PAS: Kelantan govt wants RM1bil oil royalty payment from Putrajaya

  • Nation
  • Wednesday, 16 Oct 2019

PAS deputy president Datuk Tuan Ibrahim Tuan Man

KUALA LUMPUR: Kelantan is demanding an oil royalty payment of some RM1bil from the Federal Government instead of what was recently given, says PAS deputy president Datuk Tuan Ibrahim Tuan Man.

"PAS lawmakers are disappointed at the recent statement on the issue and demand the Finance Minister make full payment on the oil royalty which averages about RM1bil a year," he said at a press conference in Parliament lobby on Wednesday (Oct 16).

The Kubang Kerian MP said there was no point categorising Kelantan as a poor state when the oil royalty payment which could be used to alleviate poverty is blocked.

He added that PAS also wanted Finance Minister Lim Guan Eng to divulge in Parliament the amount of oil extracted by Petroliam Nasional Bhd (Petronas) from oil fields in Kelantan.

Pengkalan Chepa MP Ahmad Marzuki Shaary said there has been no official answer as to how much oil was extracted from Kelantan.

However, he said that the amount of oil royalty payable to Kelantan should be about RM1bil annually based on calculations provided by some quarters.

Meanwhile, PAS secretary-general Datuk Takiyuddin Hassan said the recent issue over the oil royalty payment to Kelantan could lead to another a legal challenge.

In 2010, the Kelantan state government filed a suit naming Petronas as the defendant, alleging that the company had violated the royalty payment contract over petroleum revenue.

However, the suit was withdrawn in May this year after an out-of-court settlement was reached between the parties.

On Tuesday (Oct 15), Kelantan Mentri Besar Datuk Ahmad Yakob denied Lim's statement, saying the recent RM15.7mil received by the state government was goodwill money and not oil royalty payment.

In response to this, Lim defended his statement by saying that he did not want to argue over the terminology used with regard to the payments.

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Kelantan , oil royalties , RM1bil


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