GEORGE TOWN, May 30 — Penang’s federal-state relations committee has proposed the formation of a federal and state relations commission to study the working relationship between Putrajaya and various states, especially on issues under the federal government’s jurisdiction.

Penang Chief Minister Chow Kon Yeow told a press conference that the committee has come up with an interim report with three main recommendations.

"With the political uncertainties in recent years, along with challenges faced by all Malaysians during the Covid-19 pandemic, the need for federal devolution and a restructuring of federal-state relations has become increasingly important,” he said.

He said the federal and state relations commission could look into issues between state governments and Putrajaya such as the recent management of the pandemic and a more equitable distribution of resources from the federal government to states.

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The second recommendation in the interim report was to establish an all-states collaboration committee to enhance formal and informal cooperation among states and develop mechanisms to coordinate federal-state issues.

"We can discuss with other states to form this commiteee and for states that do not wish to participate, we can offer to the Opposition party in those states to take part instead,” Chow said.

The third recommendation in the interim report was to establish a federal-state relations improvement committee at the state legislative level consisting of bipartisan members.

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He said it will be a standing or select committee that will look into matters concerning working arrangements between federal and state governments on finance, health, social welfare, education, road works, disaster management, flood mitigation, trade and industry and many others.

"I will bring these recommendations up at the state government level to consider these proposals and take appropriate action,” he said.

The Penang federal-state relations committee was led by Francis Loh Kok Wah, Bukit Tengah assemblyman Gooi Hsiao Leung and Penang Institute executive director Datuk Ooi Kee Beng.

The interim report produced by the committee, titled ‘Enabling Decentralisation and Improving Federal-State Relations In the Federation of Malaysia’, will be made available publicly at the Penang Institute website soon.

Earlier, Chow said Penang deserves fairer treatment in terms of allocations from Putrajaya.

"Based on Penang’s contribution to the Gross Domestic Product over the past three years, which is between 6.7 and 6.9 per cent, the state should have received an allocation of RM5.2 billion in Budget 2022,” he said.

He pointed out that Penang only received RM996 million or 1.3 per cent of the total RM75.6 billion allocation for development.