PETRON’S appointment as a fuel provider for government vehicles is cronyism rearing its ugly head again, said Parti Solidariti Tanah Airku president Jeffrey Kitingan.

He said the Pakatan Harapan government’s move to appoint an oil company linked to the prime minister’s son, Mirzan Mahathir, was no different than what had been done under the previous Barisan Nasional administration.

He said although the government had changed, the same leaders were keeping old practices alive.

“There is not much difference. The government may have changed, but the people remain the same,” he told reporters after launching the 55th Sabah Day celebrations today.

Putrajaya is facing accusations of cronyism and nepotism after news on Petron’s appointment broke, and a letter of appointment addressed to Petron Fuel International Bhd has gone viral online.

The letter states that it is hoped the appointment of the Petron Malaysia unit will provide “a better choice and alternative” to existing fuel providers.

Mirzan is a shareholder and director in Petron’s parent company, Petron Corporation, which is based in the Philippines.

In 2013, Petron Malaysia said Mirzan did not have any shares nor a role in its country operations.

Kitingan did not deny the possibility that the appointment may be an attempt by Prime Minister Dr Mahathir Mohamad’s family to make money from the country’s oil resources, leading to Putrajaya delaying the payment of oil royalties.

He cited the government’s interpretation of oil royalties as profit, and not gross production.

“Putrajaya is cheating when it denies what it has promised to return to Sabah. It is making excuses not to pay the oil royalties. As we all know, oil royalties mean ‘gross production’.

“If they can’t pay because of the financial situation, they can defer the payment to a later date.” – August 31, 2018.