By DayakDaily Team
KUCHING, July 16: Parti Bumi Kenyalang (PBK) president Voon Lee Shan has questioned why the Sarawak government must still dip into its own coffers to build major infrastructure projects, such as the Batang Lupar Bridge when billions of ringgit generated from the region through taxes, petroleum, gas, and other economic activities flow to the federal government each year.
While welcoming the bridge project as an important development that will improve connectivity and spur economic growth, Voon however emphasised that the current fiscal arrangement raises fundamental questions about financial fairness for Sarawakians.
“Why is the Sarawak government using Sarawak’s own money to finance a bridge that many Sarawakians believe should ordinarily be funded by the federal government?” he said in a statement on Wednesday (July 15).
He argued that Sarawak’s financial contribution to the nation raised questions over whether Sarawak was being asked to bear infrastructure costs twice with first through the wealth generated and contributed to the federal government, and again through its own State funds.
“Every year, billions of ringgit generated from Sarawak through taxes, petroleum, gas and other economic activities flow to the federal government.
“If so much wealth leaves Sarawak, why must Sarawak still dip into its own coffers to build major infrastructure? Is this not asking Sarawakians to pay twice?” he asked.
Voon said that while federal funding decisions should consider national priorities, the federal government should also shoulder a fair share of responsibility for major public infrastructure projects in Sarawak.
He also turned his attention to the State’s ruling coalition, asking whether Gabungan Parti Sarawak (GPS) has fought hard enough to secure a greater return of Sarawak-generated revenues.
“If Sarawak must increasingly finance projects that many believe should receive federal funding, what does that say about Sarawak’s bargaining position?” he said.
Voon said PBK believed Sarawakians deserved greater transparency and accountability over the State’s fiscal arrangements, adding that Sarawak should not continue carrying the burden of funding major projects while its resources contributed significantly to national revenue.
For context, the Batang Lupar bridge projects, costing a combined RM1.07 billion, are among Sarawak’s flagship infrastructure initiatives under the Sarawak Coastal Road Network.
The RM848.7 million Batang Lupar 1 Bridge links Sebuyau and Triso (Maludam) across the Batang Lupar River, replacing a ferry crossing and improving access for communities, businesses and tourists.
The RM223.63 million Batang Lupar 2 Bridge between Sri Aman and Betong includes an 870m cable-stayed bridge and connecting roads, strengthening links between the two divisions.
The projects became a point of contention after the 2018 change of federal government, when several previously approved Sarawak bridge projects were reviewed and deferred amid national fiscal concerns.
Sarawak leaders argued the decisions delayed critical infrastructure development and forced the State to seek alternative financing arrangements, while the federal government maintained project reviews were based on broader national priorities and fiscal considerations.
More recently, claims emerged that allocations originally intended for Sarawak bridge projects had been diverted to the Sarawak-Sabah Link Road (SSLR). However, Works Minister Dato Sri Alexander Nanta Linggi rejected the allegation, saying SSLR was a separate strategic project and did not replace or absorb funding meant for the coastal bridge projects.
The debate comes amid wider discussions on Sarawak’s fiscal contribution to the Federation.
During the Parliament sitting on June 30, Prime Minister Datuk Seri Anwar Ibrahim said almost all states, including Sarawak and Sabah, received higher federal allocations compared with the tax revenue they contributed.
The Ministry of Finance reported that Sarawak was the fourth-largest contributor to Malaysia’s tax revenue, generating an average of RM10 billion annually between 2023 and 2025.
Sarawak’s contribution ranked behind Selangor, which contributed RM43.6 billion, Johor with RM14 billion and Penang with RM10.7 billion during the same period.
However, the ministry also stated that Sarawak received higher federal spending than the taxes it generated, with federal expenditure averaging RM14 billion compared with RM10 billion in tax revenue collected.
Anwar has maintained that federal funding distribution is determined by development needs rather than solely by the amount of revenue generated by each state.
Under the Madani government, federal allocations have increased by an average of 37 per cent in 2026 compared with 2022, covering operating expenditure, development expenditure and state grants.
The ministry also said Sarawak is expected to receive RM15.1 billion in federal allocations in 2026, up 48 per cent from RM10.2 billion in expenditure in 2022.
Meanwhile, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg has consistently maintained that Sarawak cannot depend entirely on federal funding for development, particularly given the State’s vast geographical size and extensive infrastructure needs. He has said Sarawak must strengthen its own financial position and build greater capacity to fund critical projects to ensure continued progress.
For PBK, however, the Batang Lupar Bridge projects remain a symbol of a larger question over whether Sarawak is receiving a fair return from the wealth it contributes to the Federation. — DayakDaily
