KUCHING – The Sarawak state government had reached a consensus to postpone demands for higher oil royalty from the Federal government due to a drastic drop in the prices of crude oil in the global market.
Sarawak Housing and Tourism Minister Datuk Amar Abang Johari Tun Openg said a discussion was held with Tok Nan (Chief Minister Tan Sri Adenan Satem) regarding the matter.
“We agree that the price of crude oil has dropped from USD120 per barrel to between USD30 and USD35, meaning the revenue of the country has been affected badly,” he told reporters after presenting Native Customary Rights land titles to 120 villagers of Kampung Senari, here Thursday.
Abang Johari was commenting on Prime Minister Datuk Seri Najib Tun Razak’s statement yesterday that the time was not right to consider an increase in oil royalty as claimed by Sarawak due to the drastic drop in the price of oil.
“Tok Nan feels we (Sarawak) need to wait for a more suitable time to discuss the 20 oil royalty request from the state..we will keep monitoring the oil price,” he said.