echoing, my previous motion, my
motion was echoing the call by, the Yang Amat Berhormat Chief Minister. Such
argument if you are to apply this argument likewise Yang Amat Berhormat, the Chief
Minister will be echoing our Pakatan Rakyat Election‟s Campaign manifesto. That
manifesto came before the call by Yang Amat Berhormat for the 20% oil royalty
increase. So, it does not matter who echo who. I will just like to share my thought
with Members from Barisan Nasional, you have to think out of the box, do not be so
narrow minded. I was sitting here listening, listening to the debate. If the motion
came from the opposition, it will not be willingly accepted by the Federal
Government. The Federal Government will be more ready to accept the motion, if
the motion was originated by the Barisan Nasional. Tuan Speaker, once a motion is
passed in this House, it is the House Motion. It does not matter who originate the
motion. It is the Houses motion. It is the stand, the stand of this august House.
Therefore, what is the difference? What is the difference? You have to think out of
the box to progress.

Tuan Speaker: Order, order.

Y.B. Encik Chong Chieng Jen: You have to think out of the box to progress.
Otherwise you will be forever at that level.

Tuan Speaker: Order, order.

Y.B. Encik Chong Chieng Jen: So, Tuan Speaker, that is why I do not mind that my
original motion was adopted, was amended. It is still my motion but it was amended
by the Barisan Nasional. Does not matter, we do not mind and I can state, I can
state confidently all my colleagues here in Pakatan Rakyat, will not mind. And this
day, we will make an anonymous decision. We will give our full support, even if the
motion came from the BN. But Tuan Speaker, Tuan Speaker, such, such goodwill ...

Y.B. Encik Chong Chieng Jen: Such goodwill can I, can we, be assured that such
goodwill will be reciprocated to us if we have some motion that is good for the
country, good for the state? The answer surely is a no, no.

Tuan Speaker: Order, order. Order, order.

Y.B. Encik Chong Chieng Jen: Why? Because the Barisan Nasional Members,
they cannot think out of the box. Well, Tuan Speaker, let me come to the point.

Tuan Speaker: No, order, order.

Y.B. Encik Chong Chieng Jen: Let me come to the point. Let me come back to
the issue in hand. Tuan Speaker, then, why this motion? Why this 20% ...
(interruption)

Tuan Speaker: 20%?

Y.B. Encik Chong Chieng Jen: 20% in oil royalty, gas royalty. I believe all of us
share the same sentiment that there is a lop sided development if we compare
Sarawak to West Malaysia. So much so that recently last year, there is, this Sarawak
Sovereignty Movement, whereby this Movement, the spokesman I will quote from
him, the spokesman is Datuk Morshidi Abdul Rahman. He said that the people had, I
quote, ”had enough of the lop-sided development between the Peninsular and
Sarawak and that something needed to be done. We are a civil movement and a
political. We are not militants or extremists. Sarawak is whilst is the partner state for
Malaysia, the others are Malaya and Sabah. We just want equality of all
Sarawakians regardless of their race”. Tuan Speaker, I believe this sentiment is
shared by many, even in this House. If such lop sided development can be seen
everywhere. When the West Malaysians are talking about traffic jam, we are talking
about what? Feeder road. Roads to some to the villagers in the rural area. Feeder
roads, mud roads, some, even at this moment we are talking about just a road, and
we do not have a road for many villagers long houses. When the West Malaysians
are talking about the tap water, many of our long houses are talking about gravity
feed water. SCORE, what SCORE? Gravity feed water system, whereby you
channel the water, untreated water from upstream to the household, doorsteps. And
even that, even that meagre facilities are also lacking for many long houses.

Tuan Speaker: Order, order.

Y.B. Encik Chong Chieng Jen: That is why you need Impian Sarawak Movement.
We are talking about pressure of examination for kids facilities in the schools. When
the West Malaysians are talking about that, better facilities in the schools, many of
our kampung kids walked for one hour, two hours a day to go to school.

 These are as a result of the Barisan Nas ional Government Policy. We seen RM50 billion are allocated to develop MRT system in KL, where KL there is light train, monorail, bus services.

