Federal Court to hear Petronas suit on June 12


Desmond Davidson

Petronas wants a declaration that is has oil royalty rights in all the states, including Borneo. – AFP pic, June 4, 2018.

PETRONAS’ application to the Federal Court to declare that it is the exclusive owner of petroleum resources in Malaysia, including in Sarawak, under the Petroleum Development Act 1974 (PDA), will be heard on June 12 in Putrajaya.

Sarawak Law, State-Federal Relations Assistant Minister Sharifah Hasidah Sayeed Aman Ghazali said in a statement the state attorney-general was today served “with a notice from the Federal Court registry that the state government is being made a party in a suit by Petroliam Nasional Berhad (Petronas) in the case of Petroliam Nasional Berhad v Kerajaan Negeri Sarawak”.

Hasidah said the application for leave was made under Article 4(4) of the federal constitution.

At the moment, the state government has yet to receive the motion filed by Petronas related to the application but said “the state government will do everything within its powers, in accordance with the rule of law, to defend our rights in this matter”.

Political analyst James Chin said the court ruling would be “good for everyone as it could provide a guide on the legal arguments on the MA63 (Malaysia Agreement 1963)”.

Chin, an expert on the governance issues in Southeast Asia as the director of the Asia Institute at the University of Tasmania in Australia, said stakes would be high in this court action.

“If Sarawak wins, it means Petronas must pay back all previous revenue from not only Sarawak but Sabah as well.”

But Chin said if the declaration goes in Petronas’ favour, then Sarawak and Sabah folk will be “upset as it goes against the Pakatan Harapan promises” in its election manifesto.

Chin, however, asked who authorised the suit since Petronas is only answerable to the prime minister (Dr Mahathir Mohamad).

“Did Dr Mahathir know about the suit?”

Deputy Chief Minister James Masing also said “it is good” that Petronas filed the application to clarify PDA1974.

“It’s about time this ambiguity in laws regarding oil and gas ownership between Malaya and Sarawak is settled once and for all.

“If it means we go to court to settle this case, so be it.

“Let all Sarawak lawmakers and Sarawakians make their stand to fight for Sarawak rights on this issue.” – June 4, 2018.


Sign up or sign in here to comment.


Comments