KOTA KINABALU: Now is the golden opportunity for the state government to put in an official request for an oil royalty hike since Prime Minister Datuk Seri Najib Tun Razak has openly expressed his willingness to consider Sarawak’s request to increase the latter’s oil royalty to 20 per cent.
The Federation of Sabah Industries (FSI) Datuk Seri Panglima Wong Khen Thau believes that by doing so will make the Sarawak’s case stronger, adding that even Terengganu should formally request for an oil royalty increase as well.
“If the federal government is willing to consider, the state government should also table the matter in the state cabinet or state assembly, and subsequently make a formal request like our counterpart in Sarawak.
“I think this is an opportunity since the Prime Minister has made some statement and Sarawak is all out for it.
“I don’t see any reason why Sabah would not want to follow suit,” Wong said when contacted yesterday.
Sarawak Chief Minister Tan Sri Adenan Satem made a statement recently, asking for the royalty to be increased to 20 per cent. Prime Minister Datuk Seri Najib Tun Razak has expressed his willingness to give utmost consideration to the Sarawak state government for an increase in oil royalty.
Wong said higher oil royalty would contribute towards the betterment of the state, whereby the money could be used for development and so on.
“I believe everybody in the right mind will want it (20 per cent oil royalty), there is no question about it.
“FSI will definitely support the state government if they are putting in a formal request.”
Wong said 20 per cent oil royalty was not too much to ask for, and that the state government could even request for higher oil royalty for the federal government to consider.
Nonetheless, Wong said the chances of getting 20 per cent oil royalty, in his opinion, was low.
He opined that Sabah would most likely obtain between 10 and 15 per cent oil royalty in the end.
“Of course if they (federal government) are generous, they can give 20 per cent, which we will be thankful for.
“Whatever it is, I am confident that the federal government will increase the oil royalty this time round, to 10 per cent or more.”