Compel Fed Govt to give effect to oil and gas royalties resolution, Chong tells State Govt

KUCHING, Oct 7, 2014: Bandar Kuching MP Chong Chieng Jen today urged the State Government to take a further stronger action to compel the Federal Government to give effect to the Sarawak State Legislative Assembly's resolution calling for an increase in the oil and gas royalties.

He said the State Government should not sit back and wait in vain for an answer or be pushed around.

Chong (picture), who is also Sarawak DAP chairman, is bitterly disappointed that his questions on oil and gas contract agreements were rejected by Parliamentary Speaker Amin Mulia without justification in Parliament this morning.

He submitted the questions for Prime Minister Najib Razak for oral answers during Question and Answer session in parliament, but the Speaker shot down the questions on grounds that a related matter has been referred to court and thus, sub-judice.

Chong had wanted Najib to state the terms and conditions of the Production Sharing Contracts between PETRONAS and the other signatories to the PSC, especially relating to the apportioning of profits from oil and gas extracted from Sarawak. 

He also asked whether the Federal Government has any intention to increase the oil and gas royalties  payable to the Sarawak State Government.

In a press statement, Chong said:"When I rose in Parliament to seek clarification with the Speaker on such ruling, he informed the House that the related matter that has been referred to Court in respect of a case filed by the Kelantan Government against PETRONAS and the Federal Government of Malaysia."

"Such reason is utterly unacceptable because my questions related  to the increase of oil and gas royalty payable to Sarawak while the case cited to reject my question is a case between the Kelantan Government and PETRONAS and the Federal Government in relation to payment of oil and gas royalties to Kelantan Government.

"I have submitted similar questions to the Parliament in the previous June sitting, but were given  answers that beat around the bush without directly answering to my questions. 

"At least, then, there were some answers to my question.  This time, when I pressed for further answers, my questions were totally rejected," he said.

He added:"This is clearly indicative of the Federal Government’s intention to delay and evade  questions on demands for the increase in oil and gas royalties  payable to Sarawak from 5% to 20%. 

"But the Federal Government has even gone to the extent of disallowing such question to be asked in Parliament," he complained.

Chong  said that the Sarawak State Government must now realise that the Federal Government has no intention to increase the Sarawak’s oil and gas royalties rights from the present 5% to 20% as was resolved unanimously in the Sarawak State Legislative Assembly in May, 2014.

He said six months have passed since the historic resolution was passed in the assembly, calling for the increase in Sarawak’s oil and gas royalties to 20%. 

"Yet, not a single indicative word on this matter has come out from the Federal Government.  Now, this matter is not even allowed to be discussed in Parliament," he said.

He pointed out that the case between Kelantan State Government and Federal Government was filed in year 2010 and the case will continue for at least another 10 years. 

"By disallowing the matter to be brought up in Parliament on the ground of the existence of the case would mean that this matter will not be allowed to be discussed in Parliament for another at least 10 years," he said, adding:"Even then, we will still be kept hanging in the air.  This puts the Sarawak State Assembly's resolution to ridicule," he said.

The resolution was unanimously supported by the Barisan Nasional and Pakatan Rakyat state assemblymen in May this year.