KUCHING: Petroliam Nasional Berhad (Petronas) will not be given a new deadline after they failed to pay the five percent sales tax on petroleum products to Sarawak at the end of October. Sarawak Utilities Minister Datuk Seri Dr Stephen Rundi Utom (pic) said this left the state government no choice but to take legal action against the national oil company.
“There will be no new deadline. A deadline is deadline. We cannot compromise anymore,” he stressed.
“As the Chief Minister Datuk Patinggi Abang Johari Tun Openg said, we do it not at our whims and fancies, but we do it (sue) according to the law,” he told reporters after the soft launching of the International Energy Week 2020 at the Land Custody and Development Authority Tower, The Isthmus, here yesterday. Dr Rundi said the timeframe had already gone beyond the deadline, and Petronas would be charged interest. “They (Petronas) can comply with the local law in Canada, Australia and anywhere they operate. Other companies such as Shell and Murphy Oil have already paid up.
“That is something they need to answer. Why can’t they comply with the state’s law?” he asked. However, Dr Rundi believed Petronas would pay the sales tax. “With due respect, we are Malaysians. They owe it and that money we received later on we need it for our infrastructure development. “Sarawak is in dire need to have such allocation to develop the state. We are not even on par with the other states in Malaya although we are the one who gave all these resources (oil and gas) since 1974.
“Yet the state only received five percent oil royalty and the federal government is unable to deliver the 20 percent oil royalty. “Enough is enough. We have the law, agreement has been made and nothing can change that law,” he said.
