Nanta: Sarawak LGP distributors exempted from permit, license applications

Petros' red-coloured tong gas.

KUCHING, June 1: Sarawak liquefied petroleum gas (LPG) wholesalers and retailers no longer need to apply for permit and license from the Federal government through Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) to distribute LGP in the State starting June 1 onwards.

KPDNHEP Minister Datuk Seri Alexander Nanta Linggi announced in a statement yesterday that the Federal government has granted exemption to LPG distributors in Sarawak from applying for permit and licensing to distribute LGP in the State from June 1.

The granting of this exemption, he emphasised, was in line with the understanding that Sarawak should regulate the governance of its downstream gas industry as well as to increase the ease of doing business.


“The decision was made in a meeting of the Special Council on Malaysia Agreement 1963 (MA63) on April 13, 2021 which was chaired by the Prime Minister (Tan Sri Muhyiddin Yassin) and Sarawak Chief Minister (Datuk Patinggi Abang Johari Tun Openg), Sabah Chief Minister (Datuk Seri Hajiji Noor) as well as federal ministers.

“In the meeting, it has been decided and agreed that exemption be given to Distribution of Gas Ordinance (DGO) license holders issued by the Sarawak government from the need to obtain permission under Petroleum Development Act (PDA) 1974 and license under the Control of Supplies Act (CSA) 1961,” he explained.

As of yesterday, Nanta said that the regulatory authority for both permit and license was under the KPDNHEP.

“With the exemption, wholesalers and retailers of LPG in Sarawak only needed DGO license from the Ministry of Utilities Sarawak and no longer required to apply for PDA permit and CSA license from KPDNHEP.

“It is hoped that the exemption will enhance the effectiveness of operation and LPG distribution activities in Sarawak,” he added.

Nanta, who is also Kapit MP, reiterated that KPDNHEP is always committed and ready to collaborate with the Sarawak and Sabah government in efforts to accelerate domestic trade activities so as to boost the economy in both the Borneo States and particularly Malaysia as a whole. — DayakDaily