Whilst in Kuching here, the capital of Sarawak, we don't even have a proper
transport system. RM50 billion for MRT in KL but not even a proper public bus
system in Kuching.

 So, Tuan Speaker, these are things that are unfair to Sarawak. Even recently, when there is an allocation of RM400 million paid to toll company so that the toll company would not increase the price of toll in West Malaysia, RM400 million allocated. The purpose of that sum was allocated to ease the cost of living, to ease the burden of the people. But what do we have? Bearing in mind that RM400 million come from the taxpayers of Malaysia whom we Sarawakian are part of it. So,
we paid part of them, the tax money but that RM400 million were paid for the benefit
of those highway users in West Malaysia but we get nothing. This is an example of
the unfair treatment that Sarawak has received all these while, under the Barisan
Nasional policy. Honourable Members for Barisan Nasional want me to speak it out
in Parliament. I have spoken about it in Parliament. You can be rest assured.

 Tuan Speaker, this sentiment, do not underestimate this sentiment of being
unfairly treated for there are even some quarters suggesting for cessation
movement, an independence of the state of Sarawak from Malaysia, a cessation
movement, a separatist movement. I am not quite sure if today a referendum is held
whether Sarawak should remain in Malaysia or not, 75% of the people will support
such a referendum. Tuan Speaker, that is why when the previous Chief Minister
retired, he left us with the world "Sarawak for Sarawakians" and this phrase is
received very well among  Sarawakians. I am sure many of you will agree.

Tuan Speaker: Ahli Yang Berhormat for Kota Sentosa, since you keep mentioning
the Chief Minister, so I give the Chief Minister.

Y.B. Encik Chong Chieng Jen: I am talking about the previous Chief Minister.

Yang Amat Berhormat Ketua Menteri Sarawak (Datuk Amar Haji Adenan bin
Haji Satem): Ahli Yang Berhormat for Kota Sentosa has referred to me several
times in his ucapan and he mentioned the lack of development in Sarawak
compared to West Malaysia. I think his remarks ought to be addressed not to this
Dewan but to the one, Anwar Ibrahim, who was Deputy Prime Minister and Minister
for Finance at one time. He ought to tell Anwar , ask him that he has refused to
entertain the 20% increase. And now, the same Anwar has an inspiration to
increase this 20% not because he wants Sarawak to be more developed but
because he is eager to march in glory to Putrajaya.

Tuan Speaker: Ahli-Ahli Yang Berhormat, Order please. Give the Ahli Yang
Berhormat for Kota Sentosa a chance, please.

Y.B. Encik Chong Chieng Jen: Tuan Speaker, so much wrong has been attributed
to Datuk Seri Anwar Ibrahim. But bearing in mind that Anwar Ibrahim was imprisoned in 1998, 1999, okay. He was removed as the Finance
Minister in 1998. 16 years have passed and the lopsided development continues to
aggravate and deteriorate. So what have you got to say, Barisan Nasional within the
period of 16 years. Make good whatever damage that has been done by him, if there
is any damage done by him. So for all these 16 years, how has the negotiation been
going on. Is it so cordially that the interest of Sarawak is sacrificed, is compromised?
For 16 years, I am not talking about Anwar Ibrahim stepping down as the Finance
Minister last year or the year before last year; 16 years ago. What has happened in
these 16 years, Tuan Speaker, that is point number one?

 Number two, to reply to Yang Amat Berhormat Chief Minister, he may have
objected to it, back in 16 years time but we have, DAP have talked sense into him
and he accepted our argument. Just like today, Barisan Nasional accepted our
motion but they don‟t want to lose face so they adopted it, they amended it, hijacked
it, abducted it and treated it as if it is theirs, it doesn‟t matter, I don‟t mind.

 Tuan Speaker, can you ask these people to have some order in the House
and not shout like that.

Tuan Speaker: Order, order.

Y.B. Encik Chong Chieng Jen: If you want to express your view or seek
clarification, you can always stand up like Yang Amat Berhormat Chief Minister, I will
sit down to let you ask but if you don‟t stand up then don‟t shout in your seats.

