Sabah’s 20% oil royalty request still stands, says former CM Salleh


KOTA KINABALU: The call for a 20% oil royalty for Sabah should not be forgotten in discussions on the state’s constitutional right to 40% net revenue return, says former chief minister Datuk Seri Salleh Said Keruak.

Salleh said the demand for higher oil royalty, once a unifying call among Sabahans, is more straightforward than the complex debate over the 40% revenue entitlement under the Federal Constitution.

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“While the current focus has shifted to the 40% net revenue return, the reality is that its implementation remains unclear and continues to be debated from various legal and technical standpoints,” he said in a statement on Friday (May 23).

In contrast, Salleh said the 20% oil royalty request requires no complicated legal interpretation, only mutual political will and understanding between the state and Putrajaya.

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He acknowledged recent efforts to involve Sabah in downstream oil and gas activities as a step in the right direction for industrial participation and local empowerment.

However, he cautioned that such economic involvement should not be mistaken for a substitute for the rightful claim to oil royalty.

“Royalty is not just about economic collaboration. It is about direct revenue from resource extraction. It is a matter of entitlement,” he said.

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Salleh also stressed that the original demand for 20% oil royalty is neither outdated nor irrelevant.

“As we explore the constitutional entitlement to 40% (net revenue return), we must not forget the original voice of the people. The call for oil royalty still stands as a just and rightful claim,” he added.

 

 

 

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