Yes it’s true that the Chairman of Sarawak Pakatan Harapan, Chong Chieng Jen handed the offer to State Government on 26 April 2018, two weeks before the 14th General Election (GE14) Polling Day.
The offer stated that Sarawak PH would deliver two important promises to the State government if PH took over the Federal government, i.e. 20 per cent royalty and 50 per cent of all tax revenues collected from the State.
If the State government accepts this deal from Sarawak PH according to Chong, the State government must take up the responsibility and financial burden on the administration of all matters relating to Health and Education.
I don’t think Chong has a clue of what he is offering. It is absolutely absurd.
Why did the State government refuse to entertain Sarawak PH’s so called New Deal Agreement?
Firstly, what is the locus standi of Chong or Sarawak PH? He is dealing with a legitimate elected State government of the day.
Chong and Sarawak PH have no legal standing to commit an obligation for and on behalf of the Federal government at this particular moment.
Chong should be aware that Health and Education are the obligation of the Federal government as stipulated in item 13 and 14 under the 9th Schedule in the Federal List of the Federal Constitution.
Is Chong or Sarawak PH capable of amending the Federal Constitution?
Now that PH has taken over the Federal administration, I strongly suggest Chong to first fulfil his promise to table a motion in Parliament to amend the Petroleum Development Act (PDA) 1974 which he announced and reported by a local newspaper on 11 March 2018.
According to Chong, this ‘small’ amendment to Section 2(1) of PDA 1974 will enable Sarawak to reclaim the ownership of the State’s oil and gas discovered in the State.
Should Chong or any of Sarawak PH Members of Parliament are not capable of doing it, any of Gabungan Parti Sarawak (GPS) Members of Parliament should take up the initiative and make sure Sarawak PH MPs support the motion.
Secondly, let me remind Chong and Sarawak PH of their own manifesto or promises made before GE14 that there were seven promises made which were described as ‘7 Guarantees for Sarawak within 1 Year’.
No. 1 on their list of promises were:
“20% Royalties, 10% of the Revenues will be declared PETRO CASH DIVIDENDS FOR SWKIANS.”
Their offer were initially vague but now all Sarawakians were shocked by the announcement made by Prime Minister Tun Dr Mahathir Mohamad who said that royalties will be derived from Petronas’ profit.
What Sarawakians expect were the oil and gas 20 per cent royalty would be derived from production and not profit.
There is a huge financial implication between monies derived from production, revenues and profit.
Does Chong know that royalties derived from profit may be less than the figure quoted by himself, i.e. RM8 billion.
Therefore, every Sarawakian should be sceptical about any flowery promises made by Chong or Sarawak PH.
Especially when Dr Mahathir made an astonishing statement that the Manifesto is not a ‘holy book’ that has to be fulfilled.
Last but not least, Chong also announced about giving back Sarawakians 50 per cent of the tax collected from Sarawak.
When GST was still being implemented, at least RM40 billion was collected by the previous Federal government.
The present Finance Minister Lim Guan Eng had announced that we will be going back to SST whereby the percentage is higher than the 6 per cent GST and further announced that whilst revenue from SST will be less but at least the prices of goods will be cheaper.
Is that true and happening now?
Chong, who is the Federal Deputy Minister of KPDNKK should explain truthfully and not just talk about the price of Shuttlecocks.
If SST will result in less tax revenues, how much of the 50 per cent tax that Chong can return to Sarawak? All you know is that Sarawakians may get none because the Finance Minister has said that the Federal government need the money to pay ‘National Debt’. That is why the PH government embark on the donation drive.
Did Chong ever anticipated all that before making all sorts of dubious promises?
To date, Sarawak PH especially their MPs have made no significant or believable comments about the royalty as mentioned by the Prime Minister.
But instead beating around the bush making all sorts of silly political statements trying their best to confuse Sarawakians.
Abdullah Saidol
Assistant Minister
for Corporate Affairs