Tuan Speaker, how much money are we talking about if 5% is increased to
20%? If you look at our 2014 budget, last year, compensation in lieu of oil, it was
estimated about RM800 million, in lieu of gas, RM800 million, RM1.6 billion. That‟s
for 5% royalty. Therefore, if the 5% royalty were to increase to 20%, then, this would
entail an additional RM5 billion. RM5 billion were the revenue to the state
government of Sarawak. Surely with RM5 billion you can do a lot of things. Just a
Pan Borneo highway, the present trunk road to convert it into highway, four lane, to
and fro, four-lane highway. The estimated cost was about RM10 billion only. With
the additional RM5 billion a year, two years you have sufficient enough, sufficient
fund to complete the Pan Borneo highway and there are other many projects
beneficial to the people of Sarawak that can be implemented. If you don‟t know what
are these projects, you can refer to our alternative budget. DAP alternative, Pakatan
alternative budget for Sarawak. Things like giving direct, direct assistance, financial
assistance to the rural folks, to help build up a small, many small estate holders
which will form the backbone of our economy.

Tuan Speaker, I think this motion today, though it comes from Honorable
member for Semop, he is smiling there because of my prophecy that the hijacker of
the motion could be a Chief Minister. I pledge my full support for the motion of
Honorable Member for Semop. Just a little reservation. You will not change my vote.
I will still vote a yes to your motion but just a little reservation or observation,
whereby it was said here the preamble fourth paragraph for all intent and purposes
the Sarawak Barisan Nasional government whilst pursuing a serious negotiation on
the issue of the state royalty payment, here is the important word, must always
maintain the cordial close working relationship, understanding a mutual respect with
the Federal government. Just my little observation, this cordial working relationship
doesn‟t seem to work in our favour for all these years, with or without Anwar. But it
is under BN. It does not. From what was said by Honourable Member for Semop
and Honourable Member for Balingian, negotiation has been, oh, not Balingian, oh
Balai Ringin, I was a bit too quick with my tongue. From what they said, this cordial
negotiation has been going on and on and on, the round table just keep going round
and round and round, it doesn‟t seem to end. What was said is true i.e more than 16
years ago the state government has spoken to Anwar Ibrahim, the then Finance
Minister, about increasing the royalty to 20%. Then there is a serious issue here.
The way you negotiate surely failed. You might as well send us in to negotiate for
you. We can even be the bad guys. You go and tell your boss in West Malaysia, to
tell them that if they don‟t increase to 20%, DAP and Pakatan Rakyat may win the
next state election. Let us be the bad guys, we be the Indian and you the cowboys, it
doesn‟t matter so long as we can get that 20% of oil royalty and gas royalty. So that
is my little reservation. So long as we can get that it doesn‟t matter whether we bear
the bad name or not. But what is important is that our state gets this money.

Tuan Speaker, I have observed the two Honourable Members debating. The
Honourable Member for Semop moved the motion but what was said by the
Honourable Member for Balai Ringin sounds like opposing the motion, suggesting
other ways of getting funds. I would like to second him, second the Honourable
Member for Semop motion, doesn‟t matter.

Tuan Speaker, finally ,well, for the fund, it is a huge fund , how is it going to be
used I hope it can be used in a more transparent, fair and equitable manner, not like
how it is going on like the black hole in our budget whereby RM1 point something
billion allocated to a trust account and not accountable to any member of this House.

Tuan Speaker: That is sub-judice.

Y.B. Encik Chong Chien Jen: Have it been appealed? Has the appeal been filed?
If that is the case, it is sub-judice. This year also, there is RM1 point something
billion going into this trust account and I hope Yang Amat Berhormat Chief Minister,
with the strong, unanimous support of this House, can give Sarawak a good deal, get
the 20% and you will be remembered. Your legacy will be the person who fought for
20% oil and gas royalty for Sarawakians. With that, I conclude and I would like to
reiterate again, I fully support this motion.

Tuan Speaker : I call for Honourable Member for Maradong.

