THE federal government has agreed to hand over the gas supply regulatory power in Sabah to the state government, Prime Minister Anwar Ibrahim announced. 

He said the matter was agreed upon as part of the federal government’s effort to honour the Malaysia Agreement 1963 (MA63). 

“Several major issues have been resolved today. For example, we have agreed to hand over the gas supply regulatory power from the federal government through Petronas to Sabah (government). 

“This has been done for Sarawak and now is being done for Sabah … just waiting for the consent from the Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al Mustafa Billah Shah. The cabinet has agreed,” he told a press conference after chairing the weekly cabinet meeting in Putrajaya today. 

Effective June 1 last year, the Sarawak government has full control of gas distribution activities in the state after the federal government granted an exemption for the state to obtain permission under the Petroleum Development Act 1974 and a licence under the Supply Control Act 1962. 

Anwar said, however, the handing over of regulatory power, sales and new deals concerning gas supply in Sabah will be decided by the state government. 

On the MA63, the prime minister said there have been developments on other issues, and that details will be announced next month. 

“As we all know, Deputy Prime Minister Datuk Seri Fadillah Yusof was given a month to settle unresolved matters (concerning the MA63), so God willing, early next month, we will announce the details that would resolve those matters,” he said. 

He added that other issues in the MA63 involving laws and amendments to existing legislation will have to wait until the next parliament sitting. – Bernama, December 21, 2022.