SHAFIE Apdal said Sabah will continue pursuing the 20% oil royalty demand and has taken note of federal government’s reasoning that the matter will take time.

The chief minister said Prime Minister Dr Mahathir Mohamad was informed of the state cabinet’s decision when both men met at a private lunch on Saturday.

“That is one of the areas that we have discussed with Tun (Dr Mahathir), but of course he said it will take time and going into the detailed part of it will not be easy.

“But I told him, if the national oil company Petronas do a corporate social responsibility, the firm will only make a group of people happy and if a person is given the post of director, the company will only make one person happy. 

“But if they give the 20%, they will make three million Sabahans happy,” he said today.

Dr Mahathir vowed that Pakatan Harapan will keep its election manifesto to honour the Malaysia Agreement 1963 (MA63) and raise oil royalties for all oil-producing states from 5% to 20%.

However, he noted that the work to realise all these promises will take time. 

Sabah accounts for 50% of the country’s oil production output, while 5% of Petronas’ gross output goes back to the state. 

This was in accordance with the oil agreement signed by the Berjaya state government led by chief minister Harris Salleh on June 6, 1976, which marked the Double Six tragedy. 

The signing took place merely hours after Harris assumed power from the chief minister Fuad Stephens, who died in the plane crash the same day. 

Many said the haste in which the deal was signed was a conspiracy to rob Sabah of its resources.

Shafie said Sabah could receive up to six-fold from the existing royalty payments which come to about RM1 billion a year. 

“For Putrajaya, what is RM6-RM7 billion compared to when former prime minister Najib Razak announced the RM55 billion rail project?”

On another development, Shafie said he brought up the devolution of powers with all the federal ministers who called on him during their visit to Sabah to celebrate the Malaysia Day yesterday. 

Shafie met Economic Affairs Minister Azmin Ali, Defence Minister Mohamad Sabu, Youth and Sports Minister Syed Saddiq Syed Abdul Rahman and Health Minister Dzulkefly Ahmad over the weekend.

“Most of the talks revolved around the things announced by the prime minister on joint-sharing (of responsibilities) and the Malaysia Agreement 1963. 

“I have noted to the ministers like health and education that the state government already has the capabilities to handle on all projects done by the two ministries,” he said. 

The state Public Works Department handles all the federal Education Ministry projects better than the ministry itself, he said. 

Azmin said recently only 12% of 83 projects to repair dilapidated schools in Sabah were completed by Umno-linked contractors, compared with the PWD which completed all 37 projects given by the Education Ministry. – September 17, 2018.