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Kelantan to claim RM1 bil oil royalty

KOTA BARU, 17 June 2009: The PAS state government in Kelantan is to claim RM1 billion from the federal government in oil royalty arrears.

State Economic Planning, Finance and Welfare Committee chairperson Datuk Husam Musa said today’s meeting of the state executive council decided that Menteri Besar Datuk Nik Abdul Aziz Nik Mat would write to Prime Minister Datuk Seri Najib Tun
Razak on the matter.

He said a report circulated by the Prime Minister’s Department to state government officers estimated that Kelantan produced RM2.5 billion worth of petroleum annually.

Kelantan became an oil producer in 2004 and, by right, should receive royalty like the other oil-producing states of Sabah, Sarawak and Terengganu, he told reporters after the state executive council meeting.

In KUALA LUMPUR, Machang Member of Parliament Saifuddin Nasution Ismail of Parti Keadilan Rakyat (PKR) questioned why Kelantan was not being paid oil royalty when the other oil-producing states were.

The Pakatan Rakyat would play up the issue of oil royalty during the campaign for the Manik Urai state by-election in Kelantan, he told reporters in the Parliament lobby.

Husam, meanwhile, said if the Barisan Nasional was sincere about making the proposed unity government a reality, it should not contest in the by-election.

Nomination for the by-election is on 6 July, and polling on 14 July. — Bernama

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