Pahang wants RM17.1bil compensation from govt

  • Nation
  • Thursday, 18 Apr 2019

KUANTAN: The Pahang government is planning to demand RM17.1bil in compensation from the Federal Government for the revenue it is losing out on.

Mentri Besar Datuk Seri Wan Rosdy Wan Ismail said the compensation was an opportunity cost for the one million hectares of forest and wildlife reserves in the state that were being used as water catchment areas.

“This is also for the Klau Dam where the state government is losing out on revenue for logging, mineral, palm oil and quit rent for an area of about 33,000ha.

“These are opportunity costs the state government has to let go for the sake of the people outside Pahang,” Wan Rosdy said during the state assembly sitting here yesterday.

He said the state government would request that the sum be deducted from the RM3.17bil it owed the government.

“In other words, the Federal Govern­ment owes the state government and we have yet to charge the arrears. If we count arrears and interests, perhaps the amount is higher than that,” he said.

To a question from Sim Chon Siang (PH-Teruntum) on how the state government would settle the RM432.7mil debt it owed Tenaga Nasional Berhad, Wan Rosdy said they would pay in cash when the government returned the RM17.1bil.

Wan Rosdy had earlier said that RM2.1bil out of the RM3.17bil debt were water supply loans.

He said the state government intended to restructure the amount but it was subjected to terms and negotiations with the government.

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