KOTA KINABALU: Sabah Pakatan Harapan has concerns that the recently-reviewed special grant will eventually absolve the Federal Government of its commitment to pay back 40% of revenue earned from the state.
The Opposition coalition said in a statement on Thursday (April 21) that the state government should have insisted on the Federal Government acknowledging the state's right to the 40% formula before accepting any review.
The statement was jointly issued by Datuk Christina Liew (PKR), Datuk Seri Wilfred Madius Tangau (Upko), Datuk Frankie Poon (DAP) and Lahirul Latigu (Parti Amanah Negara).
They were referring to the announcement last week that the Federal Government agreed to increase the annual special grant for Sabah by 4.7 times to RM125.6mil a year, from RM26.7mil.
Chief Minister Datuk Seri Hajiji Noor then assured the people that the Gabungan Rakyat Sabah-Barisan Nasional state government would continue to pursue negotiations to get the 40% revenue share as agreed in the Malaysia Agreement 1963 (MA63).
“Sabah PH is concerned about the recent review... pursuant to Article 112D of the Federal Constitution.
“It is questionable whether the review as stipulated in a joint statement is unconstitutional, taking into account the basis of the review that disregards and is not premised on the 40% revenue sharing formula pursuant to article 112C and subsection 2(1) of Part IV of the 10th Schedule of the Federal Constitution.
“On what basis was the 4.7-fold increment made? Previously, the amount of special grant given to Sabah was RM26.7mil, an amount originally intended for 1973.
“Since the recent review of the special grant was not based on the 40% formula, does that mean that the Sabah government has agreed in setting a precedent for future reviews to the detriment of Sabah?” they asked.
The Opposition leaders also noted that Finance Minister Tengku Datuk Seri Zafrul Tengku Abdul Aziz recently made a remark in Parliament that the 40% formula was no longer applicable.
“The Sabah government should have insisted on the settlement and recognition of the 40% formula before agreeing on any review (in reference to the increased special grant), even if it meant that the matter must first be brought to and be adjudicated by the court,” they stressed.