KUCHING: Chief Minister Datuk Patinggi Abang Johari Tun Openg said Sarawak would be able to earn more revenue from its oil and gas resources following a recent signing of the Commercial Settlement Agreement (CSA) with Petronas.
He said the CSA would pave the way for the state to participate more in the upstream and downstream activities ofSarawak’s oil and gas resources.
The recent signing of the CSA with Petronas will allow the state to derive more revenue from our oil and gas resources besides the mere five percent royalty that Sarawak used to receive, on average RM700 to RM800 million a year.
“The petroleum sales tax at five percent, of which Sarawak’s power to impose is recognised by the court, has given a new stream of revenue of about RM3.2 billion every year.
“The CSA also paved the way for Sarawak to participate actively in the upstream and downstream activities of our oil and gas resources through Petros, the State’s oil and gas company.
“Sarawak is the only state where the onshore oil mining will be revived with two leases already granted to Petros,” he said in his Christmas message today.
Abang Johari said despite criticism from certain quarters, the CSA would give a better deal for Sarawak and no less important, would reaffirm Sarawak’s right over its oil and gas resources and the validity of the Oil Mining Ordinance 1958 (OMO).
On another point, he also assured that the state government is also doing its best to help Sarawakians in need and affected by the economic slump caused by the Covid-19 pandemic.
Abang Johari said the state government had introduced the Bantuan Khas Sarawakku Sayang (BKSS) special aid 1.0, 2.0 and 3.0 involving a total fund allocation of RM2.6 billion.
“This is the second biggest total value of assistance from any state government besides the assistance from the federal government.
“The state government is still paying some categories of the assistance until the end of the year to cushion the impact on the affected groups,” he said.
Abang Johari also noted that Christmas celebrations this year would be affected by the Covid-19 pandemic restrictions and standard operating procedures (SOP) imposed to curb the spread of the disease.
He said as with other religious celebrations amidst the pandemic, Christians may not be able to have full services in churches, organise Christmas parades, or visit friends and relatives on Christmas day due to the need to restrict their movement to contain the spread of Covid-19 infection.
“It is the time of the year again that Christians look forward to with full of hope. But as with other celebrations before this, it is a bit sad that our Christian friends would not be able to celebrate Christmas as they used to due to restrictions during this time of Covid-19.
“This time around you may not be able to have full services in churches, organise Christmas parades or visit friends and relatives on Christmas day all because of the need to restrict our movement to contain the spread of Covid-19 infection,” he said.
Abang Johari also acknowledged the efforts by the State Disaster Management Committee (SDMC), the dedication of frontline personnel and the cooperation of Sarawakians which had allowed the state to be able to control the infection to single digit.
“Our social and religious institutions, particularly churches, have been very cooperative by observing the SOPs and I sincerely hope that we will continue to abide by the SOPs so that we stop the chain of infection,” he said.
He also hoped that those from outside Sarawak and not able to come home and enter the state for Christmas would understand the need for the state government to be strict with the SOP.
“With travel restrictions imposed, I am aware that some who are staying outside Sarawak now, may not be able to return to their hometowns, kampongs, longhouses or villages for fear this will cause another spike in infections.
“On behalf of the state Government, I sincerely hope that all who are affected understand the need for us to be strict with the SOPs.
“Covid-19 has caused extensive damages to our economy, especially the tourism industry. Many businesses, big and small, have to struggle to stay afloat, and workers who are laid off have to find other ways to put food on the table for their families,” said Abang Johari.