Bintulu Port handover to Sarawak: Compensation talks still in progress ahead of year-end deadline

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By Karen Bong

KUCHING, Sept 20: The committee overseeing the transfer of Bintulu Port to Sarawak is still finalising the amount of compensation to be paid to the federal government.

Deputy Premier Datuk Amar Douglas Uggah Embas pointed out that the joint committee, comprising representatives from both the Federal and Sarawak governments, is the final phase of negotiations, with one remaining issue to be resolved.

“We are working towards resolving the outstanding issue. Our committee is engaging actively with the Malaysia Ministry of Transport (MOT) to finalise the matter,” he told reporters after visiting the Unit for Other Religions (Unifor) Complex at Jalan Ong Tiang Swee today.

Uggah, who is also Minister of Infrastructure and Port Development (MIPD) Sarawak, however, kept mum about the details of the unresolved issue to avoid speculation.

Instead, he expressed optimism that the transfer of the port to Sarawak’s control is on track for completion by the end of this year, in accordance with the memorandum of understanding (MoU) signed between the federal and Sarawak governments.

“Once that issue is settled, we anticipate the full transfer of Bintulu Port to Sarawak,” he said.

The move to take back Bintulu Port was initially raised in September 2019 with a study on Sarawak’s rights under the Federal Constitution led by then MIPD Minister, the late Tan Sri Dr James Jemut Masing, before the Covid-19 pandemic hit.

In January 2023, Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg officially announced Sarawak’s intent to regain control of the port. The plan aligns with Sarawak’s broader strategy to optimise regional ports under a Central Port Authority governed by Sarawak law.

Sarawak argued that Bintulu Port belongs to the State, as the Port Authorities Ordinance 1961 was never repealed.

In 1978, Parliament passed the Declaration of an Area in the Bintulu District as a Federal Port Act (Act 217), but Sarawak argued that this was done without the required consent of the State Legislature under Article 76(1)(c) of the Federal Constitution. Despite the enactment of Act 217, Sarawak never relinquished its rights over the port.

A comprehensive report and proposal for the transfer of Bintulu Port were completed in August 2023 and submitted to the Malaysia Agreement 1963 (MA63) technical committee. The federal government has, in principle, agreed to the transfer in July 2023.

In March 2024, the MoU between MOT and MIPD was formalised in Putrajaya, establishing three committees—Special, Working, and Technical—to ensure the port’s status change is completed by December 2024.

On July 17, 2024, the Dewan Rakyat passed a Bill to repeal the Bintulu Port Authority Act 1981, transferring the rights, duties, and obligations of Bintulu Port Authority to the Sarawak government, marking a significant policy shift towards making Bintulu Port a Sarawak entity. — DayakDaily

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