Port handover: Restoration of state rights by Putrajaya

KUCHING: The decision to hand over Bintulu Port to Sarawak is seen as the federal government restoring the state’s rights as enshrined in the Malaysia Agreement 1963 (MA63).

In stating this, Universiti Malaysia Sabah (UMS) political analyst Dr. Lee Kuok Tiung pointed out that it is also part of the devolution and granting of autonomy by Putrajaya to the state.

“Although it is expected to be handed over to Sarawak by next June, there are some things that need attention.

“It includes the type of tax and tax rate imposed on operations at the port,” he said, pointing out that the port is important for the operation of liquefied natural gas (LNG).

He added that the matter is important because Sarawak also has the right to recover a certain amount of income earned through the state.

“It is also clearly enshrined in Article 112C of the Federal Constitution –  special grants and assignments of revenue to States of Sabah and Sarawak.

“For Sabah, it is clearly stated in Article 112D that it is two-fifths or 40 per cent but, although the amount for Sarawak is not stated, it may be the same as 40 per cent, less or more,” he said.

He stated that what is certain is that Sarawak’s right which was overlooked before was finally granted.

“We also know that the matter has been demanded for a long time, especially under the Gabungan Parti Sarawak (GPS) government,” he said.

It was reported that Bintulu Port will be handed over to the Sarawak government in June this year.

Deputy Premier Datuk Amar Douglas Uggah and federal Minister of Transport Anthony Loke stated that the state government will create the Bintulu Port Board under the Port Board Ordinance 1961, to ensure the operation of the port will run smoothly once the state government takes over.

They said a Memorandum of Understanding (MoU) will be signed next month to realise the handing over of the port to the state government by the federal government.