Eyes on Sabah’s 40% revenue share talks

He said the process involves several key meetings between the federal and state governments, as well as working groups tasked with calculating the revenue-sharing formula and the amounts involved.

Mustapha said at least two major meetings have been held so far, while several sub-committees have also been set up to work out the technical refinements.

“As the Sabah and Sarawak affairs minister, I am closely following the matter … (I need) to ensure that this issue is resolved,” he said in an interview with FMT.

“The discussions focus on two main issues — the actual amount that Sabah is currently entitled to, as well as calculations for the earlier period referred to as the ‘lost years’.

“The decisions we make now are important for our future,” said Mustapha, who is also the Sepanggar MP.

On Oct 17 last year, the Kota Kinabalu High Court ruled that the federal government had acted unlawfully by failing to honour Sabah’s 40% share of net federal revenue derived from the state for nearly five decades.

The court directed the federal government to conduct a review with Sabah to determine the qantum of the state’s entitlement for each financial year from 1974 to 2021.

Justice Celestina Stuel Galid also ruled that the review must commence within 90 days of the delivery of the judgement and be completed within 180 days or by April 15.

There have been calls for Putrajaya to start paying a portion of the funds while negotiations to determine the payment formula and the actual amount owed continues.

This comes on the heels of a Facebook post by Tuaran MP Wilfred Madius Tangau of a federal government application seeking a stay of the High Court ruling.