Abg Jo has secret formula for Sarawak to earn revenue from Petronas

By Nigel Edgar

KUCHING, Sept 28: Chief Minister Datuk Patinggi Abang Johari Tun Openg has submitted a formula to the federal government whereby Sarawak would be able to earn revenue from working together with Petronas.

He revealed that although Sarawak would be earning huge revenue based on the formula, it would not jeopardise the national oil company as an international company.

“We know Petronas in an international company, but it doesn’t mean that you (Petronas) deprive us of our revenue,” he said.

“But there is a formula. While maintaining Petronas as an international company, Sarawak can take part (in the oil and gas industry). I have submitted to them (federal government),” he added.

Abang Johari pointed out that the proposal was entirely a new model which he believed would not jeopardise Petronas as an international company.

“We are the one who produces the raw materials for Petronas in terms of gas as well as crude. So I have my own formula which is commercial in nature. Up to them now,” he told reporters after officiating at the state level Women’s Day 2019 celebration at the Borneo Convention Centre Kuching (BCCK) here this morning.

Asked on the details of the formula, he said he could not reveal it as the state and federal governments were still in the midst of negotiation.

“I cannot disclose at the moment because we are (still) negotiating. But I am firm on our formula because it doesn’t jeopardise Petronas, but many perhaps the federal government may lose some revenue,” he explained.

“But of course Sarawak government also want revenue. It must be fair formula,” he stressed.

Abang Johari was responding to reporters asking him to comment on a remark by Prime Minister Tun Dr Mahathir Mohamad in New York yesterday (Sept 27) that giving 20 per cent oil royalty to Sarawak was “unworkable”.

“We did not ask for the 20 per cent royalty. Pakatan Harapan (PH) promised it,” he added.

When asked why it was adopted in the State Legislative Assembly (DUN) Sitting in 2014, he said: “Yes because they (federal government) promised, so we said OK, if that is your promise, we definitely want 20 per cent (oil royalty).”

He however added that the story is different now.— DayakDaily