New law may slash LPG price

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Dato Idris Buang

Dato Idris Buang

KUCHING: Amid soaring cost of living, liquefied petroleum gas (LPG) consumers in the state may get a respite when the Distribution of Gas Bill, 2016, is approved by the State Legislative Assembly (DUN), which sits this Nov 21-31.

Muara Tuang assemblyman Dato Idris Buang, when contacted yesterday, said there was a possibility that LPG prices could go down following the expected passing of the Bill, to be tabled by Minister of Public Utilities Dato Sri Dr Stephen Rundi Utom on Nov 21.

Idris said Chief Minister Datuk Patinggi Tan Sri Adenan Satem was well aware of the escalating cost of living due to increasing prices of crucial commodities such as cooking oil and LPG.

“He (Adenan) is aware of the increasing cost of living. So, there’s hope he may lower the price of LPG in Sarawak as we are a producer of oil and gas,” he said.

“The BN Government will try its best to make the people’s life better.”

When contacted, Sarawak DAP chief Chong Chieng Jen said he could not comment on the Bill as he had yet to read it, while state PKR chairman Baru Bian could not be reached for comments.

According to the explanatory statement, the Bill, among others, seeks to repeal the Sarawak Gas Supply Services (Operating Company) Ordinance, 1995, to regulate the distribution of gas in Sarawak and for matters related to it.

“Pursuant to the Borneo States (Legislative Power) Order, 1963, made by the Yang di-Pertuan Agong under Article 95c of the Federal Constitution, DUN is authorised to make laws on the distribution of gas in Sarawak. This was made in accordance with the recommendation in the Inter-Governmental Committee Report that the power to legislate on electricity and distribution of gas be `delegated’ to Sarawak and Sabah,” it stated.

“In exercise of the legislative powers conferred by the said Order, DUN passed the Sarawak Gas Supply (Operating Company) Ordinance, 1995, which enabled Sarawak Gas Distribution Sdn Bhd, a state government controlled company, to distribute gas by pipelines to consumers in Miri.”

It added that Parliament had passed the Gas Supply Act in 1993 — which was amended in June 2016 — to regulate the supply of gas in the federation.

“But this Act has not been extended to Sarawak and will not apply to Sarawak without the prior approval of the Yang di-Pertua Negeri.

“The state government has decided there should be a new state law on the distribution of gas throughout the state to better regulate the business of gas distribution and to provide a framework for the expansion of the gas supply industry so as to facilitate the industrial development of Sarawak.

“Hence this Bill is presented to DUN for enactment.”

Meanwhile, a consumer in Miri, Anselm Diye, said he had been paying only RM10 a month for LPG.

“For consumers like me, it means it removes the hassle of replenishing LPG cylinders. We pay gas bills like those for utilities such as water. And it’s much cheaper, too,” said Anselm, who has been working in Miri for the past 30 years.

Miri residents like Anselm have been supplied with LPG via pipelines since the passing of the Gas Supply (Operating Company) Ordinance, 1995.