PUTRAJAYA: All government projects in East Malaysia below the budget of RM50mil will now be decided by the state governments of Sabah and Sarawak themselves and need not go through the Federal Government, says Datuk Seri Anwar Ibrahim.
The Prime Minister said this in a first step to show that the government was serious in committing to the Malaysian Agreement 1963 (MA63).
Anwar said the decision by the Cabinet takes effect immediately, adding that many of the projects in Sabah and Sarawak had been delayed due to bureaucracy in coming to a decision from the Federal Government.
The Prime Minister said this at a media conference held after chairing the Cabinet meeting here Wednesday (Jan 4).
"Last year, I had stated that I wanted to expedite the matters which had been delayed in accordance with the MA63.
"I had entrusted Deputy Prime Minister Datuk Seri Fadillah Yusof and Minister in the Prime Minister’s Department (Sabah, Sarawak Affairs and Special Functions) Datuk Armizan Mohd Ali to work on this to revive the spirit of the agreement which has long been not fulfilled.
"We have decided to expedite the decisions on the projects in Sabah and Sarawak which have been delayed.
"But due to the fact that the decisions have to be made in Putrajaya (by the Federal Government), the Finance Ministry has agreed that any projects under RM50mil will now be completely handed over to Sabah and Sarawak to decide on their implementations, in accordance with all the current rulings. This is an immediate decision.
"On regulatory powers on the matters of oil and gas, the matter has been decided on Sarawak and as for Sabah, it has been approved - as I had stated in my earlier announcements.
"And early next month, the state assembly of Sabah will finalise this after it is endorsed by the King," said Anwar.
On Dec 21 last year, Anwar had stated that the Cabinet agreed to transfer the regulatory power over Sabah’s gas supply from Putrajaya through Petronas to the state government.
Anwar further stated that he would be chairing the special committee on MA63 before the end of January, likely in Kuching.
"The meeting will be attended by the Sarawak Premier Tan Sri Abang Johari Tun Openg and Sabah Chief Minister Datuk Seri Hajiji Noor," said Anwar.
He said that during the meeting, they would finalise the special allocations for Sabah and Sarawak under the 112(D) of the MA63, which stated that the federal government must provide a suitable special allocation to the two states.
"It was RM16mil earlier and then RM25 mil. This allocation was supposed to have been reviewed every five years but that did not happen.
"Therefore, we have to ensure that there is a logical increase in the allocation - in accordance with MA63.
"We must revive this allocation again and we will finalise this as soon as possible when I meet the heads of the states," said Anwar.
He also stated that as Sarawak seems to have reaped development in the Pan Borneo project but Sabah is lagging behind in the same project, the Cabinet has decided on further allocations for Sabah.
"With regards to Pan Borneo - there has been much development on this in Sarawak but there has been much delay in the parts of Sabah.
"We have agreed to add allocations to Sabah and the Works Minister will give further details on this.
"To ensure that the implementation of MA63 is more effective, the working committee will continue under the chairmanship of Fadillah," said Anwar.
He said that the Cabinet meeting on Wednesday (Jan 4) discussed at length on the need for political will of the government to commit to the MA63, which was long overdue.
The MA63 is a legal document that detailed the terms for the formation of the Federation of Malaysia.
It was signed in London on July 9, 1963, between Great Britain, the Federation of Malaya, Singapore, North Borneo (Sabah) and Sarawak, when the two latter states agreed to be part of Malaysia. Hamzah said on Wednesday (Jan 4) during a press conference after the monthly Concorde Club meeting with senior editors.
"They should work with the Opposition, so any decisions they want to make are meant to be long-term instead of populist policies.
"This is very important for the prime minister to understand."
On Anwar’s performance as prime minister, Hamzah said it would not be fair to comment yet as the Tambun MP has been in power for less than two months.
"Allow him to do (rule). He used to be a good deputy prime minister and finance minister. That was then (in the 1990s).
"Now it’s a different world. The world is facing a bigger economic problem. Don’t disturb him on political issues," he said.
"Just let him sit down and work on economic matters, stabilising the economy. People will be very happy, and he can last even longer. But if he cannot do that, it will create political instability in this country."