Y.B. Cik Ting Tze Fui : Thank you Tuan Speaker for allowing me to take part in the
debate of this private members motion originated from the Honourable Member from
Kota Sentosa but it‟s now hijacked or I put in the nicer word, Amended by the
Honourable Member for Semop. Even though the motion is being hijacked or
amended or what most, we DAP shall nonetheless give our full support to this motion
which will benefit the Sarawakian as a whole. The amendment made to the original simply shows that BN has adopted our Pakatan Rakyat Election manifesto, one on motion tabled by our opposition Leader, Honourable Member for Kota Sentosa which to press for an increase of oil royalties from 5% to 20%.

 Tuan Speaker, since Sarawak join to form the Federation of Malaysia,
Sarawak has been marginalized in many ways even though our state has
contributed significantly to the Federal coffer. Our basic amenities and infrastructure
are so lacking. Our roads are said to be twenty years behind those in Peninsular
Malaysia. Till to date many rural areas in Sarawak still do not have water and
electricity supply. Sarawak Natural Resources, in particular oil and gas have been
(built dry) by the Federal Government and the Oil companies like Petronas in the
pass for receiving a pityful figure of 5% only.

 Tuan Speaker, take for example in Bintulu every day the super gas tankers
sets sell for Japan or Taiwan. Each tanker paid us revenue of 150 million. The total
amount is so huge in a year and for 30 years now but the money all goes to
Petronas. What has Petronas done for Bintulu? Let it on. What Petronas has done
for Sarawak?. We heard this morning that Petronas has build this and that what
recreational park or taman only. Is that all that Petronas can do? Even the road
which leads to MLNG. The Petronas has to use the Kidurong Road. Today the road
is so much used by them. The road is so congested and Petronas is concern about
lost main hour and trade to safety and now Petronas wanted to borrow even the
Bintulu Port Road. Malulah. Can‟t Petronas even built its own road? Petronas
should built more roads and flyovers for the Kidurong Road to ease the problem
there. This is not only good for Bintulu people, but also for Petronas itself. It is most
sorrowful that when Petronas which took so much money from Bintulu for the past 30
years. Yet, they can‟t even built its own road for its company to use but kongsi and
tumpang the road of the Bintulu people.

 This morning I heard also the Honourable Member for Muara Tuang asking
government to build flyover at Kuching/Samarahan. Throughout Sarawak we need
more and more flyovers and double that roads. I propose that it is high time that
Petronas embarked on this to give in return some money back to Sarawak. So that
we can enjoy the money which actually belong to Sarawakians.
Tuan Speaker, this is only the very basic that we are asking for. There are so
much more than Petronas can do for our society. Urban or rural and asking for 20%
is just a drop in the ocean of our needs which has been left by Petronas for too long.
People have been calling on the State Government to make strong representation to
the Federal Government for higher oil royalties to at least 20%. Unfortunately, the
insertion course have lastly falling on the deaf ears of the State Government in the
past. This simply shows how incapable and hopeless is this Sarawak BN
Government. Next time, take initiative. Draft and tabled your own motion,
concerning of the fight of the people of Sarawak. Don‟t copy DAP‟s. Don‟t take easy
and lazy route by just amending copy and paste and then hijack our motion.

 Now, Tuan Speaker, with the strong and unbeatable and bargaining power,
bargaining position of both Sarawak and Sabah Governments, it is high time that this
state government logically and unambiguously called on the Federal Government to
immediately increase the oil royalties payable to Sarawak state call first at least 20%.
With the increment in oil royalties, the government will be in the better position to
subsidies even petrol and diesel by perhaps to 10 or 20% per liter for all
Sarawakians. With extra revenue from all royalties the state government can better
afford to bring about infrastructure development to upgrade the state road especially
the Pan Borneo trunk roads to give more grants to the poor and the needy, to help to
reduce unemployment by creating more jobs, to give more grants, to subsidise these
Chinese Independents Schools and to provide better care for the general wellbeing
for the Sarawakians. There is nothing more cogent demanding for greater oil
royalties for Sarawak. All these while, the opposition has consistently advocated and
increased in oil royalties from 5% to 20% for our State. It is more than welcomed for
Sarawak BN under the leadership of our new Chief Minister to come on board
together with the majority of Sarawakian to ask and to demand the Federal
Government to increase our oil royalties to our State. If Sarawak has like extra sum
of, said, 5 billion ringgit a year, we shall have no problem by ourselves to upgrade
and to widen the Pan Borneo trunk road. If only we have 5 billion ringgit extra per
year, we can afford to buy over Rejang bridge but also not only one Rejang bridge
but also other bridges in Sarawak perhaps from the bridge concessionaire.

