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Government to hand over gas supply regulatory power to Sabah: PM

PUTRAJAYA: The federal government has agreed to hand over the gas supply regulatory power in Sabah to the state government, Prime Minister Datuk Seri Anwar Ibrahim (pix) announced.

He said the matter was agreed upon as part of the federal government’s effort to honour the Malaysia Agreement 1963 (MA63).

“Several major issues have been resolved today. For example, we have agreed to hand over the gas supply regulatory power from the federal government through Petronas to Sabah (government).

“This has been done for Sarawak and now is being done for Sabah…just waiting for the consent from the Yang di-Pertuan Agong Al-Sultan Abdullah Ri’ayatuddin Al Mustafa Billah Shah, the Cabinet has agreed,” he told a press conference after chairing the weekly Cabinet meeting here today.

Effective June 1 last year, the Sarawak government has full control of gas distribution activities in the state after the federal government granted an exemption to obtain permission under the Petroleum Development Act 1974 and a license under the Supply Control Act 1962.

Anwar said though the handing over of the regulatory power, the sales and new deals concerning gas supply in Sabah will be decided by the state government.

On the MA63, the Prime Minister said there were development on other issues and the details will be announced next month.

“As we all know, Deputy Prime Minister Datuk Seri Fadillah Yusof was given a month to settle unresolved matters (concerning the MA63), so InsyaAllah, early next month, we will announce the details that would resolve those matters,” he said.

He added that other issues in the MA63 that involved the laws and amendments to existing laws will have to wait until the next Parliament sitting.

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