Fong (third right) together with the rest of the legal team.
PUTRAJAYA: Sarawak will not enforce state laws in a manner that will hurt anybody or any industry, such as oil and gas.
“My Chief Minister had repeatedly said this, so Petronas got to trust us,” Sarawak Legal Counsel Datuk Seri JC Fong told reporters after Federal Court dismissed the application by Petronas for leave to commence proceedings against the Sarawak government.
Fong stressed that the dispute arose because Petronas refused to comply with Sarawak laws.
“Petronas says they don’t want to comply (to Sarawak laws) this is not acceptable. That is where the dispute starts,” he explained.
In April, Sarawak Chief Minister Datuk Patinggi Abang Johari Abang Openg said companies operating in the upstream O&G sector in Sarawak must obtain the necessary licences and leases from the state beginning July 1.
Abang Johari said the requirement extends to contractors, subcontractors and vendors. In a previous interview with The Edge Malaysia weekly, he indicated the state’s position rests primarily with the Oil Mining Ordinance 1958.
The Sarawak attorney-general officially wrote to Petronas on April 13 to communicate the state’s intention to enforce the requirements. The attorney-general also stated that continuing such operations in the state without the necessary licences and approvals would be “illegal” after July 1.
Fong also stressed that Sarawak will continue to work with Petronas and hope Petronas will work with them to harmonise the O&G industry.
“We just want Petronas who are in Sarawak to get the benefit of state natural resources, that is petroleum, to comply with state laws.
“We will comply with federal laws, which of course must be constitutionally right and we want Petronas to comply with state laws,” he stressed.
Petronas legal counsel Datuk Malik Imtiaz Sarwar refused to comment and stressed that he is waiting for his client’s instructions.
Assistant Minister of Law, State-Federal Relations and Project Monitoring Sharifah Hasidah Sayeed Aman Ghazali, when met after the landmark case, stressed that the rule of laws has prevailed and Federal Court decision is a victory in upholding Sarawakians rights.
“We want to co-operate with Petronas and wish to see them successful by working closely with us,” she said.
When asked whether Sarawak will fight for 20 per cent royalty from Petronas, Hasidah said the fight for Sarawak rights will be continued.
“I cannot say about them now but we will continue the fight for Sarawak rights,” she concluded.
Sarawak United People Party (SUPP) Secretary General, Datuk Sebastian Ting who attended the proceedings and did live updates using his smartphone from the gallery revealed that his phone was overwhelmed by messages.
Sebastian congratulated the Sarawak legal team from the Sarawak State Attorney-General’s Chambers comprising State Attorney-General (SAG) Datuk Talat Mahmood Abdul Rashid, State Legal Counsel Dato Sri JC Fong, deputy SAG Saferi Ali, and legal officer Mohd Adzrul Azlan, for doing a great job.
The victory, he added, arrived from an excellent submission by Sarawak legal team to prove our case.
Sebastian said the decision proved Sarawak rights over the enforcement of laws in the State pertaining to the issue brought up by Petronas.
“This is a happy day for Sarawak and congratulations to Chief Minister of Sarawak and his legal team that has successfully prove our case,” he said.