The Honourable Second Finance Minister, I remember he has promised in 2011
State election, to raise the issue, so that the State government may take over the
state Rejang bridge in the state cabinet. To date, his effort whether he has raised it
or not, seems to have follow on the desk yet also. This only reinforces generally.
People perception that SUPP has very little voice or influence inside the state
cabinet even though it has the senior Minister inside it. But never mind, we
understand that all SUPP leaders are all very busy with their Party in fighting. Now,
shall they be a tremendous increase in oil royalties to our State, the extra big fund
shall enable Sarawak State government to accelerate more development programs
be it in rural or urban areas. Our State shall be able to buy over the Rejang bridge
from the bridge concessionaire, Woodwill Sdn Bhd so that the bridge users
irrespective whether they are from Kuching or the central region of Sarawak can
benefit a free ride of coastal bridge. A toll free bridge would undoubtedly spur the
growth of the whole of the central region and it would add to the whole stimulus
through the expansion or and growth of SCORE also.

Therefore I urged all elected representatives in this august House to give full support
to this motion whether it is from DAP or BN. Let‟s do our part. Let‟s do our part to
make Sarawak a better state for the goodness sake of all Sarawakian and I hope we
will see this long waited increment in oil royalties very soon in near future. With this I
support this motion. Thank you.

Tuan Speaker: Honourable Members, before I called the Honourable Member for
Semop to reply, procedurally, it is allowed to amend a motion. It is allowed.
Standing Order 27 (1), when any motion is under consideration in the Dewan or in a
Committee thereof, an amendment may be proposed to the motion if it is relevant
thereto. Even at committee stage.

Y.B. Encik Chong Chieng Jen: Tuan Speaker, I have no quarrel with Honourable
Member for Semop, amending the motion, I have no quarrel, just that I thought that
they had taken the queue from what was said by the Yang Amat Berhormat earlier
on and passed this motion on their own but what to do, they have to wait for us to
move the motion and then amend it. Is that show that they are … (in Chinese
dialect)

Tuan Speaker: The Members of the opposition is using the word hijack. That
underlies certain displeasure. It‟s a real displeasure, but is allowed. It is under
Standing Order. I now called the Honourable Member for Semop to wind up. 15
minutes.

Y.B. Encik Abdullah bin Haji Saidol: Terima kasih Tuan Speaker for allowing me to
wind up the Amended speech, debate of this Amended motion. But allow me to
remind Yang Berhormat for Kota Sentosa, when he said that Anwar Ibrahim never
create much trouble to us. When we request from him for the increment of the
royalty not long time ago, he was the one who refused to the increment. Yes, 16
years and still around and going to jail soon. Now, allow me to quote a great leader,
who was also your former chairman, the late Karpal Singh. You probably remember
him saying loudly probably the whole country have heard it. He said, “Anwar
Ibrahim", of course, I can‟t say it like how he had said it, “Anwar Ibrahim had caused
this country so much trouble, Anwar harus bertaubat”. Probably you remember that.
Anwar had caused so much trouble in this country, and Anwar harus bertaubat. That
is… (Interruption)

Tuan Speaker: Are you taking it?

Y.B. Encik Abdullah bin Haji Saidol: No, I make it short. Probably after this, we
meet up outside and, no, no… I can‟t, I can‟t. I have a video clip of it, I can show it to
you. Wait, probably he was… Yes, please pretend as if you have never heard it.
Don‟t pretend as if you have never heard it. Don‟t pretend as if you‟ve never heard
it. No, I want to move on. Let‟s move on.

Tuan Speaker: Move on. Move on.

