What’s in it for Sarawak?

1 week ago 8
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In Sarawak, the idea of a formula regarding the entitlement to federal revenue derived from the state has been bandied about by the politicians linked to the state government of the day, though it is unclear what that formula is all about.

SOME of my readers have gone overboard!

Can you imagine what they want to know from me, of all people?

It’s about the total amount of the Special Grants received so far by Sarawak from the federal government of Malaysia.

They point to Article 112c and Article 112D of the Federal Constitution in terms of Sarawak’s entitlement to those Special Grants and, by implication, to any grants remaining unpaid to the state for the past 40-plus years.

Obviously, they are being influenced by Sabah’s success in getting the court to declare that state’s entitlement to 40 per cent of the federal revenue derived from the state.

‘The formula’

In Sarawak, the idea of a formula has been bandied about by the politicians linked to the state government of the day.

Yes, I have heard about this formula from sources who prefer to remain anonymous, but I do not know any of the important details.

I am as curious as anybody else in terms of whether or not there is a connection between that formula and the Special Grants specified in the Tenth Schedule in Part lV of the Federal Constitution.

In the euphoria of Sabah’s success in getting the court of law to confirm the state’s entitlement to 40 per cent of the federal revenue (net), Sarawakians are under the impression that they are automatically entitled to a percentage of the federal revenue derived from their state, dreaming of arrears which the federal government has not paid to Sarawak.

That is why they have been seeking my help.

I am just as ignorant as they are in terms of any of the state’s share of the revenue retained by the federal government.

It is not as clearly spelt out as it is with reference to Sabah’s entitlement to its share in the federal revenue.

What’s the formula about?

It would be good if the readers could suggest to their representatives in the State Legislative Assembly (DUN) to find out from the Sarawak government about what that formula is good for.

Ask their elected representatives about the Special Grants to Sarawak – specifically asking in Parliament – whether or not there is any problem with the dispensing of those grants to the state.

See what the answer would be.

The answers to the questions from the legislators associated with both governments carry more credibility and weight than do my views as a newspaper columnist.

Great is the influence of the judgment of the High Court on Sabah’s entitlement to 40 per cent of the revenue collected by the federal government from the state that in Sarawak, people are talking about being unfairly treated.

That High Court had interpreted the provisions of the relevant Federal Constitution and ruled that Sabah was entitled to 40 per cent of the net federal revenue derived from that state.

For 48 years!

‘Not as lucky as Sabah’

When in Kota Kinabalu two years ago, I was also asking a couple of friends from the Sabah Law Society: “What’s in it for Sarawak?”

I was told that Sarawak would not be entitled to any share of the federal revenue derived from Sarawak, but: “Your state is certainly entitled to the Special Grants, although there is no mention of the ‘two-fifths’ as in the case of Sabah in terms of Part IV of the Tenth Schedule of the constitution.”

For Sabah, the entitlement is clearly spelt out in black and white.

“In the case of Sabah, a grant of an amount equal in each year to two-fifths of the amount by which the net revenue derived by the Federation from Sabah exceeds the net revenue which would have been so derived in the year 1963 if – (a) the Malaysia Act had been in operation in that year as in the year 1964; and (b) the net revenue for the year 1963 were calculated without regard to any alteration of any tax or fee made on or after Malaysia Day.”

Sarawakians have not given up hope.

I am told that the Sarawak government is still working on a certain formula.

As vague as that – we are curious about this formula.

We would be grateful if this could be clarified as soon as possible, at the latest before the next state election.

Many of us ordinary folks are unsure what that formula is all about.

‘Million-dollar question’

One cannot help being curious: what if the amount allocated under the Special Grants to Sarawak should be deemed to be, or converted to the financial allocation under the annual federal budget for Sarawak?

We need someone in authority to clarify this point.

What about our MPs? These are two separate sources of funds; they cannot be lumped together (the annual budgetary allocation and the fixed amount of Special Grants under the Constitution after the necessary reviews).

We are looking forward to hearing some good news.

Sarawak may be lucky to get a fat packet of Christmas present or Hari Raya gift.

Eh, gift? Isn’t it an entitlement?

There must be records kept by both the federal government and the state government showing the total amount of revenue that has been derived from Sarawak since the formation of Malaysia.

From these records, information may be extracted for the purpose of calculating what Sarawak should get by way of a percentage of the federal revenue, minus the amount remitted to or retained by Sarawak.

For the time being, we will have to trust the state government to request the federal government to share the necessary information with the state.

The request of the ordinary Sarawakians is simple – tell us about the outcome of any attempt by the state government to enquire about the Special Grants after the necessary reviews.

Asserting the state’s rights to the Special Grants as enshrined in the Constitution is the job of the state government.

All the rest of us can do is to give that government time to do its work without undue interference from anybody else.

Let’s keep our fingers crossed.

Sarawak may not get as much as Sabah will get, assuming that the federal government will soon release the money due to that state in compliance with the ruling of the High Court.

We would be happy for the Sabahans once their state has received the money.

To my readers, Merry Christmas and Happy New Year!

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