Sarawak challenges three federal laws in the top court of Malaysia
Sarawak's government announced?on Monday it had filed a petition with the highest court of Malaysia to challenge three federal laws that govern petroleum. This is part of an?effort broader?to gain more control over the state's natural resources.
Sarawak will set up its own company, Petros, in 2024 to purchase, distribute, and supply all the natural gas produced within the state. This puts it at odds with Petronas - the national energy firm.
Sharifah Hasidah Sayeed Aman Ghazali is a deputy minister at the Sarawak Premier's Department. She said that the state authorities in Sarawak are attempting to determine whether the Petroleum Development Act of '74, the Continental Shelf Act of '66, and 'the Petroleum Mining Act of '66, have any validity or applicability.
This is in response to a request filed by Petronas in January seeking clarification?about the legal framework and regulatory framework that governs its operations in Sarawak. The hearing will take place on March 16.
Sharifah Hasidah stated in a statement on Monday that the state will object to Petronas’ application. She noted that it falls outside the jurisdiction of the Federal Court under the constitution.
She said that the federal acts affect the boundaries of Sarawak as they were established before Malaysia Day and Sarawak’s rights to petroleum resources found in offshore land within Sarawak’s boundaries.
Malaysia Day is celebrated on September 16, 1963, the date when Peninsular Malaysia united with the islands of Sarawak and Sabah, although Singapore separated later in 1965.
"Sarawak's stance is justified in protecting the rights and legitimate interests of Sarawak, as enshrined by?the Federal Constitution."
She added that resolving these constitutional issues will clarify the regulatory framework for the oil and natural gas industry in Sarawak, and for investors both in the upstream as well as downstream sectors of the industry. (Reporting and editing by Ashley Tang)
(source: Reuters)
