ANAK NEGERI opposed to the new formula for calculating Sabah’s annual Special Grant

KOTA KINABALU: Parti Kerjasama Anak Negeri (Anak Negeri) is vehemently opposed to the new formula to be proposed by the Federal Government to replace the existing 40% formula as basis for calculating Sabah’s annual Special Grant


It’s President, Datuk Henrynus Amin, expressed his serious concern as one or two Sabah Federal Ministers may have embraced the new Federal formula as an alternative solution and they have actually echoed Federal stand on the matter in their public speeches.

Henrynus urged all Sabah Members of Parliament, Senators, and State Assemblymen, all NGOs or civil societies, to act with a common voice in rejecting the new formula, which if adopted and implemented, could nullify the existing 40% State entitlement.

He said Article 112C and Section 2(1) of Part IV of the Tenth Schedule of the Federal Constitution clearly stipulates Sabah is entitled to receive 40% of net revenue collected by Putrajaya annually.

He said the proposed changes to the constitutional provisions related to Sabah’s 40% financial entitlement will be a huge financial loss to Sabah, and therefore, totally unacceptable.

He said the 40% Sabah’s entitlement was negotiated by then Sabah’s independence forefathers and agreed by all signatories to the Malaysia Agreement 1963.

“But instead of being fulfilled, it has been systematically ignored by the Federal Government since 1963 to deny Sabah its rightful revenue,”said Henrynus in commenting the speech by Sabah Finance Minister DSP Masidi Manjun during the budget session in the State Legislative Assembly yesterday reiterating his rejection of the new formula to replace the existing 40% state entitlement.

He said in spite of all the promises coming out of Putrajaya, all indications suggest the Federal Government may have no interest, nor the real intention, to fulfill the 40% state entitlement.

“We are acutely aware the prevailing consensus within the Federal circle is to change or downgrade Sabah’s entitlement to be at the same level as Sarawak which does not have the 40% entitlement.”

He said the State GRS Government also made a mistake by signing and accepting the rm125.6 million allocation for 2022 in lieu of the 40% entitlement on 14 February 2022, which by implication, may have weakened the state’s bargaining position on the matter.

He said Anak Negeri views the recent rm300 million interim payment as an arbitrary figure plucked out of thin air without any reference to the 40% constitutional provision.

“The fact that it was recently tabled apparently without a debate suggest the Federal Government may have something to hide.”

He said, for all intents and purposes, the interim payment is actually a mere test case to test the waters for the purpose of establishing a new precedence.

Therefore, Anak Negeri views the promise to fulfill the 40% entitlement by July next year as a hollow promise as it was issued by the GRS state leaders and Sabah Federal leaders, not by the Prime Minister himself.

In actual fact, he said, the Tenth Prime Minister never promised to fulfill the 40% entitlement as he was merely quoted saying he will try his best to fullfill the MA63.”

“Trying my best is actually a hollow statement that sounded like an empty drum or a loud thunder in the sky but there is no rain.”

“Given the facts Sabah is one of the poorest and least developed states in Malaysia, the 40% financial entitlement is fully justified.

“There should be no change to the existing formula until the level of development in Sabah is at par with the states in Peninsula Malaysia,” he said.

He said, the actual figure payable to Sabah must be calculated based on the 40% formula though the actual or agreed amount is subject to State – Federal negotiation on the development needs of the State and the ability of the Federal Government to pay.

He said any payment related to the state special grant must be based on principles stipulated on Article 112C of the Federal Constitution, not based on the arbitrary decision of the Prime Minister.

Meanwhile, Henrynus, a former Member of Parliament for Ranau, reiterated his calls for all Sabah MPs, Senators and State Assemblymen to speak out boldly in rejecting the new formula, and support calls to retain the 40% entitlement.

“If and when the matter is brought up in Parliament or the State Legislative Assembly for a debate or decision, no Sabah MP, Senator and State Assemblyman can be neutral or muted, let alone opposed to the 40% entitlement.”

“Sabah political parties or political leaders who defiantly support Putrajaya’s new formula to replace the existing 40% formula can be construed as traitors, as they are guilty of an act of betrayal against their own voters.”

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