Sarawak will take Petronas to court for refusal to pay 5% Sales Tax

Abang Johari (third left) at the Sarawak Kayan Community and Association Anniversary Dinner on Saturday evening (Nov 2, 2019).

By Karen Bong

MIRI, Nov 3: The Sarawak government will take Petronas to court if the oil giant company refuses to pay the five per cent Sales Tax on petroleum and petroleum products following the State’s enforcement of Oil Mining Ordinance 1958.

Chief Minister Datuk Patinggi Abang Johari Tun Openg however, explained for the legal action to take its cause, Sarawak has to follow a proper proceeding.

“If Petronas doesn’t want to pay the (five per cent) Sales Tax, we have our law to summon Petronas. I am firm on that but we have to follow the process. That is the way we have to move forward.”

“We have no problem as long as our intention is true to help. Throughout my career, we know our rights and how to develop our country based on the knowledge we have gained along the way, so when we negotiate, we do it properly,” said Abang Johari when officiating the Sarawak Kayan Community and Association Anniversary Dinner held here Saturday evening.


Touching on the Sarawak Budget 2020, Abang Johari promised that it will be better than 2019 Budget.

Abang Johari speaking at the Sarawak Kayan Community and Association Anniversary Dinner on Saturday evening (Nov 2, 2019).

“Last budget, it was the first to exceed RM10 billion because we want to develop our state and coming Monday I will be tabling another budget for Sarawak which will be better including allocation for mothers.

“Last year, I approved the endowment fund of RM1,000 for Sarawakian babies irrespective of race or religion. But there were mothers who highlighted their plights during the three months maternity as unable to go work, I will help these mothers.

“As for the amount, wait on Monday (Nov 4 which is first day of State Legislative Assembly Sitting). So our future is bright with our revenue re-engineering plan which will be given back to help the people,” he said.

Abang Johari pointed out that what has been important to the people is that, there are policies to better the livelihood of the people and a will to develop Sarawak.

Using the “lidi” (the rachis of a pinnae of a coconut leaf) concept on unity, Abang Johari said a “lidi” is easily broken but it would be difficult to break when it is a bunch of “lidi”.— DayakDaily