Azmin reiterates federal govt’s commitment to 20% oil royalties under MA63

(Malay Journal) – The federal government is committed and will fulfil terms of the Malaysia Agreement 1963 and give back 20% royalty to oil-producing states, says Datuk Seri Azmin Ali.

The Economic Affairs Minister said a special cabinet committee has been set up to oversee this and they have six months to come up with recommendations to implement the 20% royalty.

“But of course, the state governments involved (Sabah, Sarawak, Kelantan and Terrengganu) need to agree (with the recommendations) before we can proceed,” he said after meeting with PKR leaders in Sabah on Saturday (Sept 15).

He said the federal government wants to increase the existing 5% royalty received by these states to 20%.

Meanwhile, Sabah Chief Minister Datuk Seri Mohd Shafie Apdal said he discussed the matter with Azmin on Saturday.

“We still have some matters to be ironed out but I am confident that we will get what is ours soon,” he said.

Shafie said that the state government would continue to push for what is owed to the state.

He also added that the Sabah wanted some devolution of federal-level power such as the implementation of certain projects, which he said the state itself could handle.

He said Sabah has the resources and any issues could be overcome.

“Our target group is the same, which is the people of Sabah.

Shafie said all we needed was funding from the government.

“We want to help the people and this is the ultimate goal,” he said.