Y.B. Encik Abdullah bin Haji Saidol: Let's get the motion passed. Okay, okay.
Okay, okay. Let's make me easy. Let me withdraw it. I have heard it. Let me
withdraw it. Now, no. 2. See, two third of us here come from the rural area. I know
how it feels like in the rural area. When I look in front of me, I mean this are the folks
who live in the urban area. I was made to understand long time ago from our senior
leaders. So one way for developing the state is bringing in resources and develop
our city where we create opportunities and that is where the biggest centre are. Now
see how Kuching looks like now. Don‟t tell me what is the resources of Kuching.
See how Miri look like now and the biggest city I have been when I was a kid, was
Sibu. So see how Sibu looks like now. So when this thing happened, people benefit
from it. But, please allow me to say this, when I come to the city, when my dad
come to the city and he asked me, “tengok depan, belakang, kiri, kanan, siapa yang
untung daripada pengorbanan kita di desa dulu”. Hasil-hasil daripada desa inilah
yang membangunkan pekan-pekan ini menjadi Bandar dan Bandar-bandar ini
menjadi bandar yang lebih besar.
 BELUMThis is how we tolerate the rural people. Now comes to the next waves of
development. And we always talk about politic for development. Politic going
forward, we tolerate and we compromise. We don‟t talk about things that will rift
among the people. We don‟t lie and we don‟t twist. All of us here tolerate. Coming
to the next generation, then our former Chief Minister talk about calm, we change,
we create opportunity, and there were mobility and after that we create equality.
This is how we work from there. So, now talking about cordial relationship. This is
very important. This country is unique. Even the State of Sarawak is unique. So
there is a lot of culture, different belief, and also different style of living. As time goes
by, I am very worried about my kids. In what kind of environment they would live in,
in the future. But now with all the technologies, media social and all those kind of
things going on around. And with the kind of politic propaganda that being promote
by the other side, so, I‟m asking myself, it is worth to have the physical development
when the people are becoming so uneasy and then there is a lot of wreath,
misunderstanding and then of course what we have seen recently in Kuala Lumpur
and then the young Universities student go to the street and have no respect for the
law just because they don‟t understand what GST is? But that is not how we in
Sarawak want it to be here in this part. We thankful to the previous leaders who
have worked hard to put where we are now and probably some of the leaders from
the other side to have good school in the city. I came from my kampong in 1979
when there is no, tidak ada sekolah berasrama penuh. There is no MRSM, there is
no sekolah SAINS and probably some of us here where the State Government set
aside some fund and send us to the west Malaysia and study there.

 So, as time goes by, so more than berbelas ribu, a lot of us go through that
part and then we come back and we want to contribute to the State. And this
relationship is not just being in politic. So, my wife is from Johor. And some of us
here married the west Malaysian. We must have that continuity of good relationship
not just on political side but persefahaman. But some of us here, some from the
opposition side, they brought in people who are obviously promoting scrupulous
propaganda of hating and all twisting of facts and so much grows lie especially
during the last Balingian State Election. So true enough we have seen what‟s
happening there, we won big and the Chinese community there come back to us.
And we assure, I believe in the next coming election, with your artificial going rural
project would not be accepted. We know the trick. So we know you are not fully
sincere in our affair. When you talk about the biodiversity, when you talk about
jungle, some of you talking about it doesn‟t look like have been to the jungle for the
last ten years. Basically, you don‟t know what you are talking about.

 Now, Tuan Speaker, saya membentangkan amended motion ini dengan rasa
bertanggungjawab bagi rakan-rakan saya di Barisan Nasional. Bukan hanya
bercakap tentang 5% menjadi 10%, ya literally yes, that‟s what we want. But there is
falsafahnya. Kami ingin menyampaikan rasa keinginan ini kepada Kerajaan
Persekutuan supaya dalam kita bergerak ke hadapan menjadi sebuah Negara maju
2020 tidak lama lagi, dan 2030 sasaran kita bukan sahaja kita memerlukan
peruntukan yang banyak, kita akan melihat beberapa polisi lain yang harus bertukar.
Cara bekerja kita harus bertukar. Mungkin dalam bentuk transformasi dan kami
menyokong penuh kepada seruan Perdana Menteri yang bergerak ke arah
transformasi di dalam pelbagai sektor. Itu juga kami di sini ingin bergerak ke arah
tersebut. Dan orang yang bertanggungjawab tentang semua ini tidak lain dan tidak
bukan anak Sarawak sendiri yang menjadi ketua diteraju, dipemandu.

