By VOON LEE SHAN President, Parti Bumi Kenyalang
KOTA KINABALU: High Court Ruling on Sabah’s 40% Net Revenue Entitlement
On 17 October 2025, the Kota Kinabalu High Court ruled that the Federal Government failed to fulfil Sabah’s constitutional right to 40% of its net revenue from 1974 to 2021.
The Court has directed both the Federal and Sabah Governments to enter negotiations to resolve this matter within 180 days, with negotiations scheduled to commence on 17 November 2025.
In addition, the Court issued a mandamus order requiring the Federal Government to conduct a revenue review under Article 112D of the Federal Constitution with the Sabah Government within 90 days, and to arrive at a mutual agreement no later than 17 April 2026.
Role of the Sabah Legislature
PBK stresses that these negotiations cannot and must not bypass the Dewan Undangan Negeri Sabah (Sabah State Legislative Assembly).
For transparency and accountability:
All negotiated terms with the Federal Government must be presented to and approved by the Sabah Legislature.
The people of Sabah and the Sabah Legislature have the right to know the total amount of 40% net revenue owed to Sabah to date.
It must also be emphasised that GRS Cabinet Ministers derive their mandate and authority from the Sabah Legislature. Without such mandate, no major decisions should be made unilaterally.
Caretaker Government Has No Authority for Major Agreements
PBK reminds all GRS Ministers that you are currently operating only in a caretaker capacity.
Caretaker ministers do not have the authority to negotiate or enter into major or binding agreements with the Federal Government.
The voters will ultimately judge any overreach or attempt to bypass proper democratic processes.
Lessons From Sabah’s Loss of Oil & Gas Rights
Sabah must never forget the historical lessons from the Petroleum Development Act 1974, where lack of transparency led to the effective loss of Sabah’s oil and gas resources. Even today, Sabah and Sarawak still do not know the true volume of oil and gas extracted by PETRONAS on behalf of the Federal Government.
This history must not be repeated.
Call to the People of Sabah
Parti Bumi Kenyalang urges the people of Sabah to remain vigilant, united, and assertive in ensuring that:
Sabah’s constitutional rights are fully upheld
All future agreements are made transparently
The rights and resources of Sabah are safeguarded for future generations
We stand firmly for transparency, accountability, and the full restoration of Sabah’s constitutional entitlements.
