KUCHING: The state will exploit its natural resources, oil and gas which is constitutionally under the State List as per Ninth Schedule of the Federal Constitution.
This was announced by Chief Minister, Datuk Patinggi (Dr) Abang Johari Tun Openg during the launching ceremony of Petroleum Sarawak Berhad (PETROS) at Pullman Hotel here last night.
“The Prime Minister has agreed to return to the state, the power that has been inadvertently eroded over the years.
“Indeed, the formation of PETROS and the exercising of the constitutional rights under item 2(c) of the State List and 8(j) of the Federal List as provided in the Ninth Schedule of the Federal Constitution is the outcome of the discussion on the devolution of power between the state and federal government,” he said.
He added that the launching of PETROS was a clear testimony that substantial progress has been achieved in the ongoing discussion on the devolution of power.
“With the continued support of the people for Barisan Nasional (BN), more progress will be made so as to meet the aspirations of Sarawakians that the state attains the level of development of the more developed states in Peninsular Malaysia.
“We will do this by having more revenues from our oil, gas, and other mineral resources to fund the state government’s development agenda and the initiatives launched by me for a digital economy for Sarawak,” he said.
With Saau Kakok as the Chief Executive Officer (CEO) of PETROS, Abang Johari expressed his confidence that Saau would lead PETROS towards greater heights while adding value to the careers of Sarawakians.
“Sarawakians indeed have a good pool of talents with the experience and expertise in the industry and their involvement will be further enhanced with the participation in contracts and supply of services offered by PETROS.
“The state government will issue guidelines to PETROS to ensure greater and more meaningful participation by Sarawakians and Sarawak-based companies in this sector.
“The state government would like to see PETROS work alongside PETRONAS both in the upstream and downstream sectors of the oil and gas industry.
“Both can contribute significantly towards the advancement of the oil and gas industry in Malaysia and the economic progress and prosperity of our nation,” he said.
He further added that the State Cabinet has approved a Bill to amend the Oil Mining Ordinance to update its provisions and to provide better enforcement thereof which would be tabled at the next sitting of the State Legislative Assembly.
“The State Legislative Assembly, in the exercise of its constitutional powers, has already passed the Gas Distribution Ordinance 2016 and will be brought into force on July 1 this year.
“Therefore, by July this year, the State will assume full regulatory authority over the upstream and downstream aspects of the oil and gas industry in Sarawak.
“All persons and companies involved in the oil and gas industries in Sarawak, must henceforth, have the necessary licences, permits, leases and approvals required under either the Oil Mining Ordinance or the Gas Distribution Ordinance.
“In other words, they are required to regularise their operations and activities to comply with all state laws including those relating to the use and occupation of land,” he said.
Meanwhile, Chairman of PETROS, Tan Sri Datuk Amar (Dr) Hamid Bugo had hoped that industry players would not regard them as a disruptive competitor but more as facilitators and collaborators.
“We are a government-linked entity that wants and sees value in working together.
“In my humble opinion, PETROS is the best thing to happen in Sarawak.
“The state needs a catalyst to achieve sustainable economic growth development that the increasing population requires.
“The oil and gas industry is one of the catalysts that we need to focus on and we are fortunate to have a leader that makes things happen,” he explained.
