RM1.5bil allocation does not reflect 40% entitlement, says Warisan


KOTA KINABALU: The federal government should disclose the formula used to calculate the RM1.5bil interim allocation to Sabah, as the amount does not appear to reflect the state’s constitutional entitlement to 40% of net revenue, says Parti Warisan

Warisan’s Likas assemblyman Tham Yun Fook said while Prime Minister Datuk Seri Anwar Ibrahim’s announcement to increase the special grant is welcomed, greater transparency was needed on how the amount was derived.

“Sabahans deserve to know the formula used in arriving at this amount. Federal development allocations cannot be conflated with Sabah’s constitutional right to 40% of its net revenue,” he said in a statement on Monday (June 1).

Tham said that based on revenue collected through income tax and Customs alone, the amount came to about RM1bil annually.

He added that a fair interim allocation should be closer to RM4bil.

While acknowledging that there were differing interpretations on how the entitlement should be calculated, Tham said the RM1.5bil announced was still significantly lower than 40% of the revenue collected through income tax and Customs alone.

“The people of Sabah are not asking for charity. What we seek is a right that has long been promised.

“Transparency is needed so Sabahans can judge whether the interim allocation truly reflects fairness and the federal government’s commitment to honouring the Malaysia Agreement 1963,” he said.

Meanwhile, Sabah PKR communications director Guntur Sangkar said the RM1.5bil allocation reflected the Madani government’s commitment to assisting the people of Sabah, compared with the record of previous administrations.

Guntur accused Warisan leaders of hypocrisy, saying that when the party ruled the state from 2018 to 2020, it only managed to increase the special grant from RM26.7mil to RM53.4mil in 2019.

“For nearly five decades, Sabah only received around RM26.7mil annually, even though the 40% revenue claim was often used as political capital by various parties,” he said in a statement.

He noted that when Warisan was in power, the rate only increased to about RM53.4mil in 2019.

“Even though they had direct ties with the federal government under Tun Dr Mahathir Mohamad at the time, the increase achieved was still very small compared with what has been implemented today.

“In fact, Warisan president Datuk Seri Mohd Shafie Apdal himself previously defended the decision to accept RM53.4mil, citing the Federal Government’s financial constraints and limited federal revenue at the time,” he added.

Guntur said it was only under Anwar’s administration that the interim payment to Sabah had risen consistently, reaching RM1.5bil.

“If previously the people of Sabah were asked to understand the Federal Government’s ‘financial constraints’, why does Warisan now refuse to be fair towards the efforts and commitment of the Madani government, which has successfully raised the interim payment to RM1.5bil?” he asked.

He said the allocation was part of ongoing negotiations on Sabah’s special grant, although it was not yet the final resolution of the 40% net revenue claim.

Guntur also listed the chronology of increases: RM26.7mil annually before 2019; RM53.4mil in 2019 during Warisan’s administration; RM125.6mil in 2022; RM300mil in 2023; RM300mil in 2024; RM600mil in 2025; and RM600mil in 2026, along with the announced interim increase to RM1.5bil.

“Warisan must stop acting as if they are Sabah’s only champions when their own record shows otherwise,” he added.

 

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