KOTA BELUD: Urban Wellbeing, Housing and Local Government Minister Datuk Abdul Rahman Dahlan said an all-encompassing and comprehensive discussion is needed if the issue on the proposed increase of Sabah’s oil royalty is brought up.
Abdul Rahman who is also Umno Supreme Council member, said as a local leader of Sabah, he agreed on principle with the suggestion to increase the oil royalty but at the same time, various aspects had to be discussed and ironed out.
“I agree with the views of Barisan Nasional youth (Parti Bersatu Sabah, Parti Bersatu Rakyat Sabah and United Pasokmomogun Kadzandusun Murut Organisation). However, the mechanism must be worked out. What is more important to me is the amount the Federal Government will allocate to Sabah.
“Will it (development allocation for Sabah) be more than for other states? The oil royalty is not the only source of income for the state but it is also in the form of allocation from the federal government,” he told reporters after opening the Kota Belud District Fishermen’s Association annual general meeting, here yesterday.
Abdul Rahman was commenting on a statement by the youth wings of the Parti Bersatu Sabah, Parti Bersatu Rakyat Sabah and United Pasokmomogun Kadzandusun Murut Organisation (Upko) which suggested that the Federal Government increase the oil royalty to Sabah by 20 per cent.
At the opening ceremony, Abdul Rahman also handed out the Cost of Living Allowance of RM200 each to 556 fishermen.
According to him, the opposition parties intentionally played up the oil royalty purely for political reasons but they failed to touch on the mechanics of implementation even though they had been asked several times to do so.
He said the opposition was supposed to provide the mechanism for the payment of the additional royalty of RM12.5 billion a year to Sabah, Sarawak and Terengganu if it was increased from the present five percent to 20 per cent, and not just stop at making the demand for the 20 per cent increase.
Abdul Rahman also asked if the oil royalty was increased, would the state governments, especially those led by the opposition parties, be willing to accept a smaller development allocation from the federal government?
What was important, he said, was the commitment of the present-day federal government in providing a large development allocation to Sabah every year and not be too focused on the oil royalty. — Bernama