 Tuan Speaker, kita bangga menjadi anak Malaysia. Kita bangga menjadi
anak Sarawak. Kita baru menyambut perayaan Kemerdekaan kita yang Ke-50. Dan
kita ingin mengatakan bahawa nasionalisme bermula di Semenanjung Malaysia.
Pejuang-pejuang kemerdekaan bermula di Semenanjung Malaysia. Kalau kita
belajar sejarah, kita akan tahu bahawa banyak yang bermula di sana dan akhirnya
mempengaruhi semangat nasionalisme itu bergerak ke negeri Sarawak atau pada
masa itu di Pulau Borneo. Maka lahirlah pejuang-pejuang kemerdekaan seperti
Rentap, Rosli Dhobi dan sebagainya. Perkara ini haruslah difahami dan dihargai.
Barulah kita dapat bergerak ke hadapan dan dalam keadaan suasana yang aman
tanpa ada keresahan. Jadi sistem ekonomi kita dapat diperkukuhkan tanpa banyak
kecurigaan dan soalan-soalan yang liar dan nakal. Saya ingin memberi perhatian
kepada dewan ini, dalam kamus bahasa Inggeris, ada satu perkataan Melayu yang
tidak boleh dialihbahasakan ke dalam bahasa Inggeris iaitu amok. Amok telah
diadopt by the Indian Dictionary. Pejuang-pejuang kemerdekaan kita dulu
termasuklah Tengku Abdul Rahman, Tok Gajah, Tok Janggut. Mat Kilau dan Rosli
Dhobi, Rentap dan sebagainya, dan Tun Jugah Apai Jugah, mengamuk untuk
menuntut kemerdekaan kita. Mereka menghunus keris dan pedang, parang dan
kapak menentang penjajah, malah ada yang menentang komunis, gugur untuk
menuntut kemerdekaan dan kebebasan kita dan sebahagian daripada kita sini,
lebih-lebih lagi di sebelah sana adalah anak-anak hasil kemerdekaan. Maka
sekarang, saya mengajak semua bukan sahaja dari kalangan rakan-rakan saya,
rakan segenerasi saya dan rakan generasi seterusnya dan generasi anak saya dan
mungkin cucu saya untuk terus mengamuk. Tapi bukan mengamuk dengan
menghulurkan pedang dan keris. Bukan mengamuk menendang polis di Dataran
Merdeka. Bukan mengamuk dengan menipu dan memutar belitkan fakta. Bukan
mengamuk untuk apa ni, semangat perkauman dan sebagainya, kita mengamuk
dalam pendidikan. Kita mengamuk dalam jati diri.

Tuan Speaker: You have two minutes.

Y.B. Encik Abdullah bin Haji Saidol: Kita mengamuk membawa bangsa ini ke
hadapan. Dan ini ingatan saya sebelum mengakhiri, kalau tidak membantu kepada
rakan-rakan saya di sebelah sana, jangan merapu. Kalau tidak dapat menolong,
jangan menolong. Adalah lebih baik berpeluh daripada sentiasa mengeluh. Perlu
diingatkan, it was never been hijacked, it was been our fighting for a long time. So
dengan itu Tuan Speaker, permohonan supaya royalti minyak dinaikkan kepada 20
peratus atau apa-apa perancangan atau any other arrangements that would benefit
us, I hope this august House, Honourable august House will support it. So, dengan
itu Tuan Speaker, untuk mengakhiri penggulungan saya, I wish to move the motion,
my amended motion on this royalty. Thank you.

Tuan Speaker: Ahli-Ahli Yang Berhormat, those in favour of the amended motion in
the name of Honourable Member for Semop, please raise your hand. 68
unanimous. 68 votes unanimous (applause). I hereby declare that the amended
motion in the name of the Honourable Member for Semop is approved unanimously

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