KOTA KINABALU: Sabah’s controversial Nature Conservation Agreement (NCA) is on hold as the government is still working on refining various clauses, including those deemed "lopsided".
Malaysia’s permanent representative to the United Nations (UN) in Geneva, Datuk Nadzirah Osman said this in a letter to a UN working group, adding that since its endorsement in 2021, the NCA had yet to come into full effect.
"The Sabah government would like to inform the UN Human Rights Special Procedures group that the NCA has been under review in order to refine various clauses and to remove erroneous clauses deemed 'lopsided'.
“This will help resolve some of the issues raised with the implementation of the NCA and the subsequent concerns from civil society and government agencies alike,” the letter dated Feb 29, 2024, read.
The letter also said the state Attorney General's Chambers has been firm and consistent in holding back full implementation of the NCA, pending the resolution of several queries and awaiting the necessary amendments.
It explained that the NCA was for the interest of the Sabah government and mandated by its people to develop the state in the most appropriate manner.
The 10-page response letter mentioned how Sabah's land ordinance, customary laws and other relevant regulations had been in place throughout the NCA, and that the state had set aside certain hectares of lands for the purpose of conservation.
“As was clearly stated in the joint communication, the NCA, underwritten by Hoch Standard Pte Ltd (HSPL), was to commercialise the carbon and natural benefits within a defined area or designated area,” it said.
The UN working group was also told that the pretext of the agreement requires the proponent to commercialise "potential" carbon credits, failing which the Sabah government has the rights and obligation to terminate the agreement.
As to the natural capital and ecosystem benefits underwritten in the agreement, Sabah currently has no laws governing elements of natural capital for the provisioning of such resources, it said.
The laws have to be developed, which do not impinge on the basic rights of the people of Sabah to access such resources, it said.
“Therefore, the commercialisation of the natural capital in the NCA was not likely to be implementable outside the ambit of the proper governing law,” it said.
The alternative would only be potentially feasible under mutually agreed terms between parties; the provider of the resources and the beneficiaries, it added.
On Dec 20, the UN Working Group consisting of four rapporteurs on human rights wrote to Malaysia, asking for clarification on several issues in the NCA, including proof of due diligence.
They raised concern over the seeming lack of transparency on the terms of the contract, as well as the overall effect it will have on the local communities and lands covered by the NCA, among many other issues.
