KUCHING, Jan 3 ― Sarawak Chief Minister Datuk Patinggi Abang Johari Tun Openg said discussions on petroleum issues between the Sarawak government and Petroliam Nasional Berhad (Petronas) will be continued.
He said this had been agreed upon by Prime Minister Tun Dr Mahathir Mohamad at a Special Cabinet Committee Meeting held on December 17 following a proposal by Economic Affairs Minister Datuk Seri Mohamed Azmin Ali.
Abang Johari said the meeting was proposed as Petronas had taken cautious measures following Sarawak's interest to participate in downstream and upstream oil and gas activities in the state.
He said that at the meeting on December 17, Finance Minister Lim Guan Eng had expressed the opinion that the sales tax imposed on petroleum products beginning January 1 this year was inappropriate, but the state government had emphasised that it was the right of the Sarawak government and it was being implemented under Article 95C and Schedule Ten of the Federal Constitution.
“Sarawak also felt that it must take into consideration the Petroleum (Income Tax) Act (PITA) imposed by the federal government,” he said. ― Bernama
